Overview – ETA University ~ March 19th, 2015 Financial services Overview – ETA University ~ March 19th, 2015

Eta university ~ Agenda -- incomm About InComm InComm Financial Services Overview InComm -- Financial Services Products InComm -- Financial Services Platform & Capabilities Overview of Financial Services Prepaid Products/Programs Glossary Of Terms – Financial Services Confidential and Proprietary

RECOGNIZED LEADER 2014 Sam’s Club Supplier of the Year 2014 Walmart Service Product of the Year Rapid Reload & Vanilla Reload 2013 Walmart Supplier of the Year 2013 Target Vendor of the Year 2012 CVS Industry Achievement BROOKS SMITH Best Network Branded Gift Card Program ONEVANILLA Best Prepaid Card or Packaging Design VANILLA MASTERCARD GIFT 3-CARD MULTIPACK FOR SAM’S CLUB Best in Category–Most Effective Closed-Loop or RAN Prepaid Card Program Gift Card DO IT YOURSELF HOME IMPROVEMENT GIFT CARD Best Retail-Based Prepaid Card Program SPEEDWAY LOYALTY PROGRAM Best Marketing Campaign GIFT CARD WEEK AT SHOPPERS DRUG MART 4 Confidential and Proprietary

LEADING THROUGH THE YEARS 1992 1994 1995 1999 2000 2001 2003 2004 2005 2006 2007 2008 2010 2012 2013 2014 Founded in Atlanta, GA, offering long-distance service & technology Develops first technology to allow POS activation at checkout First to host POSA Introduces first prepaid wireless cards Becomes a member of the Visa network, enabling card activations Cable & wireless acquisition Carrier value insertion begins Launches first music download prepaid card with Napster First financial services gift card AMEX First iTunes gift cards Develops lock/unlock technology Full prepaid mall program launch Introduces Vanilla Gift Cards Acquires PRE Holdings, Kwik Systems, Prepaid Enterprises and AirTIME Technologies Enters Canada and UK Enters Japan Acquires Zeevex, GroupCard, Coinstar’s EPay and QPay Develops first alternate toll & transit payment programs Acquires Medagate, Adility, OLS and Giftango Launches MyVanilla GPR card, Vanilla Reload network Significant APAC expansion–footprint now over 30 countries Launches in-store digital sales, Cashtie, mobile commerce, incentives/loyalty programs, switching payment platform Acquires Siras – Retailer Loss Prevention Services 5 Confidential and Proprietary

FINANCIAL SERVICES Driving innovation and revolutionizing payments by delivering solutions that empower consumers and promote financial inclusion. Leveraging a global platform, go-to-market expertise and extensive relationships, InComm is directly at the epicenter of new commerce. Delivering turnkey end-to-end solutions founded upon decades of expertise and cutting-edge technologies. 6 Confidential and Proprietary

Financial Services Organization Account Management Sales & Business Development Project Management Finance Technology & IT Legal & Compliance Operations Channel Management Marketing Network & Issuing Banks Product Group Fraud & Reconciliation Mobile Customer Service Card Production 7 Confidential and Proprietary

Financial Services & INNOVATION Digitizing Cash into Accounts OLS Payment Switch Enhanced Payment Platform Swipe Reload Mobile Solutions POS Integration 8 Confidential and Proprietary

Program Management & Processing end-to-end SOLUTIONS POS Technical Integration Product Design & innovation Product/Category Management Card Production & Distribution Marketing Merchandising & Promotions Program Management & Processing Website & App Design & Development Digital Delivery & Social Media Merchant & Customer Care Legal, Regulatory & Compliance Processing & Reporting Platform 9 Confidential and Proprietary

FINANCIAL SERVICES products Confidential and Proprietary

VANILLA® PRODUCT SUITE Prepaid Gift Card Prepaid Self Use Prepaid Debit Card Cash-In Solution The best selling prepaid brand worldwide – a suite of prepaid products offering non-reload and reload options that are safe and secure, giving consumers what they expect – convenience, reliability and flexibility. Confidential and Proprietary

Phenomenal Growth YOY Vanilla® Gift Cards come in many denominations and a variety of themes. Vanilla Gift is the #1 selling Visa gift card in the United States. Available in $25, $50, $100, and $200 denominations and $20-$500 variable load (purchase fee applies). Multipacks available providing three or five great gift cards with one low purchase fee. Licensed art available for exclusive gift card programs including: Man of Steele, Duck Dynasty, Skylander and more. Confidential and Proprietary

InComm's virtual open loop products can be redeemed to conduct purchases online, over the phone and on-the-go. InComm's digital delivery platform enables several options for a consumer to choose from including email, SMS and direct connect to a mobile application. Confidential and Proprietary

For simple and practical everyday spending… OneVanilla is convenient to use everyday for online shopping, bill pay, travel and more. There are no fees after purchase, no registration is required and funds never expire. Vanilla products are safe, reliable and easy to use. Confidential and Proprietary

