Banking, Finance, and National Security in the Paso del Norte

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2 Banking, Finance, and National Security in the Paso del Norte U.S. Department of Homeland Security Symposium Series Sponsored by the Center for Law and Human Behavior University of Texas at El Paso December 7, 2017

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16 Ciudad Juárez Banking Institutions, June 2017 Name of Institution Real Exchange Rate June 2017 = 100 Source: CNBV. Bank Class Primary Regulator Total Deposits (USD) Market Share BBVA Bancomer National CNBV $ 335,725, % Banorte/Ixe National CNBV $ 283,768, % Banamex National CNBV $ 266,119, % Santander National CNBV $ 179,259, % Scotiabank National CNBV $ 155,033, % HSBC National CNBV $ 150,815, % BanRegio National CNBV $ 95,430, % BanCoppel National CNBV $ 39,718, % Banco del Bajío National CNBV $ 34,775, % Banco Azteca National CNBV $ 30,653, % Inbursa National CNBV $ 24,813, % Monex National CNBV $ 9,570, % Afirme National CNBV $ 7,950, % Intercam Banco National CNBV $ 1,318, % CIBanco National CNBV $ 1,021, % Compartamos National CNBV $ 944, % Inmobiliario Mexicano National CNBV $ 136, % Interacciones National CNBV $ % Total $1,617,053, %

17 $400 $350 $300 $250 $200 $150 Top Five Banks by Ciudad Juárez, Chihuahua 2017 (USD Millions) National Bank 20.76% National Bank 17.55% National Bank 16.46% The top 5 banks in Ciudad Juárez account for 75.44% of all deposits in the City. National Bank 11.09% National Bank 9.59% $100 $50 $0 BBVA Bancomer Banorte/Ixe Banamex Santander Scotiabank Real Exchange Rate June 2017 = 100 Source: CNBV.

18 Mexican Cities Bordering Texas Real Deposits (USD Billions) Ciudad Juárez, Chihuahua Reynosa, Tamaulipas Nuevo Laredo, Tamaulipas Matamoros, Tamaulipas $1.70 $1.20 $0.70 $ Real Exchange Rate June 2017 = 100 Source: CNBV.

19 Cash Transactions in USD in Mexico by Financial Institution Type Type of Financial Institution 2014 % 2015 % Commercial Banks 3,575, ,786, Foreign Exchange Houses , Money Changers 178, , Brokerage Firms 116,567 8, , National Development Banks 8,746 Credit Unions Total 0 3,879, % 770 4,534, % Source: Secretaría de Hacienda y Crédito Público (SHCP).

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25 El Paso County Banking Institutions, June 2017 Name of Institution Source: FDIC. Bank Class Primary Regulator Total Deposits Market Share Wells Fargo Bank, National Association National Member Bank OCC $ 2,227,964, % Bank of America, National Association National Member Bank OCC $ 1,596,138, % WestStar Bank State Member Bank FED $ 1,399,021, % JP Morgan Chase Bank, National Association National Member Bank OCC $ 1,280,157, % Compass Bank State Member Bank FED $ 527,136, % Sunflower Bank, National Association National Member Bank OCC $ 288,721, % Inter National Bank National Member Bank OCC $ 231,044, % United Bank of El Paso del Norte State Member Bank FED $ 172,122, % City Bank State Non-Member Bank FDIC $ 114,594, % First National Bank Texas National Member Bank OCC $ 67,870, % Bank of Texas State Member Bank FED $ 44,523, % First Savings Bank National Savings Bank OCC $ 40,966, % Pioneer Bank National Savings Bank OCC $ 36,059, % Armed Forces Bank, National Association National Member Bank OCC $ 34,308, % PlainsCapital Bank State Member Bank FED $ 22,893, % Total $ 8,083,516, %

26 $2.8 $2.3 Major Banks by Deposits in El Paso MSA, Texas 2017 (USD Billions) National Bank 27.56% The top 5 banks in El Paso County account for 80.45% of all deposits in the County. $1.8 $1.3 National Bank 19.75% National Bank % State Member Bank 15.84% $0.8 State Member Bank 6.52% $0.3 Wells Fargo Bank, National Association Bank of America, National Association WestStar Bank JP Morgan Chase Bank, National Association Compass Bank U.S. CPI June 2017 = 100 Source: FDIC.

