|
x
|
QUARTERLY
REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT
OF 1934
|
|
¨
|
TRANSITION
REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT
OF 1934
|
Georgia
(State
or other jurisdiction of
incorporation
or organization)
|
58-0401110
(I.R.S.
Employer
Identification
No.)
|
1550
Peachtree Street, N.W., Atlanta, Georgia
(Address
of principal executive offices)
|
30309
(Zip
Code)
|
Large
accelerated filer x
|
Accelerated
filer ¨
|
Non-accelerated
filer ¨
(Do
not check if a smaller
reporting
company)
|
Smaller
reporting company ¨
|
Page
|
||
PART
I.
|
Financial
Information
|
4
|
Item 1.
|
Financial
Statements (Unaudited)
|
4
|
Consolidated
Statements of Income—Three Months Ended September 30, 2010 and
2009
|
4
|
|
Consolidated
Statements of Income—Nine Months Ended September 30, 2010 and
2009
|
5
|
|
Consolidated
Balance Sheets—September 30, 2010 and December 31,
2009
|
6
|
|
Consolidated
Statements of Cash Flows—Nine Months Ended September 30, 2010 and
2009
|
7
|
|
Consolidated
Statements of Equity and Other Comprehensive Income—Nine Months Ended
September 30, 2010
|
8
|
|
Notes
to Consolidated Financial Statements
|
10
|
|
Item
2.
|
Management’s
Discussion and Analysis of Financial Condition and Results of
Operations
|
21
|
Item 3.
|
Quantitative
and Qualitative Disclosures About Market Risk
|
37
|
Item 4.
|
Controls
and Procedures
|
37
|
PART
II.
|
Other
Information
|
38
|
Item
1.
|
Legal
Proceedings
|
38
|
Item 1A.
|
Risk
Factors
|
38
|
Item 2.
|
Unregistered
Sales of Equity Securities and Use of Proceeds
|
38
|
Item
6.
|
Exhibits
|
39
|
Signatures
|
40
|
|
Index
to Exhibits
|
41
|
Three Months Ended
|
||||||||
September 30
|
||||||||
2010
|
2009
|
|||||||
(In millions, except per share amounts)
|
(Unaudited)
|
|||||||
Operating
revenue
|
$ | 473.8 | $ | 425.0 | ||||
Operating
expenses:
|
||||||||
Cost
of services (exclusive of depreciation and amortization
below)
|
188.2 | 177.5 | ||||||
Selling,
general and administrative expenses
|
134.0 | 111.2 | ||||||
Depreciation
and amortization
|
41.4 | 36.3 | ||||||
Total
operating expenses
|
363.6 | 325.0 | ||||||
Operating
income
|
110.2 | 100.0 | ||||||
Interest
expense
|
(14.0 | ) | (14.1 | ) | ||||
Other
income, net
|
0.7 | 0.2 | ||||||
Consolidated
income from continuing operations before income taxes
|
96.9 | 86.1 | ||||||
Provision
for income taxes
|
(33.3 | ) | (28.7 | ) | ||||
Consolidated
income from continuing operations
|
63.6 | 57.4 | ||||||
Discontinued
operations, net of tax
|
15.2 | 4.0 | ||||||
Consolidated
net income
|
78.8 | 61.4 | ||||||
Less: Net
income attributable to noncontrolling interests
|
(2.3 | ) | (1.7 | ) | ||||
Net
income attributable to Equifax
|
$ | 76.5 | $ | 59.7 | ||||
Amounts
attributable to Equifax:
|
||||||||
Net
income from continuing operations attributable to Equifax
|
$ | 61.3 | $ | 55.7 | ||||
Discontinued
operations, net of tax
|
15.2 | 4.0 | ||||||
Net
income attributable to Equifax
|
$ | 76.5 | $ | 59.7 | ||||
Basic
earnings per common share:
|
||||||||
Net
income from continuing operations attributable to Equifax
|
$ | 0.50 | $ | 0.44 | ||||
Discontinued
operations attributable to Equifax
|
0.12 | 0.03 | ||||||
Net
income attributable to Equifax
|
$ | 0.62 | $ | 0.47 | ||||
Weighted-average
shares used in computing basic earnings per share
|
124.3 | 126.4 | ||||||
Diluted
earnings per common share:
|
||||||||
Net
income from continuing operations attributable to Equifax
|
$ | 0.49 | $ | 0.44 | ||||
Discontinued
operations attributable to Equifax
|
0.12 | 0.03 | ||||||
Net
income attributable to Equifax
|
$ | 0.61 | $ | 0.47 | ||||
Weighted-average
shares used in computing diluted earnings per share
|
125.8 | 128.0 | ||||||
Dividends
per common share
|
$ | 0.04 | $ | 0.04 |
Nine Months Ended
|
||||||||
September 30
|
||||||||
2010
|
2009
|
|||||||
(In millions, except per share amounts)
|
(Unaudited)
|
|||||||
Operating
revenue
|
$ | 1,377.5 | $ | 1,280.6 | ||||
Operating
expenses:
|
||||||||
Cost
of services (exclusive of depreciation and amortization
below)
|
566.6 | 535.0 | ||||||
Selling,
general and administrative expenses
|
370.4 | 340.0 | ||||||
Depreciation
and amortization
|
120.2 | 106.7 | ||||||
Total
operating expenses
|
1,057.2 | 981.7 | ||||||
Operating
income
|
320.3 | 298.9 | ||||||
Interest
expense
|
(42.3 | ) | (42.9 | ) | ||||
Other
income, net
|
1.0 | 5.8 | ||||||
Consolidated
income from continuing operations before income taxes
|
279.0 | 261.8 | ||||||
Provision
for income taxes
|
(99.7 | ) | (94.0 | ) | ||||
Consolidated
income from continuing operations
|
179.3 | 167.8 | ||||||
Discontinued
operations, net of tax
|
31.5 | 10.8 | ||||||
Consolidated
net income
|
210.8 | 178.6 | ||||||
Less: Net
income attributable to noncontrolling interests
|
(6.3 | ) | (4.9 | ) | ||||
Net
income attributable to Equifax
|
$ | 204.5 | $ | 173.7 | ||||
Amounts
attributable to Equifax:
|
||||||||
Net
income from continuing operations attributable to Equifax
|
$ | 173.0 | $ | 162.9 | ||||
Discontinued
operations, net of tax
|
31.5 | 10.8 | ||||||
Net
income attributable to Equifax
|
$ | 204.5 | $ | 173.7 | ||||
Basic
earnings per common share:
|
||||||||
Net
income from continuing operations attributable to Equifax
|
$ | 1.38 | $ | 1.29 | ||||
Discontinued
operations attributable to Equifax
|
0.25 | 0.09 | ||||||
Net
income attributable to Equifax
|
$ | 1.63 | $ | 1.38 | ||||
Weighted-average
