Decider e-Commerce

The growth in on-line business is staggering – and so to is the growth in on-line bad debt and fraud. As a result e-Commerce demands real-time, adaptive and accurate scoring for credit, fraud and customer evaluation and existing techniques are failing to halt this growing tide. Understanding these challenges, Neural Technologies, one of the leading providers of advanced computing for business applications, is launching Decider e-Commerce. This new solution enables banks and finance providers to quickly and easily reduce fraud by providing accurate decision-support, while ensuring that e-Commerce customers stay on-line throughout the credit granting process.

“In the web business environment, customers expect fast response from companies selling on-line. If the decision as to whether or not to provide them with credit is not taken rapidly a valuable customer might leave the web-site for that of a rival,” says Nick Ryman-Tubb, President and CEO of Neural Technologies. “Decider e-Commerce is ideal for any bank or finance provider looking to offer real-time, credit decisions on-line.”

The key benefits of Decider e-Commerce for Internet banking and finance providers are:

– Decider e-Commerce ensures that on-line customers are quickly cleared for credit or immediately referred for investigation, so that the credit granting or “sales” process is not inhibited.

– It helps credit officers make fast, accurate decisions, even if some applicants data is missing.

– It provides reasons for suggested acceptance or rejection of applications.

– It provides real-time decision-support and transaction processing for on-line credit and service inquiries and applications.

– It offers multiple platform support (NT, UNIX, HP, IBM, SUN, Sequent, etc.).

– It uses robust, accurate AMAN (see below) and statistical technology.

“By discovering and using patterns and relationships from existing customer data, Decider e-Commerce does not just enable fast decision-making, but is also highly accurate and outperforms slower traditional approaches to aiding credit granting decisions,” adds Nick Ryman-Tubb.

James Satloff, managing director of global product development at Standard & Poor’s comments on their newly launched Internet corporate credit scoring service: “When developing CreditModel, the world’s first real-time Internet corporate credit scoring service, we looked for a partner that combined the business understanding of the financial credit scoring sector with technology power and systems development capabilities.”

In recognition that business processes and systems differ between companies, Decider e-Commerce can be integrated into almost any system environment. The Decider evaluation server is an integrated on-line transaction processing solution that produces credit or fraud customer scorecards based upon all data relevant and available to the Decider e-Commerce risk analysis engine.

About Neural Technologies

Neural Technologies is a private company founded in 1987. With offices in England and New York, the company has grown to become one of the few companies in the world to be successfully delivering advanced modeling solutions in real-world business environments. The company’s products are being used around the world by banking and financial institutions for credit scoring and fraud detection, by telecommunications companies for fraud detection, churn prediction and network performance management, and by marketing, mining and government sectors. The company was chosen by the UK government as principal technology and application advisors to the Department of Trade and Industry’s $9.65 million Technology Transfer Program.

About AMAN

All Neural Technologies Solutions are based on the company’s Advanced Modular Adaptive Network (AMAN) engine. AMAN copies what has taken nature 100 million years of evolution to create – the cortex in the human brain. AMAN is not a specific type of neural network – it is a self-growing meta-neural network that combines many types of specific neural architectures and advanced modeling techniques. It can cope with large amounts of data, both numeric and symbolic, and can be implemented from desktop PCs to client/server or mainframe.

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Bank One/FUSA 2Q/99

Bank One released figures yesterday that show credit card loans were “essentially flat” during the second quarter. Total managed credit loans stood at $69,459,000,000 at June 30 compared to $68,364,000,000 for Mar 30. Both figures are below Bank One’s peak of $70,027,000,000 on Dec. 31. As a result, Bank One/First USA has failed to re-capture the #1 ranking in the bank credit card industry it briefly held at the end of 1998. Citibank reported on Monday that its U.S card loans stood at $70.3 billion for 2Q/99. Nevertheless Bank One opened 2.2 million accounts during the second quarter and handled $28.9 billion in charge volume. However net charge-offs notched up to 5.25% compared to 4.89% for 1Q/99 and 4.79% for 4Q/98. Delinquency (30+ days) declined to 4.30% from 4.51% at Mar. 31 and 4.47% at Dec 31. At the end of the second quarter Bank One had 59.1 million cardholders. For complete 2Q/99 financials for Bank One/First USA please visit CardData ([www.carddata.com][1]).

