EFTA02686059.pdf

KUAIPAY, A PAYMENT TERMINAL anlig NETWORK OPERATOR kuaipay.com BACKGROUND Kuipay built and operates a payment terminal network for Beijing Municipal Administration and Communication Card Ca, Ltd, a.k.a. Beijing YKT, a state owned company that is WHICH RETAILER responsible for transportation card issuance, distribution and financial settlements. MERCHANTS Beijing YKT was established as a government initiative, aiming to improve local residents' CURRENTLY USE quality of life, and add convenience to their day to day activities. KUAIPAY SERVICES? Beijing YKT has issued more than 30 million cards to date. Beijing YKT considers Kuaipay Currently more than 500 retail as its key strategic partner for achieving the objectives set by Beijing Municipality. merchants have deployed Kuaipay Kuaipay is a Vesta-invested Chinese company payment terminals. Select merchants include: WHAT KIND OF SERVICES DOES KUIPAY PROVIDE? • Small consumption payment processing Walmart * • Small consumption top.up service • Mobile phone airtime top-up service • Store value card payment processing • China Merchant Bank Acquiring Kuaipay's payment terminals are also certified to process credit cards with Visa, MasterCard and China UnionPay logos. VISA Vo VALUE CHAIN PARTICIPANTS ► Card Distributor ?Payment Card Issuer Merchant KFC, Watsons Consumer Beijing YKT Terminal HandiCard Network Walmart MOE Hua Rui Fu Da en,„. Eli !Cl/ "P!'..!:. EFTA_R1_02010912 EFTA02686059  Other WHERE DO CONSUMERS USE KUAIPAY SERVICES? As shown in the diagram, super markets rank No. 1 in consumer use of Kuaipay's service, followed by Super Markets convenience stores, bakery shops, department stores and restaurants. Convenience Stores KUAIPAY'S EXPANSION PLAN EXPECTED CITY POPULATION TERMINALS Kuaipay launched its Dalian operations and payment terminal networks in 2010. In the DEPLOYED next lew years, Kuaipay plans to expand from current location and position of strength throughout China. Primary targets will include northern cities around Beijing and other provincial capitals. Beijing 18 M 20,000 See table at left for reference. Chongqing 30 M 20,000 Dalian 6M 10,013O ABOUT VESTA Headquartered in Portland, Oregon, with operations in China and Europe, Vesta has been Harbin 9.9 M 10,00O a pioneer and worldwide leader in electronic payment solutions since 1995. Vesta was the first company to successfully build and deploy non-retail electronic payment solutions Chengdu 12 M 15,000 for the telecommunications industry. Vesta delivers innovative payment solutions to a variety of verticals including financial services and e•commerce, and is recognized today Xian 8.3 M 10,000 as a global leader in payment technologies, data and security compliance and fraud management. Wuhan 8.3 M 10,000 Kunming 6.2 M 10,000 CORPORATE OFFICES 11950SW Gardm PI ASIA 6f Tower A, Ocean Expects EUROPE Finnabair Rosiness Park OmiMOIONVI,1(0CatW Portland. OR 91223-1248 USA No. 66 /Caramel Dundalk. County tooth Almplovered Vesta Corporation TN: .1 503.190.2500 (haoyang District. leipng Republic of Iceland World Neadquarton Fax: .1 503./90.2525 100037 P.R. China let .353 (0)42 939 4600 infoOtutIvesia.cars Tel: •44 10 8446.6611 rat .353 10142 939 4601 ovnabostvnra.com infachinalltrustwsta.com info.i/elandliOustnesta.com EFTA_R1_02010913 EFTA02686060