Cross Match Technologies Announces New Subsidiary to Provide Background Checks

Sept. 26, 2004
Cross Match services teams with major employee screening companies to provide one stop shop for fingerprint, drug, alcohol, and public records database checks

Cross Match Technologies, Inc. has formed a wholly owned subsidiary, Cross Match Services, Inc., to provide FBI fingerprint and other background check services to meet increasing demand from government regulated customers. Leveraging its leadership role in the production of forensic-quality fingerprint identification solutions, Cross Match is uniquely positioned to offer the most efficient and convenient background check infrastructure for capturing and submitting employee fingerprints through approved channeling agencies to the FBI.

Cross Match developed business affiliations with major managed health care service provider Concentra Medical Centers, Inc. and others to install its award-winning ID 500 or ID 1000 10-print digital fingerprinting equipment in thousands of medical center locations throughout the United States. Employees in the transportation, education, finance, healthcare, security, and other federal or state-regulated industries can stop in at a conveniently located clinic to be fingerprinted, drug and alcohol screened and to receive pre-employment physicals. Also by teaming with major credit, employment history and public records database providers, Cross Match Services can meet all of the employee screening requirements of HR and Security Managers.

The market for outsourced fingerprint-based background check services is sizeable. Potential target industries in which employees are geographically dispersed and there is a mandate to conduct background checks, include banks, brokerage firms, school districts, airlines, healthcare, child welfare and many more.

"The opportunity for an outsourced fingerprinting service is large enough that we believed it made good business sense to create this services company," said Ted Johnson, Cross Match Technologies Chairman and CEO. "We wouldn't be surprised to see the services business outpace our live scan equipment sales at some point," he added.

"By leveraging our years of experience in digital fingerprinting and working with key employee screening experts such as Concentra Medical Centers, First Advantage (NASDAQ;FADV), USIS Inc., Pre-employ.com, General Investigation Services (GIS), Employment Screening Resources (ESR), and CARCO, we believe we offer the optimal one-stop-shop package for HR and Security managers to handle all of their preemployment screening needs," said Don DiFrisco, Cross Match Services Executive Vice President. "Our systems easily integrate with all of theirs. We make it easy to manage the entire background check spectrum of services."

"At Concentra Medical Centers we understand our customers need convenience and efficiency when sending their employees for employment related screening services, " said Marc Perlstein, Director, National Accounts, Concentra Medical Centers. "We are very pleased to offer state of the art digital fingerprinting through Cross Match, in addition to physicals, drug screening and other occupational healthcare services."

Customers can expect the following from Cross Match Services:

- Convenience - fingerprint-based criminal background checks and drug and alcohol tests at one location

- Consolidated results - one vendor and one contract for everything, plus program management and status reporting

- Customer convenience - thousands of potential clinic locations, including remote locations

- No capital or manpower investment with quality and reliable service

- Ability to identify criminals who hop jobs and cross states more comprehensive FBI-based background checks

- Faster turnaround time for FBI background checks--minutes, hours or days, rather than weeks or months

- Fewer rejections from the FBI high quality fingerprint images shorten turnaround time and decrease expense of unusable submissions

Cross Match Services will process fingerprints through the FBI's Integrated Automated Identification System (IAFIS) through various state police Automated Fingerprint Identification Systems (AFIS), or any other FBI-approved job applicant clearing house, such as the American Bankers Association, the Clearing House, the National Association of Securities Dealers, the American Association of Airport Executives, the Office of Personnel Management and others.

Information and fingerprints will be collected and submitted through the Cross Match e-Biometric Information Transaction (eBIT) System. Highlights of the eBIT System include:

- Completely networked system, allowing applicants to stop in any convenient medical facility, even while on travel. Fingerprint records are submitted to the appropriate state AFIS or clearing house via internet or wireless connectivity

- Customer-friendly web interface for enrolling an applicant and receiving information

- Automatic generation of an appointment ticket for an applicant, which can be changed when needed at no additional charge

- Award-winning Cross Match ID 500 or ID 1000 live scan fingerprint system for collection and submission of fingerprint records

- Built-in quality-assurance software that captures highest-quality fingerprints

- Tracking, metrics and customer-customized business reporting

- One consolidated invoice for all pre-screening services

About Cross Match Services, Inc.

Cross Match Services, Inc. is a wholly owned subsidiary of Cross Match Technologies, Inc. The company provides full-service employment screening services including FBI fingerprint-based background checks, drug, alcohol, other physical testing and database checks at a potential of thousands of medical center locations throughout the country. About Cross Match Technologies, Inc.

Since its founding in 1996, Cross Match Technologies, Inc. has been at the forefront of applying forensic quality fingerprint imaging technology towards the development of cost-effective biometric security solutions for law enforcement, federal, aviation, commercial and international organizations. Headquartered in Palm Beach Gardens, Florida, and offering the broadest product lines in the industry, Cross Match is recognized for setting new standards in fingerprint imaging components through its more than 70 existing or pending patents and related intellectual properties. Additional information on Cross Match is available at www.crossmatch.com.