F2b concludes agreement with MercadoLivre.com/iBazar launching new payment and shipping solution
 
F2b, pioneer in the field of electronic payments in Brazil, has just concluded an agreement with MercadoLivre.com/iBazar to provide F2b's payment option and its logistics solution to the customers on the online auction site which currently has over one million registered users.
 
In addition to allowing users to complete transactions without use of credit cards or bank accounts, F2b's system provides a new logistics service, F2bEx, that enables users to arrange for pickup and delivery of packages throughout Brazil. This service is made available in cooperation with F2bEx partners that currently include DHL, Variglog, MSExpress, Mercurio and Expresso Araçatuba.
 
The system works as follows: At the time that the parties agree on a transaction the Mercado Livre/iBazar users are presented with the option to click on the F2b payment option. The users are then transferred to the F2b homepage (www.f2b.com.br), and they are asked to register in order to open virtual accounts. Deposits into these accounts can be accomplished by physical deposits of funds via any bank in Brazil or via online banking transfers.
 
Users who choose to utilize the F2bEx logistics options to arrange shipping of the product input information describing the package such as: weight, dimensions, number of packages, pickup and delivery addresses, and time preference for pickup. The F2bEx system will then provide various alternative logistics solutions with associated pricing thereby allowing the users to compare various logistics services offered by the different companies.
 
Furthermore, the users are offered an additional tool in the form of the F2bEx Escrow, a solution that combines payment and delivery in a way that guarantees that payment will only be made after delivery of the product to the buyer is confirmed thereby providing a solution that allows all parties to conclude the transaction with confidence.
 
"The auction market moves about 200 thousand transactions per month. We believe that, with the use of the F2b payment system - which offers a safe and convenient option - this volume should increase by approximately 20%. Furthermore, The F2bEx solution offers auction users a new way to make payments and ship products totally online in a secure and efficient way. By the end of 2003 we project to be handling transactions at a rate of 750,000 per year with an average value of R$300 each" says Laurymar De Souza, Executive Director of F2b.
 
"For MercadoLivre.com, F2b represents an advance in the way that our site's transactions are completed by facilitating both the payment and the shipping of products. In addition, the F2bEx Escrow service is an essential tool for those users that require an added level of security to comfortably complete their transactions" adds Stelleo Tolda, Director-President of MercadoLivre.com and of iBazar.com.br.
 
 
About F2b (www.f2b.com.br)
 
Launched in December of 2000 and headquartered in São Paulo, F2b (www.f2b.com.br) is a Brazilian company that pioneers in the field of online payments. Using its payment platform, Internet users are able to create virtual accounts and complete online purchases, make online transfers using e-mail addresses, and arrange for logistic and associated payment escrow services. All this can be accomplished without the use of credit cards or bank accounts. F2b's proprietary technology was totally developed in Brazil.
 
F2b is a company financed by a group of mainly North American investors including Neptune Capital Group and F2b's President and Founder, Jacques Blinbaum.
 
 
About MercadoLivre/iBazar (www.mercadolivre.com)
 
This is the world's largest online auction site serving the Spanish and Portuguese language communities. The company currently operates in 10 countries in America and in Europe, including Argentina, Chile, Colombia, Mexico, Spain, United States, Uruguay, Venezuela, Ecuador and Brazil, where its subsidiary started operations in Sao Paulo in September of 1999.
 
Customers of the company include sellers and buyers that regularly buy and sell products and services in more than 25 categories. MercadoLivre.com raised more than US$53 million of capital in two rounds of investments. Its main shareholders include JPM Partners, Goldman Sachs, GE Capital, Hicks Muse Tate, Furst e CRI, Santander Central Hispano, and now, eBay. In October of 2001 MercadoLivre.com acquired the Brazilian business of iBazar (www.ibazar.com.br) as part of an agreement with the eBay (www.ebay.com) that resulted in establishing its position as the absolute leader in Brazil and in Latin America.
 
Information for the press:
Edelman of Brazil
Patrician Costa / Renata Pacini
(11) 3017.5315/3017.5300 - R.236
patricia.costa@edelman.com
renata.pacini@edelman.com