1. Chad Young Director, Distribution Channels U.S.

2. Rich History of Innovation and Customer Commitment
Business foundation by Heinz Nixdorf
Expansion to the fourth largest computer company in Europe
Acquisition of Nixdorf Computer corporation by Siemens corporation
Foundation of Siemens Nixdorf Information Systems corporation
Establishment of Siemens Nixdorf Retail and Banking Systems Inc.
Continuous growth with two-digit expansion rate
Separation from the Siemens group
Independence and new brand: Wincor Nixdorf
Initial public offer as Wincor Nixdorf stock corporation
Informationssysteme AG
Retail and Banking Systems GmbH
1952
1990
1998
1999
2004

3. Wincor Nixdorf At a Glance
Corporate profile (FY 06/07)
Customer-oriented culture
Global presence in over 90 countries
Main production locations:
Germany
Singapore
China
Brazil
Development Center:
Switzerland
Retail
Banking
Postal service
Hospitality
Service stations
Lottery
Products
Solutions/ Consulting
Services incl. outsourcing
Blue chip-customers

4. Wincor Nixdorf HQ in the US – Austin, Texas
Wincor Nixdorf in the United States
90 employees and 60 people per shift in the call center
Facilities of 75,000 Sq. Feet include
Sales
Marketing
Engineering and technical support
Financials
Logistics
Warehouse
Testing and diagnostics
Staging and integration
Assembly line
Spare part inventory
Certified repairs
Shipping and receiving
Wincor Nixdorf HQ in the US – Austin, Texas
Material Handling
Repair Center
Staging Center

5. Worldwide Market Positions
2006
No. 3
No. 2
No. 1
ATMs and Cash Dispensers
Point of Sale
Automated Teller Safes
Multi-vendor Applications
Monitoring / Admin
Customer Information Printers
Document/Passbook Printers
Transaction Terminals

6. End-to-End Portfolio Products Services Solutions
Postal teller machines
Kiosk
Terminals
Redemption of empty packaging
ATM / Cash
Recycling
Self-
Checkout
Products
Intelligent
Deposit
Services
ATS
Counter workstations
Net centered multi-channel solutions
ProClassic/
Enterprise
Solutions
Branch Solutions
Multi-vendor Software
1-2-1 Marketing
ProClassic
Cash
Management
ProCash/ FOnet daNCe
ProSales
ProCash Analyzer

7. Wincor Nixdorf World wide shipments of ATMs/CDs
61.170
Wincor Nixdorf World wide shipments of ATMs/CDs
61,170
06/07
48,795
05/06
35,005
04/05
32,190
03/04
22,608
02/03
16,803
01/02
22,587
00/01
93/94
15,397
8,865
3,111
96/97
7,610
95/96
97/98
4,285
94/95
98/99
92/93
3,959
99/00
14,198
2,923
~ 52,800 ATMs/CDs shipped in 2006/07
~ 8,300 Intelligent Deposit Systems shipped in 2006/07

8. Innovation strongly driven by Customer Needs and Technical Progress
Key Figures
Ongoing Portfolio-Additions, e.g.:
SlimCash 200, ProCash 4000xs, ProCash 4100, FrontOffice/TOP, PCA 3.0
Wincor Nixdorf commitment in FY 06/07 to customer-oriented R&D:
R&D Spendings of US$ 138 Mio. (11% growth)
843 Employees in R&D – 10% of total Headcount
75 new Patents – Active Patents up to 1,028
ProCash 4000xs
SlimCash
ProCash 1571
ProCash 4100xs

9. Global Constructed Customer Base
… and continuously winning new customers
(15 years)
(28 years)
(26 years)
Developing customers for decades …
Blue chips:
Banking 25 out of the Top 25 Banks in Europe
18 out of the Top 25 Banks in the World
Retail 19 out of the Top 25 Retailers in Europe
17 out of the Top 25 Retailers in the World
Banking ranked by market cap, Retail ranked by
revenue Source: Thomson Financial, Datastream,
Lafferty (European Banker), STORES.org, MINTEL.com

