United States
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

Current Report
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (date of earliest event reported):
August 1, 2008

Fidelity National Information Services, Inc.

(Exact name of Registrant as Specified in its Charter)

1-16427
(Commission File Number)

Georgia (State or Other Jurisdiction of Incorporation or Organization)		58-2606325 (IRS Employer Identification Number)

601 Riverside Avenue
Jacksonville, Florida 32204

(Addresses of Principal Executive Offices)

(904) 854-8100
(Registrant’s Telephone Number, Including Area Code)

(Former Name or Former Address, if Changed Since Last Report)

 

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

o		Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o		Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o		Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o		Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

 

Item 2.02 Results of Operations and Financial Condition

On July 2, 2008, Fidelity National Information Services, Inc. (“FIS”) completed the spin-off of Lender Processing Services, Inc(“LPS”). Since the completion of the spin-off occurred subsequent to the reporting period ended June 30, 2008, generally accepted accounting principles do not allow presentation of LPS as a discontinued operation in our periodic filings until FIS presents operating results for the three and nine-month periods ended September 30, 2008.

Because of these requirements and desire to furnish additional information to investors to improve the understanding of the Company’s operating performance, management is separately furnishing information which reflects the operations of LPS as a discontinued operation.

The purpose of the schedules included in Exhibit 99.1 is to recast the 2007 results by quarter and on an annual basis, along with the first quarter of 2008 in a manner consistent with how FIS will report results beginning in the third quarter of 2008. These schedules report the operating results of LPS, and other smaller operations, which we have exited as discontinued operations. Revenues and expenses associated with LPS and other disposed entities are presented as discontinued operations in the consolidated statements of earnings. Discontinued operations are reflected separately, net of tax, below net earnings from continuing operations.

The exhibit included with this filing contains financial information determined by methods other than in accordance with generally accepted accounting principles (“GAAP”). FIS’s management uses non-GAAP measures for planning purposes, including the preparation of annual operating budgets, and to evaluate the operating performance of its businesses and to compare its operating performance with that of its competitors. Therefore, management believes non-GAAP measures to be relevant and useful information for investors. The non-GAAP measures exclude certain items, which management believes are not indicative of core operating results, however, these items do impact our income statement, and management therefore utilizes non-GAAP measures as an operating performance measure in conjunction with GAAP measures, such as operating income or other income statement data prepared in accordance with GAAP. The non-GAAP measures should not be used in isolation or as a substitute for other measures of financial performance reported in accordance with GAAP.

The information included in Items 2.02 and 9.01 within this Current Report are being furnished and shall not be deemed “filed” for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended or otherwise subject to the liabilities of that Section. The information included in Items 2.02 and 9.01 within this Current Report shall not be incorporated by reference into any registration statement or other document pursuant to the Securities Act of 1933, as amended.

A copy of the historical financial data is attached as Exhibit 99.1.

Item 9.01. Financial Statements and Exhibits.

(d) Exhibits

99.1   Fidelity National Information Services, Inc. Supplemental Financial Schedules

SIGNATURE

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

EXHIBIT INDEX

Exhibit		Description
99.1		Fidelity National Information Services, Inc. Supplemental Financial Information

EXHIBIT 99.1

Fidelity National Information Services, Inc.
Supplemental Financial Schedules
August 1, 2008

On July 2, 2008, FIS completed the spin-off of Lender Processing Services, Inc. (“LPS”). Since the Completion of the spin-off occurred subsequent to the reporting period ended June 30, 2008, generally accepted accounting principles do not allow presentation of LPS as a discontinued operation in our periodic filings until FIS presents operating results for the three and nine-month periods ended September 30, 2008.

Because of these requirements and desire to furnish additional information to investors to improve the understanding of the Company’s operating performance, management is separately furnishing information which reflects the operations of LPS as a discontinued operation.

The purpose of the attached schedules is to recast the 2007 results by quarter and on an annual basis along with the first quarter of 2008 in a manner consistent with how FIS will report results beginning in the third quarter of 2008. These schedules report the operating results of LPS, and other smaller operations, which we have exited as discontinued operations. Revenues and expenses associated with LPS and other disposed entities are presented as discontinued operations in the consolidated statements of earnings. Discontinued operations are reflected separately, net of tax, below net earnings from continuing operations.

