
Fidelity National Information Services, Inc. 2007 Annual Report 2007 Annual Report 129698 Outside CoversX / Vol 508 / Brown / Mindpower / 3-26-08 DC Selected Financial Highlights and Reconciliation of Non-GAAP Information(1) (in millions, except per share amounts) (2) Year Ended December 31, 2007 % Increase 2006 Corporate Information Revenue $4,758.0 $4,042.2 Certegy January 2006 Revenue – 92.9 Pro forma revenue $4,758.0 15.1% $4,135.1 Corporate Office Publications Net Earnings $561.2 $259.1 Fidelity National Information Services, Inc. The Company’s Annual Report on Form 10-K and Gains on asset sales, net of tax (215.1) – 601 Riverside Avenue quarterly reports on Form 10-Q are available on Merger and acquisition, restructuring and integration costs, net of tax 8.8 67.6 Jacksonville, FL 32204 the Investor Relations section of the Company’s Debt restructure costs, net of tax 17.1 – 904.854.5000 Web site at www.fidelityinfoservices.com. Performance based stock option costs, net of tax – 14.9 www.fidelityinfoservices.com Certegy January 2006 earnings, net of tax – (42.5) A Notice of Annual Meeting of Stockholders and Proxy Annual Meeting of Stockholders Statement are furnished to stockholders in advance of Purchase accounting adjustments related to Certegy acquisition, net of tax – (3.7) the Annual Meeting. Amortization of purchased intangibles, net of tax 106.2 113.2 The Annual Meeting of Stockholders will be held Adjusted Net Earnings $478.2 17.0% $408.6 May 29, 2008, at the FIS Corporate headquarters Certifications at 601 Riverside Avenue, Jacksonville, FL 32204. Weighted average shares – diluted 196.5 194.7 FIS filed the Chief Executive Officer and Chief Adjusted Net Earnings per share – diluted $2.44 16.2% $2.10 Stock Exchange Listing Financial Officer certifications required by Section 302 of the Sarbanes-Oxley Act of 2002 as exhibits (1)Generally Accepted Accounting Principles (GAAP) is the standard accounting framework utilized by companies in the United States in order to Fidelity National Information Services, Inc.’s common to its Annual Report on Form 10-K for the fiscal year produce consistency and comparability in financial accounting and financial reporting. In addition to reporting financial results in accordance with stock is listed on the New York Stock Exchange under ended December 31, 2007. FIS submitted the required GAAP, the Company has provided non-GAAP financial measures which it believes are useful to help investors better understand its financial performance, competitive position and prospects for the future. the trading symbol “FIS.” 2007 annual CEO certification to the New York Stock Exchange (NYSE) in accordance with Section 303A.12 (2) The 2006 adjusted net earnings and weighted average shares data presents the historical information of FIS, adjusted as though the merger of Stock Transfer Agent and Registrar of the NYSE Listed Company Manual. FIS and Certegy had occurred on January 1, 2006, and for other non-operating items. Forward-Looking Statements Computershare Investor Services, LLC Investor Relations This report contains forward-looking statements that involve a number of risks and uncertainties. Statements that are not historical facts, including 2 North LaSalle Street statements about our beliefs and expectations, are forward-looking statements. Forward-looking statements are based on management’s beliefs, Chicago, Illinois 60602 Mary K. Waggoner as well as assumptions made by, and information currently available to, management. Because such statements are based on expectations as to future economic performance and are not statements of fact, actual results may differ materially from those projected. We undertake no obligation 800.568.3476 Senior Vice President to update any forward-looking statements, whether as a result of new information, future events or otherwise. The risks are detailed in the “Statement 904.854.3282 Regarding Forward-Looking Information”, “Risk Factors” and other sections of the Company’s Form 10-K and other filings with the Securities and Independent Registered Accounting Firm Exchange Commission. Parag Bhansali KPMG LLP Senior Vice President 1 Independent Drive 904.854.8640 Suite 1100 Table of Contents Jacksonville, FL 32202 Company Overview ........................................................................................ 1 Letter to Shareholders .................................................................................... 2 Transaction Processing Services ................................................................... 6 Lender Processing Services ........................................................................... 8 Board of Directors and Executive Officers .................................................... 