NYCE and PayNet NetworksYour Driving Force for Payments Value and Innovation

April, 2017 Manuela Dragan, Vice President Product Support

NYCE Payments Network Ecosystem

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ATM and POB• 500,000+ ATMs globally and

growing (~90% of US ATM coverage)

• Surcharge-Free Programs• Point of Banking (POB) Program

POS• Ubiquitous acceptance at PIN-

accepting locations in the U.S. (2M+) and growing footprint in PINless/Signature

• Coverage in all 50 States• E-Commerce Solution

Mobile & Beyond• First mobile solution in 2009• Mobile Payment Transactions

(2012)• Tokenization (Apple Pay, etc.)• Cardless Cash

On-Demand (PINless)• Direct Bill Payment• Person-to-Person (P2P – Credits

and Debits)• Account Authentication• Prepaid Card Loading

Risk Mitigation• Unique RMS Score• FICO® Card Alert Service• 24x7 Case Management • CVx Verification • Authorization Blocking • Custom Rules

NYCE Strategic Imperatives

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Provide Economic Value for Network Constituents

• Favorable interchange/fee structure over other domestic networks and Visa®/ MasterCard®

• Provide new sources of value and revenue

Deliver Innovations balanced with third party

support

• Mobile wallet and purchases• Cardless Cash ATMs• PINless purchase transactions• Surcharge-free alternative• PayNet™ integration• Support for EMV, Apple Pay,

tokenization, other mobile wallets

Represent our clients interests in the industry and

with their consumers

• NYCE/FIS has played a leadership role in multiple groups to help shape the industry

• NYCE is a strong advocate of consumers viewing their financial institution deposit account as the center of their payments universe

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Delivering Superior Economic Value

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Superior Economic Value for PIN POS Transactions

• Proven by the Federal Reserve Payments Study, NYCE has a long history of delivering high-interchange income to our participants

For example, for a $40 ticket, NYCE generates 1.2¢ more in interchange revenue per transaction than the second highest network*

• Although merchant routing continues to be extremely price sensitive, NYCE is fully committed to protect interchange revenue– Balance mix of volume and revenue– Leverage other FIS/NYCE assets to gain routing preference

Avg. Interchange* NYCE PULSE Maestro STAR Accel Interlink**

Per transaction $0.29 $0.29 $0.27 $0.22 $0.21 $0.35

Bps of purchase amount 77 74 72 56 48 99

* Federal Reserve Payments Study, 2015. Interchange paid to Exempt issuers** Interlink skewed as it does not include Visa PAVD volumes

NYCE POS vs. V/MC Signature

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• Being that networks have different rates for different merchant categories, the mix of merchant categories will end up affecting the true interchange revenue received by issuers

Source: FIS/NYCE analysis

Higher Net Economic Value in PINless POSExempt Issuers

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$40 Ticket

NYCE PINless POS

Debit MasterCard

Visa Signature

Avg. Blended Interchange1 $0.312 $0.341 $0.348 Transaction Fees and Purchase Volume Assessments2 ($0.036) ($0.062) ($0.078)Fraud Losses3 ($0.032) ($0.045) ($0.045)In-House Support4 ($0.007) ($0.020) ($0.020)Returns5 N/A ($0.015) ($0.016)Net Income - Adjusted $0.237 $0.199 $0.189

Notes: Analysis will vary depending on specific financial institution transaction activity and pricing. Data as of July 2016.

1 NYCE Interchange reflects average Premier Issuer rate at a $40 ticket . Debit MasterCard Interchange projected for signature transactions at published Debit MasterCard rates. Visa Signature Interchange projected for signature transactions at published Visa Signature rate. Interchange projected at the individual transaction level.

2 NYCE fees are POS switch, completion and risk management fees. Debit MasterCard fees (from MasterCard Billing manual) include authorization issuer processing, n etwork access/brand usage and tiered IPM fees, incoming assessment, merchant and debit investment fees. Visa Signature transaction fees and assessments from Visa Billing manual; includes processing guarantee, authorization fees.

3 Sources: The 2013 Federal Reserve Payments Study reported fraud loss rate was 11.32 bps. NYCE PINless estimated to represent 70% of 11.32 bps= 7.94 bps.

4 More support required for chargebacks, exceptions, fraud related queries, customer service, is estimated at Signature: PINless POS ratio of 3:1. Assumed to be a fixed cost.

