NYSE-listed Western Union Company, a global leader in money transfer services, has entered into an agreement to acquire the money transfer business of Europe-based FEXCO, one of the company’s largest Agents.

It may be noted that, FEXCO has been a Western Union Agent since 1990, and in 2001 Western Union acquired a 25 percent stake in its overall business. As part of the deal, Western Union will surrender its stake in the non-money transfer business of FEXCO.

The purchase of the FEXCO money transfer business and the surrender of Western Union's stake in FEXCO's other businesses will result in a net cash payment by Western Union to FEXCO of €123.1 million.

FEXCO currently manages and provides all services and support to more than 10,000 consumer-facing locations in seven European countries: the United Kingdom, Spain, Ireland, Sweden, Norway, Denmark and Finland. Upon completion of the deal, approximately 300 FEXCO employees are expected to join Western Union
Post transaction, Western Union will directly manage more than 10,000 consumer-facing locations in seven European countries and provide direct training, marketing and operations support.

The transaction, expected to close the first half of 2009 and subject to customary regulatory approvals and closing conditions.