TSS
#So maybe I will start with the first part, <UNK>, and then you may want to add on, as it relates to the confidence side.
But <UNK>, you're approaching it exactly right.
Is the $40 million is the new product revenue, as it relates to this.
<UNK>, you want to talk about as it relates to our confidence.
Yes, I would be glad to, <UNK>.
Certainly, would we have been contemplating some of this for some and looking at these two new products and we actually mentioned the small business product, if not last quarter maybe two quarters ago.
But more importantly, we have been looking at, based on some customer demand and some degrees that our distribution partner desires to have a DDA product, been looking at it for some time, we have had these pre-paid rules, the proposed rules in front of us for a while.
So we are looking at those.
We've done a lot of modeling, as you might expect.
As the end of the day, there is no crystal ball.
But we feel quite confident in our management team at NetSpend, the way they have looked at it, the way they have modeled it, that we feel reasonably confident, of course.
And <UNK> gave you some caveats that obviously we've got to get out there.
We've got to see what the adoption rates are.
We've got to make sure we understand consumer behavior changes, if there are any, et cetera, et cetera.
But if we didn't feel pretty confident, I don't think we would be giving you these kind of high level numbers to model with.
But I think as time goes on, we will be able to put more clarity into it as well over the coming quarters, as we move through 2017.
Yes, you know we don't give quarterly guidance by ---+ we don't give quarterly guidance by the consolidated level, and we certainly don't give it at the segment level.
I would make a couple of points.
Obviously, on the North America side, to get to the 5% number, you see a deceleration of growth between the third quarter and the fourth quarter, and we are at 2.4% reported.
And it declines on a sequential quarter basis, down from that 2.4%.
So that is one test of the componentry that you might want to start with.
As I said earlier, you know, if you back out those two items as it relates to prepaid, and the E&V piece, that 2.4% looks more like the revenue guidance range that <UNK> talked about.
But as it relates to the fourth quarter, where those items are playing a significant impact, we do have sequential quarter deceleration.
In the fourth quarter, from International, as we said, we would have commensurate expected level of currency on a reported basis to reflect the changes that we have seen in the pound primarily there.
On the merchant side, there isn't anything I would necessarily call out that is dramatically different between third and fourth quarter.
But I did say in my prepared remarks, a deceleration sequentially between the third quarter and the fourth quarter for NetSpend, due to a variety of factors, but the one I called out was a lower level of increased spending as it relates to marketing.
So using those as the tonal guides, at the segments, I do think that range that you get back to does put us at the overall revised guidance revenue ranges that we provided on the call here today.
Yes, well, I will take it, <UNK>.
Yes, our growth on TransFirst is commensurate with what we had expected.
And it is very commensurate with what we saw in the second quarter.
So as I said, I think earlier, to one of the earlier questions, there is no change to the revenue growth picture between where we were last quarter and where we are this quarter.
And as I said also, TransFirst is meeting their profit expectations and our synergy target and the integration targets.
I will take the second part of that, <UNK>, and <UNK> maybe can address the financial side.
As it relates to Brexit, outside the financial impact of the pound, as I indicated last quarter, it is just a little bit early to tell.
But with that said and talking to Galen and Kelley and our leadership team, it does create a lot of uncertainty.
And as we have indicated on several occasions, uncertainty can usually mean good things for us because it creates an opportunity for people to look to outsource, to cut costs, to find efficiencies in their operations.
And so as our team travels around Europe, particularly in that area, again, they are seeing opportunities.
So beyond the financial side of it, it is an uptick for us.
Or a potential upside for us.
And as it relates to the other question, as it relates to the head wind, yes, we will see, for the first half of next year this current heads wind.
Obviously, with the Brexit vote occurring roughly mid year, we are going to have a first half currency head wind pressure on the International business for the first half of next year, compared to the first half of this year.
And that is assuming there isn't that much more that we are going to be dealing with in the second half, assuming everything kind of holds.
But for sure, we will be dealing with a first half currency head wind picture on International.
<UNK>, I wouldn't say we were at a real disconnect there.
All along, we knew exactly what our revenues were that had the potential of being negatively impacted by the proposed rules, primarily of course around overdraft that we have talked about, and some additional fees [out of yours] and other type of fees that we knew would go away if the proposed rules were adopted.
So there was no surprise there in any shape, form or fashion.
Well, <UNK>, I think you might be mixing a couple of things up.
Let's see if we can clarify that.
I did talk about, during the quarter, primarily focusing on our issuing business.
We hired a new Executive Vice President to be more focused on product delivery and innovation and that and was primarily around the issuing business.
I mentioned it during my North America comments.
And if you recall, we talked about that on many occasions, that we must continue to innovate and deliver new product for the entire Company, but we are talking about specifically, now, about North America, to grow new products.
And no, we don't have any to talk about here today.
The $20 million to $25 million you were making reference to, I'm not sure.
We talked about $20 million to $25 million of lost revenue in 2017, around the impact of the pre-paid rules, and an additional $20 million to $25 million of lost revenue associated with those rules in 2018.
So I'm not sure where you got the $20 million to $25 million in new product.
Thank you.