shares used in computing basic earnings per share
|
125.4 | 126.3 | ||||||
Diluted
earnings per common share:
|
||||||||
Net
income from continuing operations attributable to Equifax
|
$ | 1.36 | $ | 1.28 | ||||
Discontinued
operations attributable to Equifax
|
0.25 | 0.08 | ||||||
Net
income attributable to Equifax
|
$ | 1.61 | $ | 1.36 | ||||
Weighted-average
shares used in computing diluted earnings per share
|
127.1 | 127.8 | ||||||
Dividends
per common share
|
$ | 0.12 | $ | 0.12 |
September 30,
|
December 31,
|
|||||||
2010
|
2009
|
|||||||
(In
millions, except par values)
|
(Unaudited)
|
|||||||
ASSETS
|
||||||||
Current
assets:
|
||||||||
Cash
and cash equivalents
|
$ | 115.6 | $ | 103.1 | ||||
Trade
accounts receivable, net of allowance for doubtful accounts of $9.9 and
$15.1 at September 30, 2010 and December 31, 2009,
respectively
|
266.2 | 258.7 | ||||||
Prepaid
expenses
|
32.7 | 27.6 | ||||||
Other
current assets
|
22.6 | 27.4 | ||||||
Total
current assets
|
437.1 | 416.8 | ||||||
Property
and equipment:
|
||||||||
Capitalized
internal-use software and system costs
|
306.2 | 316.6 | ||||||
Data
processing equipment and furniture
|
180.5 | 184.2 | ||||||
Land,
buildings and improvements
|
167.9 | 164.5 | ||||||
Total
property and equipment
|
654.6 | 665.3 | ||||||
Less
accumulated depreciation and amortization
|
(354.4 | ) | (346.0 | ) | ||||
Total
property and equipment, net
|
300.2 | 319.3 | ||||||
Goodwill
|
1,871.2 | 1,943.2 | ||||||
Indefinite-lived
intangible assets
|
95.6 | 95.5 | ||||||
Purchased
intangible assets, net
|
588.9 | 687.0 | ||||||
Other
assets, net
|
107.0 | 88.7 | ||||||
Total
assets
|
$ | 3,400.0 | $ | 3,550.5 | ||||
LIABILITIES
AND EQUITY
|
||||||||
Current
liabilities:
|
||||||||
Short-term
debt and current maturities
|
$ | 21.0 | $ | 183.2 | ||||
Accounts
payable
|
19.7 | 35.9 | ||||||
Accrued
expenses
|
64.7 | 67.7 | ||||||
Accrued
salaries and bonuses
|
56.5 | 58.1 | ||||||
Deferred
revenue
|
56.5 | 69.8 | ||||||
Other
current liabilities
|
86.9 | 77.5 | ||||||
Total
current liabilities
|
305.3 | 492.2 | ||||||
Long-term
debt
|
986.4 | 990.9 | ||||||
Deferred
income tax liabilities, net
|
241.8 | 249.3 | ||||||
Long-term
pension and other postretirement benefit liabilities
|
84.6 | 142.5 | ||||||
Other
long-term liabilities
|
53.5 | 60.6 | ||||||
Total
liabilities
|
1,671.6 | 1,935.5 | ||||||
Commitments
and Contingencies (see Note 5)
|
||||||||
Equifax
shareholders' equity:
|
||||||||
Preferred
stock, $0.01 par value: Authorized shares - 10.0; Issued shares -
none
|
- | - | ||||||
Common
stock, $1.25 par value: Authorized shares - 300.0;
|
||||||||
Issued
shares - 189.3 at September 30, 2010 and December 31,
2009;
|
||||||||
Outstanding
shares - 123.4 and 126.2 at September 30, 2010 and December 31, 2009,
respectively
|
236.6 | 236.6 | ||||||
Paid-in
capital
|
1,103.9 | 1,102.0 | ||||||
Retained
earnings
|
2,683.5 | 2,494.2 | ||||||
Accumulated
other comprehensive loss
|
(309.7 | ) | (318.7 | ) | ||||
Treasury
stock, at cost, 63.8 shares and 61.0 shares at September 30, 2010 and
December 31, 2009, respectively
|
(1,961.6 | ) | (1,871.7 | ) | ||||
Stock
held by employee benefits trusts, at cost, 2.1 shares at both
September 30, 2010 and December 31, 2009
|
(41.2 | ) | (41.2 | ) | ||||
Total
Equifax shareholders' equity
|
1,711.5 | 1,601.2 | ||||||
Noncontrolling
interests
|
16.9 | 13.8 | ||||||
Total
equity
|
1,728.4 | 1,615.0 | ||||||
Total
liabilities and equity
|
$ | 3,400.0 | $ | 3,550.5 |
Nine Months Ended
|
||||||||
September 30,
|
||||||||
2010
|
2009
|
|||||||
(In millions)
|
(Unaudited)
|
|||||||
Operating
activities:
|
||||||||
Consolidated
net income
|
$ | 210.8 | $ | 178.6 | ||||
Adjustments
to reconcile consolidated net income to net cash provided by operating
activities:
|
||||||||
Gain
on divestitures
|
(27.1 | ) | - | |||||
Depreciation
and amortization
|
125.7 | 116.9 | ||||||
Stock-based
compensation expense
|
15.0 | 13.5 | ||||||
Tax
effects of stock-based compensation plans
|
1.6 | 0.1 | ||||||
Excess
tax benefits from stock-based compensation plans
|
(1.6 | ) | (0.5 | ) | ||||
Deferred
income taxes
|
3.2 | 24.6 | ||||||
Changes
in assets and liabilities, excluding effects of
acquisitions:
|
||||||||
Accounts
receivable, net
|
(10.8 | ) | 11.8 | |||||
Prepaid
expenses and other current assets
|
(1.2 | ) | (13.0 | ) | ||||
Other
assets
|
(0.7 | ) | (4.3 | ) | ||||
Current
liabilities, excluding debt
|
(57.1 | ) | (46.4 | ) | ||||
Other
long-term liabilities, excluding debt
|
(50.4 | ) | (12.5 | ) | ||||
Cash
provided by operating activities
|
207.4 | 268.8 | ||||||
Investing
activities:
|
||||||||
Capital
expenditures
|
(82.4 | ) | (51.2 | ) | ||||
Acquisitions,
net of cash acquired
|
(15.3 | ) | (3.5 | ) | ||||
Cash
received from divestitures
|
181.7 | - | ||||||
Dividend
from unconsolidated affiliates
|
1.5 | 1.8 | ||||||
Cash
provided by (used in) investing activities
|
85.5 | (52.9 | ) | |||||
Financing
activities:
|
||||||||
Net
short-term (repayments) borrowings
|
(134.0 | ) | 247.5 | |||||
Net
repayments under long-term revolving credit facilities
|
(5.0 | ) | (420.0 | ) | ||||
Payments
on long-term debt
|
(19.6 | ) | (6.6 | ) | ||||
Treasury
stock purchases
|
(116.4 | ) | (9.1 | ) | ||||
Dividends
paid to Equifax shareholders
|
(14.9 | ) | (15.1 | ) | ||||
Dividends
paid to noncontrolling interests
|
(3.4 | ) | (3.3 | ) | ||||
