First Data to Acquire Korea Mobile Payment Services; Acquisition of One of Korea's Leading VAN Service Providers Builds a Foundation for First Data's Expansion in Asia

Under this agreement, First Data will acquire the majorityshareholding in KMPS and lead the operations in the Korean marketalong with the KMPS management team, offering the full portfolio ofFirst Data's commerce and payment services to customers across thecountry.

A landmark move for First Data in the Korean payment servicemarket, this strategic acquisition is another step in expanding FirstData's presence in the fast-growing Asian market. First Data sees thisacquisition as further building its presence in other North Asiancountries and the wider Asia Pacific region, and comes on the heels ofa recently announced long-term managed services agreement with DBS inSingapore. The transaction also complements First Data's existing datacenter operations in Shanghai.

Mr. Nigel Lee, President of China & North Asia of First DataInternational, said: "South Korea is a fast-growing credit card marketwith huge potential considering it is one of the top five countries interms of transaction volume in the world with almost 100% merchantacceptance of payment cards. KMPS' well-established merchant portfolioand transparent management philosophy are excellent complements to ourcurrent Asia business."

Pam Patsley, president, First Data International, said: "We areexcited about our expansion in Asia. It demonstrates our long-termcommitment to Korea and the region and complements our existing datacenter and processing operations in Shanghai. With KMPS, we willprovide Korean merchants and financial institutions with value-added,world-class commerce and payment services."

Established in 2000, KMPS is a leader in Korea's VAN servicemarket, providing financial payment services including VAN servicesand terminal interface services to about 250,000 local merchants withfocus on small and medium-size customers.

"We are glad that First Data has selected KMPS as its localpartner for entering the South Korean market. By combining KMPS'extensive customer network in the domestic VAN market with FirstData's global expertise in the electronic commerce and payment fields,the company will provide a diverse range of service and productofferings to financial institutions that bring customers significantvalue and better operational efficiency," said Mr. Douglas Guen, CEOof KMPS.

About First Data

First Data Corp. (NYSE:FDC) is a leading provider of electroniccommerce and payment solutions for businesses and consumers worldwide.Serving 4.1 million merchant locations, 1,500 card issuers andmillions of consumers, First Data powers the global economy by makingit easy, fast and secure for people and businesses around the world tobuy goods and services using virtually any form of payment. Thecompany's portfolio of services and solutions includes credit, debit,private-label, smart and stored-value card issuing and merchanttransaction processing services; money transfer services; moneyorders; fraud protection and authentication solutions; check guaranteeand verification services through TeleCheck; as well as Internetcommerce and mobile solutions. Western Union and its subsidiary,Orlandi Valuta, together make up one of the world's largest moneytransfer networks with approximately 242,000 Agent locations in morethan 200 countries and territories. The company's STAR Network offersPIN-secured debit acceptance at 1.7 million ATM and retail locations.For more information, visit www.firstdata.com.

About Korean Mobile Payment Services (KMPS)

Korea Mobile Payment Services (KMPS) is a leading provider ofcredit card and payment services. Established in July 2000, KMPSoffers a variety of payment services including VAN (Value-AddedNetwork) payment services, Draft Data Capture, mileage services, etc.KMPS provides its payment services to KORAIL, Pizza Hut Korea,T.G.I.F, E-land, SK Telecom, etc. KMPS is a non-listed company with 22sales representative offices, serving 250,000 merchants nationwide.For further information, please visit http://www.kmps.co.kr.

About INICIS

INICIS is a leading electronic payment service provider in Korea.INICIS was established in 1998 by Mr. Douglas Guen when electronicpayment was still a new concept in the market. It successfullyintroduced the electronic payment system to the market and was listedon the KOSDAQ in 2002. INICIS' annual transaction volume currentlyaverages 1.2 trillion won and it has secured over 10,000 merchantslocally, solidifying its position as the market leader. Major clientsare Yahoo/Overture Korea, Microsoft, SK Communications, Sony Korea, NCSoft, etc. INICIS' business encompasses electronic payment services,Internet and e-commerce, software operation, etc. Its affiliates areInitech and KVP, security solution and service providers.

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