27 $11 Selected Texas Border Counties Real Deposits (USD Billions) El Paso County Hidalgo County Webb County Cameron County $10 $9 $8 $7 $6 $5 $4 $3 $ U.S. CPI June 2017 = 100 Source: FDIC.

28 Doña Ana County Banking Institutions, June 2017 Primary Name of Institution Bank Class Regulator Source: FDIC. Total Deposits Market Share Wells Fargo Bank, National Association National Member Bank OCC $ 551,801, % Citizens Bank of Las Cruces State Non-Member FDIC $ 432,370, % Bank of America, National Association National Member Bank OCC $ 195,278, % State Non-Member First American Bank FDIC $ 124,381,000 Bank 6.05% State Non-Member Bank of the West FDIC $ 111,426,000 Bank 5.42% State Non-Member First New Mexico Bank, Las Cruces FDIC $ 105,614,000 Bank 5.14% Compass Bank State Member Bank FED $ 104,709, % Sunflower Bank, National Association National Member Bank OCC $ 86,290, % Pioneer Bank National Savings Bank OCC $ 71,947, % U.S. Bank National Association National Member Bank OCC $ 66,026, % State Non-Member Western Heritage Bank FDIC $ 53,642,000 Bank 2.61% Washington Federal, National Association National Member Bank OCC $ 51,337, % Bank 34 National Savings Bank OCC $ 38,901, % State Non-Member Bank of the Southwest FDIC $ 17,180,000 Bank 0.84% State Non-Member Century Bank FDIC $ 16,502,000 Bank 0.80% WestStar Bank State Member Bank FED $ 14,264, % First Savings Bank National Savings Bank OCC $ 11,674, % First National Bank Texas National Member Bank OCC $ 1,921, % Total $ 2,055,263, %

29 Top Five Banks by Deposits Doña Ana County, New Mexico 2017 (USD Millions) $650 $550 $450 National Bank 26.85% Non-State Member Bank 21.04% The top 5 banks account for 68.86% of all deposits in the County $350 $250 $150 National Bank 9.50% Non-State Member Non-State Member 6.50% 5.42% $50 Wells Fargo Bank, National Association Citizens Bank of Las Cruces Bank of America, National Association First American Bank Bank of the West U.S. CPI June 2017 = 100 Source: FDIC.

30 New Mexico Border Counties Real Deposits (USD Billions) Doña Ana County Luna County Hidalgo County Otero County $2.2 $2.0 $1.8 $1.6 $1.4 $1.2 $1.0 $0.8 $0.6 $0.4 $0.2 $ U.S. CPI June 2017 = 100 Source: FDIC.

31 USD Billions $11 $10 $9 $8 $7 $6 $5 $4 USD Billions $2.5 Real Deposits and Index Business Cycle in El Paso County, Texas El Paso County, Texas El Paso Business Cycle Index Real Deposits in Doña Ana County, New Mexico Index Cycle $2.0 $1.5 $ U.S. CPI June 2017 = 100 Source: FDIC and the Federal Reserve Bank of Dallas.

32 Paso del Norte Total Real Deposits (USD Billions) $11 El Paso County Doña Ana County Ciudad Juárez $10 $9 $8 $7 $6 $5 $4 $3 $2 $ Real Exchange Rate June 2017 = 100 and U.S. CPI June 2017 = 100 Source: FDIC and CNBV.

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34 90% 80% Employment in Ciudad Juárez Formal Informal 70% 60% 50% 40% 30% 20% 10% 0% Source: INEGI and IMSS.

35 2,500 Number of Commercial Branches in Mexico ,000 1,500 1, Azteca Bancomer Banamex Banorte/Ixe Santander HSBC BanCoppel Scotiabank Famsa Inbursa Bajío Wal-Mart Afirme CIBanco Banregio Monex Source: Comisión Nacional Bancaria y de Valores (CNBV).

36 2,000 Number of Commercial Branches in Mexico by State 1,800 1,600 1, ,200 1, DF Mexico Jalisco Nuevo Leon Veracruz Guanajuato Puebla Guerrero Michoacan Tamaulipas Chihuahua BCN Sinaloa Sonora Coahuila Chiapas Oaxaca Morelos Yucatan Queretaro SLP Tabasco Hidalgo Quintana Roo Aguascalientes Durango Zacatecas Nayarit BCS Campeche Colima Tlaxcala Source: Comisión Nacional Bancaria y de Valores (CNBV).

