Cpi Card Group Inc's Business Segments

We are a leading provider of comprehensive Financial Payment Card solutions in North America. We define “Financial Payment Cards” as credit, debit and Prepaid Debit Cards issued on the networks of the “Payment Card Brands” (Visa, MasterCard, American Express and Discover) and Interac (in Canada). In 2015, we produced over 156.6 million EMV Financial Payment Cards and provided integrated card services to over 3,250 card-issuing banks. We define “Prepaid Debit Cards” as debit cards issued on the networks of the Payment Card Brands, but not linked to a traditional bank account. We have established a leading position in the Financial Payment Card market through more than 20 years of experience and are focused primarily on this growing subsector of the financial technology market. Our customers are primarily leading national and regional banks, independent community banks, credit unions, managers of prepaid debit programs, “Group Service Providers” (organizations that assist small card issuers, such as credit unions, with managing their credit and debit card programs, including managing the Financial Payment Card issuance process) and card processors. We serve a diverse set of over 4,000 direct and indirect customers, including many of the largest North American issuers of debit and credit cards such as JPMorgan Chase, Bank of America and Wells Fargo, the largest global managers of Prepaid Debit Card programs, including InComm, Green Dot, Blackhawk Network and American Express, as well as thousands of independent community banks, credit unions, Group Service Providers and card processors.

CPI Card Group Inc. offers a comprehensive array of products and services focused on financial payment cards and related support systems across various market segments. Heres an extensive overview of their offerings:

1. EMV Financial Payment Cards
CPI Card Group manufactures both contact EMV cards and dual-interface EMV cards:

- Contact EMV Cards: These cards are equipped with an integrated circuit that communicates with EMV-enabled payment terminals through a contact plate. When the card is inserted into the terminal, it enables secure transaction processing.

- Dual-Interface EMV Cards: In addition to the contact interface, these cards are equipped with RFID technology that facilitates contactless transactions. By utilizing Near Field Communication (NFC), these cards allow users to make payments simply by tapping the card against an NFC-enabled payment terminal, thus enhancing the convenience of card usage.

Non-EMV Financial Payment Cards and Retail Gift Cards
CPI Card Group also produces a range of non-EMV solutions:

- Non-EMV Cards: These cards utilize magnetic stripes and can include contactless technology via NFC. Some products combine both technologies, allowing versatility in payment acceptance.

- Retail Gift Cards: Primarily offered in the U.K. and Canada, these gift cards are not affiliated with the traditional Payment Card Brand networks. They serve as a popular option for businesses looking to offer customers gifting solutions without engaging with card networks.

Card Data Personalization
CPI provides sophisticated card personalization services, catering to various types of payment cards:

- Personalization Solutions: These encompass data preparation and personalization for debit, credit, and prepaid debit cards across EMV and non-EMV formats. Their technology-driven services ensure high levels of customization, allowing for personalized encoding, programming, and embossing of cards with customer-specific information.

- MYCA™ Software: This patented card design software enables customers to design and customize cards online using unique digital images. This creative freedom empowers businesses to enhance brand identity through card design.

- Consultation and Design Services: CPI offers expert consultation for card design, ensuring that customers can achieve optimal results in terms of aesthetics and functionality.

- Trusted Service Manager Services: By leveraging established data connections with processors and other customers, CPI provides high-security mobile payment solutions, facilitating the integration of cards into mobile wallets.

Tamper-Evident Security Packaging Solutions
To combat fraud, CPI offers specialized tamper-evident security packaging:

- Innovative Packaging: These packaging solutions are designed to protect prepaid debit cards sold through retail channels. The packaging features patents that ensure their effectiveness in reducing fraudulent activities.

- Fulfillment Management: CPI may also manage the logistics of delivering complete prepaid card packages to retail locations, streamlining the process for customers.

Instant Card Issuance Systems and Services
CPIs proprietary system, Card@Once®, enables instant card issuance:

- Immediate Personalization: This patented technology allows banks to issue fully personalized permanent debit or credit cards on demand at branch locations. The cloud-based software securely transfers data to encode cards with either magnetic stripe or EMV.

- Recurring Revenue Streams: The system generates consistent revenue through software as a service, card personalization fees, and sales of consumables.

- Integration with Financial Institutions: CPI facilitates the instant issuance of debit cards for large financial institutions, providing temporary personalized cards immediately upon account opening and managing replenishment to branches efficiently.

Conclusion
CPI Card Group is positioned as a leader in the payment card industry, offering innovative solutions for both traditional banking needs and evolving payment preferences. From robust EMV and non-EMV card solutions to advanced personalization and issuance systems, CPI is dedicated to enhancing the cardholder experience while ensuring security and convenience in all transactions.