First Virtual Holdings Incorporated (NASDAQ: FVHI), a leader in advanced communications and marketing systems for Internet Commerce, today announced that the First Virtual Internet Payment System (FVIPS) will be a Java Cassette included in the Java Commerce Toolkit.

FVIPS is the only Internet payment solution available that assures secure Internet transactions by not sending credit card numbers over the Internet.

"We are pleased that First Virtual has agreed to include its Internet payment system in Sun's Java Commerce Toolkit," said David Spenhoff, Director of Product Marketing for JavaSoft, a business unit of Sun Microsystems, Inc. "First Virtual's communications architecture is unique because it is e-mail based and features secure Internet payments as one of many applications."

"Our strategy is to leverage our position as a leader in Internet commerce solutions. One of these solutions is our Internet payment system," said Lee Stein, CEO of First Virtual Holdings. "We are pleased that Sun has agreed to include our payment system in the Java Commerce Toolkit."

"We believe that this will introduce our payment system to the growing number of Java developers who are undertaking serious electronic commerce projects," Stein went on to say. "Our goal is to continue to increase our user base, thus enhancing our revenue stream. This, combined with the integration efforts that we announced earlier this month, puts us well on our way toward achieving these objectives."

The Java Commerce Toolkit

Sun's Java Commerce Toolkit, announced last December, is a set of software tools that lets developers quickly and easily build electronic commerce applications using Java, such as online shopping malls, home banking and electronic brokerage.

By integrating its payment system with the Java Commerce Toolkit, First Virtual Holdings has secured an important channel for distributing its products and services to both consumers and merchants. This will also make it easier for both consumer usage and Internet developer integration of First Virtual's Internet Payment System.

Because the Commerce Toolkit is based on Java, a common Internet standard, widespread support for the Toolkit and its payment options is expected. Not only will the Toolkit be compatible with popular Web browsers, but with an increasing number of operating systems and network computers as well.

The First Virtual Internet Payment System

The First Virtual Internet Payment System enables secure online transactions using its VirtualPIN, which allows consumers to make purchases on the Internet without transmitting credit card numbers online. The purchase is charged to a customer's VirtualPIN which is an alias for the buyer's credit card.

Once the transaction is confirmed by the buyer through e-mail, First Virtual Holdings charges the customer's credit card on secure, established financial networks. Sellers can also use the VirtualPIN system to easily bill renewable services such as domain registrations, magazine subscriptions and association membership fees.

About First Virtual Holdings Incorporated

Founded in March 1994, First Virtual Holdings Incorporated is a leader in advanced communications and marketing systems for Internet commerce. Its first product, the First Virtual Internet Payment System, facilitates Internet commerce through e-mail technologies and PIN concepts, integrating seamlessly with established financial networks using universally accepted transaction processing practices.

The company is headquartered in San Diego, Calif., with research facilities in Ann Arbor, Mich., and data center facilities in Dallas, Texas. More information about First Virtual Holdings Incorporated can be found at http://www.fv.com .

First Virtual has strategic relationships with First Data Corporation, First USA Paymentech and GE Capital Corporation.