Phonecards On-Line - Published by Alan H. Cohen

June 28, 1998


Issue 131

Current Circulation: 2,900+


Phonecards On-Line is Published by Alan Cohen


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In This Issue:

PRESS RELEASES

VFW Phonecards

WASHINGTON, June 26 /PRNewswire/ -- Operation Uplink, the VFW program that provides free pre-paid phone cards to active duty troops and hospitalized veterans, announced plans today for a major effort to provide Operation Uplink cards in the Washington D.C. area over Independence Day weekend.

According to organizers, the program will be hosting distributions at six Washington area military bases with at least one additional event specifically for hospitalized veterans. Together, the effort is expected to provide some 25,000 phone cards to area troops and hospitalized veterans during just that weekend alone. Some 15,000 of the phone cards planned for distribution are gifts from IDT Corporation, a telecommunications company based in Hackensack, NJ.

"There is no more appropriate time to honor those individuals who serve -- or have served -- in our Armed Forces than Independence Day," said John E. Moon, VFW Commander-in-Chief. "After all, these are the people who have protected our very way of life, and I can think of nothing they would like better than to contact those most important to them on this patriotic day."

Operation Uplink was developed to help ease the hardship of the more than 2,000,000 hospitalized veterans and active duty military personnel who face the day-to-day struggles of being far away from home. Even worse, the cost of long distance phone calls can create a severe strain on military families or veterans whose finances are already depleted.

The events are organized and hosted by VFW Posts and Departments and made possible through the generous donations of time and financial contributions of VFW members and supporters.

Started almost two years ago, Operation Uplink has already distributed nearly 70,000 pre-paid phone cards to hospitalized veterans and active duty military personnel around the world.

Since its inception, the program has received tremendous recognition. In fact, over the 1997 holidays, President Clinton distributed 400 Operation Uplink cards to young Americans serving on peacekeeping forces.

This past year, Operation Uplink was also recognized from the Senate floor. Senator John D. Rockefeller (D-WV, Committee on Veterans Affairs) noted, "We all realize that a phone is more than a modern convenience; it is a lifeline to the outside world for a sick veteran ... this project is a tribute to the many veterans who believed in the principles of freedom and democracy strongly enough to risk their lives in the name of freedom."

The VFW, founded in 1899, is America's oldest major veterans organization. More than 2 million members served overseas during World Wars I and II, the Korean War, Vietnam, Panama, Grenada, Lebanon, the Persian Gulf War, Bosnia, Somalia and Haiti, as well as in many smaller occupation and expeditionary actions.

To learn more about Operation Uplink, write to: Operation Uplink, VFW National Headquarters, 406 W. 34th Street, Suite 219, Kansas City, MO 64111, call 1-800-479-5228 or visit VFW's website at www.vfw.org.

Cash Card News

SAN FRANCISCO, June 22 /PRNewswire/ -- Visa International today announced that common global specifications for the electronic purse (stored value) will be published later this year, paving the way for world-wide interoperability of electronic purse schemes.

Joining Visa in making today's announcement were two of the world's largest operators of domestic electronic purse programs -- the ZKA in Germany and SERMEPA in Spain. The three partners together account for the majority of the world's electronic purse cards and have a strong presence in the majority of the countries where electronic purses are currently used.

The agreement between ZKA (Zentraler Kredit Ausschuss, which represents the German banking industry and operates the Geldkarte scheme), SERMEPA (the technology subsidiary of Visa Espana, which represents over 150 financial organizations and operates the world's largest Visa Cash program), and Visa International, will mean that the 50 million electronic purse cards issued by the various members of the three associations will become interoperable. This effort has been the result of a task force integrated by Visa International, ZKA and SERMEPA over a one year period.

To date, most electronic purse schemes have been national systems with no international utility. Visa has been pushing for common specifications for some time and had publicly committed to working with other schemes to broker a standard. Today's announcement is a major breakthrough to establish a truly international electronic purse standard.

Commitments to adopt the new common specifications, once they are published, have also been received from the Italian electronic purse operator, SSB, and the national payment organization in Sweden.

Existing Visa Cash schemes in 17 countries around the world and over the Internet, including five programs in Latin America which use technology developed by SERMEPA, will be able to migrate to the common specifications. There are currently over eight million Visa Cash cards world-wide. The electronic purse schemes operated by the ZKA, SERMEPA and Visa International account for more than half of the world's total electronic purse cards.

The move is particularly significant for Europe, where the 1999 introduction of a common currency -- the euro -- has created added impetus for a suitable cross border electronic purse solution. In the future, the new standard will allow cardholders to make purchases with electronic purses in euros when travelling around Europe. It is also crucial for the use of electronic purse cards over the Internet, since cardholders will be able to conduct international transactions without having to leave their homes.

