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Agenda

• Introductions
• Brief Overview Of DB
• The DUNSRight Quality Process
• DB Credit Bureau Services
• QA
• Next Steps

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DB - Global Leader for 160 Years

• Started in 1841 to establish a credit information
  network
• DB owns and maintains the worlds largest and
  most comprehensive database on over 89 million
  business entities
• Country Coverage 214 countries
• Languages/ Dialects covered 95
• Currencies covered 181
• Updated nearly one million times every day
• 2003 worldwide revenue US 1.4 billion

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DB Solutions

• DB is the leading provider of global credit
  information and technology solutions
• Over 90 of the Business Week Global 1000 rely on
  DB as a trusted partner to make confident
  business decisions
• Over 150,000 Subscribers Globally
• DB is the driving force in setting up credit
  bureaus in many countries

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The DUNSRightTM Quality ProcessThe Power Behind
Quality Information

• 2005
• DB Proprietary Information provided for internal
  use only and may not be provided to third parties
  without DB's written consent

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DB's intense commitment to our customers is
reflected in our aspiration
To be the most trusted source of business insight
so our customers can decide with confidence

• To be something we are always striving to
  achieve
• The most trusted a level of trust that is
  unrivaled and is built on our 160-year heritage
• Source the one and only place a customer can
  and should go for business information
• Business insight what we provide not just
  data, not just information
• So our customers can we always want to enable
  our customers you come first and our success
  depends on your success
• Decide with confidence to make critical
  business decisions with the utmost confidence
  with DB what our Brand stands behind.

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Because There Are Thousands Of Sources Of Data,
It Is Challenging To Ensure That Your Decisions
Are Based On Quality Information
Decisions
Quality Information
????
Thousands of Sources of Data
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Particularly, When Business Changes So
Frequently

• In the next 60 minutes in our US records
• 251 businesses will have a suit, lien or judgment
  filed against them
• 246 business telephone numbers will change or be
  disconnected
• 58 business addresses will change
• 81 directorship (CEO, CFO, etc.) changes will
  occur
• 41 new businesses will open their doors
• 11 companies will change their names
• 7 businesses will file for bankruptcy
• So in a year in our active US records
• 21 of CEOs will change
• 20 of addresses will change
• 18 of telephone numbers will change
• 17 of business names will change

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DB Has 160 Years Of Experience In Collecting
From Multiple Sources And Enhancing Data Into The
Quality Information That Drives Profitable
Decisions
Decisions
Quality Information
Thousands of Sources of Data
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This Process Of Collecting And Enhancing Data Is
Called DUNSRightTM And Consists Of Quality
Assurance Plus Five Quality Drivers
Entity Matching 2
D-U-N-S Number 3
Corporate Linkage 4
Predictive Indicators 5
Global Data Collection 1
Quality Information
DB Global Database
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We Collect The Most Complete Data About
Customers, Prospects And Suppliers

• Direct Investigations, News and Media
• 115 million phone calls annually to businesses
• Top News providers
• Merger/Acquisitions

• Payment and Financial Data
• 639 million trade records updated annually
• 100 coverage of Public company financials
• 97 of all financial sts are privately held cos

• DB Global Database
• 92 million businesses
• Over 200 countries

• Public Records and Government Registries
• 135 million
• Suits, liens, judgments and bankruptcy filings
• Business registrations

Over 1 Million Daily Updates

• Web Sources and Directories
• 3.0 million URLs on D-U-N-S numbers
• Each URL mined to confirm correct business
• 300,000 customers providing online updates

DB D-U-N-S Number
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Only DBs Entity Matching Detects Similarities
In Incoming Data And More Accurately Combines It
Into One Single Business
Multiple Unmatched Pieces of Data
ABC, Inc 123 Elm St. Bethlehem, PA 18025 (SIC)
5411-02 Chuck Smith, President
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Chucks Mini-Mart P.O. Box 111 Bethlehem, PA
18055 (SIC) 5411-02 Chuck Smith, President 610
882-7600
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Charles Smith 123 Elm St. Bethlehem, PA
18025 (SIC) 5541-99 215 882-7600
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The D-U-N-S Number Opens New Areas Of
Opportunity To Your Business By

• Helping verify that a business exists
• Clarifying existing data, identifying duplication
  and showing related businesses
• Allowing you to more easily manage large groups
  of customers or prospects when appended to your
  information
• Enabling fast and easy data updates from DB when
  appended to your information
• Providing complete view of prospects and
  customers by placing businesses, where
  applicable, within their domestic and global
  corporate families, identifying penetration and
  opportunities for up-sell and cross-sell

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Our Nine-Digit Global D-U-N-S Number Allows
A Business To Be Easily Tracked
Through
Changes And Updates

