10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

ý	Quarterly Report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
	For the quarterly period ended June 30, 2016
¨	Transition Report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
	For the transition period from                      to

Commission File Number 0-24429

COGNIZANT TECHNOLOGY SOLUTIONS CORPORATION

(Exact Name of Registrant as Specified in Its Charter)

Delaware	13-3728359
(State or Other Jurisdiction of Incorporation or Organization)	(I.R.S. Employer Identification No.)
Glenpointe Centre West 500 Frank W. Burr Blvd. Teaneck, New Jersey	07666
(Address of Principal Executive Offices)	(Zip Code)

Registrant’s telephone number, including area code: (201) 801-0233

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes  ý    No:  ¨

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Website, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).    Yes  ý    No:  ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer or a smaller reporting company. See definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act. (Check one):

Large accelerated filer	ý	Accelerated filer	¨
Non-accelerated filer	¨  (Do not check if a smaller reporting company)	Smaller reporting company	¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes  ¨ No  ý

Indicate the number of shares outstanding of each of the issuer’s class of common stock, as of July 29, 2016:

Class	Number of Shares
Class A Common Stock, par value $.01 per share	606,942,840

COGNIZANT TECHNOLOGY SOLUTIONS CORPORATION

TABLE OF CONTENTS

		Page
PART I.	FINANCIAL INFORMATION	1
Item 1.	Condensed Consolidated Financial Statements (Unaudited)	1
	Condensed Consolidated Statements of Financial Position (Unaudited) as of June 30, 2016 and December 31, 2015	1
	Condensed Consolidated Statements of Operations (Unaudited) for the Three Months Ended June 30, 2016 and 2015 and for the Six Months Ended June 30, 2016 and 2015	2
	Condensed Consolidated Statements of Comprehensive Income (Unaudited) for the Three Months Ended June 30, 2016 and 2015 and for the Six Months Ended June 30, 2016 and 2015	3
	Condensed Consolidated Statements of Cash Flows (Unaudited) for the Six Months Ended June 30, 2016 and 2015	4
	Notes to Condensed Consolidated Financial Statements (Unaudited)	5
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	22
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	42
Item 4.	Controls and Procedures	43
PART II.	OTHER INFORMATION	45
Item 1A.	Risk Factors	45
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	45
Item 6.	Exhibits	47
SIGNATURES		48

PART I. FINANCIAL INFORMATION

Item 1.    Condensed Consolidated Financial Statements (Unaudited).

COGNIZANT TECHNOLOGY SOLUTIONS CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION

(Unaudited)

(in millions, except par values)

	June 30,    2016			December 31,   2015
Assets
Current assets:
Cash and cash equivalents	$	1,684.5		$	2,125.2
Short-term investments	2,796.7			2,824.3
Trade accounts receivable, net of allowances of $48.8 and $39.0, respectively	2,427.4			2,252.6
Unbilled accounts receivable	451.1			369.0
Other current assets	399.2			337.5
Total current assets	7,758.9			7,908.6
Property and equipment, net of accumulated depreciation of $1,191.2 and $1,079.1, respectively	1,287.4			1,271.4
Goodwill	2,457.9			2,404.7
Intangible assets, net	961.4			864.3
Deferred income tax assets, net	328.7			347.8
Equity method investment	59.6			—
Other noncurrent assets	286.2			264.2
Total assets	$	13,140.1		$	13,061.0
Liabilities and Stockholders’ Equity
Current liabilities:
Accounts payable	$	164.5		$	165.3
Deferred revenue	321.7			323.7
Short-term debt	68.8			406.3
Accrued expenses and other current liabilities	1,565.0			1,818.4
Total current liabilities	2,120.0			2,713.7
Deferred revenue, noncurrent	175.6			49.3
Deferred income tax liabilities, net	3.0			3.3
Long-term debt	840.0			876.8
Other noncurrent liabilities	138.6			139.8
Total liabilities	3,277.2			3,782.9
Commitments and contingencies (See Note 10)
Stockholders’ Equity:
Preferred stock, $0.10 par value, 15.0 shares authorized, none issued	—			—
Class A common stock, $0.01 par value, 1,000.0 shares authorized, 607.3 and 609.0 shares issued and outstanding at June 30, 2016 and December 31, 2015, respectively	6.1			6.1
Additional paid-in capital	333.7			453.0
Retained earnings	9,618.8			8,925.2
Accumulated other comprehensive income (loss)	(95.7		)	(106.2		)
Total stockholders’ equity	9,862.9			9,278.1
Total liabilities and stockholders’ equity	$	13,140.1		$	13,061.0

The accompanying notes are an integral part of the unaudited condensed consolidated financial statements.

