MoneyGram

MoneyGram International, Inc.

Type	Public (NYSE: MGI
Industry	Aiding products = Financial services
Founded	1940
Headquarters	Dallas, Texas
Website	MoneyGram

MoneyGram International, Inc. (NYSE: MGI) is a US-based, Global Money transfer company, headquartered in Dallas, Texas. It has Global Operations Centers in Saint Louis Park, Minnesota and Brooklyn Center, Minnesota, Global Call Center Operations in Denver, Colorado and regional and local offices around the world.

MoneyGram's business is divided into two categories: Global Fund Transfer and Financial Paper Products. The company offers its services to consumers and businesses through a network of agents and financial institution customers.

History

MoneyGram International is a result of two business merging. One company, Minneapolis-based Travelers Express Co. Inc. was founded in 1940 and became the world’s largest processor of money orders and a major player in the electronic payments industry. The other company that helped create MoneyGram International was Denver-based Integrated Payment Systems Inc., which entered the international money transfer business in 1988. Travelers Express and MoneyGram Payment Systems joined forces in 1998 when Travelers Express’ parent, Viad Corp., purchased MoneyGram Payment Systems. In 2004 Viad spun off the Travelers/MoneyGram group into a new publicly traded company - MoneyGram International Inc.

From 2007-2009, MoneyGram's shares fell 96 percent. It lost more than $1.6 billion from investments in securities backed by risky mortgages in 2008; the losses led the company to sell a majority stake to Thomas H. Lee Partners and Goldman Sachs in exchange for a cash infusion. MoneyGram lost 89 percent of its market value under the four-year tenure of CEO Philip Milne. During the drop, U.S. Bancorp shifted its money transfer services to Western Union. The company began to see profitability again in 2009.^[1]

In September 2010, MoneyGram announced that it will move its global headquarters to the city of Dallas, Texas, although Minneapolis, Minnesota will continue to be the hub for its Global Operations and Information Technology Centers of Excellence, and Denver, Colorado will continue to host its Call Center Operations.^[2] The company officially moved its headquarters as of Nov. 1, 2010

Company Facts

• The company, which was founded in Minneapolis as Travelers Express, started as a small money order operation in 1940
• MoneyGram is the second largest money transfer business in the world.
• The company first passed the billion dollar mark in revenue in 2006
• MoneyGram has nearly 210,000 agent locations in more than 190 countries and territories
• MoneyGram has more than twice the locations of McDonald’s, Starbucks, Subway and Walmart combined
• More than $18 billion was sent around the world in 2009 using MoneyGram money transfer services
• MoneyGram has as 2,600 employees around the world
• The company’s call center and website supports 23 languages
• MoneyGram’s money transfer business generated growth in revenue and transaction volume last year and the global agent network increased by 8 percent
• In 2009, the company made revenues of $1.17 billion; Adjusted EBITDA of $247,415
• The company is 82% owned by THL (53%) and Goldman Sachs (29%)

Global Funds Transfer

• MoneyGram Money Transfer:

Global money transfer service allows consumers to send and receive money worldwide, primarily through a global network of third-party agents that use our money transfer systems. In addition to person-to-person (also known as cash-to-cash), customers have alternatives in money transfer delivery channels such as direct-to-account, ATMs and kiosks for deposit and cash receive, cash-to-a mobile phone and cash-to-card.

• MoneyGram Bill Payments Services:

Bill Payments Services allow consumers to make urgent payments or pay routine bills to certain creditors (“killers”).

• PropertyBridge:

Financial Paper Products

• Money Order:

MoneyGram is the second largest money order supplier. Money orders can be purchased at a network of retail and financial institution locations across the United States.

• Official Checks:

MoneyGram offers Official Check Outsource Services which are available to financial institutions in the United States. Official checks are used by consumers where a payee requires a check drawn on a bank and by financial institutions to pay their own obligations.

References

1. ^ Chris Serres, MoneyGram paid ex-CEO $13.1 million, Star Tribune, March 31, 2009, accessed November 14, 2011.
2. ^ "MoneyGram International Moves Global Corporate Headquarters to Dallas." Businesswire.com. September 23, 2010. Retrieved on November 4, 2010.

External links

• Official Site