PURCHASE, N.Y. Jun. 18, 2013 – MasterCard Incorporated (NYSE: MA) announced the results of its Annual Meeting of Stockholders, held earlier today at the company’s headquarters in Purchase, NY. At the meeting:

• each of MasterCard’s directors were re-elected for an annual term;
• MasterCard’s executive compensation was approved on an advisory basis; and
• the appointment of PricewaterhouseCoopers LLP as the Company’s independent registered public accounting firm for 2013 was ratified.

MasterCard’s Board of Directors also declared a cash dividend of $0.60 per share, payable on August 9, 2013, to holders of record of its Class A common stock and Class B common stock as of July 9, 2013.

About MasterCard

MasterCard(NYSE: MA),www.mastercard.com, is a technology company in the global payments industry. We operate the world’s fastest payments processing network, connecting consumers, financial institutions, merchants, governments and businesses in more than 210 countries and territories. MasterCard’s products and solutions make everyday commerce activities – such as shopping, traveling, running a business and managing finances – easier, more secure and more efficient for everyone. Follow us on Twitter @MasterCardNews, join the discussion on the Cashless Conversations Blog and subscribe for the latest news.

Source: MasterCard Incorporated

MasterCard
Investor Relations:
Barbara Gasper, 914-249-4565
investor_relations@mastercard.com
or

Media Relations:
Jim Issokson, 914-249-6286
james_issokson@mastercard.com

The power and growth of e-learning cannot be underestimated. In the U.S. alone, distance learning is a growing trend with over 6 million students enrolled in online education, almost a third of total higher education enrolments in the U.S. And with the rising cost of tuition fees and everyday living expenses, aspiring to a higher education is increasingly becoming an elite privilege.

The International Student Identity Card (ISIC) Association aims to support the access to education for all who desire it. It is why in 2011 we established the annual ISIC Award, to recognize organizations that seek to break down barriers to education and increase access to education. Since the Award was created, together with MasterCard Worldwide we have been able to provide the winning organization with a €20,000 (US$26,500) contribution to support initiatives enabling access to higher education around the world.

This year we are proud to announce that the University of the People (UoPeople) is the 2013 ISIC Award winner. Complimentary to our mission to support intercultural understanding, UoPeople’s approach to learning allows students from 136 countries to take part in peer-to-peer online learning – sharing not only resources but exchanging ideas and unique perspectives in an encouraging learning environment.

University of the People (UoPeople) is the world’s first non-profit, degree-granting, tuition-free online university embracing technology to bring undergraduate degree programs to qualified high school graduates around the world who would otherwise be restricted in their ability to access quality higher education.

UoPeople is changing the very nature of higher education and harnessing technology to open the doors to learning and, in turn, advancing financial inclusion of many underserved youth of the world.

We think there is no better way to learn – what do you think?

Just look at how significant small businesses are for our economy. Today, they account for 99.7 percent of all firms in the U.S. They are not only a driving force for innovation, but also create almost two thirds of all new jobs.

However, too many small businesses close for lack of funding or the right business tools to help make their business succeed.  Other businesses are struggling with changing consumer habits and the impact of new technologies.

For me, the greatest impetus to supporting these firms is that small businesses don’t think of themselves as small – just as not having finished growing yet.  In fact, solutions and tools that are based on electronic payments can help facilitate that growth, from offering easy savings to providing instant access to benchmark analytics. Owners can empower their employees with business cards for company purchases or travel, extending the trust with secure cards that have controls and alerts built into them.  Moreover, the emergence of mobile POS-devices such as Square and iZettle has made it much easier for small businesses to accept payments – increasing their revenues and saving time and hassle.

The most important thing electronic payments can do for a small business, especially when combined with online banking and other tools, is enabling better cash flow management, essentially freeing the owner to concentrate on the most critical issue: acquiring new customers and retaining existing ones.

This is why we support small businesses everywhere, every day of the year, in every way we can.

