MINNEAPOLIS--(BUSINESS WIRE)--October 30, 2009--MoneyGram International, Inc. (NYSE:MGI), a leading global payment services company, today reported financial results for the third quarter of 2009.

“In the third quarter we made great progress on our expansion initiatives and on our efforts to actively manage our debt,” said Pamela H. Patsley, MoneyGram International chairman and chief executive officer. “While our third quarter results were affected by several items, we do not believe that these are reflective of the underlying strength of the business. During the quarter, we saw improved growth in our money transfer business, signed and renewed several key agents around the globe and implemented initiatives focused on reducing costs, streamlining processes and improving efficiencies. I am confident that as a company we are re-energized and collectively taking the right steps to position MoneyGram for long-term profitable growth.”

The Company ended the third quarter with assets in excess of payment service obligations of $410.5 million, and earlier in this month paid down the remaining $45.0 million balance on its revolving credit facility. Over the last six months, the Company has paid down $145.0 million of its outstanding debt.

In the third quarter of 2009, the Company continued its focus on expanding its agent network. For example, MoneyGram recently:

“As we move into 2010, we will continue to expand our network and further enhance our product and service offerings thus increasing value and brand loyalty for our customers,” added Patsley. “The adoption of new services, such as mobile text message ‘receive’ notifications and multi-currency payout, coupled with our MoneyGram Rewards global loyalty program, create a formidable platform for growth.”

Total revenue for the Global Funds Transfer segment rose to $285.0 million in the third quarter of 2009 from $279.5 million in the same period last year. Segment results were impacted by a 6 percent increase in money transfer transaction volume excluding bill payment, partially offset by currency valuation changes and a decline in average money transfer fees. The segment reported operating income of $13.7 million, and an operating margin of 4.8 percent in the third quarter. Both operating income and margin were impacted by $27.1 million of the significant items discussed above. Adjusted margin was 14.3 percent.

Money transfer transaction volume excluding bill payment increased 6 percent and revenue increased 3 percent to $235.2 million in the third quarter of 2009 from $228.0 million in the third quarter of 2008. On a constant currency basis, money transfer revenue excluding bill payment improved 5 percent.

Money transfer transaction volume including bill payment was up 4 percent and revenue improved by 2 percent to $266.5 million in the third quarter of 2009 from $260.0 million in the third quarter of 2008. On a constant currency basis, money transfer revenue including bill payment improved 4 percent.

In the third quarter, money transfer transactions excluding bill payment originating in the United States and Canada increased 9 percent. Including bill payment, transactions increased 4 percent in the quarter from the prior year. Transactions originating outside of North America increased 8 percent from the prior year. Spain’s economic downturn continues to impact the Company’s international transaction growth. Excluding Spain, transactions originating outside of North America increased 17 percent from the prior year.

MoneyGram’s transaction volume to Mexico decreased 10 percent in the quarter. However, the Company continued to see positive growth in its domestic U.S. business, and throughout much of Latin America and Canada.

Payment Systems total revenue declined to $18.5 million in the third quarter of 2009 from $25.5 million in the third quarter of 2008. Net revenue in 2009 reflects investment revenue of $5.1 million and a net securities gain of $2.1 million, while 2008 net revenue reflects $26.8 million of investment revenue and $11.2 million in net securities losses and $10.6 million in commission expense. The segment reported operating income of $7.0 million in the third quarter of 2009, up from $1.9 million in the third quarter of 2008. Operating margin improved to 38.0 percent in the third quarter of 2009 from 7.6 percent in the comparable period last year.

In the third quarter, the Company recorded an accrual of $6.0 million related to a settlement with the Federal Trade Commission (FTC) regarding customer complaints that third parties have inappropriately used MoneyGram’s money transfer services in conjunction with consumer fraud activities. This $6.0 million accrual is in addition to a $12.0 million accrual taken by the Company during the second quarter of 2009 toward the potential settlement. In combination, these accruals fully satisfy the monetary terms of the Company’s settlement with the FTC.

