<PAGE> 1
EXHIBIT 99
PRESENTATION
Slide 1
Deepening the Strategy
Across the Enterprise
Chip Mahan
September 8, 2000
Slide 2
Forward Looking Statement
This presentation includes statements and other matters which are
forward-looking and subject to a number of risks and uncertainties that could
cause actual results to differ materially from expectations. These
forward-looking statements are not guarantees of future performance and are
subject to risks and uncertainties that could cause actual results to differ
materially from the results contemplated by the forward-looking statements.
These risks and uncertainties include, but are in no way limited to:
- the possibility that the anticipated benefits from our
acquisition transactions will not be fully realized;
- the possibility that costs or difficulties related to our
integration of acquisitions will be greater than expected;
- our dependence on the timely development, introduction and
customs acceptance of new internet services;
- rapidly changing technology and shifting demand requirements and
internet usage patterns;
- other risks and uncertainties, including the impact of
competitive services, products and prices, the unsettled
conditions in the internet and other high-technology industries
and the ability to attract and retain key personnel; and
- other risk factors as may be detailed from time to time in our
public announcements and filings with the SEC, including the
Company's annual report on Form 10-K for the year ended December
31, 1999.
In addition, nothing in the presentation should be viewed as an
update or comment on earlier forward looking statements provided by
S1 Corporation. As noted above, because actual results, performance
or developments may differ materially from
<PAGE> 2
forward-looking statements, S1 will not update such statements
over the course of future periods.
For questions related to this information, contact Marcy Theobald, S1
Investor Relations at (404) 812-6254.
Please contact Sandy Mitchelson at (404) 812-6426 to obtain a copy of
the Annual Report on Form 10-K.
Slide 3
S1's Historic Objectives:
- Global e-Finance Gorilla
- We are in the Solutions business through a combination of: software
development, professional services and data center
hosting
- Product - depth, breadth, choice
- Touchpoints
Slide 4
As we go through this deck, you should ask -- How big is this space Really?
The Game Plan is:
- Consolidate industry to build global leadership position
- Integrate new businesses
- Build out banking, brokerage and insurance capabilities
- Mainstream business model--OUR SOLUTION MUST BE TAKEN ACROSS THE
ENTERPRISE
- Establish deep relationships with major Fls
- Exceed financial targets through operational excellence
Slide 5
Slide 5 is titled "Corporate History" The line below the title reads, "Connect
Fls to customers via the Internet." The slide depicts a computer above which is
written "Consolidated Financial Statement." The computer is linked to an
internet graphic, which, in turn, is linked to a structure above which is
written "3 tier-fat server." Inside the
<PAGE> 3
structure appears the acronym "PFM." This series of connections results in a
three-pronged output of Banking, Brokerage, and Insurance. To the right of the
diagram is a box titled "Vision:", below which are two bullet points: 1)
Consolidated View; 2) Bank & Non-Bank Products (insurance/brokerage). Below the
two bullet points appears a graphic of a web page. Below the web page is a box
titled "Targets." Beneath "Targets" are two sub-points: "Large Fls, Smaller
Fls."
Slide 6
Slide 6 is titled "Product Improvements to Enhance Customer Relationships". The
slide depicts a computer above which is written "Sticky Financial Portal." The
computer is linked to an internet graphic, which, in turn, is linked to a
structure inside of which appears the acronym "PFM." This series of connections
results in a four-pronged output of Banking, Brokerage, Insurance, and Non
Financial. To the right of the diagram is a box titled "Portal View:", below
which are two bullet points: 1) Additional non-financial content (weather, news,
etc...); 2) Sticky solution. At the bottom of the Portal View box appears a
graphic of a computer screen.
Slide 7
Slide 7 is titled "Key Partners Invested in S1" The slide depicts a computer
linked to an internet graphic, which, in turn, is linked to a structure inside
of which appears the acronym "PFM." Beneath the structure are the words "Robust
and Scalable Platform" and the corporate logo of Hewlett Packard. Above the
structure there appears "Back-End" and the corporate logo of Andersen
Consulting. This series of connections results in a four-pronged output of
Banking, Brokerage, Insurance, and Non Financial. To the right of the diagram is
a box titled "Partnerships", below which are three bullet points: 1) "Important
market players recognize the vision and take a stake in the company"; 2) "AC
contributes with back-end adapter expertise and sales channel"; and 3) "HP makes
the platform more robust and scalable".
Slide 8
Slide 8 is titled "Edify Was the Ideal Partner" The slide depicts a computer
linked to an internet graphic, which, in turn, is linked to a structure inside
of which appears the acronym "PFM." Above the structure there appears an Edify
logo. This series of connections results in a four-pronged output of Banking,
Brokerage, Insurance, and Non Financial. To the right of the diagram is a box
titled "Edify", below which are six bullet points:
- NT-platform solution
- Small Business and Retail offering
- Development Toolkit
<PAGE> 4
- IVR
- Large Customer Base
- NCR Relationship
Beneath these six bullet points is a box named "Targets" and two bullet points
follow: 1) Small to large Fls; 2) Channels.
Slide 9
Slide 9 is titled "FICS Provided Global Footprint" The slide depicts a computer
overlapping with a ring inside of which are representations of a telephone, a
cordless telephone, a television, a keyboard, and a remote control device. The
computer is also linked to an internet graphic, which, in turn, is linked to a
structure inside of which appears the acronym "PFM." Above the structure there
appears an Edify logo. Below the structure is the FICS logo. This series of
connections results in a four-pronged output of Banking, Brokerage, Insurance,
and Non Financial. To the right of the diagram is a box named "FICS", below
which are three bullet points:
- Global sales structure - global customer base
- Extending the offering to Corporate Banking
- Advanced R&D and technology: wireless, JAVA, multi-currency,
multi-lingual, etc...
Beneath these three bullet points is a box named "Targets" and two bullet points
follow: 1) Global Market; 2) Small to large Fls.
Slide 10
Slide 10 is titled "Vertical One delivers 'Open Finance'" The slide depicts a
computer overlapping with a ring inside of which are representations of a
telephone, a cordless telephone, a television, a keyboard, and a remote control
device. The computer is also linked to an internet graphic (it is circled),
which, in turn, is linked to a structure inside of which appears the acronym
"PFM." Above the structure there appears an Edify logo. Below the structure is
the FICS logo and the VerticalOne logo. This series of connections results in a
four-pronged output of Banking, Brokerage, Insurance, and Non Financial (the
latter is highlighted). To the right of the diagram is a box named
"VerticalOne", below which are two bullet points:
- Going from Consolidation to Aggregation model (aggregate personal
information for the Fls customer)
- Destination sites
<PAGE> 5
Slide 11
Slide 11 is titled "Davidge Brought Expertise in Brokerage" The slide depicts a
computer overlapping with a ring inside of which are representations of a
telephone, a cordless telephone, a television, a keyboard, and a remote control
device. The computer is also linked to an internet graphic, which, in turn, is
linked to a structure inside of which appears the acronym "PFM." Above the
structure there appears an Edify logo. Below the structure is the FICS logo, the
VerticalOne logo, and the Davidge logo. This series of connections results in a
four-pronged output of Banking, Brokerage, Insurance, and Non Financial (the
"Brokerage" is highlighted). To the right of the diagram is a box named
"Davidge", below which are two bullet points:
- More robust and scalable brokerage back-end solution
- Valuable expertise in brokerage
Beneath these two bullet points is a box named "Target" and one bullet point
follows:
- Brokerage firms.