How can small businesses stay ahead and keep their edge? Join me @MasterCardNews together with @TheRetailDoctor and @YFSEricaNicole for a #SBizChat this Thursday from 12 to 1 pm ET.

When the owner of Pippa’s Real Tea, in Port Townsend, WA, couldn’t secure bank financing to open her tea shop, she almost gave up.

This is not an uncommon tale for many first-time entrepreneurs who, for any number of reasons, are unable to access traditional financing from their local bank. Fortunately for Pippa she heard about Craft3, a Create Jobs for USA Awardee. A loan from Craft3 enabled her to open the store, creating 14 jobs for her community.

When people on the path to realizing the American dream have access to capital, they can be entrepreneurs, open businesses, create jobs, and transform lives. But many individuals and communities—often in low-income areas—lack access to capital, even when their business ideas are good.

Community Development Financial Institutions (CDFIs) fill this gap.  They bring affordable products and services to communities and individuals, like Pippa, who have been left out of the financial mainstream. The benefits: sound financial returns and real change.

Create Jobs for USA has leveraged the power of these community lenders to help solve our nation’s jobs crisis. Started by Starbucks and Opportunity Finance Network, and later joined by partners, including MasterCard, Create Jobs for USA enables leading companies and individual citizens to create jobs by supporting CDFIs. Through individual and corporate donations, Create Jobs for USA has raised more than $15 million. CDFIs have leveraged this into $105 million in financing for community businesses, which created or retained 5,000 U.S. jobs.

MasterCard helps people like Pippa overcome financial barriers. Its generous support of Create Jobs for USA underscores the company’s commitment to offering basic financial tools and services in underbanked or unbanked communities and helping small businesses and entrepreneurs succeed. By investing in Create Jobs for USA, MasterCard celebrates innovative solutions for pressing economic problems and encourages visionary approaches to making the American dream accessible for all.

After all, it takes money to make money.

Today, new details to report. A second suspect is on the run, described only as the fastest 45 year old on the planet.

Share this WANTED poster on Twitter to help uncover the mystery using #CashRegisterRIP.

Stay close to @MasterCardNews for the latest on this developing story.

MasterCard Wanted Poster

The basic idea is that as everyone’s incomes rise, those at the bottom 40% of the pyramid are going to need guidance on how to use savings and debit accounts; how to invest for the future.  They’ll need access to financial services for the first time in their lives.  And this is where public and private partnerships can make a big impact .  We’ve already seen this start to happen, with our work on the continent of Africa as well as the World Food Program.

In this edition of Morning Brew, see highlights of the webcast and hear about the Center for Financial Services Innovations forum in Miami that we were a part of.  A rising tide lifts all boats, and we want to leverage our technology to empower more people to take control of their finances.

To catch up on all the latest Morning Brews, check out our playlist.

Despite the overall savings rate decreasing, more respondents are saving for their futures

Tweet: South Africans are saving for precautionary measures, says #MasterCard survey http://bit.ly/11Vy6SZ

Johannesburg, South Africa – 13 June 2013 – The latest MasterCard Survey of Consumer Purchasing Priorities: Money Management has revealed that 70% of South Africans are planning to either save ‘the same or more’ over the coming six months. This is a decrease from the 92% who said the same thing in the previous survey.

Some 83% of the same consumers confirmed that they were uncertain about the economy and consequently were for saving for ‘precautionary measures’, which is an increase of 16% from the previous survey.

Just under half (47%) of the survey respondents who are planning to save ‘the same or more’ said ‘retirement’ is their top reason for saving, a 10% increase compared to the preceding six months, followed by ‘investments’ at 35%.

“The low savings rate in South Africa is widely reported,” says Philip Panaino, division president, MasterCard, South Africa, “and as such, while a decrease in saving is not ideal, given the current economic landscape it is nonetheless encouraging to see that a significant number of South Africans are taking notice of local and global financial conditions, and that saving priorities lie in future planning.”

