WEX EuropeTravel Solutions

January 2014

GTMC Hotel Strategy Group22nd January 2014

• About WEX

• Travel Sector – products and use cases

• Global growth of WEX virtual cards

• Virtual card options

• Sample process

• WEX virtual card benefits

• Global acceptance

• Our clients

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Content

Fast Facts:

• Publicly traded (NYSE: WEX)

• Market capitalisation of ~US$3.5B

• Over 1,400 global employees

• Operations in Europe, USA, Australia and New Zealand

B2B payment focus:

• US$31B in annual commercial payments

• 350,000 customers

• Fleet, prepaid & virtual card payments specialist

• Global leader in virtual card technology

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About WEX

Travel Sector – products and use casesProduct Category Product Credit or

Prepaid Use Cases Business Travel Users Leisure Travel Users

Supplier Payments

Virtual MasterCard Both Paying Hotel /Airline suppliers - improving efficiency

TMC / HBA / Conference & Event Planners

OTA / DMC / Tour Operators / Travel Agents

Virtual Visa Debit Prepaid Paying Low Cost Carriers – avoiding surcharges TMC OTA / DMC / Tour

Operators / Travel Agents

Business Expense

Tour Card Prepaid Tour expenses – removing need for cash / credit cards Tour Operators

Crew Card Prepaid Crew expenses – removing need for cash / credit cards Airlines Airlines

Expense Card Prepaid T&E Expenses – removing need for cash / credit cards SMEs / Corporates

Consumer Travel Currency Card Prepaid Consumer travel currency –

removing need for cash Consumers / Travel Agents / Airlines

©2012 WEX Inc. Confidential and proprietary.

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Global growth of WEX virtual cards

Global leader rapidly with strong and growing presence across Europe

Fast Facts

Wex Virtual card payments 43% 10-year growth (CAGR)

Providing payment solutions to 4 of 5 world’s largest OTA’s

First WEX virtual card transaction took place in 2000

Virtual card optionsBooking Process Post Stay Invoice

Description Unique one time use virtual card number issued to hotels at the time of booking either via booking tool / GDS or direct

Unique one time virtual card number used to settle post stay invoices uploaded from TMC accounting system

Implementation Options

3rd Party Integration – integrated with 3rd party booking solution. Virtual card notification sent via booking platform

Direct Integration – fully integrated to TMC booking platform. Virtual card notification sent via WEX (e-mail /fax)

Manual – use WEX platform to enter user defined fields and generate virtual card number manually

Hotel Level Settlement – group multiple invoices for same hotel and settle using one virtual card number

Invoice Level Settlement – single virtual card number per invoice to be settled with user defined to aid reconciliation

Manual – use WEX platform to enter invoice / hotel payment information and generate virtual card number manually

Key Benefits • Streamlined processes / easier reconciliation

• Increased profitability - reduced costs + new revenue• Streamlined processes / easier reconciliation

• Increased profitability - reduced costs + new revenue

Integration Approach

Integrated with Conferma CSP. Strategic approach to integrate with more partners in line with market demand

Integration is via upload of files direct to WEX platform

USPs • Reservation specific card number with 100% reconciliation

• Settled with hotels in 169 countries / 15 currencies

• Credit and prepaid options

• Ability to control the date that the card can be charged

• Turns supplier payment from cost to revenue stream

• Easier reconciliation vs. BACS / Swift / Cheque

• Only provider offering virtual cards as part of booking process and to settle post stay invoices

• Ability to control the date that the card can be charged

Clients

©2012 WEX Inc. Confidential and proprietary.

Sample process

©2012 WEX Inc. Confidential and proprietary.

Reservation Request

1

TMC

Reservation

2

Request Single Use

CCN

3

Check In

Payment to Hotel with

CCN

5

Reconciliation

7

Hotel processes CCN through their POS and is paid through credit

card network

6

Virtual Payments Platform

Issue Single Use CCN

4

HOTELTravellers

Invoice

Invoice

Hotel Invoices

TMCTMC

Invoices Corporate

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WEX Virtual card benefits

Current challenges Virtual card benefits

Reconciling invoices to reservations & rates with limited data causes mismatch with suppliers

Improve reconciliation with booking data appended to transaction data

Cost of bank fees and managing FX No fees and all FX managed through the standard MasterCard process with no user intervention

Administration of Accounts Payable including supplier bank information

No need to hold supplier bank details or be chased by suppliers for payment

Little or no protection from supplier default Protection offered through the MasterCard programme

Supplier tracking reservations to generate invoices to send to TMC and then chasing payment

Payments are made automatically either at time of booking or post stay with booking reference data

Supplier’s cost of receiving international payments Only fee is the merchant service charge that the supplier’s merchant acquirer charges

Region No of Merchants

Global > 127,000

North America & Caribbean > 57,000

Europe > 31,000

- UK > 4,500

Asia Pacific > 24,500

- Australia 4,558

- Thailand 4,674

- Hong Kong 598

- Singapore 385

- Indonesia 2,466

- New Zealand 1,205

Africa & Middle East >4,000

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Global acceptance

15 billing currencies supported

Settled with hotels in 169 countries

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Our clients

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Thank you

Contact:Ian JohnsonHead of Business PaymentsWEX EuropeIjohnson@corporatepay.co.ukT: +44 (0) 208 080 9385M: +44 (0) 7817 673229

Contact:Tim ChambersBusiness Development ManagerWEX EuropeTChambers@corporatepay.co.ukT: +44 (0) 208 080 9355M: +44 (0) 7867 398180