BSS sums up the results of 2005

In 2005 we have achieved everything we planned to. The combined effort of the whole team brought BSS a 53% turnover increase to exceed $23 mln.

In 2005, the amount of our customers outnumbered 150 banks and their branches across RF and former CIS countries (including multiple banks from Top-100 and largest multi-branch financial institutions).

In the late 2005, BSS (with its largest market shares for e-banking solutions as evaluated by multiple independent agencies (CNews, iOne)) completed certification of the quality management system against the international standard ISO 9001:2000 ( Certificate No. 177632, issued by BVQI Russia). BSS is the first Russian Company focusing on ONB solutions to comply with ISO 9001:2000.

During 2005, we implemented large projects in dozens leading banks: International Moscow Bank, bank "PETROCOMMERCE", VOZROZHDENIJE, Sobinbank, "Uniastrun Bank", Bank of Khanty-Mansiysk and others. Also, leading credit institutions within former CIS countries have preferred our solutions: "Belpromstroybank" (Minsk), "Areximbank" (Yerevan), etc. BSS's solutions started to run in state corporation "Agency for endowment insurance" and Moscow Clearing Centre.

Over 50,000 additional client sites for businesses were additionally purchased by our customers from among credit institutions.

In the past year the Company considerably enlarged its software products line and provided new on-line banking capabilities to banks. The comprehensive integrated e-banking solution for businesses of BS-Client v.15.6 now provides:

• the "On-Line Statement" subsystem (access to banking information through the Internet (including Internet cafes) without installing any components);
• the "Mobile Client" subsystem (Internet banking through PDA);
• the "Bar-Code Operator" subsystem (import of paper documents in additional offices, external payment offices, etc. and their instant transformation into electronic form through reading bar codes and transmitting the information to the central bank office through protected communication channels);
• the "Feedback" module of the "Telephone-Client" subsystem (transmission of information messages of any type - advertisements, news - to bank customers).

The new version of the "Internet-Client" subsystem for businesses within BS-Client v. 15.5 (and later) supports the SSL and TLS protocols.

For efficient mass retail service, BSS presented a new system version - "Retail Client" - of the general-purpose e-banking solution for individuals ensured through all modern channels of rendering e-services.
"Retail Client" v. 1.5 has enhanced user characteristics, usability, new ergonomic interface. Its "Mobile Client" subsystem has an additional payment service for PDA. The client authorization procedure is shortened within the system. There is the new subsystem supporting WAP banking for cellular telephones - "WAP Client" (see its demo version at: http://retail.bssys.com/wap.wml). Also, there is a user-friendly menu developed within the "Information Client" subsystem.

BSS's tailored projects were also enhanced. The system for funds transfers MIGOM, developed by "European Trust Bank" based on BSS's solution MoneyTrans was registered by the national Bank of Ukraine, which confirmed its compliance with the applicable standards. There have been new points for MIGOM funds transfers opened in multiple Russian cities. Sobinbank's system for funds transfers without opening an account - "Live Money" - also started live based on the MoneyTrans solution.

The market-specific research by CNews - "IT in banks and insurance companies" - carried on in July 2005 revealed that 11 out of 15 leading Russian credit institutions that the reviewers arbitrarily chosen from among RF banks are successfully running BSS's on-line banking systems. "Alfa Bank" is tops the list for quality of private Internet banking, with the Internet banking system developed by the Company.

In 2005, we celebrated our 11th anniversary in automation of on-line banking. BSS's personnel celebrated this important event was on the beach of Istra pool with the "We are a team!" motto. The festive mood, exciting team games and contests consolidated our team spirit, enhanced our team work skills, experience in team solution of complicated tasks.

During the past year, we continued active development of the technology for finance management automation for a group of enterprises. Increased popularity of BSS's solution in this area is confirmed by "Enterprise Clearing Centre" being chosen for monitoring of financial status, control and acceptance of internal and external funds movements, management of remaining funds of a corporation by multiple large credit institutions and holdings in Russia. The upgraded version ECC v.2.4.5 that we released in 2005 enjoys an enhanced interface, optimized administration subsystem, multiple functional and technological extensions as well as the "Direct management" module for financial resources of a corporation's structural subdivisions.

We have on our agenda continued development of novel modern high tech solutions and products in the area of banking and financial e-workflow.
Further enhancement of our solutions will follow the principle of optimization and efficiency in automation of financial relationships of banks and enterprises.
Our effort is and will be aimed to ensure that our solutions aid users to establish efficient business as well as provide pleasant look and feel.