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Erica Harvill MasterCard Worldwide 914-249-6848

MasterCard Launches MasterCard Mobile Payments Gateway to Spark Mobile Commerce Globally

Itaú Unibanco, Redecard are the first financial institutions to utilize new mobile payments processing platform

Purchase, NY, November 16, 2009 - MasterCard today announced the introduction of the MasterCard Mobile Payments Gateway, a mobile payments processing platform that enables financial institutions and mobile network operators to deliver end-to-end mobile payments solutions through the MasterCard Worldwide Network.

Itaú Unibanco and Redecard, along with mobile network operator Vivo, will be the first to use the MasterCard Mobile Payments Gateway to deliver mobile payment solutions to the banks’ customers in Brazil. The service will give consumers the ability to use their phone as a mobile wallet and link their existing credit, debit or prepaid MasterCard or Maestro card accounts to their mobile phone to fund mobile-initiated payments.

The Mobile Payments Gateway is a turnkey mobile payment processing platform that allows issuers, acquirers, merchants and mobile network operators to quickly and cost-effectively provide customized mobile solutions in developing payments markets by tapping into the MasterCard Worldwide Network, the payments industry’s only fully globally integrated network. As a result, banked and unbanked mobile consumers gain access to a wide range of MasterCard Mobile payments solutions that provide greater payment convenience and security over cash—using their mobile phone to make purchases, send and receive money between family and friends, transfer funds between accounts, pay bills, deposit funds such as payroll or social benefits, top up mobile airtime, load value to prepaid accounts, get cash from ATMs, and keep track of their balances and activities with mobile alerts.

MasterCard is working with Smart Hub, Inc. (SMART HUB, a subsidiary of Philippine-based Smart Communications, Inc.) to leverage its mobile payments technology to develop the MasterCard Mobile Payments Gateway. Requirements for development of a mobile payments infrastructure vary from market to market. By integrating SMART HUB’s capabilities, MasterCard has created an open mobile payment processing platform through the MasterCard Payments Gateway to facilitate the launch of MasterCard Mobile payment solutions in developing markets.

MasterCard is helping to transform financial services with mobile innovation to fulfill a global market need. Consultative Group to Assist the Poor (CGAP), an independent policy and research center housed at the World Bank, and the GSMA Association report that there are more than 4 billion people worldwide who have a mobile phone, but far fewer mobile phone users have a bank account– with the number to grow from 1 to 1.7 billion by 20121. The Mobile Payments Gateway enables them to benefit from secure and convenient mobile payment services that were previously unavailable to them. At the same time, participants in the mobile payments value chain can realize the significant potential for mobile growth outside of the markets they traditionally serve— providing opportunities for financial institutions to introduce payment and financial services to unbanked consumers and mobile network operators to offer value-added services for mobile payments.

“The Mobile Payments Gateway will help to make mobile payments a way of life for mobile phone users around the world,” said Joshua Peirez, group executive of Innovative Platforms for MasterCard Worldwide. “Through our global, integrated payment network we are efficiently connecting financial institutions, merchants and consumers together to mobilize MasterCard payment solutions in a way that truly reflects today’s on-the-go lifestyles.”

"We are pleased to introduce a mobile payments solution that reinforces our innovative positioning in the market,” said Fernado Teles, managing director, Itaú Unibanco Holding. “For Itaú, it is important to not only bring cutting-edge products but also ensure that it offers our customers the security and convenience they expect from a banking transaction."

“The MasterCard Mobile Payments Gateway is complementary with the existing Redecard solutions and we are honored to be part of this project,” says Roberto Mediros, President and CEO of Redecard. “This platform reinforces our leadership in mobile payments solutions. This is a breakthrough for mobile payments around the globe. Democratization and innovative solutions have always been priorities for Redecard and the MasterCard Mobile Payments Gateway is precisely aligned.”

“Vivo, the largest mobile operator in Brazil with over 48 million customers, is a natural choice for this partnership, due to its installed user base and broad service outreach, in more than 3,400 cities nationwide,” according to Hugo Janeba, Vivo’s Executive Vice President of Marketing and Innovation. “This is an important service we are glad to offer to our customers, empowering their connectivity so they can make the most out of their mobile phones. The mobile payments market is an expanding opportunity in the local scenario and we are sure this initiative will be a success.”