BANK ONE/FIRST USA SNAPSHOT

2Q/99 1Q/99 4Q/99 2Q/98
RECV: $69.5b $68.4b $70.0b $58.7b
Q-VOL: $28.9b $26.9b $29.2b $24.1b
CARDS: 59.1m 58.3m 56.7m 52.8m
CO: 5.25% 4.89% 4.79% 6.11%
DEL: 1.96% 2.06% 1.98% 1.97%

CO-charge-offs DEL- 90+ day delinquency rate, percentage of dollars past due

Source: CardData (www.carddata.com)

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

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SCIA Workshop

Smart card industry leaders from a wide-range of companies will convene in Lake Tahoe October 3-6 to develop insight into the issues facing key marketing and management executives in the next millennium. The workshop is sponsored by the Smart Card Industry Association (SCIA) and is designed to help its members develop the skills necessary to succeed in the emerging marketplace.

“We will be bringing together top executives to gain a perspective on the significant trends influencing our industry, and to provide members with the tools and resources necessary to navigate these trends,” said SCIA Chairman Charles Cagliostro. “Our goal is to provide a strategic retreat for our members to prepare for the 21st Century.”

On the first day, the Franklin Covey Institute will present an all-day interactive workshop entitled, “Four Roles of Leadership — How Highly Effective Leaders Navigate Change, Deliver Results and Create the Future.” Franklin Covey is a 4,500 member international firm whose mission is to inspire change by igniting the power of proven principles. The firm’s co- founder Stephen Covey has authored Living the 7 Habits and The 7 Habits of Highly Effective People.

On the second day, the SCIA workshop will include presentations by Microsoft entitled “The Future of the Internet and Smart Cards,” and The Chasm Group entitled, “A Proposed U.S. Smart Card Market Development Model.” The Chasm Group provides market strategy services for high-tech companies and was founded by Geoffrey Moore who is the author of Crossing the Chasm, Inside the Tornado, and the Gorilla Game. Additional presentations by IBM and Bank of America will discuss key industry topics such as intellectual property law, capitalizing companies through venture capital and IPOs, and pervasive computing.

The workshop will provide excellent networking opportunities and activities including a dinner cruise on the Tahoe Gal, dinner at Sunsets On The Lake, golf outings, hiking, horse back riding, and boating.

The Lake Tahoe Hyatt Regency Resort and Casino will provide four-star accommodations for the SCIA member executive workshop. For more information about the SCIA workshop, contact Lynn Russo at 800-848-7242 or 609-799-5654.

The Smart Card Industry Association is a global trade association representing the needs of manufacturers, integrators, resellers, and issuers, which strives to stimulate the adoption, use, understanding and innovation of smart card technology. The SCIA website address is .

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Telus to use CardTouch

Touch Technology International (TTI), a leading provider of turnkey smart card solutions announced Tuesday a licensing agreement with Telus Communications Inc., the second largest communications company in Canada. A long-time provider of smart phone cards, Telus will utilize CardTouch to expand into markets outside the smart phone card industry. In the coming months, Telus plans to deploy systems at corporate and college campuses, allowing cardholders to use their smart cards for purchases, identification and physical access to facilities.

“We are excited about helping Telus expand its smart card offering outside traditional boundaries,” said Bill Hussey, TTI’s chief executive officer. “We look forward to being an integral part of Telus’ success.”

“After an extensive industry search, we found that CardTouch is best equipped to support the wide variety of applications and devices that we require to be successful,” said Tom Forbes, director of smart cards at Telus. “In addition to supporting electronic cash and loyalty programs in the physical world, our plans include providing e-commerce and electronic-wallet applications to our customers. CardTouch offers both the flexibility and security that we need to meet these goals.”

Commenting on future plans Forbes added, “We have initiated our smart card activities by opening a smart card center in Edmonton at the University of Alberta Campus. Here we will showcase TTI’s CardTouch and the latest in multi-application smart card technology.”

About Telus Communications Inc.

Telus is Canada’s second largest telecommunications company. Its Group of Companies provides a full range of advanced communications services and products connecting Canadians with the world. The Company’s shares are traded on the Toronto and Montreal stock exchanges under the stock symbols BTS (Common) and BTS.A (Non-Voting). More information on Telus can be found at . About Touch Technology International

Founded in 1991, Touch Technology International provides turnkey smart card solutions, systems integration services and back office operations support for smart card systems. Since its inception, TTI’s sole focus has been the smart card industry. With over 65 employees, TTI has become a leader in the design, development and deployment of smart card systems. TTI offers CardTouch as a non-branded solution, which may be licensed by third parties to implement industry-specific smart card based systems. For more information on TTI and CardTouch please visit

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DX Card

NY-based Physicians’ Online and Wells Fargo announced they have teamed up to offer a credit card with an airline mileage program. The co-branded POL and Wells Fargo Standard and Platinum MasterCards feature a 3.9% intro APR, no annual fee, and a special version of the ‘WellsMiles Travel Rewards Program’. Launched in Feb. 94, POL has a membership of more than one-quarter of the U.S. practicing physicians. POL provides a secure, physicians-only environment featuring access to ‘MEDLINE’ and other medical databases.

