Mastercard Incorporated · NYSE:MA
Mastercard — Credit Suisse Financial Services Forum 2010
15 slides from Mastercard's conference presentation, Feb 10, 2010
Slide 1: U.S. Market Perspective
Chris McWilton President, U.S. Market February 10, 2010 U.S. Market Perspective Credit Suisse Financial Services Forum 2010 Miami, FL
Slide 2: Forward-Looking Statements
Forward-Looking Statements Today’s presentations may contain, in addition to historical information, forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are based on our current assumptions, expectations and projecti
Slide 3: Operating Environment
Operating Environment • Continued positive secular trends • Benefiting from strength of global business model • Exercising prudent expense management • Maximizing opportunities for future growth February 10, 2010 3
Slide 4: 2009 Contribution to Corporate Performance
U.S. 2009 Contribution to Corporate Performance Revenue GDV Outside Outside U.S. U.S. U.S. U.S. 40% 46% 54% 60% Cards Transactions Outside U.S. Outside U.S. U.S. 34% U.S 51% 66% 49% February 10, 2010 4
Slide 5: Operational Performance Trends
U.S. Operational Performance Trends U.S. Gross Dollar Volume and Growth U.S. Credit vs. Debit Growth Growth $ 280 15.0% 20.0% Debit 15.0% $ 270 10.0% 10.0% $ 260 5.0% 5.0% $ 250 0.0% 0.0% -5.0% Q4'07 Q1'08 Q2'08 Q3'08 Q4'08 Q1'09 Q2'09 Q3'09 Q4'09 $ 240 -5.0% -10.0% $ 230 -10.0% -15.0% -20.0% $ 220
Slide 6: Debit Displacing Cash/Check in the U.S.
Debit Displacing Cash/Check in the U.S. Debit Credit Cards Cards Cash Checks Supermarket / 53% +18% 9% 0% 30% -14% 7% -5% Grocery store Department 48% +18% 17% -1% 29% -14% 5% -3% store Dining out in a 46% +16% 17% 0% 34% -15% 2% -1% sit-down restaurant Gasoline or gas 46% +16% 0% 38% -16% 0% 12% 2%
Slide 7: Current Environment: January U.S. Consumer Spending
Current Environment: January U.S. Consumer Spending Positive Sectors Apparel, luxury, jewelry, electronics, furniture, +1% to +9% airlines, lodging Negative Sectors Department stores, auto parts, hardware, -2% to -3% restaurants Source: MasterCard SpendingPulse, Jan. 2009. A macro-economic indicator
Slide 8: Current U.S. Customer Priorities
Current U.S. Customer Priorities • Shrinking balance sheets, managing write-offs • Complying with Credit Card Act • Seeking to replace lost revenue streams • Optimizing Debit portfolios • Negotiating aggressively February 10, 2010 8
Slide 9: U.S. Market's Priorities 2010
U.S. Market’s Priorities • Debit • Prepaid • inControl • Advisors • E-Commerce Focus for Growth and Profitability February 10, 2010 9
Slide 10: U.S. Market's Priorities 2010
U.S. Market’s Priorities • Debit • Prepaid • inControl • Advisors • E-Commerce Focus for Growth and Profitability February 10, 2010 10
Slide 11: U.S. Market's Priorities 2010
U.S. Market’s Priorities • Debit • Prepaid • inControl • Advisors • E-Commerce Focus for Growth and Profitability February 10, 2010 11
Slide 12: U.S. Market's Priorities 2010
U.S. Market’s Priorities • Debit • Prepaid • inControl • Advisors • E-Commerce Focus for Growth and Profitability February 10, 2010 12
Slide 13: U.S. Market's Priorities 2010
U.S. Market’s Priorities • Debit • Prepaid • inControl • Advisors • E-Commerce Focus for Growth and Profitability February 10, 2010 13
Slide 14: U.S. Market's Priorities 2010
U.S. Market’s Priorities • Debit • Prepaid • inControl • Advisors • E-Commerce Focus for Growth and Profitability February 10, 2010 14
Slide 15: Summary
Summary • Adapting to challenging environment • Staying keenly attuned to customer needs • Focusing more closely on local market requirements • Preparing for eventual economic recovery February 10, 2010 15
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