Checkfree Corp. said it signed an agreement to manage Integrion Financial Network's operations center in Herndon, Va.

The operation processes bill payments and performs customer service for 50 financial institutions that were customers of Visa Interactive, the card association's remote-banking division, which the 17-bank Integrion consortium acquired in August.

In October, Checkfree and Integrion announced a 10-year bill payment processing agreement. In turn, Checkfree chose to use Integrion's Interactive Financial Services system for receiving electronic transactions.

Integrion said it would retain 50 of the 200 people working at the former Visa Interactive center. Billing remittances will be handled by Checkfree in Columbus, Ohio.

Upon completion of the outsourcing agreement, Integrion received three million options for Checkfree shares exercisable at $20.9375. Checkfree plans to take a noncash charge of up to $40 million in the quarter ending March 31.

Subscribe Now

Access to authoritative analysis and perspective and our data-driven report series.

14-Day Free Trial

No credit card required. Complete access to articles, breaking news and industry data.