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Equifax Q3 2007 Earnings Call Transcript

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2007-10-23 12:45:05.0

Tags: Equifax

Question-and-Answer Session

Operator

(Operator Instructions) Our first question comes from the line of Kyle Evans of Stevens. Please go ahead.

Kyle Evans - Stevens

Hi. Good morning, Rick and Lee.

Rick Smith

Hi, Kyle.

Kyle Evans - Stevens

Could you help us quantify corporate total exposure to mortgage and maybe dig down a little bit within the C. I. S. Canada and work number businesses?

Rick Smith

We see a, traditionally talked, Kyle, and did inflows on any one-quarter as different products and geographies grow. But we talk in range of 10% to 15%, in terms of excluding TALX now. For the third quarter for the core full Equifax business it's about 12%, total exposure to the mortgage market, that's through our concluding TALX.

And then the TALX, business, if you take the work number on the tax business and than put it all together and look at the exposure they have in mortgage it's about the same kind of range. So, 12 to 13% the TALX.

Kyle Evans - Stevens

Okay. Thank you. On TALX, could we dig down a little bit there? A nice record addition quarter there at 6 million but the backlog fell to 8 million. What are some of the initiatives that that you have place to get that backlog juiced backed up?

Rick Smith

It's good news Kyle. Great backlog down in that’s good, which is, here's the process. One of the client, a customer agrees to provide us the data it sits in what we call backlog. The longer it sets in backlog the longer it takes for the longer it sets in backlog, the longer it takes for me to monetize that actually have verify fires come and access that data.

So, we have been sitting at 10 plus million for quite sometime. Bill and his team have done a fantastic job in getting that down to eight million. You should think about as it comes down that's good news because my fires now have more data in the database for which they can access and pay me.

Kyle Evans - Stevens

It does not impair your ability to continue putting up 6 million records a quarter going forward?

Rick Smith

No.

Lee Andrean

Kyle, I would note, Bill can field has long said about 3 million records is quarter is a reasonable target. I think the 6.6 million reflects the positives of accelerating some of the backlog can drive revenue and still hire the trend at record decisions.

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