|Brian Greehan MasterCard Worldwide +1 914-413-1340|
MasterCard Introduces New Debit Processing Platform to Help Banks Grow Portfolios across Business Channels
MasterCard Integrated Processing Solutions Delivers Operational and Data Intelligence Benefits Through Easy-to-Use Single Connection; First Customer Implementing in 2Q 2008
Through a single connection, MasterCard IPS provides banks with a suite of branded debit network and card issuer processing services including PIN, signature, and ATM driving. The platform also introduces a user-friendly customer interface, MasterCard Portfolio Viewer, which greatly simplifies the process for banks to package cardholder data into customized reports. Banks can quickly and easily change the Portfolio Viewer configuration and report parameters with no hard coding.
Security Service Federal Credit Union (Security Service FCU) will be the first MasterCard customer to implement MasterCard IPS, reaffirming its commitment to MasterCard debit offerings with an exclusive agreement. Beginning in the second quarter of 2008, MasterCard will provide Security Service FCU with complete branded debit network and issuer processing.
"MasterCard IPS offers the debit payment innovations we need to differentiate ourselves and grow our business in a competitive financial services market," said David Reynolds, president and CEO, Security Service FCU. "As consumers increasingly embrace electronic payments, aligning with MasterCard ensures that we are well positioned to quickly respond to member demands by offering the most advanced debit products and services."
"Using MasterCard IPS is like moving from the highway to the runway," said Tim Murphy, president, U.S. Region, MasterCard Worldwide. "The platform streamlines the launch of next-generation payment systems to help our customers’ businesses take off. With traditional cobbled-together legacy systems, banks may achieve their business goals eventually, but that path is time-consuming and unreliable. MasterCard IPS has been built as an integrated solution from the ground up with the most advanced software, so it is unencumbered by the constraints of legacy systems."
MasterCard IPS simplifies product differentiation by using a parameter-based system to rapidly design and deploy innovative payment products and services that can be specifically customized at the local, regional and national levels yet still operate within a secure global framework. Banks can streamline the rollout process and save considerable time and resources by providing data for the platform’s pre-determined parameters to customize a host of product or service options.
MasterCard IPS also helps banks realize greater value from next-generation automated teller machine (ATM) networks by transforming them into advanced distribution channels that integrate with other channels. They can now provide greater options to leverage products, transactions, marketing, promotions and cardholder preferences. For example, a bank wishing to increase debit transaction volume could direct a promotion to frequent ATM users to encourage their use of debit cards for purchases.
MasterCard IPS, together with the sophisticated MasterCard data warehouse, delivers aggregated data across accounts and product lines. It not only provides a 360-degree view of information but also has the flexibility and intelligence to supply customizable geographic and demographic data to its financial institution customers.
"With MasterCard IPS, we have eliminated the need for banks to dedicate significant time and resources to learning and managing payment portfolio interface systems," said Rob Reeg, MasterCard chief technology officer and interim president of MasterCard Global Technology and Operations. "Portfolio Viewer is a substantial advancement for the industry because it is intuitive and easy for users of any skill level, and it provides banks with an unprecedented ability to customize the processing platform interface while freeing them from interaction with the back-end system mechanics."
MasterCard IPS is expected to be available in the United States in mid-2008, offering ATM terminal driving, debit issuing processing and branded debit network functionality as well as expanded rewards capabilities. In developing the platform, MasterCard integrated into its global infrastructure the most advanced in-production payments software from ACI Worldwide and CAMS II Card & Merchant System from Computer Sciences Corporation.
Conference Call Information
At 10:00 a.m. EDT today, the company will host a conference call for the investment community to discuss the details of this press release. The dial-in information for this call is 866-202-4367 (within the U.S.) and 617-213-8845 (outside the U.S.). The passcode is 78431209.
Later today, a replay of the call will be available for one week following the live call. The replay can be accessed by dialing 888-286-8010 (within the U.S.) and 617-801-6888 (outside the U.S.) and using passcode 77841999. The live call and the replay can also be accessed through the Investor Relations section of the Company's Web site at www.mastercard.com.
About MasterCard Worldwide
MasterCard Worldwide advances global commerce by providing a critical economic link among financial institutions, businesses, cardholders and merchants worldwide. As a franchisor, processor and advisor, MasterCard develops and markets payment solutions, processes more than 18 billion transactions each year, and provides industry-leading analysis and consulting services to financial institution customers and merchants. Through its family of brands, including MasterCard®, Maestro® and Cirrus®, MasterCard serves consumers and businesses in more than 210 countries and territories. For more information go to www.mastercard.com.
About Security Service Federal Credit Union
Security Service Federal Credit Union, headquartered in San Antonio, was founded there in 1956 and has grown to become the 11th largest credit union in the nation with over $4.5 billion in assets and more than 630,000 members in Texas, Colorado and around the world. There are 29 South Texas locations and 13 locations in Colorado. To find out more about Security Service FCU’s products and services visit www.ssfcu.org.
Statements in this press release which are not historical facts, including statements about MasterCard’s plans, strategies, beliefs and expectations, are forward-looking and subject to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements speak only as of the date they are made. Accordingly, except for the company’s ongoing obligations under the United States federal securities laws, the company does not intend to update or otherwise revise the forward-looking information to reflect actual results of operations, changes in general economic or industry conditions, changes in financial condition, changes in estimates, expectations or assumptions or other circumstances arising and/or existing since the preparation of this press release or to reflect the occurrence of any unanticipated events. Such forward-looking statements include, without limitation:
- the ability of MasterCard IPS to help banks grow their portfolios across business channels;
- the specific timing of MasterCard launching the product and the company's ability to attract financial institutions to the platform;
- MasterCard IPS's ability to offer MasterCard customer's the ability to simplify product differentiation and rapidly design innovative payment products and services and specifically customize at the local, regional and national level; and
- MasterCard IPS's ability to help banks realize greater value from ATM networks.
Actual results may differ materially from such forward-looking statements for a number of reasons, including those set forth in the company’s filings with the Securities and Exchange Commission (SEC), including the company’s Annual Report on Form 10-K for the year ended December 31, 2007, the Company’s Quarterly Reports on Form 10-Q and Current Reports on Form 8-K that have been filed with the SEC during 2008, as well as reasons including difficulties, delays or the inability of the company to achieve its strategic initiatives set forth above. Factors other than those listed above could also cause the company’s results to differ materially from expected results.