10. Top 25 ATM Deployer in North America
Wincor Nixdorf is on track to become a leading supplier of banking solutions in North America
Goals
Strategic
Strategic Goals
WN Customer
Non-WN Customer
Pilot/Pilot in Prep. 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 1 2 3 4 5 6 7 8 25
Top 25 ATM Deployer in North America
Strong company focus on U.S. business development
Broaden No. 1 position in Canada
Expansion of onsite maintenance coverage and enhanced service portfolio (Managed Services)
Direct Focus on Top Accounts
Reseller model for small and medium banks
Broaden portfolio incl. Recycling ATMs, Kiosk, Branch Renewal, PC/E
Strong focus on innovation, quality and customer satisfaction
Source: ATM & Debit News Nov / Wincor Nixdorf

11. Wincor Nixdorf continues to invest and shows a strong commitment to the U.S. marketplace
Milestones
U.S.
Banking business unit established in the U.S.
2000
2001
2002
2003
2004
2005
2006
Wincor Nixdorf US Headquarters established in Austin, TX
Acquisition of AUTOTELL – Setup of regional SW competence center in Boston for the Americas
Rollout of 1,200 ATMs at Valero
First Multivendor SW project at JPMC (eATM)
2007
Alliance Agreement with IBM
Launch of integration and staging center
Call Center setup
Rollout of 2,500 APC Terminals for USPS
Setup of service Infrastructure Platform (eServices)
Introduction of direct sales model
First envelope free pilot at Wells Fargo
Building up onsite maintenance
Nationwide depot concept (FEDEX)
BTN Innovator Award
Banking business growth of 98%
Continues investments into sales, support and services
New HQ in Austin

12. EXPERIENCE MEETS VISION.
Aus unserer langjährigen Branchenerfahrung heraus bieten wir Zugang zu neuesten Technologien. Lösungen, die auf hochwertiger Hard- und Software basieren, integrieren wir nahtlos in die Systemlandschaften unserer Kunden. Umfassende Service- und Beratungsleistungen runden unser Angebotsprofil ab.
Wir helfen beim Auf- und Ausbau von Informationstechnologie für traditionelle und neue Vertriebswege, integrieren Selbstbedienungs-Techniken, binden E- und M-Commerce in bestehende Vertriebsstrukturen ein und denken dabei schon heute an die Kanäle von morgen.
Auf der ganzen Welt setzen Kunden aus den Bereichen Handel und Banken auf effiziente Prozesse, Investitionsschutz und niedrige Kosten über den gesamten Produktlebenszyklus - auf der ganzen Welt setzten Kunden auf Wincor Nixdorf.
Know-how, das wir in den Zielbranchen Handel und Banken erworben haben, transferieren wir zunehmend auf andere Bereiche und erweitern so ständig unseren Kundenkreis.
EXPERIENCE MEETS VISION.
Securing your ATM Network

13. Potential ATM Attacks Intrusion and Fraud/ Tampering theft Cyber
Physical/
Destructive
Attacks

14. Potential ATM Attacks
Intrusion and theft
Physical & Destructive Attacks
Fraud/Tampering
Cyber Attacks

15. Security Housing Conventional safes
Security levels
Strongbox
Wall thickness 2 or 3 mm
UL 291 Level 1
Wall thickness 12,5 mm
CEN L
RU* 30/50 (total breach)
CEN III
Wall thickness 40 mm
RU* 120 (total breach)
CEN IV
CEN VI
Wall thickness 80 mm
RU* 400 (total breach)
*RU: Resistance Unit Total time x BV of strongest tool + total BV of all tools
e.g. BV (basic value): chisel= oxygen lance=32
CEN V

16. Safe Locks Functions Open Safe Change code
Connection to Alarm System (Distress Alarming)
Delayed opening
Administration system with Audit Trail (record opening activities)
Single-use opening codes, Soft-Key (eg. Mas Hamilton Lock)

17. Cassette – Note Staining Systems
Functions
The ink from the security module integrated in the cassette degrades the cash within a fraction of a second.
Can be switched to ATM or transport mode
Contacts protect the cassette if criminals attempt to break the cover open.
Integrated sensors (detect non horizontal position and physical blows)
Solution can be upgraded on machines in the field by replacing cassettes at a later date

18. Cassette – Note Staining Systems
Advantage
Wincor Nixdorf’s solution assures an average banknote ink penetration of more than 35% when the cassette is full.
The minimum guaranteed ink penetration is 20%.
These ink penetration values are high when compared to competitor products.

