MasterCard Incorporated Investor Presentations dated May 29, 2008

May 29, 2008

2008 Investment Community Meeting

Forward-Looking Statements

Today’s presentations may contain, in addition to historical

information, forward-looking statements within the meaning of the

Private Securities Litigation Reform Act of 1995.

These forward-looking statements are based on our current

assumptions, expectations and projections about future events which

reflect the best judgment of management and involve a number of

risks and uncertainties that could cause actual results to differ

materially from those suggested by our comments today. You should

review and consider the information contained in our filings with the

SEC regarding these risks and uncertainties.

MasterCard

disclaims

any

obligation

publicly

update

revise

any

forward-looking statements or information provided during today’s

presentations.

May 29, 2008

2008 Investment Community Meeting

MA: Two Years Out of the Gate

•

Extraordinary performance

since IPO

•

Continue to strengthen

our organization

•

Excellent growth in key metrics:

–

Gross dollar volume

–

Processed transactions

–

Net revenue

–

Net income

•

Value reflected in

stock performance

May 29, 2008

2008 Investment Community Meeting

Cyclical Economic Considerations

Global Overview

•

International Monetary Fund predicts slower global

economic growth

•

Growth in emerging and developing economies is

slowing, but still above trend

May 29, 2008

2008 Investment Community Meeting

Cyclical Economic Considerations

United States

•

Real GDP growth forecasted to slow in 2008

•

SpendingPulse

data points to relatively weak

readings across most sectors

•

Low consumer confidence

May 29, 2008

2008 Investment Community Meeting

•

Intelligence and Insights

•

Profitable Growth

•

Risk Management

•

Cost Management

Driving Customer Value

in a Weakened Economy

Customer Needs

Examples of

MasterCard Offerings

•

SpendingPulse

•

Portfolio Analytics

•

Account-Level Management

•

Portfolio Performance

Forecasting

•

Fraud Monitoring System

•

Integrated Processing

Solution

•

Customer Marketing

May 29, 2008

2008 Investment Community Meeting

Secular Challenges

•

Regulatory environment

•

Threat of disintermediation:

–

Competition from traditional players

–

New entrants

–

Advances in technology

–

Alternate online payment methods

May 29, 2008

2008 Investment Community Meeting

Secular Opportunities

•

Steady shift from

cash and checks

•

Growth in e-payments, mobile

•

Globalization spurring

cross-border

commerce/travel patterns

•

Debit in the U.S.

•

SEPA in Europe

•

Emerging markets

May 29, 2008

2008 Investment Community Meeting

Strategic Approach

•

Anticipating continued change in payments sector

•

Exploring broader trends and impact

–

Other industries

–

Technological developments

–

Economic and social factors

–

Public policy

May 29, 2008

2008 Investment Community Meeting

Key Differentiators

•

Our strengths

–

Unified, global structure

–

World-renowned brands

–

Innovative product & payment

solutions

–

Technology/processing platform

–

Strong relationships

–

Knowledge leadership/

MasterCard Advisors

–

Management expertise

•

These strengths support our

solutions-based value proposition

to customers

May 29, 2008

2008 Investment Community Meeting

MA: Well Positioned for Future

•

Strong underlying business momentum

–

Strong purchase volume growth

–

Growth in processed transactions

–

Robust cross-border transaction growth

•

Well positioned globally in both developed and emerging

markets

–

Approximately 50% of revenues from outside the U.S.

•

Critical investments to drive future growth

•

No direct exposure to cardholder credit risk

May 29, 2008

2008 Investment Community Meeting

Summary

•

Exceptional performance

since IPO

•

Making investments now

for future growth

•

Committed to delivering

shareholder value

May 29, 2008

2008 Investment Community Meeting

2007 Macroeconomic and Social Snapshot

878

2.4 –

11.1

2.3 -

12.5

22,160

Europe

543

7.6

4.9

5,453

LAC

1.8

3.0

1.8% -

14%

Inflation

(CPI % YOY)

6.1

5.2

0.7%-

14%

Unemployment

(% of labor force)

39.1

36.7

21.2 -

38.6

Median Age

33.1

303

232 -

2,445

Population

(in millions)

35,600

46,000

1,800 -

29,800

GDP per capita

(US$)

Canada

United

States

APMEA

Source: BMI, CIA World Fact Book, U.S. Census Bureau.

* Unemployment and inflation are weighted averages of the rates of 18 countries.