Also during the quarter, the Company recorded an accrual for $16.5 million related to a verdict returned in a suit brought by Western Union involving certain Western Union patents. Post-trial motions are pending, including the Company's motions for judgment in its favor and for a new trial. The Company continues to evaluate next steps, including a possible appeal if its post-trial motions are not successful.

In addition to results presented in accordance with GAAP, this press release and related tables include certain non-GAAP financial measures, including a presentation of EBITDA (earnings before interest, taxes, depreciation and amortization, including agent signing bonus amortization) and Adjusted EBITDA (EBITDA adjusted for significant items). The following tables include a full reconciliation of these non-GAAP financial measures to the related GAAP financial measures.

We believe that EBITDA and Adjusted EBITDA provide useful information to investors because they are an indicator of the strength and performance of ongoing business operations, including our ability to service debt and fund capital expenditures, acquisitions and operations. These calculations are commonly used as a basis for investors, analysts and credit rating agencies to evaluate and compare the operating performance and value of companies within our industry. In addition, the Company’s debt agreements require compliance with financial measures based on EBITDA and Adjusted EBITDA. Finally, EBITDA and Adjusted EBITDA are financial measures used by management in reviewing results of operations, forecasting, assessing cash flow and capital, allocating resources and establishing employee incentive programs.

Although MoneyGram believes the above non-GAAP financial measures enhance investors’ understanding of its business and performance, these non-GAAP financial measures should not be considered an exclusive alternative to accompanying GAAP financial measures.

MoneyGram International will have a conference call today at 9:00 a.m. ET, 8:00 a.m. CT to discuss its third quarter 2009 results. Pamela H. Patsley, chairman and chief executive officer, and Jeff Woods, executive vice president and chief financial officer, will host the call. The conference call can be accessed by calling 1-877-548-7911 in the U.S. The participant confirmation number is 8914415. A replay of the conference call will be available one hour after the call concludes through 5:00 p.m. ET on Nov. 6, 2009. The replay of the call is available at 1-888-203-1112 for U.S. callers or 1-719-457-0820 for international callers. The confirmation code is 8914415.

MoneyGram International, Inc. is a leading global payment services company. The Company's major products and services include global money transfers, money orders and payment processing solutions for financial institutions and retail customers. MoneyGram is a New York Stock Exchange listed company with approximately 186,000 global money transfer agent locations in 190 countries and territories. For more information, visit the Company's website at www.moneygram.com.

