Wednesday, February 3, 2010

More on HomeATM's iPhone POS Card Reader: CircleSwipe

In addition to our CircleSwipe, HomeATM also manufacturers a magnetic stripe card reader WITH a built-in PCI 2.x Certified PIN Pad which plugs into the earjack of any cellular phone, smart or not so smart, and enables the more secure PIN based transaction.   Because the PIN based transaction is 15 times more secure, the Interchange rate is on PIN Debit is significantly lower than that of straight credit or signature debit transactions.
  • Like the Square, CircleSwipe DOES NOT accept PIN transactions.


  • Like the Square, CircleSwipe CANNOT be used used with Smart Cards, only magnetic stripe cards


  • Unlike the Square, the CircleSwipe was designed to ensure the cardholder data stays secure. 


  • Unlike Square, CircleSwipe 3DES Encrypts the Track 2 data at the magnetic head in order to keep the cardholder''s data from ever being in the clear. 

  • Unlike SQUARE it is made of unbreakable vulcanized rubber and flexes
























Seeking Alpha on MasterCard

From Seeking Alpha:





MasterCard (MA) is expected to report Q4 earnings before the market open on Thursday, February 4, with a conference call scheduled for 9am ET.

Guidance

The consensus estimate is $2.46 for EPS and $1.3B for revenue, according to First Call. In early November the company reported Q3 EPS $3.48 vs. consensus of $2.94 and revenue revenue $1.4B vs. consensus of $1.35B. On the Q3 conference call CFO Martina Hund-Mejean said that for Q4, the company expects its rebates and incentives line to be significantly higher versus Q4 of last year due to new and renewed customer agreements, as well as rebates relating to recently implemented pricing initiatives. She said the company continues to expect FY09 total operating expenses will be down on a year-over-year basis and now expects to incur additional severance charges in Q4. MasterCard expects to achieve at least 20% net income growth for 2009, the executive said. Selander noted that the company "feels better" about the current economic environment and sees stabilization and improvement in payment trends.

Analyst Views



Continue Reading



$150 Bucks to Risk Losing Thousands? No Thanks!

Why do I call this a useless online banking program?  Because they can get more bang for their buck by offering their customers a bulletproof security solution to online banking for about 8 times less money.  Online Banking promotions are designed for existing customer retention and new customer acquisition.   In fact, eMarketer says new customer acquisition and customer retention/engagement are the top 2 leading market priorities in 2010.  (see chart below)



Last time I checked, almost 50% of online banking customers would switch or highly consider switching banks if they (or somebody they knew) fell victim to fraud.   Therefore, if banks really wanted a legitimate "customer retention" tool, I would think it would be one that prevents the 50% likelihood of them switching banks...namely, security. 



If banks wanted customer "retention" they wouldn't risk losing them to a phishing attack.  If banks wanted "engagement" I think that bribing them $150 to do so sends the wrong message.  Provide a secure environment and you'll get engagement. 



Question:  Do you know how many people I have talked to that wouldn't even consider banking online because of the inherent security risks? Answer: The same number who later said that they would bank online if they were  enabled to swipe their card and enter their PIN to secure their log-in. 





SunTrust Bank is now offering up to $150 in banking bonuses for new customers who use Online Banking with Bill Pay.  This SunTrust Bank bonus offer is valid for current SunTrust customers and new SunTrust banking customers who open a new SunTrust Bank personal checking account.  



New SunTrust Bank customers can earn up to $150 in banking bonuses, and current SunTrust Bank customers can earn a $100 bank bonus.



Check out the SunTrust Bank $150 Bonus Offer for more details. 







Western Union Signs Banco Bradesco, One of the Largest Brazilian Banks

Consumer-to-Consumer International Money Transfer Service to be Available at 3,419 Banco Bradesco Branches



SÃO PAULO--(BUSINESS WIRE)--The Western Union Company (NYSE:WU), a leader in the money transfer segment of global payments, and Banco Bradesco, S.A., one of the largest Brazilian banks, announced today an agreement to offer the Western Union® global money transfer service at most of Banco Bradesco’s locations in Brazil.



“Our expanding global money movement network provides consumers more ways to move money quickly to more destinations worldwide”



The Western Union global money transfer service, a new service offering for Banco Bradesco account holders and walk-in consumers will be available soon. Consumers will be able to send and receive consumer-to-consumer international money transfers in person at the majority of Bradesco’s locations.



The signing of Banco Bradesco is part of Western Union’s “go-to-market” strategy in Brazil. As Western Union continues the expansion of its service offerings, in an effort to strongly position money transfers to consumers in Brazil, it seeks to tap into strategic banking channels.