Proceeds
from exercise of stock options
|
13.8 | 5.9 | ||||||
Excess
tax benefits from stock-based compensation plans
|
1.6 | 0.5 | ||||||
Other
|
(0.8 | ) | (0.9 | ) | ||||
Cash
used in financing activities
|
(278.7 | ) | (201.1 | ) | ||||
Effect
of foreign currency exchange rates on cash and cash
equivalents
|
(1.7 | ) | 4.7 | |||||
Increase
in cash and cash equivalents
|
12.5 | 19.5 | ||||||
Cash
and cash equivalents, beginning of period
|
103.1 | 58.2 | ||||||
Cash
and cash equivalents, end of period
|
$ | 115.6 | $ | 77.7 |
Equifax Shareholders
|
||||||||||||||||||||||||||||||||||||
Stock
|
||||||||||||||||||||||||||||||||||||
Accumulated
|
Held By
|
|||||||||||||||||||||||||||||||||||
Common Stock
|
Other
|
Employee
|
||||||||||||||||||||||||||||||||||
Shares
|
Paid-In
|
Retained
|
Comprehensive
|
Treasury
|
Benefits
|
Noncontrolling
|
Total
|
|||||||||||||||||||||||||||||
Outstanding
|
Amount
|
Capital
|
Earnings
|
Loss
|
Stock
|
Trusts
|
Interests
|
Equity
|
||||||||||||||||||||||||||||
(In millions, except per share amounts)
|
||||||||||||||||||||||||||||||||||||
Balance,
December 31, 2009
|
126.2 | $ | 236.6 | $ | 1,102.0 | $ | 2,494.2 | $ | (318.7 | ) | $ | (1,871.7 | ) | $ | (41.2 | ) | $ | 13.8 | $ | 1,615.0 | ||||||||||||||||
Net
income
|
- | - | - | 204.5 | - | - | - | 6.3 | 210.8 | |||||||||||||||||||||||||||
Other
comprehensive income
|
- | - | - | - | 9.0 | - | - | (0.1 | ) | 8.9 | ||||||||||||||||||||||||||
Shares
issued under stock and benefit plans, net of minimum tax
withholdings
|
0.9 | - | (15.0 | ) | - | 26.5 | - | - | 11.5 | |||||||||||||||||||||||||||
Treasury
stock purchased under share repurchase program ($31.34 per
share)*
|
(3.7 | ) | - | - | - | - | (116.4 | ) | - | - | (116.4 | ) | ||||||||||||||||||||||||
Cash
dividends ($0.12 per share)
|
- | - | - | (15.2 | ) | - | - | - | - | (15.2 | ) | |||||||||||||||||||||||||
Dividends
paid to employee benefits trusts
|
- | - | 0.3 | - | - | - | - | - | 0.3 | |||||||||||||||||||||||||||
Stock-based
compensation expense
|
- | - | 15.0 | - | - | - | - | - | 15.0 | |||||||||||||||||||||||||||
Tax
effects of stock-based compensation plans
|
- | - | 1.6 | - | - | - | - | - | 1.6 | |||||||||||||||||||||||||||
Dividends
paid to noncontrolling interests
|
- | - | - | - | - | - | - | (3.4 | ) | (3.4 | ) | |||||||||||||||||||||||||
Other
|
0.3 | 0.3 | ||||||||||||||||||||||||||||||||||
Balance,
September 30, 2010
|
123.4 | $ | 236.6 | $ | 1,103.9 | $ | 2,683.5 | $ | (309.7 | ) | $ | (1,961.6 | ) | $ | (41.2 | ) | $ | 16.9 | $ | 1,728.4 |
*
|
At September 30, 2010,
$155.5 million was authorized for future purchases of common stock
under our share repurchase
authorization.
|
September 30,
|
December 31,
|
|||||||
2010
|
2009
|
|||||||
(In millions)
|
||||||||
Foreign
currency translation
|
$ | (96.2 | ) | $ | (99.9 | ) | ||
Unrecognized
actuarial losses and prior service cost related to our pension and other
postretirement benefit plans, net of accumulated tax of $121.9 and
$124.9 at September 30, 2010 and December 31, 2009,
respectively
|
(211.0 | ) | (216.2 | ) | ||||
Cash
flow hedging transactions, net of accumulated tax of $1.6 and $1.7 at
September 30, 2010 and December 31, 2009,
respectively
|
(2.5 | ) | (2.6 | ) | ||||
Accumulated
other comprehensive loss
|
$ | (309.7 | ) | $ | (318.7 | ) |
Three Months Ended September 30,
|
||||||||||||||||||||||||
2010
|
2009
|
|||||||||||||||||||||||
Equifax
|
Noncontrolling
|
Equifax
|
Noncontrolling
|
|||||||||||||||||||||
Shareholders
|
Interests
|
Total
|
Shareholders
|
Interests
|
Total
|
|||||||||||||||||||
(In millions)
|
||||||||||||||||||||||||
Net
income
|
$ | 76.5 | $ | 2.3 | $ | 78.8 | $ | 59.7 | $ | 1.7 | $ | 61.4 | ||||||||||||
Other
comprehensive income:
|
||||||||||||||||||||||||
Foreign
currency translation adjustment
|
20.7 | 0.2 | 20.9 | 13.5 | 0.2 | 13.7 | ||||||||||||||||||
Change
in unrecognized prior service cost and actuarial losses related to our
pension and other postretirement benefit plans
|
1.8 | - | 1.8 | 1.7 | - | 1.7 | ||||||||||||||||||
Change
in cumulative loss from cash flow hedging transactions
|
- | - | - | 0.3 | - | 0.3 | ||||||||||||||||||
Comprehensive
income
|
$ | 99.0 | $ | 2.5 | $ | 101.5 | $ | 75.2 | $ | 1.9 | $ | 77.1 |
Nine Months Ended September 30,
|
||||||||||||||||||||||||
2010
|
2009
|
|||||||||||||||||||||||
Equifax
|
Noncontrolling
|
Equifax
|
Noncontrolling
|
|||||||||||||||||||||
Shareholders
|
Interests
|
Total
|
Shareholders
|
Interests
|
Total
|
|||||||||||||||||||
(In millions)
|
||||||||||||||||||||||||
Net
income
|
$ | 204.5 | $ | 6.3 | $ | 210.8 | $ | 173.7 | $ | 4.9 | $ | 178.6 | ||||||||||||
Other
comprehensive income:
|
||||||||||||||||||||||||
Foreign
currency translation adjustment
|
3.7 | (0.1 | ) | 3.6 | 67.3 | 0.1 | 67.4 | |||||||||||||||||
Change
in unrecognized prior service cost and actuarial losses related to our
pension and other postretirement benefit plans
|
5.2 | - | 5.2 | 4.9 | - | 4.9 | ||||||||||||||||||
Change
in cumulative loss from cash flow hedging transactions
|
0.1 | - | 0.1 | 0.7 | - | 0.7 | ||||||||||||||||||
Comprehensive
income
|
$ | 213.5 | $ | 6.2 | $ | 219.7 | $ | 246.6 | $ | 5.0 | $ | 251.6 |
Three Months Ended September 30,
|
Nine Months Ended September 30,
|
|||||||||||||||
2010
|
2009
|
2010
|
2009
|
|||||||||||||
(In millions)
|
||||||||||||||||
Weighted-average
shares outstanding (basic)
|
