People’s CRM

HNC Software Inc., a leading provider of high-end analytics and decision management software, announced that People’s Bank, a Connecticut-based bank with a national credit card operation, will implement HNC’s Profit Manager software as a critical component of its new customer relationship management initiative.

“Measuring and deploying customer profitability information for effective cross-selling and the overall optimization of customer treatment strategies will be a crucial aspect of our overall CRM program,” said James Sheridan, People’s Bank senior vice president of customer relationship management. “After reviewing several customer profitability systems, we found HNC’s Profit Manager software to be the most sophisticated and selected it as the cornerstone of our CRM initiative.”

Profit Manager software calculates the profitability of customers, relationships, products and business units. The system incorporates an interface to core accounting and banking systems, and guards the integrity of profitability measurement through matched-maturity funds transfer pricing and sophisticated cost-allocation methods, including activity-based costing. The system can also be used to conduct valuable “what if” scenarios and customer simulations to facilitate optimized CRM strategies.

“People’s Bank’s ability to generate funds transfer pricing and assemble customer fee income, customer activity cost drivers and functional standard costs from several diverse data sources results in rapid and significant customer and product performance differentiation,” said Richard Ciolli, a principal business consultant with HNC Software.

Traditional measures of customer profitability often include variables such as high average balances, demographics and multiple account relationships, but do not account for the actual cost of providing the services and channels that customers use. There are segments within segments that warrant different treatment strategies. For example, a customer may have a high balance yet write a high number of checks and visit branches often, while another customer with a similar balance may instead use low-cost channels such as ATMs and the Internet.

“In today’s highly competitive business environment, it is critical that companies do more than merely collect customer profitability information. They must accurately measure, analyze and use it to their maximum advantage,” said Michael Chiappetta, group vice president of customer analytics for HNC Software. “A multidimensional enterprise-wide profitability system is one of the critical technologies needed to manage holistic customer relationships.”

About People’s Bank

People’s Bank ( is a diversified financial services company providing commercial, consumer, insurance and investment services. Founded in 1842, it is the largest state-chartered bank in Connecticut with managed assets of $13 billion, 146 branches and 220 ATMs. People’s is a leader in consumer and commercial banking, residential lending, insurance sales, supermarket banking and is the nation’s 15th-largest issuer of MasterCard and Visa credit cards. People’s subsidiaries offer brokerage services, asset management, equipment financing and leasing and insurance services.

About HNC Software Inc.

HNC Software Inc. (Nasdaq:HNCS) is a leading provider of high-end analytic and decision management software that enables global companies to manage customer interactions by converting data and business experiences into real-time recommendations. HNC’s proven software empowers Global 2000 companies in the financial services, insurance, telecommunications, healthcare, and other industries and governments to make millions of the right mission-critical customer decisions, and take action in real time, substantially improving financial performance, reducing costs and decreasing risk. For more information, visit [][1].



Shopping Pulse

Same-store sales for the day after Thanksgiving rose 2.4% over the same day last year, according to TeleCheck Services. In 2000, the day after Thanksgiving was the fifth largest day of the holiday season, with the biggest spending days occurring the final week before Christmas.The TeleCheck Retail Index is based on a year-over-year, same-store comparison of the dollar volume of checks written by consumers at more than 27,000 of TeleCheck’s 272,000 subscribing locations.



Credicard has reportedly invested R$5mil in the launch of its ‘Credicard
Mastercard One’, a prepaid card aimed at teenagers. The card issuer says it
hopes to issue 30,000 of the new cards by June 30, 2002. The pre-paid
stored-value cards may be obtained via the Internet or by phone. The
card costs R$25, plus a monthly charge of R$2.50 and a 1% transaction fee.
has indicated it will launch a competing product sometime next year.