Slide 12
Slide 12 is titled "Q Up Extended Company Market Share of Community Bank
Segment" The slide depicts a computer overlapping with a ring inside of which
are graphic representations of a telephone, a cordless telephone, a television,
a keyboard, and a remote control device. The computer is also linked to an
internet graphic (it is circled), which, in turn, is linked to a structure
inside of which appears the acronym "PFM." Above the structure there appears an
Edify logo and a Q Up logo. Below the structure is the FICS logo, the
VerticalOne logo, and the Davidge logo. This series of connections results in a
four-pronged output of Banking, Brokerage, Insurance, and Non Financial. To the
right of the diagram is a box named "Q Up", below which is one bullet point:
- S1 becomes the largest NT efinance provider
Beneath this bullet point is a box named "Target" and one bullet point follows:
- Community banks.
Slide 13
Slide 13 is titled "Today . . . Broad-based Solutions for Fls" The slide depicts
a computer overlapping with a ring inside of which are representations of a
telephone, a cordless telephone, a television, a keyboard, and a remote control
device. The computer is also linked to an internet graphic, which, in turn, is
linked to a stack of squares. Beginning with the top square and working down the
schematic, Retail Suite is first, followed by
<PAGE> 6
Business Suite, Corporate Suite, and Consumer Suite. The four boxes are circled.
This series of connections results in a four-pronged output of Banking,
Brokerage, Insurance, and Non Financial. To the right of the diagram is a box
named "Current Assessment", below which is one bullet point:
Comprehensive offerings
Slide 14
What S1 is Today
Leading enabler for financial
service providers around the globe
to do business on the Internet
Slide 15
S1 Today: Industry Leader
- Thought leadership
- People, over 2000 strong
- Products for every LOB in FSPs
- Premier Partners
(AC, IBM, M&I, Fiserv, NCR, Unisys, Intuit)
- Over 900 customers
- Over 4MM end users
Slide 16
Why Edify ?
- Offer on premises, NT toolkit solution primarily to middle market
- The establishment of a sales force and a series of resellers was
interesting and appealing
- Essential to pick up the small business product
- IVR business was not core
<PAGE> 7
Slide 17
EDIFY - That was then, this is now
- 35/15/15 split
- Sales force went elephant hunting
- Corillian's total set of Microsoft tools became preferable in some
circumstances to the 4GL solution of Edify
- The whole mid tier S1/Edify solution has been repositioned under Q up
leadership and momentum has returned
- Joe Brown is on fire!!
Slide 18
Why FICS?
- Global Distribution --11 offices around the world
- Technologists that understood international deployments
- Knew multi-currency, multi-language issues
- Had payment systems significant regulatory experience
- Had relationships with some of the biggest brand names in Europe
- Had the world's leading Corporate Internet Banking Product
Slide 19
FICS - That was then, this is now
- Europe is exploding -- ZFS; ABN; FICS's largest customer, Allianz,
participated in our spring financing
- Sent our best operator over to ensure success
- Asia very price competitive, we are dominant in Australia (9 of the top
13), Data Center in Singapore along with OCBC and ANZ blossoming, Japan
and China too early to handicap, channels being established
- CIB has had product repeatability challenges -- Fleet is helping us
<PAGE> 8
- Many of the heritage FICS CIB implementation folks will be repurposed to
deliver the Consumer Suite to the biggest brand names in Europe
Slide 20
Why Vertical One ?
- Our customers asked for it
- Gregg and his team invented the space -- VerticalOne was the only game
in town
- The whole issue of account aggregation seemed to threaten our customers
- Could VerticalOne allow them to participate in the process?
Slide 21
VerticalOne - That was then, this is now
- Major competitor emerged -- Yodlee had some early wins
- Price pressure (First Union, AOL)
- Game not over
- Our technology the best -- signed the two most sophisticated users on
the planet -- Yahoo (up in 60 days) and Wells Fargo
- Big question is how are we going to monetize this product
Slide 22
Why Q up?
- Needed to play in the community banking space
- License model was appealing to our delayed recurring revenue model
- Company was profitable from day one
- Experienced management team that absolutely understood the space
- 20000 community banks and credit unions
<PAGE> 9
Slide 23
Q up -- That was then, this is now
- Beat their projections -- but here is what is interesting: Q up (Q1-65,
Q2-92) and Digital Insight (Q1-157, Q2-89)
- Very pleased with how the management team is working with the heritage
Edify team both internally and with the resellers and partners
- Over 500 customers
- Never lost a customer
- Replaced 2 Digitals and 7 ORCC's last month alone
Slide 24
How big is this space REALLY??
Slide 25
Open eFinance Architecture
Slide 25 depicts a full-page graphic of interconnected boxes with internal text
as described below (from left to right):
Box 1
Web
IVR/Call Center
Destination Site
Wireless
Branch
ATM
Box 2
Financial Experience
Boxes 3-5 (Boxes 3-5 are stacked vertically and are listed from top to bottom)
Consumer
Small Business (which is connected by a line to Box 6)
Corporate
Box 6 (which is connected by a line to Box 7)
Computer Screen Graphic
<PAGE> 10
Box 7
S1
Open eFinance Architecture
Financial Business Components
- Retail Banking
- Small Business Banking
- Corporate Banking
The following text is directly above Box 7: WebTone; netAssets; API; API; API.
The following text is directly below Box 7: API; API; API; In-house development.
Boxes 8-14 (each of which is connected by a line to Box 7 (listed from top to
bottom))
Cash Mgmt
Wireless
Trade Financing
Banking
Brokerage
Insurance
Non-Financial
Slide 26
Financial Experience
Beneath the title is written "Deliver innovative financial services and products
to the FSP's customers across multiple touchpoints" Slide 26 depicts a full-page
graphic of interconnected boxes with internal text as described below (from left
to right):
Box 1
Web
IVR/Call Center
Destination Site
Wireless
Branch
ATM
Box 2
Financial Services & Products
- Purchasing
- Moving funds among accounts and FSPs
- Bill payment and presentment
- Displaying all account types
<PAGE> 11
- Banking
- Lending
- Leasing
- Investing
- Insurance
- Aggregating
- Advice
- Obtaining new products
- ACH Transfer
- SWIFT Payment
Boxes 3-5 (Boxes 3-5 are stacked vertically and are listed from top to bottom)
Consumer
Small Business (which is connected by a line to Box 6)
Corporate
Box 6 (which is connected by a line to Box 7)
Computer Screen Graphic
Box 7
S1
Open eFinance Architecture
Financial Business Components
- Retail Banking
- Small Business Banking
- Corporate Banking
The following text is directly above Box 7: WebTone; netAssets; API; API; API.
