Currency Outlook United States Joe Manimbo, Currency Strategist

MARKET CURRENCY INSIGHT OUTLOOK INTO December 2018 GLOBAL CURRENCIES

moving money for better CURRENCY OUTLOOK UNITED STATES JOE MANIMBO, CURRENCY STRATEGIST – NORTH AMERICA

November review December risk events and key themes The U.S. dollar reigned and waned in November when it scaled The Fed’s mid-December meeting holds the near-term keys 2018 peaks for the second time since August. The broadly to the dollar. Strong growth and rising inflation suggest a low weighted U.S. Dollar Index climbed to 16-month peaks after bar for the Fed to deliver a fourth and final interest rate hike of EUR/USD (12 MTH) it successfully navigated America’s midterm elections and a the year. While a quarter percentage point rate hike to a range policy decision by the Federal Reserve two days later. Strong of 2.25% to 2.50% is widely expected, the Fed’s guidance for 1.27 U.S. growth, a Fed guiding lending rates higher and global 2019 remains anything but certain. The dollar would be at risk uncertainties all provided solid underpinnings to the U.S. unit. of surrendering some strength if the Fed adopts a more dovish 1.22 However, the dollar’s gains moderated toward month-end after outlook for policy next year, given global uncertainties related to top Fed officials acknowledged potential economic headwinds Brexit, Italian debt and a slowing world economy. 1.17 on the horizon. The Fed’s Dec. 19 decision is considered a paramount event America’s midterm vote resulted in a split Congress which risk for the U.S. currency. largely met market expectations. The dollar would be vulnerable to evidence suggesting the U.S. 1.12 D J F M A M J J A S O N Thicker paychecks: U.S. wages rose by 3.1% in October, the economy is past its prime. Source: Reuters, 2018 fastest in 9½ years. Year-to-date, the Dollar Index has gained about 5%, with it up Slower global growth could impact the U.S. economy, roughly 10% from its February low. according to the Fed’s top two officials. ECONOMIC DATA

Base Rate: 2.00-2.25% GDP: 3.5% December2018 EVENTS Inflation: 2.0% Dec 3 Dec 7 Dec 12 Dec 19 Dec 27 Unemployment: 3.7% ISM Nonfarm CPI FOMC New Home Index Payrolls Meeting Sales Trade Balance: -$54.0 Bn

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JUMP TO... CURRENCY OUTLOOK CANADA CADJOE MANIMBO, CURRENCY STRATEGIST – NORTH AMERICA November review December risk events and key themes Canada’s dollar fell victim to an oil market rout that drove crude Week 1 of December wields the potential to shape sentiment prices to one-year lows below $53. Consequently, Canada’s for the Canadian currency over the foreseeable future. Has commodity-driven currency slumped to June lows against its the oil market collapse materially altered plans for the Bank USD/CAD (12 MTH) stronger U.S. counterpart. If not for the neutral-bound Bank of of Canada to tighten monetary policy? Canada’s central bank Canada, which anticipates further interest rate increases over will weigh in on the outlook in early December. No change to 1.34 the coming year, the local dollar might have fared even worse. the central bank’s benchmark rate of 1.75% is expected this Canada’s currency had been generally buoyed by the Bank of month, with futures markets indicating about a 20% likelihood 1.30 Canada’s quarter-point rate hike to 1.75% in late October, its of a move. fifth increase in 15 months. The Bank of Canada renders its final policy decision of the 1.26 Oil’s rapid descent into bear market territory outweighed year on Dec. 5 Canada’s bullish foundation. Canada issues its November employment report on Dec. 7. 1.22 D J F M A M J J A S O N Canadian unemployment matched a 40-year low of 5.8% Up more than 5% year-to-date, USDCAD is on track to snap in October. its two-year losing streak. Source: Reuters, 2018 Oil markets were gripped anew by oversupply fears, which sent prices tumbling from above $75 in early October. ECONOMIC DATA