Exhibit Listing

Exhibit A.		FIS Supplemental Financial Information-Unaudited for the Full Year 2007 and the Quarters Ended March 31, June 30, September 30 and December 31, 2007 and March 31, 2008
Exhibit B.		FIS Supplemental Non-GAAP Financial Information-Unaudited for the Full Year 2007 and the Quarters Ended March 31, June 30, September 30 and December 31, 2007 and March 31, 2008
Exhibit C.		FIS Recast Consolidated Income Statements-Unaudited for the Full Year 2007 and the Quarters Ended March 31, June 30, September 30 and December 31, 2007 and March 31, 2008, presenting LPS as a discontinued operation

Exhibit A

FIDELITY NATIONAL INFORMATION SERVICES, INC.
SUPPLEMENTAL FINANCIAL INFORMATION — UNAUDITED
(In thousands, except per share data)

																						Full Year
		3/31/2008				12/31/2007				9/30/2007				6/30/2007				3/31/2007				2007
1. Income Statement-GAAP Presentation Post-Spin
Processing and services revenues		$	838,223			$	864,415			$	712,812			$	701,630			$	671,252			$	2,950,109
Cost of revenues			648,268				652,698				562,998				540,269				521,196				2,277,161
Gross profit			189,955				211,717				149,814				161,361				150,056				672,948
Selling, general and administrative			116,192				86,276				72,387				74,668				69,557				302,888
Research and development costs			18,283				20,376				17,579				14,905				17,518				70,378
Operating Income			55,480				105,065				59,848				71,788				62,981				299,682
Interest income			2,758				1,942				719				165				209				3,035
Interest expense			(39,577	)			(40,370	)			(37,856	)			(42,934	)			(72,073	)			(193,233	)
Gain on sale of Covansys stock			—				—				182,444				92,044				—				274,488
Other income			(441	)			10,979				3,327				1,336				92				15,734
Earnings from continuing operations before tax and minority interest			18,220				77,616				208,482				122,399				(8,791	)			399,706
Provision for income tax			4,608				27,082				75,238				43,284				(4,720	)			140,884
Earnings before equity in earnings (losses) and minority interest			13,612				50,534				133,244				79,115				(4,071	)			258,822
Equity in earnings (losses) of unconsolidated entities, net			—				1				86				1,330				1,408				2,825
Minority interest expense (income), net of tax			(190	)			319				(41	)			11				(339	)			(50	)
Net earnings from continuing operations			13,802				50,216				133,371				80,434				(2,324	)			261,697
Earnings from discontinued operations			56,698				58,195				111,933				67,570				61,827				299,525
Net earnings			70,500				108,411				245,304				148,004				59,503				561,222
Net Earnings from Continuing Operations Per Share — Diluted		$	0.07			$	0.26			$	0.68			$	0.41			$	(0.01	)		$	1.33

Exhibit A

FIDELITY NATIONAL INFORMATION SERVICES, INC.
SUPPLEMENTAL FINANCIAL INFORMATION — UNAUDITED
(In thousands, except per share data)