• Retained for the life of a business
• No two businesses ever receive the same D-U-N-S
  Number
• D-U-N-S Numbers are never recycled
• Retained when a company moves anywhere within the
  same country, unlike competitive numbering
  systems
• Acts as an industry standard for business
  identification
• Recommended by United Nations, European
  Commission and over 50 industry groups

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The D-U-N-S Number Is Key To The Entire
DUNSRight Process

• Quality Assurance D-U-N-S Number allows for
  verification of information at every stage of the
  DUNSRight process
• Global Data Collection If data is not linked to
  an existing D-U-N-S Number, it indicates the
  possibility of a new business
• Entity Matching The D-U-N-S Number allows new
  data to be accurately matched to existing
  businesses
• Corporate Linkage Corporate families are
  assembled based on each businesss D-U-N-S
  Number
• Predictive Indicators D-U-N-S Numbered data is
  used to build predictive tools

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We Track Businesses From The Time They Exhibit
The Smallest Amount Of Commercial Activity. When
Activity Reaches A Certain Level, DB Assigns A
D-U-N-S Number
Office Equipment
Funding Services
Insurance
Advertising
Business Activity
Delivery Services
Phone Line
Marketing Responses
Legal Services
Other Products and Services
How DB Tracks
Business Registrations
Alliance Files
Post Office Files
Trade Experience Files
Telephone Directories
Customer Inquiry
Business Directories
Public Record Filings
Public Record Govt Filings
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The D-U-N-S Number will help aggregate data from
multiple and disparate systems to gain better
insight with one complete view of your prospects,
customers and suppliers
Your Internally Disparate Databases
ABC, Inc 123 Elm St. Bethlehem, PA 18025 Chuck
Smith, President Service issues
Charles Smith VP, Marketing 123 Elm
St. Bethlehem, PA 18025 New product information
Company lacks one view of information
Chucks Mini-Mart P.O. Box 111 Bethlehem, PA
18055 Chuck Smith, President Order details
ABC, Inc P.O. Box 111 Bethlehem, PA 18055 Chris
White, Controller Receivable details
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Without Corporate Linkage, These Companies
Appear Unrelated
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By Applying DBs Corporate Linkage, You Can
View The Entire Corporate Family With No Limit
In Depth Or Breadth
Fictional example
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There Are Three Types Of Predictive Indicators
Enabled By Our Unique Capabilities...

• Three Types
• Descriptive Ratings - Overall descriptive grade
  of a companys past performance. Uses historical
  information to provide a current rating to help
  estimate future credit worthiness
• Predictive Scores Prediction of how likely it
  is for a business to pay promptly or continue as
  an ongoing concern
• Demand Estimators Estimation of how much of a
  product a business is likely to buy in total
• Unique Capabilities
• Analytical capability a dedicated team of
  experienced B-to-B expert PhDs build the
  underlying predictive models
• Data capabilities access to
• Industry-specific knowledge
• Financial and payment information on numerous
  private companies
• Extensive historical information for analysis

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We Have A Powerful Competitive AdvantageIn Our
Five Key Drivers Which Are Built On A Foundation
Of Quality Assurance
Quality Assurance
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The DB Trade Exchange Program a core component
of the DB DUNSRightTM Process

• Feb 2005
• DB Proprietary Information provided to National
  Advisory Group Meeting for its internal use only
  and may not be provided to third parties without
  DB's written consent

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DB's Trade Exchange Program has been in place
since 1975

• Replaced manual processes - mail, fax and phone
  collection of data
• Generically called Trade Tape Program
• Data Collection began with Tapes evolved with
  technology advancements to diskettes, cartridges,
  FTP, email
• Early adopters were traditional credit grantors
  who invoiced relatively large amounts raw
  material providers, manufactures, wholesalers.
• Later adopters include payments for bills to
  service providers - delivery, telephones - and
  financial services providers.
• Now represents the most robust commercial payment
  database in the credit information industry

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DB's Trade Exchange Program is voluntary and
confidentiality and data security are its core
values

• Source of Payments are not published or made
  available in products
• Customer Participation is not publicized
• A 4 digit file number is used in all internal
  processing
• Alphabetized lists of vendors only released when
  necessary, but correlation to experience never
  released
• A participants file will never be reproduced as
  specific list NEVER!