Base Rate: 1.75% GDP: 2.9% December2018 EVENTS Inflation: 2.2% Dec 5 Dec 10 Dec 19 Dec 21 Unemployment: 5.8% Bank of Canada Housing CPI GDP Oct Decision Starts Trade Balance: -C$0.42 Bn

JUMP TO... CURRENCY OUTLOOK UNITED KINGDOM GBPGEORGE VESSEY, CURRENCY ANALYST – UNITED KINGDOM November review December risk events and key themes Yet another volatile month plagued the pound following the The main risk event for Sterling will be the vote in Parliament on the Brexit-related news flow throughout November. Sterling draft Brexit text, as it is expected to face sizeable resistance. Many stormed skywards after the UK and EU agreed a draft hard-line Brexiteers of Ms May’s own fractured Conservative Party, withdrawal deal and sustained its climb after Prime Minister as well as the opposition Labour Party, appear likely to vote against GBP/USD (12 MTH) the deal. The Democratic Unionist Party, which props up Ms May’s Theresa May’s Cabinet backed the agreement. However, 1.44 the resignation of Brexit secretary Dominic Raab and other government, has also rejected the text due to the Irish border ministers resulted in Sterling suffering its biggest one day fall backstop plan. Traders will be on tenterhooks to see whether the political divisions within Britain could be enough to derail the whole since the EU referendum in 2016. GBP/USD and GBP/EUR both 1.38 Brexit deal. The threat of a no-confidence vote also continues to slid 1.5% towards $1.27 and €1.12 respectively. unsettle investors, leaving Sterling vulnerable to further downside risk. Ms May managed to avoid a vote of no-confidence against her, To the upside, GBP/USD could rally towards $1.32-$1.35 if the deal 1.32 which supported Sterling from sliding further south. The pound passes through Parliament and GBP/EUR could extend towards rallied towards the end of the month as an agreement on what a €1.15 or higher. However, to the downside, if GBP/USD tests future trade relationship would look like post-Brexit was reached. 2018 lows of $1.2660, this could open the door to $1.25 or lower. 1.26 D J F M A M J J A S O N UK annual inflation remained at 3-month lows of 2.4% in GBP/EUR could drop to €1.11 or €1.10 if the deal is not approved by October whilst the unemployment rate unexpectedly rose to Parliament, leaving the UK in a state of limbo and Sterling sagging. Source: Reuters, 2018 4.1% in the third quarter of 2018. 320 votes in favour of the agreement are needed for it to pass through Parliament. If it does, GBP will likely rally higher ahead Average weekly earnings, excluding bonuses rose by 3.2% of the final EU summit of the year on Dec 13-14. ECONOMIC DATA y/y in the third quarter of 2018 - the fastest pickup in wages since 2008. At least 48 MPs must submit letters to the chair of the backbench 1922 Committee, to trigger a vote of no confidence against Base Rate: 0.75% Theresa May, which could dramatically weaken the pound. GDP: 1.5% December2018 EVENTS CPI: 2.4% Dec 5 Dec 10 Dec 19 Dec 20 Bank of England Unemployment: 4.1% - GDP Inflation Retail publishes assessment - Goods Trade Balance (CPI) Sales Trade Balance: £-9.73 Bn UK financial system

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JUMP TO... CURRENCY OUTLOOK EURO ZONE GUILLAUME DEJEAN, CURRENCY STRATEGIST – EUROPE, MIDDLE EAST, AFRICA