The MasterCard Survey of Consumer Purchasing Priorities is released twice a year and provides valuable insights into consumer outlook on spending priorities in the categories of travel, dining and entertainment, education, money management and luxury shopping. The latest survey was conducted across 27 countries within Asia/Pacific, Middle East and Africa between November 2012 and February 2013. The survey and its accompanying reports do not represent MasterCard’s financial performance.

Looking towards retirement

When asked how much of their total monthly income they’re planning on saving over the next six months, the majority (45%) of respondents said between 1% and 10% of their total monthly income. Eighteen percent said they plan on saving between 11% and 20% of their income, which is closer to the industry-recommended savings rate for retirement, while just 7% plan to save between 21% and 30%.

Half of respondents feel they can retire with enough financial support between the ages of 51 and 60, followed by 43% who said between the ages of 61 and 70. Interestingly, 5% believe they can retire before the age of 50. The average age of comfortable retirement was reported as 62, up two years from last year’s average of 60 years.

Responding to statements on financial planning, the vast majority (88%) of respondents believe that ‘it is never too early to have a financial plan’. Conversely, just 20% of respondents believe that financial planning is ‘only for the rich’.

Panaino says: “The survey indicates that South Africans are inclined to financial planning. This is a positive base from which to promote mindfulness and caution when it comes to managing money, and encouraging a habit of saving.”

South Africans are managing their money

Survey respondents were asked about the items they would cut back on in the event of a loss of household income. Dining out, entertainment and purchasing gifts were at the top of their lists, while 10% said they would cut back on their regular savings.

Conversely, when questioned about how they would spend a cash windfall; respondents replied that adding to their savings was a top priority, ahead of taking an overseas trip or domestic holiday, paying off debt or spending on home renovations.

South Africans responded well to statements gauging basic money management, with 88% believing ‘they should regularly save a portion of their monthly income’ and the same percentage agreeing that they have the ‘ability and understanding to budget day to day finances’. Just over two-thirds (72%) agree that it is prudent to have between three and six months’ cash savings in case of emergency, while 69% claim to keep track of their spending on a weekly/monthly basis.

“Overall, the research results reveal that South Africans are largely aware of the need for careful money management,” Panaino says. “They understand the importance of budgeting and saving, and are prepared to cut back on spending should they be met with an unforeseen loss of income. This suggests that many consumers are still actively taking part in their financial planning and that they are committed to setting funds aside to look after their financial futures,” he concludes.

Looking further afield into Africa

Consumers in Kenya, Nigeria and Morocco were included in this year’s Survey of Consumer Purchasing Priorities: Money Management, resulting in the following key findings:

• A significant 92% of respondents across all four African countries agreed with the sentiment that they should regularly save some of their income.
• As highlighted, 47% percent of South African respondents said they were saving for their retirement. This is compared to only 24% of Kenyans and 31% of both Nigerians and Moroccans have the same plan.
• In South Africa, 35% of respondents said that they save through investments. Only 31% of Moroccans said the same. Kenyans (87%) and Nigerians (84%) seemed more likely to save through investing.
• An average 92% of respondents surveyed in the four African countries agreed that they have the ‘ability and understanding to budget their day to day finances’. This sentiment is strongest in Kenya (99%), followed by Nigeria (97%), South Africa (88%) and then Morocco (83%).
• Only 42% of Moroccans regularly monitor their investments, in comparison to 45% of South Africans, 87% of Kenyans and 92% of Nigerians.

MasterCard and its Suite of Research Properties

The MasterCard Worldwide Index suite in Asia/Pacific, Middle East and Africa includes the long-running MasterCard Worldwide Index of Consumer Confidence, as well as the MasterCard Worldwide Index of Women’s Advancement, Online Shopping, Index of Financial Literacy, and the Index of Global Destination Cities. In addition to the Indices, MasterCard’s research properties also include a range of consumer surveys including Ethical Spending and a series on Consumer Purchasing Priorities (covering Travel, Dining & Entertainment, Education, Money Management, Luxury and General Shopping).

