ADP 2002 Annual Report Download - page 6

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You can expect us to increase our acquisition activity even further, as we look
to supplement our internal growth with strategic acquisitions that extend our
markets and add applications to our product sets.
OUR ASSOCIATES
We ask a lot of our associates at ADP, especially during difficult times.
In this very challenging year, ADP associates really came through
in many ways, including an increase in productivity and improved
associate retention. Realistically we understand that tight cost containment tests
morale and, even as we are working harder and better, our associates do not
always get the recognition that goes with stronger growth. Our message to our
associates is one of great thanks and appreciation. Our associates make ADP’s
results happen.
Nothing tested our associates more than the events of September 11, 2001.
Their performance in doing the right thing for our clients and other associates,
even at great personal inconvenience and difficulty, can only be labeled as
extraordinary. ADP’s associates deserve special recognition and accolades.
We have never been more proud of them.
FINANCIAL/ACCOUNTING INTEGRITY
There is a lack of confidence today in the integrity of published financial
statements. It is hard to address the topic without comments that
sound either superficial or gratuitous. ADP is rated AAA by Standard &
Poor’s and Moody’s – in fact, we are one of only seven U.S. companies with
that rating. Our financials are consistently conservative – and we intend
to keep them that way. We do not have unusual unconsolidated ventures or
unusual or undisclosed off balance sheet financing. Our consistent results over
the years are a result of the strength of our recurring revenue model. We have
long-term client relationships with most of our clients, and we receive revenue
each period for our high quality services. We also have consistently generated
strong cash flows from operations. We are proud of our financial record and
our Company’s integrity.
FISCAL 2003 FORECAST
We are confident that ADP is well positioned for long-term growth and
profitability. For fiscal 2003, despite the continuing uncertainties
created by the macroeconomic environment, we are forecasting
mid-single-digit growth in revenues and earnings per share. While this will break
ADP’s track record of consecutive years of double-digit growth in earnings per
share, we believe the benefits from the investments we are making in our future
are more important than continuing the record.
We look forward to the future with enthusiasm and confidence.
Arthur F. Weinbach Gary C. Butler
Chairman and President and
Chief Executive Officer Chief Operating Officer
August 12, 2002
4
O ur message to our associ-
ates is one of great thanks
and appreciation. O ur
associates make ADP’s
results happen.
To our Shareholders continued
ADP is rated
AAA by
Standard &
Poor’s and Moody’s ... one
of only seven U.S. companies
with that rating.
Top
Rating
Standard & Poor’s
and Moody’s