“Our expanding global money movement network provides consumers more ways to move money quickly to more destinations worldwide,” said Stewart A. Stockdale President, The Americas and Executive Vice President Global Cards and Global Key Accounts. “Banco Bradesco is a leading-edge financial services institution. Our agreement with Banco Bradesco is part of Western Union’s new focus on identifying and driving the development of best-in-class services to expand the company’s business to new consumer segments in Brazil.”



The Western Union Money Transfer® service has been available in Brazil since 1997, providing international money transfer services, through its Agent network that currently includes more than 5,800 Agent locations.







About Western Union



The Western Union Company (NYSE: WU) is a leader in global payment services. Together with its Vigo, Orlandi Valuta, Pago Facil and Custom House branded payment services, Western Union provides consumers and businesses with fast, reliable and convenient ways to send and receive money around the world, as well as send payments and purchase money orders. The Western Union, Vigo and Orlandi Valuta branded services are offered through a combined network of more than 410,000 agent locations in 200 countries and territories. In 2009, The Western Union Company completed 196 million consumer-to-consumer transactions worldwide, moving $71 billion of principal between consumers, and 415 million business payments. For more information, visit www.westernunion.com.





WSJ: V/MC Ready to Charge Ahead

[AOT]

The Wall Street Journal says that Visa and MasterCard, who report results on Wednesday and Thursday, respectively, are basically unaffected by the nationwide credit crunch based on the fact that consumers have switched to debit anyway...



For two companies battered by a nationwide credit crunch and consumer-spending squeeze, Visa and MasterCard have emerged surprisingly well.



Visa is expected to show earnings of 91 cents a share for the final three months of 2009, its fiscal first quarter, when the credit-card company reports Wednesday. That compares with 78 cents a year earlier. Revenue is expected to be $1.9 billion, up about 10% from the prior year, according to analysts polled by Thomson Reuters.



Rival MasterCard will follow on Thursday, with expected fourth-quarter earnings of $2.80 a share, compared with $1.87 a year earlier, and revenue of about $1.3 billion, up 6%.

The improvements are due partly to cost-cutting and partly to consumers' relentless move toward spending with plastic, particularly debit cards, instead of cash and checks.



Read More







Trustwave's Global Security Report 2010




  Trustwave's Global Security Report 2010



Based on data collected by Trustwave's SpiderLabs, this report includes analysis of investigations of data compromise in 2009, detailed technical information on top vulnerabilities and an actionable global remediation plan. In 2009, the most notable trend was the continued use of existing attack techniques despite the security industry's awareness of these vulnerabilities. The report discusses this trend, defines how companies across the globe are leaving themselves open to data security threats, and offers a top 10 list of strategic and attainable initiatives for all companies.

(Read more of this white paper)



The analysis shows that major global companies are employing "vulnerability chasers" and searching out the latest vulnerabilities and zero-day threats while overlooking the most common ones, the report said. As a result, companies continue to be felled by old and supposedly well-understood vulnerabilities rather than by newfangled attack tools and methods.











Mobile Coupon Use Slow

Consumers Slow to Take Advantage of Mobile Coupons



While mobile coupon redemption is forecast to skyrocket, usage rates remain low, and many consumers are standing on the sidelines.



Full Article










Patch for iPhone Malicious Hacker Attacks Shipped

Apple has shipped a "patch" (I call them band-aids) to cover five documented vulnerabilities that expose iPhone and iPod Touch users to malicious hacker attacks.  Look for a lot of "patches" in 2010.



Continue Reading at ZDNet






Gemalto and BNP Paribas Reinforce their Global Partnership





 GemaltoNew two-year contract illustrates the Group’s confidence


AMSTERDAM & PARIS--(BUSINESS WIRE)--BNP Paribas announced today that it has selected Gemalto (Euronext NL0000400653 GTO), the world leader in digital security, as part of first global tender covering fifteen countries. The contract will involve the supply of EMV banking cards and personalization services for a two-year period. Gemalto’s global footprint is a key asset to support the BNP Paribas Group in its international development.





“Gemalto is proud to reinforce its industrial and business relationship with BNP Paribas Group,“ added Philippe Cambriel, Executive Vice-President of Gemalto’s Secure Transactions Business Unit. “Our latest innovations in terms of products and services were a key decision factor.”



As part of this contract, Gemalto notably becomes BNP Paribas’ first supplier in France and gains a new presence in Belgium through BNP Paribas Fortis*. In these two countries, Gemalto will provide banking cards compliant to EMV Dynamic Data Authentication (DDA), a standard that ensures the highest levels of security by detecting counterfeit and duplicated cards.



