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Dom esticP2P Transactions Venm o Square Paypal Google W allet CreditCard Paym entFees 3% NotOffered 2.9%+$0.3 2.9%+$0.3 DebitCard Paym entFees Free Free 2.9%+$0.3 2.9%+$0.3 Bank AccountTransferFees Free NotOffered Free Free rs for FB entering into this market DriversforCrossBorderP2P Transactions Big M arket Very Expensive (Global avg costofRem ittance -8.1% -M axin China - 10.9%) Still largely Offline Very inefficientw ith high cost Value added services

Mobile remittance - FB Payments Revenue

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Page 1: Mobile remittance - FB Payments Revenue

Domestic P2P Transactions Venmo Square Paypal Google Wallet Credit Card Payment Fees 3% Not Offered 2.9%+$0.3 2.9%+$0.3

Debit Card Payment Fees Free Free 2.9%+$0.3 2.9%+$0.3

Bank Account Transfer Fees Free Not Offered Free Free

Drivers for FB entering into this market

Drivers for Cross Border P2P Transactions Big Market Very Expensive (Global avg cost of Remittance - 8.1% - Max in China - 10.9%) Still largely Offline Very inefficient with high cost

Value added services

Page 2: Mobile remittance - FB Payments Revenue

Target Market ( Consider top 10 countries )

TRV ($Bn) FB User Base (Mn) Emigrants TRV/Emigrant

India $70 110 11.4 $6,140China $60 0.9 8.3 $7,229Philippines $25 38 4.3 $5,698Mexico $23 54 11.9 $1,950Nigeria $21 12.6 1 $20,600

Egypt $21 20 3.7 $5,541France $20 30 1.7 $11,471Bangladesh $14 9.2 5.4 $2,611Pakistan $14 15.6 4.7 $2,979Germany $14 28 3.5 $3,914

Top 10 Receipient Nations by Volume($Bn)

Page 3: Mobile remittance - FB Payments Revenue

Target Market ( Consider top 10 countries )

Commission from Remittance services ($Bn) = Sum total of “TRV per Year ($Bn)” from Top 10 Countries. Calculation below shows the growth/adoption of FB remittance ( you can use this as lever and project numbers based on your inputs )

2015 2016 2017 2018Total X-Border P2P Remittance ($Bn) $10 $22 $49 $81

Avg Cost of Remittance ( Below global average ) 7.5% 7.2% 7.0% 6.8%

Commission from Remittance servcie ($Bn) $0.75 $1.59 $3.43 $5.50

Page 4: Mobile remittance - FB Payments Revenue

Target Market ( Consider top 10 countries ) 2015 2016 2017 2018

TRV/Emigrant per yr $6,140 $7,061 $8,121 $9,339

% Growth 15% 15% 15% 15%

Emigrants (Mn) 11.4 11.4 11.4 11.4

FB Adoption Rate 5% 10% 20% 30%

X-Border P2P Payment using FB (Mn)

0.57 1.14 2.28 3.42

TRV per Year ($Bn) $4 $8 $19 $32

TRV/Emigrant per yr $5,698 $6,267 $6,894 $7,584

% Growth 10% 10% 10% 10%

Emigrants (Mn) 4.3 4.3 4.3 4.3

FB Adoption Rate 5% 10% 20% 30%

X-Border P2P Payment using FB (Mn)

0.215 0.43 0.86 1.29

TRV per Year ($Bn) $1 $3 $6 $10

India

Philippines

Page 5: Mobile remittance - FB Payments Revenue

Target Market ( Consider top 10 countries )

TRV/Emigrant per yr $1,950 $2,106 $2,274 $2,456

% Growth 8% 8% 8% 8%

Emigrants (Mn) 11.9 11.9 11.9 11.9

FB Adoption Rate 5% 10% 20% 30%

X-Border P2P Payment using FB (Mn)

0.595 1.19 2.38 3.57

TRV per Year ($Bn) $1 $3 $5 $9

TRV/Emigrant per yr $20,600 $22,248 $24,028 $25,950

% Growth 8% 8% 8% 8%

Emigrants (Mn) 1 1 1 1

FB Adoption Rate 5% 10% 20% 30%

X-Border P2P Payment using FB (Mn)

0.05 0.1 0.2 0.3

TRV per Year ($Bn) $1 $2 $5 $8

Mexico

Nigeria

Page 6: Mobile remittance - FB Payments Revenue

Target Market ( Consider top 10 countries )

TRV/Emigrant per yr $11,471 $12,388 $13,379 $14,450

% Growth 8% 8% 8% 8%

Emigrants (Mn) 1.7 1.7 1.7 1.7

FB Adoption Rate 5% 10% 20% 30%

X-Border P2P Payment using FB (Mn)

0.085 0.17 0.34 0.51

TRV per Year ($Bn) $1 $2 $5 $7

TRV/Emigrant per yr $2,611 $2,820 $3,046 $3,289

% Growth 8% 8% 8% 8%

Emigrants (Mn) 5.4 5.4 5.4 5.4

FB Adoption Rate 5% 10% 20% 30%

X-Border P2P Payment using FB (Mn)

0.27 0.54 1.08 1.62

TRV per Year ($Bn) $1 $2 $3 $5

France

Bangladesh

Page 7: Mobile remittance - FB Payments Revenue

Target Market ( Consider top 10 countries )

TRV/Emigrant per yr $2,979 $3,217 $3,474 $3,752

% Growth 8% 8% 8% 8%

Emigrants (Mn) 4.7 4.7 4.7 4.7

FB Adoption Rate 5% 10% 20% 30%

X-Border P2P Payment using FB (Mn)

0.235 0.47 0.94 1.41

TRV per Year ($Bn) $1 $2 $3 $5

TRV/Emigrant per yr $3,914 $4,227 $4,566 $4,931

% Growth 8% 8% 8% 8%

Emigrants (Mn) 3.5 3.5 3.5 3.5

FB Adoption Rate 5% 10% 20% 30%

X-Border P2P Payment using FB (Mn)

0.175 0.35 0.7 1.05

TRV per Year ($Bn) $1 $1 $3 $5

Pakistan

Germany