NextCard Selects deltathree to Provide Telecommunications Services for Online Credit Card

Business Wire, Sept 12, 2000

Business/Technology Editors

NEW YORK--(BUSINESS WIRE)--Sept. 12, 2000

Global Calling Service Launching this Fall Will Enable NextCard

Customers to Make Phone-to-Phone Calls Using Credit Card;

deltathree to Also Provide Back Office Infrastructure

deltathree, Inc. (Nasdaq:DDDC), the IP telephony network and provider of Hosted Communications Solutions for service providers worldwide, today announced it will enable Internet telephony-driven communications devices for NextCard, Inc., the leading issuer of Internet credit cards on the Web. Starting this fall, NextCard credit cardholders can automatically activate Global Calling Card functionality from their existing NextCard account. This agreement marks the latest Hosted Communications Solution deal for deltathree.

The new service will offer rates as low as 8.9 cents per minute for calls made to the U.S. and Canada and 11 cents per minute for international calls. In addition to Phone-to-Phone services, deltathree will provide NextCard with a full range of services branded under the NextCard name that will allow users to instantly activate their credit cards online for Phone-to-Phone service. deltathree will also provide NextCard with the e-commerce infrastructure to bill its customers for their Phone-to-Phone use.

"NextCard's use of IP-driven calling cards is a perfect example of how deltathree's Hosted Communications Solutions can be used to enhance branding and strengthen customer loyalty," said Noam Bardin, President and CEO of deltathree. "These offerings enhance the customer value proposition and augment revenue streams with minimal upfront investment."

To make a phone call over deltathree's award-winning IP telephony network NextCard credit cardholders will simply enter their NextCard Global Calling Card PIN number. To activate the account and load calling minutes onto the cards, customers will log onto NextCard's account management site (my.nextcard.com) and input the increments they wish to purchase, which will be billed directly to the credit card. NextCard cardholders will receive 30 free minutes for the initial sign up when the service launches later this month.

"NextCard continuously strives to expand the functionality of our credit cards for our customers," said Yinzi Cai, general manager of Credit Card Business, for NextCard. "Enabling credit cards as communications devices is a natural evolution for us, given our consumer focus."

With over 500,000 customers, a network of over 60,000 affiliates and exclusive relationships with leading online brands including Amazon.com (Nasdaq:AMZN) and MyPoints (Nasdaq:MYPT), NextCard is the leading issuer of online credit cards and one of the top direct marketers and advertisers on the Internet. The Company owns minority stakes in Flooz.com, the premier online gift currency, and Paytrust.com, the leader in online bill payment.

About deltathree

A provider of cutting edge Internet telephony services and infrastructure for service providers worldwide, deltathree's global network consists of a full range of Internet-based communication products and services. The company's customizable Hosted Communications Solution enables any company to develop branded telecommunications services without having to build infrastructure, billing, customer service and e-commerce systems to support them. All these services are provided by deltathree in addition to the company's suite of Internet-based communication products that include PC-to-Phone calling, Phone-to-Phone calling, unified messaging (which allows users to manage their emails, faxes and voicemails using a single account), and ClickIT(TM) (which enables visitors to a website to place a call to a customer service representative using their PC). deltathree's corporate website can be found at corp.deltathree.com.

deltathree's experience in providing innovative products and services is based on the development of its own customer base of over 3.2 million users through its consumer division iConnectHere.com (www.iconnecthere.com).

deltathree currently routes IP telephony traffic in over 160 countries and for 14 international telecommunications carriers. The company's network consists of 107 Points of Presence in over 40 countries. deltathree recently received the Best Built Public Network Award for excellence in IP services/applications at SUPERCOMM 2000, a major industry commendation, and was named the best IP telephony provider by Smart Money magazine.

About NextCard, Inc.

Launched in 1997, NextCard, Inc. (www.nextcard.com) was the first company to offer instant online credit card approval, a choice of customized credit card offers, personalized PictureCard(SM) designs, and exceptional online customer service. NextCard is committed to providing the most robust consumer shopping experience on the Internet and has continued to innovate with its complete GoShopping!(SM) service, NextCard Concierge(SM) one-click shopping companion, online bill payment services, and comprehensive rewards program.

NextCard has twice been named the number one Internet credit card by Gomez Advisors. The former Webby-Award nominee was also ranked the number one credit card that Internet consumers would consider for use in ZDNet's 1999 BrandIQ study and named a top 50 financial Web site by Money magazine. NextCard has been featured in Upside's Hot 100 companies to watch and The Standard's 100 most influential companies in the Internet economy.