Blockbuster Selects VeriFone Payment Terminals and Service for National Rollout; Video Retailer Installs 12,000 VeriFone Everest Terminals for Debit and GiftCard Payment.

SANTA CLARA, Calif.--(BUSINESS WIRE)--Nov. 2, 1998--VeriFone announced today that Blockbuster(R) has chosen VeriFone technology and service to upgrade its point of sale for on-line debit and GiftCard acceptance in 3,400 locations.

The upgrade prepares Blockbuster stores for the future, extending to consumers the convenience and speed of customer-activated debit payment and enhancing the benefit of the popular Blockbuster GiftCard at the point of sale.

To date, about 3,000 VeriFone Everest(TM) point-of-sale payment terminals have been installed at over 1,000 Blockbuster stores nationwide. VeriFone Support Services expects to install the remaining 2,400 Blockbuster locations with 9,000 Everest terminals by year end.

The initial interest in adding debit acceptance at Blockbuster stores was customer-driven. "Blockbuster is always looking for ways to improve the customer's experience through innovation and technology," said Joe Phillips, chief information officer for Blockbuster.

"VeriFone's terminals speed the checkout process for customers by adding a debit payment option that allows customers to make purchases even if they don't have cash on hand," Phillips continued. "The customer can use a debit card instead of cash, speeding up checkout by eliminating the need to count change. And, because the VeriFone payment terminals also accept the Blockbuster GiftCard, the technology extends to customers a convenient and unique way to give or receive entertainment fun."

"Blockbuster's creative use of its mag-stripe GiftCard program to expand revenue and marketing illustrates the value and return VeriFone solutions can provide," said Greg Rhine, VP and general manager, VeriFone North America. "As a leader in electronic payment solutions, VeriFone is pleased to position many of the nation's top retailers, like Blockbuster, for primacy in the electronic retail world of the future."

Blockbuster is the nation's leading renter of videos and video games with approximately 6,000 Blockbuster Video stores in the United States, its territories and 25 other countries. The company may be accessed internationally at www.blockbuster.com. Blockbuster is a unit of Viacom Inc., one of the world's largest entertainment and publishing companies and a leading force in nearly every segment of the international media marketplace.

VeriFone, Inc., a wholly owned subsidiary of Hewlett-Packard Company, is the leading global provider of secure electronic payment solutions for financial institutions, merchants and consumers. VeriFone has shipped more than six million electronic payment systems, which are used in over 100 countries.

Note to Editors: VeriFone, and Everest are registered trademarks or trademarks of VeriFone, Inc. in the US and/or other countries. All other company names, brands or products may be trademarks or registered trademarks of their respective owners.