TEMENOS, a global vendor of
integrated banking software that supports international banking, announced
today that Magyar Kulkereskedelmi Bank (Hungarian Foreign Trade Bank Ltd.),
with assets of over USD $2.7 billion has chosen TEMENOS GLOBUS as
the foundation for all of its domestic banking operations. This major win
extends TEMENOS’ position as the leading banking software vendor in the world.
“It is the intention of MKB to be at the forefront of the domestic banking
market through the delivery of innovative products and services to our client
base,” said Tamas Erdei, Chairman and CEO of MKB. “With TEMENOS GLOBUS as our
foundation, we will be able to build upon our leadership position by providing
exemplary customer service, manage our costs, as well as have the capacity to
grow our customer base through organic expansion and acquisitions.”

MKB will be implementing the core banking system of GLOBUS along with the
lending and deposit, treasury, funds transfer, teller services, private
banking, trade finance, image management, SWIFT and MIS modules. The system
will be configured to support the bank’s extensive branch network throughout
Hungary and will handle in excess of 1,000 concurrent users.

“We are delighted that the MKB has chosen GLOBUS as its integrated banking
platform and we acknowledge the significant commitment that this decision
represents. We will deliver the best system in the world to support MKB’s
business goals,” said George Koukis, Chairman and CEO of TEMENOS. “TEMENOS has
a strong presence in the region and adding an institution such as this greatly
enhances our image throughout Europe. We look forward to a long and fruitful
relationship with the bank.”

GLOBUS is an integrated, modular international banking system with full
functionality, including retail and wholesale banking, trade finance, and
treasury modules. It supports multi-company and multi-bank environments and is
truly global in scope, incorporating both multi-currency and multi-lingual
capabilities. In addition, GLOBUS contains robust risk management and security
features that provide a flexible, user-friendly environment while allowing
institutions to have complete control over their financial systems.
“We were looking for a system that could serve our diverse client base of over
11,000 corporate and 80,000 private clients as well as support our growth
in the future,” said Gabor Miklos, Deputy CEO of MKB. “GLOBUS’ robustness and
rich functionality in commercial, retail, treasury and private banking
applications as well as its integrated design and scalability will allow us to
provide innovative banking products and services as we continue to expand
throughout Hungary.”

About Magyar Kulkereskedelmi Bank

MKB, founded in 1950 and headquartered in Budapest has assets of over USD $2.7
billion. The bank targets primarily the largest Hungarian companies, quality,
medium-sized companies with growth perspectives, Hungarian institutional
clients such as foundations, representations, insurers, insurance brokers,
local governments and other budgetary organs, insurance funds etc. with its
banking products and financial services. The bank maintains a 30 branch
throughout Hungary and provides a variety of commercial banking services
including corporate finance, correspondent banking, equity investments,
exchange, letters of credit and money market products.


TEMENOS is a global leader in providing financial institutions with integrated
banking systems that increase productivity, profitability, and allow them to
respond to changing market conditions. The company’s solutions are utilised in
a variety of segments including retail and wholesale banking as well as for
treasury and accounting functions. TEMENOS customers include Deutsche Bank
(GER: DBK), Bank Julius Baer (SWX: BAER), Barclays Bank (LONDON: BARC) and
Merrill Lynch (NYSE: MER). TEMENOS has 40 offices in 28 countries and has
installed over 400 systems since its founding in 1993. The company had
of $125.2 Million in the twelve months ending 30 June, 2001. In June, 2001
TEMENOS became a public company, listed on the Swiss Stock Exchange (TEMN).


Chase Holiday Sweepstakes

Just in time for the holiday season, Chase has launched a national sweepstakes promotion to offer incentives to customers who use a Chase credit card for holiday purchases.

Entitled the “Choose Chase Holiday Sweepstakes,” the promotion is running through January 31, 2002. For each purchase, cardmembers will be awarded with an automatic entry into the sweepstakes for a chance to win a $20,000 cash grand prize, as well as a Caribbean cruise and other travel packages to Hawaii and Orlando. Special $1,000 shopping sprees to select retail partners also will be awarded. Bonus entries will be awarded when cardmembers use their cards at select retail partners, including Bed Bath & Beyond,, Godiva, Samsonite, The Sharper Image, and other nationally recognized retailers. There will be value-added shopping discounts from these same partners to provide cardmembers with savings for their holiday purchases.