MasterCard also regularly releases Insights reports providing analysis of business dynamics, financial policies and regulatory activities in the Asia/Pacific, Middle East and Africa region. Over 80 Insights reports have been produced since 2004.

The MasterCard Indexes and Insights reports are available at www.masterintelligence.com

About MasterCard Worldwide

MasterCard (NYSE: MA), www.mastercard.com, is a technology company in the global payments industry. We operate the world’s fastest payments processing network, connecting consumers, financial institutions, merchants, governments and businesses in more than 210 countries and territories. MasterCard’s products and solutions make everyday commerce activities – such as shopping, traveling, running a business and managing finances – easier, more secure and more efficient for everyone. Follow us on Twitter @MasterCardNews and @MasterCardMEA, join the discussion on the Cashless Conversations Blog and subscribe for the latest news.
 

Contacts

Nicky James, Tribeca Public Relations, nickyj@tribecapr.co.za, 011 208 5527

Gina de Villiers, Tribeca Public Relations, ginad@tribecapr.co.za, 011 208 5528

Tweet: #costofcash: Germans pay EUR 150 per year http://bit.ly/11GKMRQ  

Brussels (June 12, 2013) – At a conference in Brussels, the Research Center for Financial Services at Steinbeis University in Berlin today presented its findings on the ‘Cost of Cash.’ The study found that each German citizen pays around EUR 150 per year to keep the cash system running.

The study, presented by Professor Jens Kleine, is the first comprehensive investigation into the costs associated with cash in Germany. Professor Kleine and his team found that the total private cost of cash in Germany is EUR 12.5 billion per year – a cost which the banking and retail sectors pick up and partly pass onto individual consumers. Cash costs add up throughout the whole cash cycle: from production costs, transportation costs, insurance costs, cash handling, security and through to losses of interest. With EUR 6.7 billion, the largest burden is carried by merchants, followed by banks with EUR 4.5 billion and consumers with EUR 1.3 billion.

Javier Perez, President of MasterCard Europe, commented: “The use of cash, which is still significant in many countries around Europe, comes at a high cost to the economy.  We believe that innovation in electronic payments not only delivers greater transparency of transaction but, as we see from today’s report, creates a more cost effective way of paying for all stakeholders.”

Card payments were found to reduce the cost of transactions to all parties as many of the costs associated with cash are not applicable. The study explores a number of ways countries can reduce cash payments including implementation of limits for cash transaction amounts that exceed a specific level and banning/ limiting cash payments for cigarettes and other cash-based vending machines.

Speaking about creating an efficient payment system, Professor Kleine said: “In order to reduce the cost of the payment system, individuals need to understand the real costs of the different payment methods.”

This study not only shows the cost of cash but highlights the possible savings and economic benefits if card payments are increased. Effectively communicating the cost of cash message, will help reduce the economic costs of payment processes and the payment system. 

- ENDS –

About Steinbeis University

With more than 5,000 students, Steinbeis University Berlin is one of the largest private universities in Germany and part of the Steinbeis Foundation of the Federal State of Baden Württemberg.

About MasterCard

MasterCard(NYSE: MA),www.mastercard.com, is a technology company in the global payments industry. We operate the world’s fastest payments processing network, connecting consumers, financial institutions, merchants, governments and businesses in more than 210 countries and territories. MasterCard’s products and solutions make everyday commerce activities – such as shopping, traveling, running a business and managing finances – easier, more secure and more efficient for everyone. Follow us on Twitter @MasterCardNews, join the discussion on the Cashless Conversations Blog and subscribe for the latest news.

Finally, for some interesting facts and figures, have a look at the MasterCard by the numbers video on Youtube.

PURCHASE, NY – (June 11, 2013) – U.S. retail sales (excluding auto) rallied in May to a 4.4 percent year-over-year increase, according to the latest SpendingPulse™ report, a macro-economic indicator that tracks national retail sales, released today by MasterCard Advisors. This is a positive boost compared to the lift seen in April and well above the average growth rate for Q1 2013 (which saw 2.6 percent year-over-year growth).