																						FullYear
		3/31/2008				12/31/2007				9/30/2007				6/30/2007				3/31/2007				2007
2. Revenues
Revenue from Continuing Operations:
TPS
Integrated Financial Solutions		$	368,585			$	364,612			$	308,803			$	297,117			$	283,753			$	1,254,285
Enterprise Solutions			280,544				289,492				241,395				245,174				234,560				1,010,621
International			178,109				199,811				147,242				143,293				138,185				628,531
Other			(439	)			(1,657	)			(1,789	)			(773	)			(548	)			(4,767	)
Total TPS Revenue			826,799				852,258				695,651				684,811				655,950				2,888,670
Corporate			11,424				12,157				17,161				16,819				15,302				61,439
Total Revenue from Continuing Operations			838,223				864,415				712,812				701,630				671,252				2,950,109
Total Revenue from Discontinued Operations		$	482,449			$	465,998			$	467,086			$	474,608			$	452,814			$	1,860,507
Revenue Growth from Prior Year Period (A)
TPS
Integrated Financial Solutions			29.9	%			28.7	%			11.6	%			9.1	%			5.1	%			13.8	%
Enterprise Solutions			19.6	%			15.9	%			3.1	%			10.8	%			7.6	%			9.5	%
International			28.9	%			41.7	%			23.9	%			44.3	%			58.4	%			40.8	%
Other			19.9	%			14.1	%			33.6	%			73.2	%			83.9	%			56.3	%
Total TPS Revenue Growth			26.0	%			26.8	%			11.0	%			16.1	%			14.7	%			17.4	%
Corporate			-25.3	%			-14.3	%			8.1	%			-16.7	%			-18.6	%			-11.0	%
Total Revenue from Continuing Operations			24.9	%			26.1	%			11.3	%			14.9	%			14.2	%			16.7	%
3. TPS Revenue from Continuing Operations, Excluding eFunds
TPS
Integrated Financial Solutions		$	297,566			$	297,912			$	296,142			$	297,117			$	283,753			$	1,174,924
Enterprise Solutions			226,605				244,121				231,613				245,174				234,560				955,468
International			161,742				170,782				142,057				143,293				138,185				594,317
Other			(423	)			(515	)			(789	)			(773	)			(548	)			(2,625	)
Total TPS Revenue, excluding eFunds		$	685,489			$	712,300			$	669,023			$	684,811			$	655,950			$	2,722,083
TPS Revenue Growth from Prior Year Period, excluding eFunds (A)
TPS
Integrated Financial Solutions			4.9	%			5.2	%			7.0	%			9.1	%			5.1	%			6.6	%
Enterprise Solutions			-3.4	%			-2.3	%			-1.0	%			10.8	%			7.6	%			3.5	%
International			17.0	%			21.2	%			19.5	%			44.3	%			58.4	%			33.2	%
Other			22.7	%			73.3	%			70.7	%			73.2	%			83.9	%			75.9	%
Total TPS Revenue Growth, excluding Efunds			4.5	%			6.0	%			6.7	%			16.1	%			14.7	%			10.6	%

																						FullYear
		3/31/2008				12/31/2007				9/30/2007				6/30/2007				3/31/2007				2007
4. Depreciation and Amortization
Depreciation and Amortization		$	68,711			$	79,171			$	83,653			$	68,027			$	62,563			$	293,414
Purchase Price Amortization			46,560				49,385				40,599				37,897				40,780				168,661
Other Amortization			8,861				9,347				10,187				7,968				7,269				34,771
Total Depreciation and Amortization		$	124,132			$	137,903			$	134,439			$	113,892			$	110,612			$	496,846
Depreciation and Amortization Related to Non-recurring Adjustments		$	—			$	—			$	13,531			$	393			$	683			$	14,608
Depreciation and Amortization from Discontinued Operations			20,740				24,659				25,693				26,491				26,557				103,400
Total Depreciation and Amortization from Continuing Operations, as adjusted		$	103,392			$	113,244			$	95,215			$	87,008			$	83,372			$	378,838
5. Capital Expenditures
Total Capital Expenditures — Continuing Operations		$	78,249			$	67,223			$	73,653			$	65,642			$	59,796			$	266,314
Total Capital Expenditures — Discontinued Operations			11,299				31,405				17,008				14,252				14,320				76,985
Total Capital Expenditures		$	89,548			$	98,628			$	90,661			$	79,894			$	74,116			$	343,299
6. Stock Compensation
Stock Compensation, Excluding Acceleration Charges		$	12,184			$	10,170			$	9,287			$	8,751			$	8,489			$	36,697
Stock Compensation Acceleration Charges			14,194				1,653				603				—				—				2,256
Total Stock Compensation		$	26,378			$	11,823			$	9,890			$	8,751			$	8,489			$	38,953
Stock Compensation Related to Discontinued Operations			4,687				3,213				3,630				3,645				3,570				14,057
Stock Compensation from Continuing Operations		$	21,691			$	8,610			$	6,260			$	5,106			$	4,919			$	24,896

Exhibit B

FIDELITY NATIONAL INFORMATION SERVICES, INC.
NON-GAAP FINANCIAL INFORMATION — UNAUDITED
(In thousands, except per share data)