Also, Chase is offering cardmembers bonus entries for registering on a special sweepstakes Web page, [][1], and an opportunity to win weekly prizes by registering on this page. There also will be more entries offered for shopping with select partners at [][2].

“We are very excited about the sweepstakes opportunity we can offer our customers during the year’s heaviest shopping period,” said Steven J. Kietz, Senior Vice President of Branding and Relationship Management for Chase’s credit card division. “Research has shown that many consumers rely on a single credit card today. We want that card to be Chase, and we’re willing to provide customer-focused incentives to ‘Choose Chase.'”

Chase’s credit card portfolio, issued and owned by Chase Manhattan Bank USA, N.A., has more than 20 million accounts and over $38 billion in outstandings. Chase is the fourth largest bankcard issuer in the United States, and its joint venture with First Data Corporation is the largest merchant acquirer in the U.S.

J.P. Morgan Chase & Co. is a leading global financial services firm with assets of $799 billion and operations in more than 50 countries. With relationships with over 99% of teh Fortune 1000 companies, the firm is a leader in investment banking, asset management, private banking, private equity, custody and transaction services, retail and middle market financial services, and e-finance. A component of the Dow Jones Industrial Average, JPMorgan Chase is headquartered in New York and serves more than 30 million consumer customers and the world’s most prominent corporate, institutional and government clients. Information about JPMorgan Chase is available on the internet at [][3].




STMicroelectronics introduced a turn-key development kit that
offers designers a solution for rapid development of low-cost flash
writers that plug into a PC’s Universal Serial Bus (USB) port.
The resulting card writers can have single or multiple card slots and need no
ASIC or external program or data memory.

The ST92163-DEMO/MS kit is based on the ST92163 12 Mbit/s USB microcontroller
(MCU) and includes device firmware, a demonstration board and schematic
diagrams. It offers OS kernel driver support for Windows 98, 98SE, ME,
2000, XP
and Macintosh PCs. The reference design interfaces to the most popular flash
card formats: Compact Flash, SmartMedia, Secure Digital (SD) and Multimedia
(MMC), Sony Memory Stick, as well as NAND flash chips.

Products developed using ST92163-DEMO/MS can serve as USB-based PC peripherals
that accept popular flash cards–non-volatile mass storage media–for writing
or reading electronic images, digital music files, programs, and data. The
for such peripherals has exploded with the popularity of digital still
MP3 music players, cellular phones, personal digital assistants, and other
handheld devices that use flash memory cards for non-volatile storage. Because
the peripherals look to the PC like removable drives, these flash memory cards
can also provide back-up storage for conventional programs and data.
The ST92163-DEMO/MS kit and has been fully plug tested by the international
Compliance Workshop and is included on the list of USB software integrators.
The solution is available now and key OEMs in USA, Japan, Taiwan, Korea and
Singapore are already producing card writers using this platform.
More information about the ST92163-DEMO/MS development kit, including a user
manual, is available at:

About STMicroelectronics

STMicroelectronics is the world’s third largest independent semiconductor
company. The Company shares are traded on the New York Stock Exchange, on
Euronext Paris and on the Milan Stock Exchange. The Company designs, develops,
manufactures and markets a broad range of semiconductor integrated circuits
(ICs) and discrete devices used in a wide variety of microelectronic
applications, including telecommunications systems, computer systems, consumer
products, automotive products and industrial automation and control
systems. In
2000, the Company’s net revenues were $7,813.2 million and net earnings were
$1,452.1 million. Further information on ST can be found at


Gift Cards

The Polling Company says a recent survey showed 48% of consumers are planning to buy at least one pre-paid card or gift certificate this holiday season and 29% will buy three or more. Of those planning to purchase a pre-paid card or gift certificate, 25% will spend $50 or more while 35% will spend $25-$30 on each card. The research firm says 10% of 18-24 year olds will buy more than 10 pre-paid card and gift certificates this season and that 50% of Hispanics and Latinos said they plan to purchase pre-paid cards or gift certificates, more than any other ethnic group. A First Data survey, released last week, showed that 76% of consumers are aware of gift cards as a retail product. Nearly 50 million adults have purchased gift cards and more than 63 million adults have received gift cards in the past 12 months. Among the three-quarters of consumers aware of gift cards, 44% said they were “very” or “somewhat likely” to purchase as many as four gift cards in the next 12 months with an average value of $44. (CF Library 11/16/01)



Smart Card Integrators, Inc. and Sagem announce their joint development
on the W-OS Operating
System. W-OS is an open smart card operating system offering worldwide
interoperability and third party licensing opportunities. The new W-OS is
derived from Microsoft Windows for Smart Cards (WfSC) v2.0 operating system.

