BOULDER, CO and PHOENIX, AZ 3/16/2004 -- Smart Transaction Systems^® (STS) a leading provider of gift card, customer loyalty and customer relationship management (CRM) solutions, today announced that it has certified global payment technology leader Hypercom Corporation's (NYSE: HYC) T7Plus and ICE™ card payment terminals for gift and loyalty programs that run on Hypercom's feature-rich, easy-use HyperWare^® 08A transaction software solution.

Hypercom's modular, multi-function and multi-faceted HyperWare supports the STS turn-key gift card program which, when combined with a loyalty program, allows merchants to segment their customer base and manage different types of rewards programs for each type of customer. As merchants work harder to acquire and keep customers, it has never been more important to empower these businesses by using transaction technology to roll out customer rewards and loyalty programs.

"Hypercom has been a favorite with small business owners because their products are smart, fast, require minimal employee training and they don't break down. These are the key elements to any successful product, and we're seeing a very positive response from our customers," said Ray Clopton, president of Smart Transaction Systems.

Once the exclusive domain of big retailers, loyalty and rewards programs can now be offered by smaller retailers, giving them a clear competitive edge in today's demanding consumer environment. Working together, STS and Hypercom make it easier for business owners to give their customers what they want.

"We are in the business of helping our customers build their profits. That is what HyperWare is all about. HyperWare is easily the most feature-rich, easy-to-use software application of its type in the business, and it delivers entirely new levels of revenue-generating features and functionality to the nation's retail countertops," said O.B. Rawls IV, president, Hypercom North America. "Smart Transaction Systems' certification is a win-win for retailers and cardholders."

Marking another industry first, Hypercom's new HyperWare software enables smart, fast and easy dial connectivity to more hosts than any other card payment terminal software on the market.

Equally important, the easily downloadable and operable feature-rich software requires no new operating and terminal management systems, existing application modifications, hardware and software compatibility testing or burdensome staff training, all of which are required by other terminal transaction software systems on the market today. But that's not all. The global payment technology leader's all-encompassing new software also supports single-location, multi-merchant requirements that are particularly essential to more and more businesses.

"The value of HyperWare is that it has the most connectivity of any piece of software in the card payment terminal market. More gift card programs, more loyalty programs, more check companies. Your gift or loyalty program can also be loaded beside an existing financial application on a T7Plus or ICE 5500Plus that is enabled with our independent applications manager. No other software comes close to delivering the functions and connectivity that HyperWare does, and that translates into easy profit-building opportunities for retailers and those who serve them," Rawls said.

Retailers who want to take advantage of check conversion and authorization, for example, can do it with more than ten of the most popular providers in the world. Those who want to leverage gift and loyalty applications can do so with more than seven of the world's most popular providers. And that is just the beginning.

"We have identified and packaged into one intelligent, comprehensive and easy-to-use software application the most popular and in-demand value-added services that processors, ISOs and their merchant customers want, and we are moving it to market," said Rawls. "This is an incredibly fast, smart and easy software application for retailers who want to start building their profits now without having to bother with all of the modifications, staff training and other time consuming issues required by other, less comprehensive card payment terminal software packages on the market today."

Hypercom's HyperWare 08A is now in certification with all major processors.

Celebrating 26 years of technology excellence, innovation and leadership, Hypercom Corporation is a leading global provider of electronic payment solutions that add value at the point-of-transaction for consumers, merchants and acquirers, and yield increased profitability for its customers.

Widely recognized as the global payment technology innovator, Hypercom delivers comprehensive card payment terminal, network and server solutions that help merchants and financial institutions generate revenues and increase profits.

Headquartered in Phoenix, Arizona, Hypercom's card payment terminal, network and server solutions are leading the transformation of electronic payments in more than 100 countries.

Hypercom and HyperWare are registered trademarks of Hypercom Corporation. ICE is a trademark of Hypercom Corporation. All other products or services mentioned in this document are trademarks, service marks, registered trademarks or registered service marks of their respective owners. Certain matters discussed within this press release are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Although Hypercom management believes the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be attained. Factors that could cause actual results to differ materially from expectations include industry, competitive and technological changes; risks associated with international operations and foreign currency fluctuations; the composition, timing and size of orders from and shipments to major customers; inventory obsolescence; market acceptance of new products and other risks detailed from time to time in Hypercom's SEC reports, including the company's most recent 10-K and subsequent 10-Qs.