The following text is directly below Box 7: API; API; API; In-house Development.
Boxes 8-14 (each of which is connected by a line to Box 7 (listed from top to
bottom))
Cash Mgmt
Wireless
Trade Financing
Banking
Brokerage
<PAGE> 12
Insurance
Non-Financial
Slide 27
Slide 27 is titled "The S1 Network". The S1 logo is at the center of a wheel the
spokes of which are attached to the organizations that comprise S1's network.
The organizations are WebTone, netAssets, S1 Europe, S1 Asia Pacific, Edify,
VerticalOne (the VerticalOne logo has four subsidiary circles around it: UK,
Germany, Hong Kong, Australia), E.Piphany, Broad Vision, Business Logic, and
S1's strategic investors. The strategic investors are represented by their logo:
Area Bancshares Corporation, the Principal, BroadVision, JP Morgan, Fleet,
Citigroup, Bank of America, Allianz, Zurich Financial Services, Intuit, Synovus,
Andersen Consulting, and Hewlett Packard.
The S1 logo at the center is split horizontally, and the top half of the page is
labeled "Network" and the bottom is labeled Operations"
Slide 28
Business In Transition
<TABLE>
<CAPTION>
Old New
--- ---
<S> <C>
Banking Banking, Brokerage and Insurance
Transaction centric Relationship centric
Web Multi-channel
Clicks Clicks and bricks
# data center customers # recurring revenue customers
US Global
Proprietary Open
Unix Platform independent
Centralized Feiretsu
Modular Suite
Corillian Siebel
</TABLE>
<PAGE> 13
Slide 29
Let's Analyze a Few Pieces
- $286mm in Cash as of 6.30.00
- Q up at Digital Insight's multiples is worth about $250mm
- Edify at a VRU multiple of 2-3x is worth $100-150mm, however at KANA
multiples of 22x
- VerticalOne at Yodlee like comparables -- $150mm
- EMEA could have partners in the nine figure range
- Total could be equal to our current market cap with zero credit for the
US core business
<PAGE> 14
PRESENTATION
Slide 1
Q UP, An S1 Company
Hank Seale, CEO
September 8, 2000
Slide 2
Q UP Product Solution
- Configurable bank-in-a-box NT solution for community banks - hosted or
onsite
- Inexpensive, easy to install, easy to maintain
- Average Contract Value $50K
- IBS
- Voice Response
- Cash Management
- Portal
- Installs in weeks
- Tool kit customizable solution for regional and super regional banks
- Considerable professional services
- Consolidation of NT platforms early 2001
Slide 3
Q UP Market
- Target market of 10,000 Community and Regional Banks Under $10B
- "Land grab" environment through 2003
- Estimate that less than 3,500 banks have adopted IBS solution
- New initiative to focus on Credit Union market with its over 12,000
institutions
- Ripe for opportunity
<PAGE> 15
- Q UP's business model, which is profitable, can be sold at a
lower price point than competitors currently selling in this
market
Slide 4
Q UP Financial Success
- Adding 30-50 banks a month
- Closing 70% of the contracts we pursue
- Strong after sales support to ensure high user penetration
- Additional license and support revenue generated from installed base
- eCommerce Portal licenses (over 130 sold)
- Add-on and upgrades of IBS modules
- Selling to banks switching vendors
Slide 5
Stacking up to Competition
- Q UP has 616 financial institutions (almost all banks) compared to
largest competitor Digital which has 970
- Q UP closed 64 contacts in Q1 compared to Digital at 154
- Q UP closed 95 contracts in Q2 compared to Digital at 90
Slide 6
Expanding the Revenue Model
- Expand user fees and recurring revenues through addition of Value Added
Goods and Services - "VAGAS"
- Ongoing VAGAS initiatives include:
- Portal - user fees
- Insurance - commission revenue
<PAGE> 16
- Account Aggregation (Vertical One) - user fees
- Brokerage - commission revenue
- Become equalizer of community financial institutions to super regional
banks
- Leverage communities i.e.: Banking, Small business, Retail
Slide 7
Q UP, An S1 Company
Helping our customers
create customers for life.
<PAGE> 17
PRESENTATION
Slide 1
Edify Corporation, an S1 Subsidiary
Joe Brown
President & CEO
September 8, 2000
Slide 2
What Does Edify Do?
- Past: IVR Solutions Provider
- Now: Customer Interaction Solutions for all Customer Contact Channels
Slide 3
Re-engineered Edify Corporation
- New Company Focus
- New Management Team
- Redirected & expanded Product Development
- Expanded Sales Force
- Re-structured North American Sales Force
- Built EMEA Sales Force
- Established APLA Sales Force
- Commitment to Customer Satisfaction
- Re-engineered Customer Support
- Re-engineered Consulting Service
<PAGE> 18
Slide 4
Results: Expanded Edify Product Mix
- Multi-Channel Server Solutions
- IVR
- Web
- WAP
- E-mail
- Fax
- Other (Pager, ATM)
- Voice Recognition Solutions
- Horizontal Solutions
- CIC Solutions (Future. . .)
- CSR Desktop Services (Horizontal & Vertical)
- Virtual Agent Services
- Multimedia Services (E-Mail Understanding, Chat & Collaboration)
- e-CSR
Slide 5
Results
- Expanded Product Range
- Wireless Solutions (WAP, SMS, i-mode, Compact HTML)
- Voice Recognition (including Speaker Authentication &
Verification)
- Fax Solutions
- Double Byte Character set support (Japan & China)
- Revenue Growth
- Strong year over year revenue growth
<PAGE> 19
- International Contribution: > 25%
- Initial installations in Japan & China
Slide 6
Slide 6 is a chart titled "Results: Multi-Channel Solutions".
RESULTS: MULTI-CHANNEL SOLUTIONS
<TABLE>
<CAPTION>
IVR VOICE WEB E-MAIL FAX WIRELESS
CUSTOMER RECOGNITION
-------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C>
NATIONAL INTERBANK [ ] [ ] [ ]
-------------------------------------------------------------------------------------------------------------------------------
ANZ BANK [ ] [ ]
-------------------------------------------------------------------------------------------------------------------------------
DAIWA BANK [ ] [ ] [ ] [ ] [ ]
-------------------------------------------------------------------------------------------------------------------------------
DST CORPORATION [ ] [ ]
-------------------------------------------------------------------------------------------------------------------------------
GLENVIEW STATE BANK [ ] [ ]
-------------------------------------------------------------------------------------------------------------------------------
BANK OF GREECE [ ] [ ] [ ]
-------------------------------------------------------------------------------------------------------------------------------
AMERICAN SKANDIA [ ] [ ]
-------------------------------------------------------------------------------------------------------------------------------
SEARS CORPORATION [ ] [ ] [ ]
-------------------------------------------------------------------------------------------------------------------------------
CONSORS [ ] [ ] [ ] [ ]
-------------------------------------------------------------------------------------------------------------------------------
HSN [ ] [ ]
-------------------------------------------------------------------------------------------------------------------------------
DELTA AIRLINES [ ] [ ]
-------------------------------------------------------------------------------------------------------------------------------
KRAFT FOODS [ ] [ ] [ ]
-------------------------------------------------------------------------------------------------------------------------------
</TABLE>
Slide 7
<PAGE> 20
Slide 7 is a graph titled "Increasing Edify Customer Satisfaction... " Four
categories are charted: 1) customer satisfaction; 2) total calls; 3) total open
cases; 4) cases open. The categories are shown against a scale between 0% and
100%.
