USTT USA Technologies Awarded $20 Million e-Port Contract For NYC Taxis And
Limousines; Greater security and new revenue streams for taxi & limousine
industry
Business Editors
WAYNE, Pa.--(BUSINESS WIRE)--Sept. 5, 2001--USA Technologies, Inc.
(OTC Bulletin Board: USTT) will install 15,000 e-Port(TM) devices in
taxis and limousines operating in New York City.
The deal with United Taxi Alliance (UTA), one of the biggest taxi
and limousine companies in the world, is valued at $20 million over
three years, and represents one of USA Technologies' biggest contracts
since e-Port was first unveiled a little over 20 months ago. This deal
could revolutionize the global mass transit marketplace and open up
new revenue streams for taxi and limousine operators.
"e-Port, with its leading edge cashless payment technology, will
immediately and dramatically improve security because there is no need
for cash transactions," said Peter Roman, President, United Taxi
Alliance. "And because it comes equipped with an interactive LCD
screen capable of advertising and promoting products and services, it
offers taxi and limousine companies new revenue sources. These
companies will be able to share in advertising revenue, and add
entertainment value to a passenger's commute by delivering content,
such as news, weather and sports," he added.
"New York is the gateway to the United States and perhaps the most
influential marketplace in the world for the taxi and limousine
industry; there is no more challenging or exciting marketplace to
demonstrate e-Port's many unique advantages and benefits to the global
traveler," said Stephen P. Herbert, President and Chief Operating
Officer, USA Technologies, Inc. "e-Port will change the way people,
including the riding public, view public transportation. Everything,
from how a passenger pays for the fare, to how they inform and
entertain themselves during the ride will be vastly improved," said
Mr. Herbert.
In the United States alone it is estimated that there are
approximately 6,300 taxi companies transporting 1.4 billion passengers
annually, and there are more than 1,200 limousine companies
transporting 400 million passengers annually.
Although some cabs already allow passengers to pay by credit card,
the card reader/imprinter is typically a cumbersome hand held device
that needs to be passed manually to passengers for their signature at
the end of the trip. This still exposes drivers to considerable
inconvenience and risk. In contrast, the e-Port card reading device
will be fitted in the front of the cab or limousine. Passengers pass
their credit or bank cards to the driver in a more secure environment
who then swipes the card through the e-Port device to activate the
transaction before the trip begins. At the end of the trip the driver
passes the passenger a complete receipt that itemizes the distance
traveled and cost, and can also include the tip. The e-Port's
interactive screen will be fitted in the back of the cab or limousine
for convenient viewing.
The first of several thousand e-Ports could begin appearing in New
York cabs and limousines in January 2002. The initial contract is to
install e-Ports in 15,000 UTA taxis and limousines.
USA Technologies cashless e-Port technology is already changing a
number of industries, and the way consumers use traditional
technology, such as coin operated vending and laundromat machines,
office equipment, and point of sale (POS) terminals. E-Port is
converting what were once considered "dumb terminals" into intelligent
machines connected to networks and the Internet, capable of conducting
e-commerce and m-commerce and delivering advertising and content.
"We are spearheading a revolution in a number of growing and
influential marketplaces, and we're fundamentally changing the way
businesses offer and promote their products and services, and the way
customers make their purchases," said Mr. Herbert. "With our recent
introduction of e-Port Wireless to reduce costs and speed up
transactions in vending, our success with unattended business centers,
our entry into the coin operated laundromat and car wash industries,
and now our drive into the mass transit marketplace, we are rapidly
fulfilling our vision of a cashless global marketplace. This means
that more and more business is being conducted via swipe card
technology, including micro transactions as low as $1.00," he said.
"USA Technologies is targeting a variety of additional industries,
including postage machines, gas pumps, overnight delivery services,
additional mass transport industries such as bus and rail, and
non-traditional POS and vending machines that provide cellular phones,
pre-paid telephone cards, gourmet foods, and other products and
services."
USA Technologies' e-Port, the world's first non-PC e-commerce
device, allows consumers to make purchases at a vending machine with
the swipe of a credit card, smart card or bank or debit card for as
low as $1.00. USA Technologies is already recognized as a world leader
in cashless and micro transactions.
About USA Technologies:
USA Technologies is recognized as a leader in cashless micro
transactions and interactive media technology and associated financial
services. USA Technologies provides credit card activated and other
cashless systems, allowing end users, ranging from consumers to
business professionals, to communicate, conduct business or make
ordinary commerce transactions, outside of the home or workplace. USA
Technologies is an IBM (NYSE: IBM - news) Business Partner and an
inaugural member of the Sprint (NYSE: FON - news) Enabling Application
Service Provider Program for e-commerce. It has also established
relationships with a number of global IT, multimedia, and
telecommunications companies including Marconi Online Systems, RadiSys
Corporation, DoubleClick Inc., and Xerox Corporation. Visit the USA
Technologies home page at www.usatech.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, economic, competitive, governmental,
results of litigation, validity of intellectual property and patents
of USA, the ability of USA to commercialize its developmental
products, technological and/or other factors, which are outside the
control of the Company.
--30--jtp/ny*
CONTACT: Investor Relations Contacts:
Dian Griesel, Ph.D.
Juan Dominguez
The Investor Relations Group
212/825-3210
or
USA Technologies Contacts:
George R. Jensen, Jr., Chairman & CEO
Stephen P. Herbert, President & COO
800/633-0340
e-mail: sherbert@usatech.com
KEYWORD: PENNSYLVANIA
INDUSTRY KEYWORD: ADVERTISING/MARKETING BANKING ENTERTAINMENT
GOVERNMENT RETAIL
SOURCE: USA Technologies
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