“While in the region there are some mobile payments solutions in the market that help unbanked mobile users transfer money or top-up prepaid accounts, these solutions have been limited in providing the breadth of payment transaction services for the underserved consumer to completely manage their finances,” said Richard Hartzell, president, Latin America and the Caribbean region, MasterCard Worldwide. “I am pleased that the Latin America and Caribbean region will be the first to offer the MasterCard Mobile Payments Gateway, which will benefit every constituent in the payments ecosystem—helping financial institutions and mobile network operators reduce their mobile operating expenses and costs to serve consumers while enabling merchants to cost-effectively expand payment acceptance using their mobile phone. This will allow consumers to enjoy a more robust suite of mobile payment services that makes their lives easier.”

Following the launch in Brazil, MasterCard will introduce MasterCard Mobile payments solutions through the Mobile Payments Gateway in select markets around the world.

“Successful growth of mobile payments around the world requires participation, communication and collaboration among all members of the mobile payments value chain,” says Napoleon L. Nazareno, President and CEO of Phillipines Long Distance Telephone Company and Smart Communications. “We are excited to build upon a successful history with MasterCard to advance mobile payments innovation in the industry by delivering compelling solutions that combine the global MasterCard brand and world-class payment network with our extensive digital telecommunications capabilities and world-first wireless data services.”

About Itaú Unibanco
The Brazilian bank Itaú Unibanco Holding, one of the 15 largest banks in the world, offers a full range of services to its local and institutional clients around the world. These include alternative investments, investment banking, asset management, brokerage and investment structure. Today, Brazil has a growing domestic market supported by strong fundamentals with all time low interest rates and historically low unemployment rates. Fiscal and monetary reforms have led to stable economic conditions with a growing middle class and a housing and construction boom. The 2014 Football World Cup and 2016 Rio Olympic Games will demand strong infrastructure investments for the next few years supporting increased economic activity.

About Redecard
Redecard is responsible for the capture and transmission of transactions on credit cards of the MasterCard® Diners Club International flags and debit cards of MasterCard Maestro, among others. The company accredits and promotes commercial establishments and it also partners for banks and several segments in the retail market. Developing ultimate technology in the area, Redecard deals with the installation and management of a chain of electronic terminals throughout Brazil to offer security and agility considering the 1.8 million transactions the company processes every year.

About Vivo
Vivo Participações (NYSE: VIV) provides mobile telecommunication services, cellular phone data transmission and mobile internet services throughout Brazil. Brazilian market leader in cellular telephony, Vivo is the brand of a joint venture between Portugal Telecom and Telefónica, which started in 2002. Covering more than 3.5 thousand municipalities, the company has the country's largest network and it is also the largest mobile telephony group in the South Hemisphere.

Vivo's main goal is to provide more and better services for customers to be able to connect themselves - whenever they wish, however they wish, from wherever they wish, every time more. Thus, it manages to stimulate the network society, which brings along a huge source of opportunities for people to develop progress and live better. Accordingly, Vivo feeds a virtuous cycle which is reflected on the self-sustainable evolution of its own business.

About Smart Communications, Inc.
Smart Communications, Inc. (SMART) is the Philippines' leading wireless services provider with 38.5 million subscribers on its GSM network as of June 2009. SMART has built a reputation for innovation, having introduced world-first wireless data services, including mobile commerce services such as Smart Money, Smart Load and Smart Padala. SMART also offers 3G and HSPA services. Its Smart Link service provides communications to the global maritime industry. Smart Broadband, Inc., a wholly-owned subsidiary, offers a wireless broadband service, Smart BRO. SMART is a wholly-owned subsidiary of the Philippines' leading telecommunications carrier, the Philippine Long Distance Telephone Company (PLDT). For more information, visit www.smart.com.ph.

About MasterCard Worldwide
MasterCard Worldwide advances global commerce by providing a critical economic link among financial institutions, businesses, cardholders and merchants worldwide. As a franchisor, processor and advisor, MasterCard develops and markets payment solutions, processes approximately 21 billion transactions each year, and provides industry-leading analysis and consulting services to financial-institution customers and merchants. Powered by the MasterCard Worldwide Network and through its family of brands, including MasterCard®, Maestro® and Cirrus®, MasterCard serves consumers and businesses in more than 210 countries and territories. For more information go to www.mastercard.com.

1CGAP-GSMA Mobile Money Market Sizing Study, June 2009