In April, Customer Satisfaction was 83.1; Total Calls 29.5; Total Open Cases 60;
and Cases Open Greater than four weeks 16. The plot points on the graph are as
follows: In May, Customer Satisfaction was 84.2; Total Calls 30.4; Total Open
Cases 52; and Cases Open Greater than four weeks 18. In June, Customer
Satisfaction was 88.1; Total Calls 30; Total Open Cases 62; and Cases Open
Greater than four weeks 12. In July, Customer Satisfaction was 91.9; Total Calls
27.5; Total Open Cases 54; and Cases Open Greater than Four Weeks 13.
Slide 8
"So, where are we going . . .?"
Slide 9
Dr. Charles Jolissaint
Chief Technology Officer
Edify Corporation - A subsidiary of S1
Next to the above graphic appears the Edify logo.
Slide 10
Architecture
for a Bright Future
Dr. Charles Jolissaint
Slide 11
Edify Natural Language Demonstration
<PAGE> 21
PRESENTATION
Slide 1
Vertical One Corporation
An S1 Company
S1 Analyst Conference
Slide 2
Slide 2 presents the corporate logos of VerticalOne's "Top Partnerships": Yahoo
Finance, The Motley Fool.com, CNBC.com, iVillage.com, OnMoney.com, Wells Fargo,
Smart Money.com, LifeMinders (Providers of Electronic Newsletters to
Olympics.com), Virtual Bank, FreeRealTime.com, Intrust, Centura (Banking,
Investments, Insurance, Solutions) and ian (Internet Appliance Network).
Slide 3
Business Statistics:
- Over 20 Live Distributors
- Over 180,000 Registered Users
- Over $2.5 Billion in Assets
Slide 4
Slide 4 is titled "VerticalOne Vision": "To become the dominant, globally
pervasive electronic bridge between commerce companies and their customers -
bringing consumers an unmatched level of convenient access to their personal
information ... anytime, anywhere." Beneath the quote appears a graphic of the
VerticalOne logo. The logo is connected to two ovals, one above and one below
the logo. In the top oval is written "Large Numbers of Providers" and "Access to
Personal Content". To the left of the oval is written "Commerce Companies." The
oval beneath the logo contains the word Mass Market. Outside of the oval is
written "Consumers."
Slide 5
Product Themes
Two-fold approach to aligning commerce companies with their consumers.
<PAGE> 22
- Value Propositions for Commerce Companies (Distributors and Providers)
Sticky-ness
Seamless-ness
Security and Seclusion
- Value Propositions for Consumers
Access
Interactions
Transactions
Slide 6
Commerce Trends
Personalization - provide each customer with an interactive, personalized Web
experience using clickstream data "on the fly".
Instant fulfillment - provide customers with products on the same day.
Custom Pricing - Dynamic prices on e-commerce sites.
Anywhere, Anytime - The ability to buy from anywhere, anytime.
Intelligent Agents - Intelligent software agents will find the best products and
best prices for customers 24 hours a day.
Slide 7
Slide 7 is titled "Product Vision." It depicts a full-page graphic of
interconnected boxes with internal text as described below:
In the left column written vertically are the words VerticalOne. Next to that
are a stack of website pages in graphic form, each of which has words written
over it. Starting at the top and working downward: Banks; Brokers; Credit Cards;
Rewards; Communications; Bills. Three arrows pointing in both directions are
placed in between the website pages.
The first box has the heading Aggregation Services. Beneath it are five boxes
stacked vertically, each with words in it. Starting from the top and working
down: Account Setup; Harvest Balances; Harvest Details, Password Management;
Account Application. Against the boxes in a vertical position appears the words
Provider Provisioning.
The second box is titled Interaction Services. Beneath it are four boxes stacked
one atop the other. Starting at the top and working downward: Advice; Graphs;
Alerts; Other.
<PAGE> 23
The third box is titled Transaction Services . Beneath it are four boxes stacked
one atop the other. Starting at the top and working downward: Pay; Transfer;
Trade; Purchase. Against these boxes in a vertical column appears the word
Authentication.
Beneath the three boxes is a bar uniting the boxes in which is written Database
Marketing & Reporting.
In the fourth box is written in vertical letters "Implementation Partners."
The fifth and final box is titled Presentation Services. Below it are five boxes
one atop the other, each with words in it. Starting at the top and working
downward: New Channels; WAP; ATM; Voice; Broadband. Next to the bottom four
boxes appears a graphic of a man.
Slide 8
Slide 8 is titled "Value Propositions for Consumers." Beneath the title is
written, "VerticalOne will offer solutions to consumers that are convenient,
portable, flexible and secure." Slide 8 also depicts a graph with a vertical
axis labeled "Utility" and a horizontal axis labeled "Time." The three
categories within the Utility axis are labeled (from bottom to top) Access
(Quality/Quantity), Interact (Relevance), Transact(Actionable), and these are
measured against the Time axis. Where Access meets Time on the graph is written
"Add Edit View". Where Interact meets Time on the graph is written "Alert Advise
Analyze". Where Transact meets Time on the graph is written "Purchase Transfer
Trade".
Slide 9
Product Access and Interaction Enhancements
- Continual increase in number of accounts accessible
- Value and date-based alerts
- Financial management tools
- Loans, Itineraries, Calendars, Mortgages, Insurance, CDs (banking), more
bills
- Transaction services
As an example of VerticalOne's financial management tools, Slide 9 also contains
a computer screen graphic of an "Account Tracker" page taken from CNBC.com.
Slide 10
<PAGE> 24
Slide 10 is a chart titled "VerticalOne's Experience and Credibility." The
chart, which begins in August 1999 and ends in August 2000, shows the general
growth in VerticalOne's subscribers, accounts, and distributors. The plot points
on the graph are approximate. Along the left side of the graph is written
vertically, "Total Number (000)".
