India ATM Net

MasterCard International announced this morning that Citibank, Standard Chartered Bank and HDFC Bank have joined MasterCard/Cirrus network in India. The move makes the MasterCard network the largest in India serving more than one million MasterCard and Maestro cardholders. It also represents the first time the three banks have interconnected. The network is comprised of 146 ATMs in 16 cities.

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NPC First Quarter

National Processing, Inc.reported a net loss of $68 million for the three months ended Mar. 31. Included in first quarter results were pre-tax restructuring charges of $2 million for the closure and relocation of certain processing facilities and an estimated impairment loss of $74 million to provide for the sale, liquidation or disposal of the Freight Payables, Payables Outsourcing, Remittance, and Merchant Check Services business lines. However, discounting the charges, net income increased 16% for the first quarter and was $5,674,000 compared to $4,908,000 for the corresponding period of 1998. Revenues were $124,463,000, up 10% from $113,649,000 in 1998’s first quarter.

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Mag-Tek & Horizon

Mag-Tek, an international leading provider of card and check technology solutions, has signed a reseller agreement with The Horizon Group, a St. Louis-based distributor of point-of-sale terminals.

According to Mag-Tek, The Horizon Group will distribute the Mini MICR and Mini MICR with Magstripe Reader, designed as low-cost solutions for reading and verifying checks and credit cards. The check verification feature alone provides fast return-of-investment (ROI) by eliminating bad checks.

The Horizon Group, a Hypercom Co., is one of the largest terminal distributors in the United States. “We are very pleased with our relationship with Mag-Tek,” said Scott Rutledge, executive vice-president of The Horizon Group.

“The quality and reliability Mag-Tek provides in their products, combined with our strong service and deployment, create a very favorable opportunity for our customers.”

Mag-Tek Inc. ([www.magtek.com][1]) manufacturers an ever-expanding line of MICR check readers, magnetic stripe and smart card readers, encoders and motorized readers for retailers, financial institutions and OEMs.

Since 1972 its headquarters have been in Carson, with sales offices throughout the United States, Europe and Asia with international distribution in more than 40 countries. Mag-Tek, known worldwide as an industry leader in technology and innovation, pioneered magnetic stripe readers more than 27 years ago.

Mag-Tek technology is used in millions of point-of-sale (POS) and financial transactions utilizing debit cards, credit cards, grocery store checkouts, automated gas pumps, pay phones and airplane seat phones throughout the world. For more information on any Mag-Tek products call 888/624-8350 or visit the company’s Web site at [www.magtek.com][2].

[1]: http://www.magtek.com
[2]: http://www.magtek.com

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ICSA TruSecure

Less than a year after leading the move to independent verification of transactional web site security, First Data Direct Banking is making the industry-leading ICSA TruSecure? web site certification available to its client banks.

“While the exponential growth of e-commerce demonstrates that Internet users are more comfortable with online financial transactions than they were as recently as a year ago, security concerns are still among the most pervasive impediments to the growth of Internet banking,” said Randy Kahn, president of First Data Direct Banking. “Enabling our financial institutions to offer their customers a `security blanket’ with their practices verified by a respected, independent agency, is one more way we’re helping them to increase consumer acceptance and usage of Internet banking services.”

Because the core systems where financial transactions take place at First Data Direct Banking’s data center have already been certified and are continuously monitored to ensure compliance with ICSA’s rigorous security standards, the time, effort and cost required to extend that certification one step further, to a NetPrecision financial institution’s web site, are reduced significantly. For a fee that is just a fraction of the cost of a complete ICSA TruSecure security service, NetPrecision clients will be able to certify their own sites and display the ICSA TruSecure logo, Kahn said.

“While online banking offerings continue to grow, so do security concerns. First Data Direct Banking has demonstrated a true commitment to security as well as privacy for its clients. Building on its TruSecure? Web certification, First Data Direct Banking has developed a program to extend independent validation of security requirements based on ICSA’s stringent standards to its clients,” said Peter Tippett, founder, chairman and chief technologist at ICSA. “This program contributes to a company’s ability to ease customer security issues and help its clients attain TruSecure certification. ICSA is pleased that First Data Direct Banking recognizes that security requires continuous effort.”

