Insert Logo Here Date

1. Insert Logo Here Date “Bringing Payment to the Point Of Service”

2. What is ON THE SPOT? “ON THE SPOT” describes VeriFone’s solutions for payments at the point of service for restaurants and hospitality locations. It’s about bringing secure, efficient payment solutions right to the spot of the transaction.

3. Hospitality Market Opportunity 900,000 Number of restaurant locations in the U.S. 47% Share of typical consumer food dollar spent in restaurants 75% Percentage of QSRs that franchised (versus corporate) 17% Share of family-and-casual dining restaurants that offer delivery 6% Share of fine-dining restaurants that offer delivery 64% Percentage of adults said they would use a delivery option if offered by their favorite restaurant ~30% Portion of restaurant owners planning on an increased technology budget in the next year *Source: NRA Restaurant Industry 2005 Forecast

4. TIER Top 200 Chains Top 200 Chains I 350,000+ Devices (7 per location) 50,000 Locations Enterprise Solutions 20% (60+ Locations) (60+ Locations) Top 201 - 1000 Chains 140,000+ Devices (7 per location) II 20,000 Locations (10 – 59 Locations) 1,500,000 + Devices (5 per location) Small Chains And Independents ~300,000 +/- Locations 80% Managed Solutions III (Fewer than 10 Locations) Target Market Example – US TablePAY Top 201 - 1000 Chains (10 – 59 Locations) Small Chains And Independents (Fewer than 10 Locations) Sources: 2005 NRA, Chain store Age

5. Expanding The Way to PAY in Restaurants CounterPAY TablePAY CarsidePAY DeliveryPAY …Maximize Profitability, Improve Customer Service • Security • Customer confidence • Reduce operator liability • Speed of service • Shorter lines, faster table turns • Convenience & Cost Savings • Support all payment types • Credit • PIN Debit • Chip & PIN

6. Card Security

7. The Threat • “Credit card fraud (28%) was the most common form of reported identity theft….” 2004 Federal Trade Commission • “It’s safer to transmit your credit card over the Internet than to give it to a waiter at a restaurant or read it aloud over the phone.” Washington Post Identity Theft Unfortunately, stories like this are becoming more common. Consumers want to keep their cards in-sight at all times.

8. Server Entrepreneurship Skimming is common knowledge among larger chains, and many independent restaurants Tip Adjustment with existing systems is inconvenient and ripe for fraud.

9. 25% 34% 25% 9% 8% Consumer Perceptions 60% of Consumers are concerned about card security in Table Service Restaurants* Concerns about Security of Transaction 5. Very Concerned 58.4% 1. Not At All Concerned Current Process * A Study of Acceptance and Perceptions of a New Concept in Tableside Payment Technology at Casual Restaurants Moore & Symons, Inc. - 2006

10. Speed of Service

11. - Full Service Restaurants - Advanced Payments Systems Benefit Operators and Guests Core Benefits Consumers are conditioned to use quick payment solutions • QSR followed payment advances at: • Grocery / Drug / Wholesale clubs • Specialty Retail • Gas Stations / Convenience Stores • Enjoying faster and better service! • Control pace of payment

12. Current Model – Efficiency? POS Station 1. Customer requests check 2. Server walks to POS Station,prints check 3. Server walks to table to drop check 5. Server walks to POS to process transaction 4. Server walks to table to pick up card 6. Server walks to the table with check 8. Server or manager adjusts ticket for tip amount 7. Customer calculates tips, adds up new total and leaves receipts for server to pick up

13. Payments Evolution – The New Model Bringing payment to the point of service simplifies table service payment from 8 steps to… With Wireless: • Server prints the receipt as it’s requested and provides payment device to the consumer • Customer performs transaction • User Interface is designed for intuitive operation by guests • Server returns to table to pick up signed receipt and payment device 3 steps

14. Server brings food, check and terminal to car Consumer swipes card and waits for receipt Finally, Solution for Car Side Payment “1 of 3 consumers have used curbside takeout.” – NRA, 2006 2 steps

15. 37% 39% 21% 3% 1% A Faster and Better Solution 76% feel a pay-at-the-table solution would be faster* Time Savings of the New Process 5. Great Time Savings Mean: 4.07 1. No Time Savings * A Study of Acceptance and Perceptions of a New Concept in Tableside Payment Technology at Casual Restaurants Moore & Symons, Inc. - 2006