Bolstered by its local personalization capability, Gemalto guarantees a very high quality of service and excellent responsiveness across the world to BNP Paribas.



As BNP Paribas looks to deliver electronic banking cost synergies globally, the bank wishes to strengthen its relationships with suppliers able to offer global solutions and the widest geographic coverage. Regarding the supply of banking cards, Gemalto meets these two criteria perfectly.



In 2009, Gemalto won the Challenge Cristal award BNP Paribas presents to its best supplier.



“This first joint tender with BNP Paribas Fortis has enabled our international entities to benefit from preferred partnerships that had already been established, amongst which our partnership with Gemalto is ranked first,” commented Gilbert Arira, Head of Customer Banking Solutions of BNP Paribas.



“Gemalto is proud to reinforce its industrial and business relationship with BNP Paribas Group,“ added Philippe Cambriel, Executive Vice-President of Gemalto’s Secure Transactions Business Unit. “Our latest innovations in terms of products and services were a key decision factor.”



* BNP Paribas finalized the acquisition of Fortis bank on May 12, 2009



About Gemalto



Gemalto (Euronext NL 0000400653 GTO) is the world leader in digital security with 2008 annual revenues of €1.68 billion, and 10,000 employees operating out of 75 offices, research and service centers in 40 countries.



Gemalto is at the heart of our evolving digital society. The freedom to communicate, travel, shop, bank, entertain, and work—anytime, anywhere—has become an integral part of what people want and expect, in ways that are convenient, enjoyable and secure.



Gemalto delivers on the growing demands of billions of people worldwide for mobile connectivity, identity and data protection, credit card safety, health and transportation services, e-government and national security. We do this by supplying to governments, wireless operators, banks and enterprises a wide range of secure personal devices, such as subscriber identification modules (SIM), Universal Integrated Circuit Card (UICC) in mobile phones, smart banking cards, smart card access badges, electronic passports, and USB tokens for online identity protection. To complete the solution we also provide software, systems and services to help our customers achieve their goals.



As the use of Gemalto’s software and secure devices increases with the number of people interacting in the digital and wireless world, the company is poised to thrive over the coming years.



For more information please visit www.gemalto.com.



About BNP Paribas



BNP Paribas (www.bnpparibas.com) is one of the 6 strongest banks in the world according to Standard & Poor's*. With a presence in 85 countries and more than 205,000 employees, 165,200 of which in Europe, BNP Paribas is a global-scale European leader in financial services. It holds key positions in its three activities: Retail banking, Investment Solutions and Corporate & Investment Banking. The Group benefits from its four domestic markets: Belgium, France, Italy and Luxembourg. BNP Paribas also has a significant presence in the United States and strong positions in Asia and the emerging markets.



* Within its peer group



UPEK Extends Biometric Fingerprint Solution Leadership

http://www.upek.com/With Over 70 Million Hardware and Software Products Deployed, UPEK Leads the Industry in Delivering Fingerprint-Based Identity Management Solutions for Consumers and Businesses




EMERYVILLE, Calif.--UPEK®, Inc., the world’s leading supplier of fingerprint solutions for consumer, business, and government applications, today announced that as of the closing of 2009 the company had shipped over 20 million copies of its Protector Suite® identity-management application software to contribute to a grand total of over 70 million fingerprint products shipped, including application software, USB computer peripherals, secure processor ICs, and silicon fingerprint sensors. UPEK’s solutions are used in PCs, mobile phones, and other devices for consumer, business, and government applications.



UPEK offers the most complete product line of biometric fingerprint solutions including convenient password management software, TouchChip® and TouchStrip® fingerprint sensors and modules for consumer and industrial electronics, the world’s only government-certified silicon fingerprint sensors, and its Eikon® line of USB computer peripherals. UPEK’s fingerprint solutions are also the most broadly deployed, with sensors and software being utilized for consumer, commercial, and government applications in laptops from most major PC manufacturers, a broad range of keyboards and computer peripherals, memory and storage devices, smart card readers, mobile phones and terminals, door locks and access control terminals, safes, payment services, and many other applications. UPEK’s new product offerings, including its recently announced line of fingerprint touch controls for mobile phones, position the company to extend its leadership position to emerging growth segments like mobile and wireless.



“Managing identity is an ever-increasing challenge for both consumers and businesses in an on-line and connected world,” commented Alan Kramer, UPEK founder, president, and COO. “UPEK was established nearly six years ago with the vision of delivering hardware-software solutions that give consumers, businesses, and governments the combination of convenience and security they need for managing and protecting their identity. Now having shipped over twenty million copies of Protector Suite application software and over fifty million fingerprint security devices, we are gratified to see that our products have clearly fulfilled a market need and our vision of hardware-software fingerprint solutions has set a new direction for our industry.”



