The six banks that make up The Swedish Banks’ ID Consortium (Bankernas ID-konsortium) have now signed contracts with IBM for the supply of the technical services needed to realize the Swedish Banks’ ID Service.

The Swedish Banks’ ID Service (Bankernas ID-tjanst) is a collaborative project between Danske Bank (in Sweden), ForeningsSparbanken, Handelsbanken, IKANO Banken, SEB and SkandiaBanken. The banks will launch the service in 2002.

Private individuals will then be able to obtain from their bank an electronic key known as a Certificate. This will allow them to identify themselves in a secure way to the websites using the service and thus gain access to personal information stored there. They can also place orders and sign agreements.

Public bodies and companies will be able to purchase ID services from any of the banks in the consortium. This will give them the means of achieving secure electronic communication with all individuals who have obtained Certificates from any of the six banks.

“We believe that our service will contribute to better Internet security and hence to increased use of the Net,” says Hakan Nyberg, chairman of the Consortium.

“This will be of great value to the public sector, to companies and to individuals. Our system has the potential to achieve a significant breakthrough since we are responding to market forces. There are obvious economic incentives to use the service and go on developing it.”

The collaborative project between the banks and IBM includes a “Certificate Factory,” which uses a common Certificate standard. The Certificate Factory, to be supplied by IBM, will produce Certificates for individuals, and is where public bodies and companies check Certificates. IBM will also supply the software that organizations, companies and individuals need to use the Certificates.



Fast on the heels of
successfully partnering on the largest new financial services conference in
Europe in recent years, Lafferty Group and BAI today announced that they will
jointly present a new retail financial services conference and exposition
developed specifically for Asia-Pacific.

The conference and expo, Retail Finance Asia-Pacific 2002, will be held in
Singapore between 13 – 15 March. Building on the theme “Breaking Old
Models — Building World-Class Banks,” the conference will combine timely
presentations from an impressive array of international retail financial
services leaders with an exhibit floor featuring many of the leading solutions
providers to the financial services industry. The conference will incorporate
sessions focusing on retail banking, cards, payments, wealth management and
private banking with top-level speakers drawn from leading-edge players in
Europe, North and South America as well as in Asia Pacific.

“We were greatly encouraged by the success of Retail Finance Europe 2001,
which had over 800 attendees,” said Michael Lafferty, chairman of Lafferty
Group. “We’re convinced that BAI and Lafferty Group can meet the market’s
demand for a similar event in Asia-Pacific, and build on the success in

“‘Strategic alliance’ is a phrase that has been greatly overused during
the past few years,” commented Thomas P. Johnson, Jr., president and CEO of
BAI. “But our international partnership with Lafferty Group is proof that the
whole can be greater than the sum of its parts. Each alliance partner has
brought specific strengths to the effort, and with one success under our belts
we are well-equipped to meet the challenges of mounting a new effort in the
Asia-Pacific region.”

Neither Lafferty Group nor BAI is a stranger to the Asia-Pacific market.
Lafferty has detailed client research currently underway in Asia-Pacific
retail financial services and has produced successful conferences in the
region. BAI has been able to attract strong attendance from Southeast Asia
and the Pacific Rim to its Retail Delivery Conference, the world’s largest
retail financial services conference. Retail Delivery 2001 will be held 11 to
14 December in Anaheim, California.

Confirmed speakers for Retail Finance Asia-Pacific 2002 include Tharman
Shanmugaratnam, Managing Director of the Monetary Authority of Singapore;
Philippe Paillart, Vice Chairman and CEO, The Development Bank of Singapore;
Will Horie, President of Korea First Bank; Bo Harald, Executive Vice President
of Nordea Group; Richard Vague, Chairman and CEO of Juniper Financial;
Dato’tan Teong Hean, CEO of Southern Bank; James Jones, President of
Providian; Rupert Keeley, President of Visa International Asia Pacific;
Francois Julien-Labruyere, Member of the Board and International CEO of
Cetelem; Dr. Herbert Walter, Member of the Board of DB24 – Deutsche Bank’s
Retail Bank.