124.3 | 126.4 | 125.4 | 126.3 | ||||||||||||
Effect
of dilutive securities:
|
||||||||||||||||
Stock
options and restricted stock units
|
1.3 | 1.4 | 1.5 | 1.3 | ||||||||||||
Long-term
incentive plans
|
0.2 | 0.2 | 0.2 | 0.2 | ||||||||||||
Weighted-average
shares outstanding (diluted)
|
125.8 | 128.0 | 127.1 | 127.8 |
Fair Value Measurements at Reporting Date Using:
|
||||||||||||||||
Description
|
Fair Value of
Assets
(Liabilities) at
September 30,
2010
|
Quoted Prices in
Active Markets for
Identical Assets
(Level 1)
|
Significant
Other
Observable
Inputs
(Level 2)
|
Significant
Unobservable
Inputs
(Level 3)
|
||||||||||||
(In
millions)
|
||||||||||||||||
Fair
Value Interest Rate Swaps(2)
|
$ | 16.0 | $ | - | $ | 16.0 | $ | - | ||||||||
Notes,
due 2014
|
(291.0 | ) | - | (291.0 | ) | - | ||||||||||
Deferred
Compensation Plan(1)
|
(11.8 | ) | (11.8 | ) | - | - | ||||||||||
Total
|
$ | (286.8 | ) | $ | (11.8 | ) | $ | (275.0 | ) | $ | - |
U.S. Consumer
|
North America
|
North America
|
||||||||||||||||||||||
Information
|
Personal
|
Commercial
|
||||||||||||||||||||||
Solutions
|
International
|
TALX
|
Solutions
|
Solutions
|
Total
|
|||||||||||||||||||
(In millions)
|
||||||||||||||||||||||||
Balance,
December 31, 2009
|
$ | 667.8 | $ | 335.7 | $ | 900.6 | $ | 1.8 | $ | 37.3 | $ | 1,943.2 | ||||||||||||
Acquisitions
|
- | 4.7 | - | - | - | 4.7 | ||||||||||||||||||
Adjustments
to initial purchase price allocation
|
(0.3 | ) | - | (0.6 | ) | - | - | (0.9 | ) | |||||||||||||||
Foreign
currency translation
|
- | 3.8 | - | - | 0.1 | 3.9 | ||||||||||||||||||
Tax
benefits of stock options exercised
|
- | - | - | - | - | - | ||||||||||||||||||
Businesses
sold
|
(79.7 | ) | - | - | - | - | (79.7 | ) | ||||||||||||||||
Balance,
September 30, 2010
|
$ | 587.8 | $ | 344.2 | $ | 900.0 | $ | 1.8 | $ | 37.4 | $ | 1,871.2 |
September 30, 2010
|
December 31, 2009
|
|||||||||||||||||||||||
Accumulated
|
Accumulated
|
|||||||||||||||||||||||
Gross
|
Amortization
|
Net
|
Gross
|
Amortization
|
Net
|
|||||||||||||||||||
Definite-lived intangible assets:
|
(In millions)
|
|||||||||||||||||||||||
Purchased
data files
|
$ | 335.6 | $ | (232.4 | ) | $ | 103.2 | $ | 373.8 | $ | (240.6 | ) | $ | 133.2 | ||||||||||
Acquired
software and technology
|
41.5 | (30.4 | ) | 11.1 | 70.3 | (37.1 | ) | 33.2 | ||||||||||||||||
Customer
relationships
|
480.4 | (89.2 | ) | 391.2 | 488.0 | (70.8 | ) | 417.2 | ||||||||||||||||
Proprietary
database
|
125.0 | (69.1 | ) | 55.9 | 125.0 | (52.2 | ) | 72.8 | ||||||||||||||||
Non-compete
agreements
|
3.5 | (0.9 | ) | 2.6 | 3.3 | (0.5 | ) | 2.8 | ||||||||||||||||
Trade
names and other intangible assets
|
36.1 | (11.2 | ) | 24.9 | 36.0 | (8.2 | ) | 27.8 | ||||||||||||||||
Total
definite-lived intangible assets
|
$ | 1,022.1 | $ | (433.2 | ) | $ | 588.9 | $ | 1,096.4 | $ | (409.4 | ) | $ | 687.0 |
September 30,
|
December 31,
|
|||||||
2010
|
2009
|
|||||||
(In millions)
|
||||||||
Commercial
paper, weighted-average rate of 0.4% in 2009
|
$ | - | $ | 135.0 | ||||
Notes,
4.25%, due in installments through March 2012
|
4.7 | 7.6 | ||||||
Notes,
7.34%, due in installments through May 2014
|
60.0 | 75.0 | ||||||
Notes,
4.45%, due December 2014
|
275.0 | 275.0 | ||||||
Notes,
6.30%, due July 2017
|
272.5 | 272.5 | ||||||
Debentures,
6.90%, due July 2028
|
125.0 | 125.0 | ||||||
Notes,
7.00%, due July 2037
|
250.0 | 250.0 | ||||||
Borrowings
under long-term revolving credit facilities, weighted-average rate of 0.9%
in 2009
|
- | 4.8 | ||||||
Capitalized
lease obligation
|
2.3 | 29.0 | ||||||
Other
|
2.1 | 3.1 | ||||||
Total
debt
|
991.6 | 1,177.0 | ||||||
Less
short-term debt and current maturities
|
(21.0 | ) | (183.2 | ) | ||||
Less
unamortized discounts
|
(2.2 | ) | (2.4 | ) | ||||
Plus
fair value adjustments
|
18.0 | (0.5 | ) | |||||
Total
long-term debt, net
|
$ | 986.4 | $ | 990.9 |
Pension Benefits
|
Other Benefits
|
|||||||||||||||
Three Months Ended September
30,
|
||||||||||||||||
2010
|
2009
|
2010
|
2009
|
|||||||||||||
(In
millions)
|
||||||||||||||||
Service
cost
|
$ | 1.8 | $ | 1.4 | $ | 0.1 | $ | 0.1 | ||||||||
Interest
cost
|
8.7 | 8.8 | 0.4 | 0.5 | ||||||||||||
Expected
return on plan assets
|
(11.1 | ) | (11.3 | ) | (0.3 | ) | (0.4 | ) | ||||||||
Amortization
of prior service cost
|
0.2 | 0.2 | (0.1 | ) | (0.1 | ) | ||||||||||
Recognized
actuarial loss
|
2.3 | 2.2 | 0.3 | 0.3 | ||||||||||||
Total
net periodic benefit cost
|
$ | 1.9 | $ | 1.3 | $ | 0.4 | $ | 0.4 |
Pension Benefits
|
Other Benefits
|
|||||||||||||||
Nine Months Ended September
30,
|
||||||||||||||||
2010
|
2009
|
2010
|
2009
|
|||||||||||||
(In
millions)
|
||||||||||||||||
Service
cost
|
$ | 4.7 | $ | 4.2 | $ | 0.3 | $ | 0.3 | ||||||||
Interest
cost
|
26.1 | 26.4 | 1.3 | 1.5 | ||||||||||||
Expected
return on plan assets
|
(33.3 | ) | (33.9 | ) | (1.1 | ) | (1.2 | ) | ||||||||
Amortization
of prior service cost
|
0.6 | 0.6 | (0.2 | ) | (0.2 | ) | ||||||||||
Recognized
actuarial loss
|
6.8 | 6.6 | 0.9 | 0.9 | ||||||||||||
Total
net periodic benefit cost
|
$ | 4.9 | $ | 3.9 | $ | 1.2 | $ | 1.3 |
|
•
|
U.S. Consumer Information
Solutions
|
|
•
|
International
|
|
•
|
TALX
|
|
•
|
North America Personal
Solutions
|
|
•
|
North America Commercial
Solutions
|
Three
Months Ended
|
Nine
Months Ended
|
|||||||||||||||
(In
millions)
|
September
30,
|
September
30,
|
||||||||||||||
Operating
revenue:
|
2010
|
2009
|
2010
|
2009
|
||||||||||||
U.S.
