To enable payment in the new world of e-services, Hewlett-Packard Company’s VeriFone division Tuesday is delivering the first in a series of software applications in its new Integrated Payment Solution technology framework.

Using Internet technologies, this framework and its applications give retailers and financial institutions a common, modular platform that enables the processing of electronic payment from the physical point of sale or the Internet, bridging traditional payments with Internet payments.

Designed to take advantage of new technologies, the IPS framework provides the flexibility of creating any number of payment solutions including secure Internet payment, credit and debit authorization, and settlement and reconciliation. IPS core technology acts as a conduit to enable the seamless exchange of information between payment applications and ensures that new payment applications can be easily plugged into the existing framework.

With the emergence of new forms of payment and value transfer, such as electronic gift cards, electronic benefits transfer, loyalty, and Internet commerce, the ease of adding new applications is critical. Nobel Electronic Transfer, based in Moline, Ill., is a provider of authorization and settlement services to both card issuing and acquiring banks throughout the United States.

Nobel is deploying IPS applications to process authorization requests for credit and debit payment transactions, and is using the IPS technology framework to quickly develop new transaction processing services.

“IPS gives us the best of both worlds,” said Todd Davis, president of Nobel Electronic Transfer, IPS customer. “We needed a solution that is designed to meet Nobel’s customers’ needs today, yet a system flexible for the needs of tomorrow. IPS helps us compete today and far into the next century.”

“The changing face of payment at the point of sale and the explosion of Internet commerce have presented new challenges and opportunities for retailers and payment processors,” explained Betty Kolanczyk, director, VeriFone Retail/Financial Processing Markets.

“To succeed in this age of rapidly changing technology, organizations need to develop and implement new payment services quickly and economically, and stay ahead of the technology curve — without abandoning substantial investments in current computing equipment. IPS applications are designed to enable rapid change for a changing marketplace.”

Retailers can use IPS to centralize payment processing, or add new payment services. IPS can also facilitate one-to-one marketing by capturing data at the point of sale to merge with other business-wide databases. The IPS framework and applications function seamlessly together to provide intelligent acquisition, formatting and routing of transaction data to bankcard and other electronic funds transfer (EFT) networks.

The flexible architecture also allows retailers and payment processors to keep transaction costs down and simplify integration with a user’s existing computer infrastructure.

The IPS framework utilizes the power of new Internet protocols and technologies such as Extensible Markup Language (XML). VeriFone created a Payment Transaction Markup Language (PTML), which allows businesses the flexibility to quickly and affordably test-market new customer programs such as loyalty programs or multi-sequence card transactions.

Also, a Web-browser-based user interface using HTML and Java(TM) gives users a familiar interface for administration and configuration of IPS applications.

IPS utilizes an open HP-UX computing platform and flexible software architecture based on a set of core technologies. Applications interact easily, working together with third party-developed applications. This consistent, integrated framework allows new market-driven payment applications to be developed and deployed quickly and cost-effectively.

The software is modular and can be easily changed so that as business processes change, the IPS framework allows customers to update and modify functions. IPS allows businesses to centralize IT functions, and obtain control and management of key customer data.

About VeriFone

VeriFone ([www.verifone.com][1]) is a division of Hewlett-Packard Company and the leading global provider of secure electronic payment solutions for financial institutions, merchants and consumers. VeriFone has shipped more than seven million payment systems used in over 100 countries.

About HP

Hewlett-Packard Company is a leading global provider of computing, Internet and intranet solutions, services, communications products and measurement solutions, all of which are recognized for excellence in quality and support. HP has 122,800 employees and had revenue of $47.1 billion in its 1998 fiscal year.

Information about HP, its products and the company’s Year 2000 program can be found on the World Wide Web at .

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


IFS Drives OFX

Innovision Corporation, the technology leader in open financial standards based on extensible markup language (XML), Tuesday announced Mellon Bank Corporation will use Innovision Financial Server to drive its new open financial exchange (OFX) retail banking services.