19. Physical & Destructive Attacks
Potential ATM Attacks
Intrusion and theft
Physical & Destructive Attacks
Fraud/Tampering
Cyber Attacks

20. Anatomy of an ATM Theft

21. Anatomy of an ATM Theft

22. …and when finally found….

23. Explosion of ATM
An explosive gas mixture of oxygen and acetylene will be pumped in the ATM. With an electric cable, which is inserted in the ATM the explosive gas mixture will be ignited from a secure distance.

24. Explosion of ATM

25. Explosion of ATM

26. Result…theft of cash cassettes

27. Anchored ATM Installation

28. Alarm Package: Machine Removal Sensor
Fig.: A94_04.1 40
Min. 65
27.5
190
Functions
Mechanical sensor
Protection against forceful removal of the entire ATM
Alarm triggered as soon as attempt at removal starts
No false alarms
Protection against tampering

29. Alarm Package: Structure-borne Noise Sensors
Thermal intrusion (heat sensors)
Mechanical intrusion (acoustic sensors)
Explosives (seismic sensors)

30. Security operations control center
ATM secured with GPS positioning technology
Alarmplan wird ausgelöst
Internet
Security operations control center
location-finding server
GPS location module
Database network provider
) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) )
) ) ) ) ) ) ) ) ) ) ) )
) ) ) ) ) ) ) ) ALARM D1 D2 O2
Neigungsmelder
Tilt sensor

31. Potential ATM Attacks
Intrusion and theft
Physical & Destructive Attacks
Fraud/Tampering
Cyber Attacks

32. Crimes Committed at ATMs
Crimes most commonly committed at ATMs
Skimming
Special intrusion mechanisms mounted in front of the card reader are used to copy (fish for) card data.
Lebanese Loop
Special intrusion mechanisms mounted in front of the card reader are used to steal the card.
Not noticed by customer!
Customer loses card!

33. Lebanese Loop

34. Anti Lebanese Loop Card Reader

35. Skimming device on a ProCash 2xxx ATM
Camera
Skimming device

36. Rash of ATM-skimming attacks hits Irish banks
Wednesday February
HUNDREDS of thousands of euro has been stolen from bank accounts of unsuspecting customers over the past two weeks, it emerged last night.
The scam has hit bank customers in Limerick, Clare, Tipperary and Kerry, after skimming devices were installed on ATM machines across Munster.
Gardai say that €160,000 has been stolen from bank accounts in Clare alone over the past fortnight.
The revelation comes as Bank of Ireland refunded thousands of euro to 90 customers at its branch in Ennis who fell victim to a skimming operation.
Source: Independent.ie News

37. Fast processing of the skimmed data
The data copied from the magnetic stripe is transmitted via radio waves and stored on a notebook computer.
The skimmed data are passed on immediately and as soon as two hours later, fake cards can be used to make purchases

38. New generation of skimming devices

39. New generation of skimming devices
On the left you see a typical skimming device with conventional technology beside a new skimming device with modern technology
Dimensions
Width mm
Height mm
Depth 3.89 mm

40. New generation of skimming devices
The police obtained a card skimmer and a fake PIN pad which was bonded to the ATM. Both items hardly distinguishable from the original components

41. New generation of skimming devices
Six small batteries connected to micro switches
Transmitter circuit
Micro switches
Magnetic read head
Transmitter antenna

42. Video Surveillance Portrait camera ATM-specific installation
ATM-specific camera module
Retrofittable
Versions:
Black/white or color
(Color for XE systems only)
PAL or NTSC

43. Anti-skimming Card Reader Throat
With the anti-skimming card reader throat, easy mounting of a skimming device is prevented
Anti-skimming card reader throat is securely screwed-on. Sensor is activated if card reader throat is removed
Element for card reader
throat

44. Card reader throat of Wincor Nixdorf ATMs
It is important to know how far the card juts out of the card reader module in the eject position. In WN systems, it is approx. 30 mm.
30 mm
Insertion direction
This is the area accessible to the system user or the thief with our standard card reader throat
The installation of an anti-fraud card reader throat eliminates the space required for the installation of a skimming device.
A skimming device cannot be attached in front of our card reader.