<TABLE>
<CAPTION>
Distributors Accounts Subscribers
------------ -------- -----------
<S> <C> <C> <C>
Aug 99 1 0 0
Sep 99 1 5 3
Oct 99 3 10 9
Nov 99 3 15 12
Dec 99 3 17 13
Jan 00 4 25 17
Feb 00 5 50 25
Mar 00 11 75 48
Apr 00 12 100 65
May 00 13 150 80
Jun 00 14 205 125
Jul 00 14 245 150
Aug 00 21 275 275
</TABLE>
Slide 11
VerticalOne Differentiators
- Thought leader and innovator
- Reach and adoption
- Experience and credibility
- Depth of service and providers
- Focus - unchanged business model and integrated support services
- Highest security/privacy standards
<PAGE> 25
PRESENTATION
Slide 1
International View
Daniel H. Drechsel
CEO, S1 EMEA
September 8, 2000
Slide 2: Massive Changes Afoot
<TABLE>
<CAPTION>
Society Technology Financial Services
<S> <C> <C>
Unified Markets Communications Competition
Private Equity Computing Transnational
Content Client Experience
</TABLE>
Arrows flow from each of the three categories and point to a triangle graphic
and converge thereon.
Slide 3: Technological Change
Digital Power = Communication multiplied by Computing multiplied by Content.
Digital Power leads to the creation of an exponential pace of change of the
digital infrastructure (unlimited bandwidth, infinite storage...)
Gilder's Law: Communication doubles every 9-12 months.
Moore's Law: Computing doubles every 18 months.
Metcalf's Law: Content increases 2n where n is # of network nodes.
Slide 4: The Landscape in Europe
Inherited 'domestic player' model
- Domestic-only user base, reflects brick banks, a few big player(s)
dominate given territory
Pan- European strategies
- Financial Services represent 16% of GDP, largest single industry
Growth forecasts
- >10m Europeans will seek financial advice online in 2003
- Discount brokerage accounts:
- 1.2 million in 1999 (900,000 Internet),
- 8.5 million in 2002 (8.3 million Internet);
<PAGE> 26
- currently only 25% of EU population are shareowners (75% in US)
<TABLE>
<CAPTION>
Bank No. Users
---- ---------
<S> <C>
Postbank 600,000
Egg *** 550,000
Bank 24* 415,000
DB Online* 410,600
Barclays Bank** 380,000
Swedbank*** 240,000
SEB*** 260,000
Svenska HB 135,000
ABN AMRO Bank 230,000
Comdirect* >200,000
Nordbanken 90,000
BNP 35,000
</TABLE>
*BTNI, Sept. 1999
**Barclays, Aug. 1999
***Reuters, July 1999
Slide 5: Device revolution
Mobile phones and PDAs
- 1 billion mobile phone subscribers by 2005
- By 2001, 15% of mobile phones purchased will have Net capability
- 525 MM WAP handsets will be shipped in the US & W. Europe by 2003
- By 2005 more Internet users via mobile terminals than landlines
- Integration with Internet banking ('alert me when', signing, etc.)
Web/Digital TV
- Promising area, mass market device - 'idiot-proof' E-Purse and smart
cards
Nokia advertising: "Bank on a Bench"
A picture shows cell phones, telephones, PDAs, personal computers, Surf TV,
webtv networks, and a Microsoft Windows logo.
Slide 6: Increasing Adoption Worldwide
Globalization of the Internet
- Rapid growth in Europe and Asia
- Northern Europe ahead of Southern Europe
- Antipodes and SG leading Asia Pacific
<PAGE> 27
<TABLE>
<CAPTION>
--------------------------------------------------------------------------------------------------------------------------------
INTERNET POPULATION FORECAST DETAIL
--------------------------------------------------------------------------------------------------------------------------------
1998 2003
--------------------------------------------------------------------------------------------------------------------------------
USERS % USERS %
--------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C>
U.S 62.8 44% 177.0 35%
--------------------------------------------------------------------------------------------------------------------------------
Canada 8.8 6% 23.6 5%
--------------------------------------------------------------------------------------------------------------------------------
W. Europe 40.9 29% 168.4 34%
--------------------------------------------------------------------------------------------------------------------------------
Japan 8.0 6% 32.0 6%
--------------------------------------------------------------------------------------------------------------------------------
Asia-Pacific 10.2 7% 47.7 9%
--------------------------------------------------------------------------------------------------------------------------------
Latin America 3.0 2% 14.8 3%
--------------------------------------------------------------------------------------------------------------------------------
Rest of World 8.5 6% 38.9 8%
--------------------------------------------------------------------------------------------------------------------------------
Total 142.2 100% 502.4 100%
--------------------------------------------------------------------------------------------------------------------------------
</TABLE>
To the left of the above chart appears another chart titled "Internet Population
by Region". It lists the countries/geographical areas in decreasing order: U.S.,
Canada, Western Europe, Japan, Asia-Pacific, Latin America, the Rest of the
World. The internet populations are given in percentages (approximate) for two
separate years, 1998, and 2003. In 1998, U.S.= 58%; Canada = 55%; W. Europe =
50%; Japan = 18%; Asia-Pacific = 8%; Latin-America = 5% ; Rest of the World =
1%. In 2003, the projected figures are as follows: U.S.= 65%; Canada = 62%; W.
Europe = 61%; Japan = 25%; Asia-Pacific = 10%; Latin-America = 6% ; Rest of the
World = 2%.
Slide 7: Customer Experiences Drive
- A more cost-effective transaction channel
- Encourage frequent visits vs. branch approach
- Identify cross selling opportunities through knowledge of customer
portfolio and customer initiated events
A graph shows a vertical axis labeled "Customer Value" and a horizontal axis
titled "Functionality". Within the graph appears a graphic of a divide running
vertically from the middle of the Functionality axis. On the left side of the
divide is written "Cost Driven; on the right "Revenue Driven". Four points are
plotted within the graph, the first of which is Transactions. The second is
Account Management. The third is PFM. And the fourth point is Wealth Building.
The four points are plotted along the same line at varying points. The slope of
the line is upward, with PFM and Wealth Building on the right side of the wall.
Transactions and Account Management are written on the left.
Beneath the graph is written a footnote: "PFM: Personal Financial Management
(similar to functionality offered by Intuits' Quicken product)"
Source: S1 Framework
<PAGE> 28
Slide 8: Leading Capabilities Globally
- Globalized Products
- Offices in key Finance and Tech Centers
- 400+ Experienced Personnel
- Management & Distribution Structure
A map shows that S1's business reaches to North America, Europe and Australia.