16. Convenience &Cost Savings

17. Convenience & Cost Savings • TablePAY and CarsidePAY • Consumers want to be able to hold onto their cards at all times – they are becoming more weary about card skimming • They want to be able to use their debit card at all times • They want to be able to pay and go • Merchants will turn tables faster by paying at the table or even at the car • PIN-based debit saves up to $.50 per transaction

18. DeliveryPAY: Makes Sense • 78% of US households use some form of food takeout or delivery* • Consumers tend to spend more if they can use their card • 64% of adults said they would use a delivery option if offered by their favorite restaurant* • Merchants take more orders instead of credit cards over the phone • Merchants save on card-not-present rates *Source: NRA

19. PIN Debit is a visible ROI contributor Debit has become preferred worldwide, now including families in the U.S. PIN Debit benefit can be as great as $.25-.50 per transaction! Federal Reserve of Kansas City, Nov. 2005 U.S. Interchange Fee for a $50 transaction

20. Restaurants are primed for the next innovation in payment technology …

21. ON THE SPOT Managed Solution ON THE SPOT Managed base components: • Vx 670 Terminal (Wi-Fi or GPRS) for TablePay • Optional Vx 570 Terminal (Ethernet) for CounterPay • ServPOS™ Payment User Interface • Integration into VeriFone Managed Services Portal

22. ON THE SPOT Solution Options Vx 670 GPRS Cell Tower Vx 670 WiFi Router/Access Point Vx 570 Ethernet

23. ON THE SPOT Solution Security SSL Security Vx 670 GPRS Vx 670 WiFi PCI DSS Approved WPA WiFi Security Vx 570 Ethernet

26. Portable Payment Redefined The Vx 670 Purpose Inspired Design for table service and car-side payments • Advanced security • Small size, big features • Server AND Guest-ready user interface • Smart durability

27. Purpose-Inspired for Restaurants Hardware has exclusive features appropriate for the restaurant environment Moisture-resistant display & keypad Bottom loading printer Moisture-resistant magnetic stripe enclosure(Patent Pending) Ergonomic handgrip design

28. Flexible Charging Base Station Drop and go simplicity Spare battery charging • Charging base station offers drop-and-go charging; no cords to attach or buttons to push • Deluxe base station charges the device and a spare battery, plus USB ports for connection to supported USB peripherals, and dial back up • Modular design accepts optional communication modules • Both base options offer desk or wall mount options

29. Software designed for the consumer experience

30. ServPOS Overview The ServPOS payment application is purposed-designed for consumer interactive environments enabling fast and secure payments at the point of purchase.

31. On the Spot Terminal Software Payment App (ServPOS) Admin / Reports App • Merchant Interface • Login • Table / Ticket Input • Customer User Interface • Simplified Flow/Language • Suggested Tip Option • Payment Confirmation • Terminal reports • Totals by individual Server or by all Servers • Detailed transaction • Management Tools • Tip Adjust • Void • Open/Close Tab • Refunds

32. Merchant Welcome Screen PLEASE CONFIRM Amt: $20.00 SINGLE PAYMENT Server Login SPLIT PAYMENT CANCEL TICKET 10 Enter Table/Ticket Customer Enter Ticket(s ) / Payment Confirm Amt Split Pmt Gratuity ServPOS should be considered as a flexible framework that it highly modifiable to adjust to various market opportunities Receipt Print End Of Txn VeriFone ServPOSTM software flexibility Default setting….

33. VeriFone ServPOSTM software flexibility Quick print setting…. Quick Print used when... Merchant • Customer displays unwillingness to use POS terminal • Multiple simultaneous checkouts required with limited # of terminals available Welcome Screen No customer interaction necessary Server Login Enter Table/Ticket Merchant Server controls quick key press (CLR + 1) to bypass gratuity Enter Ticket(s ) / Payment Confirm Amt Split Pmt Gratuity Receipt Print End Of Txn

34. VeriFone ServPOSTM software flexibility Rapid payment setting…. Rapid Payment used when... Merchant • Deployed in ultra-high volume txn setting of restaurant (i.e bar area) • Continued requirement for repetitive blank tip line receipt prints Opening Screen Initiate Sale Rapid payment transactions completed in Report/Admin Management Application Enter Table/Ticket Enter Ticket(s ) / Payment Receipt Print End Of Txn

36. Managed Service Portal • Portal Features • Payment consolidation & reportingaggregates payment transactions from multiple devices for historical reporting purposes and ease of management. • Terminal and User mgmt features allow merchants/resellers to disable enable terminals, modify terminal receipts, and set up portal user security roles via portal interface • Automated settlementvia the portal eliminates need to batch out each device at end of day. • PCI DSS Compliantportal extends security compliance to merchant since no transaction data is stored on the terminal.