Consumer Information Solutions
|
$ | 194.0 | $ | 173.8 | $ | 551.7 | $ | 542.1 | ||||||||
International
|
122.5 | 114.9 | 356.9 | 320.9 | ||||||||||||
TALX
|
99.1 | 83.1 | 293.4 | 257.0 | ||||||||||||
North
America Personal Solutions
|
39.9 | 37.1 | 119.9 | 113.0 | ||||||||||||
North
America Commercial Solutions
|
18.3 | 16.1 | 55.6 | 47.6 | ||||||||||||
Total
operating revenue
|
$ | 473.8 | $ | 425.0 | $ | 1,377.5 | $ | 1,280.6 |
Three
Months Ended
|
Nine
Months Ended
|
|||||||||||||||
(In millions)
|
September 30,
|
September 30,
|
||||||||||||||
Operating
income:
|
2010
|
2009
|
2010
|
2009
|
||||||||||||
U.S.
Consumer Information Solutions
|
$ | 72.2 | $ | 63.1 | $ | 200.5 | $ | 201.9 | ||||||||
International
|
30.8 | 31.1 | 89.6 | 86.6 | ||||||||||||
TALX
|
22.7 | 17.7 | 67.2 | 56.5 | ||||||||||||
North
America Personal Solutions
|
12.7 | 10.1 | 33.0 | 24.1 | ||||||||||||
North
America Commercial Solutions
|
3.3 | 2.9 | 11.4 | 7.6 | ||||||||||||
General
Corporate Expense
|
(31.5 | ) | (24.9 | ) | (81.4 | ) | (77.8 | ) | ||||||||
Total
operating income
|
$ | 110.2 | $ | 100.0 | $ | 320.3 | $ | 298.9 |
Key Performance Indicators
|
||||||||||||||||
Three
Months Ended
|
Nine
Months Ended
|
|||||||||||||||
September 30,
|
September 30,
|
|||||||||||||||
2010
|
2009
|
2010
|
2009
|
|||||||||||||
(Dollars
in millions, except per share data)
|
||||||||||||||||
Operating
revenue
|
$ | 473.8 | $ | 425.0 | $ | 1,377.5 | $ | 1,280.6 | ||||||||
Operating
revenue change
|
11 | % | -6 | % | 8 | % | -8 | % | ||||||||
Operating
income
|
$ | 110.2 | $ | 100.0 | $ | 320.3 | $ | 298.9 | ||||||||
Operating
margin
|
23.3 | % | 23.5 | % | 23.3 | % | 23.3 | % | ||||||||
Net
income from continuing operations attributable to Equifax
|
$ | 61.3 | $ | 55.7 | $ | 173.0 | $ | 162.9 | ||||||||
Net
income attributable to Equifax
|
$ | 76.5 | $ | 59.7 | $ | 204.5 | $ | 173.7 | ||||||||
Diluted
earnings per share from continuing operations attributable to
Equifax
|
$ | 0.49 | $ | 0.44 | $ | 1.36 | $ | 1.28 | ||||||||
Diluted
earnings per share attributable to Equifax
|
$ | 0.61 | $ | 0.47 | $ | 1.61 | $ | 1.36 | ||||||||
Cash
provided by operating activities
|
$ | 68.5 | $ | 123.2 | $ | 207.4 | $ | 268.8 | ||||||||
Capital
expenditures
|
$ | 15.5 | $ | 17.2 | $ | 82.4 | $ | 51.2 |
|
o
|
We are further diversifying our
revenues by pursuing and investing in key strategic initiatives including
new product innovation, differentiated decisioning solutions and analytics
leveraging our diverse data assets and
technology.
|
|
o
|
We have reorganized our sales
force and have key customer teams dedicated to our largest
accounts.
|
|
o
|
We have divested two product
lines that were considered non-strategic, APPRO loan origination software
and Direct Marketing
Services.
|
|
o
|
We continue to acquire new data
assets and technologies and pursue international
expansion.
|
|
o
|
We continue to focus on managing
our expenses through the use of LEAN, Work Out and other process
improvement initiatives.
|
Three
Months Ended September 30,
|
Change
|
Nine
Months Ended September 30,
|
Change
|
|||||||||||||||||||||||||||||
Consolidated
Operating Revenue
|
2010
|
2009
|
$
|
%
|
2010
|
2009
|
$
|
%
|
||||||||||||||||||||||||
(Dollars
in millions)
|
(Dollars
in millions)
|
|||||||||||||||||||||||||||||||
U.S.
Consumer Information Solutions
|
$ | 194.0 | $ | 173.8 | $ | 20.2 | 12 | % | $ | 551.7 | $ | 542.1 | $ | 9.6 | 2 | % | ||||||||||||||||
International
|
122.5 | 114.9 | 7.6 | 7 | % | 356.9 | 320.9 | 36.0 | 11 | % | ||||||||||||||||||||||
TALX
|
99.1 | 83.1 | 16.0 | 19 | % | 293.4 | 257.0 | 36.4 | 14 | % | ||||||||||||||||||||||
North
America Personal Solutions
|
39.9 | 37.1 | 2.8 | 7 | % | 119.9 | 113.0 | 6.9 | 6 | % | ||||||||||||||||||||||
North
America Commercial Solutions
|
18.3 | 16.1 | 2.2 | 14 | % | 55.6 | 47.6 | 8.0 | 17 | % | ||||||||||||||||||||||
Consolidated
operating revenue
|
$ | 473.8 | $ | 425.0 | $ | 48.8 | 11 | % | $ | 1,377.5 | $ | 1,280.6 | $ | 96.9 | 8 | % |
Three
Months Ended September 30,
|
Change
|
Nine
Months Ended September 30,
|
Change
|
|||||||||||||||||||||||||||||
Consolidated
Operating Expenses
|
2010
|
2009
|
$
|
%
|
2010
|
2009
|
$
|
%
|
||||||||||||||||||||||||
(Dollars
in millions)
|
(Dollars
in millions)
|
|||||||||||||||||||||||||||||||
Consolidated
cost of services
|
$ | 188.2 | $ | 177.5 | $ | 10.7 | 6 | % | $ | 566.6 | $ | 535.0 | $ | 31.6 | 6 | % | ||||||||||||||||
Consolidated
selling, general and administrative expenses
|
134.0 | 111.2 | 22.8 | 21 | % | 370.4 | 340.0 | 30.4 | 9 | % | ||||||||||||||||||||||