Slide 9: Relationships Globally
In Europe S1 has relationships with:
- Yapi Kredi
- Coutts
- Banco Espirito Santo
- ABN-AMRO
- SAN PAOLO
- The Royal Bank of Scotland
- Robeco Bank Luxembourg
- BNP
- CL
- SNS
- Artesia
- Zurich Financial Services
- Girobank
- Arab National Bank
In Asia S1 has relationships with:
- United Overseas Bank
- National Australia Bank
- OCBC Bank
- ANZ
- Westpac
- Southern Bank Berhad
- Bank of East Asia
Slide 10: Progress In Europe
Clients
- 2 multi-country Consumer Suite deals in implementation
- Consolidating and improving existing relationships
Data Center
- Floor is open
- Part of a wider European network of hosting facilities
- Will host systems of core strategic partners
Expanding our partnerships in Europe
<PAGE> 29
- Reseller agreements
- Product & technology partnerships
Slide 11: Progress in Asia
Clients
- Substantial Consumer Suite deal in implementation
- Consolidating and improving existing relationships especially around
large RBS installations
Data Center
- Live with first client since April
- Adding additional clients Expanding geographic coverage
Expanding geographic coverage
- First China initiatives
- First Japan initiatives
- Better geographic coverage in southeast Asia
<PAGE> 30
PRESENTATION
Slide 1
Market Update
William Soward
September 8, 2000
Slide 2
Top 100 Market Still Wide Open
Top 100 US Bank Functionality
Slide 2 depicts a bar graph with one vertical bar with four subparts, which
shows 100% of the top 100 U.S. Banks broken down into four categories on a
percentage basis: Advanced Functionality (10%); Limited Functionality (13%);
Brochure-Ware (41%); No Web Presence (36%). The slide also indicates that the
Brochure-Ware and No Web Presence (77% combined) categories have no transaction
functionality.
Source: Tower Group
Slide 3
Top 25 Now A Replacement Market
Internet Banking in Top 25 Bank Holding Companies
Slide 3 depicts a bar graph with three vertical bars, which show the number of
top 25 bank holding companies in each of the following three categories: Web
Presence (25 of 25); Internet Banking (23 of 25); Banking with Quicken or Money
(12 of 25).
Source: Tower Group
Slide 4
Community Bank Market is Large
US Banks* Offering Internet Transaction Access
Slide 4 depicts a bar graph with four vertical bars, which show the number of US
banks (excluding credit unions) offering internet transactions for each of the
following years: 1997 (104); 2000 (1,100); 2003e (2,335); 2005e (3,088).
<PAGE> 31
* Excludes Credit Unions
Source Tower Group
Slide 5
Online Banking Importance Increasing
Slide 5 depicts a bar graph with two vertical bars, which show survey
respondents' views (on a percentage basis) on the following products/services:
Internet Banking (Essential (approx. 28%); Important (approx. 59%); Somewhat
Important (approx. 2%); Not Important (approx. 11%)); EBPP (Essential (approx.
19%); Important (approx. 49%); Somewhat Important (approx. 21%); Not Important
(approx. 11%)).
Source: Tower Group
Slide 6
Internet Channel Usage Increasing
% of Contacts by Touchpoint
Slide 6 depicts two pie charts, one for each of 1997 and 2002.
1997
Branch or Agency 27.8%
ATM 55.4%
Automated Telephone 3.4%
Attended Telephone 12.9%
Electronic Channels 0.6%
2002
Branch or Agency 20.0%
ATM 50.1%
Automated Telephone 6.4%
Attended Telephone 17.3%
Electronic Channels 6.2%
Source: Meridian Research
<PAGE> 32
Slide 7
Regional Internet Penetration
Slide 7 depicts a bar graph with 6 horizontal bars, which show the percentage of
users who accessed the Internet in the past month from the following areas:
North America 41%
Developed Asia 32%
Western Europe 23%
Latin America 11%
Eastern Europe 11%
Developed Asia 10%
Source: Roper Research 2000
Slide 8
eFinance: Offense and Defense
Slide 8 depicts a bar graph with six vertical bars, which show survey
respondents' views (on a percentage basis) for each of the following categories:
Increased Revenues (68%); Decreased Transaction Costs (76%); Customer
Acquisition (84%); Increased Sales (74%); Increased Delivery Speed (71%);
Customer Retention (92%).
Source: Tower Group
Slide 9
Segmentation Drives Channel Strategy
<TABLE>
<CAPTION>
High Cultivate Retain/Cultivate
--------- ----------------
<S> <C> <C>
Cross-Sell Live Agents
Blended Service High Value Service
Potential Value Exceed Expectations
Cross-Sell
Low Reduce Cost Retain
----------- ------
Self Service Live Agents
Monitor for Potential High Value Service
Exceed Expectations
Low High
Current Value
</TABLE>
<PAGE> 33
Slide 10
Summary: Strong Market Growth
Global 300 Estimated Online Banking Spending
Slide 10 depicts a series of two-bar vertical bar graphs, which show the
estimated online banking spending (in billions of dollars) for 2000 and 2004 for
each of the following categories:
North America
- $1.1B -- 2000
- $2.3B -- 2004
- CAGR = 20%
Europe
- $1.0B -- 2000
- $2.1B -- 2004
CAGR = 20%
Asia
- $0.4B -- 2000
- $0.8B -- 2004
CAGR = 19%
Other
- $0.1B -- 2000
- $0.2B -- 2004
- CAGR = 19%
Total
- $2.6B -- 2000
- $5.4B -- 2004
- CAGR = 20%
Source: Meridien Research
Slide 11
Banking Competition Varies By Region
Slide 11 depicts a map of the world with the names of certain competitors of S1
listed next to certain global regions as follows:
North America
- Corillian
- Digital Insights
<PAGE> 34
Financial Fusion
South America
EverSystems
Europe
- IBM
- Broadvision
- Brokat
- Cap Gemini
South Africa
Corillian
Asia
Brokat
Australia
Corillian
#1 Competitor is Still Custom Build
Slide 12
Competitive Overview
<TABLE>
<CAPTION>
------------------------------------------------------------------------------------------------------------------------------------
SIZE OF FSP PLATFORM DEPLOYMENT OPTIONS
------------------------------------------------------------------------------------------------------------------------------------
Lrg Med Sm Unix NT IBM 390 On-Premise Outsource
------------------------------------------------------------------------------------------------------------------------------------
<S> <C> <C> <C> <C> <C> <C> <C> <C>
S1 x x x X x x x x
------------------------------------------------------------------------------------------------------------------------------------
724 x X x x x
------------------------------------------------------------------------------------------------------------------------------------
Broadvision x X x x
------------------------------------------------------------------------------------------------------------------------------------
Brokat x x X x x
------------------------------------------------------------------------------------------------------------------------------------
Capco x x x x
------------------------------------------------------------------------------------------------------------------------------------
Corillion x x x x
------------------------------------------------------------------------------------------------------------------------------------
Credo Group x x X x x
------------------------------------------------------------------------------------------------------------------------------------
Digital Insight x x X x x x
------------------------------------------------------------------------------------------------------------------------------------
EverSystems x X x x
------------------------------------------------------------------------------------------------------------------------------------
Financial Fusion x x X x x x
------------------------------------------------------------------------------------------------------------------------------------
IBM/Integrion x x x
------------------------------------------------------------------------------------------------------------------------------------
InteliData x x x x
------------------------------------------------------------------------------------------------------------------------------------
Infosys Technologies Ltd. x x X x x
------------------------------------------------------------------------------------------------------------------------------------
</TABLE>
<PAGE> 35
Slide 13
Enterprise-Wide
Customer Financial Experience
Slide 13 depicts a graphic of a triangle with each of its three sides labeled
with one of the following: banking; brokerage; insurance. The triangle is within
a circle with the following information on the outer edge of the circle:
Business Applications
- Credit Card
- Loans
- Payments
- P&C
Self Service Multiple Physical Channels
- Web
- PC
- Wireless
- IVR
- ATM
Full Service Multiple Logical Channels Advisor Webstation
- Branch
- CSR
- Agents
- 1-n-1
- n-1
Aggregation Applications
- CRM
- Settlements
- EBPP
- Wealth Management
- Education
Slide 14
Customer Expectations Growing
- Application breadth and depth
- Massive scale
- Platform independence
- Flexible
- Global
<PAGE> 36
- Proven delivery capability
Slide 15
Battle For The Enterprise
- Siebel is most likely competitor
- S1 well positioned
> Vertical focus with extensive domain expertise
> Substantial application lead
> Proven Internet architecture
> Extensive customer base and key partnerships
> Sweet spot is transactions not SFA
Early Success Positioning Siebel as a Tactical Solution
Slide 16
Compelling Vision for the Future
Slide 16 depicts a full-page graphic of interconnected boxes with internal text
as described below (from left to right):
Box 1
Web
IVR/Call Center
Destination Site
Wireless
Branch
ATM
Box 2
Financial Experience
Boxes 3-5 (Boxes 3-5 are stacked vertically and are listed from top to bottom)
Consumer
Small Business (which is connected by a line to Box 6)
Corporate
Box 6 (which is connected by a line to Box 7)
Computer Screen Graphic
Box 7
S1
Open eFinance Architecture
<PAGE> 37
- Financial Business Components
- Retail Banking
- Small Business Banking
- Corporate Banking
The following text is directly above Box 7: WebTone; netAssets; API; API; API.
