International Verifact supplies Diebold product for use in Smart Card "iq" electronic payment system

Business Wire, Feb 8, 1996

TORONTO--(BUSINESS WIRE)--Feb. 8, 1996--Star Enterprise (an affiliate of Texaco), Baskin-Robbins, Metropolitan Atlanta Rapid Transit Authority, Crown Petroleum, BLIMPIE, Taco Bell and other merchants participate in launch of smart card technology.

IVI (International Verifact Inc.) U.S. Division announced today that it will be supplying Diebold, Incorporated with 'Cash Pads' to be used as the retailer's interface for entering purchase amounts into a customer initiated smart card transaction. Diebold has the contract to upgrade all of First Union Corporation's automated teller machines (ATMs) in Atlanta to support smart cards and provide Diebold's "iq"(tm) electronic payment terminals and terminal software to retailers to accept and process transactions.

"We are very proud to be a part of this payment solution and have the highest respect for all the 'partners' involved in this rollout of a new smart card payment system" said Chris Schellhorn, VP and General Manager, IVI Boulder.

In March 1995, First Union announced its plans for the smart launch with its partners Diebold, Schlumberger, VISA and BellSouth. It is expected more than 1 million cards will be issued in time for use at the Olympics.

Diebold needed a cost effective, reliable interface device for retailers to enter transaction information on, and chose IVI's Cash Pad to perform this task. This allows the customer to retain their smart card at all times and the retailer to control the transaction amount quickly and simply.

Schlumberger, Diebold's strategic technology partner, will provide First Union with disposable and rechargeable stored value cards for the program. The rechargeable cards can be loaded at First Union ATMs in Atlanta, or one of 5,000 home-based screen phones distributed in cooperation with BellSouth. The prepaid cards will be available in $10, $20 and $50 values and may be purchased at any First Union branch or off-premises sites in various shopping malls. Many retailers also plan to dispense the cards.

Atlanta was selected for the debut because of its large metropolitan community, its diverse population and the international visitors expected to arrive for the 1996 Olympic Games.

First Union plans to expand this product to other cities in 1997, including the greater Washington, D.C. area, Richmond, VA., and major Florida metropolitan areas. Major cities in North Caroline, South Carolina and Tennessee will be added in 1998.

IVI is engaged in the design, development and sale of electronic payment solutions for retailers, financial institutions, governments and other businesses. IVI's hardware and software products include point-of-sale debit/credit/EFT/EBT terminals, check readers, smart card readers, check encoders, and secure PIN entry devices. IVI trades on the Toronto Stock Exchange under the symbol 'IVI' and on the NASDAQ as "IVIAF".

CONTACT: IVI, Toronto

L. Barry Thomson, 416/245-6700