Market Overview

Western Union Digital International Money Transfers in South Korea's kakaobank Mobile Banking App

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Western Union Integrates Cross-Border Functionality in kakaobank's
Mobile App

The
Western Union Company
(NYSE:WU), a leader in cross-border,
cross-currency money movement, today announced an agreement with kakaobank,
the largest mobile-first bank in South Korea, to offer digital
international money transfers to customers in Korea via kakaobank's
mobile app.

This agreement marks Western Union's foray in the wider North Asia
region, integrating its cross-border functionalities with kakaobank's
mobile banking app for customers in South Korea.

Once activated, over 6,000,000 customers using kakaobank's mobile app
can connect to Western Union's over half a million agent locations in
more than 200 countries and territories. kakaobank customers will be
able to send and receive international money transfers, directly from
their mobile phones, 24/7.

"With the increased popularity of mobile banking, providing customers
with convenient digital money transfer services in addition to retail
services, is key to serving their needs," said Odilon Almeida, Western
Union Global Money Transfer President. "We are delighted to work with
kakaobank to bring digital, cross-border money transfer services to
customers in Korea and those wishing to send money to Korea from around
the world."

According to Pew Research Center, Korea stands out as the most digitally
connected country, with 96%
of adults reporting internet use
1 and about 94%
adults owning a smartphone
2.

"The convenient and reliable flow of remittances is important for any
country, and we are delighted to be collaborating with Western Union to
provide this digital capability to our vast network of customers and
enhance their experience with us. Western Union's brand strength through
its network size and reach, convenience and reliability - is well known
and, we are proud to be working with them to expand our portfolio of
service offerings to our customers," said Ho Young Yun, CEO, kakaobank.

Western Union has been providing money transfer services in Korea since
2001 and has more than 4,300 agent locations in the country. With this
addition of mobile service, customers in Korea will have a choice
between digital and retail money transfer services.

About Western Union

The Western Union Company (NYSE:WU) is a global leader in cross-border,
cross-currency money movement. Our omnichannel platform connects the
digital and physical worlds and makes it possible for consumers and
businesses to send and receive money and make payments with speed, ease,
and reliability. As of March 31, 2018, our network included over 550,000
retail agent locations offering Western Union, Vigo or Orlandi Valuta
branded services in more than 200 countries and territories, with the
capability to send money to billions of accounts. Additionally,
westernunion.com, our fastest growing channel in 2017, is available in
more than 40 countries to move money around the world. In 2017, we moved
over $300 billion in principal in nearly 130 currencies and processed 32
transactions every second across all our services. With our global
reach, Western Union moves money for better, connecting family, friends
and businesses to enable financial inclusion and support economic
growth. For more information, visit www.westernunion.com.

About kakaobank

KakaoBank of Korea Corp. (Co-CEOs Yan Lee ㆍ Daniel Yun, kakaobank), the
largest mobile-first bank in South Korea, started the banking service in
July 2017 with a business slogan of "same but different bank." With
cutting-edge ICT, kakaobank provides banking services to our valued
customers in less costly, simpler and faster ways. Via complete
non-face-to-face channel with smartphones, customers of kakaobank can
enjoy our entire services including opening accounts and getting loans
without restrictions of where they locate and when they use the banking
app. As a result, kakaobank recorded 3,000,000 accounts, deposit balance
of KRW 2 trillion and loan balance of KRW 1.5 trillion within the first
month after the business launched. As of the end of June 2018, kakaobank
booked 6,000,000 accounts, deposit balance of KRW 8 trillion and loan
balance of KRW 6.8 trillion. kakaobank's paid-in capital is KRW 1.3
trillion after two rights issues. Korea Investment Holdings, one of the
biggest financial groups in South Korea, is the largest shareholder of
kakaobank with a 50% stake and Kakao, South Korea's best ICT business
platform, is the second largest shareholder with an 18% stake. Also, KB
Kookmin Bank (10%), Netmarble (4%), Seoul Guarantee Insurance (4%),
Korea Post (4%), eBay (4%), Tencent (4%) and Yes24 (4%) are kakaobank's
shareholders.

WU-G

1 http://www.pewglobal.org/2018/06/19/social-media-use-continues-to-rise-in-developing-countries-but-plateaus-across-developed-ones/
2
http://www.pewglobal.org/2018/06/19/2-smartphone-ownership-on-the-rise-in-emerging-economies/

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