November review December risk events and key themes The euro remained under pressure as a cocktail of poor economic Although euro recovered modestly in late November the outlook fundamentals and domestic political tensions encouraged remains cloudy. Italy will remain in the headlines with Rome now investors to stay away from European markets. The currency under the threat of an economic sanction from the European GBP/EUR (12 MTH) value hit a 16-month low against the greenback after the Commission for breaking budget rules. A shift in tone and a more rejection of the Italian budget plan by the European Commission. dovish communication from the European Central Bank (ECB), in 1.17 An escalation of tension between Rome and Brussels increased response to a new “unbalanced outlook”, also appears as a downside 1.15 fears of downside effects on a fragile eurozone economy which risk for euro. Drama could be avoided if the ECB keeps its tightening plan unchanged and political tensions in Europe start receding. is already being impacted by global trade tensions. 1.13 German growth contracted in Q3 for the first time since early The euro’s rally in the second half of November appears fragile as multiple headwinds remain. The $1.13 threshold remains a 2015, while the eurozone as a whole registered its weakest 1.11 key support level curbing downside pressures on euro. performance in four years. Markets participants will be monitoring the ECB’s economic 1.09 The Italian government refused to cut its spending plan, D J F M A M J J A S O N forecasts. Any cut in growth and/or inflation outlooks could acting against the recommendation of European officials to pave the way for dovish commentaries. Source: Reuters, 2018 reduce an already far too high public debt (131% of GDP). The Eurogroup meeting in early December could be a turning EUR/USD fell to a 16-month low of almost $1.12 and EUR/ point in the future relationship between Italy and European ECONOMIC DATA CHF dropped to a 7-week low of ₣1.13 as concerns about the institutions. Italian budget restrained demand for euro. Policy Rate: 0.0% Annual GDP: 1.7% December2018 EVENTS Annual Inflation: 2.2% Dec 3 Dec 7 Dec 13 Unemployment: 8.1% Eurogroup Q3 GDP ECB rating decision & meeting revision release of new forecasts Trade Balance: €13.1 Bn

JUMP TO... CURRENCY OUTLOOK SWITZERLAND CHFGEORGE VESSEY, CURRENCY ANALYST – UNITED KINGDOM November review December risk events and key themes The Swiss Franc experienced a relatively upbeat month as demand Swiss inflation will kick-start the last month of the year on for the safe haven currency increased. Political risks from Europe, December 4th. This will be the last significant economic release such as Brexit and the Italian budget crisis weighed on risk- before the Swiss National Bank (SNB) announces its decision GBP/CHF (12 MTH) sentiment. Mounting trade war woes between the US and China, on interest rates on December 13th. The guidance provided and plunging stock and oil prices added to the complexity and for the SNB’s 2019 policy schedule may play a pivotal role in 1.39 uncertainty of navigating volatile financial markets. This sparked the performance of the franc heading into the 2018 close. As flight into safe haven assets as risk-off sentiment swept over usual though, risk appetite will continue to drive sentiment 1.34 markets. Due to the franc’s safe haven appeal and Brexit jitters, surrounding the franc. If trade war tensions escalate or Brexit volatility in GBP/CHF was rife. The pair’s monthly trading range of fears swell, the franc could gain further upside momentum. 5% also consisted of its biggest one day fall in over a year. EUR/CHF 1.29 suffered its biggest one day fall in three months but found support USD/CHF has pulled back to the Sfr0.99 handle but could around the SFr1.13 level. Against the US Dollar, the Franc stabilised push back towards parity should the US Federal Reserve 1.24 near parity as the USD benefited from safe haven flows alike. raise interest rates as expected. In comparison, the SNB is D J F M A M J J A S O N expected to leave rates at -0.75%, increasing the monetary The franc was also bolstered by strong balance of trade policy divergence between the two central banks. Source: Reuters, 2018 data, which showed Switzerland’s trade surplus rose to CHF 2.64BN - the largest trade balance in 21 months. ECONOMIC DATA Data released in November also showed the Swiss annual inflation rate rose to 1.1% in October from 1% in the previous month, which prompted further CHF strength. Base Rate: -0.75% Annual GDP: 3.4% December2018 EVENTS Annual CPI: 1.1% Dec 3 Dec 10 Unemployment: 2.5% Retail Unemployment Sales Rate Trade Balance: CHF 2,637M

