Heartland Payment Systems and OpenBook Bring State-of-the-Art Data Security to Lodging Industry

* Reuters is not responsible for the content in this press release.

Tue Apr 6, 2010 8:05am EDT

Integrated Offerings to Improve Secure Payment Services for Hoteliers
PRINCETON, N.J. & REXBURG, Idaho--(Business Wire)--
Heartland Payment Systems® and OpenBook® - a division of Yellowstone Hotel
Systems - plan on delivering secure payments to the hotel and lodging industry
by integrating Heartland`s E3 end-to-end encryption solution with OpenBook`s
property management software. Heartland is one of the nation`s largest payments
processors and the American Hotel & Lodging Association`s official preferred
provider of card processing, check management, payroll and tip management
services. 

This integrated offering is expected to enable hotels using OpenBook software to
protect sensitive cardholder and payment account information with E3, a
technology that is designed to provide the highest degree of data security in
the marketplace. Typically, cardholder data is unencrypted - visible in clear
text - as it leaves a hotelier`s system, putting it at risk of being compromised
in transit. 

With an E3 terminal or wedge, data is instantly encrypted the moment a card is
swiped. E3 uses what is believed to be the strongest encryption methods
available to safeguard cardholder data at rest and in motion throughout the
lifecycle of payments transactions … from the moment of card swipe … to and
through the OpenBook system and Heartland`s processing network … to
participating card brands. E3 is designed to offer full lifecycle protection,
not merely point-to-point like most competing solutions, and render payment data
useless in the event of a compromise. 

"Cardholder and payment data is particularly vulnerable in the lodging industry
where point-of-sale systems, shared systems among chains, wireless networks and
a high volume of card transactions are typical," said Zack Paul, president and
chief executive officer of OpenBook. "By addressing these unique compliance and
data security needs, Heartland and OpenBook enable hoteliers to protect their
businesses - and their customers." 

E3 is expected to be widely available in the second quarter of this year. This
joint offering is scheduled to be available in advance of Visa`s mandated
security regulations that require merchants to use a Payment Card Industry
(PCI)-compliant payment application by July 1, 2010. Every business that accepts
credit/debit/prepaid card payments - and stores, processes or transmits payment
card data - must meet the PCI Data Security Standards (PCI DSS). This means
merchants cannot use an application that stores prohibited data elements, such
as magnetic strip or PIN data. 

E3 is intended to satisfy Visa`s mandate and reduce the costs of PCI compliance
as well as the risks of being non-compliant. Non-compliant lodging
establishments may face penalties and costly fines that can range in the
hundreds of thousands of dollars. E3 is designed to have a tamper-resistant POS
terminal, magnetic stripe reader/wedge and other devices and software tools that
will never store cardholder data on a business` system, which is expected to
relieve the business of PCI card data liability. In the unlikely case of a data
breach for a merchant properly using E3, Heartland will reimburse breach-related
fines. 

"E3 provides hoteliers with unparalleled security and business-continuity
protection," said Dan Keegan, Heartland`s director of technology alliances.
"And, it does this without costing more. Unlike other technologies on the
market, Heartland`s E3 solution is robust and cost-competitive. Many encryption
offerings come with `junk` fees - like security, additional transaction and
monthly fees. Heartland does not believe hoteliers should have to pay more to be
secure. As such, Heartland does not charge more for its encryption and security
services. Hoteliers simply purchase E3 wedges and terminals - which are
competitively priced with existing hardware in the marketplace that does not
feature security protection. There are no extra fees or taxes for the security."


For more information on E3 - and to download a just-released white paper, "Card
Payment Security for the Small Merchant," written by George Peabody of Mercator
Advisory Group - visit E3secure.com. To learn more about the Heartland/OpenBook
solution, email OpenBookReferrals@e-hps.com. To request photos of E3 hardware,
contact LBrown@VaultCommunications.com. 

About Heartland Payment Systems

Heartland Payment Systems (NYSE: HPY), the 5th largest payments processor in the
United States, delivers credit/debit/prepaid card processing, payroll, check
management and payments solutions to more than 250,000 business locations
nationwide. Heartland is the founding supporter of The Merchant Bill of Rights,
a public advocacy initiative that educates merchants about fair credit and debit
card processing practices. For more information, please visit
HeartlandPaymentSystems.com, MerchantBillOfRights.org, CostOfABurger.com and
E3secure.com. 

About OpenBook

OpenBook specializes in property management, channel management, website design,
online marketing and reservation assistance for all types of hotels across North
America. OpenBook provides consistent revenue enhancements through integrated
business solutions for the hotel industry. The company`s business model offers a
complete arrangement of products and resources to streamline every component of
the hotel management and online marketing process. For more information, please
visit OpenBookit.com. 

Forward-Looking Statements

This press release may contain statements of a forward-looking nature, which
represent our management's beliefs and assumptions concerning future events.
Forward-looking statements involve risks, uncertainties and assumptions and are
based on information currently available to us. Actual results may differ
materially from those expressed in the forward-looking statements due to many
factors, including, without limitation, the risks that we may be unable to
successfully develop and implement end-to-end encryption technology, the card
brands may not agree to accept encrypted data, the market may not accept the
change from current encryption technology to end-to-end encryption technology
and our end-to-end encryption may not work as intended. Information concerning
these factors is contained in the Company's Securities and Exchange Commission
filings, including but not limited to, the Company's annual report on Form 10-
K, or Form 10-Q as applicable. We undertake no obligation to update any
forward-looking statements to reflect events or circumstances that may arise
after the date of this release.

Vault Communications
Leanne Scott Brown, 610-455-2742
LBrown@VaultCommunications.com
or
Heartland Payment Systems
Nancy Gross, 888-798-3131 x2202
Nancy.Gross@e-hps.com
or
OpenBook
Scott Bailey, 208-624-0374
scott.bailey@yellowstonehs.com

Copyright Business Wire 2010

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