Magic Line Names CTO

John G. Bascom, president and chief executive officer of Magic Line, Inc., the Midwest’s largest electronic funds transfer (EFT) network, names Dearborn, MI-resident William McGonigal to the new position of chief technology officer. As a member of the executive management team, he will be responsible for all computer systems and related operational delivery, including the ML Link platform owned and operated by Magic Line.

Magic Line has recently developed advanced new technology based on ACI BASE24 software, Tandem Himalaya K2000 hardware and Tandem CS150 client-server technology. Dave Lind, who led the new technology development, will be entering his long-planned retirement from Magic line on July 1, 1998. McGonigal will be assuming the technical and operations responsibilities previously handled by Lind.

Prior to joining Magic Line, McGonigal was director of information systems and electronic banking at Banc One Service Corporation, where he managed the Tandem BASE24 Platform, as well as retail software applications design, development, integration and support for ATM, POS, credit card processing and online support monitoring. Before Banc One, he was head of customer systems at Barnett Technologies, responsible for retail and commercial distributed processing, including all ATM-related activities. Prior to that, McGonigal was with Tandem Corporation.

“We are fortunate to have an executive of Bill’s caliber joining Magic Line. The depth of his more than 20 years of management experience includes 13 years of EFT systems and technology management and service on the board of directors of ACI/BASE24 Users group since 1991. He is a tremendous enhancement to our management team,” said Bascom. McGonigal graduated from Eastern Michigan University with a Bachelor’s degree in physics and math. He is a member of the U.S. Coast Guard Auxiliary, where he served as division chief on the national staff of the public affairs department as well as coordinated disaster recovery procedures for seven Midwestern states.

As one of the top regional EFT networks linked throughout the United States and globally, Magic Line supports 14.9 million cardholders with access to over 165,000 ATM, POS and remote banking terminals. The company offers: full-service ATM placement and management; ATM terminal driving with customized options; cardbase management and authorization services; online POS debit services with ML Pay, Maestro and Interlink; offline POS debit services with MasterMoney and Visa Check Card; remote banking/bill payment services; the Magic Line Mobile ATM; Internet Web Site development; marketing services; and the Magic Line PrePaid Calling card. Magic Line’s Internet Web Site address is .

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Overdrive Cards

Unifleet, the vehicle management segment of the UK’s United Utilities, signed a contract Friday for more than 3,600 ‘Overdrive’ fuel cards. Under terms of the deal, the cards will be owned by Unifleet and will carry the ‘Overdrive’ symbol accepted at all ‘Overdrive’ merchant sites. The company said it made the decision not to use an oil company card on the basis of coverage. Although ‘Overdrive’s’ cost-per-card was not the lowest price, the deal was driven by additional valued-added services and the quality of reports, which came at no extra cost. Five companies competed for the contract.

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IC Kids Card

UT-based IC One, IBM and Intellect launched a smart card program yesterday to help raise funds for schools and children’s hospitals.  The “IC Kids Card” program test pilot, utilizing the ‘Intellect 8515’ terminal, involves 35 retailers and several hundred cardholders in Cache County, Utah.  An additional 1700 ‘IC Kids Cards’ are now being distributed. The ‘IC Kids Card’ has a stored value and a loyalty purse application.  The stored value purse allows cardholders to load funds on the card, which can be used to make purchases at participating merchant locations. The loyalty purse holds value called ‘EduCents’, which the cardholder can use to pay for qualified educational expenses at participating schools.  Participating merchants contribute a pre-determined percentage of every purchase made when the ‘IC Kids Card’ is presented.  The Intellect terminal located in the merchant check-out lane tracks the amount of the purchase and calculates, using its embedded processor, the amount the merchant will contribute to the program.  For each purchase made using the ‘IC Kids Card’, a portion of the merchant contribution goes to the school(s) of the cardholder’s choice.  An additional portion of the contribution is reserved to benefit the cardholder, and can be redeemed for any qualified educational purpose.