Lafferty Group is the global financial services publishing, business
intelligence and research company. BAI is the leading U.S. professional
organization devoted exclusively to improving the performance of financial
services companies through strategic research and information, education and
training. Retail Finance Europe 2001 was held in London between 18 – 20 June
and is a partnership between Lafferty Group, BAI and EFMA. It will be held
again in London between 17 – 19 June, 2002.


Decision Analytics

After three years in development Fair, Isaac has introduced the next generation of decision technology, decision analytics. Fair, Isaac says it has found the missing link in the decision technology paradigm, the ability to develop decision strategies empirically rather than subjectively. The first application of the new strategy science, ‘Credit Line Strategy Optimization’ service, has been developed expressly for the financial services industry. First USA will become the first issuer to implement the CLSO service to manage their credit card accounts. Fair Isaac says CLSO represents the convergence of a pooled-data model, 40 years of financial services and analytics leadership, new software and help from the company’s best clients. For credit card companies currently running Fair, Isaac’s ‘TRIAD’ adaptive control systems, CLSO can be up and running in a matter of weeks.


Nextcard Milestone

NextCard confirmed yesterday it surpassed the one million account milestone during June. The pioneering, Internet-centric VISA card issuer, was among the first to introduce instant, online approvals for bank credit cards. The company was also on the leading edge of online balance transfers and online bill payments. The ‘NextCard VISA’ was first introduced in December 1997. NextCard, which went public in May 1999, expects to break-even by the fourth quarter of this year. During the first quarter NextCard post a loss of $16.6 million compared to a of $17.7 million in the year-ago quarter. At the end of the first quarter, credit card receivables stood at $1.6 billion and operating revenue at $70.5 million. NextCard’s acquisition cost per account in the first quarter was $49. The issuer operates a network of more than 90,000 online affiliates. (CF Library 4/26/01; 5/17/99)

2Q/01: 1.0m 2Q/00: 443k 2Q/99: 85k
1Q/01: 881k 1Q/00: 337k 1Q/99: 56k
4Q/00: 708k 4Q/99: 220k 4Q/98: 37k
3Q/00: 577k 3Q/99: 134k 3Q/98: 29k
Source: CardData (www.carddata.com)



SCM Microsystems, Inc., a leading provider of solutions that open the Digital World, has signed a strategic agreement with MAXIMUS to deliver secure authentication to government agencies, using smart card technology. Under the agreement, SCM will become a supplier to MAXIMUS of several smart card reader models over a 15-month period.

MAXIMUS, a systems integrator to the government sector, will integrate SCM’s high-speed serial, USB and PCMCIA readers to meet the stringent cryptography requirements needed for secure authentication. Local, state and federal agency customers will benefit from a complete, cost-effective solution that supports multiple interfaces, applications and standards based on individual department needs.

Smart card technology enables government officials to provide security measures for a variety of functions such as entering buildings, sharing medical information, filing benefit reports online and accessing e-government programs.

SCM recently introduced its family of next generation EMV compliant, PC/SC smart card readers based on its STC II single chip micro-controller. This integrated solution contains on-board Flash for convenient and efficient firmware upgrades in the field. MAXIMUS currently supplies smart card solutions to various agencies including the U.S. Army, Navy, Air Force, Department of State, Department of Veterans Affairs and General Services Administration.

“MAXIMUS has established the necessary relationships to secure a solid foothold within the government sector,” said Jason Schouw, Vice President, Americas for the PC Security division of SCM Microsystems. “Federal agencies are re-engineering business processes, developing new security applications and implementing e-government programs — and smart cards offer secure solutions for all environments. Our new high-speed, single chip readers will be able to meet the government’s needs for many years to come. This partnership shows our strength as a company and a leading manufacturer of cost-effective smart card readers which can deliver solutions to meet any industry requirements.”


