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SAFECARD REPORTS THIRD QUARTER RESULTS; CITIBANK AGREEMENT EXTENDED TO DEC. 31, 1999; NEW MEMBER NAMED TO BOARD

 CHEYENNE, Wyo., Sept. 2 /PRNewswire/ -- SafeCard Services, Inc., (NYSE: SSI) today reported revenue of $42,055,000 for the third quarter of 1993 compared to $39,459,000 for the comparable period of 1992. Subscription revenue reached a record $39,717,000 for the third quarter of 1993 compared to $36,563,000 for the comparable quarter of 1992.
 Net earnings for the third quarter of 1993 were $7,492,000, or 27 cents a share, compared to $9,046,000, or 30 cents a share, for the comparable quarter in 1992. The decrease in net earnings in the third quarter of 1993 was primarily due to an increase in legal fees and a reduction in interest and other income. The third quarter of 1992 also included a $550,000 gain from the settlement of litigation.
 SafeCard also announced the company's agreement with Citibank (South Dakota), N.A., was extended from Dec. 31, 1997 through Dec. 31, 1999. During fiscal 1992, Citibank, who is SafeCard's largest customer, represented approximately 37 percent of SafeCard's subscription revenue. (NOTE TO EDITORS: Separate release follows.)
 The SafeCard board of directors also announced the election of Marshall L. Burman, a Chicago attorney, to its board. (NOTE TO EDITORS: Separate release follows.)
 Legal fees for the third quarter and nine months of 1993 were $2.3 million and $4 million, respectively, an increase of $1.9 million and $3 million compared to the corresponding periods in 1992. The legal fees incurred in the third quarter of 1993 relate primarily to the litigation with Peter Halmos, the company's former chairman of the board.
 Interest and other income decreased by approximately $.6 million in the third quarter of 1993 primarily because of lower interest rates during 1993.
 SafeCard Services, Inc. is the world's largest provider of credit card registry services and also provides other enhancement services through its credit card issuer clients.
 SAFECARD SERVICES, INC.
 Third quarter ended July 31 1993 1992
 Subscription revenue, net $39,717,000 $36,563,000
 Interest and other income 2,338,000 2,896,000
 Total revenue 42,055,000 39,459,000
 Earnings before income taxes $9,939,000 $12,050,000(A)
 Net earnings 7,492,000 9,046,000
 Earnings per share $.27 $.30
 Average shares 27,814,000 30,342,000
 Nine months ended July 31 1993 1992
 Subscription revenue, net $116,403,000 $109,601,000
 Interest and other income 8,239,000 8,519,000
 Total revenue 124,642,000 118,120,000
 Earnings before income taxes $33,221,000 $24,315,000(A)(B)
 Net earnings 24,916,000 18,224,000
 Earnings per share $.86 $.60
 Average shares 28,910,000 30,268,000
 (A) -- Includes gain from settlement of litigation of $550,000.
 (B) -- Net of $11 million estimated charge for relocation of the company's operations from Fort Lauderdale, Fla. to Cheyenne.
 -0- 8/2/93
 /CONTACT: Bob Stone of The Dilenschneider Group, 212-922-0900, or (home) 914-591-5534, or Gene Miller, investor relations, SafeCard Services, Inc., 407-852-1925/
 (SSI)


CO: SafeCard Services, Inc. ST: Wyoming IN: FIN SU: ERN PER

LG-TS -- NY011 -- 8436 09/02/93 12:51 EDT
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Publication:PR Newswire
Date:Sep 2, 1993
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