 For more on this report, please download the full press release.

About MasterCard

MasterCard (NYSE: MA), www.mastercard.com, is a technology company in the global payments industry. We operate the world’s fastest payments processing network, connecting consumers, financial institutions, merchants, governments and businesses in more than 210 countries and territories. MasterCard’s products and solutions make everyday commerce activities – such as shopping, traveling, running a business and managing finances – easier, more secure and more efficient for everyone. Follow us on Twitter @MasterCardNews, join the discussion on the Cashless Conversations Blog and subscribe for the latest news.

Tweet: #MasterCard launches training centre in #Nairobi, #Kenya to enhance payments industry skills development http://bit.ly/ZEmmrq

Nairobi, Kenya, 11 June 2013 – MasterCard announced today the launch of a brand new training facility in Kenya to empower the financial services ecosystem with knowledge on various aspects of cashless payments in order to boost acceptance readiness in the region.

The training centre, located at MasterCard’s East Africa offices in Eldama Park, off Peponi Road, will be used for training purposes for merchants, retailers and other partners. The facility, which can seat up to 40 people at a time, will be used to host project meetings to enhance awareness of global payments industry best practice in issuance of cards, retail payments and technical aspects of cashless transactions. In addition, the training centre will facilitate workshops to address issues that are important to stakeholders in the payments industry including: the latest MasterCard payment technologies, EMV migration, data security standards, customer service trends and retailer best practices.

Speaking at the inauguration ceremony of the MasterCard Training Centre, Michael Miebach, President, MasterCard Middle East and Africa said: “As we make major strides towards a world beyond cash in Kenya, we are helping secure a better, more inclusive payments landscape for everyone. This training facility demonstrates our commitment to harnessing our global technology and expertise for the betterment of the financial industry and electronic payments in Kenya and East Africa.”

Since the launch of its East Africa headquarters in Nairobi in 2012, MasterCard has been working with various payments industry players to introduce a suite of products and services that are transforming the payments industry landscape. Some of these include partnerships to roll out EMV, PayPass™-enabled cards, MPOS technology and other payment streams that demonstrate cognizance for Kenya’s demand for cutting-edge technologies.

The Kenya Credit and Debit Card Association is among the partners that MasterCard will house within the new training centre. KCDCA has been offered access to use the facility to host various project meetings and workshops for the next six months.

In addition, the MasterCard training centre will host the Kenya Bankers’ Association, who will use the facility to conduct sessions on migration to the more secure EMV Chip and Pin standards. KBA will host member banks, retailers, and other partners in exercises aimed to boost preparedness for adoption and migration of financial services to EMV standards across the industry.

About MasterCard

MasterCard (NYSE: MA), www.mastercard.com, is a technology company in the global payments industry. We operate the world’s fastest payments processing network, connecting consumers, financial institutions, merchants, governments and businesses in more than 210 countries and territories. MasterCard’s products and solutions make everyday commerce activities – such as shopping, traveling, running a business and managing finances – easier, more secure and more efficient for everyone. Follow us on Twitter @MasterCardNews, @MasterCardMEA join the discussion on the Cashless Conversations Blog and subscribe for the latest news.

Media Contacts

Lorraine Onduru                                             Wanjiru Gaitho

Hill+Knowlton Strategies                               Hill+Knowlton Strategies

lorraine.onduru@hkstrategies.co.ke               wanjiru.gaitho@hkstrategies.co.ke

+ 254 700503567                                            +254723355600

Washington, D.C. and Purchase, NY (June 11, 2013) – Today, the Center for Financial Inclusion at Accion and MasterCard released Growing Income, Growing Inclusion: How Rising Incomes at the Base of the Pyramid Will Shape Financial Inclusion. The report shows that rising incomes among the world’s poor and near-poor are creating a vast new market for financial services. These shifts highlight the next challenge on the path to financial inclusion – designing ways to successfully serve new and untraditional banking clients.