37. Online Management Tools POS Device Maintenance (Merchant Console) Manage Terminal Parameters Add/Remove Terminals

38. Co-branding Opportunities https://yourcompanyname.vmsportal.com Your Logo Here Logo and URLco-brand

39. Value Proposition: Managed Solution • The ON THE SPOT “Managed” solution is a unique and exciting offering for the POS industry. • Key benefits include: • Allows merchants that do not have a Restaurant Management System to add similar types of services that one would provide • Refined payment user interface for merchant / consumer ease of use • Increase card holder security • Increase acceptance of debit at the point of purchase • Decreased time for payment process • Managed Services Portal - PCI/DSS Approved • Transaction consolidation • Transaction management • Brings merchants into PCI/DCC compliance • Reporting • Tip Adjusting

40. Bundles by

41. The Bundle Target Segments Designed especially for the following markets: TablePAY CarsidePAY DeliveryPAY Wi-Fi or GPRS Wi-Fi or GPRS GPRS Only

42. VeriFone Help Desk Toll Free 24x7 Professional On Site WiFi Survey and Network Installation, Testing, and Training ON THE SPOT Total Wi-Fi Solution PaymentSolutions Business Grade and Highly Secured WiFi Access Point and Router with Hot-Spot Option WiFi Access Point VeriFone HOT SPOT BroadbandService ConsolidationandReporting Turnkey package or ala carte

43. Multi-Carrier Wireless Service: • Seamless roaming between multiple carriers including Cingular and T-Mobile • One Single Account / One SIM chip VeriFone Help Desk Toll Free 24x7 ON THE SPOT Total GPRS Solution PaymentSolutions Wireless ConsolidationandReporting Turnkey package or ala carte

44. OTS Program Roll Out Success • Completing pilot phase for both enterprise and managed services • 16 ‘On the Spot’ managed pilots • Approx 60 terminals • Mixture of WiFi and GPRS • 18 ‘On the Spot’ enterprise (integrated) pilots • Approx 85 terminals • Most installations are WiFi • Great excitement and feedback

45. Multi-Carrier Expanded Coverage ONE SIM MULTI-CARRIERS Multi-Network Expanded Coverage 92% POP’s, 277M POP’s

46. Solution Support

47. Support Scenario 1 - Reseller • Reseller deploys • Reseller has HD Basic Support Services (Level 2 only) ISO supplied WWAN service Non-supported Wi-Fi router Vx 670 WiFi or GPRS VeriFone Managed Services Portal Level 2 Level 2 • Escalated support from ISO / Processor • Vx 670 HW Support • SW Support • VMAC • CommServer • ServPOS • SoftPay • Escalated support from ISO / Processor • Typically admin / billing questions

48. Support Scenario 2 – Merchant Direct Essential Support Servicesw/ Wi-Fi & support (Level 1/2) • ISO or VFI deploys • ISO - no HD Vx 670 Wi-Fi or GPRS VeriFone Managed Services Portal Level 1/2 Level 1/2 • Same HW & SW support as scenario 1 • Addition of Wi-Fi or GPRS network troubleshooting, diagnostics and problem fix. Warm handoff to Wi-Fi networking partner if required. • Calls directly from merchant location • Internal escalation of more difficult issues. • Rapid response for Level 1. Generally follow up for Level 2 type issues. • Direct calls from merchant locations • Typically admin / billing questions

49. Support Scenario 3 – Merchant Direct Essential Support Servicesw/ Wi-Fi & Broadband support (Level 1/2) • ISO or VFI deploys • ISO - no HD Vx 670 Wi-Fi or GPRS VeriFone Managed Services Portal Level 1/2 • Same HW / SW / Wi-Fi router / GPRS network / VeriFone Managed Services Portal support as scenario 2 • Addition of broadband network installation and monthly service. • Broadband troubleshooting, diagnostics, and problem fix. Warm handoff to broadband partner.

50. Marketing Collateral