Ex Parte McGee et al - Page 5


                Appeal No. 2006-3400                                                                             
                Application No. 10/268,040                                                                       
                Distribution and Redemption Unit (CDU).  The CDU then presents the                               
                customer with information about coupons which are available.  The                                
                customer uses the CDU to select coupon.  Data concerning the selected                            
                coupons is stored in the CDU and made available to the checkout system for                       
                redemption when the customer pays for the goods.  See column 5, lines 3-                         
                26.  The CDU performs several verifications based upon information on the                        
                card, including verification that the card has not been used in a                                
                predetermined time period, and whether the card is a temporary or                                
                permanent “special card”.  See column 11, lines 1-16.  The temporary cards                       
                are cards with magnetic stripes which activate the CDU but do not contain a                      
                customer identifying UPC code.  See column 5, lines 47-58 and column 11                          
                lines 56 -58.  A form is given to the customer.  After the information from                      
                the form is input to the system and verified, a new, permanent “special card”                    
                is issued to the customer.  The permanent card contains a magnetic strip and                     
                customer identifying UPC code.  See column 5, line 47 through column 6,                          
                line 26.                                                                                         
                       The CDU performs the verification based upon information on the                           
                card.  See column 11 lines 1-9, 46-6 and column 21, lines 10-25.                                 
                Nichtberger teaches that the CDU and the terminal at check out may be                            
                separate devices in communication or that the functions of the CDU may be                        
                performed at the checkout terminal.  See column 27, line 65 through column                       
                28, line 8.  Nichtberger also teaches that the CDU and the checkout terminal                     
                communicate with a computer at the operations center.  The operations                            
                center computer provides coupon information to the CDU (information                              
                presented to the customer regarding coupons available), and the CDU and                          


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