Peppercoin Demonstrates Contactless Small Payments at APTA Fare Collection Workshop Using OTI Products

Innovative Prototype Allows Consumers to Simply Wave Card to Pay and Ride 


ATLANTA, March 21  /PRNewswire/ -- Peppercoin, a payments technology company that enables profitable new business models for low-priced goods, services and digital content, will today demonstrate a prototype of a first-of-its-kind contactless mass transit fare collection system at the American Public Transportation Association's annual Fare Collection Workshop. This prototype system will enable consumers to use their existing credit or debit card as their transit pass for the first time.

Peppercoin's unique approach allows transit passengers to use their preferred credit or debit card as a ride pass, rather than purchasing a separate specialized transit pass. Riders can also use the system to prepay for multi-ride, season or period passes, which can be virtually loaded onto the rider's credit or debit card.  The card can then be automatically replenished similar to toll collecting systems such as EZPass.

According to a survey conducted by independent research firm Ipsos Insight in November 2005, more than one in three American consumers would be willing to use a credit card for purchasing transit services.

"Contactless fare payment with a regular debit or credit card brings added speed, convenience and efficiency to people's mass transit travel, including their daily commute," said Mark Friedman, president and CEO of Peppercoin. "The system will be a great benefit for transit operators as well, and we are looking forward to seeing this prototype become a reality in the transportation system."

For operators, Peppercoin's solution will reduce the cost and complexity associated with proprietary smart card AFC systems.  It also reduces the operator's costs associated with handling cash, which can cost as much as 20 cents per dollar paid.

Peppercoin teamed with On Track Innovations Ltd, (OTI) (NASDAQ:OTIV) a global leader in contactless smart card technologies, to enable this highly innovative solution. With OTI's Saturn 5000 contactless card reader, transit riders will be able to simply touch and pay as they board their subways or buses.

"Combining OTI's contactless products with Peppercoin's ability to process small payments provides a quantum leap in convenience for transit riders, while reducing costs for operators," said Ohad Bashan, president and CEO of OTI America. "It will help reduce bottlenecks as people enter the subway or board the bus."

About On Track Innovations Ltd. (OTI)

Established in 1990, OTI (NASDAQ:OTIV) designs, develops and markets secure contactless microprocessor-based smart card technology to address the needs of a wide variety of markets.  Applications developed by OTI include product solutions for petroleum payment systems, homeland security solutions, electronic passports and IDs, payments, mass transit ticketing, parking, loyalty programs and secure campuses. OTI has a global network of regional offices to market and support its products. The company was awarded the Frost & Sullivan 2005 Company of the Year Award in the field of smart cards. For more information on OTI, visit http://www.otiglobal.com/.

About Peppercoin, Inc.

Peppercoin enables profitable new business models for low-priced digital content and physical goods. Peppercoin's small payment products help merchants, banks, and other payments companies build market adoption for credit and debit card payments for everyday purchases quickly through a flexible, consumer-friendly approach. Peppercoin integrates easily with existing business models and payment systems to accelerate revenues and increase profits. For more information please visit http://www.peppercoin.com/.

        Contact:
        Julie Goldman or Payal Cudia
        Schwartz Communications
        781-684-0770
        

DATASOURCE: Peppercoin, Inc.



CONTACT: Julie Goldman or Payal Cudia, both of Schwartz Communications

for Peppercoin, Inc., [phone], 



Web site:  http://www.peppercoin.com/

http://www.otiglobal.com/ 

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