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C&W Global Calling Cards

Priority Call Inc. announced Tuesday that it has been selected by Cable & Wireless, Global Card Services to provide equipment and services to support expansion of its postpaid and prepaid calling card businesses around the globe.

The deal will effectively enhance Cable & Wireless’ ability to compete in one of the fastest-growing sectors of the international telecommunications market.

Cable & Wireless already has millions of calling cardholders worldwide. Utilizing the new global database technology developed by Priority Call to enhance its ORYX(R) service node, Cable & Wireless will be able to offer customers what are essentially “roaming card” services. This will allow users to place long distance telephone calls using the same card, whether they are in London, Chicago, or Sydney.

Since the ORYX system doesn’t require that the call be trunked back to the home node, the calls are more efficiently and cost effectively placed through the Cable & Wireless network.

This agreement represents the first of three Priority Call systems to be installed in Cable & Wireless’ expanding global network. The first node was installed in the United Kingdom in late 1998. The additional platforms are to be deployed in the near future, and are important benchmarks in Cable & Wireless’ efforts to globalize and brand its calling card business.

“It is important for us to have a platform supplier that can allow us to expand capabilities in this evolving market,” said Phil Mehrtens, development and operations director of Cable & Wireless’ Global Card Services division. “With Priority Call, we will be able to implement innovative systems that allow Cable & Wireless to offer customers cost-effective global calling card options.”

“Cable & Wireless is an emerging force in the international calling card business,” commented Lois Andreasen, vice president of marketing for Priority Call. “Utilizing innovative technologies will expand the reach of its vast communications resources, allowing the company to effectively compete with other network-based carriers.”

About Cable & Wireless

Cable & Wireless is one of the world’s leading providers of integrated communications and a major global carrier of communications traffic: Internet, data, voice, and video. Its businesses around the world offer a range of services spanning interactive entertainment and information, broadband data, Internet access and broadcast television, as well as fixed and mobile voice.

With 17 million customers in 70 countries, Cable & Wireless is one of the world’s largest carriers of international traffic, providing mobile communications in more than 30 countries. Cable & Wireless plc is listed on the Stock Exchanges of London, New York (NYSE:CWP) and Frankfurt.

About Priority Call Inc.

Priority Call, a member of LHS Group Inc., is a leading provider of open, distributed telecommunications solutions for next generation public networks. Through Priority Call’s ORYX(R) platform, service providers gain the ability to market a wide range of enhanced services including prepaid calling, enhanced messaging, and unified communications.

Organizations throughout Africa, Asia, Europe, Australia, and North and South America have chosen Priority Call to deliver applications and services that meet the growing demand for sophisticated communications in new and evolving networks. To learn more about Priority Call, please visit [www.prioritycall.com][1].

LHS provides convergent client/server customer care, billing, and customer acquisition software and services to the global telecommunications industry. The company is listed with NASDAQ (LHSG) and on the Frankfurt Neuer Markt Exchange (LHI).

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

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Metris 2Q/99

Metris reported Tuesday that its managed credit card loan portfolio increased by 26%, or $1.3 billion, during the second quarter, resulting in a portfolio of approximately $6.5 billion at June 30. The second quarter receivables growth was primarily due to the acquisition of a portion of GE Capital’s consumer bank portfolio, representing approximately $1.1 billion of receivables. Credit card accounts increased compared to the prior quarter, totaling approximately 3.4 million at the end of the second quarter. This growth is attributable to the over 275,000 new credit cards originated during the quarter and over 485,000 accounts acquired from GE Capital. Managed credit card fees, interchange and other credit card income increased 37% to $79.3 million for the second quarter of 1999, from $58.0 million in the second quarter of 1998. For the six months ended June 30, managed credit card fees, interchange and other credit card income was $163.9 million compared to $114.3 million for the six month period ended June 30, 1998. These increases were primarily due to the growth in the managed credit card portfolio, as well as the repricing of credit card fees. The managed net charge-off rate was 10.1% for the second quarter, compared to 9.4% for the prior quarter and 10.6% for the second quarter of 1998. The managed delinquency rate (30+ days) was 6.3% at June 30, compared to 8.0% at Mar. 31, and 7.4% at June 30, 1998. For complete 2Q/99 financials for Metris visit CardData ([www.carddata.com][1])

