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Discover and NAPAS Announce Deal to Increase Global Footprint and Acceptance

December 20, 2017

RIVERWOODS, Ill. & HANOI, Vietnam--(BUSINESS WIRE)-- DFS Services LLC, a wholly owned subsidiary of Discover Financial Services, a leading direct bank and payments services company, and National Payments Corporation of Vietnam (NAPAS), the domestic payment network in Vietnam, today signed an agreement to form a strategic alliance. The deal will allow acceptance of NAPAS Global Cards outside of Vietnam on the Discover Global Network, which includes Discover Network, Diners Club International and PULSE. The agreement also opens acceptance for Discover, Diners Club and affiliate network cards on NAPAS network in Vietnam.

The Discover Global Network includes 42 million merchant acceptance locations and over 1.9 million ATM cash access locations across 185 countries and territories. The network includes alliance partnerships in China, Europe, India, Japan, the Middle East, Puerto Rico, Serbia, South Korea and Turkey, among others.

NAPAS, owned by the State Bank of Vietnam and major banks in Vietnam, operates and manages an inter-bank connection system for its 46 member banks in Vietnam. This strategic alliance will expand its card payment services and gain global acceptance while maintaining its newly established NAPAS card brand.

The agreement also allows for the member banks to begin issuing NAPAS Global Cards as part of Discover’s Global card program. The cards will be issued by NAPAS and run on their network domestically, while Discover Global Network will be enabling global acceptance for the card.

Vietnam has a growing economy with an increasing level of disposable income. In 2017, Vietnam saw 7.3 million international outbound tourists, the majority of which were traveling for leisure and personal purposes. Tourism in Vietnam is also growing as its inbound visitors hit 9.7 million this year.1

“This alliance with NAPAS demonstrates our commitment to continuing to leverage our payment infrastructure to achieve increased global acceptance for both Discover Global Network and domestic networks like NAPAS,” said Joe Hurley, senior vice president and head of global business development for Discover. “The agreement complements our strategy of creating worldwide alliances that provide consumers with more choice in payments on a global scale.”

About NAPAS

The National Payment Corporation of Vietnam (NAPAS) was established in 2004 and renamed from the Vietnam National Financial Switching Joint Stock Company (Banknetvn) as from 04/02/2016 on the basis of merging and acquisition with the Smartlink Card Services Joint Stock Company with an aim to build up a unified card switching center under the direction of the Prime Minister and the State Bank of Vietnam.

As having developed and completed the national retail payment infrastructure, NAPAS has been licensed by the State Bank to provide financial switching services and electronic clearing services in Vietnam. The largest shareholder of NAPAS is the State Bank of Vietnam, which accounts for 49% of the charter capital of the corporation.

NAPAS is currently administering and operating a switching system interconnected more than 17,000 ATMs, 270,000 POS machines, and 300 electronic payment companies in the fields of aviation, telecommunication, hotel industry and tourism, and serving over 100 million cardholders of 46 domestic and international commercial banks operating in Vietnam.

About Discover Global Network

Discover Global Network, the global payments brand of Discover Financial Services, processes millions of cardholder transactions each day. With industry expertise, innovative technology and a closed-loop infrastructure, Discover Global Network provides effective, customized solutions that evolve as needs change. Discover Global Network has alliances with more than 10 payments networks around the world, and is led by three Discover businesses: Discover network, with millions of retail and cash access locations; PULSE, one of the nation’s leading ATM/debit networks; and Diners Club International, a global payments network with acceptance in more than 185 countries and territories. For more information visit www.discovernetwork.com.

About Discover

Discover Financial Services (NYSE: DFS) is a direct banking and payment services company with one of the most recognized brands in U.S. financial services. Since its inception in 1986, the company has become one of the largest card issuers in the United States. The company issues the Discover card, America's cash rewards pioneer, and offers private student loans, personal loans, home equity loans, checking and savings accounts and certificates of deposit through its direct banking business. It operates the Discover Network, with millions of merchant and cash access locations; PULSE, one of the nation's leading ATM/debit networks; and Diners Club International, a global payments network with acceptance in more than 185 countries and territories. For more information, visit www.discover.com/company.

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Source: Discover Financial Services

NAPAS

Ms. Duong Nguyen

Email: duongnh@napas.com.vn

Phone number: 84 243 936 1818 (ext 146)

or

Discover/Diners Club International

Sarah Grage Silberman

sarahgragesilberman@discover.com

1-224-405-6029

@Discover_News