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JUMP TO... CURRENCY OUTLOOK POLAND PLNGUILLAUME DEJEAN, CURRENCY STRATEGIST – EUROPE, MIDDLE EAST, AFRICA November review December risk events and key themes After a strong rally driven by a weaker US dollar ahead of Overall concerns about crooked financial regulations seem to mid-term elections and an ease of global trade tensions, the have receded as the Polish central bank reacted quickly enough to zloty dropped more than 1% against the euro due to banking manage any doubts. The amendment made by the ruling government USD/PLN (12 MTH) scandal allegations. Fearing a larger failure across Poland’s to allow a backtrack of the judicial reform that was severely contested financial system investors sold Polish assets, both equity by European institutions, is more good news for foreign investors that 3.90 shares and currencies, in abundance. The Central Bank’s verbal should help rebuild the relationship between Warsaw and Brussels. commitment to provide liquidity to support the banking sector An ease of domestic political concerns and strong fundamentals helped cool concern and stop downside pressures on the zloty. are two big catalysts underpinning a stronger zloty. However, a 3.70 new global sell-off of emerging assets could be triggered by an The principal investor of two national banks accused the escalation of trade tensions during the G20 meeting and/or a rally Polish regulator of corruption attempts to overlook current of the US dollar if the Fed hikes its rates again in December. 3.50 troubles met by both institutions. As an emerging currency, the zloty is very sensitive to global The Polish equity market tumbled by -3.5% after the market sentiment. New tensions between China and US 3.30 allegations, and the zloty hit a 2-week low against euro could hit risk appetite. D J F M A M J J A S O N at almost PLN 4.34. The rate recovered to PLN 4.30 as The release of the Q3 GDP data in late November will be a Source: Reuters, 2018 concerns eased. key catalyst of zloty volatility. Solid figures would offer an The depreciation of the US dollar globally boosted demand edge to zloty compared with its regional peers. ECONOMIC DATA for high risk/reward emerging currencies like the Polish zloty. The PLN 4.28 threshold will be a key level to watch and its break could ignite a larger correction of EUR/PLN rate. On the other hand, the PLN 4.34 ceiling is capping gains of the pair. Base Rate: 1.5% Annual GDP: 5.1% December2018 EVENTS Annual Inflation: 1.7% Dec 1 Dec 5 Dec 18 Dec 21 Unemployment: 5.7% G20 Summit in NBP Decision Employment Unemployment Buenos Aires Rating Rate Trade Balance: -449 M (PLN)

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JUMP TO... CURRENCY OUTLOOK CZECH REPUBLIC CZKSHANE SPARKS, CURRENCY ANALYST – UK November review December risk events and key themes The Czech koruna experienced a mixed bag of trading action Much of December’s focus will be on the CNB meeting on during the month of November. In the early part of the month, the 20th of the month. Most economists expect the CNB not the koruna weakened across the board as the governor of the to raise interest rates this month and hold until the New Year. USD/CZK (12 MTH) Czech National Bank (CNB) announced there was no need for If the CNB do indeed hold rates, it is likely most of the trading urgency over changing the bank’s monetary policy and the direction will be dictated by external factors including Brexit 23.5 board could easily wait until its first meeting next year before developments and the ongoing trade wars. 22.5 deciding on another interest rate hike (source: Reuters). The CNB could shock markets and raise interest rates for The koruna recovered against Sterling and the US Dollar, the 5th consecutive meeting, which would likely lead to the 21.5 however, this was mainly down to Brexit concerns and the koruna strengthening against its currency rivals. trade wars between the US and China. 20.5 GBP/CZK had over a 3% trading range over the month, 19.5 recovering from a low of Kč29.97 to Kč29.05. CZK/USD also D J F M A M J J A S O N endured near 3% swings, ranging from $22.46 to $23.13. Source: Reuters, 2018 ECONOMIC DATA

Base Rate: 1.75% Annual GDP: 2.3% December2018 EVENTS Annual CPI: 2.2% Dec 3 Dec 10 Dec 20 Unemployment: 2.8% Merkit Unemployment CNB PMI Meeting Trade Balance: 13.7 Bn

