Business Context and Reporting Period
This Form 8-K was filed by Fidelity National Information Services, Inc. (FIS) on December 5, 2008. The report addresses the sale of Certegy Australia, Ltd. operating assets completed on October 13, 2008, and the subsequent reclassification of this unit as a discontinued operation effective for the three and twelve-month periods ended December 31, 2008. Additionally, the filing details revenue reclassifications regarding the eFunds acquisition to align 2007 and 2008 reporting periods.
Key Financial Metrics
The filing text does not provide specific numerical values for revenue, profit, cash flow, margins, debt, or liquidity. Instead, it serves as a notice of accounting adjustments. The document references Exhibit 99.1, which contains supplemental financial schedules recasting 2007 results and the first three quarters of 2008 to reflect the discontinued operations and revenue reclassifications. Management utilizes non-GAAP measures for planning and performance evaluation, excluding items not indicative of core operating results, though these are not detailed in the text of this report.
Material Changes Versus Prior Period
- Discontinued Operations: Certegy Australia, Ltd. results will be reported as discontinued operations, net of tax, below net earnings from continuing operations, starting with the fourth quarter of 2008.
- Revenue Reclassification: Revenues from the eFunds acquisition previously reported under the International channel have been reclassified to the Integrated Financial Solutions and Enterprise Solutions channels. Historical data for the third and fourth quarters of 2007 has been adjusted to conform to this new presentation.
Guidance, Outlook, and Management Commentary
Management states the purpose of this filing is to provide timely information to investors regarding the impact of the Certegy Australia sale and eFunds reclassifications before the formal completion of the 2008 fourth quarter. The filing explicitly notes that the financial information in Exhibit 99.1 is "furnished" and not "filed" under Section 18 of the Securities Exchange Act of 1934, meaning it is not subject to the liabilities of that section and will not be incorporated by reference into other registration statements. No specific forward-looking guidance or risk factors are detailed in the text of this report.
Investor Verification Checklist
- Review Exhibit 99.1 for the specific recasted financial schedules for 2007 and the first three quarters of 2008.
- Verify the exact financial impact of Certegy Australia, Ltd. being removed from continuing operations.
- Confirm the magnitude of revenue shifts between the International channel and the Integrated Financial Solutions/Enterprise Solutions channels due to the eFunds reclassification.
- Compare the non-GAAP measures referenced by management against GAAP results in the full quarterly report to understand the excluded items.