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EFTA Elects Two New Board Members

Steven M. Wright, chief operating officer and co-founder of Portland, Oregon-based Card Capture Services, Inc. (CCS), and Frank J. Wilem, Jr., executive vice president of Triton Systems, Inc., were elected to the board of directors of Herndon, Virginia-based Electronic Funds Transfer Association (EFTA) at its quarterly meeting June 17, announced Dr. Ernest Burdette, president of Triton Systems. CCS is the largest independent automated teller machine (ATM) provider in the U.S. and one of Triton’s largest distributors; Triton is the nation’s leading off-premise ATM manufacturer.

Off-premise ATMs increased a dramatic 31 percent in 1997; they now account for more than 40 percent of the 170,000 ATMs in the U.S.  According to Kurt Helwig, executive director of EFTA, the addition of Wright and Wilem to the board of directors reflects the increasing influence and importance of independent ATM owners and manufacturers in the industry.  “The independently- owned, off-site ATM industry will play a pivotal role in determining how the electronic payments business will develop,” said Helwig.  “Both Wilem and Wright spearheaded development of the off-premise ATM market.  Their expertise and experience will make them invaluable to the board.”

![][1]     CCS took a lead role in developing the National Independent ATM Services Association (NIASA), a forum for representing the independent ATM industry’s concerns.  NIASA merged with EFTA, the leading inter-industry association dedicated to the development of electronic banking and commerce, in March of this year to form an expanded trade association.  Wilem was previously president and Wright was a founding director of NIASA, now known as the Independent ATM Owners Council, an independent Council of EFTA.

Wright and Wilem will continue to represent the interests of independent ATM owners on the EFTA board.  Wright co-founded Card Capture Services with Jeffrey Jetton in 1993.  He was previously sales manager for Portland, Oregon- based Cardservice of Portland.  Prior to that, Wright held senior management positions with the U.S. Bank of Oregon.  “EFTA members and the independently owned ATM industry share a common vision of meeting consumer demand for additional and more convenient access to cash.  We will work to ensure that it is done responsibly,” said Wright.

Wilem, a co-founder of Triton Systems, has served as executive vice president and director of the company since 1979.  Prior to founding the company, Wilem was engineering manager at Computer Sciences Corporation. According to Wilem, his primary role on the EFTA board will be to represent the interests of Independent Sales Organizations (ISOs) with regard to electronic funds transfer issues in the off-premise market.  “Our experience as the largest manufacturer of ATMs for the off-premise market gives us a deep understanding of how vendors, financial institutions and government agencies can work together to meet the challenges of this rapidly growing industry segment,” Wilem said.

About Triton Systems

Triton Systems is the nation’s leading manufacturer of cash-dispensing ATMs for off-premise locations, the fastest growing segment of the ATM market. As one of the “Big Three” manufacturers of ATMs and ATM management software, it was named the 30th fastest growing company in the U.S. by Inc. Magazine in its October, 1997 “Inc. 500” ranking of privately-held companies.

Triton’s product line includes the 9600 series cash-dispensing ATMs, Triton Connect Software Package for accessing and controlling ATMs from a centralized location, ATMjr Demonstrators and Card Activation System for financial institutions, miniATM Scrip Terminal, and the new VendMate sidecar, which accepts cash and dispenses vending items such as tickets, certificates, and phone cards.

Triton ATMs are in use in over 17,000 locations in the U.S., with recent expansion occurring or planned throughout the world.  The company is headquartered in Long Beach, Mississippi.  For more information, visit the Triton Systems website at [http://www.tritonsystemsinc.com][2] or contact Mary Edith Dressel, mdressel@trtn.com, 800-367-7191.

About Card Capture Services

Card Capture Services, Inc. (CCS) was incorporated in 1993 in Portland, Oregon.  CCS offers turnkey ATM programs providing transaction processing, machine maintenance, customer service, accounting and reporting to a growing base of merchant owned and operated Automated Teller Machines (ATMs) nationwide.  By tapping non-traditional and unsaturated markets, CCS is leading the wave of independent ATM deployments nationally.  The company has 50 employees and a nationwide network of 30 independently contracted dealers.

