Dec.24th, 2020 Nankai Electric Railway Co., Ltd. Sumitomo Mitsui Card Co., Ltd. QUADRAC Co., Ltd. Visa World Wide Co., Ltd.

Verification tests of “Visa Contactless payments” and “QR codes” will start at ticket gates at Nankai Railways from Spring, 2021

Nankai Electric Railway Co., Ltd. (Headquarters: city, Osaka, CEO: Teruhiko Achikita), Sumitomo Mitsui Card Co., Ltd. (Headquarters: Minato ward, Tokyo, CEO: Yukihiko Ohnishi), QUADRAC Co., Ltd. (Headquarters: Minato ward, Tokyo, CEO: Masayuki Takada) and Visa World Wide Japan Co., Ltd. (Headquarters: Chiyoda ward, Tokyo, CEO: Stephen Karpin) will start verification tests of entrance/exit by Visa Contactless payments and QR codes at some stations at Nankai Railways from spring, 2021. This is the first attempt in Japan to make entrance/exit possible at ticket gates at stations by Visa Contactless payments.

Cashless payments have been keeping expanding thanks to inbound consumption and the Cashless restoration project. In the new normal with COVID-19, consumers are starting to pay attention to cashless payments, especially touchless payments more than ever. We expect that “Contactless payments” will rapidly become popular from now on, and it would become normal to see cashless payments being used by Expo 2025 Osaka, Kansai. At the section of mobility, which is necessary in normal life, Visa Contactless payments are already normally used in many cities throughout the world to start with Europe. We believe that we can provide a more convenient and safe normal life in Japan too. During this verification test, we are planning to set ticket gates for Visa Contactless payments at some stations at Nankai Railways, which connect “”, the center of South Osaka, “Kansai International Airport”, the entrance of the sky in Kansai, “”, and the World Heritage “Koyasan”. (We will announce about the details of the stations and contents before the test starts.) Once this project starts, not only the convenience of Japanese customers will be enhanced, but also the visitors from foreign countries will be able to conclude all of their payments from transfer to shopping by one Visa Contactless payment card and can enjoy their journey in Japan conveniently.

This project is selected as a support project for the introduction of cashless payments as a part of the establishment of base of the diffusion of Japanese MaaS by the Ministry of Land, Infrastructure and Transport.

１．Outline We will provide 2 types of services during the verification test. “Payment at each time of use”: By placing a credit card/debit card/prepaid card with Visa Contactless payment at the ticket gate when you enter and exit, passage of the ticket gates and the payment will both be completed. You may complete your payment of the fare by your own VISA card each time you ride the train. “Payment in advance”: Purchase discount tickets at the application by Nankai Railways or website, and earn a QR code. By placing the QR code on your smartphone to the ticket gates, the passage of the ticket gates will be completed.

※Visa Contactless payments are available by cards with the mark of Visa Contactless payments. ※Please refer to the enclosure for images of the ticket gates.

【How to use “Payment at each time of use”】

Enter Transfer Exit Payment

Payment by the fixed way of payment you use

【How to use “Payment in advance”】

Purchase discount tickets Place the QR code to the Place the QR code to the Transfer at websites by Nankai ticket gate when you enter ticket gate when you exit

２．Aim ①The improvement of the convenience of customers who use railways By making entrance and exit by Visa card which is used in daily life possible, we expect to make enough preparations for greeting guests including inbound customers at the post-COVID era. ②Correspondence to the new normal using touchless payment services at the with/post-COVID era By making it possible to directly purchase discount tickets by applications and websites in addition to the current ticket counters, we attempt to increase the convenience of customers and reduce contacts. ③Digitalization of discount tickets We attempt to widen our sales and develop MaaS projects by using digital tickets.

3．Period Spring 2021 to the end of 2021 (schedule)

4．The role of each company ＊Nankai Electric Railway Co., Ltd. : Planning and designing the service ＊Sumitomo Mitsui Card Co., Ltd. : Support of introduction of Visa Contactless payments, supply of stera platform ＊QUADRAC Co., Ltd. : Supply of SaaS platform of payment and certification for transportation business operators ＊Visa World Wide Japan Co., Ltd. : Supply of solutions for Visa Contactless payments

Enclosure

●Image of ticket gates

●About Visa Contactless payments Visa Contactless payment is a payment method used in over 200 countries and areas around the world including Japan which uses a security certification technology by international standards. When the user places the card (credit/debit/prepaid) that corresponds to Visa Contactless payments to the reader that corresponds, the payment will be completed speedy and safe without signs nor code numbers. （※¹） 43 percent of face-to-face transactions by Visa are already completed by Contactless payments throughout the world. （※²）。（Info at Sep, 2020） Visa Contactless payments are currently available at transportation systems at London, Singapore, New York and more. Moreover, introduction in more than 500 transportation systems in the world are currently being planned, and it is very likely that the number will increase from now on. Also, at 100 and more countries and areas including London and Singapore, there are achievements that Contactless payment cards have been used, and provides stressless transportation for inbound customers. In Japan, the number of cards that correspond to Cashless payments are over 32 million 300 thousand（※³） at September 2020, and the number of stores where Cashless payments are available are also increasing rapidly including supermarkets, convenience stores and fast food restaurants, and is contributing to the convenience of customers and improvement of operation at our member stores.

※¹ For payments over a certain amount, cards must be inserted and code numbers must be input, or signs are required. ※² VisaNet ※³ These are results by the reports from financial institutions/issuers connected with Visa.

※¹ 一定金額を超えるお支払いは、カードを挿し暗証番号を入力するか、サインが必要となります。 Nankai group is reinforcing efforts of SDGs, ※² ＶｉｓａＮｅｔ and we show the “Icons of SDGs goals” at each news release ※³ Ｖｉｓａの取引先金融機関・発行会社からの報告によ related to the goals. This project is related to No.8 and 10.