WiSP

CA-based Trivnet Inc. Monday announced ‘WiSP’, a secure Internet payment service that bills digital purchases automatically to the user’s Internet Service Provider account. Trivnet leverages existing ISP relationships with on-line buyers and merchants to deliver ‘WiSP’, the first Internet payment service that allows buyers to purchase digital goods without user registration, software downloading or disclosing credit card information. WiSP users are automatically identified through their ISP and receive the billings for WiSP-enabled purchases directly on their ISP bill. In environments where multiple users share a single ISP account, users can identify themselves individually through the optional use of a pin number.

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Growing SCF

The Smart Card Forum, yesterday announced that eight new corporate and government members have joined the ranks of the organization as Auditing Members. The new members include: Authentic8; Baltimore Inc.; Cylink Corp.; First Consulting Group; MobiNetix Systems; Mondex Canada; National Security Agency; and TeleCommunication Systems. This membership category provides privileged access to the Smart Card Forum Consumer Research, other Forum sponsored research and documents, along with attendance at the Technical Working Group sessions, Educational Institute programs, and the Annual Meeting. S CF currently has about 200 members.

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NextCard To NextBank

Friday’s initial public offering of 6,000,000 shares of NextCard common stock, priced at $20 per share, will open at $33.50 per share this morning. More than 8.0 million shares traded hands Friday with the stock trading from a low of $32.00 and a high of $40.75. The stock is trading on Nasdaq under the ticker symbol “NXCD”. The NextCard prospectus indicates the company intends to use some of the proceeds from the IPO to establish its own credit card bank, NextBank. The company says it will use at least $20 million to capitalize the bank. NextCard has already applied to the OCC for the charter. The company currently purchases card receivables on a daily basis from its issuer, CA-based Heritage Bank. Up until Jan 12 of this year Heritage funded all card receivables.

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Wave Systems 1Q/99

Wave Systems Corp., a provider of electronic commerce, content distribution and security services, Friday reported results for the first quarter ended March 31, 1999. Wave also reviewed recent progress it has made in extending its Internet presence; in positioning the Company for deployment of its EMBASSY technology in a broader range of computers and electronic devices; and in expanding the range of potential applications being developed to benefit from the unique e-commerce and security capabilities of the EMBASSY platform. Reflecting its accelerated investment in enhancing its back-office and service infrastructure and expanding its sales and marketing efforts, Wave Systems, a development stage corporation, reported a net loss to common stockholders of $3,679,000, or $0.11 per share, for the first quarter ended March 31, 1999. Included in the results is a one-time, non-cash interest charge of $666,000, or $0.02 per share relating to a Black-Scholes valuation of 275,000 Warrants issued as part of bridge loan financing. In the prior year’s first quarter, the Company had a net loss of $2,095,000, or $0.08 per share. The weighted average number of basic shares outstanding in the first quarters of 1999 and 1998 was 32,148,000 and 27,359,000, respectively.

Reflecting the Company’s private placement of $23 million in Class A Common Stock to institutional, strategic and accredited individual investors, as of March 31, 1999, Wave had working capital of $17,748,000, total current assets of $21,506,000 and total current liabilities of $3,259,000. Commenting on the Company’s progress, Steven Sprague, President, stated, “Wave continues to make substantial progress in several areas of strategic importance to the Company, and our recent private placement provides a strong financial footing on which to move forward. In particular, recent agreements with Sigma Designs, Inc. (Nasdaq:SIGM), Actiontec Electronics and Atmel Corporation (Nasdaq:ATML) expand our opportunities for deployment, and Hauppauge Computer Works, Inc., a subsidiary of Hauppauge Digital, Inc. (Nasdaq:HAUP), is still slated to commence product shipments incorporating our technology by the end of our second quarter.

“Wave has also made significant progress establishing additional strategic relationships to expand the scope of applications being developed to utilize the EMBASSY platform. Our relationship with Security Dynamics’ RSA Data Security, our partnership with Sarnoff Corporation to form inTelecast and the incorporation of the Sun Java Card(TM) smart card application framework address this goal and demonstrate the broad potential for EMBASSY. “Focusing on the Internet, we launched the MyPublish digital content distribution system and secured an important partnership with theglobe.com (Nasdaq:TGLO) to provide access to MyPublish to its nearly 10.2 million users and 2.3 million members.

“Though we are pleased with our progress to date, we continue to pursue new strategic partnerships with a broad range of companies with the ultimate goal of developing broad-scale availability of a growing range of e-commerce and security services.”

