Glossary


Company Terminology.

Automated Teller Safe (ATS):

Safe designed for the deposit/dispensing of cash in the front-office area of banks. Security devices such as armored glass for bank counters are no longer required.

Banking (Segment):

The segment within Wincor Nixdorf responsible for the development, manufacture and sale of products and services for customers in the banking sector.

Cash Management:

Management of cash-based transactions at branch level that optimizes cash holdings in ATMs, checkout systems and safes in order to prevent interest losses and improve logistical processes.

Cashpoints:

Machines or devices in which money is held or stored, such as ATMs, safes, automated teller safes, checkout systems, etc.

Cash Recycling System:

Cash machine that counterfeit-checks deposited bank notes and subsequently makes this cash available for withdrawals.

Cash Systems:

Cash systems include devices for dispensing or depositing cash as well as combined cash recycling systems for self-service and teller/cashier operation.

CCDM, Cash/Check Deposit Module:

Module that automates the process of accepting and identifying banknotes and checks.

Checkout Systems:

Systems, made up of hardware and software, used for the process of scanning and payment of goods in retail outlets.

Clients:

PCs linked to a server as part of a network. Applications may be installed on the PC or on the server.

Distribution Channels:

Distribution (or sales) channels are the various channels used for communication with customers. Offering products and services through a number of different distribution channels is often referred to as multichannel distribution (see also Multichannel).

Electronic Checkout System (ePOS):

Electronic checkout (or electronic point-of-sale) systems are taken to include all types of checkout systems that function electronically rather than mechanically.

Electronic Point-of-Sale (ePOS) Device:

See Electronic Checkout System.

EMV:

EMV describes a specification for payment cards equipped with processor chips and for the associated chip card equipment (POS systems and ATMs). The letters EMV stand for the three companies which developed the standard: Europay, MasterCard and VISA.

Intelligent Deposit:

Solutions, consisting of hardware and software, which automate the process of taking in and processing items such as bottles (reverse vending systems) as well as cash and/or checks (CCDM).

Kiosk Systems:

Computer-supported, network-compatible information and interactive systems with which transient and mostly unidentified users download multimedia information or execute transactions (usually while standing) in a relatively short period of time. The applications are controlled primarily through intuitive and easy-to-use touch screens.

Middleware:

Middleware is the term used for software that acts as an intermediary between two software programs, i.e. between applications running on self-service systems and applications running on back-office systems.

Multichannel:

Under the multichannel principle, transactions can be executed using various distribution or sales channels, such as counter, Internet or ATM transactions, be settled and managed through a uniform system that makes it possible to use identical applications and data sets.

Multifunctional Systems:

Unlike monofunctional systems these devices have more than one function, for instance, multifunctional cash systems that permit not only cash withdrawals but also cash deposits.

Multivendor:

Under the multivendor principle, the products of one supplier can be combined with the products of another supplier. Alternatively, the products of a third-party supplier that are already in-stalled within a customer’s system may be integrated into a specific software architecture.

Net-centric Software:

In the case of software applications designed around this principle, the entire software required to run equipment is no longer installed on the client systems, ATMs or ePOS systems, but rather on a central server.

Off-premises Provider:

Provider of ATM services in third-party locations such as supermarkets, etc.

Open Standards:

Systems with standard interfaces or standard software components that allow the products of one supplier to be combined with the products of another.

Outsourcing:

This term refers to the delegation of operational functions and duties to outside suppliers.

Point-of-Sale (POS) Systems:

Checkout systems.

Retail (Segment):

The development, production, logistics, marketing and sale of hardware products together with software solutions and other services for Wincor Nixdorf’s retail customers.

Rollout:

Rollout describes the process of implementing new technologies, products or applications; in other words, the launch for final use and consumption. Alternatively, it can also mean large-scale installation projects such as ePOS systems or ATMs in branch offices or stores under a stipulated project timetable.

Self-checkout:

This checkout procedure is executed at the checkout counter without a cashier. The customer scans the products and pays for them at the machine using cash or a debit or credit card.

Self-service Systems:

Equipment or devices that permit consumers or bank customers to execute transactions without the assistance of service or sales personnel or banking staff. Self-service products are, for example, ATMs, self-checkout systems or kiosk terminals.

SEPA:

SEPA stands for Single Euro Payment Area. Within this area there should no longer be any differences for customers between national and cross-border payments.

Software Solutions:

A software solution is software that is tailored to a customer’s individual needs. It may comprise one or more software products and is integrated into the customer’s IT environment.

TCO (Total Cost of Ownership):

The total costs of a product or service, including all direct and indirect costs (including consequential costs).

Financial Terminology.

Amortization/Depreciation:

The systematic allocation of the depreciable amount of an asset over its useful life. In the case of an intangible asset or goodwill, the term “amortization” is generally used instead of “depreciation." Both terms have the same meaning.

Carve-out:

The demerger of one or more business units from a company, group of companies or a group corporation. The Retail and Banking business was demerged from the Siemens Group on October 1, 1999.

EBITA (Operating Profit):

Earnings before interest, taxes and amortization of goodwill and product know-how. Wincor Nixdorf uses EBITA as an indicator of the underlying profitability of its core Retail and Banking businesses.

EBITDA:

Earnings before interest, taxes, depreciation and amortization of goodwill, product know-how and and licenses.

Net Debt:

Miscellaneous securities plus cash in hand and at bank (including checks), minus bank liabilities.

Net Profit for the Period:

Net profit of the Group before it is divided into “Profit attributable to minority interest” and “Profit attributable to equity holders of Wincor Nixdorf AG."

Net Profit for the Period (before Carve-out):

Net profit for the period, adjusted for amortization of product know-how identified as part of the carve-out and adjusted for the amount of deferred taxes associated therewith.

R&D Expenditure:

Expenditure on research and development activities.

Working Capital:

Working capital is defined as inventories plus trade receivables, less trade payables, less prepayments received and deferred income.