Profile: Hypercom Corp (HYC)

Hypercom Corporation (Hypercom), incorporated in 1996, is a provider of electronic payment and transaction solutions and services at the point of transaction. The Company offers electronic transaction solutions through a suite of end-to-end electronic transaction products and software, as well as through a range of support and maintenance services. Its customers include domestic and international financial institutions, electronic payment processors, transaction network operators, retailers, system integrators, independent sales organizations (ISO) and distributors. It also sells its products to companies in the hospitality, transportation, healthcare, prepaid card and restaurant industries. During the year ended December 31, 2008, the Company also developed technology in other sectors that depend on electronic transactions, including, the certification and volume roll-out of its medLine product family in Germany. It operates in four business segments as follows: Americas, Northern Europe, Middle East and Africa (NEMEA), Southern EMEA (SEMEA) and Asia-Pacific. On April 1, 2008, the Company acquired Thales e-Transactions SA, Thales e-Transactions GmbH, Thales e-Transactions Ltd, and Thales e-Transactions España (Thales e-Transactions).

Terminals and Peripherals

The Company’s terminal and peripheral products include Optimum L4150, and L4250 a signature capture and PIN entry card payment terminals designed for multilane retailers; the Optimum T4100 and T4200 family, which is a 32-bit desktop terminals for multiple applications; the Artema Hybrid, Artema Compact and Artema Desk family include countertop terminals designed to manage EMV transactions in markets; the Optimum M4100, M4230 and M4240, which is are mobile terminals that leverage in wireless communication technologies.

Peripherals include printers, personal identification number (PIN) pads, check readers, receipt capture devices, biometric, near field communications (NFC) verification devices and external modems. Its family of PIN pads and card acceptance devices are designed for either indoor or outdoor use. The products include the Optimum P2100; the PV130 and P1300, PCI-approved PIN entry devices; the S9, S9S and S9C, PIN pads built for indoor use; and the S1200 and S1300, the outdoor components to its quick service restaurants (QSR) drive-thru solution.

Unattended Solutions includes a range PIN pads and keyboards, card readers and payment controllers designed to permit the integration of payment functionality in a variety of self-service environments, such as transportation ticketing, gasoline station pumps, petrol forecourt, on and off-street parking machines, and general purpose kiosks. During 2008 the Company launched the medLine family of terminals to support the German eHealth healthcare system. The medLine family includes a range of terminal devices for both attended and unattended environments within the public healthcare environment.

The Company’s point of sale (POS) terminal technology includes network access controllers and gateway devices, such as the MegaNAC 180 and 8000, ATMConnect and the IN-tact family of Ethernet/Internet gateway devices. It also offers a portfolio of software applications for terminal operations, network device operations, systems development and management, and retail POS systems designed for use on a personal computer (PC).

The Company competes with Ingenico SA and VeriFone Holdings, Inc., Fujitsu, Hand Held Products and Retail Solutions Inc.