About Wave Systems Corp:

Founded in 1988, the mission of Wave Systems Corporation is to create the world’s best technologies and services to secure and sell digital information. Wave’s core EMBASSY technology is an inexpensive, proprietary hardware and software-based device that enables secure transaction processing and distributed information metering in users’ PCs. Embedded in PC hardware and peripherals, set top boxes and other devices, EMBASSY is the foundation for client-based security applications and a new distribution and purchasing model for content and services. This low-cost, secure “system within a system” will enable the personal computer to assume an important new role in the evolving digital economy. By moving secure transactions to the desktop, Wave provides intrinsic value to the electronic commerce process, benefiting PC users, application developers, and hardware manufacturers. For more information, please visit Wave’s corporate web site at [http://www.wave.com][1].

For additional 1Q/99 financials on Wave Systems please visit CardData ([www.carddata.com][2])

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

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SIMMS 1Q/99

SIMS Communications Inc. Friday reported that revenue for the three month period ending March 31, 1999, increased 135 percent to $512,568, compared with revenue of $217,882 posted for the same three month period ending March 31, 1998, reflecting the company’s focus on their medical transaction processing business segment.

Gross profit totaled $323,686, a 286 percent increase over gross profit of $83,774 reported for the same period last year.

For the nine month period ending March 31, 1999, SIMS reported revenue of $1,284,585, a 96 percent increase over previous revenue of $654,885 posted for the same nine month period ending March 31, 1998. Net losses for the current nine month reporting period were reduced to $4,532,730, or $0.46 loss per share, compared with net losses of $4,791,434, or $1.71 loss per share reported for the comparable nine month period.

The company noted that as of March 31, 1999, stockholders’ equity totaled $4.03 million and net tangible assets reached $3.16 million. The net tangible assets reported exceeds the $2 million requirement instituted by Nasdaq and represents the final exception requirement.

On May 12, 1999, the company received correspondence from Nasdaq stating that it had met the second requirement necessary for continued listing on The Nasdaq SmallCap Market by fulfilling the Nasdaq Closing Bid Price Rule. Although it has not yet received confirmation from Nasdaq, the company believes that they have now fulfilled all qualification requirements in order to remain listed on the Nasdaq Stock Market.

SIMS Communications provides electronic transaction solutions for the health care industry. The company’s products include: its MedCard System, a system that provides 100 percent paperless electronic data entry at the physician’s office for all medical insurance billings and collections; its One Medical Service System, a cost-effective solution that gives pharmacies the ability to provide a complete, one-stop shopping solution for all its customers’ home medical equipment (HME) and home health care related service needs and to participate in managed care contracts; its Internet HME e-commerce sales, and its Internet health care portal, both under development, that will deliver health care information to consumers and health care providers and also will provide links to other Internet health care Web sites. For more details on SIMS 1Q/99 financials please visit CardData ([www.carddata.com][1])

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

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Amex Canada

American Express reported Friday that spending on its consumer and corporate cards was up 18% for the first quarter of 1999 in Canada. The company says that its total cardholder base in Canada has also increased by 14% from a year ago. Most of the new growth is coming from new credit cards, such as the American Express ‘AIR MILES Credit Card’, but enhancements to rewards programs on Amex’s premium charge card products have also had a positive impact both on card acquisition and billings. The number of new ‘Platinum Cards’ issued were up 20% over last year due to the added benefit of free Canadian Airlines companion tickets and to the introduction of ‘Points Accelerator’.

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Mileage Plus Bonus

United Airlines announced Friday it has created a new program the enables merchants, for the first time, to determine their own mileage value offer for transactions. ‘Mileage Plus Shopping’ merchants will be able to specify the reward level for each purchase dollars, from one mile per dollar to ten miles per dollar. The MPS program was developed out of the Momentum Merchant Network, which provides a technological platform eliminating the need for tracking and reporting merchant sales and making all transactions entirely transparent. The ‘Momentum’ program was developed by a partnership between SHC Direct, Vital Processing Services and Universal Value Network.

[Click Here For Mileage Plus Shopping Brochure][1]

[1]: /cardflash/secure/oldstatic/1999/may/mp1.html

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Triton Record

MS-based Triton Systems announced this morning that its ATM shipments for 1998 surpassed 10,000 units for the first time, a 35% increase over 1997. Triton says it has deployed off-premise ATMs in more than 30,000 retail locations. The company says the figures places it as the fifth largest ATM manufacturer in the world and, for the fourth consecutive year, the third largest in the U.S.

