Heartland Payment Systems and Visa Inc. Announce
Acceptance Rate of Over 97 Percent for Data Security Breach Settlement Agreement
PRINCETON, NJ AND SAN FRANCISCO, CA – February 4, 2010 – Financial institutions representing more than 97 percent of eligible Visa-branded credit and debit cards have accepted the Alternative Recovery Offers they received pursuant to the settlement entered into by Visa Inc. (NYSE:V), Heartland Payment Systems® (NYSE: HPY) and Heartland’s sponsoring acquirers last month. This level of acceptance fulfills the 80 percent opt-in condition that was one of the requirements of the $60 million settlement. The settlement provides these issuers with a recovery from Heartland with respect to losses they may have incurred from the 2008 criminal breach of the payment processor’s payment system network.
To provide additional issuers an opportunity to work through the mechanics of the opt-in process
and not be excluded from the benefits of the settlement, Visa, Heartland and Heartland’s
sponsoring acquirers have agreed to renew the Alternative Recovery Offer to the non-accepting
issuers. The renewed offers will remain open until 5:00 p.m. PST on Monday, February 8, 2010.
"Visa is pleased to bring this issue to a close for so many financial institutions," said Ellen Richey, chief enterprise risk officer, Visa Inc. "Working with Heartland on this settlement to provide a certain recovery, prompt payment and a streamlined process resulted in an equitable and
expedient resolution for all parties."
Bob Carr, Heartland’s chairman and chief executive officer, concurred. "Reaching a fair
settlement agreement that helps issuers of Visa-branded cards was a key priority for Heartland.
Now, these issuers will be able to immediately obtain a recovery for their Visa-related claims."
The settlement provides recovery for U.S. card issuers who chose to participate in the program
and international issuers of accounts Visa considered to have been placed at risk of compromise.
Once all remaining conditions of the settlement have been satisfied, Visa will be notifying
participating U.S. issuers and international issuers with details about the payment process. For
additional questions, issuers can contact their Visa account executive or Visa's E-Support Team
at eSupport@visa.com or 888.847.2488.
About Visa Inc.: Visa Inc. is a global payments technology company that connects consumers,
businesses, financial institutions and governments in more than 200 countries and territories to
fast, secure and reliable digital currency. Underpinning digital currency is one of the world’s most
advanced processing networks – VisaNet – that is capable of handling more than 10,000 transactions a second, with fraud protection for consumers and guaranteed payment for merchants. Visa is not a bank, and does not issue cards, extend credit or set rates and fees for consumers. Visa’s innovations, however, enable its financial institution customers to offer consumers more choices: Pay now with debit, ahead of time with prepaid or later with credit products. For more information, visit www.corporate.visa.com.
About Heartland Payment Systems
Heartland Payment Systems (NYSE: HPY), the 5th largest payments processor in the United States, delivers credit/debit/prepaid card processing, payroll, check management and payments solutions to more than 250,000 business locations nationwide. Heartland is the founding supporter of The Merchant Bill of Rights, a public advocacy initiative that educates merchants about fair credit and debit card processing practices. For more information, please visit HeartlandPaymentSystems.com, MerchantBillOfRights.com, CostOfABurger.com and E3secure.com.
Forward-Looking Statements
This press release may contain statements of a forward-looking nature, which represent our management's beliefs and assumptions concerning future events. Forward-looking statements involve risks, uncertainties and assumptions and are based on information currently available to us. Actual results may differ materially from those expressed in the forward-looking statements due to many factors. Information concerning these factors is contained in the Company's Securities and Exchange Commission filings, including but not limited to, the Company's annual report on Form 10-K, or Form 10-Q as applicable. We undertake no obligation to update any forward-looking statements to reflect events or circumstances that may arise after the date of this release.
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