News release

Enhanced Payments Technology from HP Helps Financial Institutions Identify New Revenue Streams

HP has enhanced its Open Payments technology framework so financial institutions can better manage their high-value payments businesses and identify new revenue streams through a single, real-time, enterprise-wide IT view.

With improved systematic transaction flow views, HP Open Payments Business Services Management (BSM) and HP Open Payments for Target Marketing further align business and IT by identifying issues ranging from potential IT concerns to new business opportunities.

HP Open Payments, the foundation for both applications, is an enterprise-level framework of platforms, technologies, common data models, partner solutions and professional services that integrates key payments operations which are typically separate and isolated within operational groups.

“With the enhancements HP is announcing today, financial institutions are empowered to do more in-house to convert inter-bank payments to book transfers,” said Aaron McPherson, payments analyst, Financial Insights. “Since an institution’s payments business can generate up to 30 percent of the revenue, and regulatory requirements are already eating into existing payments profits, it underscores the need for lower transaction costs and more efficient payments processes that can help identify new revenue streams.”

HP Open Payments Business Services Management

The HP Open Payments BSM solution is designed with applications for monitoring, tracking, pricing and costing, including management of information and reporting. These features provide financial institutions with a powerful business management tool to analyze business process efficiencies; identify emerging problems and bottlenecks; measure performance against key indicators; and achieve a holistic, real-time view of customer information to support self-service initiatives and speed inquiry response times.

With the greater insight into the business impact of IT from HP Open Payments BSM, financial institutions can be proactive about managing their payments business to quantify and understand underlying IT infrastructure issues that could impact the health of high-value payments applications business processes.

HP Open Payments for Target Marketing

The HP Open Payments for Target Marketing solution leverages technology from HP such as HP Real Time Financial Services to generate a comprehensive customer view, identifying opportunities where payments can be converted from inter-bank payments to book transfers, lowering transaction charges and potentially generating additional revenue.

HP Target Marketing uses a comprehensive set of payments-specific patterns to capture real-time and near real-time information from both payments and back-end systems to identify patterns of behavior.

“The ability to clearly understand transaction flows is key to helping financial institutions better manage and generate more value from their payments business,” said John Wallace, vice president, Global Financial Services Industry, HP. “These offerings from HP demonstrate our commitment to helping financial institutions adapt quickly to business changes and identify patterns in payments processes that can lead to new highly qualified, high-value business opportunities.”

Fundamentally flexible and scalable, the HP Open Payments technology framework can be configured to meet a wide variety of business needs. The solution runs on the HP NonStop platform or a variety of HP platforms including Intel® Itanium® processor-based HP Integrity servers, HP ProLiant servers and HP blade servers. Operating systems supported include HP NonStop, Microsoft Windows®, HP-UX and Linux.

More information about HP solutions for the financial services industry is available at www.hp.com/go/fsi.

About HP

HP is a technology solutions provider to consumers, businesses and institutions globally. The company’s offerings span IT infrastructure, global services, business and home computing, and imaging and printing. For the four fiscal quarters ended July 31, 2006, HP revenue totaled $90.0 billion. More information about HP (NYSE, Nasdaq: HPQ) is available at http://www.hp.com.

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