Threshold Financial Technologies Inc. Acquires Credit Union Switching Services Company

February 1, 2007 – Mississauga, Ontario -- Threshold Financial Technologies Inc. (Threshold) announced that it has purchased the key assets of CU-Connect, a Markham, Ontario-based company that provides transaction processing and ATM driving services to over 25 Ontario credit unions.  Threshold assumes responsibility for the CU-Connect operation, effective today, and plans to integrate the business into its Mississauga-based location in the near future. 

Threshold, a demonstrated leader in the payments industry, has differentiated itself in the financial transaction and ATM marketplace by specializing in the provision of high quality, fully managed POS and ATM network administration and switching solutions to Canadian financial institutions and corporate retailers.  Threshold has been providing transaction processing solutions to Canadian credit unions for almost a decade.

“We are very excited about this strategic acquisition.  We already have a well established presence in the credit union marketplace, and this purchase further solidifies our long-term commitment to the credit union industry in Canada,” said Matthew McIver, President of Threshold.  “We look forward to providing former CU-Connect Customers with our technically advanced solutions, better equipping them for today’s highly competitive financial services arena.”

John Lahey, President and CEO of FirstOntario Credit Union commented, “As a Cu-Connect client, FirstOntario Credit Union is extremely pleased by this announcement. Threshold is not new to us, as they have provided us with ATM purchase and deployment solutions for some time.  In all our dealings, we have found Threshold to provide a level of professionalism and service exceeding industry standards.  We look forward to an expanded relationship and are excited about the new technologies and services that Threshold will provide to FirstOntario Credit Union and its members.”

Threshold employs the S1 EMV (chip) compliant Postilion switch platform and connects to the major payment networks. The Company also provides ATM resale and managed service solutions which allow financial institutions to lower operating costs associated with the ATM delivery channel.

“We are pleased that Threshold has successfully acquired the assets of CU-Connect, as we believe their commitment to the credit union industry, and their modern switching technology, positions them well to assist credit unions with preparing for the upcoming technology changes,” stated Rob Wellstood, CEO of Kawartha Credit Union Limited.

About Threshold

Threshold Financial Technologies Inc. is a wholly owned subsidiary of Versent Corporation ULC, a privately owned Canadian company with more than 850 employees throughout North America.

Threshold has been actively involved in the payments industry since 1997 and has existing corporate relationships with organizations such as Meridian Credit Union, Alterna Savings Credit Union, All Trans Financial Services Credit Union, ING Bank, St. Stanislaus-St. Casimir’s Polish Parishes Credit Union Limited, Amex Bank of Canada, Sobeys, A&P, Costco Wholesale Canada, and Husky Energy.  For more information, see www.threshold-fti.com