MAXIMUS is one of America’s largest government services companies devoted to providing state and local governments with program management, information technology, and consulting services. The company has more than 4,400 employees located in more than 130 offices across the United States.

About SCM Microsystems

SCM Microsystems is a leading supplier of solutions that open the Digital World by enabling people to conveniently access digital content and services. SCM’s advanced silicon, hardware and software solutions enable secure exchange of electronic information for digital applications from e-commerce to broadband content delivery by providing controlled access points to platforms such as PCs, digital cameras and digital television set-top boxes. Known as a premier supplier to OEM companies around the world, SCM also serves the retail market through its Dazzle, Microtech and FAST product brands. Global headquarters are in Fremont, Calif., with European headquarters in Pfaffenhofen, Germany. For additional information, visit the SCM Microsystems Website at [www.scmmicro.com][1].

[1]: http://www.scmmicro.com/


@pos ASG

@pos introduced the intelligent patent-pending Active Screen Guard (ASG) for protecting the touch pad displays of the @pos iPOS TC, TX.C, and 3100eX payment transaction terminals from scratches and wear. The ASG consists of a protective membrane and innovative electronic components that intelligently inform the terminal when the ASG is installed. The patent-pending solution provides a cost-effective option to provide additional ruggedization, extend the overall usage life of the terminal’s resistive touch pad and reduce the need to replace the complete display assembly.

The ASG will be shown by @pos at the Retail Systems Conference, Booth No. 1531, at McCormick Place, Chicago, Illinois, beginning on June 26. “The Active Screen Guard provides an option for our retail customers to extend and protect their significant point-of-sale investments,” said Winifred Liu, @pos Product Manager. “The ASG is simple to install and replace at the retail location for regular and continued maintenance.” Production quantities of the ASG are expected to be available in Fall 2001. The ASG attaches to the bezels of the iPOS TC, TX.C, and 3100eX using patent-pending technology. An LED located on the bezel is activated by the terminal’s internal hardware security circuitry when the ASG is properly installed on the terminal.

About @pos

@pos (OTCBB:EPOS) is a leader in secure, interactive electronic transaction technologies. The company delivers proven technologies that include signature capture pads, web-enabled platforms, smart card interfaces, and encryption engines supporting DES and Triple DES, in addition to offering an extensive suite of software tools. @pos currently markets its products to the retail, government and banking segments for applications that include electronic signature capture, debit and credit payments, display advertisements, promotions, and surveys. For more information, see [www.atpos.com][1], email to info@atpos.com, or call 408/468-5400.

[1]: http://www.atpos.com/



Pitney Bowes launched a comprehensive Internet payment solution. ‘PitneyPay’ provides users with a variety of payment options including, ACH Debit and an escrow service. The Company says it has formed strategic alliances with Heavynet, and USA Flower Exchange to integrate the ‘PitneyPay’ solution into their respective marketplaces. ‘PitneyPay’ will serve as the exclusive online payment option for all transaction payments.


Delinquency Drops

Thanks to increased debt consolidation and bankruptcy filings, credit card delinquencies made a surprisingly sharp drop during the first quarter. The rise in debt consolidation activity is being fueled by the lowering of interest rates by the Federal Reserve this year and robust competition among home equity loan providers. The uptick in personal bankruptcies is being driven by anticipation of new bankruptcy laws, likely to take effect early next year. Based on the number of credit card accounts, 2.99% were overdue during the first quarter, down 10% from 3.34% in the previous quarter, and 3.28% for first quarter 2000 according to the American Bankers Association’s ‘Consumer Credit Delinquency Bulletin’. First quarter credit card delinquencies, based on total dollars outstanding, were 4.13%, down from the previous quarter’s 4.25% but higher than 3.94% in the same period last year. The 1Q/01 figures are the lowest first quarter numbers reported in more than five years.

