NYNEX and Chase Manhattan offer the only credit card that can save money on a NYNEX phone bill

Business Wire, April 19, 1995

NEW YORK--(BUSINESS WIRE)--April 19, 1995--NYNEX and The Chase Manhattan Bank (USA) have launched the NYNEX/Chase co-branded Visa credit card that will enable NYNEX residential customers in New York State to save money on their monthly NYNEX phone bills.

John A. Ward, III, Chase executive vice president and BankCard Services executive, said, "Our customers told us clearly and consistently that they wanted a credit card that would lower the costs of their phone bills--a predictable monthly expense. The Chase/NYNEX card is designed to meet their needs. It is simple and easy to understand, offers a tangible, meaningful reward, and allows for reward redemption in a short period of time."

Ward also noted that in today's marketplace customers want to get the most out of their credit cards. "Chase is a leader in offering a wide variety of innovative products and providing unparalleled customer service for our cardholders. We think this new card -- which has no annual fee and rewards customers with dollars off their NYNEX phone bills or select NYNEX services -- really hits the mark," he said.

"This new initiative will provide enhanced customer value," said Judith R. Haberkorn, NYNEX vice president for Individual Communications Services. "It couples different packages of communications solutions from NYNEX along with the special features of a Chase credit card. That combination adds up to a customized mix of services that NYNEX customers will find valuable and helpful in managing their daily needs."

Customers get one point for every dollar charged on the card, and there is no cap on points earned. One point is also given for every dollar transferred, with a maximum of 10,000 points per calendar year. In addition, cardholders get a 25 percent bonus on points earned on purchases in any month in which they make two or more NYNEX Calling Card calls.

Customers start saving money on their monthly phone bills as soon as they accumulate as few as 2,000 points. Points may be redeemed in 2,000 point increments for $20 checks from Chase (Payable to NYNEX) toward monthly phone bills, or $25 checks from Chase (payable to NYNEX) toward new NYNEX services, such as Call Waiting, Call Answering, NYNEX VoiceDialing Service(SM) and others. A higher number of points may be accumulated and redeemed for greater savings, for example, 6,000 points may be redeemed for $60 or $75.

Based on average credit card usage, customers can save as much as $93 on their NYNEX phone bills during the first year that they use the card.

First Year Average Usage/Balance Consolidation

Purchases $4,000 = 4,000 points

Balance Consolidation $2,000 = 2,000 points

First Time Usage Bonus 500 points

Calling Card Usage Point Bonus 1,000 points

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Total Points Earned(a) 7,500 points

(a) 7,500 Points earned have a $75 value if used as credit towards monthly NYNEX phone bills or a $93 value if used as credit towards select NYNEX products and services. (Points must be redeemed in 2,000 point increments.)

In addition to saving money on their telephone bills through use of the card, customers have the advantage of added cost-savings including no annual fee, a low one-year introductory variable annual percentage rate (APR) of prime(b) (currently 9.0 percent) plus 0.9 percent, and an interest-free 30-day average grace period for purchases. After the introductory period, the card will have a competitive based variable APR of prime plus 8.4 percent (Gold card) and prime plus 9.4 percent (Classic card)(c).

Additional benefits of the new NYNEX/Chase card include acceptance at more than 11 million Visa merchant locations worldwide as well as access to more than 213,000 ATMs in 85 countries and 300,000 banking locations in virtually every part of the world. In addition, customers will receive extended warranty and purchase insurance protection. Visa Gold customers will also receive travel accident and auto rental insurance.

NYNEX provides consumers in the Northeast a wide variety of network-based telecommunications products and services, such as Call Waiting, Call Answering and VoiceDialing. NYNEX is committed to being the full service provider for communications needs of consumers in the Northeast.

Chase Manhattan is one of the nation's largest bankcard issuers with more than $12 billion of revolving credit receivables.

Visa is the largest consumer payment system in the world. Visa member financial institutions have issued more than 376.2 million cards worldwide, including 196.5 million in the United States. Visa also has the leading global ATM network.

Customers can call 1-800-AT-CHASE to request information about how to apply for the Chase/NYNEX card. -0-

THE NYNEX/CHASE CO-BRANDED VISA CARD

FACT SHEET

General Features

- Rewards cardholders with dollars off their NYNEX phone bills or extra savings on NYNEX services.

- Currently available to New York State residents who are served by NYNEX.