“Adding OFX capabilities to our MellonDirect24 PC Banking service raises the level of online account management services we offer our customers, ” said James Morrill, senior vice president and head of direct banking at Mellon Bank. “This is an important step toward enhancing our commitment to PC-based personal financial management (PFM) products, making them more cost effective, convenient and easy for our customers.”

Mellon customers will have the ability to access their bank and bill payment information using Quicken and Microsoft Money PFM applications that connect directly with Mellon’s internal systems via Innovision Financial Server. Acting as a messaging interchange engine, Innovision Financial Server sends, receives and manages OFX-formatted data.

Innovision Financial Server is a component of Innovision XP (XML Protocol) Series. The product is the financial industry’s most widely deployed OFX server.

About OFX

Since its 1997 introduction, OFX has been the industry-accepted communication and application standard for financial transactions and services. The specification supports a wide range of financial activities including consumer and small business banking; consumer and small business bill presentment and payment; and investments, including stocks, bonds and mutual funds.

About Mellon Bank Corporation

A broad-based financial services company with a bank at its core, Mellon Bank Corporation ranks among the nation’s largest financial services companies in market capitalization. With approximately $2.3 trillion in assets under management, administration or custody, including approximately $390 billion under management, Mellon provides a full range of banking, investment and trust products and services to individuals and small, midsize and large businesses and institutions. Its mutual fund companies, The Dreyfus Corporation and Founders Asset Management, place Mellon as the leading bank manager of mutual funds. Headquartered in Pittsburgh, Mellon’s principal subsidiary is Mellon Bank, N.A.

About Innovision

Innovision Corporation is one of the most trusted suppliers of complementing server, client and toolkit components that leverage XML Protocols to enable easier communication over today’s open networks. The company is recognized as a pioneer in the development and application of leading OFX and FIXML messaging interchange engines and related technologies that are the backbone of online services at leading financial services companies. This practical experience has resulted in leadership positions within prominent financial industry standards groups such as the OFX Technical Committee and the FIX Protocol Organization’s XML Standards Working Group.


Phonecard POS

Utilization of a credit card terminal to activate prepaid phonecards became a reality yesterday. Mellon Network Services and US South Communications signed agreements Monday that will enable retailers nationwide to activate prepaid phonecards at the point of sale using their existing credit card terminals. MNS will maintain an online link with US South that allows the cards to be activated immediately. Retailers simply swipe a phonecard and enter the desired value into their existing credit card terminal. Activation services will be offered to US South Communications retail distributors, as well as prepaid telephone company clients. The service includes an automated billing process, reporting via Web access and automated inventory replenishment.


Diners Phonecard

OR-based Carrier Services, Inc and Diners Club International have teamed up to offer the ‘Diners Club Global Phone Card’ . A major direct mail campaign to Diners cardholders is now underway. The direct mail package contains a $50 prepaid phone card that offers Diners Club cardholders 200 minutes of AT&T long distance with a bonus of 1000 ‘Club Rewards’ points with every activation or recharge. Cardholders instantly activate their phonecard by calling an 800 number. CSI operates under the brand names of 1-800-PRE-PAID and 1-888-PRE-PAID.


VISA E-Purchasing Card

VISA announced Monday a joint solution with Germany-based SAP AG to combine the ‘VISA Purchasing Card’ with SAP’s Web-enabled electronic commerce solution. The ‘SAP Business to Business Procurement’ will offer SAP and VISA customers a comprehensive view of the entire procurement process by integrating purchasing data across the corporation. The interface between VISA and SAP BBP also automates the balancing and distribution of purchasing card statements and eliminates time-intensive reconciliation. VISA also announced yesterday it will offer an ‘Implementation Guide’ to show companies how they can integrate the ‘VISA Purchasing Card’ with their “Enterprise Resource Planning” systems.


