MasterCard and USA Technologies Expand MasterCard® PayPass™ Acceptance to 17,500 Vending Locations Nationwide
Superior Customer Results Drive Deployment of More than 4000 More Cashless Payment Terminals
PURCHASE, NY, February 13, 2008--MasterCard Worldwide and USA Technologies Inc (NASDAQ: USAT) today announced the expansion of ePort cashless payment terminals to 17,500 vending machines nationwide, adding more than 4,000 new locations that accept MasterCard PayPass contactless payments. These locations are throughout New Hampshire, New Jersey, California, Washington, Michigan, Illinois, Florida, North Dakota, Ohio, Arizona, Texas, Georgia, Massachusetts, Maryland, Iowa, Minnesota and New York.
The move to expand cashless deployment in vending machines was driven by positive feedback from consumers, vending operators and soft drink bottlers, as well as increased sales at machines that accept contactless payments.
"MasterCard PayPass contactless payments provide consumers with the fast and convenient experience they seek when making purchases at vending machines," said Gerritt Kerkstra, Senior Vice President, Acquirer Relations, MasterCard Worldwide. "When not limited to the cash they have on hand consumers are able to purchase what they want resulting in higher sales."
Among those who have decided to add or further expand ePort cashless technology to their fleets of vending machines are Ace Vending, Canteen Vending Services, Continental Vending, Continental Services, Custom Foods, Evergreen Vending, Fantasy Entertainment, McLiff Vending, Mid-Atlantic Vending, Peachtree Vending, Proformance Vending, Sanese Vending and Coca-Cola Enterprises, who has equipped an additional 2,450 vending machines to accept credit and debit cards through the ePort services.
"The ability to offer credit and debit card payment options to vending has had a big impact on business performance, with vending machines equipped with the ePort. This includes 20%, 30% and in some cases 50% increase in year-over-year sales revenue growth," said George Jensen, Chairman and CEO, USA Technologies Inc. "Surveys of our customers are showing that on average, consumers' card purchases are 30% higher than cash purchases in our deployments that accept MasterCard PayPass."
"We are pleased to see our customers benefit from offering consumers the ease and convenience of using their credit and debit cards to make payments at vending machines," said Mr. Jensen, "It is apparent from latest performance results that cashless payments are helping vending operators and bottlers provide a higher level of service and satisfaction, which in turn is driving greater revenue and improved profitability for them. These positive results have laid the foundation for increased adoption of credit/debit in vending, and a corresponding increase in sales and demand for the ePort products and services."
To make a transaction at MasterCard PayPass ePort activated vending machines, consumers tap their PayPass-enabled payment card or device on the ePort terminal. The terminal flashes a light and displays a message to signal the completion of the transaction in seconds. Traditional magnetic stripe cards are also accepted.
The latest deployment of 4000 more cashless terminals reinforces that there exists a trend in the vending industry to convert to cashless transactions.
About MasterCard PayPass
MasterCard PayPass is ideal for traditional cash-heavy environments where speed is essential, and has led the way in bringing contactless technology to consumer categories such as quick serve restaurants, drug stores, gas stations, vending machines, convenience stores, sports arenas, movie theaters, transit systems and parking garages. There are nearly 13 million PayPass cards and devices issued globally, and PayPass is currently accepted globally at 46,000 merchant locations, including participating 7-Eleven, CVS, McDonald's, Regal Entertainment Group theaters and many others. PayPass is also accepted at numerous football and baseball stadiums. For more information about MasterCard PayPass and a full list of participating merchants, visit www.mastercard.com/PayPass.
About MasterCard Worldwide
MasterCard Worldwide advances global commerce by providing a critical economic link between financial institutions, businesses, cardholders and merchants worldwide. As a franchisor, processor and advisor, MasterCard develops and markets payment solutions, processes close to 14 billion payments each year, and provides industry-leading analysis and consulting services to financial institution customers and merchants. Through its family of brands, including MasterCard®, Maestro® and Cirrus®, MasterCard Worldwide serves consumers and businesses in more than 210 countries and territories. For more information go to www.mastercardworldwide.com.
Statement under the Private Securities Litigation Reform Act:
With the exception of the historical information contained in this release, the matters described herein contain forward-looking statements that involve risk and uncertainties that may individually or mutually impact the matters herein described, including but not limited to product acceptance, the ability to continually obtained increased orders of its products, the ability to meet installation goals, economic, competitive, governmental impacts, whether its pending patents will be granted or defendable; validity of intellectual property and patents of USA, the ability of USA to license its patents, the ability of USA to commercialize its developmental products, technological and/or other factors, which could cause actual results or revenues to differ materially from those contemplated by these statements.
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