The statements contained in this press release regarding MoneyGram International, Inc. that are not historical and factual information contained herein, particularly those statements pertaining to MoneyGram’s expectations, guidance or future operating results, are forward-looking statements and are made under the Safe Harbor provisions of the Private Securities Litigation Reform Act of 1995. These statements are only as of the date they are made, and unless legally required, MoneyGram undertakes no obligation to update or revise publicly any forward-looking statement. Words such as “estimates,” “expects,” “projects,” “plans” and other similar expressions or future or conditional verbs such as “will,” “should,” “could,” and “would” are intended to identify such forward-looking statements. These forward-looking statements are based on management's current expectations and are subject to uncertainty and changes in circumstances due to a number of factors, including, but not limited to the following: (a) our substantial dividend and debt service obligations and our covenant requirements which could impact our ability to obtain additional financing and to operate and grow our business; (b) sustained illiquidity of global financial markets which may adversely affect our liquidity and our agents’ liquidity, our access to credit and capital and our agents’ access to credit and capital and our earnings on our investment portfolio; (c) weak economic conditions generally and in geographic areas or industries that are important to our business which may cause a decline in our money transfer growth rate and transaction volume and/or revenue; (d) a material slow down or complete disruption of international migration patterns which could adversely affect our money transfer volume and growth rate; (e) a loss of material retail agent relationships or a reduction in transaction volume from them; (f) our ability to develop and implement successful pricing strategies for our services; (g) stockholder lawsuits and other litigation or government investigations of the Company or its agents which could result in material costs, settlements, fines or penalties; (h) our ability to maintain sufficient banking relationships; (i) our ability to attract and retain key employees; (j) our ability to maintain capital sufficient to pursue our growth strategy, fund key strategic initiatives and meet evolving regulatory requirements; (k) our ability to successfully and timely implement new or enhanced technology and infrastructure, delivery methods and product and service offerings and to invest in products, services and infrastructure; (l) our ability to adequately protect our brand and our other intellectual property rights and to avoid infringing on third-party intellectual property rights; (m) competition from large competitors, niche competitors or new competitors that may enter the markets in which we operate; (n) the impact of laws, regulatory requirements, and other industry practices in the U.S. and abroad, including changes in laws, regulations or other industry practices and standards that may increase our costs of doing business or reduce the market for or value of our services; (o) our offering of money transfer services through agents in regions that are politically volatile or, in a limited number of cases, are subject to certain Office of Foreign Assets Control (“OFAC”) restrictions which could result in contravention of U.S. law or regulations by us or our agents which could subject us to fines and penalties and cause us reputational harm; (p) a breakdown, catastrophic event, security breach, privacy breach, improper operation or other event impacting our systems or processes or our vendors’, agents’ or financial institution customers’ systems or processes, which could result in financial loss, loss of customers, regulatory sanctions and damage to our brand and reputation; (q) our ability to scale our technology to match our business and transactional growth; (r) our ability to manage our credit exposure to retail agents and financial institution customers; (s) our ability to mitigate fraud risks from consumers, agents and other third parties; (t) our ability to successfully manage risks associated with running Company-owned retail locations and acquiring new businesses; (u) our ability to successfully manage risks associated with our international sales and operations including the potential for political, economic or other instability in countries that are important to our business; (v) our compliance with the internal control provisions of Section 404 of the Sarbanes-Oxley Act of 2002; (w) the outcome of positions we take with respect to federal, state, local and international taxation; (x) additional risk factors described in our other filings with the Securities and Exchange Commission from time to time.

TABLE ONE
MONEYGRAM INTERNATIONAL, INC.
CONSOLIDATED STATEMENTS OF LOSS
(Unaudited)


	Three Months Ended									Nine Months Ended
	September 30,						2009 vs			September 30,						2009 vs
(Amounts in thousands, except per share data)	2009			2008			2008			2009			2008			2008

REVENUE
Fee and other revenue	$	294,863		$	286,021		$	8,842		$	841,500		$	830,699		$	10,801
Investment revenue		6,849			32,231			(25,382	)		26,995			128,294			(101,299	)
Net securities gains (losses)		2,738			(13,253	)		15,991			7,027			(350,844	)		357,871
Total revenue		304,450			304,999			(549	)		875,522			608,149			267,373
Fee commissions expense		128,352			131,397			(3,045	)		368,660			377,727			(9,067	)
Investment commissions expense		375			9,968			(9,593	)		1,128			101,472			(100,344	)
Total commissions expense		128,727			141,365			(12,638	)		369,788			479,199			(109,411	)
Net revenue		175,723			163,634			12,089			505,734			128,950			376,784

EXPENSES
Compensation and benefits		58,963			53,541			5,422			158,234			173,976			(15,742	)
Transaction and operations support		82,573			48,530			34,043			198,223			151,894			46,329
Occupancy, equipment and supplies		12,254			11,069			1,185			35,517			34,682			835
Interest expense		26,127			27,834			(1,707	)		79,816			66,631			13,185
Depreciation and amortization		14,510			13,891			619			43,834			42,397			1,437
Valuation loss on embedded derivative		-			47,233			(47,233	)		-			16,030			(16,030	)
Debt extinguishment loss		-			-			-			-			1,499			(1,499	)
Total expenses		194,427			202,098			(7,671	)		515,624			487,109			28,515
Loss before income taxes		(18,704	)		(38,464	)		19,760			(9,890	)		(358,159	)		348,269
Income tax (benefit) expense		(400	)		88			(488	)		(110	)		26,087			(26,197	)
NET LOSS	$	(18,304	)	$	(38,552	)	$	20,248		$	(9,780	)	$	(384,246	)	$	374,466

