Question-and-Answer Session
Operator
(Operator Instructions) The first question comes from the line of Tien-Tsin Huang – JP Morgan.
Tien-Tsin Huang – JP Morgan
I thought maybe I would ask a pretty simple, high level question. Maybe the biggest surprise in the quarter, with a lot of positive signs here I am just curious what sort of surprised you the most in the quarter relative to the last time you issued guidance?
Doug Bergeron
Two things. The sequential revenue growth wasn’t isolated to one or two or three areas that maybe were having a better post-recessionary environment or had better sales execution. With the exception of Brazil and we talked about that, it was across the board. That made it somewhat relevant to me and to Bob and others that are looking at these numbers.
The second thing was the adoption by the Royal Bank of Scotland’s U.S. processing business of the VeriShield program. They absolutely believe that not only is end-to-end encryption required but it could be a key differentiator for them and for other processors as they compete in the competitive processing business. I think we have seen the first stages of this going from a good idea to a practical in-field competitiveness.
Tien-Tsin Huang – JP Morgan
On Asia Pac, can you rehash again what exactly drove the strength there? Obviously it looks like your biggest quarter there in history. It sounded like it was mostly China migration to VX? I just wanted to make sure that was the case. If so, how much more can you squeeze out of China and how far along are we in terms of the growth there?
Doug Bergeron
I think Asia was highlighted by excellent performance in China and good performance; there was no drag on Asia from any area and even some green shoots if you will in places like India. There is just a tremendous amount of opportunity in China. We remain the largest provider there. Our sales team and the management team is world class and I am actually heading to Beijing on Monday. We are spending a lot of time and money right now building a business that is capable of selling our broader range of systems into the Chinese payment ecosystem including our petroleum systems, gateway systems, pay at the table systems, things we for the most part don’t sell at all today. I have very high hopes and very confident hopes about what we can do in China over the next several years.
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