Global Payments Reports Third Quarter Earnings



    ATLANTA, March 30 /CNW/ -- Global Payments Inc. (NYSE:   GPN) today
announced results for its third quarter ended February 28, 2007.  For the
third quarter, revenue grew 16 percent to $260.4 million compared to $225.2
million in the prior year.  Excluding the impact of current period stock
option expense, diluted earnings per share grew 22 percent to $0.44 compared
to $0.36 in the prior year quarter.
    
    (Logo: http://www.newscom.com/cgi-bin/prnh/20010221/ATW031LOGO)
    
    For the nine months ended February 28, 2007, revenue grew 17 percent to
$781.4 million compared to $669.3 million in the prior year period.  Excluding
the impact of current period stock option expense and prior year restructuring
charges, diluted earnings per share grew 27 percent to $1.43 from $1.13 in the
prior year period.
    In accordance with GAAP, year-to-date prior period diluted earnings per
share include certain restructuring charges (see attached reconciliation
schedule) relating to an operating center consolidation, which was announced
in July 2005.  Additionally, both the current quarter and year-to-date periods
include the recognition of stock option expenses as a result of the company's
June 1, 2006 adoption of Statement of Financial Accounting Standards No.
123(R) using the modified prospective method.  For the three and nine months
ended February 28, 2007, GAAP diluted earnings per share were $0.42 and $1.34,
respectively, compared to $0.36 and $1.12, respectively, in the prior year
periods.

    
    Comments and Outlook
    
    Chairman, President and CEO, Paul R. Garcia, stated, "Our merchant
services segment delivered solid financial results for our fiscal 2007 third
quarter.  This segment's revenue growth was primarily driven by expansion in
our domestic ISO channel, as well as the favorable impact from our July 2006
addition of our Asia-Pacific joint venture with HSBC.  Additionally, our
merchant services results benefited from certain card association incentives
relating to various programs implemented in our Canadian channel, as
anticipated.  Finally, our consumer money transfer segment met our near-term
expectations, which reflect the continued unfavorable impact of a competitive
domestic pricing environment and the year-over-year impact of strong results
in our prior year quarter."
    "Based on our results, we are updating our annual fiscal 2007 revenue
guidance to a range of $1,050 million to $1,057 million.  This revenue
guidance reflects an expected 16 percent growth versus $908 million in fiscal
2006.  In addition, we are updating our annual fiscal 2007 diluted earnings
per share guidance to a range of $1.85 to $1.87, excluding the impact of stock
option expenses as a result of our adoption of FAS 123R, for an expected
growth of 20 percent to 21 percent versus $1.54 in fiscal 2006. (1)  Including
the impact of these stock option expenses, our annual fiscal 2007 diluted
earnings per share guidance is $1.74 to $1.76.  These earnings per share
ranges also exclude the impact of potential restructuring and other charges,"
said Garcia.

    
    Conference Call
    
    Global Payments will hold a conference call today, March 30, 2007 at
10:30 a.m. ET to discuss financial results and business highlights.  The
conference call may be accessed by calling 1-888-791-2132 (U.S.) or
1-517-623-4000 (internationally) and using a pass code of "GPN" for both
numbers, or via Web cast at www.globalpaymentsinc.com.  A replay of the call
will be available on the Global Payments Web site through April 13, 2007.

    Global Payments Inc. (NYSE:   GPN) is a leading provider of electronic
transaction processing services for consumers, merchants, Independent Sales
Organizations (ISOs), financial institutions, government agencies and multi-
national corporations located throughout the United States, Canada, Latin
America, Europe and the Asia-Pacific.  Global Payments offers a comprehensive
line of processing solutions for credit and debit cards, business-to-business
purchasing cards, gift cards, electronic check conversion and check guarantee,
verification and recovery including electronic check services, as well as
terminal management.  The company also provides consumer money transfer
services from the U.S. and Europe to destinations in Latin America, Morocco
and the Philippines.  For more information about the company and its services,
visit www.globalpaymentsinc.com.

    (1) Fiscal 2006 diluted earnings per share was $1.53 on a GAAP basis,
which includes restructuring charges equivalent to $0.01 in diluted earnings
per share.

    This announcement and comments made by Global Payments' management during
the conference call contain certain forward-looking statements within the
meaning of the "safe-harbor" provisions of the Private Securities Litigation
Reform Act of 1995.  Statements that are not historical facts, including
revenue and earnings estimates and management's expectations regarding future
events and developments, are forward looking statements and are subject to
significant risks and uncertainties. Among the important factors that may
cause actual events or results to differ materially from those anticipated by
such forward-looking statements include the following: continued certification
by credit card associations, foreign currency risks, competition, pricing,
product demand, market and customer acceptance, development difficulties, the
effect of economic conditions and consumer spending, security breaches or
system failures, costs of capital, changes in state, federal or foreign laws
and regulations affecting the consumer electronic money transfer industry,
increases in credit card association fees, utility or system interruptions,
the ability to consummate and integrate acquisitions, and other risks detailed
in the company's SEC filings, including the most recently filed Form 10-Q or
Form 10-K, as applicable.  The company undertakes no obligation to revise any
of these statements to reflect future circumstances or the occurrence of
unanticipated events.

    
     Contact: Jane M. Elliott
     770-829-8234 Voice
     770-829-8267 Fax
     investor.relations@globalpay.com

    




For further information:

For further information: Jane M. Elliott of Global Payments Inc., 
+1-770-829-8234, +1-770-829-8267, Fax, investor.relations@globalpay.com Web
Site: http://www.globalpaymentsinc.com/

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