The global electronic purse specifications, available later this year, will make use of public key technology and ensure that each electronic purse is capable of holding multiple currencies.

Cardholders will be able to store their home country's currency, the euro and any other foreign currencies all on one card.

Edmund P. Jensen, president and CEO of Visa International, said, "Europe has led the way in the development of the electronic purse so it is entirely appropriate that common standards should have been forged by Visa International and the major European schemes. These joint efforts will provide a significant boost for the growth of the electronic purse, not just in Europe but world-wide. It means that one common system will be adopted by Visa Cash and the other brands. It will enable cardholders to use their cards internationally, and it will stimulate an explosion in the number and range of different devices which can accept the electronic purse. This is good for consumers, retailers and banks."

Hans van der Velde, president of Visa European Union region, said, "For Europe, this is essential. The arrival of the euro means we have to have a system which cuts across borders and offers the same convenience and flexibility for consumers as a single currency. Our work with the ZKA and SERMEPA means that we are building a truly international card payment infastructure based on powerful chip technology. This will protect our members' investments and interests, contrary to the strategies of other global players. I believe this is the foundation on which all card payment systems will operate and is a major step towards the future."

According to Manfred Kruger, chairman of the ZKA chip working group, "With interoperability now guaranteed, it seems that we can be certain of future growth. The development of these specifications will ensure that the investments which have been made to date will be leveraged and the smart card industry as a whole will receive a significant boost."

Jose Manuel Gabeiras, managing director of Visa Espana, said, "There has been a proliferation of electronic purse programs over the past six years and now, with the experience gained, it has become necessary to migrate to common specifications and realize the associated benefits, such as reduced infrastructure, development and implementation costs."

The electronic purse, or stored value card, is widely seen as an important application for chip-based payment cards. Numerous other applications, such as credit/debit and storing loyalty points or cardholder information, can also be added to provide true multifunction smart cards.

As the world's best way to pay, Visa is the preferred payment brand and the largest consumer payment system world-wide with more volume than all other payment cards combined. It plays a pivotal role in advancing new payment products and technologies to benefit its 21,000 member financial institutions, their cardholders and the global economy. As the leader in emerging technologies, Visa has more then 70 smart card programs in 31 countries and on the Internet, with 22 million Visa chip cards, including over eight million Visa Cash cards. Visa is pioneering SET Secure Electronic Transaction programs to enable and advance Internet commerce. Visa's 642 million cards, generating over U.S. $1 trillion in annual volume, are accepted at over 15 million world-wide locations, including 400,000 ATMs in the Visa Global ATM Network. Visa's Internet address is www.visa.com.

New Gillette Phonecard

VIENNA, Va.--(BUSINESS WIRE)--June 18, 1998--ATCALL Inc. has created a prepaid phone card to promote the new Gillette MACH3 razor to be introduced early this summer.

ATCALL has produced prepaid phone cards with a design of the new MACH3 razor on the front. Gillette Sales Representatives will distribute the phone cards at the General Merchandise Health and Beauty Care Conference this month. The remainder of the phone cards may be used in subsequent customer mail-outs.

While Gillette also manufactures batteries, writing instruments and toothbrushes, the company is best known for it's shaving products. The triple-blade MACH3 razor will be available at retail locations this July. The new razor is expected to further strengthen Gillette's worldwide leadership position in blades and razors.

Headquartered in Vienna, ATCALL, www.atcall.com, offers a complete line of telecommunications products and services including residential and commercial long distance, calling cards and prepaid phone cards.

ATCALL has significantly expanded its presence in the retail prepaid phone card market by establishing distribution channels with mass merchandisers, supermarkets and drug store chains.

ATCALL is a member of various telecommunications industry organizations including the International Telecard Association (ITA) and the Telecommunications Resellers Association (TRA).

PROMOTIONAL OFFERS

ARCO Gas Card Discount

Available from Southern California ARCO Gas Stations Get your card smog checked, and receive a $5 preopaid gas card. I will be doing this tomorrow, so I can report more about this card in the future.

Dodgers Pac Bell $10 and $20 cards

According to the latest Dodgers Newsletter, $10 and $20 Pac Bell cards co-branded with the Dodgers logo are available at the stadium. I just returned less than an hour ago from the game (dont ask me about the results of the game!) but I was unable to find a card anywhere. Someone suggested the main gift shop, someplace I was not willing to go to. Maybe next time.

Until Next Time,

Alan

Distribution

Phonecards On-Line is published by Alan Cohen. It is a weekly newsletter devoted to phonecards - Current news, viewpoints, and reviews of new issues. It is distributed free of charge, and available two ways.

1) On-Line on the World Wide Web. The address is: http://www.cardmall.com - All back issues are archived at the web site!

2) Direct e-mail. Send a message to: phoneline@cardmall.com

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