37 25 Number of Branches in Mexico for every 100,000 Individuals, DF Nuevo León Guerrero BCS Jalisco Colima Quintana Roo Morelos Tamaulipas BCN Coahuila Querétaro Sinaloa Sonora Campeche Chihuahua Guanajuato Yucatán Aguascalientes Michoacán Nayarit Tabasco México Puebla SLP Veracruz Zacatecas Durango Hidalgo Oaxaca Tlaxcala Chiapas Source: Comisión Nacional Bancaria y de Valores (CNBV).

38 Municipalities in Mexico With more than 100 Branches Guadalajara Monterrey Cuautemoc Puebla Miguel Hidalgo Zapopan Benito Juarez León Tijuana Alvaro Obregon Iztapalapa (D.F.) Naucalpan De Merida Queretaro Culiacán Juárez Chihuahua Ecatepec De Coyocan (D.F.) Gusavo A. San Luis Potosi Hermosillo Mexicali Tlalnepantla De Morelia Toluca Guadalupe San Pedro Garza Aguascalientes Cuernavaca San Nicolás de Source: Comisión Nacional Bancaria y de Valores (CNBV).

39 45,000 Number of Commercial Banks ATMs in Mexico 40,000 35,000 30,000 25,000 20, Source: Comisión Nacional Bancaria y de Valores (CNBV).

40 9,000 8,000 7,000 Number of ATMs in Mexico by Commercial Bank ,000 5,000 4,000 3,000 2,000 1,000 0 BBVA Bancomer Banorte/Ixe Banamex HSBC Santander Scotiabank Afirme Banco Azteca Inbursa Bansí Multiva Banco del Bajío BanCoppel Banregio Others Source: Comisión Nacional Bancaria y de Valores (CNBV).

41 Number of ATMs in Mexico by State DF México Nuevo León Jalisco Veracruz BCN Tamaulipas Guanajuato Coahuila Chihuahua Quintana Roo Sonora Puebla Michoacán Querétaro SLP Yucatán Tabasco Chiapas Morelos Guerrero Hidalgo Oaxaca Aguascalientes BCS Durango Nayarit Zacatecas Campeche Colima Tlaxcala Source: Comisión Nacional Bancaria y de Valores (CNBV).

42 16 Percentage of ATMs by Mexican State, DF Mexico Nuevo Leon Jalisco Veracruz BCN Tamaulipas Guanajuato Coahuila Chihuahua Quintana Roo Sonora Puebla Sinaloa Michoacan Queretaro SLP Yucatan Tabasco Chiapas Morelos Guerrero Hidalgo Oaxaca Aguascalientes BCS Durango Nayarit Zacatecas Campeche Colima Tlaxcala Source: Comisión Nacional Bancaria y de Valores (CNBV).

43 Commercial Bank Branches in Mexican Border Cities Ciudad Juárez Chihuahua City Tijuana Nuevo Laredo Dec 2008 Dec 2012 Aug 2017 Source: CNBV.

44 Commercial Banks ATMs in Border Cities Ciudad Juárez Chihuahua City Tijuana Nuevo Laredo 1, Dec 2008 Dec 2012 Aug 2017 Source: CNBV.

45 ATMs and Branches in Ciudad Juárez, 2017 Name of Institution Actinver Afirme Banamex Banco Ahorro Famsa Banco Azteca Banco del Bajío BanCoppel Banorte/Ixe Banregio Bansí BBVA Bancomer CIBanco Compartamos HSBC Inbursa Intercam Banco Multiva Santander Scotiabank Total Source: CNBV. Number of ATMs Number of Branches

