Segment Reporting and Major Customers

6 Months Ended

Jun. 30, 2012

Segment Reporting and Major Customers

Note 7 — Segment Reporting and Major Customers

Refer to Note 22 of the Company’s audited financial statements for the year ended December 31, 2011, which are included as Exhibit 13.1 to the Company’s Annual Report on Form 10-K for the year ended December 31, 2011, as filed with the SEC, for a discussion regarding segment reporting and major customers.

The following table presents the Company’s operating results by segment:

Operating Segments	Three months ended June 30,						Six months ended June 30,
(in thousands)	2012			2011			2012			2011
Revenues before reimbursable items
North America Services	$	205,565			198,775			409,614			393,365
International Services		99,047			93,778			195,538			181,198
Merchant Services		97,701			93,041			196,056			179,560
Intersegment revenues		(3,621	)		(5,384	)		(7,338	)		(11,269	)
Revenues before reimbursable items from external customers	$	398,692			380,210			793,870			742,854
Total revenues
North America Services	$	239,557			233,903			480,156			464,461
International Services		103,415			97,670			203,775			188,380
Merchant Services		124,903			123,084			250,420			238,840
Intersegment revenues		(5,224	)		(7,103	)		(10,538	)		(14,696	)
Revenues from external customers	$	462,651			447,554			923,813			876,985
Depreciation and amortization
North America Services	$	18,821			19,926			37,275			39,392
International Services		15,006			11,960			27,917			23,668
Merchant Services		8,668			9,313			17,453			18,460
Corporate Administration		718			768			1,441			1,515
Total depreciation and amortization	$	43,213			41,967			84,086			83,035
Segment operating income
North America Services	$	72,060			64,068			140,232			119,268
International Services		9,438			10,122			13,552			21,147
Merchant Services		32,950			25,708			67,169			52,631
Corporate Administration		(22,352	)		(21,369	)		(44,026	)		(41,489	)
Operating income	$	92,096			78,529			176,927			151,557

	At June 30, 2012			At December 31, 2011
Total assets
North America Services	$	1,704,042			1,621,664
International Services		448,098			433,203
Merchant Services		486,444			487,858
Intersegment eliminations		(702,043	)		(684,333	)
Total assets	$	1,936,541			1,858,392

Revenues by Geographic Area

Revenues for North America Services and Merchant Services include electronic payment processing and other services provided from the United States to clients domiciled in the United States or other countries. Revenues for International Services include electronic payment processing and other services provided from facilities outside the United States to clients based predominantly outside the United States.

The following geographic data presents revenues based on the domicile of the Company’s customers:

	Three months ended June 30,				Six months ended June 30,
(in millions)	2012		2011		2012		2011
United States	$	303.8		301.1		609.3		593.8
Europe*		73.9		72.0		146.8		137.8
Canada		51.0		46.4		101.8		90.5
Japan*		19.5		18.3		37.9		35.7
Mexico		2.7		2.1		5.1		4.0
Other*		11.8		7.7		22.9		15.2
Total	$	462.7		447.6		923.8		877.0

* Revenues are impacted by movements in foreign currency exchange rates.

The following tables reconcile geographic revenues to revenues by operating segment based on the domicile of the Company’s customers:

	Three months ended June 30,
	North America Services				International Services				Merchant Services
(in millions)	2012		2011		2012		2011		2012		2011
United States	$	178.3		178.3		—		—		125.5		122.8
Europe*		0.2		0.2		73.7		71.8		—		—
Canada		51.0		46.3		—		—		—		0.1
Japan*		—		—		19.5		18.3		—		—
Mexico		2.7		2.1		—		—		—		—
Other*		2.5		2.8		9.3		4.7		—		0.2
Total	$	234.7		229.7		102.5		94.8		125.5		123.1

	Six months ended June 30,
	North America Services				International Services				Merchant Services
(in millions)	2012		2011		2012		2011		2012		2011
United States	$	357.9		355.6		—		—		251.4		238.2
Europe*		0.3		0.4		146.5		137.4		—		—
Canada		101.7		90.3		—		—		0.1		0.2
Japan*		—		—		37.9		35.7		—		—
Mexico		5.1		4.0		—		—		—		—
Other*		5.0		5.3		17.7		9.5		0.2		0.4
Total	$	470.0		455.6		202.1		182.6		251.7		238.8

* Revenues are impacted by movements in foreign currency exchange rates.

The Company maintains property and equipment, net of accumulated depreciation and amortization, in the following geographic areas:

(in millions)	At June 30, 2012		At December 31, 2011
United States	$	190.2		194.8
Europe*		51.0		52.4
Japan*		10.2		9.7
Other*		7.8		9.7
Total	$	259.2		266.6

* Total assets are impacted by movements in foreign currency exchange rates.

Major Customers

For the three and six months ended June 30, 2012, the Company did not have any major customers. For the three months ended June 30, 2011, the Company had one major customer which accounted for approximately 11.9%, or $53.1 million, of total revenues. For the six months ended June 30, 2011, this major customer accounted for approximately 12.2%, or $106.6 million, of total revenues. These revenues were primarily attributable to the North America Services and Merchant Services segments.