Equifax 2007 Annual Report Download - page 33

EQUIFAX | 2007 ANNUAL REPORT 31
Item 7.
MANAGEMENT’S DISCUSSION AND
ANALYSIS OF FINANCIAL CONDITION
AND RESULTS OF OPERATIONS
As used herein, the terms Equifax, the Company, we, our and us
refer to Equifax Inc., a Georgia corporation, and its consolidated
subsidiaries as a combined entity, except where it is clear that the
terms mean only Equifax Inc.
All references to earnings per share data in Management’s
Discussion and Analysis, or MD&A, are to diluted earnings per
share, or EPS, unless otherwise noted. Diluted EPS is calculated
to refl ect the potential dilution that would occur if stock options
or other contracts to issue common stock were exercised and resulted
in additional common shares outstanding.
BUSINESS OVERVIEW
We are a leading global provider of information solutions,
employment and income verifi cation and human resources business
process outsourcing services. We leverage one of the largest sources
of consumer and commercial data, along with advanced analytics
and proprietary technology, to create customized insights which
enable our business customers to grow faster and more effi ciently
and inform and empower consumers.
Businesses rely on us for consumer and business credit
intelligence, portfolio management, fraud detection, decisioning
technology, marketing tools, and human resources and payroll
services. We also offer a portfolio of products that enable individual
consumers to manage their financial affairs and protect their
identity. Our revenue stream is diversifi ed among individual
consumers and businesses across a wide range of industries and
international geographies.
Segment and Geographic Information
Segments. The U.S. Consumer Information Solutions, or USCIS,
segment, the largest of our fi ve segments, consists of four product
and service lines: Online Consumer Information Solutions, Mortgage
Reporting Solutions, Credit Marketing Services and Direct
Marketing Services. Online Consumer Information Services and
Mortgage Reporting Solutions revenue is principally transaction-
based and is derived from our sales of products such as consumer
credit reporting and scoring, mortgage reporting, identity verifi cation,
fraud detection and modeling services, and certain of our decisioning
products that facilitate and automate a variety of credit-oriented
decisions, a signifi cant majority of which are delivered electronically.
Credit Marketing Services and Direct Marketing Services revenue
is principally transaction- and subscription-based and is derived
from our sales of the products such as those that assist clients in
acquiring new customers, cross-selling to existing customers and
managing portfolio risk.
The TALX segment consists of The Work Number and Tax and
Talent Management business units. The Work Number revenue is
transaction-based and derived primarily from verifi cation of employ-
ment data reported to us by employers. Tax and Talent Management
revenues derive from our provision of certain human resources
business process outsourcing services that are transaction- and
subscription-based product offerings.
North America Personal Solutions revenue is both transaction-
and subscription-based and is derived from the sale of credit
monitoring and identity theft protection products, which we
deliver to consumers through the mail and electronically via
the Internet.
North America Commercial Solutions revenue is principally
transaction-based and is derived from the sale of business infor-
mation, credit scores and portfolio analytics (decisioning tools)
that enable customers to utilize our reports to make fi nancial,
marketing and purchasing decisions related to businesses.