JUMP TO... CURRENCY OUTLOOK AUSTRALIA AUDSTEVEN DOOLEY, CURRENCY STRATEGIST – ASIA PACIFIC November review December risk events and key themes The Australian dollar saw a strong rebound in November but the The Reserve Bank of Australia struck a more optimistic tone at market remains in a clear technical downtrend. its November meeting with economic growth forecast rates and The AUDUSD rallied as much as 4.5% from October unemployment forecasts lowered. AUD/USD (12 MTH) lows as hopes for a resolution to the US-China trade war However, with the RBA seemingly unwilling to raise local 0.82 boosted sentiment. interest rates in the medium term, the AUD might struggle to Additionally, the US dollar weakened after President make further meaningful gains. 0.78 Donald Trump’s Republicans lost control of the House While the AUD gained in November, the technical picture of Representatives. remains negative, with the AUDUSD and other AUD markets 0.74 The AUDUSD reached three-month highs. resolutely stuck in broader downtrends. The AUDEUR reached five-month highs while the AUDJPY The AUD is closely tied to expectations about global trade. Any positivity around this issue could provide a short-term 0.70 hit four-month highs. D J F M A M J J A S O N boost for the AUD. Source: Reuters, 2018 ECONOMIC DATA

Base Rate: 1.50% GDP: 3.40% December2018 EVENTS CPI: 1.90% Dec 4 Dec 6 Dec 18 Unemployment: 5.00% RBA Trade RBA Decision Balance Minutes Trade Balance: 3.0 Bn (AUD)

JUMP TO... CURRENCY OUTLOOK JAPAN JPYGUILLAUME DEJEAN, CURRENCY STRATEGIST – EUROPE, MIDDLE EAST, AFRICA November review December risk events and key themes The Japanese yen moved sideways this month as downside A quiet November could lead to a stormy December. The China/ pressures from poor domestic fundamentals and unattractive US relationship continues to be a global concern, with the bond yields were offset by demand for safe haven assets. meeting between Donald Trump and the Chinese president Xi GBP/JPY (12 MTH) The White House blew hot and cold toward China, leaving Jinping at the Buenos Aires G20 Summit (30Nov. – 01 Dec.) investors confused about the countries’ complex and troubled like to influence yen volatility this month. Even though an 160 relationship. The absence of a new tariffs plan in US was agreement looks unlikely, any sign of dialogue between the warmly welcomed by market participants. The collapse of leaders would be warmly welcomed by investors and shore up 155 oil prices, and the US stock exchange reaching yearly lows their risk appetite (negative bias for yen). 150 enhanced the cautious mood of investors. The G20 meeting will be a hot topic in December. A return of A contraction of the Japanese economy in Q3 – the second any “trade war” rhetoric will distress market sentiment. 145 time this year – and muted upside pressures on pricing are a A rate hike in the US could generate new disturbances hurdle to any tightening scenario. 140 across the global stock exchange. Such a scenario could D J F M A M J J A S O N The yen’s losses were floored by the presence of significant bring USD/JPY testing back to its Q4 ¥112 support. Source: Reuters, 2018 political tensions in Europe (Italy and Brexit) but also a spike of GBP/JPY could drop below ¥143 if the Brexit plan is rejected volatility in US equity markets since US mid-term elections. in UK parliament while new pressures on Italian yield and/or a The yen wavered in a tight range against euro (¥127.5-¥129.0) dovish ECB could drive down EUR/JPY in a ¥126-¥128 range. ECONOMIC DATA and US dollar (¥112-¥114), but moved more broadly against the pound (¥144-¥149) due to Brexit news flow. Policy Rate: -0.1% Annual GDP: -1.2% December2018 EVENTS Annual CPI: 1.1% Dec 1 Dec 10 Dec 20 Unemployment: 2.3% G20 Summit in Q3 GDP BOJ rating Buenos Aires revision decision Trade Balance: -¥449.3 Bn

