Cubic Receives Contactless EMV Bank Card Type Approval for Next-Generation Tri-Reader® 3

SOURCE: Cubic Corporation

October 17, 2011 07:00 ET

Smart Fare Payment Using Open Payment Contactless EMV Bank Cards, Account-Based Cards and Existing Closed-Loop Transit Smart Cards, All on One Innovative Device

SAN DIEGO, CA--(Marketwire - Oct 17, 2011) - Cubic Transportation Systems, Inc., the transportation unit of Cubic Corporation (NYSE: CUB), has received approval from the top four bank card brands for the Tri-Reader 3 to process their branded contactless EMV bank cards for use in public transit revenue management systems. Cubic has equipment and systems supporting seven of the top 10 largest public transit markets in the United States, United Kingdom and Australia as well as other major markets around the world.

The Tri-Reader® 3 is the first contactless smart card device designed for use in public transport to process all industry standard contactless smart cards. The reader also processes bank-issued contactless EMV cards that meet the financial industry's standards for contactless open payment, and has been approved by EMVCo, American Express, Discover, MasterCard and Visa. The Tri-Reader® 3 supports multiple card schemes -- for example, in the U.K., Oyster, ITSO and contactless EMV cards can now be read concurrently on the same contactless reader. The Tri-Reader 3 was developed by Cubic on behalf of Transport for London and the company has a worldwide license for its use for open payments.

Cubic's technology can also support payments made with Near Field Communications (NFC)-powered mobile phones, a form of payment that Cubic has tested in U.S. and European transit systems.

The Tri-Reader® 3 will give Cubic's customers a transition path to add account-based, open payment contactless EMV bank card and NFC acceptance to the same system.

"Our customers now have an open payment solution, which means that our technology supports any contactless media that conforms to ISO 14443, whether in an account, card or NFC phone based system," said Pradip Mistry, Vice President, Engineering, for Cubic Transportation Systems. "At the same time, we have also ensured that the same levels of speed and reliability we have built into previous generations of card-based fare collection systems are achieved for open payment."

To test and prove its account-based processing technology, Cubic and its customer PATCO have partnered to provide Philadelphia/New Jersey region commuters with the world's first transit-branded all contactless Visa® prepaid card. The new PATCO Wave & Pay ANYWHERE Visa® Prepaid Card began a 12-month pilot program on September 26, marking the first time that consumers will be able to use the same transit payment card for both transit and retail purchases. The Tri-Reader® 3 is also being deployed on London buses and future plans exist to expand the rollout across the whole of Transport for London's estate.

Cubic Corporation (NYSE: CUB) is the parent company of three major business segments: Defense Systems, Mission Support Services andTransportation Systems.

Cubic® Transportation Systems, Inc. is the world's leading turnkey solution provider of automated fare collection systems for public transport including bus, bus rapid transit, light rail, commuter rail, heavy rail, ferry and parking. Cubic's solutions and services include system design, central computer systems, equipment design and manufacturing, device-level software, integration, test, installation, warranty, maintenance, computer hosting services, call centre services, card management and distribution services, financial clearing and settlement, multi-application support and outsourcing services.

Every year, nearly 10 billion rides are taken worldwide using Cubic fare collection systems. Cubic has delivered over 400 projects in 40 major markets on five continents. Active projects include London; Brisbane (Southeast Queensland) region, Australia; New York / New Jersey region; Washington, D.C. / Baltimore / Virginia region; Los Angeles region; San Diego region; San Francisco region; Minneapolis/St. Paul; Chicago; Atlanta region; Miami (South Florida) region; Vancouver and Edmonton, Canada; Sydney (New South Wales), Australia; and Scandinavia.

Cubic Defense Systems is a leading provider of realistic combat training systems, cyber technologies, asset tracking solutions, and defense electronics. Mission Support Services is a leading provider of training, operations, maintenance, technical and other support services. For more information about Cubic, see the company's website at www.cubic.com.