CKFR Checkfree Corp (MM)

BACS Ltd and CheckFree Form Joint Venture - The new company will deliver the first consolidated view of electronic bills, enabling efficient management and payment, through online banks for consumers in the UK - ATLANTA and LONDON, April 15 /PRNewswire-FirstCall/ -- BACS Limited and CheckFree Corporation today announced a new joint venture created to develop and promote the adoption of online bill viewing and payment services provided by High Street banks in the UK. The new company will combine the commercial application of BACS' trusted position in the UK payments industry with CheckFree's electronic billing experience and global market leadership in electronic billing software, with its CheckFree i-Series solution already widely used in 23 countries globally by nationwide electronic billing service providers and high-volume billers. The joint venture will link billers and banks together to deliver electronic bills and statements to consumers throughout the UK. Recent independent research(1) found that over 7 million UK adults regularly bank online, while 3 million of those claim to already view and pay some bills online. Visiting disparate supplier sites or paying bills without access to details is seen as confusing or cumbersome, so the option of viewing and paying through one consolidated bank site already appeals to 68 percent of online bankers. Martin Kearsley, managing director of the new company said, "We are offering consumers in the UK the opportunity to view and pay their bills through their existing online bank -- a single, regularly used, highly secure site -- for the first time. No need to remember multiple passwords for each biller site, no need to write checks, no need to miss a payment. There are significant business advantages for billers and banks to adopt the service, and I believe it will change the way consumers will manage their money." The new company will offer consumers, billers and banks a complete, end- to-end experience for electronic bill payment processing. As the pioneer and market leader in electronic billing and payment, CheckFree brings more than 20 years of experience to the joint venture and in the United States today serves more than 12 million consumers through more than 1,100 financial services companies, including Bank of America, U.S. Bank, Merrill Lynch, Charles Schwab and many more. In 1997, CheckFree invented the Internet bill and in its 2003 fiscal year the company distributed about 32 million electronic bills for hundreds of billing companies, and processed over 430 million transactions. This capability will be harnessed in partnership with BACS the UK Automated Clearing House, which since 1968 has provided secure transaction services to the Payments Industry and approximately 50,000 business users, including all of the FTSE 100, with an additional 60,000 business connections direct and through service bureaus. "This is a very exciting new opportunity and I am delighted for BACS to be working with CheckFree in the provision of a new and innovative service. This is a significant move for BACS in its drive to grow its business and add value and service to its customers. In addition, BACS trusted position within the UK payments industry, combined with the technical capability of CheckFree gives the service a highly talented and trusted base from which to grow. I am looking forward to growing the business and developing the partnership with our American partners," said Marion King, chief executive, BACS Limited. Pete Kight, chairman and chief executive officer, CheckFree Corporation, commented, "The movement from paper to electronic continues to accelerate, and this venture will enable all participants in the United Kingdom to benefit. Banks can quickly expand their electronic commerce capabilities to offer greater consumer value and convenience. Billers can strengthen customer relationships as they reduce reliance upon paper bills and streamline billing, accounts receivable and customer care operations. This national electronic billing and payment service will give consumers in the UK the ability to manage and control the majority of their monthly financial activities from the financial services web site of their choosing." Benefits to Participants The electronic delivery and payment of bills will provide a range of benefits as consumers change the way they manage their finances: -- UK consumers will have the ability to both view and pay their bills at their bank's web site. -- Banks will be able to offer new levels of service and convenience to consumers, who cite the ability to view and pay bills at a single site as an increasingly critical component of their online banking experience. -- Significant cost reductions for banks and billers will be secured as reliance on paper bills decreases and automation of manual tasks occur. -- The frequency of bank-site visits will increase as consumers log-on while automated access, time savings and availability offer the individual greater control. -- Billing organizations will be able to strengthen customer relationships via visibility at bank sites, targeting interactive marketing messages through the electronic bill, and by offering the convenience of remote access