CSA Alumni Career Conference Banking Industry Panel

1. CSA Alumni Career ConferenceBanking Industry Panel Gary Schnettler Fifth Third Bank Vice President of Debit Authorization Systems

2. Topics • Career Highlights • The Banking Industry, IT and 5/3 • Sample Project • Skills for Success • Industry Trends

3. Career Highlights • 1991 – Graduated from Miami’s Systems Analysis program • 1991 – Hired by 5/3 Bank as an Online Systems programmer • 1993 – Became a manager • 1995 – Promoted to Officer • 1998 – Promoted to AVP • 2001 – Promoted to Vice President of Online Debit Authorizations group

4. Fifth Third Bank Profile • #1 Super-Regional bank for the second consecutive year - Fortune (March 3, 2003) • One of only two banks with “AA” rating – American Banker (August 26, 2003) • 29 consecutive years of record earnings • 8th largest bank in the U.S. by market capitalization • Ranked 3rd in efficiency among 15 largest U.S. Banks • Dividends have grown at a compound rate of 19% over the past 10 years • Fifth Third Bank is a Growth Company!

5. How Banks Make Money Two Methods of Generating Revenue • Interest Income • Based on the spread of interest rates on loans vs. the rates on Savings accounts and CDs. • Fee Income • ATM Surcharges, Overdraft Fees, Credit Card fees, Loan processing fees, selling services to other banks, etc.

6. Banking and IT • CSA graduates are ideally suited for the banking industry because: • Banks are in the business of tracking and providing information to customers, employees and third parties • Banks still have many manual processes that can be automated • Customers will continue to drive the need for new products such as: • Internet banking • Electronic Bill Payment • Pre-paid Cards • Person to Person transfers

7. Information Technology at 5/3 • Approx.1,000 of the bank’s 20,000 employees are in IT • 70% of the projects on the Revenue list involve IT • Management views IT as essential to the business • IT is utilized to: • improve efficiency • improve customer service • increase revenue through new products

8. 5/3 Bank Lines of Business • Retail • Commercial • Investment Advisers • Processing Solutions • Merchant Business • EFT Business

9. 5/3 Bank Processing Solutions Merchant Business Line • Process Credit and Debit transactions for over 160,000 merchant locations • Merchant customers include national clients such as Kroger, Walgreens and Best Buy • Ranked 5th nationally for acquired credit card transactions

10. 5/3 Bank Processing Solutions EFT Business Line • Drive over 11,000 ATMs for hundreds of banks and credit unions • Support ATMs in all 50 states, Japan, Korea, Germany, U.K., Russia, Iceland, etc. • Maintain card bases for over 11 million debit cards for 5/3 and hundreds of other banks and credit unions • Provide connections to over 20 Debit, Credit and EBT networks

11. Credit and Debit Card Transaction Growth

12. Verified by Visa I am Emmitt Smith!

13. Verified by Visa Authentication Process Visa Directory Server Internet Merchant 5/3 Access Control Server Customer Database 5/3 Mainframe Verified by Visa Password Authenticated

14. Verified by Visa Development • Worked with Business Line and Visa to define project requirements • Created a project plan involving Visa, Online Systems and eBusiness • Wrote new encryption routines to store the Verified by Visa passwords under Triple DES • Created a test script with over 100 unique test cases • Performed extensive User Acceptance Testing • Passed a thorough Visa Security Audit

15. Skills for Success • Technical Aptitude • Communication • Project Management • Leadership

16. Technical Skills • Programming Languages • Algorithms • Data Bases • Data Structures • Data Communications • Encryption • Cross platform interfacing

17. Communication Skills • Interpersonal communications with end users • Small Group Communications • Public Speaking • Technical Writing skills are required for communication with • Auditors • Legal Department • Vendors • Customers

18. Project Management Skills • Requirements Gathering • Risk Analysis • Writing Specifications • Developing the Project Plan (SDLC) • Communication with Key Stakeholders and Project team • Issues Management • Implementation Coordination

19. Leadership Skills • Brainstorming • Decision Making • Negotiation • Ability to present a business case • Analytical and critical thinking • Time and resource management

20. Job Expectations • Critical Nature of Systems Support • A 98% score is excellent in school but it is not acceptable on mission critical systems • We strive for 99.999% in everything we do • There’s more to development work than just computer programming • Project analysis and design • Unit testing, Integration testing, User Acceptance testing, Regression testing • Implementation scheduling, coordination and monitoring of changes

21. Current Industry Trends • Privacy and Identity Theft concerns • Increasing audit scrutiny • Continued institution consolidation • Heightened disaster recovery planning • Manual systems automation initiatives • Employee and customer diversity

22. Purchases by Tender Type

23. Check Truncation Act • Gives electronic check images the same legal status as paper checks • Expected to become law in late 2003 or early 2004 • Allows checks to be imaged at the point of submission • ATMs • Branches • Merchants • Potential to reduce check clearing timeframes from 2 - 7 days down to 24 - 48 hours • This will result in huge savings for banks • 5/3 processes approx. 6 million checks per day

24. Summary • Banking is a stable industry and provides above average job security • The banking industry is exciting and provides many challenges for IT professionals • Miami prepares students to excel in meeting those challenges