<PAGE>
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): September 8, 1998
EQUIFAX INC.
(Exact name of registrant as specified in its charter)
GEORGIA 1-6605 58-0401110
(State or other juris- (Commission (I.R.S. Employer
diction of incorporation) File Number) Identification No.)
1600 PEACHTREE STREET, N.W.
ATLANTA, GEORGIA 30309
(Address of principal executive offices)
(404) 885-8000
(Registrant's telephone number, including area code)
Page 1 of 3
Exhibit Index on Page 2
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Item 5. Other Events
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On September 8, 1998, Equifax Inc. completed a purchase for cash of
fifty-nine percent 59% ownership and control in UNNISA (Unnisa -
Solucoes em Meios de Pagamento Ltda.), a major provider of full
service bankcard and private label card processing, and an effective
34% economic ownership interest in PROCEDA (Proceda Tecnologia e
Informatica S.A), Brazil's second largest information technology
outsourcer and provider of processing services to UNNISA, major
financial institutions and manufacturing clients.
Equifax paid approximately U.S.$152 million (approximately R$178.5
million Brazilian Reais) in connection with the purchase.
Item 7. Financial Statements and Exhibits
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(c) Exhibits
99.1 Text of Press Release of Equifax Inc., dated September 9, 1998.
Page 2 of 3
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the
registrant has duly caused this report to be signed on its behalf of the
undersigned hereunto duly authorized.
Date: September 25, 1998
EQUIFAX INC.
(Registrant)
By: /s/ David A. Post
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David A. Post
Corporate Vice President and
Chief Financial Officer
Page 3 of 3
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[LOGO OF EQUIFAX APPEARS HERE]
1600 Peachtree Street, N.W., Atlanta, Georgia 30309
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NEWS RELEASE
FOR IMMEDIATE RELEASE Contact: Dave Mooney
PR Director
404-885-8117
[email protected]
EQUIFAX ACQUIRES INTEREST
IN MAJOR BRAZILIAN CARD PROCESSOR
COMPANY FURTHER EXPANDS LATIN AMERICAN BUSINESS;
SECOND MAJOR ACQUISITION IN BRAZIL IN RECENT WEEKS
ATLANTA AND SAO PAULO, SEPTEMBER 9, 1998--Equifax today announced it has
obtained major interests in Brazil's leading bankcard and private label card
processor and a top related information technology company.
Equifax is acquiring 59% ownership and control in UNNISA
(Unnisa--Solucoes em Meios de Pagamento Ltda.), a major provider of full
service bankcard and private label card processing, and an effective 34%
economic ownership interest in PROCEDA (Proceda Tecnologia e Informatica S.A.),
Brazil's second largest information technology outsourcer and provider of
processing services to UNNISA, major financial institutions and manufacturing
clients.
This acquisition represents Equifax's first card processing venture in
Latin America and its third international card processing venture in 12 months.
It strategically positions Equifax to play a leading role in both card
processing and information technology in the robust Brazilian market. Combined
with the August purchase of Seguranca ao Credito e Informacoes (SCI), Brazil's
leading commercial financial information company and major consumer information
supplier, Equifax's total investment in Brazil now exceeds $350 million.
Equifax's new partners in UNNISA and PROCEDA include subsidiaries of the
major conglomerates Andrade Guiterrez S.A. of Brazil and Socma Group of
Argentina. Combined, UNNISA and PROCEDA have more than 1,600 employees and
revenues of US$121.7 million for
-more-
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EFX/UNNISA/PROCEDA 2-2-2
the 12 months ended June 30, 1998. Equifax will begin consolidating UNNISA's
financial statements as a result of its 59% ownership interest. UNNISA's latest
12-month revenues are US$66 million.
"UNNISA's and PROCEDA's product and service offerings will further
enable Equifax and its partners to change the shape of global commerce. This
exciting acquisition represents the latest in a series of key global investments
by Equifax in Latin America, Europe and India," said Thomas F. Chapman, Equifax
president and CEO. "Equifax's leading edge Card Services business currently
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processes for more than 6,000 financial institutions, and will bring its
expertise to Brazilian card issuers. We look forward to working closely with our
new partners to penetrate further the high-growth Brazilian and Latin American
markets."
Celso Quintella, director of Andrade Gutierrez Telecommunicacoes Ltda.
(AG Telecom) said: "We are enthusiastic about the opportunities UNNISA and
PROCEDA can now tackle. The combined competencies of their shareholders position
both companies in a unique way in a marketplace that will continue to experience
spectacular expansion. Substantial investments being made in the recently
privatized telecommunications industry will continue to fuel growth in the card
issuing industry as well as in the automation of point of sale.
"We are certainly fortunate to partner with Equifax to expand our market
share among Brazil's 46 million cards, with a projected annual growth rate of
25% in each of the next three years. As Brazil's market expands, so does that of
the Mercosur--a dynamic trade region with a huge consumer base."
Orlando Salvestrini, president and CEO of Mercosur Technology &
Communications (Socma), which has a significant active portfolio of investments
in information technology and communications in the Mercosur, said: "MTC has
attained, through this new association with Equifax, a privileged and
strategically competitive position in the entire Mercosur area, serviced from
UNNISA's and PROCEDA's Sao Paulo processing hub. The financial services market
is booming in Brazil and Argentina, and we are ready to take it."
The Mercosur is the free-trade bloc made up of Brazil, Argentina,
Paraguay and Uruguay.
"PROCEDA is the provider of all data processing services related to
UNNISA's 2.5 million credit and debit cards in Brazil," said Lee A. Kennedy,
president of Equifax's global Payment Services. "Equifax's investment will
enable UNNISA and PROCEDA to provide an expanding array of card processing
and IT solutions to their client banks and merchants in the strong and rapidly
expanding Brazilian market."
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EFX/UNNISA/PROCEDA 3-3-3
Equifax believes that this long-term strategic acquisition will generate
significant revenue and earnings growth and increase shareholder value. In the
near term, this acquisition is expected to modestly dilute 1998 earnings by
about $0.02 per share and 1999 earnings by about $0.04 per share. The
acquisition is expected to have a positive impact on EPS after 1999.
With the UNNISA, PROCEDA and SCI Brazilian acquisitions, Equifax now
operates in 18 countries worldwide with sales in more than 40 countries. In
Latin America, the company's significant operations now include those in
Argentina, Brazil, Chile, Colombia, El Salvador, Mexico and Peru.
EQUIFAX (NYSE-EFX) is a worldwide leader in shaping global commerce by
bringing buyers and sellers together through its information, transaction
processing, consulting and knowledge-based businesses. Equifax serves the
banking, financial, retail, credit card, telecommunications/utilities,
transportation and healthcare industries and government. Founded in 1899,
Atlanta-based Equifax today has more than 14,000 employees in 18 countries and
sales in more than 40 countries. Revenues for the 12 months ended June 30, 1998,
were nearly $1.5 billion. For more Equifax information, visit the company's
website at http://www.equifax.com.
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# # #
Statements in this press release that relate to future plans,
objectives, expectations, performance, events and the like are "forward-looking
statements" within the meaning of the Private Securities Litigation Reform Act
of 1995 and the Securities Exchange Act of 1934. Future events, risks and
uncertainties, individually or in the aggregate, could cause actual results to
differ materially from those expressed or implied in these statements. Those
factors could include worldwide and U.S. economic conditions, changes in demand
for the company's products and services, risks associated with the integration
of acquisitions and other investments, and other factors discussed in the
"forward-looking information" section in the management's discussion and
analysis included in the company's annual report on Form 10-K for the year ended
December 31, 1997.
