We are pleased to announce today that five of the nation’s leading retail banks – Bank of America, BB&T Corporation, JPMorgan Chase, Wells Fargo and Wachovia – and First Data, have agreed to form a company focused on the development of fraud prevention services and the sharing of industry best practices. The company will bring together the fraud prevention expertise of the banks, First Data’s technology competency, along with the intellectual property and assets of Primary Payment Systems (PPS) and IDLogix, to better fight fraud. As a result of this announcement, PPS will be converted from a corporation to a limited liability company and change its name to Early Warning Services, LLC.

This announcement is a great milestone for Primary Payment Systems and our customers. Thanks to the dedication of our participants over the last eleven years, we’ve built a first class organization committed to loss prevention. By working together and sharing information, we have been able to substantially reduce losses associated with identity and payment fraud. Through your ongoing participation we plan to build on that work in the future.
Early Warning Services is about Fighting Fraud through Collaboration and Innovation. More than ever before fraud continues to be a major concern to the US financial system, and it is through collaboration and sharing of best practices that the most innovative fraud prevention tools can be delivered to the industry. For over a decade PPS has demonstrated its commitment to the financial services community. As a majority bank-owned utility, we expect to be even better positioned to share data, knowledge and best practices to help our financial services clients fight fraud more effectively.
Early Warning Services will be headquartered in the former PPS facility in Scottsdale, Arizona. The business management and customer support team that you have worked closely with over the years will remain in place to meet your product and service needs. The company will adopt the PPS operating foundation which guards the provision and use of information and rewards contributors for the value created by their data via established Operating Rules. Additionally, Early Warning Services will continue to actively engage its Advisory Committee and Board members to deliver industry innovations in the ever evolving fraud landscape. Existing contracts will not be impacted by this announcement, since PPS simply changed its legal structure from a corporation to a limited liability company and changed its name.

Looking toward the future, we’ll continue to develop liability risk management services and support the industry’s efforts to fight fraud wherever it may occur. We’ll also continue to take an active role on expert panels and national committees, seeking further development of loss reduction through innovation. Working closely with our participants we’ll strive to keep improving the quality of our information and further reduce losses.

Enclosed is a copy of the press release, along with some additional information. We'll keep you apprised of our progress in the coming months, but if you have any questions in the meantime please give us a call.
Your hard work and commitment are major factors in the realization of our announcement today. I want to personally thank you for your continued support and business.
Sincerely,