About UPEK



UPEK, Inc. is the global leader in providing fingerprint solutions that help consumers, businesses, and public agencies manage identities conveniently and securely. UPEK authentication hardware and software are integrated into laptops from the world's top five largest PC makers, as well as USB flash drives, external hard disk drives, and mobile phones from leading manufacturers. UPEK's ecosystem of over 100 hardware and software partners enables strong authentication solutions for market verticals including healthcare, banking, education, and government. UPEK offers the only silicon-based fingerprint sensor that is FIPS 201 certified for authentication of millions of US government employees and contractors. UPEK also provides consumer packaged goods including the CES award-winning Eikon Digital Privacy Manager, the only fingerprint reader on the market that supports PCs and Macs. UPEK products make your digital world safe and personal. For more info, visit www.upek.com.



UPEK, the UPEK logo, TouchChip, TouchStrip, Eikon, and Protector Suite are registered trademarks or trademarks of UPEK, Inc. in the United States and other countries.



Gemalto Acquires Valimo Wireless, the World Leader in Mobile Authentication

http://www.gemalto.com

AMSTERDAM--(BUSINESS WIRE)--Regulatory News:



Gemalto (Euronext NL0000400653 - GTO), the world leader in digital security, today announces that it has acquired Valimo Wireless Oy, the world leader in mobile authentication. The terms of the transaction were not disclosed.



Valimo has pioneered the use of two-channel, two-factor authentication based on Public Key Infrastructure (PKI), combining an over the air platform (OTA) with a software client in the SIM to generate a legally binding electronic signature, any time, any place. Valimo enables mobile phone users to securely authenticate themselves, digitally sign documents and confirm legally binding transactions simply by entering a self-chosen passphrase or a PIN code. Valimo Mobile ID solution facilitates secure online banking, mobile payments, governmental services, electronic and mobile commerce, and identity and access rights management for enterprise applications.



Founded in 2000 and headquartered in Helsinki, Finland, Valimo has been a Gemalto partner for 5 years. In Turkey for example, a major mobile operator, with over 30 million subscribers, selected Valimo and Gemalto to deploy the largest mobile digital signature commercial roll-out to date. By linking up with 13 banks, this operator enables its customers to strongly authenticate themselves for online banking and to digitally sign bank transactions from their mobile phone. Connecting the Valimo platform to forward-looking governmental agencies in the country, this mobile operator has also started to provide users with access to e-government services, such as obtaining a birth certificate or booking an appointment at the hospital, offering so to citizens a convenient and cost-effective method for administrative formalities.



Olivier Piou, Chief Executive Officer, Gemalto, commented: “Mobile digital signature has been on the horizon for a few years and we believe that we have now reached a tipping point. Whether it is a high end smart phone or a more basic phone, the one digital object consumers always have with them is their mobile phone, and they clearly express their desire to use it more and more for convenience in their daily life. Enabling people to conveniently sign legally-valid transactions is opening up a whole range of new applications for the mobile, at the service of citizens”.



Juha Murtopuro, Valimo CEO added: “The key ingredient in a successful mobile PKI launch is bringing together mobile operators, banks and governmental agencies. Going forward, Valimo will be able to leverage Gemalto’s customer relationships in these domains to successfully deploy mobile strong authentication. We are happy as we believe this combination will accelerate the much expected deployment of Mobile ID, including into new territories and new markets such as e-banking and governments services”.



About Valimo Wireless



VALIMO is your ID On-Line



Valimo mobilizes digital IDs. Valimo Mobile ID allows mobile phone users to securely authenticate, digitally sign documents, confirm transactions and payments, simply by entering a self-chosen PIN code. The multi-purpose solution combines strong security and ease of use, enabling new service concepts and more efficient processes. Valimo Mobile ID is used in a variety of services throughout the world, including online banking, mobile payments, e/m-commerce applications, governmental services, along with enterprise identity and access management. The two-channel, two-factor authentication method based on Public Key Infrastructure (PKI) produces a legally binding signature regardless of time and place. Valimo Mobile ID solutions are global market leaders in terms of installation base and number of active users. Founded in 2000, Valimo Wireless is headquartered in Helsinki, Finland. For further information, please visit www.valimo.com.



About Gemalto



Gemalto (Euronext NL 0000400653 GTO) is the world leader in digital security with 2008 annual revenues of €1.68 billion, and 10,000 employees operating out of 75 offices, research and service centers in 40 countries.



Gemalto is at the heart of our evolving digital society. The freedom to communicate, travel, shop, bank, entertain, and work—anytime, anywhere—has become an integral part of what people want and expect, in ways that are convenient, enjoyable and secure.