(based on total dollars outstanding)
1999: 4.44% 1995: 3.50% 1991: 4.55% 1987: 3.71% 1983: 3.06%
1998: 5.42% 1994: 3.51% 1990: 3.29% 1986: 4.92% 1982: 3.33%
1997: 5.43% 1993: 3.98% 1989: 3.39% 1985: 3.10% 1981: 3.16%
1996: 4.62% 1992: 4.31% 1988: 3.71% 1984: 2.84% 1980: 3.00%
Source: American Bankers Association Delinquency Bulletin


VitalStream & PayPal

VitalStream Inc., announced they have integrated PayPal micropayment capabilities into the VitalStream MediaConsole.

The MediaConsole is a proprietary Web-based application that gives customers complete control of their streaming media and Web hosting accounts. Adding PayPal functionality allows VitalStream customers and resellers the option to pay for products, services and pay-per-view media files online through their PayPal account. PayPal accountholders may make online payments charged to their Visa or Mastercard or transferred from their bank account.

The MediaConsole is a platform independent browser-based program designed to put the element of control back in the hands of the customer. The advanced technology is proprietary to VitalStream and provides media rights management, constantly updated Web site statistics, e-mail management and Internet traffic reporting.

Several popular features of the MediaConsole require an easy-to-use payment option. Features include:

— Pay-Per-View — the ability to sell streaming audio or video to your audience on a per-view basis with online payment processing.

— Shopping Cart — setup your own online storefront and sell your products and services via the Internet.

“Having a variety of payment options is crucial for our customers to take advantage of our pay-per-view, on-demand and shopping cart features,” said Paul Summers, chief executive officer for VitalStream. “We want our customers to have the best user experience when using our products, adding PayPal gives them one of the most popular payment options available on the planet.”

About PayPal

PayPal is the instant and secure online payment service that allows people and businesses to send and receive money by e-mail from bank accounts or credit cards. With nearly 8 million members and growing, PayPal is the world’s first and largest Internet-based payment service, and the No. 1 financial site on the Internet(a).

PayPal is the preferred payment service for online auctions, online community and group Web sites, and is seeing tremendous growth in e-commerce transactions for small businesses. PayPal members send approximately $8 million in more than 160,000 payments each day. Free to consumers, PayPal can be used from PCs or Web-enabled mobile phones. Business users pay transaction fees to receive payments through PayPal. PayPal is a privately held company with headquarters in Palo Alto, Calif., and was recently named one of the Top 25 New Companies by Fortune Small Business. The PayPal Web site has been cited as among the “Best of the Web” by Forbes, Time, PC Magazine and U.S. News & World Report. For more information, visit [www.paypal.com][1].

About VitalStream Inc.

VitalStream is a leading provider of products and services that enable the digital broadcast of audio and video content and other communications via the Internet. VitalStream provides audio and video streaming, advanced media hosting, payment processing and consulting services. The company’s unique mix of services and technology enable businesses to leverage the global reach of the Internet to distribute their media content to targeted audiences worldwide. For more information regarding VitalStream, call 888/999-4932 or visit the company’s Web site at [www.vitalstream.com][2].

[1]: http://www.paypal.com/
[2]: http://www.vitalstream.com/


United iDine

Transmedia Network Inc. and United Airlines Mileage Plus, announced major enhancements to Mileage Plus Dining by iDine.

The improved program includes an entirely redesigned web site ([www.united.com/dining][1]), where participating Mileage Plus members can enroll in the free dining program and search for and locate more than 7,500 participating restaurants where miles can be earned. A dining promotion offering bonus miles is also currently underway.

“The enhancements to Mileage Plus Dining represent a strengthening of our strategic partnership with United Airlines,” said Gene Henderson, President and CEO of Transmedia. “Frequent flyer members are a valuable demographic segment for Transmedia. The new web site and special promotion are the first of many more marketing improvements developed in conjunction with Mileage Plus, meaning the opportunities for current and future members to earn miles will increase along with the corresponding revenue potential to both Transmedia and United Airlines.”

