Equifax Announces 13.5 Percent E.P.S. Growth for 1999 Third Quarter

Atlanta (PROTEXT1) - All Operating Groups Contribute to StrongThird Quarter Operating Income; Equifax Europe Returns toProfitability. Equifax Inc. (NYSE: EFX) today reported record 1999 thirdquarter results driven by strong operating performance as thecompany is well positioned for its long-term business growthinitiatives. Third quarter highlights include: * Revenues for the quarter ending September 30, 1999, climbed4.5

percent to $444.4 million compared with the prior yearperiod. * Operating income was $112.2 million, increasing 12.6 percent

versus third quarter 1998. * Third quarter earnings per share of $.42 increased 13.5percent

from $.37 in 1998. "We are pleased with our third quarter performance -- PaymentServices had another very strong quarter, Europe returned toprofitability, and all business groups demonstrated strongexpense management and leverage," said Thomas F. Chapman, Equifaxchairman and chief executive officer. "We remain focused ondelivering results and positioning our operations to meet long-term business objectives while making strategic investments forfurther growth opportunities, including Knowledge Engineering,our customer relationship management business; Equifax Secure,our Internet authentication and digital certificate business; and"Direct to the Consumer" products. "During the quarter, we announced another major strategiccustomer in Knowledge Engineering, People's Bank, as well as ournew time-series platform and two new products. We alsostrengthened our management team in Europe, Equifax Secure andNorth American Information Services." During the quarter, the Company's stock repurchase program wasmore aggressive, with the Company purchasing 2,415,000 shares ofstock for $71.6 million. Approximately $145 million remainedavailable for repurchase as of September 30, 1999. Equifax hascontinued to repurchase its stock during the fourth quarter of1999. During the quarter, Equifax incurred Year 2000 readinessexpenses of about $4.2 million after tax, or $.03 per share. Year2000 readiness expenses for the year are expected to be about$.11 per share. BUSINESS RESULTS "All of the business groups contributed to the record thirdquarter performance," said Lee Kennedy, Equifax president andchief operating officer. "Particularly notable is the excellentperformance of our U.S. Card and Check Solutions operations.Equifax Check Solutions continues to grow and has recentlyannounced several exciting initiatives in new markets such aspayroll check cashing as well as a new product that verifieschecks for Internet purchases. "Equifax Europe posted a profit this quarter and madesignificant progress in reducing its expense base from fourthquarter 1998. The core information business in the United Statescontinues to demonstrate operating leverage and strong expensemanagement. We are pleased with these overall results and expectEquifax to post an even stronger performance next quarter." Payment Services, which operates globally through CardSolutions and Check Solutions, increased revenue 23 percent to$175.1 million in the third quarter. The revenue increase inPayment Services was driven primarily by merchant and cardprocessing in U.S. Card Solutions, the card services business inBrazil, and the new U.K. card processing operations. CheckSolutions was also a significant contributor with a revenueincrease of 17 percent as this business continues to grow bothdomestically and internationally. Operating income for PaymentServices of $34.8 million increased 26.3 percent due to thecontinued strong performance of both Card Solutions and CheckSolutions. For the quarter, revenue in North American InformationServices was $189.3 million versus $200.4 million in the thirdquarter of 1998 with the decline due primarily to lower revenuewithin Risk Management Services. The revenue decline within RiskManagement Services resulted mainly from the divestiture ofcertain business as well as the loss of a customer earlier in theyear that took its business in house. Revenue in Canada andcredit marketing services was down from third quarter 1998.Revenue growth in U.S. reporting services was tempered bycontinued pricing pressures and lower volume growth, primarilydue to the higher interest rate environment which impacted salesto the mortgage industry. North American Information Services had operating income of$71.7 million, increasing 3.8 percent versus third quarter 1998.Excellent expense management contributed to this improvement.Excluding investments in the development of Equifax KnowledgeEngineering and Equifax Secure, this group's operating incomegrowth was about 9 percent. Revenue in Equifax Latin America (which does not include theCompany's Payment Services operation in Brazil) was $32.6 millionfor the third quarter. Operating income of $7.4 million in thethird quarter of 1999 increased 23.2 percent versus third quarter1998. The information business in Brazil continues to performwell in local currency. Revenue and operating income in Chile andArgentina declined versus 1998 due to an economic downturn andthe lower exchange rate in Chile. Equifax Europe revenue was $45 million versus $50.8 million inthe third quarter 1998. This group reported a profit of $242,000for the quarter, as it has continued to improve its performanceover the last nine months. Equifax has made substantial progressin lowering the expense base in the United Kingdom from fourthquarter 1998. Profitability is expected to continue to improve inthe fourth quarter. General corporate expense for third quarter 1999 was lowerversus third quarter 1998 due primarily to lower expected futurepayouts for a long-term senior management incentive plan which ispartially based on stock price. Equifax (www.equifax.com), a worldwide leader in shapingglobal commerce, brings buyers and sellers together through itsinformation management, transaction processing and knowledge-based businesses. Atlanta-based Equifax serves the financialservices, retail, credit card, telecommunications/utilities,transportation, information technology and healthcare industriesand government. Equifax adds knowledge, expertise, convenienceand security to provide value-added solutions and processes forits customers wherever they do business, including the Internetand other networks. Entering its second century in business,Equifax employs about 13,000 associates in 17 countries withsales in almost 50 and has more than $1.7 billion in revenue. Statements in this press release that relate to Equifax'sfuture plans, objectives, expectations, performance, events andthe like are "forward-looking statements" within the meaning ofthe Private Securities Litigation Reform Act of 1995 and theSecurities Exchange Act of 1934. Future events, risks anduncertainties, individually or in the aggregate, could causeactual results to differ materially from those expressed orimplied in these statements. Those factors could include changesin worldwide and U.S. economic conditions that materially impactconsumer spending and consumer debt, changes in demand for theCompany's products and services, risks associated with theintegration of acquisitions and other investments, and otherfactors discussed in the "Forward-looking Information" section inthe management's discussion and analysis included at Part II,Item 7 in the Company's annual report on Form 10-K for the yearended December 31, 1998, and in the "Year 2000 Information"section in the management's discussion and analysis included atPart I, Item 2 in the Company's report on Form 10-Q for thesecond quarter of 1999.