Basic and diluted loss per common share	$	(0.60	)	$	(0.80	)	$	0.20		$	(1.19	)	$	(5.34	)	$	4.15

Net loss as reported	$	(18,304	)	$	(38,552	)	$	20,248		$	(9,780	)	$	(384,246	)	$	374,466
Preferred stock dividends		(28,277	)		(24,995	)		(3,282	)		(81,111	)		(50,810	)		(30,301	)
Accretion recognized on preferred stock		(2,580	)		(2,533	)		(47	)		(7,621	)		(5,192	)		(2,429	)
Net loss available to common stockholders	$	(49,161	)	$	(66,080	)	$	16,919		$	(98,512	)	$	(440,248	)	$	341,736

Weighted-average outstanding common shares ⁽¹⁾		82,505			82,464			41			82,497			82,452			45


⁽¹⁾ The following potential common shares are excluded as their effect is anti-dilutive in periods of net loss available to common stockholders:

Shares related to stock options and restricted stock		22,560			3,485						15,781			3,918
Shares related to preferred stock		370,082			327,324						370,082			327,324

TABLE TWO
MONEYGRAM INTERNATIONAL, INC.
CONSOLIDATED STATEMENTS OF (LOSS) INCOME (AS ADJUSTED)
(Unaudited)



	Three Months Ended September 30, 2009								Three Months Ended September 30, 2008
(Amounts in thousands)	As Reported			Adjustments ⁽¹⁾			Adjusted		As Reported			Adjustments ⁽¹⁾				Adjusted

REVENUE
Fee and other revenue	$	294,863		$	-		$	294,863	$	286,021		$	-			$	286,021
Investment revenue		6,849			-			6,849		32,231			-				32,231
Net securities gains (losses)		2,738			(2,738	)		-		(13,253	)		13,253				-
Total revenue		304,450			(2,738	)		301,712		304,999			13,253				318,252
Fee commissions expense		128,352			-			128,352		131,397			-				131,397
Investment commissions expense		375			-			375		9,968			-				9,968
Total commissions expense		128,727			-			128,727		141,365			-				141,365
Net revenue		175,723			(2,738	)		172,985		163,634			13,253				176,887

EXPENSES
Compensation and benefits		58,963			(8,933	)		50,030		53,541			(1,199	)			52,342
Transaction and operations support		82,573			(31,175	)		51,398		48,530			(24	)			48,506
Occupancy, equipment and supplies		12,254			-			12,254		11,069			-				11,069
Interest expense		26,127			-			26,127		27,834			-				27,834
Depreciation and amortization		14,510			-			14,510		13,891			-				13,891
Valuation loss on embedded derivative		-			-			-		47,233			(47,233	)			-
Total expenses		194,427			(40,108	)		154,319		202,098			(48,456	)			153,642
(Loss) income before income taxes	$	(18,704	)	$	37,370		$	18,666	$	(38,464	)	$	61,709			$	23,245



	Nine Months Ended September 30, 2009								Nine Months Ended September 30, 2008
(Amounts in thousands)	As Reported			Adjustments ⁽¹⁾			Adjusted		As Reported			Adjustments ⁽¹⁾				Adjusted

REVENUE
Fee and other revenue	$	841,500		$	-		$	841,500	$	830,699		$	-			$	830,699
Investment revenue		26,995			-			26,995		128,294			-				128,294
Net securities gains (losses)		7,027			(7,027	)		-		(350,844	)		350,844				-
Total revenue		875,522			(7,027	)		868,495		608,149			350,844				958,993
Fee commissions expense		368,660			-			368,660		377,727			-				377,727
Investment commissions expense		1,128			-			1,128		101,472			(27,735	)			73,737
Total commissions expense		369,788			-			369,788		479,199			(27,735	)			451,464
Net revenue		505,734			(7,027	)		498,707		128,950			378,579				507,529