Key findings of the report include:

• Incomes are rising worldwide among people at the base of the pyramid. The bottom 40 percent of the population in low- and middle-income economies now commands about $3 trillion in annual income. By 2020, that figure (in real dollars) will rise to $5.8 trillion per year.
• A new income class is emerging – the “vulnerable class,” which includes people with incomes in the range of $4 to $10 per day. People in this group, while not yet financially secure, have increasing disposable income and are likely to “outgrow” the informal financial services they have used in the past.
• Financial services providers are starting to reach into these new markets. There are many possible “on-ramp” products to introduce people to formal financial services, but the process of transition to a broader range of products is not yet well understood.
• New and vulnerable customers need special care. They remain vulnerable to fraud, scams, and over-indebtedness, so consumer protection and financial education are critical to ensuring that first experiences with financial services are positive ones.
• Poverty persists globally, especially in Africa and South Asia, despite the global rise in income. Advances in technology and falling costs offer the chance to bring financial services to even poor and remote populations.

“Successfully serving this global class of new and vulnerable consumers requires adapting to their unique characteristics,” said Elisabeth Rhyne, Managing Director of the Center for Financial Inclusion at Accion and a co-author of the report. “The most effective policies will allow the private sector to create new delivery systems and products while educating and protecting clients who are using formal financial services for the first time.”

“The Mapping the Invisible Market initiative helps us better understand local markets, specifically the shifting demographics and rising income levels, which enable us to create innovative solutions,” said Tara Nathan, Executive Director, Public Private Partnerships at MasterCard. “These insights are critical to MasterCard’s engagement in developing countries like Nigeria, where we recently launched a pilot program to roll out 13 million National Identity Cards with prepayment functionality.”

This is the second report in a series from Mapping the Invisible Market, a research initiative examining how shifts in demographics, income, and other factors provide an opportunity to expand access to financial services at a time when over 2.5 billion people are still excluded from the formal financial system. Mapping the Invisible Market is part of the Financial Inclusion 2020 project, which aims to promote financial inclusion worldwide thereby improving lives, unlocking opportunity, and increasing the resilience of our shared global economy.

MasterCard is also funding the Mapping the Invisible Market interactive website, which features additional research from the report including infographics and interactive data visualizations. Visitors can explore financial inclusion data, demography, economics and development by country or region, and they can create and share their own data visualizations.

###

About MasterCard

MasterCard (NYSE: MA), www.mastercard.com, is a technology company in the global payments industry. We operate the world’s fastest payments processing network, connecting consumers, financial institutions, merchants, governments and businesses in more than 210 countries and territories. MasterCard’s products and solutions make everyday commerce activities – such as shopping, traveling, running a business and managing finances – easier, more secure and more efficient for everyone. Follow us on Twitter @MasterCardNews, join the discussion on the Cashless Conversations Blog and subscribe for the latest news.

The Center for Financial Inclusion at Accion (CFI) helps bring about the conditions to achieve full financial inclusion around the world. Constructing a financial inclusion sector that reaches everyone with quality services will require the combined efforts of many actors. CFI contributes to full inclusion by collaborating with sector participants to tackle challenges beyond the scope of any one actor, using a toolkit that moves from thought leadership to action.

About Financial Inclusion 2020

FI2020 aims to build a movement that mobilizes stakeholders around the globe to achieve full inclusion using the year 2020 as a focal point to galvanize action. The project engages diverse players who can expand financial inclusion through two initiatives: the research initiative Mapping the Invisible Market and a Roadmap to Financial Inclusion which will be carried out through a consultative process leading to a global forum in October 2013, with the ultimate goal to advance the agenda through coordinated, effective, collaborative actions to be undertaken by global partners, both public and private.

Media contacts:

Andrea Snyder
Accion
Tel. +1 617-625-7080 Ext. 1010
asnyder@accion.org
www.accion.org

Marcy Cohen
MasterCard Worldwide
Tel. +1 914-249-2214
marcy_cohen@mastercard.com
newsroom.mastercard.com