MasterCard 2010 Annual Report Download - page 5

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Dear Fellow Shareholders:
Since taking on the position of president and CEO, I’m often asked what I like best
about MasterCard. The answer is simple. I’m excited about the way our products
and solutions benefi t people and businesses all around the world — and the integral
part we play in people’s daily lives.
The fact is that whether you’re a young, urban professional working in London, a retired teacher living in Bangkok,
or a government seeking greater effi ciency, our products and solutions make life easier for you. They offer greater
convenience, security and effi ciency than cash or checks ever could. What we do as a company allows us to play
a central role in facilitating global commerce and all of its positive aspects.
A Strong Year
When I look back on 2010, I see a year in which we made great progress in strengthening our company and
our position in the marketplace. I thank our employees for this. Due to their commitment — and the support of
customers, merchants, partners and our cardholders — 2010 was another strong year for our company. We
posted solid gains in key fi nancial metrics.
At the same time, we expanded our presence in new areas and formed mutually benefi cial relationships with
fi nancial institutions, merchants, government agencies, transit authorities and telecom companies. This included
acquisitions and business partnerships that support our strategy to grow, diversify and build our business.
One example is our acquisition of DataCash Group. This strategic move extends our e-commerce merchant
gateway capabilities from Asia and Australia to European countries and other markets worldwide. Another
example is our agreement to purchase the prepaid program management business of Travelex. This transaction
will enable MasterCard to play a greater role in shaping the future of prepaid, especially in high-growth markets
and in the attractive cross-border payments space.
As we look to the future, our biggest growth opportunity lies in replacing cash and checks. That’s where
electronic payments — and MasterCard — offer a huge advantage.
Executive Letter
More than four billion people around the world currently
have a mobile phone. Or, as we see it, more than four
billion people carry a personal mobile payment device.
That’s an exciting prospect for us because we already have
more than 20 mobile phone initiatives under way in markets
around the world.
Recently, we teamed up with numerous mobile carriers, handset
manufacturers and fi nancial institutions globally to launch several
near fi eld communication payment trials. These initiatives — along
with PayPass contactless payment tags, person-to-person money
transfer services and smartphone apps — are paving a path to help
revolutionize the mobile commerce experience for consumers.
Thanks to joint ventures with Smart Hub and Telefónica,
MasterCard payment solutions are being further mobilized for
consumers around the world. And, earlier this year, in partnership
with airtel Africa and Standard Chartered Bank, we launched
the world’s fi rst virtual card that operates off a mobile wallet.
Innovations like these are helping to empower billions of mobile
phone users who don’t have bank accounts or who prefer the
convenience of instant access within the palm of their hands.
With MasterCard mobile payment solutions, both banked
and unbanked mobile consumers have access to a wide range of
payment options that provide greater convenience and security
over cash. And, the benefi ts don’t stop with retail purchases and
bill payments. Mobile phone users can also send funds, safely and
securely, to other people with MasterCard MoneySend through
their participating bank.
In addition, MasterCard apps like Savings Locator in Italy and
Priceless Maker in Japan help consumers fi nd special deals or
manage their budgets.
There’s no doubt that in markets around the world, consumers are
dialing up the MasterCard Advantage for mobile payment solutions.
Making
payments mobile
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