May 29, 2008

2008 Investment Community Meeting

Macroeconomic and Social Snapshot

of APMEA Segment Clusters

29.1

2,445

5.9%

5.8%

1,800

Emerging

Mass

Markets

2%-14%

3.4%

1.8%

Inflation

(CPI % YOY)

0.7%-14%

5.2%

3.6%

Unemployment

(% of labor force)

21.2

27.2

38.6

Median Age

1,080

406

232

Population

(in millions)

4,245

3,560

29,800

GDP per capita

(US$)

SAMEA

(ex India)

Middle

Income

Cluster

High Income

Cluster

Source: 2007 average from IMF, UN Population Division, Asian Development Bank, World Bank

High

Income

Cluster

Japan,

Korea,

Taiwan,

HK,

Singapore,

Australia;

Middle

Income

Cluster

Thailand,

Malaysia,

Indonesia,

Philippines;

Emerging

Mass

Markets

China,

India

May 29, 2008

2008 Investment Community Meeting

APMEA –

Growth Opportunity Examples

Opportunity = Trailblazing

•

Creation of new consumer segments

•

Tapping into increasing outbound travel

•

Urbanization

May 29, 2008

2008 Investment Community Meeting

LAC –

2007 Macroeconomic and Social Snapshot

878

2.4 –

11.1

2.3 -

12.5

22,160

Europe

543

7.6

4.9

5,453

LAC

1.8

3.0

1.8% -

14%

Inflation

(CPI % YOY)

6.1

5.2

0.7%-

14%

Unemployment

(% of labor force)

39.1

36.7

21.2 -

38.6

Median Age

33.1

303

232 -

2,445

Population

(in millions)

35,600

46,000

1,800 -

29,800

GDP per capita

(US$)

Canada

United

States

APMEA

Source: BMI, CIA World Fact Book, U.S. Census Bureau.

* Unemployment and inflation are weighted averages of the rates of 18 countries.

May 29, 2008

2008 Investment Community Meeting

Latin America/Caribbean –

Growth Opportunity Examples

Opportunity = Penetration

•

Emergence of new consumer segments

•

Creating acceptance channels

•

Bringing new ways to pay

May 29, 2008

2008 Investment Community Meeting

United States –

2007 Macroeconomic and Social Snapshot

878

2.4 –

11.1

2.3 -

12.5

22,160

Europe

543

7.6

4.9

5,453

LAC

1.8

3.0

1.8% -

14%

Inflation

(CPI % YOY)

6.1

5.2

0.7%-

14%

Unemployment

(% of labor force)

39.1

36.7

21.2 -

38.6

Median Age

33.1

303

232 -

2,445

Population

(in millions)

35,600

46,000

1,800 -

29,800

GDP per capita

(US$)

Canada

United

States

APMEA

Source: BMI, CIA World Fact Book, U.S. Census Bureau.

May 29, 2008

2008 Investment Community Meeting

United States –

Growth Opportunity Examples

Opportunity = Innovation

•

Opening up acceptance channels

•

Expanding ways to pay

•

Leveraging our insights and information

May 29, 2008

2008 Investment Community Meeting

Canada –

2007 Macroeconomic and Social Snapshot

878

2.4 –

11.1

2.3 -

12.5

22,160

Europe

543

7.6

4.9

5,453

LAC

1.8

3.0

1.8% -

14%

Inflation

(CPI % YOY)

6.1

5.2

0.7%-

14%

Unemployment

(% of labor force)

39.1

36.7

21.2 -

38.6

Median Age

33.1

303

232 -

2,445

Population

(in millions)

35,600

46,000

1,800 -

29,800

GDP per capita

(US$)

Canada

United

States

APMEA

Source: BMI, CIA World Fact Book, U.S. Census Bureau.

May 29, 2008

2008 Investment Community Meeting

Opportunity = Transformation

Canada –

Growth Opportunity Examples

•

Challenge the debit incumbent

•

Brand-new acceptance channels

•

New ways to pay

May 29, 2008

2008 Investment Community Meeting

Macroeconomic and Social Snapshot

of Europe Market Clusters

Sources:

GDP,

population

–

IMF

2007

statistics;

Inflation,

unemployment:

The

Economist

–

2008

estimates,

Median

age

–

CIA

world

fact

book

(*) based on UK, Sweden & Ireland; HGEM: based on Russia, Poland, and Turkey; Cont SEPA: based on France, Germany, and Italy

468

6.6 -

11.1

4.0 -

12.5

12,376

High Growth and

Emerging Markets

313

6.0 -

7.9

2.3 -

2.6

32,709

Continental

Europe

2.6 -

3.6

Inflation*

(CPI % YOY)

2.4 -

6.3

Unemployment*

(% of labor force)

Median Age

Population

(in millions)

35,407

GDP

per

capita

(US$)

UK/Nordics

May 29, 2008

2008 Investment Community Meeting

Europe –

Growth Opportunity Examples

Opportunity = Catalyst

•

Continued debit leadership

•

Expanding merchant and acquirer relationships

•

Changing consumer experience

May 29, 2008

2008 Investment Community Meeting

Summary

Opportunity = Diversity

•

New ways to pay

•

New places to pay

•

New segments entering the global economy

May 29, 2008

2008 Investment Community Meeting

Evolution of SEPA

•

SEPA will . . .