JUMP TO... CURRENCY OUTLOOK CHINA CNYSTEVEN DOOLEY, CURRENCY STRATEGIST – ASIA PACIFIC November review December risk events and key themes The Chinese yuan continued to trade near ten-year lows versus The focus remains on the likelihood of further stimulus from the the US dollar last month despite weakness in the greenback. Chinese government. A slowdown in Chinese growth – which fell to the lowest levels Typically, stimulus is seen as a negative for the CNY as USD/CNY (12 MTH) since the global financial crisis – has continued to weigh on increased money supply devalues the currency. 7.0 the CNY. From a market perspective, the focus remains on the The fall in the CNY has been impacted by losses in other USDCNY historical level at 7.00. This recent move higher in 6.8 Chinese markets. the USDCNY has continually been capped at the 7.00 level 6.6 The Shanghai Composite index is down 20% so far in 2018 with an expectation that Chinese authorities are managing this level. while the Chinese ten-year bond yield has fallen from 3.90% 6.4 at the start of the year to 3.40% at the end of November. A move above this 7.00 level could result in a significant CNY devaluation. The creates the biggest risk for the CNY market. 6.2 In addition to the fall in GDP growth to 6.5%, this numbers D J F M A M J J A S O N suggest an economy that is clearly slowing. Source: Reuters, 2018 ECONOMIC DATA

Base Rate: 4.35% GDP: 6.50% December2018 EVENTS CPI: 2.50% Dec 3 Dec 8 Dec 14 Unemployment: 3.70% Manufacturing Trade Retail PMI Balance Sales Trade Balance: $34.0 Bn (USD)

JUMP TO... CURRENCY OUTLOOK NEW ZEALAND NZDSTEVEN DOOLEY, CURRENCY STRATEGIST – ASIA PACIFIC November review December risk events and key themes The New Zealand dollar was one of the best performing The New Zealand’s dollar’s stronger performance in November currencies in November as a reversal in major markets boosted was extreme and leaves the local currency prone to a short- risk-sensitive currencies like the NZD. term reversal. NZD/USD (12 MTH) The New Zealand dollar was also supported by better local The Reserve Bank of New Zealand at its November meeting 0.75 data with September quarter unemployment falling to 3.9% removed the reference to potentially cutting local interest rates. from 4.5%. However, the governor Adrian Orr suggests there is little 0.72 The NZDUSD climbed to the best levels since June 2018 while chance of a move with rates likely “at this level…into 2020”. 0.69 the NZDEUR hit the best level since January 2018. The NZD remains in a broad downtrend versus the US dollar which leaves the local currency vulnerable to renewed losses. 0.66 Dairy prices, a key driver of the NZD, remained, with the 0.63 fortnightly milk price auctions not seeing a positive result D J F M A M J J A S O N in six months. Source: Reuters, 2018 ECONOMIC DATA

Base Rate: 1.75% GDP: 2.80% December2018 EVENTS CPI: 1.90% Dec 4 Dec 13 Dec 18 Dec 20 Unemployment: 3.90% Dairy Food Dairy GDP Prices Prices Prices Trade Balance: $1.6 Bn (NZD)

JUMP TO... CURRENCY OUTLOOK SINGAPORE SGDSTEVEN DOOLEY, CURRENCY STRATEGIST – ASIA PACIFIC November review December risk events and key themes The Singapore dollar had a relatively good month in November The SGD remained well supported after the Monetary Authority with an easing of trade tensions and weaker US dollar. of Singapore announced it would tighten monetary policy Also, the Monetary Authority of Singapore’s move to tighten in October. USD/SGD (12 MTH) policy in October continued to help the SGD. Inflation, a key determinant of the MAS’s thinking, has 1.39 The USDSGD slipped back to six-week lows in November as eased since policy was tightened, in a sign the MAS’s recent the Singapore dollar gained. tightening phase might soon pause. 1.36 The SGD remained strong in other markets. The Singapore The Singapore economy is closely tied to global trade dollar traded to five-year highs versus the Chinese yuan, expectations. Any news on the US-China trade war could 1.33 ten-year highs versus the Australian dollar and all-time highs drive SGD moves in December. versus the Indonesian rupiah. 1.30 D J F M A M J J A S O N