W-OS is the culmination of Sagem’s GSM and security expertise and SCI’s
extensive ePurse development. SCI and Sagem have teamed together to provide
one operating system that can be used globally to meet their clients’ needs,
with ongoing development and support to be shared by both companies.

“Microsoft welcomes and supports this initiative, that builds upon our
Microsoft Windows for Smart Cards v2.0 technology. It will create a truly
interoperable operating system standard for the entire smart card industry,”
declares Francois Nouaille, Embedded System Group Manager, at Microsoft

“Other customers that will derive extraordinary benefit from W-OS will be
the GSM mobile phone operators, who put Subscriber Identity Module chip cards
in their handsets. Our open licensing scheme for smart card players worldwide
will eventually provide the first truly interoperable platform for all
SIM-based applications and services, which they’ve been looking for until
now,” explains the Director of the Security Business Unit, at Sagem.

“Having been one of the first Windows for Smart Cards licensees, and using
version 1.1 for our e-Purse v1.2 in such successful programs as NavyCash and
MarineCash, it has been a natural progression for us to base future
development on the greatly improved WfSC v2.0,” explains Francois Allal,
President of SCI. “We feel privileged partnering with Sagem to use an
innovative and affordable licensing strategy to offer W-OS globally. All
smart card manufacturers and developers will have access to this platform,
which will ultimately benefit the end user by providing the long awaited jolt
to the smart card industry.”

W-OS has been chosen by JPMorgan Chase to support commercial and
government smart card applications.

SCI and Sagem are concentrating their engineering efforts on making W-OS
an extremely secure, efficient, and fully interoperable smart card operating
system. Meeting Open Platform specifications, as defined by smart card
standards organization, GlobalPlatform, will make W-OS a valuable
interoperable operating system along with Java. The next phase of W-OS joint
development will focus on enhanced security, PKCS#11 integration, EMV and OP
compliance, and FIPS 140-level 2 certification.

SCI and Sagem are currently working on agreements with smart card industry
leaders, including Datacard and Incard, to license the new W-OS, which is
already available on all ATMEL secure micro-controller chips.

“Datacard is a passionate supporter of open standards based, card
independent smart card operating systems. We look forward to supporting the
W-OS and welcome it into the family of Aptura, JACOP, and MULTOS,” states Bob
Beer, VP Business Development, at Datacard Group.

“Consistent with company policy, Incard endorses the Open Standards
approach. Along with Java, W-OS would represent the right answer to the
increasing demand for interoperability in today’s smart card market,” explains
Marco Mauro, Strategic Account Manager, at Incard.

About SCI

Smart Card Integrators, Inc. is a leading North American smart card
technology company that develops and markets systems and software integration
services for the smart card market. The company’s core competencies and
capabilities allow it to provide end-to-end integrated system solutions for
smart card and cashless payment markets. SCI has become one of the fastest
growing smart card technology companies in North America.

About Sagem

Group SAGEM is an internationally based high technology group. The second
largest French group in the field of telecommunications and the third largest
European company in electronics for defense and security, SAGEM maintains a
presence in more than twenty countries.



The Bankcard credit card group has adjusted its restrictions to membership to
permit non-financial institutions to enter the credit card market. Currently
only approved deposit-taking institutions are allowed to issue credit cards on
behalf of VISA, MasterCard and Bankcard in Australia. The new membership rules
will require approval from only three, instead of four, of the major banks to
become a Bankcard member. Reportedly, Bankcard’s move will likely to be warmly
received by the Australian Competition and Consumer Commission and the Reserve
Bank of Australia.