Question-and-Answer Session
Operator
(Operator Instructions). Our first question comes from Rod Bourgeois of Bernstein. Go ahead please.
Rod Bourgeois - Sanford Bernstein
I will start a question with John Morphy first. John, I just wanted to confirm the basis for your fiscal '08 growth guidance. Are you guiding off of the pro forma fiscal '07 earnings number or the GAAP number?
John Morphy
We are buoying the guidance off of the actual numbers that are shown on the bottom of the income statement and the financial statements.
Rod Bourgeois - Sanford Bernstein
So, you are guiding off a GAAP?
John Morphy
Yes.
Rod Bourgeois - Sanford Bernstein
Okay. All right, and then the other question is the Core Payroll business had decelerated in the February quarter. It looks like it reaccelerated here in the May quarter and the guidance for next year signals further acceleration in that Core Payroll business. Can you talk about what's happening there and was it giving you the conviction that that business will reaccelerate here?
John Morphy
You use the word acceleration, I wouldn't use that word. I'd use it again as continued very good. We talked on the last call about the lower than anticipated Payroll number. I wouldn't call that de-acceleration, it was again the result of some tough comparisons year-over-year. It really didn't matter so much to what I would call the ongoing momentum of the daily business. So, we again are really in the same place, continued and stuck in a good place, and we believe the payroll revenue would be right in line with what we expect and we did not see as much aberration as you did. And I understand why you all felt that way, because you saw a number in the third quarter that was less than you anticipated. So that's where we are.
Rod Bourgeois - Sanford Bernstein
So, there is no real change there. You kind of had a tough comparison and some issues last quarter and things are just normal at this point in your guidance?
Jon Judge
This is Jon Judge. This part of our business is really sort of the spade and shovel, hard-worked business. It's just all the basic blocking and tackling. It's keeping the territories filled, it's keeping the reps in the territory longer. We have measurements on this part of our business that are pretty finite, that actually get down to the number of reps there are in the territory per week, which looks at where we are in vacation schedules on open territories and so on.
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