Abstract: A system for issuing printed documents exchangeable for value having interconnected printer and feeder modules. The printer module includes a printing station having a printhead supported for reciprocal movement in a direction transverse to the path of movement of the print medium. A sensor carried by the printhead is operative to sense and read preprinted indicia on the print medium. The feeder module includes a receptacle for storing the print medium as a continuous form. A slot is provided for enabling the insertion of print media external to the feeder module. A gate mechanism blocks the feed slot under predetermined operating conditions. A first drive mechanism is operative to feed the print medium from the receptacle towards the printing station. A severing mechanism is operative to sever the lead document from the supply. A severing sensor detects failure of the severing mechanism.