First Data 2009 Annual Report Download - page 42

FIRST DATA CORPORATION
MANAGEMENT’S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND
RESULTS OF OPERATIONS (Continued)
Consolidated Results
(in millions)
Historical Pro Forma Historical
Successor Successor Predecessor Percent Change
Year ended
December 31,
2009
Year ended
December 31,
2008
Year ended
December 31,
2007
Period from
September 25
through
December 31,
2007
Period from
January 1
through
September 24,
2007
2009
vs.
2008
Historical
2008
vs.
Pro Forma
2007
Revenues:
Transaction and processing service
fees ....................... $5,788.9 $ 5,785.3 $ 5,519.2 $1,553.3 $3,965.9 0% 5%
Investment income, net ......... 8.4 77.1 (75.1) (8.2) (66.9) (89)% *
Product sales and other ......... 788.3 848.2 839.4 223.0 616.4 (7)% 1%
Reimbursable debit network fees,
postage and other ............ 2,728.2 2,100.7 1,767.9 510.4 1,257.5 30% 19%
9,313.8 8,811.3 8,051.4 2,278.5 5,772.9 6% 9%
Expenses:
Cost of services (exclusive of items
shown below) ............... 2,945.1 2,870.6 2,755.8 753.8 2,116.2 3% 4%
Cost of products sold ........... 305.5 316.8 296.5 87.3 209.2 (4)% 7%
Selling, general and
administrative ............... 1,438.2 1,374.8 1,404.2 404.4 1,149.9 5% (2)%
Reimbursable debit network fees,
postage and other ............ 2,728.2 2,100.7 1,767.9 510.4 1,257.5 30% 19%
Depreciation and amortization .... 1,452.3 1,369.7 1,253.9 367.8 476.4 6% 9%
Other operating expenses, net .... 289.7 3,255.6 23.1 (0.2) 23.3 * *
9,159.0 11,288.2 7,501.4 2,123.5 5,232.5 (19)% 50%
Interest income ................ 11.7 26.0 48.7 17.9 30.8 (55)% (47)%
Interest expense ............... (1,796.4) (1,964.9) (2,036.4) (584.7) (103.6) (9)% (4)%
Other income (expense) (a) ...... (61.3) (14.4) (53.3) (74.0) 4.9 * *
Income tax (benefit) expense ..... (578.8) (699.2) (652.1) (176.1) 125.8 (17)% 7%
Equity earnings in affiliates ...... 97.8 123.0 134.0 46.8 223.0 (20)% (8)%
Loss from discontinued operations,
net of taxes ................. — — — — (3.9) — —
Net (loss) income .............. (1,014.6) (3,608.0) (704.9) (262.9) 565.8 (72)% *
Less: Net income attributable to
noncontrolling interests ....... 71.8 156.3 144.3 39.0 105.0 (54)% 8%
Net (loss) income attributable to
First Data Corporation ........ $(1,086.4) $ (3,764.3) $ (849.2) $ (301.9) $ 460.8 (71)% *
* Calculation not meaningful.
(a) Other income (expense) includes investment gains and (losses), derivative financial instruments gains and
losses, divestitures, net, debt repayment gains and losses and non-operating foreign currency exchange gains
and losses.
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