Gemalto delivers on the growing demands of billions of people worldwide for mobile connectivity, identity and data protection, credit card safety, health and transportation services, e-government and national security. We do this by supplying to governments, wireless operators, banks and enterprises a wide range of secure personal devices, such as subscriber identification modules (SIM), Universal Integrated Circuit Card (UICC) in mobile phones, smart banking cards, smart card access badges, electronic passports, and USB tokens for online identity protection. To complete the solution we also provide software, systems and services to help our customers achieve their goals.



As the use of Gemalto’s software and secure devices increases with the number of people interacting in the digital and wireless world, the company is poised to thrive over the coming years.



For more information please visit www.gemalto.com.





ACS Awarded Contract to Process Ohio Child Support Payments



http://www.acs-inc.com

DALLAS--(BUSINESS WIRE)--Affiliated Computer Services, Inc. (NYSE: ACS) today announced it has won a competitively-bid contract renewal to process child support payments for the Ohio Department of Job and Family Services (ODJFS). The new contract has a potential nine-year term, consisting of a one-year base and four two-year options, and is valued at $163 million if all option years are exercised.



ACS, a leader in the field of child support systems and services, has operated Ohio’s Child Support Payment Central (CSPC) since 2002, providing payment processing, customer service and other mission-critical functions. Nearly all custodial parents in the state receive child support payments electronically by direct deposit or the Ohio e-QuickPay debit card, an ACS innovation that provides convenience, flexibility and relief from check cashing fees.



“Through innovative technology, ACS has helped the State of Ohio more efficiently operate one of the largest child support processing facilities in the country,” said Jeffrey Aldridge, deputy director, Office of Child Support, Ohio Department of Job and Family Services. “ACS’ efforts are helping the state to deliver funds faster to our program participants.”



ACS processes half of the nation’s child support payments, more than $13 billion, providing services in 15 states.



“For eight years, we have worked closely with the state to ensure that we provide them with a best-fit program,” said Joseph Doherty, executive vice president and group president, ACS Government Solutions. “We are now focused on evolving our child support solutions so that they continue to exceed expectations.”



As the largest provider of business process solutions and one of the largest information technology service providers to the nation’s public sector, ACS serves as an operational partner to more than 1,700 government agencies on the federal, state, county and local level.



The work of ACS touches millions of people every day. ACS manages 27 electronic payment card programs for state and federal clients, disbursing government payments and benefits; processes nearly 570 million Medicaid claims each year totaling more than $50 billion in provider payments; saves state child care programs millions of dollars; services student loans for more than 11 million borrowers; and facilitates more than 75 million online searches for unclaimed property per year.









About ACS



ACS, a global FORTUNE 500 company with approximately 78,000 people supporting client operations reaching more than 100 countries, provides business process and information technology solutions to world-class commercial and government clients. The company's Class A common stock trades on the New York Stock Exchange under the symbol "ACS.” Learn more about ACS at www.acs-inc.com.



 

Acculynk Announces New Executive Vice President of Issuer Development

 AcculynkATLANTA--(BUSINESS WIRE)--Acculynk, an Atlanta-based payments provider with the first software-only service for Internet PIN debit payments, PaySecure®, is pleased to announce the addition of Ulrike Guigui as Executive Vice President of Issuer Development.

Ms. Guigui brings extensive experience in the consumer finance and payments industries, in both Europe and North America, most recently at MasterCard.



Prior to joining MasterCard, Ms. Guigui worked at GE Money for seven years in marketing and business management roles across GE Money’s European and US platforms. Among other positions, she was Managing Director of GE’s largest auto financing business and went on to build a credit card business in Switzerland.



Ms. Guigui started her career as a management associate at Citibank where she held a number of roles over her ten year tenure in marketing and managing credit cards in Europe and the U.S., as well as serving as marketing manager for the Private Bank across EMEA.



As Executive Vice President of Issuer Development for Acculynk, Ms. Guigui will be responsible for fostering partnerships with top U.S. bank issuers, and setting the company’s strategic direction with U.S. and global EFT networks.


“PaySecure provides issuers and EFT networks an unparalleled opportunity to increase their margins, generate new sales and meet consumer demands for a secure, simple, bank-sponsored payment method,” said Ms. Guigui. “I am looking forward to bringing this high level of value to issuers and EFT networks, both in the U.S. and abroad.”



“We are extremely pleased that Ulrike has joined Acculynk’s management team,” said Ashish Bahl, CEO of Acculynk. “With her skills, global experience and industry knowledge, we are certain she will be a major asset as we expand our growing issuer and EFT network base, and begin to introduce our Internet PIN debit service into international markets.”