No credit check or bank account required. MyVanilla is a reloadable debit card with features consumers want – text and email alerts, direct deposit and more. No credit check or bank account required. MyVanilla’s competitive advantage is we offer a high value product with a low cost of ownership Customers have a clear understanding of fee schedules by offering a simplified fee plan Great for budgeting, pay per use vs. monthly payment requirements Money management tools that put customers in control of their spending Confidential and Proprietary

Conversion To ‘Swipe Reload’ POS 4/15 Industry’s most comprehensive cash-in network for loading money at thousands of US-based retail locations Available in all major channels including pharmacy, convenience, and discount stores Conversion To ‘Swipe Reload’ POS 4/15 Confidential and Proprietary

Incomm -- FINANCIAL SERVICES PLATFORM & CAPABILITIES Confidential and Proprietary

completely integrated processing platform BENEFITS: Secure, nimble, scalable Customizable product features Customizable activation process Houses cardholder and account level information PCI compliant Risk and compliance controls and real-time notification system Customized user experience, Web API, IVR API, marketing communications and social media VMS Customer Care Desktop access for your service representatives Settlement, reconciliation reporting 18 Confidential and Proprietary

FEATURE-RICH, FLEXIBLE PROCESSING PLATFORM FEATURES: Multiple, Account Origination Options Online Registration GPR Go / Instant Issuance – turn-key web enabled Secure package activation Mobile App registration Real-time card replacement Real-time, Email and SMS Alerts, Bill Pay, Direct Deposit, Remote Deposit Capture Vanilla Reload access to 15 million customers Cardholder Web Site & Mobile App 24x7x365 Support Services Multi-lingual Support – English, Spanish, Canadian French Analytics Reporting Catalog 19 Confidential and Proprietary

CUSTOMIZED REPORTING & ANALYTICS Program reporting focused on tracking results Card Summary Report Transaction Summary by Merchant and Location Remittance Summary Report Transaction Detail Report Spend Analysis Report Customized reporting to support back-office systems Daily detailed extracts that provide transactional and cardholder information for reconciliation and compliance required by auditors 20 Confidential and Proprietary

ENHANCED PAYMENT PLATFORM Using defined spend to strengthen customer relationships and drive revenue FEATURES: Delivers Discount Offers Points Accumulators Multiple Purses Integration to Pharmacy Real-Time Access to Value Ability to create custom offer triggers Extensive Reporting & Analytics OFFER TYPES: $ Discount % Discount BOGO Point Redemption Accumulated Discounts (Ex. Buy 3 X get 1 Y at 50% off) 21 Confidential and Proprietary

RAN – Restricted SPENDING SOLUTION REBATE CARD that drives spend back to your locations LOYALTY & REWARDS programs that drive retail sales in-store GIFTING EXPERIENCE without POS upgrade for small chain or franchisees PARTNERSHIP OPPORTUNITIES that deliver additional customer value 22 Confidential and Proprietary

CUSTOMER SERVICE FOR your program InComm’s Customer Care Representatives are highly trained employees who excel and have high call standards The Jacksonville center annually handles over 2.6 million calls for Financial Service Products Our service levels make InComm one of the finest consumer support organizations in our industry. Calls are normally answered in less than one minute with abandonment rates typically in the 5% range. We typically exceed our objective of 80% of calls answered in 30 seconds 23 Confidential and Proprietary

PROVEN PROTECTION FOR THE YOUR PROGRAM Fraud protection backed by our proactive risk and compliance team Partner Merchant Monitoring Monitor over 400k unique partner locations with multiple portals per location Configurable system to support any location(s) Fully Compliant and Licensed Licensed to operate in 50 states, District of Columbia, Puerto Rico and USVI All licenses are current and in good standing Program deemed fully compliant by all examining states programs for agents and employees Training programs and toolkit cover basic AML requirements, specifics related to prepaid cards, how to file SARs and CTRs, best practices, etc. In addition, we also provide in-store training posters with employee sign-off acknowledgement of understanding. Card Monitoring Monitor millions of cards 24/7/365 coverage 24 Confidential and Proprietary

FRAUD PROTECTION AND RISK MANAGEMENT InComm’s industry leading Fraud Prevention and Risk Management team is comprised of 60 employees located in Columbus and Atlanta Georgia. The team is responsible for monitoring and managing fraud and risk for InComm employees worldwide which includes 450,000 total retail locations Of which 100,000 retail locations sell financial services products Fraud Team monitors fraud for both the activation and redemption transactions To offer the best coverage we use both proprietary and commercially available software packages to monitor high risk activity across multiple time zones Our team uses a sophisticated Fraud Lab to replicate fraud schemes to facilitate solutions 25 Confidential and Proprietary

EXPERIENCED Card Production InComm has the ability to meet specific partner needs for GPR card production and volume expectations. InComm managed nearly 700 million cards last year over 30 quality milestones per print run Experienced in production of open loop EMV and Smart Cards for both US and International markets InComm manages both secure open loop card packages and personalized card carriers. Able to customize the carriers specifically for increasing temp to perm conversion 26 Confidential and Proprietary

MERCHANDISING INCREASE SALES one store at a time ENSURE RETAILERS are viewed as prepaid destination by their consumers OPTIMIZE SALES by finding lost sales opportunities IMPROVE ROI of all business decisions Did You Know? Confidential and Proprietary