Mileage Plus Dining is operated by Transmedia and is a free program that is easy to use. Mileage Plus members simply enroll and register up to three major credit cards (Visa(R), MasterCard(R), American Express(R) or Discover(R)) with Mileage Plus Dining (www.united.com/dining or 1.800.555.5116), then use a registered credit card to settle the bill at participating restaurants. Dining benefits are discreetly awarded as miles directly to the member’s Mileage Plus account. There is no need to use coupons, discount cards or the like.

Highlights of Mileage Plus Dining include:

– A rich level of dining rewards – Members of Mileage Plus Dining typically earn ten miles per dollar spent on the entire dining bill – including tax and tip – at more than 7,000 participating restaurants nationwide. Several hundred additional restaurants also offer variable dining rewards tied to the date and/or time of day of the dine.

– Easy enrollment via web or phone – Mileage Plus members can enroll for free by visiting www.united.com/dining or by calling 1.800.555.5116.

– Easy to use – Members simply use their registered credit card when paying the bill. They are not required to use membership cards or coupons to earn miles at participating restaurants. The program is totally discreet. Enhancements to Mileage Plus Dining include:

– More robust web site – The newly redesigned web site offers restaurant search by metro area, neighborhood, restaurant name or cuisine. The site (www.united.com/dining) also includes directions, maps, menus for many of the participating restaurants and special dining offers only available online.

– Special deals at top-rated restaurants – Mileage Plus Dining now features many top-rated restaurants with rewards that vary by day and time.

– Limited time special promotion – Mileage Plus Dining members who have dined three, five or seven times at participating restaurants between April 1, 2001, and June 30, 2001, will earn 250, 500 or 1,000 bonus miles. The May 2001 issue of Inside Flyer picked this promotion as one of the Top 10 mileage bonus offers of the month.

“Because it provides up to ten Mileage Plus miles per dollar spent, Mileage Plus Dining provides real value to our members” said Robert Sahadevan, President Mileage Plus Marketing. “Allowing our members to earn Mileage Plus miles at over 7,500 restaurants nationwide makes this program very popular.” “United is proud to offer its customers such an advanced dining website,” said Scott Praven, United Vice President E-Commerce. “Our partnership with Transmedia is another milestone in United’s strategy of entering into innovative partnerships to develop products that meet the needs of our online customers.”

About Transmedia Network Inc.

Transmedia Network Inc. (AMEX: TMN) presently offers its 5.9 million members a variety of dining savings and rewards programs at more than 7,500 restaurants throughout the United States via means of a registered credit card. The dining savings are offered through the Company’s programs, either branded under the name iDine or provided through private label partnerships, such as airline frequent flyer programs, club memberships, or other affinity organizations. iDine members can access personalized, real-time restaurant listings, special dining incentives and more via their newly re-launched web site, [www.idine.com][2].

About United Airlines

United Airlines offers nearly 2,300 flights a day to 130 destinations in 27 countries and two U.S. territories. United Airlines is a founding member of the Star Alliance, the first comprehensive global airline network. United and its Star Alliance partners offer flights to 894 destinations in 129 countries. In September of 1999, United introduced its comprehensive customer service plan, Our United Commitmentsm, to provide customers with the information, resources, policies, and technologies to improve their travel experience. United Airlines’ Internet address is [www.united.com][3].

[1]: http://www.united.com/dining/
[2]: http://www.idine.com/
[3]: http://www.united.com/


TeamPad 7510

Fujitsu Transaction Solutions unveiled a large-display handheld computer which supports the Microsoft Windows CE operating system. The ‘TeamPad 7510’ offers remote store management functions; use as a portable POS terminal; on-the-cart concierge; and as an end-of-aisle sales assistant. It includes a 168MHz processor and a new 10.4-inch thin-film transistor color touch-screen display, which is one of the largest available in a handheld. The ‘TeamPad 7510’ is priced at $3,700.