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Aria Card

San Francisco-based Providian is launching its new online credit card brand this morning that will directly compete with San Francisco-based NextCard. The new suite of ‘Aria’ VISA cards features online instant approvals, a rewards program, online balance transfers, online account access and upgraded perks. The four ‘Aria’ VISA cards include ‘Aria VISA Platinum Premium’, ‘VISA Platinum’, and two subprime card programs, ‘VISA Portrait’ and ‘VISA Persona’. ‘The instant rewards feature for ‘Aria’ is the ‘MyPoints’ program which offers 5 points for every purchase dollar, a 500 point bonus for opening an account, and a 2,500 point bonus for a balance transfer. Providian says the addition of ‘Aria’ aggressively positions Providian in the e-commerce segment. However, it is unclear this morning how Providian will promote its new product among the dozens of card products it currently offers, under contract, from competitors, via GetSmart.com. Last February, Providian acquired WebCard, GetSmart.com and created its new E-Commerce Division. NextCard’s CEO/founder, Jeremy Lent, is a former Providian CFO/SVP. Other NextCard officers/directors who formerly worked for Providian include: Timothy Coltrell and John Hashman.

PROVIDIAN’S ARIA PORTFOLIO
VISA Product INTRO PURCH BAL TXFR CASH ADV
Platinum Premium 0%/3mo 7.99% 12.99%-21.99% 21.99%
Platinum 0%/3mo 12.99% 12.99%-21.99% 21.99%
Portrait 0%/2mo 19.99%* 21.99% 21.99%
Persona 0%/2mo 23.99%* 23.99% 23.99%

all cards no-annual-fee except Persona; * no grace period

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Super ATM’s

Cleveland-based Firstar said Friday it is gearing up to deploy its first ‘Super ATM’ next month. The new ATMs will dispense cash, account statements, postage stamps and phone cards. Firstar will make the first installation at Hopkins International and Burke Lakefront Airports. Seven Firstar ATMs, one in each of Hopkins International’s four terminals, and another in the airport’s shopping mall and off-site car rental center, will be installed in early June. At the same time, Burke Lakefront Airport will see a Firstar ATM be installed in the main concourse. Firstar now operates 200 ATMs in Northeastern Ohio and 1,400 ATMs throughout the Midwest.

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Bankrate Acquisition

Intelligent Life Corp announced friday that it has hired Edward Vermont (“Monty”) Blanchard, Jr. as Executive Vice President for Strategy and Acquisitions. Mr. Blanchard’s responsibilities will include identifying and consummating acquisitions and other strategic ventures for Intelligent Life. Intelligent Life is committed to a growth strategy, as outlined in its recent registration statement, which includes acquisitions. The Company has expressed its desire to expand original editorial content and research on consumer financial subjects including banking and credit, insurance, taxes, investing and planning.

“Retaining an executive with Monty Blanchard’s qualifications reinforces the commitment our company has made to expansion through acquisition. We have worked together for a number of years, and I am sure he will work to find and close the right deals quickly and effectively for our shareholders,” said William P. Anderson, President and CEO of Intelligent Life. “We want to move quickly; having Monty on board will help us do that.”

“I am pleased to join the outstanding management team Bill has assembled, and I am excited at the prospect of helping to build a great internet-based financial services company,” Mr. Blanchard said.

Mr. Blanchard is a former Managing Director and co-head of the Financial Institutions Mergers & Acquisitions Group at Merrill Lynch & Co., Inc. While at Merrill Lynch, Mr. Blanchard served as strategic M&A Advisor for a number of the firm’s large financial service clients in the insurance, asset management, credit card, consumer and commercial financial industries. In addition, he acted as a senior internal M&A Advisor and negotiator for a number of Merrill Lynch’s own acquisitions, including Smith New Court (U.K.), Macintosh Securities (Australia), Mercury Asset Management (U.K.), Midland Walwyn (Canada) and the takeover of selected former branches of Yamaichi Securities in Japan. Mr. Blanchard has worked as an investment banker since 1979 and was employed at Merrill Lynch from 1966 to 1999. He has a BA from Harvard College and an MBA from the University of North Carolina at Chapel Hill.

About Intelligent Life Corp.

Intelligent Life Corporation is a new media publisher. It creates original editorial content relating to personal finance and publishes this content through its Internet sites Bankrate.com, theWhiz.com, Consejero.com and CPNet.com. Through its Bankrate.com site, the Company provides consumers with independent, objective research on banking and credit products including mortgages, home equity loans and credit cards. In addition, this information is published on co-branded Internet sites through more than 60 distribution arrangements, including many of the leading online publishers of financial information. Its original research is also distributed in print through major national and local publications. In the fourth quarter of 1998, Bankrate.com had more than 1.3 million unique visitors, according to Media Metrix.

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