EXPENSES
Compensation and benefits		158,234			(11,674	)		146,560		173,976			(19,017	)			154,959
Transaction and operations support		198,223			(47,150	)		151,073		151,894			(8,963	)			142,931
Occupancy, equipment and supplies		35,517			-			35,517		34,682			-				34,682
Interest expense		79,816			-			79,816		66,631			(1,982	)	⁽²⁾		64,649
Depreciation and amortization		43,834			-			43,834		42,397			-				42,397
Valuation loss on embedded derivative		-			-			-		16,030			(16,030	)			-
Debt extinguishment loss		-			-			-		1,499			(1,499	)			-
Total expenses		515,624			(58,824	)		456,800		487,109			(47,491	)			439,618
(Loss) income before income taxes	$	(9,890	)	$	51,797		$	41,907	$	(358,159	)	$	426,070			$	67,911


⁽¹⁾ See Table 5 - EBITDA and Adjusted EBITDA for a detailed listing of the adjustments.
⁽²⁾ Loss upon termination of interest rate swaps related to our debt.

TABLE THREE
MONEYGRAM INTERNATIONAL, INC.
GLOBAL FUNDS TRANSFER SEGMENT RESULTS (AS ADJUSTED)
(Unaudited)



	Three Months Ended September 30, 2009									Three Months Ended September 30, 2008
(Amounts in thousands)	As Reported			Adjustments ⁽¹⁾			Adjusted			As Reported			Adjustments ⁽¹⁾		Adjusted

Money transfer revenue
Fee and other revenue	$	266,466		$	-		$	266,466		$	259,952		$	-	$	259,952
Investment revenue		66			-			66			373			-		373
Net securities losses		-			-			-			(159	)		159		-
Retail money order and other
Fee and other revenue		17,043			-			17,043			16,203			-		16,203
Investment revenue		1,081			-			1,081			5,049			-		5,049
Net securities gains (losses)		367			(367	)		-			(1,891	)		1,891		-
Total Global Funds Transfer revenue		285,023			(367	)		284,656			279,527			2,050		281,577

Commissions expense		127,832			-			127,832			130,731			-		130,731
Net revenue	$	157,191		$	(367	)	$	156,824		$	148,796		$	2,050	$	150,846

Operating income	$	13,721		$	27,099		$	40,820		$	39,514		$	3,005	$	42,519

Operating margin		4.8	%					14.3	%		14.1	%				15.1	%



	Nine Months Ended September 30, 2009									Nine Months Ended September 30, 2008
(Amounts in thousands)	As Reported			Adjustments ⁽¹⁾			Adjusted			As Reported			Adjustments ⁽¹⁾		Adjusted

Money transfer revenue
Fee and other revenue	$	758,313		$	-		$	758,313		$	751,552		$	-	$	751,552
Investment revenue		172			-			172			1,454			-		1,454
Net securities losses		-			-			-			(4,240	)		4,240		-
Retail money order and other
Fee and other revenue		50,957			-			50,957			49,862			-		49,862
Investment revenue		4,058			-			4,058			18,919			-		18,919
Net securities gains (losses)		958			(958	)		-			(46,769	)		46,769		-
Total Global Funds Transfer revenue		814,458			(958	)		813,500			770,778			51,009		821,787

Commissions expense		367,053			-			367,053			375,845			-		375,845
Net revenue	$	447,405		$	(958	)	$	446,447		$	394,933		$	51,009	$	445,942

Operating income	$	61,352		$	43,583		$	104,935		$	66,462		$	53,059	$	119,521

Operating margin		7.5	%					12.9	%		8.6	%				14.5	%


⁽¹⁾ Represents the allocation to Global Funds Transfer of the adjustments detailed in Table 5 - EBITDA and Adjusted EBITDA.