																						Full Year
		3/31/2008				12/31/2007				9/30/2007				6/30/2007				3/31/2007				2007
1. EBIT and EBITDA — Consolidated
Revenue from Continuing Operations		$	838,223			$	864,415			$	712,812			$	701,630			$	671,252			$	2,950,109
Operating Income from Continuing Operations		$	55,480				105,065				59,848				71,788				62,981				299,682
M&A, Restructuring and Integration Costs			14,970				1,653				19,455				2,195				4,961				28,264
LPS Spin Costs			2,858				500				—				—				—				500
EBIT, as adjusted		$	73,308				107,218				79,303				73,983				67,942				328,446
Depr and Amort from Cont Ops, as adjusted			103,392				113,244				95,215				87,008				83,372				378,839
EBITDA , as adjusted		$	176,700				220,462				174,518				160,991				151,314				707,285
EBIT Margin, as adjusted			8.7	%			12.4	%			11.1	%			10.5	%			10.1	%			11.1	%
EBITDA Margin, as adjusted			21.1	%			25.5	%			24.5	%			22.9	%			22.5	%			24.0	%
2. Net Earnings — Reconciliation
Net Earnings from Continuing Operations		$	13,802				50,216				133,371				80,434				(2,324	)			261,697
M&A, Restructuring and Integration Costs, net of tax			9,491				(6,560	)			10,505				1,385				3,116				8,446
LPS Spin Costs, net of tax			1,812				315				—				—				—				315
Covansys Gain, net of tax			—				—				(114,939	)			(57,988	)			—				(172,927	)
Debt Restructure Charge, net of tax			—				—				—				—				17,059				17,059
Net Earnings from Continuing Operations, Excluding Certain Items			25,105				43,971				28,937				23,831				17,851				114,590
After-tax Purchase Price Amortization			23,582				24,107				19,038				17,578				18,885				79,608
Adjusted Net Earnings from Continuing Operations		$	48,687				68,078				47,975				41,409				36,736				194,198
Net Earnings from Continuing Operations Per Share, excluding other items		$	0.13				0.22				0.15				0.12				0.09				0.58
Adjusted Net Earnings Per Share		$	0.25				0.35				0.24				0.21				0.19				0.99
Diluted Weighted Average Shares			196,537				196,741				196,649				196,977				195,807				196,546

																						Full Year
						12/31/2007				9/30/2007				6/30/2007				3/31/2007				2007
3. Adjusted Net Earnings — Reconciliation to Investor Day Package
Adjusted Net Earnings Per Share						$	0.35				0.24				0.21				0.19				0.99
Change to allocation of Corporate costs (A)							0.02				0.02				0.02				0.01				0.07
Change to allocation of Interest expense (A)							—				0.05				0.06				0.06				0.17
Adjusted Net Earnings Per Share from Investor Day Package						$	0.37				0.31				0.29				0.26				1.23

Exhibit C

Fidelity National Information Services
2008 Recast Income Statements

		Q/E 3/31/08 (A)																Discontinued Operations								Q/E 3/31/08 Recast (C)
																														Corporate &
Three Months Ended March 31, 2008		TPS				LPS				Corporate				FIS				LPS (B)				Disc Ops				TPS				Other				FIS
Processing and services revenues		$	826,799			$	464,113			$	40			$	1,290,952			$	452,729			$	452,729			$	826,799			$	11,424			$	838,223
Cost of revenues			634,264				294,291				—				928,555				280,287				280,287				634,264				14,004				648,268
Gross profit			192,535				169,822				40				362,397				172,442				172,442				192,535				(2,580	)			189,955
Selling, general and administrative			65,176				45,884				52,491				163,551				47,359				47,359				65,176				51,016				116,192
Research and development costs			19,480				7,588				—				27,068				8,785				8,785				19,480				(1,197	)			18,283
Operating Income			107,879				116,350				(52,451	)			171,778				116,298				116,298				107,879				(52,399	)			55,480
Interest income											3,018				3,018				260				260								2,758				2,758
Interest expense											(62,448	)			(62,448	)			(22,871	)			(22,871	)							(39,577	)			(39,577	)
Other income											(451	)			(451	)			(10	)			(10	)							(441	)			(441	)
Earnings from continuing operations before tax and minority interest			107,879				116,350				(112,332	)			111,897				93,677				93,677				107,879				(89,659	)			18,220
Provision for income tax											40,955				40,955				36,347				36,347								4,608				4,608
Earnings before equity in earnings (losses) and minority interest			107,879				116,350				(153,287	)			70,942				57,330				57,330				107,879				(94,267	)			13,612
Equity in earnings (losses) of unconsolidated entities, net											(1,957	)			(1,957	)			(1,957	)			(1,957	)							—				—
Minority interest expense (income), net of tax											122				122				312				312								(190	)			(190	)
Net earnings from continuing operations			107,879				116,350				(155,366	)			68,863				55,061				55,061				107,879				(94,077	)			13,802
Earnings from discontinued operations			—				—				1,637				1,637								—								56,698				56,698
Net earnings		$	107,879			$	116,350			$	(153,729	)		$	70,500			$	55,061			$	55,061			$	107,879			$	(37,379	)		$	70,500
Net earnings per share-basic — continuing operations														$	0.35																			$	0.07
Net earnings per share-basic — discontinued operations															0.01																				0.29
Net earnings per share-basic														$	0.36																			$	0.36
Pro forma Weighted average shares-basic															194,542																				194,542
Net earnings per share-diluted — continuing operations														$	0.35																			$	0.07
Net earnings per share-diluted — discontinued operations															0.01																				0.29
Net earnings per share-diluted														$	0.36																			$	0.36
Pro forma Weighted average shares-diluted															196,537																				196,537