“Extending ICSA certification service to NetPrecision clients is just one more leading-edge service that demonstrates First Data Direct Banking is serious about partnering with its clients to provide the most complete Internet Banking solutions available today,” Kahn said. “By taking advantage of ICSA TruSecure verification and our free Privacy Policy Program, financial institutions can demonstrate a commitment to protecting the security and integrity of their customers’ information that is unmatched anywhere else in the industry.”

First Data Direct Banking pioneered use of the ICSA certification standard in the financial services industry in May of 1998, when it became the first industry vendor to obtain Web Host certification. A year later, financial services firms represent about 50 percent of ICSA’s new business development.

About First Data Direct Banking

First Data Direct Banking builds and hosts customized Internet financial service solutions for banks, credit unions, savings and loans, non-bank credit card issuers and brokerage houses of all sizes.

Using the NetSpeed(superscript: SM) process as a template, financial institutions can have fully functional, branded web sites up and running in just 30 business days with the NetPrecision system. First Data Direct Banking ties leading-edge online financial services partnerships and template, custom-built or existing web sites into transaction processing provided by electronic payments processing leader First Data Corp.

First Data Direct Banking can be found on the World Wide Web at [www.netprecision.com][1].

Atlanta-based First Data Corporation (NYSE: FDC) is a leader in payment systems, electronic commerce and information management products and services. First Data and its principal operating units process the information that allows millions of consumers to pay for goods and services by credit, debit or smart card at the point of sale or over the Internet; by check or wire money. For further information about First Data, please visit the Company on the Internet at [www.firstdatacorp.com][2]. About ICSA, Inc.

ICSA, Inc., a Gartner Group affiliate, is the world’s source of objective, independent, Internet security assurance services. Through ICSA’s TruSecure suite of services, businesses are managing their information security risks and expanding their usage of Internet technology. For the past 10 years, ICSA has collected data on security tools, best practices, and the industry at-large to become the central authority on information security. ICSA has used its leadership and expertise to support the growth of Internet business and commerce worldwide. Information Security is the official publication of ICSA and is dedicated to the needs of all security-conscious professionals. ICSA is headquartered in Reston, Virginia and has additional offices in North and South America, Europe and Asia. Contact ICSA at (888) 396-8348.

[1]: http://www.netprecision.com
[2]: http://www.firstdatacorp.com

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AT&T Cards for PNC

PNC Bank announced Thursday the availability of ‘AT&T PrePaid Cards’ through its network of ATMs. The cards will initially be available from ten PNC Bank branches in the Pittsburgh area. As the program rolls out, however, it is expected the cards will be available through ATMs at many PNC Bank branches in the Pittsburgh area as well as at select malls and convenience stores. The ‘AT&T PrePaid Card’ is available at PNC Bank locations as a 60-minute card and costs $20. The cost is debited from the purchaser’s bank account, and the transaction is not subject to any surcharge from PNC Bank.

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Cardservice WebApp

Cardservice International Thursday announced the release of its next-generation online application called Cardservice WebApp, the industry’s first online application developed for CSPs that instantly approves and activates merchant accounts.

Cardservice WebApp allows Cardservice International partner ISPs and hosting providers the ability to offer e-merchants and businesses real-time account submission and approval, giving merchants the flexibility to apply for and accept credit cards in as little as one hour.

Cardservice International released the Internet’s first online application in January of 1998, which was quickly implemented by dozens of leading ISPs and CSPs and has been instrumental in Cardservice achieving a portfolio of more than 30,000 Internet merchants over the last two years.

According to Chuck Burtzloff, president and chief executive officer of Cardservice International: “We have built our business on a foundation of unparalleled service and leading-edge technology. Cardservice WebApp is the next evolution in providing our partners and merchants with solutions that give them a decisive advantage in the marketplace.”

Cardservice WebApp is designed to integrate into a CSP’s e-commerce solution and can be readily branded by a partner. If a partner is also utilizing the LinkPoint Secure Payment Gateway (LSPG) for real-time authorization and processing, then Cardservice International can provide an added level of service by simultaneously approving and activating the merchant on the LSPG.

The basic philosophy is that most merchants that are embracing the Internet for commerce are small- to mid-sized. Often small merchants initially run their stores part-time. Offering rapid deployment of a merchant I.D. and a means of accepting online payments can greatly enhance their ability to compete and succeed.