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47 Las Cruces Money Service Businesses by Service Type 2017 Company Number of Agents Headquarters Money Transmitters Check Cashers Money Changers American Express Prepaid Card 37 Phoenix, AZ American Express Travel Related Services Company Inc. 31 New York, NY Blackhawk Network California Inc. 12 Pleasanton, CA CheckFreePay Corporation 6 Wallingford, CT Continental Exchange Solutions Inc. 5 Buena Park, CA Enramex Inc. 1 Wheat Ridge, CO Green Dot Corporation 51 Pasadena, CA Incomm Financial Services Inc. 54 Columbus, GA Intermex Wire Transfer LLC 1 Miami, FL MoneyGram Payment Systems Inc. 19 Minneapolis, MN NetSpend Corporation 35 Austin, TX Noventis Inc. 1 Houston, TX Sigue Corporation 3 Sylmar, CA Softgate Systems of California Inc. 1 Fairfield, NJ TouchPay Holdings LLC 1 Irving, TX Trans-Fast Remittance LLC 1 New York, NY Travelex Currency Services Inc. 1 New York, NY Western Union Financial Services Inc. 42 Englewood, CO Source: New Mexico Financial Institution Division.

48 El Paso Money Service Businesses by Service Type (1/2) Money Check Money Company Transmitters Cashers Changers Adobe Groceries ACE Cash Express Alvidrez/Belinda/Andrade America's Cash Plus Inc. Chavez/Isela Check n Go Cryptocurrency Advisory Group Inc. Diversos Servicios Heidi/Jose DTA Loans Inc. Euro Casa De Cambio Inc. Fast Track Food City Supermarkets Forte Gas Company LLC Frias/Jose/A Household Furniture Co. LP Innovative Professional Services Inc. Juanito's Liquor Store, Inc. MELEK Corporation Source: Financial Crimes Enforcement Network (FinCen).

49 El Paso Money Service Businesses by Service Type (2/2) Money Check Company Transmitters Cashers Money Changers MELEK Multicenter Metro Money Financial, LLC Mike's Beer Depo Money Gram Mr. Dollar Payan's Fuel Center, Inc. Pinales/Armando/Domingo Postal World Qwik & Easy Signature Loans Inc. S.W. Finance Company Inc. Sam's Liquor Store Sam's Liquor Store URBIMAR, Inc. Valuta Corporation Vista Quality Market We Cash It Western Union Ysleta Liquor Store Source: Financial Crimes Enforcement Network (FinCen).

50 El Paso Payday and Title Loan Companies (1/2) Name Headquarters Branches A Speedy Loan Plus El Paso, TX 1 A-1 Loan Company El Paso, TX 1 ABC Loan Inc. El Paso, TX 1 ACE Cash Express Irving, TX 10 Advance America Spartanburg, SC 4 Alameda Loans Co. El Paso, TX 1 Amigo Loans El Paso, TX 2 Benny's Title & Payday Loans El Paso, TX 7 BevCo Finance El Paso, TX 1 Big Tex Finance Horizon, TX 1 Cash Store Irving, TX 8 Chelmont Finance Co. El Paso, TX 1 Dash for Cash El Paso, TX 1 Drive-In-Loans El Paso, TX 1 Eagle Finance El Paso, TX 1 EZ Money El Paso, TX 4 Fast Cash Now El Paso, TX 2 Fast Bucks Dallas, TX 3 Five Point Signature Loans El Paso, TX 1 Guarantee Loan El Paso El Paso, TX 1 International Finance Co El Paso, TX 1 Source: Information derived by the business website.

51 El Paso Payday and Title Loan Companies (2/2) Name Headquarters Branches Listo Loans El Paso, TX 2 Loan Express El Paso, TX 1 Loan Star Title Loans El Paso, TX 1 Lola's Loans El Paso, TX 1 Money Tree El Paso, TX 2 O K Finance Co El Paso, TX 1 Panchos Title Loans El Paso, TX 2 Plaza Loan El Paso, TX 1 PLS Loan Store El Paso, TX 2 Power Finance Texas El Paso, TX 2 Quality Finance Co El Paso, TX 1 Quick Cash El Paso, TX 6 Rapid Loans El Paso, TX 1 Regional Finance Greer, SC 8 Sun Loan Company El Paso, TX 5 Texas Car Title & Payday Loan El Paso, TX 15 Services, INC Title Loan El Paso El Paso, TX 1 Title Max Title Loans El Paso, TX 20 Western Finance El Paso, TX 2 Western-Shamrock Finance El Paso, TX 2 Source: Information is derived by the business websites.