5 Return Rate is estimated at 4.5% for Visa and MasterCard; both reverse interchange.

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Main Drivers of Higher Net Economic Value PINless POS Transactions

NYCE has lower issuer fees - NYCE does not have brand/volume assessments like Visa/MasterCard resulting in overall lower fees to issuers

NYCE does not reverse interchange on returned purchases – whereas Visa and MasterCard do reverse interchange in those situations

NYCE transactions are single-message*– vs. dual-message from both Visa and MasterCard…single-message transactions generate less in-house support costs than dual-message

* Except from merchants where a tip is applied and Automated Fuel Dispenser (AFD)

Financial institutions benefit from the 18-29% increase in net income per transaction over Visa Debit and Debit MasterCard transactions

Superior Economic Value for ATM transactions

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¹Effective March 1, 2017.²Estimated based on $300 ATM cash withdrawal with surcharge fee

Issuer Expense - Domestic

Interchange NYCE Other

On-premise $0.38 $0.42-$0.46

Off-premise $0.50 $0.50-$0.54

Issuer Expense - International

NYCE Other

X-border fee 40 bps 100-110 bps

Acquirer Expense - Domestic

Acquirer fee NYCE Other

On-premise $0.05 $0.10

Off-premise $0.10¹ $0.13

Acquirer Expense - International

NYCE Other

X-border fee None 40 bps

Issuer expense is 47-51% less with NYCE than with MC and Visa²

Acquirer revenue is 62-82% higher with NYCE than MC and Visa²

NYCE’s Surcharge-Free and Limited Surcharge programsReduce expenses and expand your ATM footprint

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• SUM provides consumers with surcharge-free access at over 7,500 NYCE ATMs

• Financial institutions contribute a percentage of their ATMs to the program; retain surcharge income at highest volume ATMs

• Access to DOLLAR$TOP ATMs at no additional cost

• DOLLAR$TOP provides consumers with limited-surcharge access at thousands of devices, always $1

• ATMs are deployed by PAI and its Market Partners at retail locations; financial institutions do not contribute their ATMs, retaining their surcharge revenue

q Cost-effective programs enable FIs to reduce the expense of surcharge-waiver programs and improve net income

q With the current surcharge fee averaging $2.88*, NYCE’s programs offer FIs the ability to save $1.28-$1.88 per transaction over proprietary surcharge rebate programs

* Source: Bankrate.com 2015 Checking Survey and CNN Money

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Driving Innovation

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Innovation, a Key component of NYCE’s strategic focus, contributing to the evolution of the payments industry

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• First mobile solution in 2009; mobile transactions in 2012• Cardless Cash at ATMs in 1Q 2017, making NYCE the first US payment network to

support mobile phone ATM transactions

• Fully enabled for EMV transactions; licensed US Common Debit AID from V, MC and DFS; licensed Shared AID from DNA

• OBO services available to issuing participants

• Fully enabled for tokenization with major TSPs (V, MC, DFS)• First US Domestic Debit Network to go live with Apple Pay• Enabled for Secure Element (SE), Host Card Emulation (HCE) and Card on File (COF)

models

• Deeply involved in Fed’s Faster Payments initiative • NYCE connectivity enables PayNet access – PayNet: real-time payments network

using DDA account # and RT

NYCE is tightly coupled into FIS Mobile Wallet protecting FIs brand equity with their customers

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Issuer-branded and Controlled Future-proof –

supports QR codes, NFC, Bluetooth

Significant Ad andOffer Revenue Opportunity

Security Focused• No payment credentials on phone or terminal• Two-factor authentication

Significant Cost Advantage, Minimal Time to Market

• Software only on device• Compatible with all smartphones

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FIS Cardless Cash®

“From the Privacy of your phone”

“This product represents the latest in security, convenience and speed in regards to digital

technology in banking.”

Mark A. Turner, President and CEO of WSFShttp://youtu.be/RX0BO6VOABk

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Convenience • Make withdrawals using only your smartphone• Pre-order cash from the app anytime, anywhereSpeed • Spend less time getting cash with withdrawals under 10 seconds• Easily access app with passcode or Touch IDSecurity • Stop fraudsters from stealing PIN numbers and skimming cards• Ensures that sensitive information is never stored on the phone

Cardless Cash™ Value Proposition

NYCE is the Perfect EMV Partner for Issuers

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Fully enabled for EMV transactionsNYCE was switching EMV transactions for years for an international partner prior to U.S. EMV Migration, and today NYCE supports all varieties of EMV transactions available in the U.S Payments industry; PIN POS, Signature, no-PIN/no-Signature, ATM and mobile transactions

Full capabilities to support all U.S. Debit cardsLicensed U.S. Common Debit AIDs from Visa, Mastercard, Discover, the Shared AID from Debit Network Alliance (“DNA”) and even the U.S. Common AID from Union Pay

