Certegy signs MOU with Lafayette Services
22 October 2004 | 1422 views | 0
Source: Certegy Inc
Certegy Inc. (NYSE:CEY), a leading global payment services company, today announces the signing of a Memorandum of Understanding (“MOU”) with Lafayette Services, S.A., (“LASER”), a leading European provider for card, credit, and loyalty programs for retail and end consumers. The MOU contains the basic terms upon which Certegy intends to provide a wide range of card and loan processing services to LASER subsidiaries throughout Europe.
LASER, a subsidiary of the Galeries Lafayette Group, specializes in providing retailers with a comprehensive range of portfolio management and development services, and credit and loyalty enhancement solutions designed to generate value and maximize customer relationships. The transactions contemplated by the MOU are subject to Certegy and LASER agreeing on definitive terms in final documentation.
Under the terms of the MOU, Certegy intends to provide private label, bankcard, chip card, and consumer loan processing and support services to LASER subsidiaries located in five countries throughout Europe, including:
• Creation Financial Services and Sygma Bank (United Kingdom)
• PrimeLine Services B.V. (Netherlands)
• Credifin (Portugal)
• Banco Sygma Hispana (Spain)
• Fidexis (Belgium)
Certegy currently provides transaction processing, consumer call center and back office support services for approximately four million private label cards, bankcards and loans for Creation Financial Services. The final agreement should expand this relationship to include over two million additional card and loan accounts for IT processing for the other four subsidiaries. Certegy will process LASER's card and loan accounts on its proprietary industry leading BASE2000™ platform. BASE2000 was the industry's first third-party processing platform designed to support multinational card issuers. The company expects to reach a definitive agreement in the near future.
"We are delighted to expand our relationship with LASER, and look forward to a long and successful partnership with one of Europe's leading companies," stated Lee Kennedy, chairman and chief executive officer of Certegy.
"Certegy has been an excellent business partner for the past six years. The desire to expand our existing relationship is based on the flexibility and sophistication of the BASE2000 processing platform, Certegy's experience in managing global client systems, and their abtheir ability to support rapid growth while significantly reducing our operating costs," stated LASER's Jean Darrieu, managing director, international.