[1]: /graphic/triton/wilem.gif
[2]: http://www.tritonsystemsinc.com/

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DisneyQuest Card

Disney opened the doors to its new “ultimate interactive adventure” yesterday at the Walt Disney World Resort in FL, with American Express providing a key entry element. The opening of  ‘DisneyQuest’ in a 100,000-square-foot, five-story facility offers four zones of adventure, namely: explore, score, create and replay. ‘DisneyQuest’ utilizes an American Express stored-value card, which is charged upon entering and is rechargeable inside. The “DisneyQuest Card” can be initially purchased at one of several entry options ranging from $7-$20. The card is then used at any of the attractions or games in four zones. Play units and card balances can be checked throughout the facility with special card readers. Beyond the payment function the ‘DisneyQuest Card’ can keep track of attendance and monitor attraction usage. American Express is providing the cards and system while Compaq provided the server computer for the STV system.

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NOVA + PMT = #4

The fourth largest provider of merchant bankcard processing services was formed yesterday as NOVA Corp. and PMT Services announced plans to merge. The merger agreement is structured as a tax-free pooling of interests and is valued at $1.23 billion or $24.27 per share of NOVA. With the combined portfolio of NOVA and PMT producing an annualized charge volume of more than $40 billion, the merger will move NOVA ahead of BA Merchant Services. The three largest merchant processors are FDC, NPC and Paymentech. The combined company, with 350,000 accounts, will become the new market leader in providing payment processing services to small to medium sized merchants.  Under terms of Thursday’s deal, PMT will become a wholly owned subsidiary of NOVA, and Richardson Roberts, Chairman and CEO of PMT will remain CEO of PMT and will serve as Vice Chairman of the NOVA Board of Directors. Both firms have extensive M&A expertise, with more than 130 transactions in the last 6 years. The combined company intends to leverage that expertise. Yesterday’s deal is expected to close by early October. According to company reports the two companies had combined revenues of $620 million last year.

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Card Scam

King Marketing, Inc of  Aurora, IL was charged this week by the Illinois Attorney General with operating a phony credit card scam. The firm allegedly promised consumers so-called “guaranteed” and “pre-approved” major credit cards.  The company solicited victims by placing ads in newspapers around the country offering major credit cards with a $2,500 limit to consumers who called their 800 number. Consumers who called were told that a “guaranteed” major credit card would be mailed to them for an advance fee ranging from $79 to $98.  Defendants then asked for bank account information and subsequently deducted the fees from consumers’ accounts.  Consumers never received a major credit card.  Instead, defendants sent consumers a “Credit Plus” catalog with a letter explaining that consumers must pay another fee to obtain a charge card to purchase catalog items only.

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Gillette Phone Card

ATCALL Inc. has created a prepaid phone card to promote the new Gillette MACH3 razor to be introduced early this summer.

ATCALL has produced prepaid phone cards with a design of the new MACH3 razor on the front. Gillette Sales Representatives will distribute the phone cards at the General Merchandise Health and Beauty Care Conference this month. The remainder of the phone cards may be used in subsequent customer mail-outs.

While Gillette also manufactures batteries, writing instruments and toothbrushes, the company is best known for it’s shaving products. The triple-blade MACH3 razor will be available at retail locations this July. The new razor is expected to further strengthen Gillette’s worldwide leadership position in blades and razors.

Headquartered in Vienna,VA, ATCALL, , offers a complete line of telecommunications products and services including residential and commercial long distance, calling cards and prepaid phone cards.

ATCALL has significantly expanded its presence in the retail prepaid phone card market by establishing distribution channels with mass merchandisers, supermarkets and drug store chains.

ATCALL is a member of various telecommunications industry organizations including the International Telecard Association (ITA) and the Telecommunications Resellers Association (TRA).

ATCALL Inc. Partners With LET’S TALK Cellular & Wireless to Sell Prepaid Phone Cards

ATCALL Inc. announced Thursday that LET’S TALK Cellular & Wireless, a nationwide retailer of cellular and high-tech communications products, will begin selling ATCALL’s prepaid phone cards.

LET’S TALK will launch a program selling ATCALL’s standard 20, 40 and 80 minute prepaid phone cards. ATCALL is currently in the process of designing a customized prepaid phone card with the LET’S TALK logo on the card. ATCALL offers customized private-label phone cards to retailers at no additional cost.