–

Provide cardholders with a payment card

they can use across Europe with the

same convenience

–

Increase competition and transparency in

the payments industry

–

Lower barriers to entry for acquirers,

issuers and equipment providers

–

Benefit European society by reducing the

overall cost of payments

SEPA is not just about the 3% of card business

cross-border . . . but also about the 97% of

domestic transactions which were not

open to competition*

•

Current situation

–

16 national debit schemes in Europe

–

Heterogeneous cardholder

experience, domestic debit cards are

not accepted everywhere in Europe

–

Limited competition at national level,

many countries have only one

acquirer, issuer or processor and few

terminal vendors

* Source: ECB Blue Book, 2006, Total EU

May 29, 2008

2008 Investment Community Meeting

SEPA Options for Banks

•

Migration to existing

international schemes

•

Extend national schemes

pan-Europe or create new

scheme(s)

•

“Co-brand”

International

and SCF-compliant scheme

Multiple options for SEPA compliance exist

and new opportunities and business models are being explored

May 29, 2008

2008 Investment Community Meeting

Migration to Maestro and MasterCard from

National Schemes

Switzerland

Austria

Greece

Sweden

Slovenia

Germany

Over 70 million cards issued by over 100 banks in 13 countries

have, or are currently, migrating from their national scheme

to MasterCard and Maestro only

Italy

Spain

Ireland

Netherlands

Finland

France

May 29, 2008

2008 Investment Community Meeting

Belgium

Co-branding with MasterCard and Maestro

with Local SCF Compliant Schemes

Luxembourg

Over 150 million cards now co-branded Maestro

and MasterCard

Germany

Italy

France

Portugal

Ireland

Netherlands

May 29, 2008

2008 Investment Community Meeting

Processing Opportunities Linked to SEPA

Footnote appears here

•

Issuer Processing:

–

Migrations from local scheme to Maestro only

–

Maestro co-branded with SCF compliant local brands

•

Acquirer/Retailer Processing:

–

Routing of Domestic Transactions on co-branded cards via the

Maestro brand and MasterCard processing network instead of

local brand/processor

May 29, 2008

2008 Investment Community Meeting

3838

Consumer Behaviour Creating a

True Single Market

Berlin

München

Kleve

Emmerich

Konstanz

Freilassing

Schwalbach

Passau

Trier

Bous

Eschweiler

Rheinberg

Aachen

Relative number of foreign

Maestro transactions by

German city, FY 2007

May 29, 2008

2008 Investment Community Meeting

Summary

•

SEPA is an evolutionary, not revolutionary process

•

Migration to and co-branding with MasterCard and

Maestro result in strengthening our brand and

result in opportunities to process

•

New entrants to domestic debit in SEPA like

MasterCard will ensure a competitive and

innovative future for payments

May 29, 2008

2008 Investment Community Meeting

A Look at U.S. Debit Today

When a debit card is activated and

used, cardholders use it regularly,

averaging

transactions

month

Sources:

