Visa Commercial Metric Tracks Steady Increase in Business and Government Spending




    Financial Index Measures $66.7 Trillion in 2006 Commercial Spending
Worldwide

    SAN FRANCISCO, March 20 /CNW/ - Visa Commercial today released the global
Commercial Consumption Expenditure (CCE) measurement for 2006 that shows
steady growth in business and government spending worldwide.

    Using the CCE index, a standardized metric to track business and
government spending globally, Visa Commercial calculates global CCE in 2006 to
be US$66.7 trillion, which represents an increase of 8.0 percent over 2005
expenditures of US $61.8 trillion.

    The CCE index provides the global payment industry, including Visa and
its member financial institutions, an unbiased and consistent way to monitor
global business expenditures. The Visa CCE index includes all commercial
spending with the exception of payroll and other select expenditures.

    "Since its inception by Visa Commercial more than three years ago, the
global Commercial Consumption Expenditure index has become the de facto metric
for tracking business and government spending and the continued transition to
electronic payment systems, including the full suite of Visa Commercial
products and services," said Aliza Knox, senior vice president, Visa
Commercial, Visa International. "Updated every year, the global CCE index
benefits the entire financial services industry by providing an unbiased and
consistent way to monitor global commercial expenditures and identifies new
growth opportunities for our stakeholders by measuring the traction of various
payment types with corporate and government entities."

    CCE Methodology

    Utilizing methodology developed in-house by Visa and unveiled in 2004,
CCE draws upon government data using methods similar to those employed for the
Personal Consumption Expenditure (PCE) index, which monitors consumer-related
spending. Global CCE is measured using four key data elements: the amount of
business-to-business purchases to acquire goods and services used in
production; wholesale and retail purchases of final goods; some business
capital expenditures; and government spending on goods and services.
Adjustments were made to exclude capitalized expenditures, such as
construction and durable defense spending. The calculations measure
transactions at basic prices, which include taxes (less subsidies) on
production. Retroactive adjustments are made to account for any revisions in
officially published statistics and economic data in current and previous
years. Many types of transactions included in CCE can be captured on a variety
of Visa products including Visa Corporate, Visa Purchasing, Visa Business, and
Visa Fleet.

    Commercial Expenditure Regional Breakdown

    The overall 2006 measurement for electronic and paper-based business and
government spending within Visa's six global regions breaks down as follows:

    
    Region                      2005                  2006
    ----------------------------------------------------------------------
    Europe                      US$21.2 trillion      US$22.5 trillion
    ----------------------------------------------------------------------
    United States               US$16.2 trillion      US$17.3 trillion
    ----------------------------------------------------------------------
    Asia Pacific                US$15.9 trillion      US$17.0 trillion
    ----------------------------------------------------------------------
    Central/Eastern Europe,     US$3.9 trillion       US$4.5 trillion
     Middle East and Africa
    ----------------------------------------------------------------------
    Latin America/Caribbean     US$2.9 trillion       US$3.4 trillion
    ----------------------------------------------------------------------
    Canada                      US$1.7 trillion       US$2.0 trillion
    ----------------------------------------------------------------------
    Total Global CCE            US$61.8 trillion      US$66.7 trillion
    ----------------------------------------------------------------------
    

    Visa Commercial provides payment products with information management and
services designed to help businesses and government achieve greater
efficiency, control and convenience. The global CCE index establishes a
valuable baseline for measuring segment penetration growth and effectiveness
for Visa and its member financial institutions.

    Visa will continue to provide global CCE measurements annually.

    Notes to Editors:

    Complementary CCE Analysis Available: Today, Visa USA is providing a
detailed segmentation analysis of commercial spending in the US market broken
down by small, mid-sized and large companies, and government agencies
associated with the release of the latest global CCE data. For more
information, please visit the newsroom at www.usa.visa.com. In April, Visa
Europe plans to provide a localized version of the CCE announcement containing
data specific to their region. For more information, please visit their press
and media site at www.visaeurope.com.

    About Visa Commercial: Visa Commercial payment solutions -- Visa
Business, Visa Corporate, Visa Purchasing, and Visa Commerce -- combine
payment with information to create intelligent payment solutions that enable
business and government organizations of any size and type to reduce costs,
streamline operational and payment processes, and make more informed business
decisions. Backed by Visa's unsurpassed acceptance and utility, Visa
Commercial products and services provide the most complete way to manage
payment-related processes, including travel and entertainment and procurement
expenditures, payroll distribution, and information management. For more
information, visit www.visa.com/visacommercial.

    About Visa: Visa connects cardholders, merchants and financial
institutions through the world's largest electronic payments network. Visa
products allow buyers and sellers to conduct commerce with ease and confidence
in both the physical and virtual worlds. Visa is committed to the sustained
growth of electronic payment systems to support the needs of all stakeholders
and to drive economic growth. Visa products currently generate more than $4
trillion in sales volume worldwide. Visa has unsurpassed acceptance worldwide
including one million ATMs. For more information, visit
www.corporate.visa.com.




For further information:

For further information: Visa International Sabine Middlemass, +1
650-432-8307 Cell: +1 650-533-4106 globalmedia@visa.com or Burson-Marsteller
Carolyn Krytzer, +1 415-591-4022 carolyn.krytzer@bm.com

Organization Profile

VISA COMMERCIAL

More on this organization


Custom Packages

Browse our custom packages or build your own to meet your unique communications needs.

Start today.

CNW Membership

Fill out a CNW membership form or contact us at 1 (877) 269-7890

Learn about CNW services

Request more information about CNW products and services or call us at 1 (877) 269-7890