FTU selects Derivion for EBPP ..
PTEK ventures subsidiary has Derivion stake ..
Only way to play that I'm aware of ..
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Tuesday January 11, 9:02 am Eastern Time
Company Press Release
SOURCE: Derivion
First Union Selects Derivion to Enable Internet Billing For Thousands of Small and Mid-size Billers
Alliance Empowers Fastest-Growing Businesses Segment With Leading Electronic Billing Application and Link to Spectrum Partnership
ATLANTA, Jan. 11 /PRNewswire/ -- Derivion, the premier application service provider in the Electronic Bill Presentment and Payment (EBPP) market, and First Union (NYSE: FTU - news), the nation's sixth largest bank holding company and second largest e-commerce initiator, announced today a joint initiative to provide EBPP to small and mid-size billers. First Union will leverage Derivion's inetBiller(SM) service offering, along with its Spectrum partnership, to deliver a turnkey electronic billing solution that will fill a significant gap in the EBPP arena.
Enabling small and mid-size billers to present and pay bills on-line enhances First Union's EBPP offering and supports its strategy to provide Internet-based billing solutions that help companies of all sizes take advantage of the benefits of electronic bill presentment and payment. In addition, First Union's participation in the Spectrum partnership, which they formed with Chase Manhattan Corporation and Wells Fargo, and now includes 11 other financial institutions, provides billers with a single connection to reach a critical mass of consumers.
The Derivion and First Union alliance makes it easier for billers to make the transition from paper-based billing to electronic billing. Derivion's inetBiller service operates as a transparent extension of the existing billing systems, leaving the biller in command of the application and their customer relationships. Additionally, the biller is not required to invest in additional software, hardware, or network capabilities. As the nation's largest retail and second largest wholesale lockbox provider, First Union can now provide its extensive base of billing customers with a complete electronic billing solution that can be implemented in 30 to 60 days, without disruption to their current receivables. ``More and more of our customers are being asked to expand their service offerings to include Internet billing,' says Alison Quigley, Vice President and Product Manager for First Union's Global Electronic Payments. ``Today's billers are motivated to offer Web-based presentment and payment options to meet customer demand. Helping them succeed in their transition to EBPP is an essential part of our strategy to provide value-added solutions that enhance our customers' treasury operations. Derivion's flexible and comprehensive solution enables billers to focus on their core business while leveraging Internet-based technologies to enhance customer service and identify new revenue opportunities.'
Greg Rable, Derivion's CEO, agrees. ``The number of small and mid-size businesses is quickly escalating in today's entrepreneurial-friendly environment. These companies represent the innovation that is driving business growth today. We designed inetBiller specifically to address the needs of this segment without compromising customer control or existing treasury management relationships. First Union's embrace of that approach further validates our solution, and we look forward to the increased attention and acceleration their efforts will bring to EBPP adoption.'
inetBiller can be rapidly deployed for small to mid-size billers, with a total implementation time of 30-60 days from contract signing to delivery of the first electronic bill. This period covers all steps necessary for a complete EBPP implementation, including: designing the online bill, setting up interfaces to the existing billing system, presenting the bills, promoting the service, and launching the customer enrollment process. Costs include a one-time start-up fee and a low transaction fee for each bill presented.
``GartnerGroup's latest survey of over 170 businesses found that outsourcing services are a popular choice for billers starting up Internet billing operations,' comments Avivah Litan, Research Director for GartnerGroup's Financial Services. The survey also found that most billers expect their banks to take an active role in Internet billing, especially because businesses trust their banks. Banks need to partner with e-billing companies to achieve a leading market position.``
Separately, Derivion recently announced the addition of Baltimore Gas and Electric (BGE) to its growing customer list. In an initial validation of the Derivion and First Union relationship, Baltimore Gas and Electric Company (BGE) of Baltimore, Maryland, a long-time customer of First Union, has already contracted with Derivion to implement inetBiller. BGE was the nation's first gas utility company and one of the earliest electric utilities. BGE services Baltimore City and 10 Central Maryland counties, sending out over one million bills per month. BGE's selection of Derivion allows it to continue offering the highest level of customer service while maintaining its current banking relationship, with First Union processing its ACH items, and ensuring a smooth transition from paper-based to electronic billing.
About First Union
First Union (NYSE: FTU - news) is a leading provider of financial services to more than 16 million customers throughout the East Coast and the nation. At September 30, 1999, First Union had assets of $235 billion. The company operates full-service banking offices in Connecticut, Delaware, Florida, Georgia, Maryland, New Jersey, New York, North Carolina, Pennsylvania, South Carolina, Tennessee, Virginia and Washington, D.C. and brokerage offices in 41 states nationwide. First Union is also a mortgage lender in all 50 states, and a founding member of the Spectrum partnership of banks.
About Derivion
Derivion is an application service provider offering turnkey EBPP services to companies driven by recurring billing, such as those in telecommunications, utility, insurance, and financial services. Derivion's inetBiller(SM) service provides complete EBPP implementation including electronic bill design, email notification, bill presentment, payment processing, enrollment marketing, and customer care. These capabilities provide billers with a competitive advantage, enabling them to make bill delivery and bill payment simple and convenient for their customers and providing a path to electronic bill consolidation at different consumer access points as needed. The Atlanta-based company was founded in 1998 and maintains research, development, and additional sales offices in Toronto, Canada. For more information about Derivion, please visit www.derivion.com .
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Jim in CT .. |
