M&A

13 January, 2010

Bank up Completes Acquisition of Flex Assets from Open Solutions

Press Release Source: Bank Up Corporation On Wednesday January 13, 2010, 4:00 pm EST

SAN RAMON, Calif.--(BUSINESS WIRE)--Bank Up Corporation, a provider of payments processing solutions to financial institutions and government agencies, today announced the acquisition of Open Solutions' Flex assets. Terms of the transaction were not disclosed. In addition, Bank Up and Open Solutions signed a referral agreement that allows Open Solutions to offer a broad range of in-house and outsourced remittance and lock box services to its clients through Bank Up. Open Solutions Inc.® is a leading provider of integrated enabling technologies for financial services providers throughout the United States, Canada and other international markets.

Bank Up's solutions and services include remote deposit capture processing and remittance processing through ASPs in Northern and Southern California. The company also provides disaster recovery and business continuity solutions to a diverse customer base of commercial banks, credit unions, state and municipal government agencies. Bank Up's payment solutions support approximately 80 customers primarily located throughout the Western United States including Alaska and Hawaii.

Michael Santimauro, CEO of Bank Up Corporation, said, "We acquired the Flex assets to support our efforts to provide a full spectrum of scalable solutions for remittance processing. In addition to our full-service, outsourced ASP solution and remote lockbox solution, we can now offer our customers a robust, Check 21-compliant in-house solution (Flex). This acquisition expands our geographic reach and enables us to broaden our presence outside our core client base. For example, healthcare payments processing is an area we will now be able to support."

"We are confident this agreement will enhance the service and products available to the Flex client base," said Dave Reim, product manager, Imaged Payment Technologies Group, Open Solutions. "We believe the Flex clients, most of which are utility companies, will be well-served by Bank Up, which has remittance/lock box solutions as one of its primary product lines. Financial institutions looking for lockbox and remittance processing will also have access to a commercialized partner in Bank Up. They have the expertise, staff and resources necessary to provide superior support for our clients. We look forward to working with Bank Up in the future by offering its wide range of remittance/lock box services to Open Solutions' clients."

Flex is highly recognized within the municipal and utility processing industries for providing a comprehensive solution for remittance processing. The Flex image-based processing solution is a Check 21-compliant item processing software package designed to be transport-independent, database-driven, parameterized and modular in design.

"Client reception of the Flex solution is resoundingly positive. The solution meets the demands of a diverse customer base. The solution support provided by the Flex team is truly client-centric," said Santimauro. "Sixty customers, mostly utility companies, are currently using the Flex platform."

Open Solutions elected to divest this business line to strategically focus on its core mission of providing innovative, state-of-the-art solutions for financial institutions. Following the implementation of Check 21, Open Solutions elected to focus and grow its Check 21 technology offerings, designed for financial institutions.

The relationship with Bank Up Corporation provides Open Solutions with a trusted partner who can deliver integrated remittance solutions to its clients and prospects. Bank Up's "relationships matter" philosophy complements Open Solutions' ongoing commitment to delivering superior products and services.

About Bank Up Corporation

Bank Up Corporation is an integrated technology solutions and services provider to financial institutions and government agencies. Bank Up provides data backup/recovery solutions for item and remittance processing and data protection services. Bank Up also provides image-based item processing solutions offered remotely through the Company's SAS 70 Level 2 ASPs in San Ramon and Los Angeles, CA. Remote Deposit Capture and Remittance/Lockbox services are available to those customers looking to implement "Best of Breed" total solutions that are fully managed and cost effective. Bank Up's solutions insure business continuity, increase productivity, reduce operating costs and satisfy compliance requirements. Bank Up's "relationships matter" philosophy insures the highest regard for customer service and satisfaction. For more information, call 925-277-3900.