MONETT, Mo., Aug 25, 2003 /PRNewswire-FirstCall via COMTEX/ --
Jack Henry and Associates, Inc. (Nasdaq: JKHY) announces that its recent bank and credit union contracts are contributing significantly to the company's increased market share. By now providing services to 74 financial institutions in the mid-tier space, JHA offers services to roughly 20% of U.S. banks and credit unions in this $1 billion to $30 billion asset category. Symitar added 44 credit unions to its client roster in fiscal year 2003, signing 35 in-house and nine outsourced contracts.
"We are honored to have been named the technology provider for not only the financial institutions listed but all the others that were contracted during our fiscal year ended June 30, 2003," says Kevin D. Williams, CFO of Jack Henry. "Not only will these contracts enhance our revenue stream for future years with the nice mix of in-house and outsourced customers, but it is also a strong endorsement of our company by the larger financial institutions."
Chittenden Corporation, the $6.2 billion New England banking company based in Burlington, Vt. (www.chittenden.com), becomes the 60th bank with assets in excess of $1 billion to contract with JHA. Chittenden signed agreements to implement JHA's SilverLake System(R) in all six of the holding company's banks. SilverLake is a core processing solution operating on IBM's iSeries platform and is designed for banks from $500 million to $30 billion in assets.
The scope of the conversion project does not overly concern Jack Barnes, executive vice president of CHZ Services Group for Chittenden. "Our size is not an issue," he says. "Jack Henry's software and associated hardware processing capacities are more than sufficient to handle our needs now and in the foreseeable future." Barnes says that JHA will deliver a high degree of multi-channel integration, and new products will improve customer service and operational efficiencies.
In June, JHA signed Main Street Banks, Inc., a $1.8 billion community banking organization based in Atlanta, Ga. In May 2004, Main Street Banks will also begin using the SilverLake System. $4.6 billion AMCORE Bank in Rockford, Ill., converted to SilverLake in July 2003, and is the first JHA bank to install the new ARGO Keys(TM) deposit and relationship solutions. ARGO Keys is the joint branch automation and sales solution between JHA and ARGO Data Resource Corporation of Dallas, Texas, and includes depositkeys, the deposit platform; lendingkeys, the lending platform; and relationshipkeys, the Customer Relationship Management (CRM) solution. ARGO Keys is a strategic solution, bringing sales and workflow process efficiencies to AMCORE's 64 locations.
"Our partnership with ARGO allows us to provide a complete branch sales automation solution incorporating customer relationship management and a complete sales automation deposit and lending platform product with the close integration and high-end functionality required by our larger customers," says Michael E. Henry, JHA Chairman and CEO. "This arrangement has not only expanded the breadth of our product offerings, but adds to the attractiveness of a JHA solution for our customers the size of AMCORE."
Symitar's Credit Union Successes
Symitar, a JHA subsidiary, announces the signing of several credit unions with total assets in excess of $1 billion in fiscal year 2003, including $1.7 billion Lockheed Federal Credit Union in Burbank, Calif., and $1.1 billion Schools Financial Credit Union in Sacramento, Calif. Symitar now counts 14 billion-dollar plus credit unions as clients. Earlier this year Symitar announced the signing of U.S. Central Credit Union, the wholesale financial center for the nation's corporate credit unions, to a seven-year outsourcing arrangement.
With these signings, the Episys(TM) product represents the solution of choice to more than 20% of the 100 largest credit unions in the U.S., making it the most widely used processing system in this asset tier either through an in-house or outsourced delivery. Additionally, according to Callahan and Associates' 2003 Credit Union Technology Survey, Episys is used by more credit unions over $50 million in assets than any other system.
Symitar's market share continues to expand; now over 590 credit unions use Symitar solutions -- Episys, Cruise(TM), or Conductor(TM). As reported by the 2003 Credit Union Technology Survey, Symitar performed 25 conversions to Episys in calendar year 2002 -- almost three times the number of conversions performed to the next nearest competitive product (nine), and nearly equal to the number of conversions performed to the six leading competitive products combined.
About Jack Henry & Associates
Jack Henry & Associates, Inc. provides integrated computer systems and processes ATM and debit card transactions for banks and credit unions. Jack Henry markets and supports its systems throughout the United States and has over 3,000 customers nationwide. For additional information on Jack Henry, visit the company's website at www.jackhenry.com.
Statements made in this news release that are not historical facts are forward-looking information. Actual results may differ materially from those projected in any forward-looking information. Specifically, there are a number of important factors that could cause actual results to differ materially from those anticipated by any forward-looking information. Additional information on these and other factors, which could affect the Company's financial results, are included in its Securities and Exchange Commission (SEC) filings on Form 10-K, and potential investors should review these statements. Finally, there may be other factors not mentioned above or included in the Company's SEC filings that may cause actual results to differ materially from any forward-looking information.
SOURCE Jack Henry and Associates, Inc.
Kevin D. Williams, Chief Financial Officer, or Jon Seegert, Director Investor Relations, +1-417-235-6652, both of Jack Henry and Associates, Inc.
http://www.jackhenry.com
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