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DB's Trade Exchange Program provides
participants important benefits

• Fulfill Obligation through standardize method for
  reporting payment habits
• Improve DSO through reporting
• Link and standardize customer files with free
  DUNS Numbers
• Identify Corporate Families with free Ultimate
  DUNS Numbers
• Discount on Monitoring Services
• Discount on Industry Specific Credit Score
  Products
• Easily and cost effectively facilitate use of DB
  products including RAM and models

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DB's Trade Exchange Program does not require
participants to provide a specific file layout

• Any of the following types Of Input Files are
  acceptable
• Already calculated historical experiences
• Aged Trial Balance
• Open Invoices
• Open Paid Invoices
• Combinations of the above
• But the Following identification data elements
  are required
• Customer/Account Number
• Customer Name
• Billing Address
• City/State/Zip
• Customer Telephone Number
• We make it easy but we need to match to correct
  entity!

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DB's Trade Exchange Program has an extensive
data quality and verification process

• Rules Discussion that takes into consideration
  industry standards and credit philosophy
• Sample Creation to validate data against
  customers knowledge and records
• Approval Discussion takes place to discuss rules
  and sample
• Ongoing Validation occurs with each data
  submission to validate number of accounts,
  amounts, payment percents and other metrics
• Annual Review occurs each year when participants
  receive updated sample of processing results of
  file

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After verification, DB's Trade Exchange Program
loads trade payment data to database and is
displayed per below at the business level
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DB's Trade payment data is summarized at the
business level as shown below
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DB's Trade payment data is used to calculate the
DB Paydex below at the business level as shown
below
Paydex 68 17 days beyond terms
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DB's Trade Exchange Program uses a unique and
proprietary program to calculate Payment
Experiences
PPT SLOW 30 SLOW 60 SLOW 90 SLOW
120 PURCHASE PAYMENT OWES CURRENT 1 TO
30 31 TO 60 61 TO 90 OVER 90 JAN 1,000
0 1,000 1,000 0 0
0 0 FEB 2,000 0 3,000
2,000 1,000 0 0 0
MAR 3,000 0 6,000 3,000 2,000
1,000 0 0 APR 4,000
0 10,000 4,000 3,000 2,000 1,000
0 MAY 0 10,000 0 0
0 0 0 0 JUN
0 0 0 0
0 0 0 0 JUL 0
0 0 0 0
0 0 0 AUG 0
0 0 0 0 0
0 0 SEP 0 0
0 0 0 0 0
0 OCT 0 0 0
0 0 0 0
0 NOV 0 0 0
0 0 0 0 0
DEC 0 0 0
0 0 0 0 0

TOTAL
10,000
6,000 3,000 1,000
0 PAY
10,000 4,000
3,000 2,000 1,000
0 PAY

40 30 20
10 0
BEST/WORST DATE OF EXP MM/04
30/10 MANNER OF PAY PPT-SLOW 60 HIGH
CREDIT 10,000 AMOUNT OWING 0 PAST
DUE 0 LAST SALE WITHIN 6-12 MONTHS
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This Process Of Collecting And Enhancing Data Is
Called DUNSRightTM And Consists Of Quality
Assurance Plus Five Quality Drivers
Entity Matching 2
D-U-N-S Number 3
Corporate Linkage 4
Predictive Indicators 5
Global Data Collection 1
Quality Information
DB Global Database
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DB Credit Bureau Services
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What is a Credit Bureau?
Members Financial and Non - Financial Institution
s

• Public Sources
• Registries
• Stock Exchange
• Courts

• Contribute Data
• Credit Application
• Payment History
• Default Data

Data Input Only
Credit Bureau

• Other Sources
• Commercial
• Data Provider

• Buy Information
• Credit Report
• Monitoring Service

Business owner and consumer can access and update
own information
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Benefits of a Credit Bureau

• Faster and more accurate lending decisions
• Over time, data can be computed for scoring and
  rating
• Provide early warning to reduce credit
  delinquencies and lower default rate
• Reduce severe level debts
• Default reduction by 38 to 85 (Barron and
  Staten Study)
• Reduces cost in debt recovery
• Effective tool for fraud detection
• Increase credit volume penetration to lower
  income groups
• Enables risk based pricing
• Lower cost of credit for good borrower

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Benefits of a Credit Bureau

• Support responsible lending/borrowing practices
• Adds consistency and fairness in assessment
• More sound market development and growth
• 2X Easier for SME to obtain loans for their
  business. (World Bank Survey)
• Support designing and monitoring of risk
  management policies

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Type of Bureaus
Comprehensive Bureau

• Negative info
• Positive info

Negative Bureau

- Negative info
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Key Success Factors
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DB Credit Bureau Capabilities
DB Understands The Importance of Information and
Know How to Build a World Class Credit Bureau. . .

• Extensive experience in working with Central
  Banks and Association of Banks around the world.
• A global leader with strong local knowledge is
  the result of DBs direct presence and through
  strategic partnership relationships.
• In-depth understanding of local market conditions
  and needs due to close working relationship with
  government authorities and local offices /
  partners.
• Sophisticated technology to manage both
  commercial and consumer data and generate
  decisions.