TABLE FOUR
MONEYGRAM INTERNATIONAL, INC.
PAYMENT SYSTEMS SEGMENT RESULTS (AS ADJUSTED)
(Unaudited)



	Three Months Ended September 30, 2009									Three Months Ended September 30, 2008
(Amounts in thousands)	As Reported			Adjustments ⁽¹⁾			Adjusted			As Reported			Adjustments ⁽¹⁾			Adjusted

Fee and other revenue	$	11,354		$	-		$	11,354		$	9,869		$	-		$	9,869
Investment revenue		5,055			-			5,055			26,809			-			26,809
Net securities gains (losses)		2,095			(2,095	)		-			(11,203	)		11,203			-
Total Payment Systems revenue		18,504			(2,095	)		16,409			25,475			11,203			36,678

Commissions expense		896			-			896			10,635			-			10,635
Net revenue	$	17,608		$	(2,095	)	$	15,513		$	14,840		$	11,203		$	26,043

Operating income	$	7,023		$	(214	)	$	6,809		$	1,927		$	11,471		$	13,398

Operating margin		38.0	%					41.5	%		7.6	%					36.5	%



	Nine Months Ended September 30, 2009									Nine Months Ended September 30, 2008
(Amounts in thousands)	As Reported			Adjustments ⁽¹⁾			Adjusted			As Reported			Adjustments ⁽¹⁾			Adjusted

Fee and other revenue	$	32,205		$	-		$	32,205		$	28,989		$	-		$	28,989
Investment revenue		20,131			-			20,131			107,989			-			107,989
Net securities gains (losses)		5,386			(5,386	)		-			(299,835	)		299,835			-
Total Payment Systems revenue (losses)		57,722			(5,386	)		52,336			(162,857	)		299,835			136,978

Commissions expense		2,735			-			2,735			103,354			(27,735	)		75,619
Net revenue (losses)	$	54,987		$	(5,386	)	$	49,601		$	(266,211	)	$	327,570		$	61,359

Operating income (loss)	$	23,718		$	(2,701	)	$	21,017		$	(309,022	)	$	328,113		$	19,091

Operating margin		41.1	%					40.2	%		NM						13.9	%


⁽¹⁾Represents the allocation to Payment Systems of the adjustments detailed in Table 5 - EBITDA and Adjusted EBITDA.

TABLE FIVE
MONEYGRAM INTERNATIONAL, INC.
EBITDA AND ADJUSTED EBITDA
(Unaudited)



	Three Months Ended						Nine Months Ended
	September 30,						September 30,
(Amounts in thousands)	2009			2008			2009			2008

Loss before income taxes	$	(18,704	)	$	(38,464	)	$	(9,890	)	$	(358,159	)
Interest expense		26,127			27,834			79,816			66,631
Depreciation and amortization		14,510			13,891			43,834			42,397
Amortization of agent signing bonuses		7,331			10,711			24,413			27,809
EBITDA		29,264			13,972			138,173			(221,322	)

Significant items impacting EBITDA:
Net securities (gains) losses		(2,738	)		13,253			(7,027	)		350,844
Severance and related costs ⁽¹⁾		3,752			-			5,010			17,653
Impairment charges ⁽²⁾		8,409			-			12,267			-
Legal accruals ⁽³⁾		22,500			-			34,500			-
Stock-based compensation expense ⁽⁴⁾		5,447			1,223			7,047			2,594
Valuation loss on embedded derivatives⁽⁵⁾		-			47,233			-			16,030
Transaction costs related to the recapitalization		-			-			-			7,733
Debt extinguishment loss ⁽⁶⁾		-			-			-			1,499
Valuation loss on interest rate swaps ⁽⁷⁾		-			-			-			27,735
Adjusted EBITDA	$	66,634		$	75,681		$	189,970		$	202,766


⁽¹⁾ Severance and related costs from executive terminations, none of which is allocated to the segments. Related costs are included in the "Transaction and operations support" line in our Consolidated Statements of Loss.
⁽²⁾ Impairment of the corporate airplane, goodwill and capitalized software in connection with exit plans, of which $3.2 million is allocated to Global Funds Transfer for the nine months ended September 30, 2009 and $1.4 million and $2.1 million is allocated to Payment Systems for the three and nine months ended September 30, 2009, respectively.
⁽³⁾ Legal accruals for Global Funds Transfer related to a patent lawsuit and a settlement agreement with the Federal Trade Commission.
⁽⁴⁾ Substantially all stock-based compensation is included in the "Compensation and benefits" line in our Consolidated Statements of Loss.
⁽⁵⁾ Change in the fair value of embedded derivatives in our preferred stock, none of which is allocated to the segments.
⁽⁶⁾ Relates to the amendment of the Senior Credit Facility during the recapitalization, none of which is allocated to the segments.
⁽⁷⁾ Loss upon the termination of interest rate swaps related to the official check business in Payment Systems.