Zebeck Heads MC US Board

Metris Companies Inc., one of the nation’s fastest-growing direct marketing companies, announced that company President and CEO Ronald N. Zebeck has been elected chairman of MasterCard International’s U.S. Board of Directors.

Zebeck is a recognized leader in the credit card and financial services industries. He has also been reelected as a member of MasterCard’s Global Board of Directors.

“I am honored to be elected to this role and during the next year will work to ensure MasterCard’s leadership in today’s rapidly changing environment and strengthen what is already an exceptional management team and powerful brand,” said Zebeck. “I’m also grateful for the recognition this achievement provides for everyone at Metris. I could not have accomplished all that I have without the talents and dedication of everyone at Metris.”

“Ron has been a strong supporter of MasterCard and involved in our corporate governance over the past several years,” said Alan Heuer, senior executive vice president of MasterCard. “We are delighted to have the benefit of his expertise and leadership, and look forward to working with him.”

Zebeck will help direct the activities of the U.S. Board for the next year. Over the past decade, Zebeck has held many key leadership positions in MasterCard’s corporate governance.

Over the last five years, Zebeck has led Metris to become the nation’s 13th largest issuer of credit cards; under his leadership, Metris has also become one of the nation’s top 5 providers of fee-based services.

MasterCard International has the most comprehensive portfolio of payment brands in the world. With 23,000 member financial institutions, serving consumers in 220 countries and territories, MasterCard is the industry leader in quality and innovation. More than 700 million MasterCard(R), Maestro(R), Cirrus(R) and Mondex(TM) cards are accepted at more than 16.2 million locations worldwide. In 1998, gross dollar volume exceeded $650 billion. MasterCard can be reached through its World Wide Web site at [www.mastercard.com][1].

Metris Companies Inc. is an information-based direct marketer of consumer credit products and fee-based services primarily to moderate income consumers. Based in St. Louis Park, Minnesota, Metris also has operations in Tulsa, Oklahoma; Baltimore, Maryland; Champaign, Illinois, Phoenix, Arizona and Jacksonville, Florida and currently employs over 2,000 people.

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



AT&T and Simon Brand Ventures have established an exclusive program that enables AT&T residential customers to redeem their monthly long distance service, calling card and local toll charges in exchange for ‘MALLPeRKS’ shopper loyalty points. ‘MALLPeRKS’, with two million members, is the only national mall-based shopper loyalty program. Anyone who switches to AT&T at a Simon mall will receive 60 free minutes of domestic direct-dialed long distance calling from home and 150 ‘MALLPeRKS’ points. Simon’s malls attract 100 million shoppers annually.


800 Travel Prefers MC

MasterCard International Incorporated Monday announced it has signed an agreement with 800 Travel Systems, Inc. to become the preferred method of payment for the company’s popular telephone travel services “800-LOW-AIR-FARE” and “800-FLY-4-LESS”, as well as its online reservation system www.lowairfare.com. Financial terms of the agreement were not disclosed.

As the preferred payment brand, MasterCard, in conjunction with 800 Travel Systems, Inc., will develop an exclusive offer for MasterCard cardholders who book their travel plans through 800 Travel Systems’ telephone and Internet services. Additionally, future plans call for a consumer sweepstakes involving MasterCard cardholders who visit 800 Travel Systems’ website.

“Our alliance with 800 Travel Systems further strengthens our position in the travel and entertainment category, by delivering exclusive travel values to our cardholders,” said, Fred Gore, Senior Vice President, U.S. Acceptance, MasterCard International. “By providing cardholders with value, savings and convenience, we are also enabling our members to capture more of this lucrative segment.”

“This promotional partnership will provide special opportunities for MasterCard cardholders,” said Mark Mastrini, President, 800 Travel Systems, Inc. “Through our toll-free numbers as well as our state of the art interactive website and now our relationship with MasterCard, our clients will continue to experience the benefits of our exceptional customer service as well as our discounted rates on a full range of travel services.”

