LOS ANGELES, Jan. 22, 2008 (PRIME NEWSWIRE) -- UC Hub Group, Inc (OTCBB:UCHB) and its wholly owned subsidiary eSafe, Inc., (d/b/a eLuxe Financial, "eLuxe") announced today that it officially kicked off its AFRICARDS(tm) Prepaid Visa "Classic" Card program in West Africa, at a Gala held in Ouagadougou, Burkina Faso. Over 500 invited guests were in attendance, including the Prime Minister of Burkina Faso Tertius Zongo, other government dignitaries, entertainers, celebrities and representatives of BIB Bank, a Visa-issuing bank. Just 2.5% of this African market would translate to more than $100 Million in revenue.
The Gala was broadcast live by three major television stations throughout the West African Economic and Monetary Union (or UEMOA from its name in French, Union economique et monetaire ouest-africaine), where CEO Larry Wilcox and staff helped unveil the new AFRICARDS(tm) television, radio and print/billboard advertising. The first official AFRICARDS(tm) transaction was made by the Prime Minister who received confirmation of his transaction seconds later when his cell phone chimed with an SMS text confirming the transaction. UC Hub also demonstrated this feature at a press conference held later that day at the "Hotel Independance".
The kickoff was a great success and culminates two years of diligent work by many, including employees David Dearman and Serge Doh. Funding by the investors on this program was brought to UC Hub by the CEO as part of the emerging market strategy. "We intend to use the business model that has been created in Burkina Faso as the cornerstone of our African virtual banking business," states Wilcox.
Burkina Faso is one of eight French speaking countries that make up the UEMOA. In total, these countries have a population of 85 million people, of whom are mostly underbanked.
"Many people in West Africa have never had an alternative to cash. Now, the AFRICARDS(tm) Prepaid Visa Card gives consumers and employers a modern, safe and convenient way to pay," said Mohamed Elbelamachi, Visa's Relationship Manager for West & Central Africa. Mr. Elbelamachi went on to say that, "we believe electronic payment may also bring benefits to the banking system and to the economy as a whole." A report by Global Insight(1) showed that card payments are more efficient than cash; card payments have an audit trail and so can help reduce corruption and increase tax revenues; and that more money in the banking system means more money available for commercial loans which are the lifeblood of a growing economy.
UC Hub conservative estimates state they would sell at least 100,000 cards in its first year, generating revenue of 3 to 5 million in local currency for the bank. The Company also notes that this revenue is only from card sales and does not include revenue from its mobile banking and the other patented IP, which are on track to be released in Africa in the coming year.
The UC Hub is now in discussions with banks in other African and European Countries and is well on its way to becoming a global player in this financial services sector. "The AFRICARDS(tm) program is a major global accomplishment for eLuxe, and the first of its kind in West Africa. As the barrier to entry for the African markets is time and resource intensive, I believe we are well on our way to becoming the dominant player in West Africa and emerging markets of the World," said Larry Wilcox.
For more information please refer to our websites, www.uchub.net and www.eluxefinancial.com.
Safe Harbor Statement:
Under the Private securities Litigation Reform Act of 1995: The statements contained herein, which are not historical, are forward-looking statements that are subject to risks and uncertainties that could cause actual results to differ materially from those expressed in the forward-looking statements including, but not limited to, certain delays beyond the UC Hub's control with respect to market acceptance of new technologies, products and services, delays in testing and evaluation of products and services, and other risks detailed from time to time in the UC Hub's filings with the Securities and Exchange Commission.