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DBs Performance Track Record

• Mexico (Buro de Credito)
• Established in 1996
• Set up commercial bureau for a consortium of
  banks and commercial companies
• DB provided its expertise in workflow design,
  information technology, database management and
  the DB Commercial Credit Bureau Software
• Database of about 1ML records provided by both
  banks and commercial companies
• 275 Members made up of -
• Banks 55
• Non-bank Financial Institutions 118
• Commercial Companies (Telecoms, retail, etc)
  102
• Ownership Structure 75 by banks (through the
  Association of Banks) and 25 by DB

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DBs Performance Track Record

• Thailand (Central Credit Information Services)
• Established in 1999
• Set up to operate and manage consumer and
  commercial bureau
• DB was a strategic partner and service provider
  for the commercial credit bureau platform and
  provided DBs customized software to meet the
  needs of the bureau.
• Database of 1.5ML commercial and 7.8ML consumer
  records provided by banks and financial
  institutions
• Ownership Structure 50 by banks (through the
  Association of Banks), 25 by TU and 25 through
  DBs JV in Thailand

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DBs Performance Track Record

• India (CIBIL)
• Established in 2001
• DB Commercial Bureau Platform deployed
• Assisted RBI in setting up Standing Committee to
  define business rules, Legislation (Banking
  Secrecy Act), Code of Conduct, Bureau by-laws,
  Security standards, etc
• Database of about 8ML records provided by banks
• Ownership Structure 40 by State Bank of India,
  40 by HDFC, 10 by DB and 10 by TU

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DBs Performance Track Record

• Singapore (CBS)
• Established in 2001
• DB was the Project Manager and Consultant
  working with the Association of Banks in
  Singapore and financial institutions to set up
  the bureau
• Assisted in defining business rules, Legislation
  (Banking Secrecy Act), Code of Conduct, Bureau
  by-laws, Security standards, etc
• Database of about 1ML consumer records provided
  by banks
• Ownership Structure 25 by Association of Banks
  and 75 by DBIC (DB Infocredit)

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DBs Performance Track Record

• Malaysia (CCRIS)
• Established in 2001
• DB was the Project Manager and Consultant
  working with Bank Negara Malaysia to set up the
  bureau
• Assisted in defining business rules, Legislation
  (Banking Secrecy Act), Code of Conduct, Bureau
  by-laws, Security standards, etc
• Database of about 5ML company and consumer
  records provided by banks
• Ownership Structure 100 owned by Bank Negara
  Malaysia

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DBs Performance Track Record

• South Korea (NICE)
• Established in 1986
• Largest consumer bureau in South Korea with a
  database of 160 ML consumer records provided by
  both FIs and non-FIs
• DB provided consulting and system design for
  NICEs New Generation Consumer Credit Bureau
  Platform
• The New Generation Platform features
  functionalities and product services that are
  comparable to those used in countries with
  well-developed credit bureaus
• Ownership Structure shareholders include Korea
  Federation of Banks and banks

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DBs Performance Track Record

• Hong Kong (Commercial Credit Reference Agency)
• DB appointed by Hong Kong Association of Banks
  and The DTC Association as service provider for
  the Commercial Credit Reference Agency in August
  2003
• DB Commercial Credit Bureau Platform deployed in
  November 2004
• SME data to be provided by credit providers
• Ownership Structure 100 owned by DB HK

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Current Developments

• Israel
• Recent landmark legislation enables a consumer
  credit bureau industry to begin in Israel
• DB Israel to provide consumer credit bureau
  service
• DB Consumer Credit Bureau Platform to be
  deployed in Israel in Q3 2005

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Current Developments

• The Department of Economic Development (DED),
  Government of Dubai
• Initiative by the Government of Dubai to create a
  neutral platform to improve transparency within
  its thriving economy
• DB to provide the Consumer and Commercial
  Credit Bureau Platform
• Dubai Credit Bureau to be operational in 2005

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Overview of Credit Bureau System
Data Contributor
Inquiry Process
Public Data Sources
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Platform
Visual Studio, 2000, ASP,Java Script, XML

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Project Stages
Planning
Legislation Framework
Management Operations
Role of Central Bank
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Project Stages
Implementation
Technical
Financial
Operational
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How can DB help?

• Planning Stage
• Working Group discussions
• Share international best practices
• Project Consultant/Manager
• Investment
• Implementation Stage
• Project Management
• Technology Provider

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DB as THE strategic partner in credit bureau
solutions

• DB engaged as strategic partner in credit
  bureaus in its capacity as
• Equity Partner
• Technology Partner
• Software license
• Customization
• Operations Management
• Facilities Management

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• QA
• Next Steps

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Thank You!