The following text is directly below Box 7: API; API; API; In-house Development.
Boxes 8-14 (each of which is connected by a line to Box 7 (listed from top to
bottom))
Cash Mgmt
Wireless
Trade Financing
Banking
Brokerage
Insurance
Non-Financial
Slide 17
Summary
- Global opportunity expanding
- Overall importance increasing
- No break-out competitors
- Industry convergence reinforcing S1 value proposition
- Enterprise-wide is next frontier
<PAGE> 38
PRESENTATION
Slide 1
Operational Overview
Jeff Lunsford
Acting President, S1 Corporation
September 8, 2000
Slide 2
Agenda
Operating Priorities
Product Plan
Technology Plan
Slide 3
Operating Priorities
Sales
- Product
- Partnerships
- Customers
- Internal
Slide 4
Operating Priorities
Sales
- Adding coverage in all theaters
- Aligning along product lines
- Deepening partner relationships
Product
- Open eFinance Architecture
- Across the enterprise
- Suite pricing
- Reduce life-cycle costs of all products
- Platform consolidation
<PAGE> 39
Slide 5
Operating Priorities
Partnerships
- S1 University
- Global integration services partnerships
Customers
- Constant improvement in customer satisfaction
- Customer Advisory Council
Internal
- Continue to recruit management talent
- Employee motivation/retention
Slide 6
Agenda
Operating Priorities
Product Plan
Technology Plan
Slide 7
Enterprise eFinance Experience
Slide 13 depicts a graphic of a triangle with each of its three sides labeled
with one of the following: banking; brokerage; insurance. The triangle is within
a circle with the following information on the outer edge of the circle:
Business Applications
- Credit Card
- Loans
- Payments
- P&C
Self Service Multiple Physical Channels
- Web
- PC
- Wireless
- IVR
- ATM
Full Service Multiple Logical Channels Advisor Webstation
<PAGE> 40
- Branch
- CSR
- Agents
- 1-n-1
- n-1
Aggregation Applications
- CRM
- Settlements
- EBPP
- Wealth Management
- Education
Slide 8
Consumer Segmentation: Tomorrow
Americas + EMEA + APAC
[Pictured is a graph. On the left side of the graph is the word Environment in
boldface type with the following words underneath: Price, Assets, Sales cycle,
Implementation Time, Equities and Partnership. Outside the graph at the upper
left side word High and at the lower left side of the graph is the word Low.
Along the bottom of the graph is the word Solution in boldface type with the
following words underneath: Nr of end-users, Depth of Functions, Customizations,
Consulting and Effort to Upgrade. Outside the graph at the bottom left corner is
the word Simple and at the bottom right side of the graph is the word Complex.
Inside at the lower left portion of the graph are the following words: Turnkey,
Off-the-shelf, and Built-to-plan. Inside in the middle of the graph are the
following words: Packaged, Guided-Custom through tools and Mass-Custom. Inside
at the upper right portion of the graph are the following words: Open, Custom,
and Built-to-order. Overlaying and inside the graph are two shaded ovals. The
first oval is located on the lower left side of the graph. Inside and centered
in the first oval are the words Retail (Pendragon) with the word Turnkey below
and to the left side of the oval and the word Tools below and to the right side
of the oval. The second oval is located on the upper right side of the graph.
Inside and centered in the second oval is the word Consumer with the word
Packaged below and to the left side of the oval and the word Open below and to
the right side of the oval.] The two ovals on the chart are sloping upwards left
to right at a 40 degree angle.
Slide 9
Business Segmentation: Tomorrow
Americas + EMEA + APAC
<PAGE> 41
[Pictured is a graph. On the left side of the graph is the word Environment in
boldface type with the following words underneath: Price, Assets, Sales cycle,
Implementation Time, Equities and Partnership. Outside the graph at the upper
left side word High and at the lower left side of the graph is the word Low.
Along the bottom of the graph is the word Solution in boldface type with the
following words underneath: Nr of end-users, Depth of Functions, Customizations,
Consulting and Effort to Upgrade. Outside the graph at the bottom left corner is
the word Simple and at the bottom right side of the graph is the word Complex.
Inside at the lower left portion of the graph are the following words: Turnkey,
Off-the-shelf, and Built-to-plan. Inside in the middle of the graph are the
following words: Packaged, Guided-Custom through tools and Mass-Custom. Inside
at the upper right portion of the graph are the following words: Open, Custom,
and Built-to-order. Overlaying and inside the graph are two shaded ovals. The
first oval is located on the lower left side of the graph. Inside and centered
in the first oval are the words Retail (Pendragon) with the word Turnkey below
and to the left side of the oval and the word Tools below and to the right side
of the oval. The second oval is located on the upper right side of the graph.
Inside and centered in the second oval is the word Corporate (Merlin) with the
word Packaged below and to the left side of the oval and the word Open below and
to the right side of the oval.] The two ovals on the chart are sloping upwards
left to right at a 40 degree angle.
Slide 10
The S1 Wealth Management Webstation: One single platform . . .
Enterprise-Wide
[Centered in the slide is a cube. On the top-side of the cube, under the heading
Product, are the following words: Brokerage, Insurance, Banking. On the
left-side of the cube, under the heading Location, are the following words:
Wealth Manager Office, Bank Branch, Home, Customer Support Center and On the
Road. On the right-side of the cube, under the heading Role, are the following
words: Customer Service Representative, Wealth Manager, Financial Advisor and
Insurance Agent.]
