NetSpend 2015 Annual Report Download - page 43

Download and view the complete annual report

Please find page 43 of the 2015 NetSpend annual report below. You can navigate through the pages in the report by either clicking on the pages listed below, or by using the keyword search tool below to find specific information within the annual report.

Page out of 100

  • 1
  • 2
  • 3
  • 4
  • 5
  • 6
  • 7
  • 8
  • 9
  • 10
  • 11
  • 12
  • 13
  • 14
  • 15
  • 16
  • 17
  • 18
  • 19
  • 20
  • 21
  • 22
  • 23
  • 24
  • 25
  • 26
  • 27
  • 28
  • 29
  • 30
  • 31
  • 32
  • 33
  • 34
  • 35
  • 36
  • 37
  • 38
  • 39
  • 40
  • 41
  • 42
  • 43
  • 44
  • 45
  • 46
  • 47
  • 48
  • 49
  • 50
  • 51
  • 52
  • 53
  • 54
  • 55
  • 56
  • 57
  • 58
  • 59
  • 60
  • 61
  • 62
  • 63
  • 64
  • 65
  • 66
  • 67
  • 68
  • 69
  • 70
  • 71
  • 72
  • 73
  • 74
  • 75
  • 76
  • 77
  • 78
  • 79
  • 80
  • 81
  • 82
  • 83
  • 84
  • 85
  • 86
  • 87
  • 88
  • 89
  • 90
  • 91
  • 92
  • 93
  • 94
  • 95
  • 96
  • 97
  • 98
  • 99
  • 100

• organic growth rates for TSYS’ existing clients are lower than anticipated whether as a result of
unemployment rates, card delinquencies and charge off rates or otherwise or attrition rates of existing clients
are higher than anticipated;
• TSYS does not convert and deconvert clients’ portfolios as scheduled;
• risks associated with foreign operations, including adverse developments with respect to foreign currency
exchange rates;
• adverse developments with respect to entering into contracts with new clients and retaining current clients;
• consolidation in the financial services and other industries, including the merger of TSYS clients with entities
that are not TSYS processing clients, the sale of portfolios by TSYS clients to entities that are not TSYS
processing clients and financial institutions which are TSYS clients otherwise ceasing to exist;
• the impact of the Dodd-Frank Wall Street Reform and Consumer Protection Act on TSYS and its clients;
• adverse developments with respect to the payment card industry in general, including a decline in the use of
cards as a payment mechanism;
• the impact of potential and completed acquisitions, particularly the pending TransFirst acquisition, including
the costs associated therewith, their being more difficult to integrate than anticipated, and the inability to
achieve the anticipated growth opportunities and other benefits of the acquisitions;
• the costs and effects of litigation, investigations or similar matters or adverse facts and developments
relating thereto;
• the impact of the application of and/or changes in accounting principles;
• TSYS’ inability to timely, successfully and cost-effectively improve and implement processing systems to
provide new products, increased functionality and increased efficiencies;
• TSYS’ reliance on financial institution sponsors;
• changes occur in laws, rules, regulations, credit card association rules, prepaid industry rules, or other
industry standards affecting TSYS and its clients that may result in costly new compliance burdens on TSYS
and its clients and lead to a decrease in the volume and/or number of transactions processed or limit the
types and amounts of fees that can be charged to customers;
• successfully managing the potential both for patent protection and patent liability in the context of rapidly
developing legal framework for expansive patent protection;
• one or more of the assumptions upon which TSYS’ earnings guidance for 2016 is based is inaccurate;
• the effect of current domestic and worldwide economic and geopolitical conditions;
• the impact on TSYS’ business, as well as on the risks set forth above, of various domestic or international
military or terrorist activities or conflicts;
• other risk factors described in the “Risk Factors” and other sections of TSYS’ Annual Report on Form 10-K for
the fiscal year ended December 31, 2015 and other filings with the Securities and Exchange Commission;
and
• TSYS’ ability to manage the foregoing and other risks.
These forward-looking statements speak only as of the date on which they are made and TSYS does not intend to
update any forward-looking statement as a result of new information, future developments or otherwise.
39