The Whole Kit 'n' Cardservice Caboodle

A completed acquisition will expand an alliance between two companies and strengthen the levels of service they each provide merchants in all market segments.

First Data Corp., which has owned half of the total interest of Cardservice International Inc. since 1997, has purchased the remaining 50%.

"This acquisition augments First Data's core strengths with Cardservice's unique business model and specialty services, such as sales support and risk management," said Pat Patsley, President of First Data Merchant Services and Executive Vice President of First Data Corp.

"That includes capitalizing on the highly successful Cardservice network of sales agents. First Data looks forward to increasing our support of the sales agent network."

Founded in 1988, Cardservice has provided risk-management tools for traditional retailers as well as for higher-risk clients such as mail and telephone order merchants and more recently for e-tailers.

Cardservice processes every type of electronic payment method, including credit, debit, electronic benefits transfer and electronic checks, it offers its merchant clients state-of-the-art fraud and loss- prevention tools.

The California-based company will continue operating under the Cardservice name. It employs 800 people and utilizes a nationwide network of 2,500 independent sales representatives.

First Data Corp., with 29,000 employees worldwide, provides electronic commerce and payment services for approximately 2.6 million merchant locations, 1,400 card issuers and millions of consumers around the world.

First Data Merchant Services, a subsidiary, processes and settles almost nine billion payment-processing transactions annually.