BRUSSELS, 7 November 2005âSWIFT announced today that its users will receive a rebate of at least 5% on their 2005 FIN messaging usage. The Board of Directors will decide whether to increase it beyond 5% at its December meeting. This is the fourth year running that SWIFT has announced a rebate for its community. The 2005 rebate is expected to yield approximately EUR 18 million. In addition to 2005 price reductions already announced in June, SWIFT will have rebated EUR 88 million in total for the 2002-2005 period.
The rebate follows a series of price reductions effective July 2005: FIN reductions ranging from 5-30% (overall impact of 8%) worth approximately EUR 15 million in 2005, with a full year impact of EUR 30 million in 2006; a revised Traffic Growth Incentive Programme which introduces additional price reductions for users committing to increase their SWIFTNet traffic,; a one-time waiver of licence fees for the SWIFTAlliance Starter Set for smaller users, and the launch of wholesale discounts related to its Member/Concentrator model.
Commenting on the rebate, Francis Vanbever, Chief Financial Officer said, "Earlier this year, we forecast a surplus for 2005, which led to pro-active pricing initiatives in July. The strong financial performance of the company enables us to grant these rebates while continuing to invest in the quality and resilience of our messaging infrastructure. The definitive rebate percentage will be determined in December and credited in January 2006."
SWIFT is well on track to meet its 2006 pricing challenge to cut prices by 50% over the 2002-2006 period. By the end of 2005, messaging prices will have dropped 43% compared to 2001 for FIN, InterAct and FileAct services combined. In addition, smaller users can take advantage of new low-cost Internet Service Provider (ISP) connectivity and introductory packages.