Discover Financial Services And Chase Paymentech Provide Expanded Payment Solutions To Small And Medium Sized Business

September 20, 2007

Businesses Can Now Offer Customers Broadest Payment Choice

RIVERWOODS, Ill. & DALLAS--(BUSINESS WIRE)--Sept. 20, 2007--Discover Financial Services (NYSE:DFS) and Chase Paymentech today announced the integration of Discover Network card acceptance into Chase Paymentech's payments network for small- to mid-sized merchants. Chase Paymentech is the world's largest merchant acquirer, with a customer base of more than 600,000 merchants in almost 1 million locations.

By adding Discover Network card acceptance as part of an integrated payments package, these merchants will now have an easy, cost-effective, all-in-one payment processing solution with the convenience of single-source statements, settlement, and customer service.

Consumers continue to show an increasing preference for non-cash payments, regardless of transaction size and one-third of consumer purchases in the United States are now card-based, with that trend growing every year. Most research indicates merchant acceptance as a key driving element of whether a particular card brand gets primary or secondary wallet share. This agreement helps Discover Network cardholders use their card of choice when shopping at a full range of merchant locations.

"Our relationship with Chase Paymentech represents another tremendous milestone in our strategy to further expand acceptance of Discover Network cards among small- to mid-sized merchants across all industries," said Harit Talwar, executive vice president of Discover Financial Services. "Chase Paymentech's reach into an extensive customer base further demonstrates our commitment to delivering the integrated processing packages that merchants want."

"The ability to offer merchants a consolidated processing solution that includes Discover Network card acceptance, coupled with Chase Paymentech's exceptional merchant services, is a powerful and attractive combination for the small and mid-sized merchant," said Diane Donoghue, executive vice president, general manager, retail network services for Chase Paymentech. "Not only do merchants benefit from expanded payment options for their customers, but they also receive an inclusive payment solution from a company they know and trust."

Chase Paymentech has already integrated Discover Network into the merchant boarding process as the first step towards full integration, and expects to rollout the full processing package to its existing merchant customers starting in early 2008.

About Discover Financial Services

Discover Financial Services (NYSE:DFS) operates the Discover Card with more than 50 million cardmembers, the Discover Network with millions of merchant and cash access locations, and the Goldfish credit card business in the United Kingdom. Discover Financial Services also operates the PULSE ATM/debit network, which serves more than 4,400 financial institutions and includes nearly 260,000 ATMs, as well as POS terminals, nationwide. For more information, visit www.discoverfinancial.com.

About Chase Paymentech Solutions, LLC

Chase Paymentech Solutions, LLC is a leading global payments firm and the world's largest merchant acquirer. In 2006, the privately-held company processed approximately 18.2 billion payment transactions, with more than $660.6 billion in annual bankcard and debit volume. Chase Paymentech's customer base reflects the most respected brands in the world, including 75 percent of the leading ecommerce businesses and more than 600,000 merchants in nearly 1 million locations worldwide. Chase Paymentech is a joint venture between JPMorgan Chase & Co. and First Data Corp. Learn more at www.chasepaymentech.com.

CONTACT: Discover Financial Services
Leslie Beyer, 224-405-5154
[email protected]
or
Chase Paymentech
Barbara Friedkin, 917-206-3575
[email protected]

SOURCE: Discover Financial Services