First Data 2012 Annual Report Download - page 36

Financial Services segment results.
(a) Domestic debit issuer transactions include signature and PIN-debit transactions, STAR and non-STAR branded.
(b) Domestic active card accounts on file include bankcard and retail accounts that had a balance or any monetary posting or
authorization activity during the last month of the quarter.
(c) Domestic card accounts on file include credit, retail and debit card accounts as of the last day of the last month of the period.
Transaction and processing service fees revenue.
Components of transaction and processing service fees revenue.
Credit card, retail card and debit processing revenue. Credit card and retail card processing revenue increased for 2012
compared to 2011 due to net new business and volume growth from existing customers mostly offset by price compression on contract
renewals as well as volume based pricing incentives. Growth in domestic active card accounts on file in 2012 versus 2011 benefited
primarily from net new account conversions, mostly retail accounts; the substantial majority of which were converted in March 2012.
Credit card and retail card processing revenue declined in 2011 versus 2010 with net new account conversions more than offset by
price compression, declines in revenue from existing customers and the loss of call center business not driven by active accounts on
file. Growth in domestic active card accounts on file in 2011 compared to 2010 benefited primarily from net new account conversions.
Debit processing revenue decreased for 2012 compared to 2011 due primarily to net lost business and price compression on
contract renewals as well as other net contractual pricing incentives partially offset by new fees implemented in 2011, primarily
regulatory compliance fees and volume growth from existing customers. Debit processing revenue increased slightly in 2011
36
Year ended December 31, Percent Chan
g
e
(in millions) 2012 2011 2010 2012 vs. 2011 2011 vs. 2010
Revenues:
Transaction and processing service fees $ 1,350.0 $ 1,350.0 $ 1,362.2 0% (1)%
Product sales and other 40.1 29.5 46.8 36% (37)%
Segment revenue
$ 1,390.1 $ 1,379.5 $ 1,409.0
1% (2)%
Segment EBITDA $603.1 $593.5 $553.0 2% 7%
Segment margin 43% 43% 39% 0
p
ts 4
p
ts
Key indicators:
Domestic debit issuer transactions (a) 12,113.8 13,042.6 12,201.2 (7)% 7%
Domestic active card accounts on file (end
of period) (b)
Bankcar
d
55.4 50.5 47.8 10% 6%
Retail 89.3 72.6 70.7 23% 3%
Total 144.7 123.1 118.5
18% 4%
Domestic card accounts on file (end of period) (c)
Bankcar
d
152.2 137.2 127.3 11% 8%
Retail 492.2 423.0 398.4 16% 6%
Debit 93.7 146.5 129.9 (36)% 13%
Total
738.1 706.7 655.6
4% 8%
Year ended December 31, Percent Chan
g
e
(in millions) 2012 2011 2010 2012 vs. 2011 2011 vs. 2010
Credit card, retail card and debit processing $ 911.5 $907.2 $924.7 0% (2)%
Output services 229.8 225.3 219.5 2% 3%
Other revenue 208.7 217.5 218.0 (4)% 0%
Total transaction and processing service fees
revenue $ 1,350.0 $1,350.0 $1,362.2 0% (1)%