Today, only a small percentage of the world’s T&E spending is settled by card payment. More than $2 trillion still is paid with cash or checks. MasterCard’s T&E growth strategy includes a number of components that will further the association’s goal of displacing cash and checks. From pioneering work with smart cards to promoting travel on the Internet, all of MasterCard’s T&E initiatives are geared toward showing consumers the benefits of traveling with payment cards.

One of the greatest benefits MasterCard cardholders enjoy while traveling is unsurpassed acceptance at more than 16.2 million merchant, ATM and cash access locations. Consumers also can feel secure knowing that MasterCard’s Global Service program provides cardholders with travel assistance anytime, anywhere and in any language. Services range from card replacement to legal and medical assistance, 24 hours per day, seven days a week.

About MasterCard International

MasterCard International has the most comprehensive portfolio of payment brands in the world. With 23,000 member financial institutions, serving consumers in 220 countries and territories, MasterCard is the industry leader in quality and innovation. Nearly 700 million MasterCard*, Maestro*, Cirrus* and Mondex* cards are in circulation today. With more than 16.2 million locations, no card is accepted in more places and by more merchants than the MasterCard Card. In 1998, gross dollar volume exceeded $650 billion. MasterCard can be reached through its World Wide Web site at .

About 800 Travel Systems 800 Travel Systems, one of the 100 largest independent travel agencies in the United States, provides low-priced airline tickets for domestic and international travel through its easy to remember telephone numbers “800-LOW-AIR-FARE” (800-569-2473) and “800-FLY-4-LESS” (800-359-4537) in addition to its online reservation system located at . 800 Travel Systems specializes in providing the lowest-priced airfare for both domestic and international flights, complete vacation and cruise packages, competitive rates on rental cars and discount hotel reservations via the telephone and internet.


MBNA Completes PNC Deal

BNA America Bank, N.A. announced today that it has completed the previously announced acquisition of the credit card business of PNC Bank Corp., including PNC National Bank.

The acquisition, announced in December 1998, will be included in financial statements for the first quarter of 1999. As with all acquisitions, the $2.7 billion credit card portfolio will be managed from existing MBNA locations.

MBNA Corporation, a bank holding company and parent of MBNA America Bank, N.A., a national bank, had $59.6 billion in managed loans at year-end 1998. MBNA, the largest independent credit card lender in the world, also provides retail deposit, consumer loan, and insurance products.


Proton Update

Proton World announced it has acquired a Java applet for the Proton smart card that supports the ‘Java Card API’. The applet enables smart cards to accommodate several different applications. Proton investor Banksys SA launched a Proton card program for Belgian’s national health service. The Proton Belgian EBT program processed 3.3 million transactions last month. Proton World has also become a partner in the launch of ‘Smart Axis’, a new multi-currency e-commerce payment system.


Denver Goes DGLine

Schlumberger Smart Cards & Terminals today announced that Ampco System, one of the largest private operators in the parking industry, has completed installation of a Schlumberger multi-space parking system in Denver, Colorado. The state-of-the-art DGLine parking systems will control more than 300 off-street spaces.

“We chose the Schlumberger systems because they have proven to be a convenient, secure method of revenue collection from pay parking programs like those in Park City, Utah, and Aspen, Colorado,” stated Jeff Nethery, senior branch manager, Ampco System. “The best advantages of the Schlumberger equipment are the revenue and audit controls. Every dollar, every coin and every credit card transaction is accounted for; and every customer receives a receipt. No other self-pay system offers this type of internal and external revenue control.”

The Schlumberger system is installed in an Ampco System-operated parking lot located at California, 15th, 14th and Welton Streets in downtown Denver, where they serve motorists visiting the nearby Convention Center and retail stores. Noting that Ampco System was awarded the project based on their plan to provide a secure method of collecting and accounting for revenue, Nethery said, “With their rugged, vandal-proof design and state-of-the-art technology, the Schlumberger terminals provide an ideal solution for meeting the demanding specifications of today’s security-conscious parking industry.”

