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UNOCAL TO OUTSOURCE PROCESSING FOR ITS PRIVATE LABEL CREDIT CARD

 SAN FRANCISCO, Oct. 22 /PRNewswire/ -- Unocal Corp. (NYSE: UCL) today said it has signed an agreement with First Data Resources (FDR) to provide data processing and related services for Unocal's credit card program.
 The conversion will move all credit card operations, now located in downtown San Francisco, to FDR's processing center in Tulsa, Okla. The move is expected to occur during the second quarter of 1994.
 "We made the move to an outside source for credit card processing as part of a company-wide effort to increase cash flow," said Robert B. Murtagh, manager for Unocal's credit card center. "We expect to reduce the cost of credit operations substantially by making this move."
 Murtagh noted that the company has been reviewing its credit card operations for several years. "The outsourcing with FDR represents the best course of action consistent with the long-term strategy of the company and the need to improve the profitability of every company operation," he said. Murtagh stressed that Unocal customers will see no difference in the use of their Unocal 76 credit card accounts with the changeover to FDR.
 Murtagh also pointed out that earlier this month Unocal introduced the first value-added MasterCard and Visa credit cards to be sponsored by a West Coast gasoline marketer. "This new bank card was one step in upgrading Unocal's approach to serving our customers and increasing revenues for the company," he said.
 The change to FDR will result in the closing of Unocal's credit card center in San Francisco. The closure will result in the loss of approximately 200 jobs at the credit card center. Some may be offered employment in other Unocal operations or in Tulsa with FDR.
 Another 25 employees, who will provide oversight of the credit card operations and maintain Unocal's Point of Sale (POS) network, will be relocated.
 Employees who remain on the job during the transition, and are subsequently released, will be eligible for special bonuses and benefits.
 After the closing of the credit card center, Unocal will evaluate future alternatives for the building, which is located in the Rincon Hill section of San Francisco at the foot of the San Francisco-Oakland Bay Bridge. The 65,000 square-foot, four-story building, with a 138-foot clock tower, was built in 1954.
 The closing of the credit card center will not have a material effect on Unocal's earnings.
 First Data Resources is the world's leading third-party provider of transaction card processing and related card-based services. FDR is a business unit of First Data Corp. First Data Corp. (NYSE: FDC) is a provider of high-quality, high-volume information processing and related services to the credit card, consumer funds transfer, teleservices, healthcare, mutual fund, receivables management and cable television industries.
 NOTE TO EDITORS: A Unocal credit card center representative will hold a briefing for the news media. Details are:
 WHO: Bob Murtagh
 Manager, Unocal Credit Card Center
 WHERE: Apostleship of The Sea
 399 Fremont St. (corner of Fremont & Harrison Streets)
 San Francisco
 WHEN: 11:30 a.m.
 CONTACT: Jim Bray, 415-362-7600, ext. 2202, or Barry Lane,
 213-977-7601.
 -0- 10/22/93
 /CONTACT: James H. Bray, 415-362-7600 ext. 2202, or Barry Lane, 213-977-7601/
 (UCL FDC)


CO: Unocal Corp.; First Data Corp. ST: California IN: OIL SU:

MF-EH -- LA010 -- 5725 10/22/93 12:19 EDT
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Publication:PR Newswire
Date:Oct 22, 1993
Words:543
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