Usio Wins Contract to Support New York City Economic Development Corporation Vaccines Incentive Program

Rhea-AI Summary

Usio, Inc. (Nasdaq: USIO) has secured a contract with the New York City Economic Development Corporation (NYCEDC) to support the city's COVID-19 Vaccines Incentive Program. This initiative provides $100 to eligible New York State residents receiving their first vaccine dose through the city’s appointment platform. Usio will supply prepaid debit cards and electronic payment technology for the program. NYCEDC aims to distribute $20 million in incentives, with over $6 million already disbursed. Usio's advanced payment solutions are expected to streamline the distribution process.

Positive

• Contract with NYCEDC to support vaccine incentive program.
• Potential to distribute $20 million in incentives, enhancing revenue streams.
• Demonstrates Usio's capability to provide innovative payment solutions quickly.

Negative

• None.

Will Provide Prepaid Card and Technology Supporting Mayor’s Program to Give $100 to get COVID-19 Vaccination

SAN ANTONIO, Aug. 17, 2021 (GLOBE NEWSWIRE) -- Usio, Inc: (Nasdaq:USIO), a FinTech and integrated electronic payment solutions provider, today announced it was awarded a contract by the New York City Economic Development Corporation (NYCEDC) to support the mayor’s recently initiated Vaccines Incentive Program. Under this program, the city will provide a $100.00 cash reward to New York State residents and employees who receive their first dose of the COVID vaccine at sites that run on the City’s vax4nyc appointment platform. Eligible sites are listed on the City’s Vaccinefinder tool.

First-time shot takers will either be mailed a pre-paid debit card or be issued a digital one immediately via email. Usio’s contract is to provide both the physical and virtual cards and underlying electronic payments technology. According to New York City Mayor Bill de Blasio, over 60% of the city's population has received at least one COVID-19 shot. As a result, approximately 40% of the eligible population of New York City qualifies for the incentive where they will receive a Mastercard branded Usio prepaid card.

Louis Hoch, President and Chief Executive Officer of Usio, said, “We are very honored that the NYCEDC has chosen Usio for this very important program. Our ability to quickly offer a solution that provided the convenience and simplicity NYCEDC wanted for the payments element of this program illustrates our ability to provide creative, innovation payments technology in both the physical and virtual worlds. The program is already up and running, and we look forward to supporting its success in achieving the mayor’s vision for New York City.”

“New York City Economic Development Corporation is proud to work with Usio to implement this important incentive program,” said NYCEDC President and CEO Rachel Loeb. “We have already surpassed $6mm in vaccine incentives, with a goal to distribute $20mm, and vaccinations are key to keeping New Yorkers healthy and to a strong recovery for all. We cannot have economic health without good public health, and we hope this important program will encourage more New Yorkers to get their life-saving vaccinations.”

Miguel Gamino, Executive Vice President, Enterprise Partnerships and Head of Global Cities and City Possible, Mastercard, commented, “It will take a collective public-private response to emerge from the pandemic stronger and more inclusive. We are proud to support Usio and NYCEDC’s efforts to incentivize rapid vaccinations for the residents of New York City. Through City Possible, pioneered by Mastercard, we partnered with Usio to leverage our products to assist in emergency response efforts that brought critical financial aid to those in need. We look forward to expanding our partnership to support communities across the country with the equitable distribution of vaccines.”

Houston Frost, Senior Vice President of Corporate Development and Prepaid Products, added, “I echo Louis’ sentiments in thanking the NYCEDC for the opportunity to provide the electronic payments backbone for this important, rapidly growing and highly visible program. This contract is a natural outgrowth of the prepaid and related solutions we’ve been providing to New York City agencies since last year when they were tasked with disbursing funds under the various charitable and other economic assistance programs developed in response to the pandemic. For many of those programs, prepaid was the payments solution of choice because of its many advantages relative to other payment types. Under this program, recipients can choose to either have a prepaid card mailed to their home, or receive their payment immediately on their smartphone, where we will be using our leading virtual card technology. Our goal is to provide users with a convenient, easy-to-use electronic payment solution that offers them all the advantages of better recordkeeping, tracking and other benefits and is offered in a contemporary format with which their ultimate consumer is extremely comfortable.”