Source: Reuters, 2018 ECONOMIC DATA

SIBOR: 1.64% GDP: 2.20% December2018 EVENTS CPI: 1.80% Dec 4 Dec 12 Dec 17 Dec 24 Unemployment: 2.10% Manufacturing Retail Exports CPI PMI Sales Trade Balance: $4.5 Bn (SGD)

Dec 13 Unemployment

JUMP TO... DISCLAIMERS

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NORTH AMERICA France Malta Canada In France, Western Union Business Solutions is a division of The Western Union Western Union Business Solutions is a business unit of The Western Union Company. In Canada, Western Union Business Solutions is a division of The Western Union Company and provides services in France through its wholly-owned subsidiary Services in Malta are provided by Western Union Business Solutions (Malta) Limited, a Company. Services in Canada are provided by Custom House ULC, a company within Western Union International Bank GmbH, French branch, (referred to as “WUBS” or limited company registered in Malta (Company Number C22339) with its registered office the Western Union Business Solutions division. “Western Union Business Solutions”). at W Business Centre, Level 5, Triq Dun Karm, Birkirkara By-Pass, Birkirkara, BKR 9033, Malta and which is licensed and regulated by the Malta Financial Services Authority to USA Western Union International Bank GmbH, French branch (RCS Nanterre 750 938 094) has a registered place of business at Tour Manhattan, 5-6 place de l’Iris, 92095 Paris undertake the business of financial services in terms of the Financial Institutions Act. In USA, Western Union Business Solutions is a division of The Western Union Company. La Défense Cedex, France and is a branch of Western Union International Bank GmbH Poland Services in the US are provided by Custom House USA, LLC (NMLS ID: 906985) and (Registration Number 256184t), an Austrian company whose regsistered office is at In Poland, Western Union Business Solutions is a division of The Western Union Western Union Business Solutions (USA), LLC (NMLS ID: 907333) (collectively referred Schubertring 11, 1010 Vienna, Austria. to as “WUBS” or “Western Union Business Solutions”). For a complete listing of US Company and provides services in Poland through Western Union International Bank state licensing, visit http://business.westernunion.com/about/notices/. For additional Germany GmbH, Polish Branch (referred to as “WUBS” or “Western Union Business Solutions”). information about Custom House USA, LLC and Western Union Business Solutions In Germany, Western Union Business Solutions is a division of the Western Union Western Union International Bank GmbH, Polish Branch (KRS No: 0000458059, NIP (USA), LLC, visit http://business.westernunion.com/about/compliance/. Company and provides services in Germany through Western Union’s wholly-owned No: 1080015316), has a registered place of business at Al. Jana Pawla II 29, 00-867 subsidiary Western Union International Bank GmbH, Germany branch (referred to as Warsaw, Poland, and is a branch of Western Union International Bank GmbH “WUBS” or “Western Union Business Solutions”). (registration number 256184t) Schubertring 11, 1010 Vienna, Austria. Western Union International Bank GmbH, Germany branch, has a registered place of Switzerland EUROPE business at Solmsstrasse 18, 60486 Frankfurt am Main, Germany and is a branch of In Switzerland, Western Union Business Solutions is a division of The Western Union Austria Western Union International Bank GmbH (registered in Austria, Registration Number Company. Services in Switzerland are provided by Rüesch International, LLC (Swiss In Austria, Western Union Business Solutions is a division of the Western Union 256184t, Regsistered Office address: Schubertring 11, 1010 Vienna, Austria). branch), with a registered place of business at Werdstrasse 2, P.O. Box 2063, 8021 Company and provides services in Austria through Western Union’s wholly-owned Italy Zurich, Switzerland (referred to as “WUBS” or “Western Union Business Solutions”). subsidiary, Western Union International Bank GmbH (referred to as “WUBS” or In Italy, Western Union Business Solutions is a division of the Western Union Company Western Union Business Solutions has based the opinions expressed herein on “Western Union Business Solutions”). and provides services in Italy through its wholly owned subsidiaries, Western Union information generally available to the public. Western