RDM Launches Xign, Inc.
- New Company to Capitalize on Huge North American e-Payment Market
Opportunity -
WATERLOO, ON, June 1 /CNW/ - RDM Corporation (RDM), a leading developer
of specialized software and hardware products for both Internet electronic
commerce and paper payment processing, today announced that it has established
a new U.S. based subsidiary named Xign, Inc. ("Xign"). Xign will focus on the
creation, development and commercialization of technologies that allow users
to both send and receive payments securely over the Internet.
"The North American B2B e-payment market is an enormous opportunity,"
said Robert Nally, RDM's Chairman. "With Xign, Inc. we intend to exploit that
market in the most successful way possible. The new company will have a head
office in Silicon Valley to capitalize on the wealth of high-tech expertise,
management, investor base, and strategic partners in the area; moreover, a
U.S. base will increase our exposure to U.S. markets and assist in our goal of
becoming North America's leading provider of simple to use yet secure e-
payment currency."
Xign, Inc. was created by RDM to focus exclusively on the development and
marketing of electronic payment methods primarily for B2B transactions.
Combining XML, the language of the Internet, and digital signature
technologies, Xign's electronic payment solutions are modeled after the paper
check in all aspects of functionality. The use of a digital signature and a
corresponding certificate verifies the identity of the payer and allows a
business to send payments via e-mail in a secure manner. Separate encryption
of the e-mail ensures privacy of the transmission. This sophisticated, secure
yet user-friendly technology is being used today by the U.S. Treasury to e-
mail digitally signed and encrypted checks that range in value from $5 to
$750,000.
A key feature of Xign's payment solution is that no special arrangement
with a bank is required prior to use. Xign's payment solutions utilize the
Automated Clearing House (ACH) network which links all U.S. banks, thereby
enabling any two trading entities with U.S. bank accounts to use Xign's
electronic payment solution. The result is a fast, efficient, low cost, secure
and widely accessible system of electronic payment delivery.
In 1999 alone, U.S. businesses wrote approximately 40 billion checks and
this number continues to grow annually. Business-to-business e-commerce is
expected to be worth U.S.$1.3 trillion by 2003. Xign believes use of its
quick, easy to use, secure electronic payment solution will grow alongside use
of the Internet for business purposes.
CVF Corporation, one of RDM's shareholders, has introduced Xign to two
U.S. based investment bankers to assist in obtaining financing and strategic
partners.
About RDM Corporation
RDM develops and provides electronic check conversion systems and web-
based payment archive services to retailers, banks and government agencies, as
well as print quality control technologies to banks, printers and payment
processors in over 35 countries. Through its e-commerce division, Xign, Inc.,
RDM provides e-payment technology to businesses that allow them to safely e-
mail digitally-signed payments over the Internet. RDM Corporation is a public
company listed under the symbol "RC" on the Canadian Venture Exchange.
RDM Corporation
Canadian Venture Exchange: RC
www.rdmcorp.com
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For further information: please contact: Jay Hussey, Investor Relations,
The Equicom Group Inc., (416) 815-0700, ext 225 phone, (416) 815-0080 fax,
e-mail: jhussey@equicomgroup.com; Douglas Newman, CFO, RDM Corporation,
(519) 746-8483 phone, (519) 746-3317 fax, e-mail: dgn@rdmcorp.com;
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