Press Release: USA Technologies Inc.
December 29, 2000
WAYNE, PA -- USA Technologies Inc. (OTC Bulletin Board: USTT) announced yesterday IBM Global Services (NYSE: IBM)
would continue to help it implement and support up to 5,000 Business Express® business offices in hotels nationwide
for another 12 months. The new agreement with IBM includes the incorporation of e-Port(TM) into the Business Express
offering.
Business Express® is the world's first 24-hour, credit card-activated business center. Business Express and
MBE Business Express have already been installed in 500 U.S. hotels, including some of the largest and most prestigious
hotel chains in the Nation. Each center offers business travelers and hotel customers quick and easy access to
desktop workstations, laptop PCs, printers, copiers and facsimile machines.
Up until now, the Business Express® offices were equipped with USA Technologies' proprietary TransAct(TM) credit
card authorization and payment system. Consumers activated the office equipment simply by swiping their credit
card through the TransAct(TM) device. However, in the first quarter of 2001 USA Technologies and IBM intend to
distribute the industry leading Business Express® family products with e-Port(TM), USA Technologies' next generation
swipe card technology which offers consumers e-commerce and interactive multi-media capabilities at point of sale.
e-Port(TM) is the world's first non-PC e-commerce device that can be embedded into vending machines, gas pumps,
office equipment and almost any kind of point-of-sale terminal. It comes fitted with a touch, LCD video screen
that features interactive media capability, giving location owners the ability to operate electronic ``storefronts''
and provide free access to web-based interactive media such as news, sports, stocks and weather. e-Port(TM) is
also a cashless transaction device, allowing consumers to make self service, micro credit card transactions, for
as low as $1.00 -- utilizing USA Technologies' unique, turnkey network and financial services.
``We're delighted that IBM Global Services -- as well as agreeing to continue its distribution and support of USA
Technologies' products and services -- will also incorporate e-Port(TM) into the Business Express® distribution
pipeline, while continuing to migrate e-Port, our revolutionary embedded computing technology and network service
to the mass production and distribution level,'' said Stephen Herbert, President and COO, USA Technologies. ``IBM
is the global leader in e-Business solutions and we could ask for no better business partner. We're receiving growing
global interest from multiple industries in e-Port, and we will need the global executional resources of the IBM
company to help us distribute and support our technology to many types of customers in the United States and ultimately
worldwide,'' he said.
Just last week USA Technologies announced the signing of its first multi-million dollar contract for e-Port(TM)
-- a three (3) year agreement with Self Serve Centers Inc., of Duluth, Minnesota, to incorporate e-Port(TM) into
Self Serve Centers' new line of ``home meal replacement'' vending machines. The agreement is projected to generate
$3.0 million in new revenues for USA Technologies over the life of the agreement. Self Serve Centers' ``home meal
replacement'' machines will offer consumers with restaurant quality frozen meals ranging in price between $5 and
$9. The vending market, estimated at $35 Billion in sales annually, is another key target market for USA.
``In addition to installation, service and support, IBM Global Services is providing USA and its customers with
everything from systems integration to e-commerce enablement and support,'' said Gordon Gartrelle, Business Unit
Executive, IBM Global Mid Market Business Services. ``We're pleased to re-sign with USA Technologies to continue
to deliver its world class, innovative products and services to consumers everywhere, and we're delighted to be
involved in the global roll-out of its unique e-Port(TM) technology,'' he said.
IBM is also providing the personal computers for the Business Express® business offices, as well as support
the business centers with workstation installation, maintenance, business recovery services, and customer call
center support.
About USA Technologies
With patented technology and a rapidly expanding product line, USA Technologies provides credit card-activated
business services for professionals and consumers needing to communicate or conduct business outside the home or
workplace. USA Technologies is an IBM Business Partner and an inaugural member of the Sprint Enabling Application
Service Provider Program for e-commerce. Visit the USA Technologies home page at www.usatech.com
Statement under the Private Securities Litigation Reform Act
With the exception of the historical information contained in this release, the matters described herein, contain
forward-looking statements that involve risk and uncertainties that may individually or mutually impact the matters
herein described, including but not limited to product acceptance, economic, competitive, governmental, results
of litigation, validity of intellectual property and patents of USA, the ability of USA to commercialize its developmental
products, technological and/or other factors, which are outside the control of the Company.
SOURCE: USA Technologies Inc.