DIRECT MERCHANTS SNAPSHOT

RECV Q-VOL ACCTS ACTIVES CARDS
2Q/99: $6.5b $1.3b 4.2m 2.6m 5.0m
1Q/99: $5.1b $0.9b 3.9m 2.5m 4.7m

Source: CardData’s 2Q/99 Portfolio Survey (www.carddata.com)

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

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Ethnic Calling Cards

Atlanta-based Rapid Link Communication Services launched its first two retail prepaid phone cards yesterday. The ‘KoreaLink’ and ‘GeorgiaLink’ cards are geared towards members of ethnic communities living in the U.S. RLCS markets and distributes its ‘KoreaLink’ prepaid card specifically to the Korean communities in Georgia and California. The ‘GeorgiaLink’ card, distributed through TeleDiscount Communications, offers competitive international rates for calls placed to Mexico, Brazil, Colombia and El Salvador.

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TSYS Instant Credit

Total System Services, Inc. announced the signing of a multi-year agreement that will allow Hewlett-Packard’s customers to apply for and receive instant approval for a line of credit to lease or purchase Hewlett-Packard computer-related merchandise via its Internet shopping village (). The relationship with Hewlett-Packard is an electronic retail direct to consumer initiative. TSYS is the world’s largest retail processor of credit cards.

Based on the nature of the product offering and the market opportunities domestically, the addition of Hewlett-Packard is an important step towards expanding TSYS’ offerings in the e-commerce world. This arrangement provides credit account processing, facilities management services and remittance processing services to Hewlett-Packard’s domestic market. Through TSYS’ full suite of e-commerce products and services, branded as SureTransact(SM), consumers will be able to apply for credit and receive real-time decisions in a matter of seconds allowing immediate purchasing over the Internet. In addition, consumers may also pay bills and receive customer service over the Internet.

TSYS President Philip W. Tomlinson said, “Hewlett-Packard is a world-class organization, and TSYS welcomes the opportunity to provide them with turnkey account processing and facilities management services. We look forward to helping Hewlett-Packard conduct commerce with its customers using our cutting-edge e-commerce products. This opportunity puts us one step closer to achieving the TSYS vision of being the global processor of choice for commerce.”

“As the computing industry leader in customer satisfaction, Hewlett-Packard remains committed to providing customers with the very best service and support. We needed a way to offer our virtual mall shoppers a fast, easy and secure way to obtain credit — and then support them with a top-notch customer service team. We look forward to working closely with TSYS to meet the demands and expectations of our fast-growing electronic business community,” said Bob Slaby, Hewlett-Packard’s e-commerce business manager.

TSYS is one of the world’s leading information technology processors of data, transactions and payments for domestic and international issuers of credit, debit, commercial and private-label cards. TSYS’ sophisticated systems offer online accounting, data processing, electronic commerce services, portfolio management, account acquisition, credit evaluation, risk management and customer service. Through our family of companies, TSYS services the entire lifecycle of card accounts and processes more than 192 million accounts, making it possible for an estimated 269 million cardholders to use their cards any time, anywhere. Headquartered in Columbus, Ga., TSYS () is an 80.8 percent owned subsidiary of Synovus Financial Corp. (NYSE: SNV) ([http://www.synovus.com][1]) named the Best Company to Work for in America by FORTUNE magazine.

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

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Pathways Signs Big Mt

WA-based The Pathways Group signed a new contract to install the ‘SPRINTICKET’ unattended ticketing system at The Big Mountain Ski and Summer Resort in Montana. Pathways will provide credit card authorization at the time of purchase and end-of-day account reconciliation. The ‘SPRINTICKET’ dispensers are also designed to accept smart cards. A program is currently underway at Big Mountain that allows frequent skiers to purchase lift tickets at discount rates using a special proprietary card.

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GlobelD Opens US Office

GlobeID Software, developer of world class electronic commerce transaction software, is expanding into the US market following the opening of an office in San Mateo, California. Primarily focused on business development, the US office will be the driving force behind establishing sales and marketing strategic alliances with key IT industry players. Targeting major manufacturers and companies developing solutions for web-based and wireless e-commerce, GlobeID’s focus will be on worldwide level agreements, maximizing the reach of its real time transaction processing software – @dvanced Payment Solution Suite.

