News

Many ATMs are euro-ready

December 30, 2001

PARIS -- ATMs will be the front line for dispensing the euro, the new European currency, to the public beginning Jan 1. Roughly 70 percent of people in the 12-nation euro zone are expected to withdraw their first euro notes from ATMs, according to the European Central Bank.

According to an Associated Press report, some countries plan to shut down ATMs during the day of Dec. 31 to load up with euros while others will preprogram machines to ensure uninterrupted service.

All ATMs in Austria, Luxembourg and the Netherlands are expected to dispense euros by New Year's Day, meaning that late-night revelers can withdraw the new bills just after midnight. France, Germany, Greece, Ireland and Spain expect to have at least 85 percent of ATMs stocked with the new currency by Jan. 1, and Belgium the next day.

The remaining euro countries -- Finland, Portugal and Italy -- are taking a more gradual approach, planning to be euro-ready in early January.

"It's one of the biggest logistical challenges Europe has faced,' said Ian Buxton, a senior consultant at NCR, which manufactured about half the 200,000 or so ATMs used in the euro zone. NCR started preparing for the switch five years ago.

The European Central Bank says 10 billion euro bank notes will be pumped into circulation as of Jan. 1, and another 5 billion remain in reserve.

Countries have up to a two-month grace period during which the euro will circulate alongside national currencies.

Unlike ATMs, many privately-operated vending machines are not expected to be ready for the switch. Coca-Cola has already reprogrammed the 46,000 vending machines it operates in Belgium and Luxembourg to accept both francs and euros. According to the company, the remaining 242,000 Coke machines serving euro zone consumers will be ready by the end of the two-month conversion period.

According to the APreport, department stores such as France's Galeries Lafayette chain are doing a brisk business in new wallets specially equipped for the new euros.