Western Union Reports Fourth Quarter and Full Year Results

http://westernunion.comQ4 Revenue of $1.3 Billion and EPS of $0.32
2009 Cash Flow from Operations of $1.2 Billion
Company Achieves Financial Outlook, Advances Key Initiatives

ENGLEWOOD, Colo.--(BUSINESS WIRE)--The Western Union Company (NYSE: WU) today reported financial results for the 2009 fourth quarter and full year.

“Our key growth strategies focus on extending our leadership position in cash money transfer, developing electronic channels, and expanding our Custom House B2B payments business. We are excited about the future, and see great opportunities for growth ahead while we continue to generate substantial free cash flow for our shareholders.”
Financial highlights for the quarter included:

  • Revenue of $1.3 billion, an increase of 2% compared to last year’s fourth quarter

  • Constant currency adjusted revenue down 1%

  • GAAP and constant currency earnings per share (EPS) of $0.32; compared to fourth quarter 2008 GAAP EPS of $0.34, or $0.37 excluding restructuring expenses

  • GAAP operating income margin of 24%, compared to fourth quarter 2008 GAAP operating income margin of 26%, or 28% excluding restructuring expenses

  • Domestic money transfer business returned to positive transaction growth

Financial highlights for the full year included:

  • Revenue of $5.1 billion, a decrease of 4% compared to 2008

  • Constant currency adjusted revenue down 1%

  • GAAP EPS of $1.21, or EPS of $1.29 excluding the third quarter Arizona and multi-state settlement accrual (the settlement accrual); compared to 2008 GAAP EPS of $1.24, or EPS of $1.31 excluding restructuring expenses

  • GAAP operating income margin of 25%, or 27% excluding the settlement accrual, compared to 2008 GAAP operating income margin of 26%, or 27% excluding restructuring expenses

  • Cash provided by operating activities of $1.2 billion

Strategic and operational highlights from 2009:

  • Increased cross-border C2C money transfer market share from 17% in 2008 to an estimated 18% in 20091

  • Grew agent locations to more than 410,000

  • Completed the acquisition of Custom House, enabling the Company to enter the sizable international business-to-business (B2B) payments market

  • Completed the acquisition of the money transfer business of FEXCO, strengthening the Company’s platform to expand retail distribution in Europe

  • Advanced bank distribution initiatives, including new alliances with U.S. Bank and Fifth Third Bank

  • Increased account-to-cash capabilities, with 12 banks now offering the service

  • Expanded westernunion.com internet money transfer to 18 countries

  • Initiated pilot programs in cross border mobile money transfer and prepaid cards

Western Union President and Chief Executive Officer Christina A. Gold said, “Given the challenging global economic environment, we were pleased with our performance in 2009. We delivered on our outlook, maintained strong margins, gained market share, and generated substantial cash flow, demonstrating the stability of our business model. We took an important step in repositioning the domestic money transfer business, which produced five percent transaction growth in the fourth quarter. We also made solid progress on our electronic channel and business-to-business payments initiatives, positioning us well for the future.”

(1) Aite Group, LLC: “Money Transfers: Riding the Wave,” April 2009, and Western Union estimates



Read More







(IN)Secure Magazine Issue 24 is Released











DOWNLOAD ISSUE 24 HERE


(February 2010)

  • Writing a secure SOAP client with PHP: Field report from a real-world project

  • How virtualized browsing shields against web-based attacks

  • Review: 1Password 3

  • Preparing a strategy for application vulnerability detection

  • Threats 2.0: A glimpse into the near future

  • Preventing malicious documents from compromising Windows machines

  • Balancing productivity and security in a mixed environment

  • AES and 3DES comparison analysis

  • OSSEC: An introduction to open source log and event management

  • Secure and differentiated access in enterprise wireless networks

  • AND MORE!







Discover® U.S. Spending MonitorSM Rises 2.2 Points in January

Consumer Spending Intentions Are Flat Despite Improving Financial Confidence




RIVERWOODS, Ill.--(BUSINESS WIRE)--The Discover U.S. Spending Monitor rose 2.2 points in January to 85.2 (based out of 100), primarily driven by an increase in the number of consumers feeling better about their personal finances. Despite improving views about their finances, a majority of consumers continue to rate the economy as poor and nearly half don’t see economic conditions improving. As a result, consumer spending intentions were flat in January.



Overall, 56 percent of consumers rate the economy as poor, a point lower than December. But 49 percent felt economic conditions were getting worse, a point higher than December.



