Fiserv to Provide Check Processing for Three of Australia's Largest Banks

"We are very gratified that three of Australia's largest banks have placed their trust in Fiserv to manage this innovative utility," said Leslie M. Muma, Fiserv's president and chief executive officer. "We expect to expand these operations as we seek new ways to not only serve the founding banks, but also to find new clients in both Australia and the region."

Fiserv expects to begin managing operations in six Australian cities in the second quarter for Commonwealth and National, and will begin processing for Westpac in the second half of 2005 as Fiserv consolidates into common operating centers and a common technology platform in each Australian state. The three banks currently process approximately 800 million prime pass items a year. Fiserv will offer jobs to cheque processing employees of both Commonwealth and National who work in contracted service areas.

Fiserv will implement a single image archive for all three banks and consolidate Day One capture facilities in each Australian state. The common capture and image archive platforms will not only produce cost efficiency, but also enable other operating efficiencies and enhanced product opportunities for each of the banks.

Peter Abbott, executive general manager of retail operations for Commonwealth Bank, said, "This provides an excellent opportunity for Australian banks to work together to more effectively manage the cost of cheque processing operations. Fiserv will bring new processes and technology that will result in continued high levels of service in a cost effective way despite the decline in cheque volumes that we are seeing in the Australian market."

Mark Steyn, regional general manager of operations for National Australia Bank, said, "With volumes in Australia declining at about 5% per annum, the National faced the need to reinvest in cheque processing capabilities in a declining market. By entering into the utility we have been able to avoid the cost of that investment whilst ensuring that all our staff have been offered jobs and that our high customer service levels are maintained."

Andrew Carriline, Westpac general manager, strategic sourcing, said, "The arrangement is a sensible response to declining cheque usage in Australia. By combining the volumes of the three banks we can ensure customers benefit from modern technology and systems and that these are introduced and maintained in a cost-effective manner."