Growing financial institutions are seeing the convergence of two trends impacting their ability to remain competitive. First, new standards put in place by the US government and credit card vendors are requiring these institutions to invest in compliance technology. Second, both the Americans With Disabilities Act (ADA) and a new encryption standard for Personal Identification Numbers (PIN) known as Triple DES (Date Encryption Standard) are at the forefront of the compliance issue. These compliance issues are compounded by the industry-wide consolidation of large financial institutions, forcing regional and community financial institutions to find new ways to remain competitive.

The new offering from IBM is not only focused on giving these financial institutions the ability to be compliant but also extending their ability to be competitive by offering new advanced functionality and services through their ATMs. IBM will leverage the unique industry expertise of Jack Henry and the advanced ATM technology of Wincor Nixdorf to deliver the solution including the implementation and maintenance through IBM Global Services.

Jack Henry, a Premier Business Partner who has teamed with IBM to deliver integrated solutions to over 1,800 banks and credit unions, will assist customers with the integration of the new advanced ATM technology into their institutions while leveraging Jack Henry's PassPort EFT switch technology. "We believe this offering opens the door to a new set of opportunities which further extends our successful relationship with IBM," said Tony Wormington, chief operating officer of Jack Henry.

The front-end of the new solution will feature Wincor Nixdorf's advanced ATM machines. Models like the PC1500xe cash dispenser, PC2150xe through the wall full function ATM and PC2250xe drive up ATM are compliant to the new standards and offer several new features including improved personalization and check image capturing. "We are pleased to be teaming with IBM and with Jack Henry. This combination will provide important new opportunities for customers throughout the US. These solutions will be built on quality, state of the art products, services and software," said Jeff Kalinoski, vice president of Banking for Wincor Nixdorf.

Two clients have already placed orders for the new IBM Wincor Nixdorf solution including Susquehanna Bancshares, Inc. a financial services holding company based in Pennsylvania and Michigan First Credit Union. According to William J. Reuter, chairman, president and chief executive officer of Susquehanna Bancshares, the timing of this new solution could not be better. "Multiple industry issues are forcing us to look at areas where we can invest in solutions that are not only compliant but also will give us an edge in an increasingly competitive marketplace," said Reuter.

"With new competitive pressures emerging everyday it is important for institutions like ours to find ways to differentiate our services," said Michael Poulos, president and chief executive officer of Detroit-based Michigan First Credit Union. "Through advanced ATM functionality we can deliver higher value services to our customers further expanding our relationship."

The new solution is available directly through IBM or Jack Henry.