52 Las Cruces Payday and Title Loan Companies 2017 Name Headquarters Branches A Plus Title Loans Des Plaines, IL 1 ACE Cash Express Irving, TX 2 Amigo Loans Salt Lake City, UT 1 Approved Finance San Antonio, TX 1 Cash Store Irving, TX 3 Check N' Go Cincinnati, OH 3 Fast Bucks Dallas, TX 1 Liberty Finance Co Mcalester, OK 1 Loanmax Title Loans Jonesboro, GA 1 Mr. Payroll Fort Worth, TX 1 Nationwide Budget Finance Colorado Springs, CO 1 New Mexico Title Loans, Inc Albuquerque, NM 1 Pancho's Title Loans Orange, CA 1 Payment 1 N/A 1 Sun City Finance Las Cruces, NM 1 Title Cash Birmingham, AL 1 USA Title Loan Sundland Park, NM 1 Western Finance San Angelo, TX 1 Source: Information is derived by the business websites.

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54 Real Remittances to Mexico by Type (USD Billions) $35 $30 Money Orders Electronic Money Transfers Cash Transfers $25 $20 $15 $10 $5 $ U.S. CPI December 2016 = 100 Source: FDIC.

55 Real USD $350,000 Directo a México Remittances Total Transactions 45,000 $300,000 Total Transactions U.S. Dollars 40,000 35,000 $250,000 30,000 $200,000 25,000 $150,000 $100,000 20,000 15,000 10,000 $50, ,000 Source: Banxico.

56 Real USD $7,500 Directo a México Average Transaction Amount $7,000 $6,500 $6,000 $5,500 $5,000 $4,500 $4, Source: Banxico.

57 Real Remittances to Mexican Border States (USD Millions) $275 $225 Chihuahua Baja California Sonora Coahuila Nuevo León Tamaulipas $175 $125 $75 $25 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q3 Q1 Q U.S. CPI December 2016 = 100 Source: Banxico and CNBV.

58 Real Remittances to Mexican Border Municipalities (USD Millions) $110 $100 $90 $80 $70 $60 $50 $40 $30 $20 Ciudad Juárez Mexicali Tijuana Reynosa Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q U.S. CPI December 2016 = 100 Source: Banxico.

59 Real Remittances to Border Cities and the Rest of Mexico USD Billions $6.9 $6.6 $6.3 $6.0 $5.7 $5.4 $5.1 $4.8 #" Rest of of Mexico!" Border Cities USD Millions $320 $305 $290 $275 $260 $245 $230 $4.5 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q $215 U.S. CPI December 2016 = 100 Source: Banxico.

60 $190 Real Remittances to the Mexican State of Chihuahua (USD Millions) $180 $170 $160 $150 $140 $130 $120 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q U.S. CPI December 2016 = 100 Source: Banxico.

61 $53 Real Remittances to Ciudad Juárez, Chihuahua (USD Millions) $51 $49 $47 $45 $43 $41 $39 $37 $35 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q U.S. CPI December 2016 = 100 Source: Banxico.

62 $2.8 Real Remittances to Aldama, Chihuahua (USD Millions) $2.5 $2.3 $2.0 $1.8 $1.5 $1.3 $1.0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q U.S. CPI December 2016 = 100 Source: Banxico.

63 $43 Real Remittances to Casas Grandes, Chihuahua (USD Thousands) $38 $33 $28 $23 $18 $13 $8 $3 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q U.S. CPI December 2016 = 100 Source: Banxico.

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79 Cash Seizures in Mexican Ports of Entry, January February 2008 (Million USD) AICM Ciudad Juárez Mexicali Sonoyta Nuevo Laredo Tijuana Matamoros Nogales Piedras Negras Reynosa Source: Administración General de Aduanas.

80 Currency Seizures in the Paso del Norte Region Ports of Entry City Date Amount (USD) Port of Entry Type of Transportation Route El Paso, TX Jun ,506 Ysleta Vehicle US to Mexico El Paso, TX Feb ,252 Ysleta Vehicle US to Mexico Presidio, TX Oct ,422 Presidio Vehicle Mexico to US El Paso, TX Jan ,570 BOTA Vehicle Mexico to US Presidio, TX Feb ,805 Presidio Vehicle Mexico to US Santa Teresa, NM Jan ,775 Santa Teresa Vehicle US to Mexico El Paso, TX Dec ,159 BOTA Vehicle US to Mexico El Paso, TX Jul ,000 Ysleta Vehicle US to Mexico El Paso, TX Nov ,000 Ysleta Vehicle US to Mexico El Paso, TX Nov ,389 BOTA Vehicle US to Mexico El Paso, TX Sep ,000 Ysleta Vehicle US to Mexico El Paso, TX Jun ,070 BOTA Vehicle US to Mexico El Paso, TX Jan ,440 BOTA NA US to Mexico Source: U.S. Customs and Border Protection and El Paso Times.