Majority of Consumers Planning to Hold the Line on Spending



Consumers appear content with the spending cutbacks they made post-holidays. Fifty-three percent expect to spend the same in February as they did in January. This was a 9-point increase from last month’s Monitor. But discretionary purchases like going out to the movies or restaurants, and major purchases like a vacation are still being cut by a majority of consumers. Fifty-four percent plan on spending less on discretionary personal purchases, a point increase from December. Fifty-two percent anticipate spending less on major personal purchases, also a point increase. There was no change in home improvement spending intentions month-over-month, and 54 percent of consumers say they will spend the same on household expenses like gas and groceries during the month ahead, a 3-point increase.



“Consumers appear to be holding steady on their spending patterns,” said Julie Loeger, senior vice president of brand and product management for Discover. “The economy remains a concern to them and they are likely to be conservative with spending until there are signs that the economy is improving.”



More Consumers Feel Better About Their Personal Finances



Economic pessimism did not appear to affect consumers’ views about their personal finances in January, as more felt their personal finances were improving. Overall, 34 percent rated their personal finances as good or excellent, a 3-point increase from December and a 9-month high. Furthermore, 22 percent felt their personal finances were getting better, also a 3-point increase from December and a 17-month high. Twenty-four percent currently rate their personal finances as poor and 47 percent feel their finances are getting worse.



Increase in Number of Consumers Having Money Left Over After Paying Monthly Bills



There were also some positive indicators in January’s Monitor in terms of consumers better managing their budgets. While still less than a majority, 47 percent of consumers expect to have money left over after paying the monthly bills. This was a 3-point increase from last month’s Monitor low. Of those who do have money left over, 81 percent planned on having the same or more money remaining than the previous month, an 8-point increase from December and a 9-month high.



The number of consumers expecting an added expense or income shortfall in the month ahead fell in January. Only 38 percent were expecting an added expense or income shortfall, the first time this number has dropped below 40 percent since September.



“With consumers holding the line on spending, they are better able to pay off their monthly bills,” said Loeger. “This has allowed them to grow more confident about their personal finances. Hopefully, this will continue in the months ahead.”



About Discover U.S. Spending Monitor



The Discover® U.S. Spending MonitorSM is a monthly index of consumer spending intentions and capacity that is based on interviews with a random sample of 8,200 U.S. adults conducted at a rate of 275 per night. In addition to spending, the survey asks consumers their opinions on the U.S. economy and their personal finances. The Monitor began in May 2007 with a base index of 100. Surveys are conducted by Rasmussen Reports, an independent survey research firm (www.rasmussenreports.com).

Fiserv Reports Fourth Quarter and Full Year 2009 Results





  • Fourth quarter adjusted internal revenue growth of 2 percent;

  • Record full year free cash flow of $668 million and adjusted EPS of $3.66;

  • Company expects 2010 adjusted internal revenue growth of 1 to 3 percent;

  • Company expects adjusted earnings per share of $3.96 to $4.07 in 2010

BROOKFIELD, Wis.--(BUSINESS WIRE)--Fiserv, Inc. (NASDAQ: FISV), the leading global provider of financial services technology solutions, today reported financial results for the fourth quarter and full year 2009.

Total GAAP revenue in the fourth quarter was $1.06 billion compared with $1.04 billion in 2008. Total adjusted revenue increased 2 percent to $1.01 billion in the quarter compared with $984 million in 2008. Total GAAP revenue for the year was $4.08 billion compared with $4.59 billion in 2008. Total adjusted revenue for the year decreased 1 percent to $3.87 billion compared with $3.89 billion in 2008.



GAAP earnings per share from continuing operations for the fourth quarter were $0.83 compared with $0.50 in 2008. Total GAAP earnings per share, including discontinued operations, were $0.76 for the fourth quarter compared with $0.39 in 2008. GAAP earnings per share from continuing operations were $3.04 for the year compared with $2.20 in 2008. Total GAAP earnings per share, including discontinued operations, were $3.06 for the year compared with $3.49 in 2008.



Adjusted earnings per share from continuing operations in the fourth quarter increased 6 percent to $0.94 compared with $0.89 in 2008. For the year, adjusted earnings per share increased 10 percent to $3.66 compared with $3.33 in 2008. Adjusted internal revenue grew 2 percent in the fourth quarter and declined 1 percent for the year.



“We finished the year with a strong fourth quarter highlighted by positive revenue growth, record December sales and superior free cash flow providing momentum as we enter the new year,” said Jeffery Yabuki, President and Chief Executive Officer of Fiserv. “In a challenging 2009, we delivered on our financial goals and enhanced our strategic position. These results reflect our industry-leading commitment to clients and the value of our integrated product offerings.”