Fidelity National Information Services
2007 Recast Income Statements

		Q/E 3/31/07 (A)																Discontinued Operations												Q/E 3/31/07 Recast (D)
																																		Corporate &
		TPS				LPS				Corporate				FIS				LPS (B)				Other (C)				Disc Ops				TPS				Other				FIS
Three Months Ended March 31, 2007
Processing and services revenues		$	680,545			$	419,350			$	3,132			$	1,103,027			$	400,188			$	31,587			$	431,775			$	655,950			$	15,302			$	671,252
Cost of revenues			530,051				270,268				—				800,319				251,185				27,938				279,123				507,487				13,709				521,196
Gross profit			150,494				149,082				3,132				302,708				149,003				3,649				152,652				148,463				1,593				150,056
Selling, general and administrative			43,039				44,285				29,488				116,812				43,525				3,730				47,255				40,886				28,671				69,557
Research and development costs			17,518				9,591				—				27,109				9,591				—				9,591				17,518				—				17,518
Operating Income			89,937				95,206				(26,356	)			158,787				95,887				(81	)			95,806				90,059				(27,078	)			62,981
Interest income											634				634				350				75				425								209				209
Interest expense											(72,115	)			(72,115	)			(42	)			—				(42	)							(72,073	)			(72,073	)
Other income											668				668				573				3				576								92				92
Earnings from continuing operations before tax and minority interest			89,937				95,206				(97,169	)			87,974				96,768				(3	)			96,765				90,059				(98,850	)			(8,791	)
Provision for income tax											32,727				32,727				37,449				(2	)			37,447								(4,720	)			(4,720	)
Earnings before equity in earnings (losses) and minority interest			89,937				95,206				(129,896	)			55,247				59,319				(1	)			59,318				90,059				(94,130	)			(4,071	)
Equity in earnings (losses) of unconsolidated entities, net											936				936				(472	)			—				(472	)							1,408				1,408
Minority interest expense (income), net of tax											88				88				163				264				427								(339	)			(339	)
Net earnings from continuing operations			89,937				95,206				(129,048	)			56,095				58,684				(265	)			58,419				90,059				(92,383	)			(2,324	)
Earnings from discontinued operations			—				—				3,408				3,408												—								61,827				61,827
Net earnings		$	89,937			$	95,206			$	(125,640	)		$	59,503			$	58,684			$	(265	)		$	58,419			$	90,059			$	(30,556	)		$	59,503
Net earnings per share-basic — continuing operations														$	0.29																							$	(0.01	)
Net earnings per share-basic — discontinued operations															0.02																								0.32
Net earnings per share-basic														$	0.31																							$	0.31
Pro forma Weighted average shares-basic															191,898																								191,898
Net earnings per share-diluted — continuing operations														$	0.29																							$	(0.01	)
Net earnings per share-diluted — discontinued operations															0.02																								0.32
Net earnings per share-diluted														$	0.30																							$	0.30
Pro forma Weighted average shares-diluted															195,807																								195,807