European Interchange Fees: A Done Deal? (Via NACSOnline)

April 29, 2010

LONDON, ENGLAND – Despite news earlier this week that Visa Europe has offered to reduce interchange fees on debit cards, a Retail Week column challenged whether the announcement will convince the European Commission to end its antitrust proceedings.

Earlier this week, Visa Europe announced a plan to test market reducing interchange fees by 60% for domestic transactions and 30% for cross-border fees, a move welcomed by European Competition Commissioner Joaquin Almunia. However, Retail Week urged retailers to restrain their optimism and to be skeptical of an imminent final resolution.

Among Retail Week’s arguments for this cautious approach is Visa’s non-mention of addressing credit card fees. Additionally, MasterCard has already been down a similar process with the EC, only to drop the plan after a subsequent move to raise membership fees that banks had to pay generated stiff protest from retailers.

The European Commission said that if the proposal is successfully market-tested, it will be made legally binding, and that it will no longer pursue antitrust investigation into Visa Europe debit card fees. Retail Week said that Visa’s omission of its credit card fees still presents retailers with significant financial challenges, making the issue far from resolved.

via European Interchange Fees: A Done Deal?.

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Visa Beats Expectations; Raises Revenue Forecast – ABC News

April 29, 2010

NEW YORK (Reuters) – Visa Inc reported a 33 percent increase in second quarter earnings, better than Wall Street expected, as consumer spending rebounded and management said it was increasingly optimistic about the economy.

via Visa Beats Expectations; Raises Revenue Forecast – ABC News.


Conyers Calls for Reduction in Credit-Card Fees | CSP Daily News / Magazine | CSP Information Group, Inc.

April 29, 2010

WASHINGTON — House Judiciary Committee Chairman John Conyers Jr. (D-Mich.) issued the following statement regarding today’s Judiciary Committee hearing on H.R. 2695, the Credit Card Fair Fee Act:

“The purpose of today’s hearing is to examine H.R. 2695, the “Credit Card Fair Fee Act of 2009.

via Conyers Calls for Reduction in Credit-Card Fees | CSP Daily News / Magazine | CSP Information Group, Inc..


Visa, Inc. F2Q10 (Quarter End 03/31/10) Earnings Call Transcript — Seeking Alpha

April 29, 2010

Welcome to Visa Inc.’s fiscal second quarter 2010 earnings conference call. With us today are Joe Saunders, Visa’s Chairman and Chief Executive Officer and Byron Pollitt, Visa’s Chief Financial Officer. This call is currently being webcast over the Internet. It can be accessed on the Investor Relations section of our website at http://www.InvestorVisa.com.

A replay of the webcast will also be archived on our site for 30 days. A PowerPoint deck containing highlights of today’s commentary was posted to our website prior to this call. Let me also remind you that this presentation may include forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995

via Visa, Inc. F2Q10 (Quarter End 03/31/10) Earnings Call Transcript — Seeking Alpha.


Visa Inc. Posts Strong Fiscal Second Quarter 2010 Earnings Results – MarketWatch

April 28, 2010

[Via Visa Inc. corporate press release]

SAN FRANCISCO, April 28, 2010 /PRNewswire via COMTEX/ — Visa Inc. /quotes/comstock/13*!v/quotes/nls/v (V 92.19, -1.42, -1.52%) today announced financial results for the Company’s fiscal second quarter 2010 ended March 31, 2010. GAAP net income for the quarter was $713 million, or $0.96 per diluted class A common share. The weighted average number of diluted class A common shares outstanding was 742 million.

GAAP net operating revenue in the fiscal second quarter of 2010 was $2.0 billion, an increase of 19% over the prior year and driven by strong contributions across all revenue categories, in particular data processing and international transaction revenues.

via Visa Inc. Posts Strong Fiscal Second Quarter 2010 Earnings Results – MarketWatch.

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StreetInsider.com – Visa’s (V) Q2 Sales and Profit Charge Higher

April 28, 2010

“Our performance was fueled by higher than expected payments volume growth. As I discussed at our recent Investor Day, we are increasingly optimistic that economic growth will gradually improve,” said Joseph Saunders, Chairman and Chief Executive Officer of Visa Inc. “At the same time, we remain diligent about how we manage our business and finances throughout the current economic environment.”

via StreetInsider.com – Visa’s (V) Q2 Sales and Profit Charge Higher.


Visa Q2 Profit Jumps 33 Percent On Transaction Growth – American Banking News

April 28, 2010

Revenue rose in the period to $1.96 billion from $1.65 billion in the prior year. The results topped analyst estimate for earnings of 91 cents a share on revenue of $1.93 billion.

Increased usage of debit cards helped fuel revenue growth. Debit card transaction volume jumped 19 percent in the U.S. during the quarter, while foreign use rose 20 percent.

Credit card usage grew as well, but not nearly as robust as debit card growth. U.S. credit card transactions rose 1.5 percent, while foreign usage was much stronger, up 11 percent.

via Visa Q2 Profit Jumps 33 Percent On Transaction Growth – American Banking News.