Multi-Space System Provides Significant Benefits

The Schlumberger DGLine terminals installed in the Ampco System project in Denver are solar powered pay & display terminals. The motorist inserts payment, and the terminal issues a ticket that confirms the amount of time purchased. The motorist then returns to the vehicle and places the ticket in full sight on its dashboard. The displayed ticket provides proof of payment that can quickly be checked by parking enforcement officials.

The solar power capabilities offer the added advantage of providing all the reliability of multi-space equipment without the electrical hook-up requirements. Providing reliable operation even when sunlight is minimal, the solar powered units offer lower initial installation costs and operating expenses, and are easy to maintain.

The DGLine system installed at the Denver site accept coins, credit cards, private debit cards and dollar bills. The terminals feature high-security ball locks to deter theft, receipts for accurate collection of parking fees, and graphic capabilities for displaying messages.

World Leadership in Smart Parking

Schlumberger is a leading supplier of on-street and off-street parking systems. Globally, its technology controls more than 2 million parking spaces in over 2,000 towns and cities in 30 countries, including over 65,000 spaces in North America, including areas as diverse as New York City; Park City, Utah; Aspen, Colorado; Hollywood, Florida; Toronto, Canada and the San Francisco Bay Area. Schlumberger pay & display terminals accept multiple payment methods, including smart cards — credit card sized plastic cards with embedded computer chips that calculate monetary value stored on the card. Smart cards increase compliance with parking fees since motorists no longer need to carry correct change, allow municipalities to implement zoned parking to offer preferential rates for residents or off-peak usage, and enable retailers to offer free parking as a loyalty incentive to customers.

About Ampco System

Ampco System is one of the nation’s premier operators of parking facilities,presently serving clients in 26 states, and over 140 cities. Ampco System is a leader in the use and application of technology within the parking industry.

About Schlumberger

Schlumberger Smart Cards & Terminals is the leading provider of smart card-based solutions worldwide, shaping the new world of smart solutions by providing leading-edge technology to enable innovative smart card and terminal applications that enhance the security and convenience of businesses and communities of all kinds. Schlumberger smart card solutions encompass a wide range of cards, terminals, development tools and support in open configurations for operators, developers, integrators and distributors worldwide. As part of the Smart Village(r) vision, the Schlumberger offer includes the milestone Cyberflex(tm) card, the industry’s first Java(tm)-based smart card. The Smart Cards & Terminals group operates 45 facilities in 34 countries across the globe. Additional information is available on the World Wide Web at .

Schlumberger Test & Transactions is the parent division for Schlumberger Smart Cards & Terminals and Schlumberger Automated Test Equipment, leveraging the combined strengths of the two business units to provide leading-edge, cost-effective solutions to customers.

Schlumberger Test & Transactions is a business unit of Schlumberger Limited, a $11.8 billion global technology service company providing oilfield services, natural resources management, transactions-based technology and associated systems, and semiconductor test equipment.

Cyberflex is a trademark and Smart Village is a registered trademark of Schlumberger. Java is a trademark of Sun Microelectronics.


AmEx E-Purchasing Card

Not to be upstaged, American Express Corporate Services and CA-based Commerce One also announced yesterday they have joined together to deliver an end-to-end purchasing solution that links card-based purchasing solutions with e-commerce solutions. Commerce One operates the MarketSite.net Website, a business-to-business marketplace portal. Both companies said the combined solution allows organizations to integrate their entire purchasing process from sourcing and ordering through payment, data integration and reconciliation, via the internet/intranet, while maintaining strict controls on the ‘AmEx Purchasing Card’ program. Separately AmEx announced an alliance with CA-based Ariba for a business-to-business e-commerce solution that automates the purchasing process from requisition to payment.