The

Nilson

Report

TowerGroup

Pulse

EFT/Dove

Consulting

2007

Debit

Issuer

Study

Nearly 90%

of US households

have a debit card linked to their bank

account

Between 2006 and 2011 debit

purchase volume is expected to

grow by 74.7%

The dollar volume of purchases on

U.S. debit cards

grew by an

average

27%

from

2002

2007

May 29, 2008

2008 Investment Community Meeting

We’ve Seen Tremendous Growth in Debit

Building our debit portfolio with

significant wins

36%

compound annual growth rate

in debit purchase volume and 38%

compound annual growth in

transaction volume from 2005 to 2007

53%

growth in PIN Point

of Sale switched

transactions in 2007

24%

growth in debit

purchase volume and 19%

growth in ATM processed

transactions in 2007

May 29, 2008

2008 Investment Community Meeting

Enhancing Our U.S. Debit Strategy

Optimizing the

Franchise for

Debit

Expanding

Our Role in

the Value

Chain

Supporting

Customer

Performance

May 29, 2008

2008 Investment Community Meeting

Optimizing the Franchise for Debit

•

Expanding acceptance in debit

friendly categories

–

PayPass

–

Consumer Bill Pay

•

Leveraging existing A&M spend

for debit

–

Emphasizing everyday spending

categories

–

Including debit in MasterCard

brand advertising

May 29, 2008

2008 Investment Community Meeting

Expanding Our Role in the Value Chain

•

Processing

–

MasterCard IPS

•

Capturing a Larger Share of PIN

–

Product Integration

•

Securing Signature Portfolios

–

Co-brand Debit

•

Prepaid

May 29, 2008

2008 Investment Community Meeting

A Strategy That Covers All the Bases

Optimizing the

Franchise for

Debit

Supporting Our

Customers’

Performance

Expanding Our

Role in the

Value Chain

Driving

MasterCard

Share in Debit

May 29, 2008

2008 Investment Community Meeting

Checks

79 B

Cash

2, 662 B

Global Consumer Payment Transactions

2006-2010

Footnote appears here

2010 Electronic (Card & EFT)

279B

2006 Global Consumer Payments

Total 2.9T

Source: Speer & Associates, Inc. and MasterCard estimates

U.S.

57%

R.O.W

43%

Electronic

(Cards and EFT)

148 B

U.S.

32%

R.O.W

68%

CAGR ’06-10E

Region

Forecast

U.S.

Rest of World 22%

Global

17%

May 29, 2008

2008 Investment Community Meeting

$1,248

$1,446

$1,655

$1,922

$2,277

$500

$1,000

$1,500

$2,000

$2,500

2003

2004

2005

2006

2007

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

Worldwide GDV

Worldwide % (LC)

Worldwide less US % (LC)

United States % (LC)

(LC) = Local Currency Growth

Gross Dollar Volume Trend (2003 –

2007)

MasterCard Branded

May 29, 2008

2008 Investment Community Meeting

2003

2004

2005

2006

2007

0.0%

5.0%

10.0%

15.0%

20.0%

25.0%

Worldwide Gross Transactions

Worldwide %

Worldwide less US %

United States %

Gross Transaction Trend (2003 –

2007)

MasterCard Branded

May 29, 2008

2008 Investment Community Meeting

2008 View

•

First eight weeks of the Second Quarter:

–

Continue to see GDV growth slowing in the U.S. while

higher

for

the

ROW,

resulting

slightly

higher

year-

over-year

GDV growth overall

–

Cross-border volume remains strong

•

G&A growth rate expectations remain unchanged

•

Modest A&M growth also unchanged, with quarterly

spending pattern similar to 2006

May 29, 2008

2008 Investment Community Meeting

Longer-Term Performance Objectives

•

Average

annual

net

revenue

growth

–

15%

•

Annual

Operating

Margin

improvement

ppt

•

Average

annual

net

income

growth

–

30%

•

Key assumptions

–

Constant FX rate

–

Effective tax rate of approximately 35%

May 29, 2008

2008 Investment Community Meeting

Drivers of Net Revenue

•

Secular growth

•

Non-U.S. growing faster

than U.S.

•

U.S. debit vs. credit

•

Cross border volume

•

Pricing / Rebates & Incentives

•

New products and services

Impacts:

–

Gross dollar volume

–

Purchase volume

–

Transactions

–

User-pay services

–

Revenue yield

May 29, 2008

2008 Investment Community Meeting

Drivers of Operating Margin

•

Leveragability of the model

•

General & Administrative

•

Capital requirements

•

Advertising & Marketing

programs

Impacts:

–

Operating margin

expansion

–

Net income growth

May 29, 2008

2008 Investment Community Meeting

0.0

0.5

1.0

1.5

2.0

2.5

3.0

3.5

2003

2004

2005

2006

2007

Book Equity

Cash & Investments

Strong Capital Position

•

Strong cash flow generation

contributes to healthy balance

sheet

•

Requirement for strong credit

position to support settlement

guarantee

•

Litigation constrains capital

structure choices

•

Returning excess cash to

shareholders via share repurchases

and dividends

•

2008 Class B share conversion program now fully subscribed at 13.1

million shares

May 29, 2008

2008 Investment Community Meeting

Summary

•

Double-digit net revenue growth for 2008, but GDV growth rates

are slowing in the U.S.

•

Longer-term performance objectives based on secular trends

and competitive industry conditions

•

Growth fueled by strong secular market trends

•

Global diversity provides buffer against regionalized economic

conditions

•

Investment in the business provides opportunities for future

growth

•

Strong cash flow generation continues to support attractive

shareholder returns

Strong Business Model Attractive Financial Results