Sears Canada Selects TSYS to Process Its Cards
Agreement Expands Current Relationship, TSYS No. 1 Retail Processor
Columbus, Ga., Oct. 28, 2002 - Sears Canada has selected TSYS, a global provider of electronic transaction services, as the exclusive processor for its 9 million retail cards, expanding on the successful partnership that Sears, Roebuck and Co. and TSYS have built in the United States. Sears Canada will begin migrating its card portfolio to TSYS' innovative TS2 platform in 2003.
"At Sears Canada, we are constantly seeking new alliances to benefit our customers and better address their daily needs," announced Mark Cohen, Chairman and CEO, Sears Canada. "That's why we chose to outsource to TSYS. Their TS2 platform offers more value and system flexibility which will enable us to deliver superior card products and customer service."
The Sears Card is held by more Canadians than any other single retail, bank or specialty card in the country. More than 80 percent of Canadian households are Sears cardholders. With the addition of the Sears Canada accounts, TSYS extends its position as the world's leading processor of retail cards with more than 75 million accounts under management. TSYS processes for some of the most recognized retail brands, including Sears Roebuck, Nordstrom, Target, Canadian Tire and Circuit City.
"Sears Canada is a legendary retailer and rightfully considered one of the great card-issuers in North America. We are pleased to continue to be a part of their success," said Richard W. Ussery, chairman of the board and CEO of TSYS. "Sears Canada trusts TSYS because we have a history of delivering excellent technology and great service. TSYS is a great strategic fit; we allow them to concentrate on their customers, brand, and core competencies while we deliver best-in-class payments processing."
Canada is one of the world's highest transacting card markets. Ninety percent of adult Canadians own a banking card, and the average Canadian carries three different credit cards. Canada has approximately 35,000 ATMS and over 600 credit card issuers for a population of nearly 31 million people. More Canadian households use credit cards than in the United States - 89 percent versus 76 percent.
TSYS has processed card accounts in Canada since 1989 and is the dominant processor with 20 percent of the overall card market.
TSYS has enjoyed a relationship with Sears (NYSE: S) since 1998, when it signed a long-term agreement to process its U.S. portfolio until 2010.
International accounts under management at TSYS increased 10 percent in the third quarter, versus one year ago. TSYS has reported 11.6 percent organic growth in accounts for the first nine months of 2002, and 26.3 percent compound annual growth in accounts for 18 years.
About Sears Canada
Sears Canada is a multi-channel retailer with a network of 123 department stores, 40 furniture and appliances stores, over 2,100 catalogue pick-up locations, 140 dealer stores, 17 outlet stores, 45 floor covering centres, 52 auto centres and 111 Sears Travel offices. The Company also publishes Canada's only general merchandise catalogue and offers shopping on-line at www.sears.ca.
About TSYS
TSYS (NYSE: TSS) (www.tsys.com) brings integrity and innovation to the world of electronic payment services as the integral link between buyers and sellers in this rapidly evolving universe. Synovus (NYSE: SNV) owns an 81-percent interest in TSYS. For more information, contact news@tsys.com.
Contacts:
Danita Gibson-Lloyd
TSYS Media Relations
706.649.5578
dglloyd@tsys.com
Leo Berard
TSYS Investor Relations
706.644.6081
leoberard@tsys.com
Vince Power
Sears, Corporate Communications
416.941.4422
vpower@email.sears.ca