Consolidated
depreciation and amortization expense
|
41.4 | 36.3 | 5.1 | 14 | % | 120.2 | 106.7 | 13.5 | 13 | % | ||||||||||||||||||||||
Consolidated
operating expenses
|
$ | 363.6 | $ | 325.0 | $ | 38.6 | 12 | % | $ | 1,057.2 | $ | 981.7 | $ | 75.5 | 8 | % |
Three
Months Ended September 30,
|
Change
|
Nine
Months Ended September 30,
|
Change
|
|||||||||||||||||||||||||||||
Consolidated
Operating Income
|
2010
|
2009
|
$
|
%
|
2010
|
2009
|
$
|
%
|
||||||||||||||||||||||||
(Dollars
in millions)
|
(Dollars
in millions)
|
|||||||||||||||||||||||||||||||
Consolidated
operating revenue
|
$ | 473.8 | $ | 425.0 | $ | 48.8 | 11 | % | $ | 1,377.5 | $ | 1,280.6 | $ | 96.9 | 8 | % | ||||||||||||||||
Consolidated
operating expenses
|
(363.6 | ) | (325.0 | ) | (38.6 | ) | 12 | % | (1,057.2 | ) | (981.7 | ) | (75.5 | ) | 8 | % | ||||||||||||||||
Consolidated
operating income
|
$ | 110.2 | $ | 100.0 | $ | 10.2 | 10 | % | $ | 320.3 | $ | 298.9 | $ | 21.4 | 7 | % | ||||||||||||||||
Consolidated
operating margin
|
23.3 | % | 23.5 | % | -0.2 | % pts | 23.3 | % | 23.3 | % | 0.0 | % pts |
Three
Months Ended September 30,
|
Change
|
Nine
Months Ended September 30,
|
Change
|
|||||||||||||||||||||||||||||
Consolidated
Other Expense, Net
|
2010
|
2009
|
$
|
%
|
2010
|
2009
|
$
|
%
|
||||||||||||||||||||||||
(Dollars
in millions)
|
(Dollars
in millions)
|
|||||||||||||||||||||||||||||||
Consolidated
interest expense
|
$ | 14.0 | $ | 14.1 | $ | (0.1 | ) | 0 | % | $ | 42.3 | $ | 42.9 | $ | (0.6 | ) | -1 | % | ||||||||||||||
Consolidated
other income, net
|
(0.7 | ) | (0.2 | ) | (0.5 | ) | 282 | % | (1.0 | ) | (5.8 | ) | 4.8 | -81 | % | |||||||||||||||||
Consolidated
other expense, net
|
$ | 13.3 | $ | 13.9 | $ | (0.6 | ) | -4 | % | $ | 41.3 | $ | 37.1 | $ | 4.2 | 11 | % | |||||||||||||||
Average
cost of debt
|
5.5 | % | 5.0 | % | 5.2 | % | 4.9 | % | ||||||||||||||||||||||||
Total
consolidated debt, net, at quarter end
|
$ | 1,007.4 | $ | 1,069.1 | $ | (61.7 | ) | -6 | % | $ | 1,007.4 | $ | 1,069.1 | $ | (61.7 | ) | -6 | % |
Three
Months Ended September 30,
|
Change
|
Nine
Months Ended September 30,
|
Change
|
|||||||||||||||||||||||||||||
Consolidated
Provision for Income Taxes
|
2010
|
2009
|
$
|
%
|
2010
|
2009
|
$
|
%
|
||||||||||||||||||||||||
(Dollars
in millions)
|
(Dollars
in millions)
|
|||||||||||||||||||||||||||||||
Consolidated
provision for income taxes
|
$ | 33.3 | $ | 28.7 | $ | 4.6 | 16 | % | $ | 99.7 | $ | 94.0 | $ | 5.7 | 6 | % | ||||||||||||||||
Effective
income tax rate
|
34.4 | % | 33.3 | % | 35.7 | % | 35.9 | % |
Three
Months Ended September 30,
|
Change
|
Nine
Months Ended September 30,
|
Change
|
|||||||||||||||||||||||||||||
Consolidated
Net Income
|
2010
|
2009
|
$
|
%
|
2010
|
2009
|
$
|
%
|
||||||||||||||||||||||||
(In
millions, except per share amounts)
|
(In
millions, except per share amounts)
|
|||||||||||||||||||||||||||||||
Consolidated
operating income
|
$ | 110.2 | $ | 100.0 | $ | 10.2 | 10 | % | $ | 320.3 | $ | 298.9 | $ | 21.4 | 7 | % | ||||||||||||||||
Consolidated
other expense, net
|
(13.3 | ) | (13.9 | ) | 0.6 | -4 | % | (41.3 | ) | (37.1 | ) | (4.2 | ) | 11 | % | |||||||||||||||||
Consolidated
provision for income taxes
|
(33.3 | ) | (28.7 | ) | (4.6 | ) | 16 | % | (99.7 | ) | (94.0 | ) | (5.7 | ) | 6 | % | ||||||||||||||||
Consolidated
income from continuing operations
|
63.6 | 57.4 | 6.2 | 11 | % | 179.3 | 167.8 | 11.5 | 7 | % | ||||||||||||||||||||||
Discontinued
operations, net of tax
|
15.2 | 4.0 | 11.2 | 278 | % | 31.5 | 10.8 | 20.7 | 188 | % | ||||||||||||||||||||||
Consolidated
net income
|
78.8 | 61.4 | 17.4 | 28 | % | 210.8 | 178.6 | 32.2 | 18 | % | ||||||||||||||||||||||
Net
income attributable to noncontrolling interests
|
(2.3 | ) | (1.7 | ) | (0.6 | ) | 31 | % | (6.3 | ) | (4.9 | ) | (1.4 | ) | 28 | % | ||||||||||||||||
Net
income attributable to Equifax
|
$ | 76.5 | $ | 59.7 | $ | 16.8 | 28 | % | $ | 204.5 | $ | 173.7 | $ | 30.8 | 18 | % | ||||||||||||||||
Diluted
earnings per common share attributable to Equifax
|
$ | 0.61 | $ | 0.47 | $ | 0.14 | 30 | % | $ | 1.61 | $ | 1.36 | $ | 0.25 | 18 | % | ||||||||||||||||
Diluted
earnings per common share from continuing operations
|
$ | 0.49 | $ | 0.44 | $ | 0.05 | 11 | % | $ | 1.36 | $ | 1.28 | $ | 0.08 | 6 | % | ||||||||||||||||
Weighted-average
shares used in computing diluted earnings per share
|
125.8 | 128.0 | 127.1 | 127.8 |
Three
Months Ended September 30,
|
Change
|
Nine
Months Ended September 30,
|
Change
|
|||||||||||||||||||||||||||||
U.S.
