Sterling Commerce to private label, resell remote banking services from Online Resouces

Business Wire, April 22, 1996

SAN FRANCISCO--(BUSINESS WIRE)--April 22, 1996--The Banking Systems Group of Sterling Commerce Inc. has signed an agreement with Online Resources & Communications Corp. to resell Online's electronic banking and billpaying service to financial institutions nationwide.

Dubbed VECTOR: Online by Sterling, the service complements its VECTOR cash management product line, while Online Resources plans to capitalize on Sterling's dominant market position within the nation's largest banks. Ninety-nine of the top 100 U.S. banks use VECTOR software, as do more than 80% of the fully EDI capable banks in America.

Online's service is accessed by PCs, Online's ScreenPhone and IVR technology, via Online's private network and, by the end of June, via the Internet.

Sterling Commerce Banking Systems Group President William W. Hymes said Online's easy, low-cost cash management and billpaying service provides a key solution that Sterling's clients want to offer their small business customers. "We feel there are unique opportunities in the small business arena," Hymes said at the Sterling Software Worldwide Customer Conference held this week in San Francisco. "We can complement our reputation for cash management expertise with Online's reputation for easy-to-launch and low-cost electronic services that are perfect for small businesses as well as the consumer market. Online is clearly the best service out there." Hymes added that he hoped the alliance between Sterling Commerce and Online Resources will lead to the companies developing additional functionality and integrating their respective services.

Online Resources CEO Matthew P. Lawlor said Sterling will provide a valuable entree into those institutions that are beginning to recognize both the value of electronic banking services and the value of outsourcing.

"Working closely with a company that so dominates back-end item processing, electronic commerce and cash management makes a lot of sense for us," Lawlor said. "Our knowledge of consumer and small business expectations for electronic banking and billpaying and our transaction processing, bill payment services and front-end access alternatives complement Sterling's expertise and product line. We think they'll open a lot of doors for us. And once they do, we think their clients will see the value of Online's services to the small business as well as the consumer market."

McLean, Va.-based Online Resources & Communications Corp. is a privately held company founded in 1989. It provides interactive services to financial institutions, including banks, brokerages, credit card issuers and other financial service providers. Currently, 26 institutions have signed agreements to offer Online's home banking, cash management, billpaying, and investment services. In addition to these applications, Online provides transaction processing, communications, billpaying and merchant services, marketing support and customer support software and systems. Online Resources is committed to providing access through a broad range of devices and networks to ensure easy and low-cost services for its financial institutional customers.

The Banking Systems Group of Sterling Commerce has been a leading provider of banking software and services since 1976, and its VECTOR product suite is used by more than 750 banks around the world for applications including financial EDI, cash management, data security, value-added network services, and for item processing operations such as statement sorting, electronic check presentment, research and adjustments, bank reconciliation, bulk filing, and check fraud control.

Sterling Commerce (NYSE: SE) is a subsidiary of Sterling Software (NYSE: SSW) and has its headquarters in Dallas. Sterling Commerce is a global provider of electronic commerce software products and network services that enable businesses to engage in business-to-business electronic communications and transactions. Sterling Commerce has been providing electronic commerce solutions for over 20 years, and has over 17,000 customers worldwide.

CONTACT: Sterling Commerce

M.A. Hancook, 214/788-5270

or

Online Resources

Robert Griendling, 703/978-4686,

71371.562@compuserve.com