Printer Friendly

DIEBOLD AND SCHLUMBERGER JOIN FORCESTO PENETRATE EFT/POS MARKET IN THE UNITED STATES

 CANTON, Ohio, Sept. 22 /PRNewswire/ -- The nation's largest manufacturer of automated financial self-service terminals, Diebold, Incorporated (NYSE: DBD), signed an agreement today with Schlumberger Limited (NYSE: SLB), to become an exclusive distributor of Schlumberger electronic funds transfer/point-of-sale (EFT/POS) terminals in the United States. Terms of the agreement were not announced.
 A multinational corporation with world headquarters in New York City and more than $6 billion in annual sales, Schlumberger is a leader in the manufacture of electronic transaction systems and smart cards.
 "We are pleased to join forces with Schlumberger and expand our offering of total systems solutions," said Robert P. Barone, Diebold vice chairman. "This agreement continues Diebold's strategy of growing our core self-service businesses."
 The two companies will focus on the growing debit terminal market in the United States, which has grown by more than 45 percent since 1990, totaling 95,000 terminals in 1992, according to POS News. This number is expected to increase more than tenfold to reach 1.1 million installed terminals by 1997, according to the Freedonia Group, Inc.
 "By working together, Diebold and Schlumberger will become an even stronger catalyst in the advancement of EFT systems," said Gerard Buffiere, vice president and general manager, Schlumberger Test and Systems division. "Our agreement is an important step in this direction."
 Diebold's current POS debit card products now account for more than 10 percent of the installed EFT/POS debit terminals. Diebold has been in the electronic funds transfer industry since its start in the mid- 1970s, and has marketed debit terminals since 1986.
 "We expect sales of EFT/POS debit systems will grow exponentially over the next several years as consumer acceptance continues to rise and the government steps up its electronic benefits transfer (EBT) programs," Barone said. "By combining Schlumberger's vast resources in electronic transactions and smart card technologies with Diebold's systems integration and self-service debit card expertise, we are well- positioned to substantially influence electronic payments systems development."
 Rising EFT/POS terminal growth has been accompanied by rapid expansion of EFT transaction volumes. According to The Nilson Report, there were more than 3.5 billion POS credit card transactions and 160 million debit transactions in 1992. The Nilson Report forecasts nearly 5.5 billion POS credit card and 600 million debit card transactions by 1997.
 The new Diebold terminal family will be among the first in the United States capable of performing credit and debit card transactions while using both magnetic stripe and smart card technology. Smart cards have an integrated computer chip embedded in the plastic. The chip increases the function and security of the card. These cards can substitute for cash via pre-authorized value held in the chip memory.
 The increasing use of dual technology cards and electronic terminals that accept them are important industry trends. Major banks are moving to incorporate these technologies. While magnetic stripe cards are dominant in the industry today, the use of smart cards and dual technology cards continues to rise.
 The new Diebold terminals will be supported by Diebold's extensive service organization, with more than 400 locations throughout the United States.
 "This agreement is the result of extensive market research and represents the initial strategic thrust of Diebold and Schlumberger to become a major influence in the evolution of EFT systems in world markets," Barone said.
 Headquartered in Canton, Ohio, Diebold (NYSE: DBD) is a world leader in financial self-service transaction systems, security products and customer service. Founded in 1859 as a security equipment company, Diebold today develops, manufactures, sells and services automated teller machines (ATMs), POS systems, electronic and physical security systems, facility products and software for global financial and commercial markets.
 -0- 9/22/93
 /CONTACT: John Kristoff of Diebold, 216-588-3782/
 (DBD SLB)


CO: Diebold, Incoporated; Schlumberger Limited ST: Ohio, New York IN: CPR FIN SU: JVN

BM -- CL004 -- 4519 09/22/93 08:19 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Sep 22, 1993
Words:645
Previous Article:THE BENEFITS GROUP: EXECUTIVES ADVISED TO FOLLOW FIVE-POINT PLAN TO DEAL WITH GOVERNMENT'S HEALTH CARE REFORM PROPOSALS
Next Article:IAPA NEWSLETTER NAMES CATHAY PACIFIC, QANTAS, SABENA AND SINGAPORE THE WORLD'S SAFEST SMALL AIRLINES
Topics:

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters