AICPA's Webtrust Seal of Assurance Expands Into Germany, Joining Other Eu, Asia-Pacific and North American Countries to Protect Online Privacy and Shopping

Business Wire, March 1, 2000

Business/Technology Editors

NEW YORK--(BUSINESS WIRE)--March 1, 2000

- Sets International Standard for Online Shopping Protection

Through Independent Verification of Web Merchants Services and

Transactions -

- WebTrust Participates in German-American Internet Symposium On

Creating International Standards To Protect Online Shoppers -

The American Institute of Certified Public Accountants (AICPA) announced today that it has signed an agreement with Institut der Wirtschaftsprufer in Deutschland e.V. (IDW), located in Berlin, to offer WebTrust in Germany. The IDW oversees and manages accounting standards for the German equivalent of Certified Public Accountants, similar to the way in which the AICPA does in the U.S. Germany now joins England, France, Scotland, Ireland and Wales in the European Union in offering WebTrust, the only global, comprehensive seal of assurance designed to protect online privacy and transaction integrity, provide secure transactions, disclose online business practices and offer a customer complaint resolution mechanism through independent verification by a CPA. WebTrust is also available in Australia, New Zealand, Canada and Puerto Rico, in addition to the United States, setting an international standard for online shopping protection.

WebTrust is the only seal of assurance that complies with current EU data protection and privacy standards, the UK Data Protection Act and Privacy Bill C-6 in Canada to provide comprehensive privacy protection to online shoppers around the world.

"Internet businesses and shoppers need a global standard that builds consumer confidence in electronic commerce and helps protect their privacy while reducing the risk of online fraud, thereby turning shoppers into buyers," said Barry Melancon, President and CEO of the AICPA. "This standard is WebTrust - CPAs and their international counterparts are uniquely qualified to examine and verify online businesses to determine if the business is legitimate, its transactions are secure, the information it collects from consumers is kept private, and its business practices are fully disclosed to Web site visitors."

The German accounting institute has been working on the WebTrust concept for several months, in collaboration with a group of ten other European accounting bodies, universities and the European commission in Brussels, in order to check that the WebTrust standards are compliant with European recommendations on electronic commerce.

According to a recent Forrester Research study, electronic commerce is estimated to reach up to $3.2 trillion in annual revenues by 2002, or approximately $500 per person worldwide. Along with increased use of the Internet as a medium of exchange of goods and services comes the increased flow of customer information that needs to be protected. Recently recognized by the President Clinton as a viable solution to protect online customers, WebTrust has the necessary controls and procedures in place, as well as the requisite international infrastructure, to prevent infringements and privacy violations.

At the request of the U.S. Congressional Internet Caucus, the AICPA's WebTrust was one of the featured services discussed at the recent German-American Policy Symposium, "Governing the Internet" in Berlin. Representing the AICPA was Alan Anderson, Senior Vice President of Technical Services. He was part of a panel discussing private sector views governing the Internet and was joined by European executives from IBM, Alcatel SEL AG, AOL Europe, and VIAG Interkom. Congressman Robert Goodlatte (R-Virginia), and Richard Boucher (D-Virginia) co-chairs of the Congressional Internet Caucus as well as Congressman Charles Canaday (R-Florida), Cliff Stearns (R-Florida) and Bart Gordon (D-Tennessee) representing the Congressional Internet Caucus also participated along with members of the German Bundestag on another panel reflecting lawmaker's views on governing the Internet.

"Trust continues to be the number one concern for consumers and businesses using the Internet. One way to address these concerns as they relate to privacy, security and transaction integrity is through independent verification of a Web site's business practices as contemplated by the WebTrust program on a common international basis," said Al Anderson.

The Institut der Wirtschaftsprufer in Deutschland e.V. (Institute of Public Auditors in Germany, Incorporated Association) is the only German professional organization which represents only Wirtschaftsprufer (German Public Auditors). Membership of the IDW is voluntary. More than 8.500 of the 10.000 Wirtschaftsprufer are member of the Institute.

The American Institute of Certified Public Accountants (AICPA) is the ISO 9001 certified national professional organization of CPAs in the United States with more than 330,000 members in public practice, business and industry, government, and education.

For more information about CPA WebTrust, please visit www.cpawebtrust.org.