American Express® to Enhance Fraud-Prevention and Security Capabilities With Acquisition of InAuth

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Deal Positions Amex to Address FutureSecurity Needs as Digital Commerce Expands

New York, NY – December6, 2016 – As an extension of the company’s multilayered strategy forfighting fraud, American Express (NYSE:AXP) today announced it has acquiredInAuth, Inc., a leading provider of mobile device authentication and intelligencesolutions. InAuth’s technology is used by some of the largest financialinstitutions, banks, payment networks and merchants to reduce risk and helpidentify potential fraud utilizing its mobile-first device authenticationcapabilities.

The acquisition complements and enhances American Express’ comprehensivedata analytics and fraud prevention capabilities, which have enabled thecompany to achieve the lowest fraud rates in the industry. The acquisition alsopositions the company to capture new opportunities as more consumer activity –from payments to account origination and servicing – moves to digital channels.As commerce has increasingly shifted to online and mobile channels, so too hasthe risk of fraud. Seventy percent of U.S. merchants have experienced anincrease in sales through online and mobile channels over the previous year,according to the 2016American Express Digital Payments Security Survey. At the same time, 60% of merchants reported having experienced fraud fromonline and mobile sales.

“Security is part of our heritage, and helping our merchantsand partners fight fraud is a top priority for American Express,” said AnréWilliams, President, Global Merchant Services & Loyalty Group at AmericanExpress. “We’re acquiring the right company at the right time to evolve ourleadership position in fraud management and security. This acquisition, alongwith Accertify and other significant investments we’ve made in dataanalytics and technology, will help us continue to offer security andprotection to our merchants and partners as mobile and online spending drivecommerce.”

Founded in 2011, InAuth helps clients identify risk, removefriction and reduce fraud in their digital channels. InAuth’s platform usesdevice authentication to enable clients to evaluate the potential risk of adigital transaction, whether it be a customer logging into their account on amobile app or web browser, or making a purchase from a merchant’s website. AmericanExpress currently uses InAuth’s technology as part of its broader fraudmanagement capabilities, and InAuth’s services are also sold by Accertify, asubsidiary of American Express that is a leading provider of ecommercefraud-management and chargeback solutions to merchants.

Lisa Stanton, Chief Executive Officer of InAuth, willcontinue as President. She will reportto Jaromir Divilek, Senior Vice President, Global Network Business, AmericanExpress.

“InAuth is thrilled about how this union will further enableus to deliver on our mission of helping the largest industry players around theglobe, including banks, merchants and payment networks, make smarter riskdecisions,” Stanton said. “As part of American Express, we will be able tobuild on the strong partnership we already have in place to gain scale,accelerate our expansion and, over time, work together to develop newcapabilities that address the rapidly evolving world of digital commerce.”

Going forward, InAuth will operate as a wholly-ownedsubsidiary of American Express. The acquisition follows an investment in InAuthmade earlier this year by American Express Ventures, the strategic investmentarm of American Express.

InAuth’s technology will extend the innovative capabilitiesthat American Express has developed in its technology platforms to support anew generation of digital products, and will complement the robust suite oftools that it already provides to help merchants fight fraud and help protectconsumers. These tools include SafeKey,Enhanced Authorization and Accertify, which helps merchants detect and preventonline fraud across all payment card networks. American Express also offers anumber of services and features to help Card Members monitor their accountinformation and help prevent fraud at the point of sale, including one-clickalerts to confirm charges via text, email and mobile app.

AboutAmerican Express
American Express is a global services company, providing customers with accessto products, insights and experiences that enrich lives and build businesssuccess. Learn more at americanexpress.comand connect with us on,,,,and

Key links to products, services and corporate responsibilityinformation: chargeand credit cards, businesscredit cards, Plenti rewards program, travelservices, giftcards, prepaidcards, merchantservices, Accertify, corporatecard, businesstravel and corporateresponsibility.

About InAuth
InAuth is the leading digital deviceintelligence company for a mobile-first world. InAuth delivers advanced deviceidentification, risk detection, and analysis capabilities to help organizationslimit risk, remove friction, and reduce fraud within their digital channels.With safer digital transactions, banks, payment networks, merchants, healthcareproviders, governments, and other organizations are better positioned tocapture new revenue opportunities and compete more effectively in an“always-on” world. For more information, visit

Information Related To Forward-LookingStatements

Thisrelease includes forward-looking statements that reflect management’sexpectations about future events and the company’s operating plans andperformance. These forward-looking statements are subject to risks anduncertainties. The words “believe,” “hope,” “expect,” “anticipate,” “intend,”“plan,” “aim,” “will,” “may,” “should,” “could,” “would,” “likely,” and similarexpressions are intended to identify forward-looking statements. Readersare cautioned not to place undue reliance on these forward-looking statements,which speak only as of the date on which they are made. American Expressundertakes no obligation to update or revise any forward-lookingstatements. Factors that could cause actual results to differ materiallyfrom these forward-looking statements include, but are not limited to, thefollowing: the underlying assumptions related to the acquisition ofInAuth proving to be inaccurate or unrealized, and the company’s ability tosuccessfully integrate InAuth following consummation of the transaction. A further description of such factors can be found in American Express’ AnnualReport on Form 10-K for the year ended December 31, 2015 and the company’sother reports filed with the SEC.

Merchants refer to those businesses who accept paymentson a traditional website, mobile website or mobile application.

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