10 Stock Performance Chart and Corporate Information ............Inside Back Cover 129698 Inside CoversX / Vol 508 / Brown / Mindpower / 3-26-08 DC World-Class. Worldwide. Fidelity National Information Services, Inc. (NYSE:FIS) is a leading provider of core processing, card issuer and transaction processing services, mortgage loan processing, information services and outsourced technology to financial institutions and mortgage lenders. FIS maintains a strong global presence, serving customers in more than 80 countries with operating centers strategically located in major growth regions around the world. The Company maintains processing and technology relationships with more than 10,000 financial institutions, including 37 of the top 50 and eight of the top 10 global banks. FIS is the leading provider of mortgage processing services in the United States, with more than 50 percent market share. Fidelity National Information Services 1 William P. Foley, II Executive Chairman To Our Valued Shareholders: 2007 was a challenging year for the financial services industry, resulting from unprecedented credit market turmoil and highly volatile mortgage and real estate industries. Despite these challenges, FIS generated excellent revenue and earnings growth. Our strong financial performance was driven by solid execution of our business plan, which focuses on strengthening customer relationships and expanding our presence in the markets we serve. Net earnings in 2007 totaled $561.2 million, or $2.86 per diluted share. On a pro forma basis, consolidated revenue increased 15.1 percent to a record $4.8 billion, resulting from double-digit growth in Transaction Processing Services (TPS) and Lender Processing Services (LPS). Adjusted net earnings per diluted share increased 16.2 percent to $2.44. These results demonstrate the strength and diversity of our customer base, integrated product offerings and market leading technology. FIS continues to generate organic revenue growth higher than our closest peers. In 2007, organic revenue increased 11 percent, exceeding our original expectation of 7 percent to 9 percent. During the last two years, consolidated pro forma revenue and adjusted net earnings per diluted share increased 9.8 percent and 11.9 percent, respectively, on a compound annual basis. Reliable. Consistent. Value-Added. Transaction Processing Services (TPS) revenue increased 17.1 percent, on a pro forma basis, to $3.0 billion. Growth within the existing client base, strong cross-sales, new customer contracts and a significant number of customer implementations drove organic revenue growth of 10.5 percent. International revenues increased more than 40 percent in 2007 (33 percent organic), driven by strong results in our core banking operations in Europe and Asia Pacific, and our item processing and credit card operations in Brazil. We expanded into new geographic regions with the addition of new core processing customers in Mexico and Turkey. We also made significant progress in completing the system enhancements necessary to convert two of Brazil’s largest card-issuing banks, Banco Bradesco S.A. and Banco ABN Amro Real, to our market-leading credit card processing platform. Integrated Financial Solutions (which serves community-based institutions) generated record new sales in 2007. Other noteworthy accomplishments in TPS included the successful conversion of BB&T’s credit card portfolio, 2 Fidelity National Information Services Lee A. Kennedy President and Chief Executive Officer and the implementation of our TouchPoint™ sales and servicing platform for one of the nation’s largest banks. BB&T represents our initial entry into the domestic mid-tier card market and is one of our most significant examples of successful cross sales to date. There is increasing global demand for TouchPoint channel products in the mid- and large-tier financial institution marketplace, and we believe the scale and magnitude of the most recent implementations clearly demonstrate TouchPoint’s strategic value to banks. We firmly believe that companies with the most comprehensive range of core-banking and payment-processing services will have a strong competitive advantage over providers with limited product capability and distribution channels. FIS has been at the forefront of this evolution since combining with Certegy in 2006. The acquisition of eFunds, which was completed in September 2007, is an extension of that strategy. eFunds adds critical scale to our EFT, ATM and debit-card processing operations, and significant new product capability, including prepaid gift card and risk management services. In addition, eFunds will increase our offshore business process outsourcing (BPO) and professional services capabilities, which should reduce programming and back-office
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