MasterCard Europe, Europay France to Integrate Operations in France

Under the terms of the agreement, a new company is to be formed. Additional terms of the agreement have not been disclosed.

The transaction is expected to be completed on April 1, 2008 and will enable French and international banks in France to benefit from a direct relationship with MasterCard Europe for payment services. The two businesses have a history of combining their strengths, with MasterCard International and Europay International having merged their pan-European activities in 2002. Under that agreement, Europay France has acted as a liaison between MasterCard Worldwide and financial institutions in France.

Commenting on the announcement, Alfredo Gangotena, General Manager Continental Europe, MasterCard Europe said: "This agreement is essential to strengthening our direct presence in this market, and ensuring that French banks can have a single point of contact for their electronic payment needs. It also means that French consumers and retailers can enjoy the benefits of a more competitive and richer range of card payment products and increased acceptance. Quite simply, we are combining MasterCard's international expertise, proven ability to innovate and cutting edge technology and marketing with the technical and professional expertise and experience of Europay France."

Mr. Gangotena continued: "This recipe for success will help ensure banks and merchants are ideally positioned to deliver payment products and services to meet the needs of their French customers. This will strengthen French banks in the intensely competitive international marketplace and they will further benefit from a payments system unrivalled in terms of both reliability and efficiency."

MasterCard Europe has also announced the appointment of Emmanuel Petit as General Manager of the newly-created company. Mr. Petit will be responsible from today for leading the integration process, before assuming the role of General Manager on April 1, 2008. Mr. Petit, who joined MasterCard in 2002, currently leads MasterCard's relationship with a key banking client in Europe. Mr. Petit will report to Alfredo Gangotena.

Mr. Petit will work closely during the integration process with Mr. Herve Kergoat, currently Country Manager for MasterCard Europe in France. Mr. Kergoat will, from April 1, 2008 assume new responsibilities as head of Business Development, Special Projects. He will continue to report to Mr. Gangotena.

Emmanuel Petit said: "We will be working hard to continue to enhance payment solutions available in France. I am relishing the prospect of leading this new business during 2008 and beyond. We will be offering a strong combination of market leading payment card products and unrivalled global acceptance to French consumers and retailers."

Jean-Claude Perchet, General Manager, Europay France said: "This agreement is the result of a relationship between Europay France and MasterCard which dates back more than thirty years. We're truly excited to be combining forces with MasterCard to provide French banks with Europe-wide solutions, which will enable them to become world class performers in the payments industry and leaders in the SEPA market."