81 Doña Ana County Active Casinos Name Sunland Park Racetrack & Casino Elks Lodge Moose Lodge Fraternal Order of The Eagles Aerie 4038 Veterans of Foreign Wars Post Type of Casino Racetrack Licensee Non-Profit Licensee Non-Profit Licensee Non-Profit Licensee Non-Profit Licensee Source: Financial Crimes Enforcement Network.

82 Ciudad Juárez Active Casinos Crown Ciudad Juárez Great Sand Dunes Casino Gran Ciudad Juárez PlayCity Casino Ciudad Juárez Emotion Casino Crown City Casino Casino Caliente Jackpot Plaza Las Torres Gran Dunas Casino Name Source: Dirección General de Juegos y Sorteos.

83 New Mexico Gaming Licenses Manufacturers Distributors Limited use distributor Racetracks Non-profit operators Key licensed Work permit employees 1,291 1,112 1,257 1,269 1,139 1,128 1,104 New Mexico Gaming Machines Type of Operator Racetrack operators 2,652 2,574 2,335 2,886 2,967 2,931 2,921 Non-profit operators Total 3,309 3,233 2,985 3,574 3,653 3,613 3,575 Source: New Mexico Gaming Control Board (GCB).

84 New Mexico Gaming Taxes (USD) Fiscal year Total 2010 $ 65,114, $ 65,294, $ 65,368, $ 63,370, $ 66,953, $ 70,609, $ 64,250, $ 60,322, $ 19,890,347 *Data for 2017 up to October. Estimated data for Source: New Mexico Gaming Control Board (GCB).

85 New Mexico Casino Suspicious Activity Reports 2017 Supicious Activity Source: Financial Crimes Enforcement Network. Doña Ana County All Reports Bernalillo County Gaming Instruments U.S. Currency Otero County All Reports Minimal Gaming with Large Transactions Other Casinos Suspicious Intra-Casino Funds Transfers Total Lincoln County All Reports

86 900 Used Car Imports to Mexico (Thousands) Source: SAT.

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88 El Paso County Suspicious Activity Report 2017 (1/3) Suspicious Activity Number of Cases Percent of Total Suspicious Use of Multiple Locations % Two or More Individuals Working Together % Suspicious Concerning the Source of Funds % Transaction with No Apparent Economic, Business, or Lawful Purpose % Other Other Suspicious Activities % Suspicious EFT/Wire Transfers % Other Fraud (Type) % Suspicious Use of Multiple Accounts % Multiple Transactions Below Ctr Threshold % Other Money Laundering % Multiple Transactions Below Bsa Recordkeeping Threshold % Check % Transaction Out of Pattern for Customer(s) % Counterfeit Instrument (Other) % Suspicious Use of Noncash Monetary Instruments % Source: FinCen.

89 El Paso County Suspicious Activity Report 2017 (2/3) Suspicious Activity Number of Cases Percentage Provided Questionable or False Documentation % Mass-Marketing % Other Identification Documentation % Changes Spelling or Arrangement of Name % Credit/Debit Card % Wire Transfer % ACH % Other Structuring % Multiple Individuals with Same or Similar Identities % Identity Theft % Elder Financial Exploitation % Forgeries % Single Individual with Multiple Identities % Trade Based Money Laundering/Black Market Peso Exchange % Alters Transaction to Avoid Bsa Recordkeeping Requirement % Account Takeover % Suspicious Use of Third-Party Transactors (Straw-Man) % Suspicious Designation of Beneficiaries, Assignees or Joint Owners % Source: FinCen.