. . . with customized views for each professional.
Slide 11
The S1 Network
[Centered in the slide is the S1 Corporation logo inside of a triangle. At the
top of the triangle is the word Banking. At the bottom left point of the
triangle is the word Insurance. At the bottom right point of the triangle is the
word Brokerage. In dark print are lines coming off all around the triangle
connected to the logos of the following entities: Comdisco, Reuters, Total
System Services, Inc., CheckFree, Equifax, netAssets, Metavante, BroadVision,
E.Piphany, Wavo Corporation, Financenter.com, Pershing, CNBC.com, Davidge Data
Systems Corp., WebTone Technologies, Business Logic Corporation, Quintus,
<PAGE> 42
VerticalOne, STC, trade.com, Q-Up, princeton ecom, TIBCO, PostX, LendingTree,
Edify and Intuit.]
Slide 12
The S1 Network - Choices for our Customers
<TABLE>
<CAPTION>
Implementation Technology Equity Stake
-------------- ---------- ------------
<S> <C> <C>
Andersen Cons. Netassets Y
IBM Webtone Y
Fiserv BusinessLogic Y
M&I Data Services BroadVision Y
NCR E.Piphany Y
ACI LendingTree
Unisys Aether
Ticoon
</TABLE>
Slide 13
Agenda
Operating Priorities
Product Plan
Technology Plan
Slide 14
Target Framework
[A graphic appears below. Along the top of the graphic and straight across on a
line are various objects, including, but not limited to: a telephone, a fax
machine, a laptop computer, a mobile telephone, a PDA, a bank branch and an ATM
machine. These objects flow into three boxes, which are on top of one another.
The top box is entitled eFinance Architecture Framework. The middle box is
entitled eFinance Development Framework. The bottom box is entitled eFinance
Operation Framework. The following words appear on top of the boxes:
Presentation (XML, XSL, JSP, . . .), Financial Business Components (EJB, . . .),
Common Business Services (CRM, . . .), Common Technical Services (Security, . .
.) and Adapters (XML, . . .). The bottoms of the boxes flow onto a straight
line. Along the straight line are 4 objects. The first object represents DDA,
Credit Card, . . . The second object represents Swift, BAI2 and OFX. The third
object represents a Clearing room. The fourth object represents Rueters, Nasdaq
. . .]
Slide 15
<PAGE> 43
Easy Product Integration
Preferred Integration Enabler
[Graphic depicting two objects. The object on the left side represents S1. The
object on the right side represents Product X. In between the two objects are
three boxes in column format. Each box is connected to both objects with lines
and arrows. The first box is entitled URL LINK. The second box is entitled XML
API. The third box is entitled Bus Objects. Below these three boxes is another
box, which touches both objects, entitled Shared Platform/Services. At the
bottom of the graphic and underlying both objects is the phrase Technical
Infrastructure.]
Slide 16
Existing Today
[Centered in the slide is the S1 Corporation logo in a circle. Connected to the
circle by lines are various words and phrases, including, but not limited to:
Branding, T.O.M; Wireless [with a picture of a mobile phone]; OFX/IFX (a graphic
of Quicken's logo appears beneath); XML API; Internet [with a picture of a
laptop computer]; LDAP X509 SSO API; Custom Business Rules; 1:1 API; Data
Tunnelling; Edify [connected to Edify by lines are pictures of a mobile phone
and an e-mail and the word IVR]; and Back Office (limited to "Adapters" [with
pictures of servers]. To the left of the circle is a picture of a cube entitled
Adapters Repository. Coming off the cube is a line with an arrow, with the tip
pointing towards the S1 circle.]
Slide 17
Platforms and Architectures
Slide 17 depicts two rows of stacked boxes, Moving from left to right, the first
row depicts four boxes stacked one atop the next. The four boxes are joined by
an arrow pointing to the other row, which also has four boxes. The boxes in each
row correspond with one another. The top box in the first row, CIB, points to a
box in row two labeled CIB+ Business. In like manner, the second box, VFM,
points to the box VFM+ Consumer. The third box, EWF, points to the box EWF+
Retail. The fourth box, IBS, points to the box Other. At the bottom of the first
row is written "May 00". At the bottom of the second row of boxes is written
"+6/36 months". In row 2, the top three boxes are against a vertical bar with
the word "Excalibur". In the bottom box in row 2 labeled "Other", the words "S1
Relates" appear next to it.
Slide 18
Agenda
<PAGE> 44
Operating Priorities
Product Plan
Technology Plan
Slide 19
Operating Priorities
Sales
- Adding coverage in all theaters
- Aligning along product lines
- Deepening partner relationships
Product
- Open eFinance Architecture
- Across the enterprise
- Suite pricing
- Reduce life-cycle costs of all products
- Platform consolidation
Slide 20
Operating Priorities
Partnerships
- S1 University
- Global integration services partnerships
Customers
- Constant improvement in customer satisfaction
- Customer Advisory Council
Internal
- Continue to recruit management talent
- Employee motivation/retention
Slide 21
THANK YOU.
[email protected]
<PAGE> 45
PRESENTATION
Slide 1
S1 Corporation
Robert F. Stockwell, CFO
September 8, 2000
Slide 2
Agenda
- Domestic Pricing Issues
- Business Unit Growth
- Financial Visibility
- Risks on Timing of Revenue
- 2001 Targets
Slide 3
Domestic Pricing Issues
- VerticalOne competitive environment
- Per user/per month fees limited
- Ability to monetize data in the future
- Professional Services
- New product line (5.X) introduction - Implementation learning curve
- Third major upgrade for customers
- Y2K version required in 1999
- Push back on full implementation charge for 5.x
- Strategic customers will not be lost based upon implementation cost
<PAGE> 46
Slide 4
Financial Visibility During a Quarter
<TABLE>
<CAPTION>
Day 1 Day 45 Day 75
----- ------ ------
<S> <C> <C> <C>
Licenses 50% 70% 90%
Services 85% 95% 100%
Data center 90% 95% 100%
--- --- ----
Total 75% 88% 97%
</TABLE>
Slide 5
Six Month Financial Visibility
<TABLE>
<S> <C>
Licenses 35%
Services 75%
Data center 80%
--
Total 65%
</TABLE>
Slide 6
Risks on Timing of Revenue
- Data Center vs. in-house license monthly user fee
- Drive Data Center revenues to achieve 50% margin
- In-house impacts top line - not total margin dollars
- Additional services outsourced to partners
- Andersen Consulting
- IBM
- "Hockey stick" licenses sales
- Day 45 - 30% of license sales (Q2 = $4.7 million)
<PAGE> 47
- Day 75 - 10% of license sales (Q2 = $1.5 million)
- Expansion of relationship with FI or FI merger
- Royal Bank of Canada
- NatWest
