Sheetz Customers Can Now Experience the Latest in Payment Innovation As Sheetz Goes Live with Contactless Payments in All 309 Stores

Sheetz Customers Can Now Experience the Latest in Payment Innovation As Sheetz Goes Live with Contactless Payments in All 309 Stores

Customers Among the First to Benefit from Speed and Convenience of Contactless Payment Technology with the New Sheetz MasterCard from Chase; First Retailer to Launch Cobranded Contactless Credit Card

Altoona, PA, May 19, 2005–Sheetz, Inc., today announces that technology allowing customers to use a contactless payment option is now “live” in all 309 Sheetz stores. In January 2005, Sheetz became the first retailer in the nation to adopt acceptance of MasterCard® International’s innovative contactless payment option, MasterCard PayPass™, across its entire chain. Sheetz today also announces the availability of its own cobranded contactless credit card–the first launch of its kind by any retailer in the nation.

The card, issued by Chase Bank U.S.A., N.A., a division of JPMorgan Chase & Co. [NYSE: JPM], utilizes Chase’s “blink” contactless functionality enabling use wherever MasterCard PayPass is accepted. The Sheetz MasterCard from Chase allows Sheetz customers to enjoy an even more streamlined and convenient shopping experience and eliminates the need to sign their payment card receipts for all sales under $25. Currently, more than 80 percent of convenience store transactions are less than $25. The card will feature a comprehensive customer rewards program, Sheetz Rewards, which includes the ability to earn free gas with every purchase. Furthermore, the contactless payment card maintains a magnetic stripe, allowing the card to be swiped in the traditional manner anywhere MasterCard is accepted.

“The best way to use this new contactless payment technology is with a Sheetz MasterCard from Chase. Not only will it get you in and out of the store faster, but you can use it anywhere MasterCard is accepted to earn free gas at Sheetz. Convenience and savings–we think our customers win both ways,” said Louie Sheetz, executive vice president of marketing, Sheetz, Inc.

Sheetz Chase MasterCard cardholders can pay for purchases at Sheetz in-store and at the pump by simply tapping their card on, or holding their card near, a specially equipped terminal–which Sheetz calls its Z-Pass™ station–to complete a payment transaction; eliminating the need for customers to hand over their payment card to a store employee, manually swipe it through a reader, or fumble for cash and coins. And, because the Sheetz card is a Chase MasterCard, cardholders will be able to use the card anywhere and earn Sheetz Rewards with every purchase.

“Contactless payments represent one of the most significant payment advancements in the retail industry, and Chase is leading the way in deploying this new way to pay through our ‘blink’ functionality, to our partners, merchants and consumers,” said Tom O’Donnell, Sr. Vice President, Chase Bank U.S.A., N.A. “Partnering with a category leader such as Sheetz to deliver the Sheetz MasterCard with ‘blink’ is a perfect strategic fit as we work together to introduce innovations that provide great benefits to our customers.”

“As an innovator in the convenience store and quick-serve restaurant industries, it is only natural for Sheetz to partner with Chase and MasterCard to deliver the speed and convenience of contactless payment to our customers,” added Louie Sheetz. “Chase’s early commitment to offer contactless payment options to its cardholders echoes our own innovative and customer-centric culture.”

The new Sheetz card will benefit customers by providing a quick, easy payment method for purchasing fresh made to order food, coffee and other Sheetz products. With the new payment option, Sheetz customers can see their purchasing time reduced between 12 and 18 seconds as compared to cash according to MasterCard tests. And because the system is simpler and faster than cash and other forms of payment, customers can move more quickly through the checkout process. Sheetz believes that its customers will also appreciate the added security of remaining in control of their payment card during payment transactions.

“Sheetz continues to demonstrate its commitment to offer the latest in innovation and convenience to its customers, adopting technologies designed specifically to improve the customer experience and deliver the ultimate convenience,” said Fred P. Gore, senior vice president, North America Acceptance, MasterCard International. “Sheetz understands how contactless payment options, including our own MasterCard PayPass technology, simplify the customer experience and we are excited that Sheetz, Chase and MasterCard are working together to offer the increased speed, convenience and flexibility of this technology to Sheetz customers.”

Sheetz customers will be able to apply for the Sheetz MasterCard from Chase in their local Sheetz store or by calling 1-866-40-SHEETZ. In addition to earning free gas, the Sheetz MasterCard rewards program offers cardholders a variety of rewards regardless of where purchases are made, including free Sheetz food, a 10 percent rebate on Sheetz purchases for the first 60 days and three percent thereafter. Additional information on the Sheetz MasterCard rewards program is available on the Sheetz website, http://www.sheetz.com.

About Sheetz, Inc.

Established by Bob Sheetz as a single store in 1952, Altoona, Pa.-based Sheetz, Inc. is one of America’s fastest-growing, family owned and operated convenience store chains, with fiscal year 2004 revenue exceeding $2.8 billion. The company operates more than 300 convenience locations throughout Pennsylvania, West Virginia, Maryland, Virginia, Ohio and North Carolina, and is ranked 87th on the Forbes list of largest private companies. Sheetz provides an award-winning menu of Made•To•Order subz, sandwiches, saladz and specialty coffeez, which are ordered through unique touch-screen order point terminals. All Sheetz convenience stores are open 24 hours a day, 365 days a year. For more information, visit Sheetz on the Web at http://www.sheetz.com or call (800) 487-5444.

About JPMorgan Chase & Co.

JPMorgan Chase & Co. (NYSE: JPM) is a leading global financial services firm with assets of $1.2 trillion and operations in more than 50 countries. The company has approximately 94 million credit cards issued. Under the JPMorgan, Chase and Bank One brands, the firm serves millions of consumers in the United States and many of the world’s most prominent corporate, institutional and government clients. Information about the firm is available at http://www.jpmorganchase.com.

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