UICI announced this morning that release of its fourth quarter and full year 1999 operating results has been delayed, pending completion of the OCC’s examination of UICI’s United Credit National Bank and completion of various internal inquiries at its credit card operations. The OCC has not yet completed its assessment of the level of United Credit National Bank’s credit card loan loss reserves at December 31 and the adequacy of the Bank’s capital.Details
Electronic Clearing House announced the receipt of orders in excess of $1.1 million from U-Haul International for ECHO’s ‘EB920’ terminals. The ‘EB920’ terminal is presently used by over 11,500 U-Haul dealers who participate in the U-Haul C.A.R.D. program to track inventory rental, financial settlement and all reporting obligations between the dealer and U-Haul corporate.Details
NOVA Corporation has promoted Pamela Joseph to President and COO of NOVA Information Systems. Ms. Joseph most recently was the Senior EVP and CIO of NOVA Corporation and was named to NOVA’s Board of Directors earlier this week. John Perry, who was the former president of NOVA Information Systems, has resigned.Details
CIBC Aerogold cardholders now have wireless remote Internet access, through their Bell Mobility PCS digital phones, to the Advantex restaurants, golf courses, country inns, resorts, and entertainment venues across Canada. CIBC is offering cardholders double and triple ‘Aeroplan Miles’ for using the new service. CIBC Aerogold cardholders launch the mobile browser on their Bell Mobility PCS phone and select ADVANTEX from the menu. Advantex owns and operates the CIBC ‘Aerogold Advantex Benefit’ program, a fully integrated feature of the CIBC ‘Aerogold VISA’ frequent flyer credit card. CIBC Aerogold cardholders earn bonus ‘Aeroplan Mile’ awards when making purchases at Advantex’s network of over 450 participating restaurants, golf courses, country inns and specialty resorts in Canada. An additional 4,500 restaurants in the U.S. will be launched in April for the program.Details
Hypercom it has changed to the auditing firm of Ernst & Young from PricewaterhouseCoopers. The change was prompted by a technical independence issue that arose in connection with retirement payments payable by PricewaterhouseCoopers to Hypercom’s CFO, Jonathon Killmer, a former PWC partner.Details
Equifax reported this morning that Payment Services, which operates through Card Solutions and Check Solutions, increased revenue 10.1% to $190.8 million in the fourth quarter. The revenue increase in Payment Services was driven primarily by merchant and card processing in U.S. Card Solutions and the new card processing operations in the United Kingdom. Operating income for Payment Services of $41.5 million increased 7.6% due to the continued strong performance of both Card Solutions and Check Solutions. Growth was tempered by the investment in the start-up card processing operation in the United Kingdom and a reduction in software license sales between quarters. Equifax says it is de-emphasizing card software sales as it grows its global card processing operations which can utilize this proprietary software and generate a recurring stream of revenue. For more details on Equifax’s 4Q/99 results visit CardData ([www.carddata.com]).
Concord EFS reported Thursday that fourth quarter 1999 revenue was $250.0 million, up 41% over the fourth quarter of 1998. Net income for the fourth quarter 1999 was $40.5 million. For the full year 1999, company revenue was $830.1 million compared to $634.5 million in 1998, a 31% increase. Net income in 1999 was $129.4 million. For more details on Concord’s 4Q/99 visit CardData ([www.carddata.com]).
Bank of America announced Thursday that James Dixon has been named to a newly created role responsible for accelerating development of the company’s Internet business opportunities. Dixon has been Bank of America Technology and Operations Executive since 1992. He also served as Chief Financial Officer at C&S Sovran Bank, a Bank of America predecessor company, between 1990 and 1992.Details
Paymentech confirmed this morning that CEO Pamela Patsley has resigned. The nation’s second largest processor and acquirer of credit card transactions announced that Michael Duffy, who has been with Paymentech eight years and COO since 1997, has been named as the next CEO. The transition from Ms. Patsley to Mr. Duffy is expected to be completed by April 1. Ms. Patsley has served as a top executive at Paymentech since its founding 15 years ago, when she took the position of CFO of the company’s original parent company, First USA. Paymentech processed approximately 3 billion total transactions and $93 billion in bankcard sales volume in 1999.Details
Ilife.com, which operates the bankrate.com Web site and publishes Bank Rate Monitor, continues to hemorrhage cash. Yesterday the North Palm Beach, FL-based firm announced that it posted a $13 million loss in the fourth quarter to bring its total 1999 losses to nearly $34 million. The company went public last May and raised about $40 million in cash. As of year end 1999, Ilife.com had cash or cash equivalents of $22 million on hand. Ilife.com’s stock price is trading around $4 per share compared to its IPO price of $13 per share. Last year the firm spent $17 million to drive traffic to its Web sites. According to the company, Ilife.com’s Web sites attract about one million visitors per month. For 4Q/99 details on Ilife.com visit CardData ([www.carddata.com]).