EQUIFAX INC.

FINANCIAL HIGHLIGHTS

(In thousands, except per share amounts)

3rd Quarter (Unaudited)

Nine Months(Unaudited)

1999

1998

1999

1998 Operating revenue

$444,365 $425,414 $1,308,455 $1,171,972 Income before provision for income taxes: Operating income

$112,169 $99,647 $297,859 $272,824 Other income, net (A) 1,109

3,384

10,131

4,754 Interest expense

(15,140) (12,719) (45,566) (27,973) Income before income taxes

98,138 90,312

262,424

249,605 Provision for income taxes

40,040 36,783

108,319

100,709 Net income

$58,098 $53,529 $154,105 $148,896 Net income per common share (diluted)

$0.42

$0.37

$1.10

$1.03 Shares used in computing diluted earnings per share

139,303 144,863

140,468

144,651

(A) -- In the second quarter of 1999, the Company sold its34%

interest in Proceda in Brazil and also sold threeRisk Management offices in the U.S. The resulting gain of $7,095has been included in Other income, net ($2,888 after tax, or $.02per share). Operating revenue and operating income of the Company'sreportable segments for the third quarter and first nine monthsof 1999 and 1998 are as follows (1998 information has beenrestated to conform with the 1999 presentation):

3rd Quarter (Unaudited)

Nine months(Unaudited) Operating revenue:

1999

1998

1999

1998 North American Information Services $189,253 $200,355 $578,080 $574,789 Payment Services

175,084

142,323

489,815 392,790 Equifax Europe

45,038

50,829

138,311 134,033 Equifax Latin America 32,581

29,498

95,022

63,133 Other

2,409

2,409

7,227

7,227

$444,365 $425,414 $1,308,455$1,171,972 Operating income: North American Information Services $71,721 $69,107 $209,096 $199,040 Payment Services

34,756

27,510 94,000

70,715 Equifax Europe

242

6,724 (2,735)

14,611 Equifax Latin America

7,447

6,046 16,681

14,578 Other

2,217

2,217

6,651

6,649 Operating Contribution 116,383 111,604 323,693 305,593 General Corporate Expense

(4,214) (11,957) (25,834) (32,769)

$112,169

$99,647 $297,859 $272,824ots Original Text Service: Equifax Inc. Internet:http://www.newsaktuell.de Contact: Marietta Edmunds Zakas,Corp. VP, Communications of Equifax Inc., (USA) 404-885-8304 Website: http://www.equifax.com

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