NPC Signs Motel 6

National Processing Company announced the signing of a multi-year credit card processing agreement with Motel 6, owned and operated by Accor Lodging North America, a division of Paris-based Accor, the world’s third-largest hospitality company and the European leader in travel, tourism and corporate services. Under the terms of the agreement, NPC will provide merchant card processing solutions for all Motel 6 properties’ Visa(R) and MasterCard(R) transactions.

Accor Lodging North America, thru its multi-brand, economy-lodging division Accor Economy Lodging (AEL), operates the economy leaders Motel 6, Studio 6 and Red Roof Inns in the U.S. and Canada. AEL is the nation’s largest owner and operator of economy lodging properties in the U.S., with more than 1,150 properties representing more than 122,000 rooms throughout the contiguous U.S. and Canada. In aggregate, AEL comprises nearly 10% of the entire U.S. economy-lodging sector. NPC currently provides front-end authorization and settlement services for Red Roof Inns.

“NPC has always worked in partnership with us in delivering a cost- effective processing solution for Red Roof Inns, so it was natural to turn to them to also provide processing for Motel 6,” said Armand Sebban, executive vice president, chief financial officer for Accor Economy Lodging. “Credit cards play a very important role in our business, and NPC provides the expertise to keep our costs associated with card acceptance at a minimum.”

“Accor sets high standards for itself and its providers, so we are very proud the company has chosen to expand its relationship with us,” stated Drew Soinski, senior vice president of Travel and Entertainment for NPC. “We see Accor’s decision as a vote of confidence in NPC’s processing capacity, expertise, and service.”

“NPC has enjoyed a long-term relationship with AEL’s Red Roof Inn properties,” said Mark Pyke, executive vice president of Merchant Services for NPC. “We are honored to be selected as AEL’s merchant processing partner for Motel 6 as well. Like Red Roof Inns, Motel 6 will benefit from NPC’s proven leadership and expertise, as well as our economies of scale and processing efficiencies.”

About Accor Lodging North America

Headquartered in Dallas, Texas, Accor Lodging North America is a division of Paris-based Accor ([www.accor.com][1] ), the world’s third-largest hospitality company and the European leader in travel, tourism and corporate services. Accor Lodging North America operates more than 1,200 upscale and economy properties owned by Accor including the upscale Sofitel and Novotel hotel locations in the U.S. and Canada, as well as the nationwide economy leaders Red Roof Inns, Motel 6 and its new extended-stay product, Studio 6. Together, Red Roof Inns ( [www.redroof.com][2] ), Motel 6 ([www.motel6.com][3]), and Studio 6 ([www.staystudio6.com][4]), comprise nearly 10% of the entire U.S. budget-lodging segment.

About Accor

With 130,000 associates in 140 countries, Accor is the European leader and one of the world’s largest groups in travel, tourism and corporate services, with two major international activities:

* Hotels: 3,500 hotels (400,000 rooms) in 90 countries, travel agencies, restaurants and casinos

* Services to corporate clients and public institutions: each day, 12 million people in 31 countries use a broad range of services (Food Vouchers, People’s Care, Expenses Management, Social Services, Incentive/Events) engineered and managed by Accor.

About National Processing, Inc.

National Processing, Inc. through its wholly owned operating subsidiary, National Processing Company (NPC(R)) is a leading provider of merchant credit card processing. National Processing is 87 percent owned by National City Corporation (NYSE: NCC) ([www.nationalcity.com][5]), a Cleveland based $91 billion financial holding company. NPC supports over 500,000 merchant locations, representing nearly one out of every five Visa(R) and MasterCard(R) transactions processed nationally. NPC’s card processing solutions offer superior levels of service and performance and assist merchants in lowering their total cost of card acceptance through our world-class people, technology and service. Additional information regarding National Processing can be obtained at [www.npc.net][6] .

[1]: http://www.accor.com/
[2]: http://www.redroof.com/
[3]: http://www.motel6.com/
[4]: http://www.staystudio6.com/
[5]: http://www.nationalcity.com/
[6]: http://www.npc.net/