iPayment Announces Results for First Quarter 2011

NASHVILLE, Tenn.--(BUSINESS WIRE)--iPayment, Inc. (“iPayment”) today announced financial results for the three months ended March 31, 2011. Revenues increased to $169,613,000 for the first quarter of 2011 from $159,540,000 for the first quarter of 2010. Revenues, net of interchange, increased to $78,884,000 for the first quarter of 2011 compared with $68,543,000 for the first quarter of 2010. Net income was $7,562,000 for the first quarter of 2011 compared to $2,220,000 for the same period last year. The Company filed its Form 10-Q for the three months ended March 31, 2011, with the Securities and Exchange Commission today.

Management will hold a conference call Thursday, May 12, 2011 at 10:00 a.m. (Eastern Time) to discuss its 2011 first quarter results. Participants should dial 913-312-0830 approximately 10 minutes prior to the start of the call. A telephonic replay will become available after 12:00 p.m. (Eastern Time) on Thursday, May 12, 2011 and continue through May 21, 2011, by dialing 719-457-0820 and entering Confirmation Code 3050517.

The live broadcast of iPayment’s quarterly conference call will be available online at www.ipaymentinc.com or http://www.videonewswire.com/event.asp?id=79392 on Thursday, May 12, 2011 beginning at 10:00 a.m. (Eastern Time). The online replay will be available at approximately 12:00 p.m. (Eastern Time) and continue for one week.

Information in this press release may contain “forward-looking statements” about iPayment, Inc. These statements involve risks and uncertainties and are not guarantees of future results, performance or achievements, and actual results, performance or achievements could differ materially from the Company’s current expectations as a result of numerous factors, including but not limited to the following: acquisitions; liability for merchant chargebacks; restrictive covenants governing the Company’s indebtedness; actions taken by its bank sponsors; migration of merchant portfolios to new bank sponsors; the Company’s reliance on card payment processors and on independent sales organizations; changes in interchange fees; risks associated with the unauthorized disclosure of data; imposition of taxes on Internet transactions; actions by the Company’s competitors; and risks related to the integration of companies and merchant portfolios the Company has acquired or may acquire. These and other risks are more fully disclosed in the Company’s filings with the U.S. Securities and Exchange Commission, including without limitation the Company’s Annual Report on Form 10-K for 2010 and its Form 10-Q for the three and nine months ended September 30, 2010. The Company undertakes no obligation to revise or update any forward-looking statements in order to reflect events or circumstances that may arise after the date of this release.

iPayment, Inc. is a leading provider of credit and debit card payment processing services to small merchants across the United States. iPayment’s payment processing services enable merchants to accept credit cards from VISA, MasterCard, American Express, Discover and Diners Club, as well other forms of electronic payments including debit cards, checks, gift cards and loyalty programs. iPayment, Inc. provides services to approximately 132,000 small merchants throughout the United States.