Barry Friedman, director of product management at EarthLink, said of the Cardservice WebApp, “Because we’ve targeted the small-business market, it’s imperative that we provide our TotalCommerce(tm) merchants with the tools to design their site, get their merchant account approved and start taking orders quickly.

“Cardservice WebApp is a critical component of executing on that strategy, because it will allow merchants to process credit cards on their e-commerce sites in a fraction of the time.”

About Cardservice International

Cardservice International is a technology-driven, customer-focused company that provides both merchant account services and secure transport of financial transactions for businesses in both the physical and virtual worlds.

Cardservice International has headquarters in Agoura Hills, with 200 field offices throughout the United States. For additional information, visit .

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Greenland Deal

Greenland Corp. announced the signing this week of a ‘Master Distribution Agreement’ with SmartCash ATM, an affiliate of ATM International, Inc., and the receipt of a 1999 purchase order for $9.24 million. The agreement makes SmartCash ATM, LTD., the exclusive distributor for the ‘Check Central Automated Check Cashing ATM’ in the USA and Canada. Under terms of the contract SmartCash ATM is required to order 1,200 Check Cashing ATMs in the year 2000 and 2,000 Check Cashing ATMs in the year 2001 to maintain their exclusivity. SmartCash ATM is a Dallas-based national distributor of ATM machines and a nationally registered ISO for many ATM networks including Plus, Cirrus, American Express, Star and Honor. The firm has installed 2,100 machines in 41 states.

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E.ID Multicard

San Jose-based Secure Computing Corporation unveiled the ‘e.iD’ multicard Wednesday. The ‘e.iD multicard’ is the first and only mobile identity device to bring together the technologies for user identification, authentication and authorization, namely. ‘Public Key Infrastructure’ based digital certificates, encrypted secret key based dynamic passwords, and physical identity badging. The ‘e.ID’ multi card, which will begin shipping in the 2nd quarter can also be customized to target business applications such as authorization of financial transactions and system management access.

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CAP ONE 1Q/99

Capital One Financial Corp. reported this morning its chargeoff rate has declined for sixth consecutive quarters and is now at the lowest in three years.Managed net charge-offs for first quarter 1999 declined to 3.93% compared to 4.51% for the fourth quarter and 6.04% for the first quarter 1998. The managed delinquency rate (30+ days) also decreased, slipping to 4.56% as of Mar. 31 compared with 4.70% as of Dec. 31. During the first quarter of 1999, Cap One added 1.3 million net new accounts, bringing total accounts to 18.0 million. The managed net interest margin increased to a record 10.59% in the first quarter of 1999 versus 9.48% in the fourth quarter of 1998 and 10.40% in the same period of 1998. For the quarter, Capital One’s managed consumer loan balances increased by $49 million to $17.4 billion. For more details on Cap One’s 1Q/99 please visit CardData (www.carddata.com). Cap One also announced this morning plans to hire an additional 800 associates in the Dallas/Fort Worth area.

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NPC Sells Unit

National Processing Company signed a definitive agreement Wednesday with International Payment Services, Inc. for the sale of NPC Check Services, Inc., a wholly owned subsidiary of NPC and part of NPC’s Merchant Services Division. The transaction is valued at approximately $38 million and is expected to close this quarter. NPC says the sale will allow NPC to focus its efforts on selected business lines, including merchant credit card processing, imaging and travel-related business lines. IPS is a newly formed company by Stephen Kane and GTCR Fund VI, L.P.

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Zinn Joins LifeMinders

James M. Zinn has been appointed vice president, finance & administration and chief financial officer of LifeMinders.com, Inc., the leading provider of free personalized, e-mail reminders, according to Stephen R. Chapin, Jr., the company’s president and CEO.

Mr. Zinn will be responsible for effectively positioning LifeMinders.com with its members, associates and investors. He will also lead the company’s financial and infrastructure growth.

Until recently, Mr. Zinn served as CFO of Capital One Financial Corporation since 1994. In this position, he was a key member of the executive team that transformed the company from a bank division to a financial services company that was one of the largest providers of MasterCard and Visa credit cards in the world, with a market capitalization of over $8 billion at the time of his departure. Prior to that Mr. Zinn was a partner with Ernst & Young, LLP. He brings 24 years of financial management and accounting experience to LifeMinders.com.

Mr. Zinn is a 1975 graduate of The Ohio State University, where he received a B.S. degree in Business Administration. He is a member of several professional organizations including the American Institute of Certified Public Accountants.