45. Anti-skimming Sensor Anti-Skimming Sensor Mounted inside ATM fascia
Can not be seen or removed from outside the ATM
Senses change in magnetic field associated with installation of skimming device
Sensor communicates with ATM software if device detected
Alarm triggered
ATM shutdown
Automated action(s)

46. Potential ATM Attacks
Intrusion and theft
Physical & Destructive Attacks
Fraud/Tampering
Cyber Attacks

47. Payment Card Industry PCI Data Security Standard: PCI DSS
For the first time in Sept. 2006, the five brands agreed on a single, common framework for creation of an organization to develop and maintain security standards for credit and debit card payments.
The newly formed Payment Card International Security Standards Council will manage the PCI Data Security Standard for merchants, payment processors, point-of-sale vendors, financial institutions and more than a billion cardholders worldwide.

48. Payment Card Industry 3 different standards
There are 3 standards relevant to banking…..
Encrypting Pad (EPP) Security: PED (Visa)
Encrypting PIN Security (RKL, Key management)
Data Security (operations, infrastructure and processes)

49. Encrypting PIN Pad (EPP)
Functions
PCI PED 1.0 or higher (for all ATMs purchased after 1/1/2008)
Securing the network keys (attack-proof memory area)
Remote key management
Cryptographic functions
Security housing (tamper-responsive)
Secure software update (direct or remote)

50. Remote Key Loading (RKL)
ATM
ATM
ATM
ATM
ATM
ATM

51. Key Loading….today vs. tomorrow
Typical process today for master key input
The master key is generated by the KMS/HSM, then printed out and distributed as two key halves
Two employees each input one half of the key on the local ATM
Disadvantages:
Cost-intensive process
Labor-intensive process
Security: Key cracking / misuse / loss of key
Master key
KMS/HSM
(Key generation)
Manual
key loading
KMS: Key Management Systems
HSM: Hardware Security Module
TMK: Terminal Master Key

52. Remote Key Loading Master Key
The Master Key must be encrypted, with a unique Transport key per ATM (Terminal).
Each ATM must have a unique identifier !
During the initial master key loading process,
the host must be able to verify the data from the ATM
and the ATM (EPP) must be able to verify the host data
The first initial transport key must be injected in the ATM (EPP) in a secure way or secure environment

53. Payment Card Industry Data Security Standard (DSS) - Requirements
Build and Maintain a Secure Network
Install and maintain a firewall configuration to protect cardholder data
Do not use vendor-supplied defaults for system passwords and other security parameters
Protect Cardholder Data
Protect stored cardholder data
Encrypt transmission of cardholder data across open, public networks
Maintain a Vulnerability Management Program
Use and regularly update anti-virus software
Develop and maintain secure systems and applications

54. Payment Card Industry Impact for Wincor Nixdorf
Encrypting Pad (EPP) Security
Hardware
Firmware
Encrypting PIN Security (Remote Key Load - RKL, Key Management)
PCI Compliant Firmware
PCI Compliant ATM Software: ProClassic (NDC/DDC/IFX)
RKL Solutions: ProRKL & PT/E-RKL
Data Security (operations, infrastructure and processes)
Platform Security Agent (PSA)
ProTect/One
PT/E- HVPN

55. Wincor Nixdorf Comprehensive Security Suite
ProTect/One
Remote Key Loading Solutions
Plattform Security Agent ( PSA)
Hardware Virtual Private Network
Plattform
Anwendung
PSA
TCP/IP
HVPN

56. Questions ? ?

57. Thank You!