Consumer Information Solutions
|
2010
|
2009
|
$
|
%
|
2010
|
2009
|
$
|
%
|
||||||||||||||||||||||||
(Dollars
in millions)
|
(Dollars
in millions)
|
|||||||||||||||||||||||||||||||
Operating
revenue:
|
||||||||||||||||||||||||||||||||
Online
Consumer Information Solutions (OCIS)
|
$ | 128.3 | $ | 125.6 | $ | 2.7 | 2 | % | $ | 368.3 | $ | 385.2 | $ | (16.9 | ) | -4 | % | |||||||||||||||
Mortgage
Solutions
|
32.2 | 22.5 | 9.7 | 43 | % | 84.2 | 76.5 | 7.7 | 10 | % | ||||||||||||||||||||||
Consumer
Financial Marketing Services
|
33.5 | 25.7 | 7.8 | 30 | % | 99.2 | 80.4 | 18.8 | 23 | % | ||||||||||||||||||||||
Total
operating revenue
|
$ | 194.0 | $ | 173.8 | $ | 20.2 | 12 | % | $ | 551.7 | $ | 542.1 | $ | 9.6 | 2 | % | ||||||||||||||||
% of
consolidated revenue
|
41 | % | 41 | % | 40 | % | 42 | % | ||||||||||||||||||||||||
Total
operating income
|
$ | 72.2 | $ | 63.1 | $ | 9.1 | 15 | % | $ | 200.5 | $ | 201.9 | $ | (1.4 | ) | -1 | % | |||||||||||||||
Operating
margin
|
37.2 | % | 36.2 | % | 1.0 | % pts | 36.3 | % | 37.2 | % | -0.9 | % pts |
Three
Months Ended September 30,
|
Change
|
Nine
Months Ended September 30,
|
Change
|
|||||||||||||||||||||||||||||
International
|
2010
|
2009
|
$
|
%
|
2010
|
2009
|
$
|
%
|
||||||||||||||||||||||||
(Dollars
in millions)
|
(Dollars
in millions)
|
|||||||||||||||||||||||||||||||
Operating
revenue:
|
||||||||||||||||||||||||||||||||
Latin
America
|
$ | 59.1 | $ | 52.3 | $ | 6.8 | 13 | % | $ | 170.9 | $ | 145.3 | $ | 25.6 | 18 | % | ||||||||||||||||
Europe
|
35.0 | 36.5 | (1.5 | ) | -4 | % | 101.4 | 102.5 | (1.1 | ) | -1 | % | ||||||||||||||||||||
Canada
Consumer
|
28.4 | 26.1 | 2.3 | 9 | % | 84.6 | 73.1 | 11.5 | 16 | % | ||||||||||||||||||||||
Total
operating revenue
|
$ | 122.5 | $ | 114.9 | $ | 7.6 | 7 | % | $ | 356.9 | $ | 320.9 | $ | 36.0 | 11 | % | ||||||||||||||||
% of
consolidated revenue
|
26 | % | 27 | % | 26 | % | 25 | % | ||||||||||||||||||||||||
Total
operating income
|
$ | 30.8 | $ | 31.1 | $ | (0.3 | ) | -1 | % | $ | 89.6 | $ | 86.6 | $ | 3.0 | 4 | % | |||||||||||||||
Operating
margin
|
25.2 | % | 27.0 | % | -1.8 | % pts | 25.1 | % | 27.0 | % | -1.9 | % pts |
Three
Months Ended September 30,
|
Change
|
Nine
Months Ended September 30,
|
Change
|
|||||||||||||||||||||||||||||
TALX
|
2010
|
2009
|
$
|
%
|
2010
|
2009
|
$
|
%
|
||||||||||||||||||||||||
(Dollars
in millions)
|
(Dollars
in millions)
|
|||||||||||||||||||||||||||||||
Operating
revenue:
|
||||||||||||||||||||||||||||||||
The
Work Number
|
$ | 55.2 | $ | 37.0 | $ | 18.2 | 49 | % | $ | 154.9 | $ | 116.6 | $ | 38.3 | 33 | % | ||||||||||||||||
Tax
and Talent Management Services
|
43.9 | 46.1 | (2.2 | ) | -5 | % | 138.5 | 140.4 | (1.9 | ) | -1 | % | ||||||||||||||||||||
Total
operating revenue
|
$ | 99.1 | $ | 83.1 | $ | 16.0 | 19 | % | $ | 293.4 | $ | 257.0 | $ | 36.4 | 14 | % | ||||||||||||||||
% of
consolidated revenue
|
21 | % | 19 | % | 21 | % | 20 | % | ||||||||||||||||||||||||
Total
operating income
|
$ | 22.7 | $ | 17.7 | $ | 5.0 | 28 | % | $ | 67.2 | $ | 56.5 | $ | 10.7 | 19 | % | ||||||||||||||||
Operating
margin
|
22.9 | % | 21.4 | % | 1.5 | % pts | 22.9 | % | 22.0 | % | 0.9 | % pts |
Three
Months Ended September 30,
|
Change
|
Nine
Months Ended September 30,
|
Change
|
|||||||||||||||||||||||||||||
North
America Personal Solutions
|
2010
|
2009
|
$
|
%
|
2010
|
2009
|
$
|
%
|
||||||||||||||||||||||||
(Dollars
in millions)
|
(Dollars
in millions)
|
|||||||||||||||||||||||||||||||
Total
operating revenue
|
$ | 39.9 | $ | 37.1 | $ | 2.8 | 7 | % | $ | 119.9 | $ | 113.0 | $ | 6.9 | 6 | % | ||||||||||||||||
% of
consolidated revenue
|
8 | % | 9 | % | 9 | % | 9 | % | ||||||||||||||||||||||||
Total
operating income
|
$ | 12.7 | $ | 10.1 | $ | 2.6 | 25 | % | $ | 33.0 | $ | 24.1 | $ | 8.9 | 37 | % | ||||||||||||||||
Operating
margin
|
31.9 | % | 27.3 | % | 4.6 | % pts | 27.5 | % | 21.3 | % | 6.2 | % pts |
Three
Months Ended September 30,
|
Change
|
Nine
Months Ended September 30,
|
Change
|
|||||||||||||||||||||||||||||
North
America Commercial Solutions
|
2010
|
2009
|
$
|
%
|
2010
|
2009
|
$
|
%
|
||||||||||||||||||||||||
(Dollars
in millions)
|
(Dollars
in millions)
|
|||||||||||||||||||||||||||||||
Total
operating revenue
|
$ | 18.3 | $ | 16.1 | $ | 2.2 | 14 | % | $ | 55.6 | $ | 47.6 | $ | 8.0 | 17 | % | ||||||||||||||||
% of
consolidated revenue
|
4 | % | 4 | % | 4 | % | 4 | % | ||||||||||||||||||||||||
Total
operating income
|
$ | 3.3 | $ | 2.9 | $ | 0.4 | 14 | % | $ | 11.4 | $ | 7.6 | $ | 3.8 | 51 | % | ||||||||||||||||
Operating
margin
|
17.9 | % | 17.8 | % | 0.1 | % pts | 20.5 | % | 15.9 | % | 4.6 | % pts |
Three
Months Ended September 30,
|
Change
|
Nine
Months Ended September 30,
|
Change
|
|||||||||||||||||||||||||||||
General
Corporate Expense
|
2010
|
2009
|
$
|
%
|
2010
|
2009
|
$
|
%
|
||||||||||||||||||||||||
(Dollars
in millions)
|
(Dollars
in millions)
|
|||||||||||||||||||||||||||||||
General
corporate expense
|
$ | 31.5 | $ | 24.9 | $ | 6.6 | 27 | % | $ | 81.4 | $ | 77.8 | $ | 3.6 | 5 | % |
Nine
Months Ended September 30,
|
Change
|
|||||||||||||||
2010
vs. 2009
|
||||||||||||||||
Net
cash provided by (used in):
|
2010
|
2009
|
$
|
%
|
||||||||||||
(Dollars
in millions)
|
||||||||||||||||
Operating
activities
|
$ | 207.4 | $ | 268.8 | $ | (61.4 | ) | -23 | % | |||||||
Investing
activities
|
$ | 85.5 | $ | (52.9 | ) | $ | 138.4 |
nm
|
||||||||
Financing
activities
|
$ | (278.7 | ) | $ | (201.1 | ) | $ | (77.6 | ) |
nm
|
Nine
Months Ended September 30,
|
Change
|
|||||||||||
Net
cash used in:
|
2010
|
2009
|
2010
vs. 2009
|
|||||||||
(In
millions)
|
||||||||||||
Capital
expenditures
|
$ | 82.4 | $ | 51.2 | $ | 31.2 |
Nine Months Ended September 30,
|
Change
|
|||||||||||
Net cash provided by (used in):
|
2010
|
2009
|
2010 vs. 2009
|
|||||||||
(In
millions)
|
||||||||||||
Acquisitions,
net of cash acquired
|
$ | (15.3 | ) | $ | (3.5 | ) | $ | (11.8 | ) | |||
Cash
received from divestiture
|
$ | 181.7 | $ | - | $ | 181.7 | ||||||
Dividend
from unconsolidated affiliates
|
$ | 1.5 | $ | 1.8 | $ | (0.3 | ) |
Nine Months Ended September 30,
|
Change
|
|||||||||||
Net cash provided by (used in):
|
2010
|
2009
|
2010 vs. 2009
|
|||||||||
(In millions)
|
||||||||||||
Net
short-term borrowings (repayments)
|
$ | (134.0 | ) | $ | 247.5 | $ | (381.5 | ) | ||||
Net
repayments under long-term revolving credit facilities
|
$ | (5.0 | ) | $ | (420.0 | ) | $ | 415.0 | ||||
Payments
on long-term debt
|
$ | (19.6 | ) | $ | (6.6 | ) | $ | (13.0 | ) |
Nine Months Ended September 30,
|
Change
|
|||||||||||
Net cash provided by (used in):
|
2010
|
2009
|
2010 vs. 2009
|
|||||||||
(In millions)
|
||||||||||||
Treasury
stock repurchases
|
$ | (116.4 | ) | $ | (9.1 | ) | $ | (107.3 | ) | |||
Dividends
paid to Equifax shareholders
|
$ | (14.9 | ) | $ | (15.1 | ) | $ | 0.2 | ||||
Dividends
paid to noncontrolling interests
|
$ | (3.4 | ) | $ | (3.3 | ) | $ | (0.1 | ) | |||
Proceeds
from exercise of stock options
|
$ | 13.8 | $ | 5.9 | $ | 7.9 | ||||||
Excess
tax benefits from stock-based compensation plans
|
$ | 1.6 | $ | 0.5 | $ | 1.1 |
•
|
Under share repurchase programs
authorized by our Board of Directors, we purchased 3.7 million and
0.4 million common shares on the open market during the nine months ended
September 30, 2010 and 2009, respectively, for $116.4 million and
$9.1 million, respectively, at an average price per common share of
$30.09 and $22.87, respectively. At September 30, 2010, the Company had
approximately $155.5 million remaining for stock repurchases under
the existing Board
authorization.
