INDUSTRY TRENDS SPOTLIGHT Uniting ATM services and retail locations worldwide Retailers are relying on automated teller machines  (ATMs) to offer an expanding array of banking and e-commerce  services and to open up new avenues of profit potential. ver since the world’s first ATM, a simple cash dispenser, was installed in 1967,  consumers have depended on electronic banking services. Now, both retailers and  financial institutions recognize the benefits of placing ATMs in retail locations, so  E that consumers can get to money when they need it most—at the point of purchase. Today, non-bank ATMs are installed virtually anywhere that commerce takes place: convenience stores, restaurants, hotels, post offices, trans- portation hubs, cinemas, casinos and so on. These retailers recognize the revenue opportunities and the benefits of locating ATMs on site—from instant cash for purchases to surcharge incomes. Up to 20% of the cash taken from our retail ATMs is spent at that those locations. In entertain- ment locations, we estimate almost 100% of ATM cash is spent on site. Currently more than 865,000 machines are in operation today, 1 and industry analysts forecast 45% growth of ATM deployment worldwide  by 2004. 2 Analysts also indicate that new ATMs soon could be deployed at more than two million existing consumer locations. 3 As the largest independent ATM owner in Europe, Euronet has negotiat- ed some of the most coveted real estate locations for installing our ATMs. In Germany, Euronet is providing services to retailers such as Wal-Mart, Metro AG and Lidl & Schwarz. In the UK, we operate ATMs in retail, convenience, entertainment and leisure locations. We have also estab- lished retail locations for ATMs in France, Greece, Croatia, Hungary, the Czech Republic and Poland.  In addition, Euronet leverages expertise earned as an independent  ATM owner to offer ATM outsourcing and professional services to retailers, financial institutions looking for  “off-premise” ATM locations and other independent ATM owners. We are providing these services for prestigious entities such as Citibank in Greece and Dillard’s stores and Saks Incorporated in the United States. According to Diebold, a leading ATM manu- facturer, the growing popularity of Western- style convenience stores is contributing to the demand for ATMs in the UK. Euronet has more than 350 ATMs located within the UK market, including both independent stores and multiple convenience store chains such as Spar, Alldays, T&S Stores, Jacksons, Costcutter and Star News.  off-premise ATMs, and the UK is a leading market for Euronet. Euronet was the first independent ATM owner in the UK, and now retail locations represent two-thirds of our UK ATM portfolio. Western Europe offers high potential for  Offsite ATMs Flourish in the United Kingdom 1  Retail Banking Research Ltd. (2000),  2  Retail Banking Research Ltd. (1999),  3  ATM Industry Association (2001) 12