CAPITAL Corporate News

CAPITAL CARD SERVICES COMPLETES SAS 70 AUDIT REPORT CERTIFICATION IN DECEMBER 2007

Sioux Falls, SD – January 4, 2008
CAPITAL Card Services, Inc. (CAPITAL), a leader in portfolio management and card outsourcing solutions, announced the successful completion of the Statement on Auditing Standards (SAS) No. 70 audit. The audit was performed by McGladrey & Pullen LLP and included tests of CAPITAL’s operational controls that covered a nine month period in 2007.

SAS 70 engagements are performed by control oriented professionals who have experience in accounting, auditing, and information security.  A SAS 70 engagement allows a service organization, like CAPITAL, to have its control policies and procedures evaluated and tested by an independent party.  Very often this process results in the identification of opportunities for improvements in operational areas.  The requirements of Section 404 of the Sarbanes-Oxley Act (SOX) make a SAS 70 audit even more significant in the process of reporting on effective internal controls within service organizations.

McGladrey & Pullen applied tests to CAPITAL’s controls and offered their opinion on the effectiveness.   Their opinion states that CAPITAL’s controls “are suitably designed to provide reasonable assurance that the specified control objectives would be achieved.”

“We were confident that we had the processes and controls in place to effectively service our clients and their customers,” said Jeffrey J. Aegerter, President and CEO for CAPITAL.  “This audit gives transparency to our organization and allows our clients and bank auditors to validate what we are telling them about our information and data safeguards.”

CAPITAL’s client banks will receive valuable information regarding its controls. This information will include detailed descriptions of these controls and this independent assessment of how the controls placed in operation are suitably designed and are operating effectively.

If you would like more information about CAPITAL’s completed SAS70 audit, including McGladrey & Pullen’s opinion, please contact Jeffrey J. Aegerter, President and CEO at (605) 782-3300.

SAS 70 Overview
Statement on Auditing Standards (SAS) No. 70, Service Organizations, is a widely recognized auditing standard developed by the American Institute of Certified Public Accountants (AICPA).  A service auditor's examination performed in accordance with SAS No. 70 ("SAS 70 Audit") is widely recognized because it represents that a service organization has been through an in-depth audit of their control objectives and control activities, which often include controls over information technology and related processes.

About McGladrey & Pullen LLP and RSM McGladrey
McGladrey & Pullen LLP (a partner-owned CPA firm) delivers audit and attest services. It operates in an alternative practice structure with RSM McGladrey, a leading professional services firm providing accounting, tax, and business consulting services to middle-market businesses. Through separate and independent legal entities, they work together to serve clients’ business needs. Together the companies rank as the fifth largest U.S. provider of accounting, tax and business consulting services (source: Accounting Today), with 8,000 employees in nearly 100 offices. McGladrey & Pullen LLP and RSM McGladrey Inc. are member firms of RSM International, an affiliation of independent accounting and consulting firms.