to bills and statements. -- Tight integration between billing operations, accounts receivable and customer care systems within their operational environment will deliver substantial cost savings. (1) RSGB TNS consumer study Nov 2003 Editor's Note: About BACS ( http://www.bacslimited.co.uk/ ) -- BACS Limited is one of the world's largest and most advanced automated clearinghouses driving the heart of the UK's financial systems, responsible for processing Direct Debits and Direct Credit salary payments. -- BACS processes over 4 billion financial transactions annually with more than 64 million on a peak day in 2003. -- Around 50,000 businesses connect to the BACS service, including all of the FTSE 100, while a further 60,000 businesses are indirect submitters to BACS through a bureau. -- The use of BACS products and services has revolutionized the payments industry and enables more companies than ever to realize the benefits of making automated payments, including cost effectiveness, reliability, convenience and ease of use. -- Over 90% of U.K. salaries are paid by Direct Credit. -- Over 50,000 businesses are direct users of the BACS service, including all of the FTSE 10. About CheckFree ( http://www.checkfreecorp.com/ ) CheckFree (NASDAQ:CKFR) is the leading provider of financial electronic commerce services and products. Founded in 1981 and celebrating its 23rd year in e-commerce, CheckFree is comprised of three divisions: Electronic Commerce, Software, and Investment Services. CheckFree launched the first fully integrated electronic billing and payment solution in 1997. In the quarter ended December 31, 2003, more than 12 million consumers initiated online payments through services offered by CheckFree's Electronic Commerce division. Electronic billing and payment is available through more than a thousand financial services organizations, including banks, brokerage firms, Internet portals and personal financial management (PFM) software. At these sites, consumers are able to electronically receive and pay essentially all the bills most common to a U.S. household. CheckFree delivers 18.5 million e-bills each quarter. CheckFree Investment Services provides a broad range of investment management services to thousands of financial institutions nationwide. The division's clients manage more than 1.4 million portfolios totaling more than $900 billion in assets. CheckFree's Software division provides solutions through three operating units: CheckFree ACH Solutions, CheckFree Financial and Compliance Solutions (CFACS), and CheckFree i-Solutions. CheckFree ACH Solutions provides software and services that are used to process more than two-thirds of the nation's nine billion Automated Clearing House payments, while CFACS provides reconciliation, financial messaging, workflow and compliance software and services to more than 600 organizations in the banking, brokerage, investment management, insurance and credit card industries, among others. CheckFree i-Solutions is the leading provider of e- billing and e-statement software and services for both business-to-consumer and business-to-business applications. Certain of CheckFree's statements in this press release are not purely historical, and as such are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These include statements regarding management's intentions, plans, beliefs, expectations or projections of the future. Forward-looking statements involve risks and uncertainties, including without limitation, the various risks inherent in CheckFree's business, and other risks and uncertainties detailed from time to time in CheckFree's periodic reports filed with the Securities and Exchange Commission, including CheckFree's Annual Report on Form 10-K for the year ended June 30, 2003 (filed September 15, 2003), and Quarterly Report on Form 10-Q for the quarter ended September 30, 2003 (filed November 13, 2003) and Form 10-Q for the quarter ended December 31, 2003 (filed February 12, 2004). One or more of these factors have affected, and could in the future affect CheckFree's business and financial results in future periods, and could cause actual results to differ materially from plans and projections. There can be no assurance that the forward-looking statements made in this press release will prove to be accurate, and issuance of such forward-looking statements should not be regarded as a representation by CheckFree, or any other person, that the objectives and plans of CheckFree will be achieved. All forward- looking statements made in this press release are based on information presently available to management, and CheckFree assumes no obligation to update any forward-looking statements. DATASOURCE: CheckFree Corporation CONTACT: BACS media relations, Ana Bolitho of BACS Ltd, 0870 920 8625, or ; or Lisa Welsh of Band&Brown, 020 7419 7000, or ; or CheckFree media relations, Judy Wicks, +1-678-375- 1595, or ; or CheckFree investor relations, Tina Moore, +1-678-375-1278, or ; or Media contact for CheckFree in the UK, Elaine Graham, 00 44 1570 470706, or Web site: http://www.checkfreecorp.com/ http://www.bacslimited.co.uk/ Company News On-Call: http://www.prnewswire.com/comp/821650.html

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