Full support of EMV options from other PartnersNYCE fully supports the AMEX AID for our ATM acquirers, the international Union Pay AID for our ATM Acquirers, and the Interac AID for our Merchant Acquirers

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First U.S. Domestic Debit network to go live with tokenized transactions

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2014

20152016

Oct - Apple Pay Announcement

Oct – NYCE Updates ISO Specs and Mandates Issuer Support by April 2015

Dec – NYCE live with Apple Pay using Visa’s TSP

Mar – NYCE live with Apple Pay using MC’s TSP

Sept - Samsung & Android Pay launched in US

Oct- NYCE supporting all commercially viable wallets through SE and HCE

Q3 – NYCE live with DISCOVER TSP

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PayNet leverages real-time authorization to provide good-funds in alignment with the Fed

ACH Benefits EFT Strengths PayNet Value

PayNet combines the best features of ACH and EFT into one real time network

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PayNet Value Proposition and Roadmap

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§ PayNet real-time payments are already integrated into NYCE, all PayNet capable NYCE issuers are already enabled for PayNet

§ There are currently 925 financial institutions enabled for PayNet§ Rules and standards are aligned with the Fed’s Faster Payments

initiative§ FIS continues to be a market leader in RTP

Value Proposition

Roadmap

§ Continue to add Faster Payments related messages, support for FIS Partnership with Zelle up next

§ 1000+ financial institutions enabled by end of 2017

§ Support for ISO 20022, the message format used internationally for Faster Payments

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POWERED BY THE PAYNET REAL-TIME NETWORKCONSUMERS AND BUSINESSES CAN MOVE MONEY üDIRECTLY FROM THEIR OWN FI ACCOUNTSüFASTER, EASIER AND MORE SECURELY

PayNet Global Payment Overview

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PayNet Global Payment Ecosystem

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Financial Institutions (FI)

PayNet® global payments (PGP)

Disbursement Providers (DP)

Real-Time Debit of Sender’s Account

Near Real-Time payout to Recipient

(in local currency)

Real-Time USD Transfer to DP

ü Facilitates remittances to 100+ countries

ü Maintains FI markup of fees and FX rates

ü Bank deposit, cash pickup and home delivery options

ü Performs limit check and OFAC screening for FI

ü Provides Reporting for FI and DP

ü Performs AML, OFAC and Limit checking

ü State of the art transaction monitoring

ü Transactions approved within seconds

ü Executes near real-time payout to the recipient

ü SSO from core OLB platform

ü Desktop/Mobile UI or leverage APIs

ü Multi-factor authenticationü Sender receives alert

when remittance is paid to recipient

ü REG E compliant transactions

$

€DEBITSender’s Account

CREDITRecipient’s Account

$ €Payout in

local currency

2-4 hours$

$

L I N K S F I s T O A G L O B A L N E T W O R K O F D I S B U R S E M E N T P R O V I D E R S

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NYCE eCommerce Program

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NYCE partnered with Amazon and developed a solution for eCommerce that is FI-friendly and where the FI is being recognized as the provider of such solution

FI Centric

• The consumers card is not branded with one of the payment card companies

• New customer-relationship value• FI to be recognized as provider of

e-Commerce solution

Merchant Liability

• Merchant-authenticated transaction• Merchant assumes risk

When a customer adds a debit card to their Amazon wallet, the financial institution’s logo

will appear next to the card info

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Preserving Clients Interest

NYCE is a key influencer in major industry payments initiatives in the U.S.

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U.S. Payments Forum• Member of the Steering

Committee since inception

• Key influencer and contributor for the debit solution for EMV where issuers maintained the “network portability” they required

Debit Network Alliance, LLC• Company created by 10

U,S, domestic networks• Served as Chairperson

of the Board of DNA since inception

• Contributing in key discussions at industry level with third parties, regulatory bodies, etc.

Fed Faster Payments• Member of the Fed’s

Faster Payment Task Force

• Contributing in the process of identifying faster payment options for the U.S.

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Looking Ahead

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Expansion of Cardless Cash at ATMs

Faster Payments Expansion

Point of Banking (POB) roll out

Pay with Points(points as a currency in the NYCE Network)

Enhanced Mobile Commerce (i.e. targeted offers)

§ NYCE continues to make significant progress to deliver on its roadmap of new solutions and expanded capabilities

§ NYCE’s product roadmap focuses on innovation that will help participating members provide their customers with an enhanced experience

Out Bound Remittances With PGP

Innovations Roadmap

Manuela DraganTel:201-605-4858

©2017 FIS and/or its subsidiaries. All Rights Reserved. FIS confidential and proprietary information.