About Usio, Inc.

Usio, Inc. (Nasdaq: USIO), a leading FinTech integrated payment solutions provider, offers a wide range of payment solutions to merchants, billers, banks, service bureaus, crypto exchanges, and card issuers. The Company operates credit, debit/prepaid, and ACH payment processing platforms to deliver convenient, world-class payment solutions and services to their clients. The strength of the Company lies in its ability to provide tailored solutions for card issuance, payment acceptance, and bill payments as well as its unique technology in the prepaid sector. Usio is headquartered in San Antonio, Texas, and has offices in Austin, Texas and Franklin, Tennessee, just outside of Nashville.  Websites: www.usio.com, www.payfacinabox.com, www.akimbocard.com and www.usiooutput.com.

About NYCEDC

New York City Economic Development Corporation is a mission-driven, non-profit organization that creates shared prosperity across New York City by strengthening neighborhoods and growing good jobs. NYCEDC works with and for communities to provide them with the resources they need to thrive, and invests in projects that increase sustainability, support job growth, develop talent, and spark innovation to strengthen the City’s competitive advantage. To learn more about our work and initiatives, please visit us on Facebook, Twitter, or Instagram.

FORWARD-LOOKING STATEMENTS DISCLAIMER

Except for the historical information contained herein, the matters discussed in this release include forward-looking statements which are covered by safe harbors. Those statements include, but may not be limited to, all statements regarding management's intent, belief, and expectations, such as statements concerning our future and our operating and growth strategy. These forward-looking statements are identified by the use of words such as "believe," "intend," "look forward," "anticipate," "schedule,” and "expect" among others. Forward-looking statements in this press release are subject to certain risks and uncertainties inherent in the Company's business that could cause actual results to vary, including such risks related to an economic downturn as a result of the COVID-19 pandemic, the realization of opportunities from the IMS acquisition, the management of the Company's growth, the loss of key resellers, the relationships with the Automated Clearinghouse network, bank sponsors, third-party card processing providers and merchants, the security of our software, hardware and information, the volatility of the stock price, the need to obtain additional financing, risks associated with new tax legislation, and compliance with complex federal, state and local laws and regulations, and other risks detailed from time to time in the Company's filings with the Securities and Exchange Commission including its annual report on Form 10-K for the fiscal year ended December 31, 2020. One or more of these factors have affected, and in the future, could affect the Company’s businesses and financial results in the future and could cause actual results to differ materially from plans and projections. The Company believes that the assumptions underlying the forward-looking statements included in this release will prove to be accurate. In light of the significant uncertainties inherent in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by us or any other person that the objectives and plans will be achieved. All forward-looking statements made in this release are based on information presently available to management. The Company assumes no obligation to update any forward-looking statements, except as required by law.

Contact:
Joe Hassett, Investor Relations
joeh@gregoryfca.com
484-686-6600

FAQ

What contract did Usio secure with NYCEDC?

Usio was awarded a contract to provide prepaid cards and payment technology for the NYC COVID-19 Vaccines Incentive Program.

What is the goal of the NYC vaccine incentive program?

The program aims to encourage New Yorkers to get vaccinated by offering a $100 cash reward for receiving their first vaccine dose.

How much has NYCEDC already distributed in vaccine incentives?

NYCEDC has already surpassed $6 million in vaccine incentives.

What technology will Usio provide for the NYC vaccine program?

Usio will supply both physical prepaid debit cards and digital payment technology.

What is the total amount NYCEDC aims to distribute in incentives?

NYCEDC aims to distribute a total of $20 million in incentives.