90 El Paso County Suspicious Activity Report 2017 (3/3) Suspicious Activity Number of Cases Percent of Total Suspicious Concerning the Physical Condition of Funds % Refused or Avoided Request for Documentation % Alters Transactions to Avoid Ctr Requirement % Suspicious Receipt of Government Payments/Benefits % Suspicious Exchange of Currencies % Little or No Concern for Product Performance Penalites, Fees, or Tax Consequences % Embezzlement/Theft/Disappearance of Funds % Suspicious Inquiry by Customer Regarding BSA Reporting or Recordkeeping Requirements % Exchanges Small Bills for Large Bills or Vice Versa % Consumer Loan % Customer Cancels Transaction to Avoid BSA Reporting and Recordkeeping Requirements % Mail % Misuse of Position or Self-Dealing % Suspicious Use of Informal Value Transfer System % Known or Suspected Terrorist/Terrorist Organization % Other Terrorist % Suspected Public/Private Corruption (Domestic) % Suspected Public/Private Corruption (Foreign) % Bribery or Gratuity % Healthcare % Loan Modification Fraud % Pyramid Scheme % Total 68, %

91 Doña Ana County Suspicious Activity Report 2017 (1/2) Suspicious Activity Suspicious Use of Multiple Locations Two or More Individuals Working Together Suspicious Concerning the Source of Funds Transaction with No Apparent Economic, Business, or Lawful Purpose Other Other Suspicious Activities Other Fraud (Type) Suspicious EFT/Wire Transfers Suspicious Use of Multiple Accounts Other Money Laundering Mass-Marketing Multiple Transactions Below Bsa Recordkeeping Threshold Multiple Transactions Below Ctr. Threshold Suspicious Use of Noncash Monetary Instruments Provided Questionable or False Documentation Transaction Out of Pattern for Customer(s) Changes Spelling or Arrangement of Name Check Source: FinCen. Number of Reports 1104 Percent of Total 16.48% % % % % % % % % % % % % % % % %

92 Doña Ana County Suspicious Activity Report 2017 (1/2) Suspicious Activity Number of Reports Percent Credit/Debit Card % Elder Financial Exploitation % Other Identification Documentation % Suspicious Designation of Beneficiaries, Assignees or Joint Owners % Trade Based Money Laundering/Black Market Peso Exchange % ACH % Wire Transfer % Known or Suspected Terrorist/Terrorist Organization % Multiple Individuals with Same or Similar Identities % Counterfeit Instrument (Other) % Suspicious Use of Third-Party Transactors (Straw-Man) % Forgeries % Alters Transaction to Avoid Bsa Recordkeeping Requirement % Identity Theft % Little or No Concern for Product Performance Penalites, Fees, or Tax Consequences % Other Structuring % Single Individual with Multiple Identities % Alters Transactions to Avoid Ctr Requirement % Refused or Avoided Request for Documentation % Suspicious Concerning the Physical Condition of Funds % Suspicious Inquiry by Customer Regarding Reporting or Recordkeeping Requirements % Source: FinCen. Total %

93 Suspicious Activity in El Paso County, Texas Other Money Laundering 2.4% 17.7% Suspicious Use of Third-Party Transactors (Straw-Man) 1.7% 4.4% Total Cases: 5, Total Cases: 1,169 Suspicious Use of Non-Cash Monetary Instruments Suspicious Use of Multiple Accounts 6.6% 5.6% 7.5% 6.9% The top 7 categories of suspicious activities, out of the 12 available, represented in 2016, 96.9% out of the 100% of cases in the County. Transaction Out of Pattern for Customer(s) 10.4% 13.0% Suspicious EFT/Wire Transfers 12.6% 13.9% Suspicious Concerning the Source of Funds 40.4% 49.7% Source: FinCen.

94 Suspicious Activity in Doña Ana County, New Mexico Other Money Laundering 3.8% 18.8% Suspicious Use of Non-Cash Monetary Instruments 8.1% 7.6% Total Cases: 1, Total Cases: 138 Suspicious Use of Multiple Accounts Transaction Out of Pattern for Customer(s) 0.0% 9.5% 10.1% 16.7% The top 6 categories of suspicious activities out of the 12 available, represented in 2016, 95.4% out of the 100% of the cases in the County. Suspicious EFT/Wire Transfers 4.5% 13.1% Suspicious Concerning the Source of Funds 36.4% 60.6% Source: FinCen.

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96 Ciudad Juárez Total Real Deposits and Homicides USD Millions Homicides $450 Deposits $" Homicides 4100 $ $ $ $ $ $ $ U.S. CPI December 2016 = 100 Source: SEGOB and CNBV.

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