|
•
|
Our dividends per share were
$0.12 per share for both of the nine month periods presented. We paid cash
dividends to Equifax shareholders of $14.9 million and $15.1 million
during the nine months ended September 30, 2010 and 2009,
respectively.
|
•
|
We received cash of $13.8 million
and $5.9 million during the first nine months of 2010 and 2009,
respectively, from the exercise of stock
options.
|
September 30,
|
||||
2010
|
||||
(In millions)
|
||||
Consumer
Information Solutions (including Mortgage Solutions and Consumer Financial
Marketing Services)
|
$ | 587.8 | ||
Europe
|
99.1 | |||
Latin
America
|
215.0 | |||
Canada
Consumer
|
30.1 | |||
North
America Personal Solutions
|
1.8 | |||
North
America Commercial Solutions
|
37.4 | |||
The
Work Number
|
752.3 | |||
Tax
Management Services
|
121.6 | |||
Talent
Management Services
|
26.1 | |||
Total
goodwill
|
$ | 1,871.2 |
Maximum Number
|
||||||||||||||||
(or Approximate
|
||||||||||||||||
Total Number
|
Dollar Value)
|
|||||||||||||||
Total
|
Average
|
of Shares Purchased
|
of Shares that May
|
|||||||||||||
Number
|
Price
|
as Part of
|
Yet Be Purchased
|
|||||||||||||
of Shares
|
Paid
|
Publicly-Announced
|
Under the Plans or
|
|||||||||||||
Period
|
Purchased (1)
|
Per Share (2)
|
Plans or Programs
|
Programs (3)
|
||||||||||||
June
1 - June 30, 2010
|
$ | 207,159,074 | ||||||||||||||
July
1 - July 31, 2010
|
1,349 | $ | - | - | $ | 207,159,074 | ||||||||||
August
1 - August 31, 2010
|
1,721,489 | $ | 30.09 | 1,717,269 | $ | 155,486,450 | ||||||||||
September
1 - September 30, 2010
|
569 | $ | - | - | $ | 155,486,450 | ||||||||||
Total
|
1,723,407 | $ | 30.09 | 1,717,269 | $ | 155,486,450 |
(1)
|
The total number of shares
purchased includes: (a) shares purchased pursuant to our
publicly-announced share repurchase program, or Program; and
(b) shares surrendered, or deemed surrendered, in satisfaction of the
exercise price and/or to satisfy tax withholding obligations in connection
with the exercise of employee stock options, totaling 1,349 shares for the
month of July 2010, 4,220 shares for the month of August 2010, and 569
shares for the month of September
2010.
|
(2)
|
Average price paid per share for
shares purchased as part of our Program (includes brokerage
commissions).
|
(3)
|
On May 7, 2010, our Board of
Directors increased the amounts authorized under the Program by an
additional $150 million, and we publicly announced this increase on May 7,
2010. At September 30, 2010, the amount authorized for future share
repurchases under the Program was $155.5 million. The Program does
not have a stated expiration
date.
|
Exhibit No.
|
Description
|
|
31.1
|
Rule 13a-14(a)
Certification of Chief Executive Officer.
|
|
31.2
|
Rule 13a-14(a)
Certification of Chief Financial Officer.
|
|
32.1
|
Section 1350
Certification of Chief Executive Officer.
|
|
32.2
|
|
Section 1350
Certification of Chief Financial Officer.
|
101.INS
|
XBRL
Instance Document
|
|
101.SCH
|
XBRL
Taxonomy Extension Schema Document
|
|
101.CAL
|
XBRL
Taxonomy Extension Calculation Linkbase
|
|
101.LAB
|
XBRL
Taxonomy Extension Label Linkbase
|
|
101.PRE
|
XBRL
Taxonomy Extension Presentation Linkbase
|
|
101.DEF
|
XBRL
Taxonomy Extension Definition
Linkbase
|
Equifax Inc.
|
||
(Registrant)
|
||
Date:
October 28, 2010
|
By:
|
/s/ Richard F.
Smith
|
Richard
F. Smith
|
||
Chairman
and Chief Executive Officer
(Principal
Executive Officer)
|
||
Date:
October 28, 2010
|
/s/ Lee
Adrean
|
|
Lee
Adrean
|
||
Corporate
Vice President and
|
||
Chief
Financial Officer
|
||
(Principal
Financial Officer)
|
||
Date:
October 28, 2010
|
/s/ Nuala M.
King
|
|
Nuala
M. King
|
||
Senior
Vice President and Corporate Controller
|
||
(Principal
Accounting Officer)
|
Exhibit No.
|
Description
|
|
31.1
|
Rule 13a-14(a)
Certification of Chief Executive Officer.
|
|
31.2
|
Rule 13a-14(a)
Certification of Chief Financial Officer.
|
|
32.1
|
Section 1350
Certification of Chief Executive Officer.
|
|
32.2
|
|
Section 1350
Certification of Chief Financial Officer.
|
101.INS
|
XBRL
Instance Document
|
|
101.SCH
|
XBRL
Taxonomy Extension Schema Document
|
|
101.CAL
|
XBRL
Taxonomy Extension Calculation Linkbase
|
|
101.LAB
|
XBRL
Taxonomy Extension Label Linkbase
|
|
101.PRE
|
XBRL
Taxonomy Extension Presentation Linkbase
|
|
101.DEF
|
XBRL
Taxonomy Extension Definition
Linkbase
|