BioPay Inks Deal with Malone's Cost-Plus Supermarkets

Herndon, VA — October 15, 2002

Biometric identification leader BioPay, LLC announced today that Malone's Cost-Plus Supermarkets is using BioPay's Paycheck Secure check cashing system to substantially reduce check-related fraud. Malone's is now using BioPay's electronic biometric technology to accurately verify a customer's identity and confirm their check transaction history in its six stores throughout Dallas, Texas. Paycheck Secure is the most widely used biometric identification system for initiating financial transactions in the United States.

"Check cashing is a lucrative part of our business. Unfortunately, it can be costly because of fraudulent checks," said Ronnie Malone, president, Malone's Cost-Plus Supermarkets. "Paycheck Secure allows us to take fraud out of the equation. We've rolled out the system to all of our locations and have already seen a reduction in losses."

"We're happy about this deal because we're helping yet another retailer put the bad guys out of business," said Tim Robinson, president of BioPay. "Malone's has a great reputation for providing excellent customer service. With Paycheck Secure, the grocery chain can continue to offer popular check-cashing services that drive loyalty while removing the worry of fraud."

Malone's Cost-Plus financial centers remain on the cutting edge of technology and convenience, meaning superior service for customers. The company's goal of providing better financial services, including check cashing, is met with Paycheck Secure. The system improves the speed at which checks are cashed and customers think that's great.

Paycheck Secure uses a person's finger scan image to verify their identity and confirm their check cashing history. The system will let all of Malone's affiliated stores share customer information in real time. This enables store employees at every location to access a customer's enrollment information and check transaction history with a finger scan. There is no need for the customer to enroll at each location.

Malone's employees also have access to a customer's negative check transaction information at any BioPay location across the United States. If the person is associated with a negative transaction, advanced alert mechanisms warn the clerk, enabling the transaction to be declined before it is processed, saving the store money it may have otherwise lost.

Paycheck Secure systems have been rolled out in 22 states to more than 250 merchants. BioPay's bCheck service will be available soon, giving current and future BioPay merchants the ability to accept payments initiated with the touch of a finger and without a check, credit or debit card or identification.

About Malone's Cost-Plus Supermarkets

Malone's Cost-Plus Supermarkets has been operating as a family-owned business for nearly 30 years. The company operates six stores in the Dallas, Texas area that offer consumers reduced price grocery shopping depending on their spending patterns. Malone's offers quality meat, produce and groceries, including an extensive variety of Hispanic products. The company bakes its own tortillas and sweet breads, and happily carries out customers' groceries.

About BioPay, LLC

Since 1999, BioPay has been providing smart, secure methods for processing financial transactions. Its Paycheck Secure systems help businesses substantially reduce fraud and give consumers a convenient method for cashing checks. BioPay's payment service offers merchants a low-cost form of customer payment and gives consumers a secure, fast and convenient way to pay for purchases. BioPay's patent-pending systems for merchants, banks and financial service organizations have been implemented across the nation. BioPay's value to consumers and merchants has created the nation's largest commercial electronic biometric database. For more information on BioPay and its market-leading products please visit www.biopay.com.