About LifeMinders.com, Inc.

Founded in 1996, LifeMinders.com, Inc. delivers 4,000,000 personalized e-mail messages to approximately 1.3 million member profiles every month as of March 31, 1999. These e-mail “minders” provide users with pre-requested information for different aspects of their lives such as home improvement, entertainment, car care, parenting, personal finance management, important dates and pet care. The LifeMinders free, opt-in service enables advertisers to achieve effective and measurable results. Key advertisers include Blockbuster, a unit of Viacom Inc., The Home Depot, Kimberly-Clark, First USA, a subsidiary of Bank One Corp., and Jiffy Lube, a subsidiary of the Pennzoil Company.

LifeMinders.com and the LifeMinders.com logo are trademarks of LifeMinders.com, Inc.

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Winners Update

Winners Internet Network, Inc. announced the placement of additional key people to facilitate a major direction change.

Mr. Skinner, CEO, stated that the company has successfully completed the first operational 90 days with the full implementation of its processing technology. This was the beginning for its venture into the Internet for long range goals and objectives.

The company undertook a massive effort to be one of the first direct processors of Internet Transactions in world commerce in Europe by providing the catalyst for transactions in all major world currencies.

Mr. Skinner stated that the system has successfully uncovered and tracked users of stolen, lost and false credit cards in different areas of the world in cooperation with Visa and other Card Companies. Processing of the financial transaction is the key according to WINR accomplishing its objectives. The WINR System will protect its vendors from being victimized with false or stolen cards. WINR feels that its initial phases have adequately demonstrated the safeguards it initially represented.

WINR is now announcing the following additions to its capable staff in the USA and Europe. WINR has hired a System Administrator formerly with the USAF with a top-secret clearance who had direct responsibility for satellite communication and mainframe computer systems. He is an expert in systems and control for networking environments, is knowledgeable in four languages and is relocating to Europe this month to become the Systems Director and to implement new changes to facilitate the company’s new goals and objectives.

In addition, WINR has hired a Computer Design and Graphics Manager for Europe who has an extensive background in marketing and design to coordinate the company’s new direction. This staff member will also relocate to the facilities in Europe.

Dr. Reinhard Proksch, a Fulbright Scholar with doctorates in both Information Systems and Law, has also agreed to become an advisor for the Corporate Board of Directors. In addition to being the Managing Director of the CyberLink Trust, Dr. Proksch is a founder of P&A Corporate Services and Mutual Fund Administrators in Europe and has offices in Vienna, London, Zurich and Liechtenstein. Dr. Proksch is an Austrian native who is admitted to practice law in New York, Switzerland and Austria. He is also a registered and licensed Asset Trust Manager. He is supplemented by coordinating the appointment of the CyberLink Marketing Director for International Sales, Ms. Kimberly Stein, to the Board of Directors of Winners and Secretary of the Corporation.

Ms. Stein stated that it is her goal to bring the Shopping Downtown site of CMS into reality with emphasis on the processing coordination and the on-line shopping. She is very aggressive in establishing sites for women. Ms. Stein brings her expertise and has obtained extensive command of the WINR European operations including systems, customer service and processing to enhance the WINR shopping network.

Mr. Skinner said this reorganization of the Board is to provide the expanded vision of the company in the global market. Former Board Members Kristine S. Coalson and Sandra K. Varney, who also served as Vice President/Secretary, have agreed to resign in order to accommodate the new Board. Mr. Skinner thanked them for their dedicated and faithful service. They are vital and well seasoned corporate employees who will be managing the home office administration and customer relations.

Mr. Skinner stated that WINR is targeting on-line trading including all forms of e-commerce. WINR feels that the industry has categorized the company as a Casino. WINR is not a Casino and its emphasis is going to change with the staff the company has put into place. WINR is now moving to become an on-line site provider. Dr. Proksch is going to guide WINR into on-line trading with the financial and trust expertise he possesses and WINR will be shifting to different categories for Entertainment, Shopping and On-Line Trading as well as other areas. Mr. Skinner said, “We feel that in-house processing, which allows customers to feel safe with their credit cards on the Internet will help develop our corporate image. The ability to accept and transfer deposits in most world currencies and the collection and payment procedures offered by the CMS Western Union Quick Cash is a major step towards fulfilling the aforementioned corporate goals.

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