shares outstanding is used for the calculation of basic and diluted EPS as no common stock of the Company existed before March 30, 2007 and no equity awards of the Company were outstanding for the prior periods. Diluted EPS subsequent to the Distribution reflects the potential dilution that could occur if outstanding stock options at the presented date are exercised and shares of restricted stock have vested.

As of June 30, 2008 and 2007, the computation of diluted EPS excludes 5.4 million and 7.5 million, respectively, of stock options as the effect of their inclusion would have been anti-dilutive.

The following table sets forth the denominators of the basic and diluted EPS computations:

Years ended June 30, 2008 2007 2006 (in millions) Weighted-average shares outstanding: Basic ...... 139.6 138.8 138.8 Common stock equivalents ...... 1.4 0.2 — Diluted ...... 141.0 139.0 138.8

The following table sets forth the computation of basic EPS from continuing operations utilizing Net earnings from continuing operations for the fiscal year and the Company’s basic Weighted-average shares outstanding:

Years ended June 30, 2008 2007 2006 (in millions, except per share amounts) Net earnings from continuing operations ...... $192.2 $197.1 $180.5 Basic Weighted-average shares outstanding ...... 139.6 138.8 138.8 Basic EPS ...... $ 1.38 $ 1.42 $ 1.30

The following table sets forth the computation of diluted EPS from continuing operations utilizing Net earnings from continuing operations for the fiscal year and the Company’s diluted Weighted-average shares outstanding:

Years ended June 30, 2008 2007 2006 (in millions, except per share amounts) Net earnings from continuing operations ...... $192.2 $197.1 $180.5 Diluted Weighted-average shares outstanding ...... 141.0 139.0 138.8 Diluted EPS ...... $ 1.36 $ 1.42 $ 1.30

NOTE 4. OTHER EXPENSES, NET Other expenses, net consisted of the following:

Years ended June 30, 2008 2007 2006 ($ in millions) Interest expense on notes payable to ADP affiliated parties ...... $— $ 1.9 $1.7 Interest expense on borrowings ...... 31.3 10.6 — Interest income ...... (2.0) (0.8) (0.7) Foreign exchange loss ...... 0.9 0.4 0.5 Other ...... 0.7 0.2 0.2 Other expenses, net ...... $30.9 $12.3 $ 1.7

67