TABLE SIX
MONEYGRAM INTERNATIONAL, INC.
CONSOLIDATED BALANCE SHEETS
(Unaudited)

	September 30,			December 31,
(Amounts in thousands, except share data)	2009			2008
ASSETS
Cash and cash equivalents	$	-		$	-
Cash and cash equivalents (substantially restricted)		3,876,105			4,077,381
Receivables, net (substantially restricted)		958,937			1,264,885
Trading investments and related put options (substantially restricted)		25,804			47,990
Available-for-sale investments (substantially restricted)		324,942			438,774
Property and equipment		128,110			156,263
Intangible assets		11,949			14,548
Goodwill		428,117			434,337
Other assets		153,175			208,118
Total assets	$	5,907,139		$	6,642,296

LIABILITIES
Payment service obligations	$	4,775,290		$	5,437,999
Debt		879,171			978,881
Pension and other postretirement benefits		131,964			130,900
Accounts payable and other liabilities		140,183			121,586
Deferred tax liabilities		13,476			12,454
Total liabilities		5,940,084			6,681,820

MEZZANINE EQUITY
Participating Convertible Preferred Stock-Series B, $0.01 par value, 800,000 shares authorized, 495,000 shares issued and outstanding		517,090			458,408
Participating Convertible Preferred Stock-Series B-1, $0.01 par value, 500,000 shares authorized, 272,500 shares issued and outstanding		313,854			283,804
Total mezzanine equity		830,944			742,212

STOCKHOLDERS' DEFICIT
Preferred shares - undesignated, $0.01 par value, 5,000,000 authorized, none issued		-			-
Preferred shares - junior participating, $0.01 par value, 2,000,000 authorized, none issued		-			-
Common shares, $0.01 par value, 1,300,000,000 shares authorized, 88,556,077 shares issued		886			886
Additional paid-in capital		-			62,324
Retained loss		(678,241	)		(649,254	)
Unearned employee benefits		(46	)		(424	)
Accumulated other comprehensive loss		(33,325	)		(42,707	)
Treasury stock: 6,035,848 and 5,999,175 shares at September 30, 2009 and December 31, 2008, respectively		(153,163	)		(152,561	)
Total stockholders' deficit		(863,889	)		(781,736	)
Total liabilities, mezzanine equity and stockholders' deficit	$	5,907,139		$	6,642,296

TABLE SEVEN
MONEYGRAM INTERNATIONAL, INC.
ASSETS IN EXCESS OF PAYMENT SERVICE OBLIGATIONS
(Unaudited)




	September 30,			June 30,			March 31,			December 31,
(Amounts in thousands)	2009			2009			2009			2008

Cash and cash equivalents	$	3,876,105		$	3,973,685		$	3,904,783		$	4,077,381
Receivables, net		958,937			1,098,388			1,117,184			1,264,885
Trading investments and related put options		25,804			37,309			50,127			47,990
Available-for-sale investments		324,942			357,432			415,827			438,774
		5,185,788			5,466,814			5,487,921			5,829,030
Payment service obligations		(4,775,290	)		(5,079,941	)		(5,067,167	)		(5,437,999	)
Assets in excess of payment service obligations	$	410,498		$	386,873		$	420,754		$	391,031

CONTACT:
MoneyGram International, Inc.
Lynda Michielutti, 952-591-3846 (Media)
lmichielutti@moneygram.com
Alex Holmes, 720-568-8703 (Investors)
aholmes@moneygram.com