Based out of Miami, FL, LET’S TALK is the largest retailer specializing in wireless communication and advanced communication products.

ATCALL’s prepaid phone cards will be sold in all LET’S TALK locations nationwide. “We are extremely excited about our new partnership with LET’S TALK,” said Nic Negretti, ATCALL’s Eastern Regional Sales Manager, adding, “there could be no better partnership than that of these two dynamic companies both specializing in the telecommunications field.”

Headquartered in Vienna, ATCALL offers a complete line of telecommunications products and services including residential and commercial long distance, calling cards and prepaid phone cards.

ATCALL has significantly expanded its presence in the retail prepaid phone card market by establishing distribution channels with mass merchandisers, supermarkets and drug store chains.

ATCALL is a member of various telecommunications industry organizations including the International Telecard Association (ITA) and the Telecommunications Resellers Association (TRA).

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GCS Resolution

In an effort to relieve the accounting burden related to chargeback disputes for the hospitality industry, three companies joined together yesterday to offer an automated resolution to the problem. Paymentech, Global Card Services and Checkmate Electronics are working together to offer GCS’ ‘Resolution’. Resolution is an automated chargeback/retrieval request solution that enables Paymentech to electronically respond to such requests on behalf of the hotel or resort. When Paymentech receives a retrieval request, the processor interfaces with the GCS folio and transaction database, captures the needed information, and automatically submits the item to the credit card issuing bank. In most cases, the issue is resolved with no inconvenience to hotel accounting staff.  GCS will also offer Checkmate’s ‘eN-Touch 1000’ guest activated terminal as a POS option for the ‘Resolution’ package. Hotel clients can select an entry-level application or more sophisticated options such as fully integrating ‘Resolution’ into the property management system.

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HONOR Mom

American moms are more popular than Santa Claus according to the HONOR ATM network. The company reported Thursday that the day before Mother’s Day 1998 topped Christmas Eve 1997 for the all-time record number of ATM and POS transactions processed in a 24-hour period. HONOR processed a record 3,477,462 transactions for May 9, beating the previous one-day record of 3,430,643 transactions set on Dec. 24, 1997. HONOR also set the all-time monthly transaction record in May with 68,487,043 network transactions. The company offered no projections on this weekend’s Father’s Day.

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Perfect Betting

Betting Inc. said Thursday its business plan is to facilitate PERFECT wagering transactions between the players and the gaming operators.

A PERFECT wager is a personal encrypted transaction that is originating from a remote site such as a home or and which is encrypted office or car, and is either ATM card or value-added smart card authenticated. These are real-time electronic cash transactions for the gaming operator.

Wagers will originate from competing landline, wireless or computer equipment.

These PERFECT devices will be given away as with the Shop While You Wait application or will be aggressively mass marketed to the consumer by the phone or utility industry as a method to pay bills from home without writing checks, or to purchase without giving a credit card to an operator.

It is the contention of Betting Inc. that many competing types of PERFECT equipment will flood into the marketplace, such as the ET&T Pay Master (web site:hpos.com) and that consumers will pay bills, send donations, purchase or wager with these devices.

The business of Betting Inc. is to provide a service interface between the bank host processing centers such as ET&T who are processing these incoming PERFECT wagers by smart card, or ATM card and the gaming operators who need to acknowledge receipt of payment to the host processing centers. Betting Inc. is paid a fee per transaction for this service. No accounts receivable.

Since the PERFECT wager is bank to bank, then instant government taxation of the player’s winnings being sent by the gaming operator’s bank to the player’s bank is a reality.

The massive marketing forces of industries pushing to save substantial costs by cutting back on receiving bill payment by checks from their banked customers, closing walk-in bill payment locations for their non-banked customers who will now use PERFECT equipment and value-added smart cards from their homes to pay bills, combined with instant taxation of PERFECT wagering winnings in developed countries, will drive PERFECT equipment to give aways and will allow the average consumer PERFECT wagering on a global basis by 2001.

The mission of Betting Inc. is to establish a global PERFECT wagering presence and to service the first multibillion-dollar pool international PERFECT game occurring on the same day between participating countries.

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