What Is Prepaid? ~ An Industry Overview Prepaid products are among the fastest growing types of payment instruments in the U.S. Confidential and Proprietary

According to the 2013 FRB study, the number of prepaid card transactions reached 9.2 billion in 2012, up from 5.9 billion in 2009.* * Fed. Reserve Sys., The 2013 Federal Reserve Payments Study, Recent and Long-Term Payment Trends in the United States: 2003-2012, Detailed Report and Updated Data Release (2014), available at https://.frbservices.org/files/communications/pdf/general/2013_fed_res_paymt_study_detailed_rpt.pdf

are reloadable – others are not. Some prepaid cards are reloadable – others are not.

are closed-loop – others are not. Some prepaid cards are closed-loop – others are not.

Prepaid Cards are Issued by Highly Regulated Financial Institutions Regulated by OCC, FDIC or FRB; or by state banking regulators in case of MSBs Most reloadable prepaid card programs are fully Reg. E compliant USA PATRIOT Act compliant OFAC Compliant Compliant with Provider and Seller of Prepaid Access Rules Required to report with SARs and CTRs Not the same as closed loop cards

Network Branded Prepaid Value Chain Includes those outside of traditional credit/debit partner network CONSUMER Card Issuer/ BIN Sponsor Issuer Processor Program Manager Network Acquiring Processor Seller/ Distributor Load/ Reload S Sites & Networks Financial Institution member of a card network System of record & transaction processing. May provide or direct customer care, risk mgmt, & report disputes. Under direct supervision of/ contract with Card Issuer/BIN Sponsor, designs & runs the card program, may provide functions on behalf of card issuer Switches transactions, provides risk management and strict operating rules and regulations Endpoints where prepaid cards are sold to consumers: Online, Retailers or Malls, Financial Institution Branches Provides transaction processing and customer support for merchants; typically provides POS terminals used in retail setting A merchant accepting value loads OR a MSB operating a network to provide reload services to cardholders through reload sites

is an open-loop prepaid card The General Purpose Reloadable (GPR) Card is an open-loop prepaid card

According to the Mercator Advisory Group, the amount loaded onto GPR Cards grew from less than $1 billion in 2003 to nearly $65 billion in 2102, and was estimated to exceed $98 billion in 2014.

What Is Prepaid? ~ An Industry Overview Who Makes GPR Cards Available? Confidential and Proprietary

The issuing bank is not alone. Retail Outlets Distributors Program Managers Processors Bank Issuer Payment Network

What Is Prepaid? ~ An Industry Overview Who Uses GPR Cards and Where Do They Get Them? Confidential and Proprietary

Why GPR Cards? Are considered safer than carrying cash and equipped with fraud protection. Are used by a wide range of consumers to make purchases, pay bills, get ‘ready’ cash, set and stick with a budget, and avoid debt. A recent FRB of Philadelphia study found that the use of prepaid cards has moved beyond the unbanked or lower-income consumer to encompass fully banked individuals of average to above-average incomes.** **Susan Herbst Murphy, Federal Reserve Bank of Philadelphia, Millennial with Money: A New Look at Who Uses GPR Prepaid Cards (September 2014)

Where can GPR Cards be obtained? GPR Cards can be obtained at retail locations, by phone, direct mail, or online – for a purchase fee, or not, depending on the structure of the program.

What Is Prepaid? ~ An Industry Overview How Are GPR Cards Used? Confidential and Proprietary

A Fully Functional GPR Card Program Allows the Cardholder to: reload the Card get cash make purchases pay bills benefit from protections of Regulation E have the availability of FDIC pass-through insurance coverage

GPR Card Features Some GPR Card programs offer features such as: Customer loyalty programs Purchase cushion protection Optional overdraft protection Discount programs Optional savings account

What Is Prepaid? ~ An Industry Overview Oversight and Regulation Confidential and Proprietary

Oversight The issuing bank oversees its third-party relationships – including those with program managers.

Regulation Electronic Funds Transfer Act Treasury’s Financial Management Service rule Regulation II FinCEN prepaid access rule State consumer protection laws and regulations specific to prepaid products including State Money Transmitter laws and regulations

Prepaid ~ Glossary of Terms FinCEN: Financial Crimes Enforcement Network & U.S. Treasury Bank Secrecy Act – ‘BSA’ --- FinCEN http://www.fincen.gov/statutes_regs/bsa/ Money Services Businesses --- ‘MSBs’ – FinCEN http://www.fincen.gov/financial_institutions/msb/ Office of Foreign Assets Control – ‘OFAC’ – U.S. Treasury http://www.treasury.gov/resource-center/sanctions/Pages/default.aspx Currency Transaction Report – ‘CTRs’ – FinCEN http://www.fincen.gov/statutes_regs/guidance/html/FIN-2012-G002.html Suspicious Activity Report – ‘S.A.R.s’ -- FINCEN http://www.fincen.gov/whatsnew/html/sar_faqs.html Confidential and Proprietary