Mondex USA has reached an agreement to have its smart cards sold and accepted in Burger King restaurants.

Mondex is planning to begin a test in the second quarter at several of the fast food chain's locations in the Long Island suburbs of New York City.

"This is the next step in establishing the strong consumer proposition we have been talking about," said Janet S. Crane, president and chief executive officer of the U.S. Mondex franchise, which is based in San Francisco.

Ms. Crane said Friday that she intends to announce the co-marketing arrangement today. She said many details, including the exact number of test locations, will be revealed later. She described Burger King as an especially creative marketing company that wants to see if electronic cash can promote customer loyalty.

The cards will be sold in Burger King stores, and their cash value can be replenished at automated tellers or via phone lines, like bank-issued Mondex cards. Mondex co-owner Chase Manhattan Bank will process the transactions, Ms. Crane said.

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