Union Business Solutions Western Union International Bank GmbH is registered in Austria (company number International Bank GmbH, Italy Branch and Custom House Financial (UK) Limited makes no warranty concerning the accuracy of this information and specifically FN256184t), Schubertring 11, 1010 Vienna, Austria. (which does business under the trade name of Western Union Business Solutions). disclaims any liability whatsoever for any loss arising from trading decisions based on Czech Republic Custom House Financial (UK) Limited offers the Online Foreign Exchange service the opinions expressed and information contained herein. Such information and opinions are for general information only and are not intended to present advice with In the Czech Republic, Western Union Business Solutions is a division of The Western (online FX); all other services are offered by Western Union International Bank GmbH, respect to matters reviewed and commented upon. Union Company and provides services in the Czech Republic through Western Union Italy branch. International Bank GmbH, organizační složka (referred to as “WUBS” or “Western Western Union International Bank GmbH, Italy Branch (Registered Office in Rome: via United Kingdom Union Business Solutions”). Virigilio Maroso 50, 00142 Italy; Fiscal Code and Companies House Registration Western Union Business Solutions is a business unit of the Western Union Company Western Union International Bank GmbH, organizační složka is registered in the number: 13068651002; Enrolled in the Bank Register held by Bank of Italy (no. 3446)), is and provides services in the UK through Western Union’s wholly-owned subsidiary, Czech Commercial Register held by the Municipal Court in Prague, identification a branch of Western Union International Bank GmbH, a company organised under Western Union International Bank GmbH, UK Branch (WUIB). number 015 55 332, has a registered place of business at Václavské náměstí 62, 110 Austrian Law (Companies House Registration number 256184t; Registered Office: WUIB (Branch Address: 131 Finsbury Pavement, London, EC2A 1NT) is a branch of 00 Prague 1, Czech Republic, and is a branch of Western Union International Bank Schubertring 11, A-1010 Vienna, Austria; Corporate Capital: €12.000.000; Sole Western Union International Bank GmbH (registered in Austria, company number GmbH (registration number 256184t) Schubertring 11, 1010 Vienna, Austria. Shareholder (and therefore subject to the direction and coordination activity of): FN256184t, VAT Number ATU61347377, with its registered office at Schubertring 11, Western Union Overseas Limited) and which is a bank registered on a list of banks Western Union International Bank GmbH is a bank registered on a list of banks 1010 Vienna, Austria), which is licensed by the Austrian Financial Market Authority maintained by the Austrian Financial Market Authority (Österreichische maintained by the Austrian Financial Market Authority (Finanzmarktaufsicht). (Finanzmarktaufsicht). WUIB is subject to limited regulation by the UK Financial Finanzmarktaufsicht). Western Union International Bank GmbH, organizační složka is registered on a list of Conduct Authority and Prudential Regulation Authority. Details about the extent of banks and branches of foreign banks maintained by the Czech National Bank. Custom House Financial (UK) Limited (Incorporated in England; Company Number: WUIB’s regulation by the Financial Conduct Authority and Prudential Regulation 04380026; Registered Office: 12 Appold Street, London EC2A 2AW; Corporate Authority are available from WUIB on request. Capital £800,001.00; Sole Shareholder (and therefore subject to the direction and This presentation has been prepared solely for informational purposes and does not in coordination activity of): Western Union Processing Limited), is authorised by the UK any way create any binding obligations on either party. Relations between you and Financial Conduct Authority under the payment services regulations 2009 (register WUIB shall be governed by the applicable terms and conditions. No representations, reference: 517165) for the provision of payment services warranties or conditions of any kind, express or implied, are made in this presentation. Don’t let the currency market detract from your bottom line. 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