U.S. Bank

VICOR, Inc. Awarded Major Contract By U.S. Bank to Support Specialized Government Processing

VICOR Technology to Provide a Seamless Payments and Document Processing Platform to Maximize Operational Efficiency

Contact: Mike Dignen
VICOR, Inc.
610-524-5950 or mdignen@vicor.com

RICHMOND, CA, June 6, 2005 – VICOR, Inc., a leading provider of image-enabled receivables processing and management solutions, today announced that it was awarded a major contract by U.S. Bank, a subsidiary of U.S. Bancorp (NYSE:USB). Under the agreement, VICOR will provide a seamless payment and documents automation platform to support a specialized government-processing contract recently won by U.S. Bank. The nature of the government processing could not be disclosed. The VICOR system was installed at U.S. Bank’s Southern California operations center under a very aggressive timetable to accommodate the contractual obligations of U.S. Bank. The system became fully operational on May 31st. VICOR was selected from among three finalists to supply the technology for the application.

The new contract with U.S. Bank reflects the continued momentum in VICOR’s receivables technology business, which has won two major contracts this year from prominent financial institutions. Additionally, the U.S. Bank contract is further evidence of VICOR’s success in expanding into markets beyond traditional image wholesale lockbox processing, where it is a recognized leader.

“VICOR is pleased to have been selected by U.S. Bank to provide mission critical support for this government processing application,” said VICOR President Bob Kirk. “Our document processing technology delivers the performance required by customers like U.S. Bank to help maximize efficiency, minimize costs, and offer the processing flexibility required when dealing with complex transactions that expand the strategic direction of the banks business objectives – all part of achieving a competitive advantage in the increasingly competitive financial services marketplace.”

“VICOR was clearly the strategic partner of choice for this project,” stated Steve Soroka, executive vice president for Corporate Services at U.S. Bank. “We chose VICOR for its integrated approach to payments and forms automation, its understanding of our needs for this specialized application, and its ability to meet our tight deployment timeframe. VICOR offered the best solution at the best value, so we’re certain that we will have the technology platform to meet our customer’s expectations for fast, accurate, and reliable processing of complex transactions.”

The U.S. Bank solution will utilize the wholesale lockbox-processing component of VICOR’s RIDS (Receivables Information Delivery System) platform, which will enable the bank to efficiently and cost-effectively process the payments that are a part of this particular application, as well as the structured forms used in the government application. The RIDS solution also will include support for the government’s electronic check project (ECP), which is designed to speed image clearing and settlement.

“U.S. Bank is a leading example of a client that recognizes integrated receivables solutions can help ease the tremendous pressure the financial services industry is under to contain costs while continually improving accuracy, turnaround and the quality of customer care,” said Mike Dignen, senior vice president, national account management, at VICOR. “VICOR’s technology enables financial institutions to balance these often conflicting objectives.”

About VICOR, Inc.

VICOR is a leading provider of image-enabled receivables processing and management solutions. The company’s flagship product, RIDS (Receivables Information Delivery System), is the first payment processing and cash management platform to offer full color images and intra-day delivery of receivables information via the Internet and other publishing options. Currently installed in 24 sites, RIDS processed over 180 million transactions in 2004, representing more than $1.1 trillion. VICOR is headquartered in Richmond, CA, and is privately held. For more information, contact 510-621-2000 or visit www.vicor.com.

About U.S. Bank

U.S. Bancorp, with $195 billion in assets, is the 6th largest financial services holding company in the United States. The company operates 2,370 banking offices and 4,620 ATMs in 24 states, and provides a comprehensive line of banking, brokerage, insurance, investment, mortgage, trust and payment services products to consumers, businesses and institutions. U.S. Bancorp is home of the Five Star Service Guarantee in which the company pays customers if certain key banking benefits and services are not met. U.S. Bancorp is the parent company of U.S. Bank. Visit U.S. Bancorp on the web at www.usbank.com.