Fourth Quarter Highlights


  • Adjusted internal revenue growth was 2 percent in the quarter, including 2 percent growth in the Payments segment. The Payments segment generated more than 50 percent of the company’s adjusted revenue in the quarter and the full year;

  • Free cash flow increased 11 percent in 2009 to a record $668 million;

  • Company-wide adjusted operating margin increased 110 basis points in 2009 to 28.7 percent for the year, and declined 20 basis points to 28.1 percent in the quarter compared with the fourth quarter of 2008. The decline in the adjusted operating margin in the quarter was primarily related to an increase in the amount of the company’s discretionary profit sharing accrual compared to 2008;

  • Adjusted operating margin in the Payments segment increased 170 basis points in 2009 to 31.7 percent and 80 basis points to 32.1 percent in the quarter compared with the fourth quarter of 2008, primarily due to growth in higher-margin revenue and continued operational efficiencies associated with the CheckFree acquisition;

  • The Financial segment operating margin increased 190 basis points in 2009 to 29.3 percent and 90 basis points to 28.5 percent in the quarter compared with the fourth quarter of 2008, primarily due to favorable business mix, ongoing cost efficiencies and strength in the account processing business;

  • The company continued to expand its payments footprint by signing 113 electronic bill payment clients in the quarter and 407 clients for the year. The company also added 51 debit clients in the fourth quarter, for a total of 215 new clients in 2009;

  • The company completed the previously announced dispositions of its Loan Fulfillment Solutions business and the final portion of the Fiserv ISS business in the fourth quarter of 2009;

  • For the fifth time in the last six years, Fiserv was ranked number one on the FinTech 100 by IDC Financial Insights, American Banker and Bank Technology News;

  • The company repurchased 1.1 million shares of its common stock in the quarter and 4.1 million shares in 2009. The company also repaid $140 million of debt in the quarter and $475 million in 2009;

  • The number of accounts using the market-leading Investment Services APLSM platform topped three million for the first time in its history;

  • The company signed a number of new and expanded client relationships in the quarter:

    • Bank of the West, a $64 billion institution based in San Francisco, California, recently enhanced its online banking service with the Voyager® Consumer Banking solution from Fiserv. The bank is currently implementing CheckFree® RXPSM, a bill pay solution from Fiserv, to further enhance its online service by tightly integrating online banking and bill pay into a more seamless and intuitive online experience for their customers, driving greater adoption, retention and profitability. The bank also utilizes lending and item processing solutions from Fiserv.

    • Christian Community Credit Union, a $520 million institution based in San Dimas, California, will become the first U.S. credit union to implement the Acumen™ account processing solution from Fiserv. Leaders for Christian Community chose Acumen because of the platform’s flexible, modern architecture and its ability to support commercial accounts, which are important to serving the credit union’s 30,000 members.

    • Desert Schools Federal Credit Union, a $3 billion institution headquartered in Phoenix, Arizona, signed a multi-year agreement with Fiserv for the award-winning CheckFree RXP bill payment and presentment solution. Desert Schools FCU has 360,000 members and more than 60 locations.

    • First Bank, a $10.8 billion institution headquartered in Clayton, Missouri, signed a multi-year agreement for Corillian® Online, CheckFree RXP and Mobile MoneyTM from Fiserv.

    • Mutual of Omaha Bank, a full-service bank with $4 billion in assets, implemented the SignatureTM bank platform from Fiserv. In addition to this Fiserv account processing solution, the bank chose a suite of Fiserv solutions including online banking, online bill payment, commercial cash management, EFT, card management, item processing, content management, treasury management, and risk and performance management solutions.

    • Space Coast Credit Union, a $3.1 billion institution headquartered in Melbourne, Florida, signed a multi-year agreement with Fiserv. With 360,000 members, 61 branches and 140 ATMs, Space Coast will operate account processing, online banking, EFT, debit, credit and ATM solutions from Fiserv.

    • Tesco Bank, the largest supermarket bank in the United Kingdom, with more than six million customers and 28 financial products and services, selected Fiserv to provide its account processing solution with the Signature bank platform.

    • Wells Fargo Bank, the fourth largest financial institution in the United States with $1.2 trillion in assets, signed an agreement for a bundle of ACH Solutions from Fiserv. Building on a foundation of an already successful partnership, the bank has also enhanced its agreement for check clearing and settlement using the Fiserv Clearing Network.

    • Westoba Credit Union in Brandon, Manitoba selected the Acumen account processing solution from Fiserv. Westoba has $900 million in assets and serves 34,000 members from 21 locations throughout western Manitoba. The credit union will also implement ConvergeIT® and the IVR audio response system and solutions from the Wisdom™ accounting suite from Fiserv.


Disqus for ePayment News