Established in October 1997, GlobeID Software develops and markets world class electronic commerce transaction solutions enabling high volume operators to provide Advanced Payment Services to online communities around the world. Tom Wills has been appointed Vice President, Business Development, by GlobeID to build the company’s US market presence. Tom has over 17 years experience in the electronic payments and e-commerce market having previously worked with the Internet commerce group at VeriFone, a division of Hewlett-Packard. In this role he was heavily involved in the development of the SET electronic commerce protocol and VeriFone’s Internet payment strategy. Tom has also worked for both CommerceNet and Visa International.

Fabrice de Comarmond, Executive Vice President, GlobeID said “Our US operations are wholly focussed on a business development strategy. It was essential to us that we have a physical presence in Silicon Valley- one that enabled us to gain access to both the IT industry and its culture. San Mateo was the obvious choice.” “While it is too early to talk about specific alliances, we are targeting those players in the web-based and wireless e-commerce sector as well as the major forces in the hardware and software arena through which we can forge joint ventures in solutions based sales and marketing for our product suite,” he concluded.

GlobeID’s @dvanced Payment(TM) Solution Suite is a world class advanced Internet payment solution providing the financial services industry, payment aggregators and large billers with a strategic foundation to enter the electronic commerce market. By 2001 internet commerce is expected to exceed $220 billion (IDC) and Internet billing over $800 billion (BARS and Fletcher & Spaght). At present the Internet payment methods available are severely limited and wholly inadequate for the forthcoming increased mass-market demand due to the focus on high cost and lack of security. The @dvanced Payment(TM) Suite ensures that the legacy world, synonymous with the larger, established institutions can interact with the Internet world. De Comarmond concluded, “We are targeting the US as this market is leading the way in e-commerce applications and take-up. The financial, telco and utility sectors here are highly competitive. With ever increasing Internet adoption and demand for the benefits that this technology provides, those companies that want to remain ahead will have to introduce real time Internet payment systems. It is with this in mind we hope that our @dvanced portfolio can make this move to Internet easier through the development of business alliances at a global level with key industry players.”

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WingspanBank.com & Juno Deal

Juno Online Services, Inc. and WingspanBank.com today jointly announced the rollout of a five-year strategic marketing alliance. This alliance could generate multimillion dollars of revenue for Juno if certain performance thresholds are met and the alliance runs to term. The alliance, originally entered into with First USA, gives WingspanBank.com certain exclusive rights to market credit cards and a selected set of banking-related services to Juno’s millions of subscribers.

The WingspanBank.com campaign, which began appearing over Juno in May, includes a coordinated campaign of interactive advertisements targeted to specific segments of Juno’s subscriber base. Subscribers receive offers for a variety of WingspanBank.com products, including credit cards and certain consumer banking services ranging from checking accounts and CDs to consumer loans and financial planning tools. Subscribers can complete and submit applications for these products and services over Juno’s secure proprietary network. “By working with WingspanBank.com, we can provide our subscribers not only with a wide range of top-quality financial services, but also with a level of convenience they can only get through the Internet,” said Jordan Birnbaum, Juno’s senior vice president of business development. “As more and more people bring their financial lives online, Internet and financial companies represent valuable business allies. We are excited to be working with WingspanBank.com.”

About WingspanBank.com

WingspanBank.com

() is a subsidiary of Bank One Corporation (NYSE: ONE). WingspanBank.com is the new powerhouse in personal finance, offering consumers unparalleled freedom and choice in managing their money. WingspanBank.com provides consumers with a wide range of financial products and services brought together at one Web site, including traditional banking, investment and planning services, and objective search tools.

About Juno Online Services, Inc.

Juno Online Services, Inc. is a provider of Internet-related services to millions of computer users throughout the United States. The company offers several levels of service, ranging from basic dial-up Internet e-mail–which is provided to the end user for free–to full, competitively priced access to the World Wide Web. Since the launch of Juno’s basic e-mail service in April 1996, more than 7 million total Juno accounts have been created. Juno’s revenues are derived primarily from the subscription fees charged for certain billable services, from the sale of advertising, and from the direct sale of products to Juno subscribers.

This press release may be deemed to contain forward-looking information. Any forward-looking statements are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements, including without limitation any statements as to future events or future financial results of Juno, may be significantly and materially impacted by risks and uncertainties. In evaluating such statements, readers should specifically consider various factors that could cause actual events or results to differ materially from those indicated, including without limitation factors described in Juno’s reports and documents filed from time to time with the Securities and Exchange Commission.

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