1

COGNIZANT TECHNOLOGY SOLUTIONS CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

(in millions, except per share data)

	Three Months Ended   June 30,						Six Months Ended   June 30,
	2016			2015			2016			2015
Revenues	$	3,369.9		$	3,085.1		$	6,571.9		$	5,996.5
Operating expenses:
Cost of revenues (exclusive of depreciation and amortization expense shown separately below)	2,037.7			1,844.8			3,953.1			3,572.0
Selling, general and administrative expenses	653.9			612.0			1,300.1			1,222.8
Depreciation and amortization expense	87.4			82.8			173.8			155.9
Income from operations	590.9			545.5			1,144.9			1,045.8
Other income (expense), net:
Interest income	27.6			17.6			58.2			35.6
Interest expense	(4.6		)	(4.1		)	(9.7		)	(9.1		)
Foreign currency exchange gains (losses), net	(20.2		)	(10.4		)	(11.1		)	(12.6		)
Other, net	0.9			0.2			1.4			(0.3		)
Total other income (expense), net	3.7			3.3			38.8			13.6
Income before provision for income taxes	594.6			548.8			1,183.7			1,059.4
Provision for income taxes	(342.4		)	(128.7		)	(490.3		)	(256.4		)
Income from equity method investment	0.2			—			0.2			—
Net income	$	252.4		$	420.1		$	693.6		$	803.0
Basic earnings per share	$	0.42		$	0.69		$	1.14		$	1.32
Diluted earnings per share	$	0.41		$	0.68		$	1.14		$	1.31
Weighted average number of common shares outstanding - Basic	606.1			609.9			607.1			609.7
Dilutive effect of shares issuable under stock-based compensation plans	2.7			4.0			3.2			4.2
Weighted average number of common shares outstanding - Diluted	608.8			613.9			610.3			613.9

The accompanying notes are an integral part of the unaudited condensed consolidated financial statements.

2

COGNIZANT TECHNOLOGY SOLUTIONS CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Unaudited)

(in millions)

	Three Months Ended   June 30,						Six Months Ended   June 30,
	2016			2015			2016			2015
Net income	$	252.4		$	420.1		$	693.6		$	803.0
Other comprehensive income (loss), net of tax:
Foreign currency translation adjustments	(28.6		)	23.2			(9.1		)	(17.6		)
Change in unrealized gains and losses on cash flow hedges, net of taxes	(8.3		)	6.9			11.4			49.1
Change in unrealized gains and losses on available-for-sale securities, net of taxes	2.8			(1.3		)	8.2			1.1
Other comprehensive income (loss)	(34.1		)	28.8			10.5			32.6
Comprehensive income	$	218.3		$	448.9		$	704.1		$	835.6

The accompanying notes are an integral part of the unaudited condensed consolidated financial statements.

3

COGNIZANT TECHNOLOGY SOLUTIONS CORPORATION

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

(in millions)

	For the Six Months Ended   June 30,
	2016			2015
Cash flows from operating activities:
Net income	$	693.6		$	803.0
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	180.6			159.6
Provision for doubtful accounts	4.0			(1.4		)
Deferred income taxes	26.1			(36.9		)
Stock-based compensation expense	115.7			95.2
Excess tax benefits on stock-based compensation plans	(10.2		)	(15.3		)
Other	9.9			8.7
Changes in assets and liabilities:
Trade accounts receivable	(187.2		)	(185.7		)
Other current assets	(119.8		)	(20.6		)
Other noncurrent assets	(5.6		)	(50.3		)
Accounts payable	5.9			19.4
Deferred revenues, current and noncurrent	2.3			33.8
Other current and noncurrent liabilities	(286.9		)	(164.1		)
Net cash provided by operating activities	428.4			645.4
Cash flows from investing activities:
Purchases of property and equipment	(138.6		)	(133.6		)
Purchases of investments	(2,932.9		)	(1,565.8		)
Proceeds from maturity or sale of investments	2,962.5			845.9
Payments for business combinations, net of cash acquired and equity method investment	(151.3		)	—
Net cash (used in) investing activities	(260.3		)	(853.5		)
Cash flows from financing activities:
Issuance of common stock under stock-based compensation plans	90.3			68.5
Excess tax benefits on stock-based compensation plans	10.2			15.3
Repurchases of common stock	(335.1		)	(214.0		)
Repayment of term loan borrowings and capital lease obligations	(26.5		)	(26.2		)
Net change in notes outstanding under the revolving credit facility	(350.0		)	(550.0		)
Net cash (used in) financing activities	(611.1		)	(706.4		)
Effect of exchange rate changes on cash and cash equivalents	2.3			(6.3		)
(Decrease) in cash and cash equivalents	(440.7		)	(920.8		)
Cash and cash equivalents, beginning of year	2,125.2			2,010.1
Cash and cash equivalents, end of period	$	1,684.5		$	1,089.3

The accompanying notes are an integral part of the unaudited condensed consolidated financial statements.

4

COGNIZANT TECHNOLOGY SOLUTIONS CORPORATION

NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited)

Note 1 — Interim Condensed Consolidated Financial Statements

The terms “Cognizant,” “we,” “our,” “us” and “the Company” refer to Cognizant Technology Solutions Corporation unless the context indicates otherwise. We have prepared the accompanying unaudited condensed consolidated financial statements included herein in accordance with generally accepted accounting principles in the United States of America, or U.S. GAAP, and Article 10 of Regulation S-X under the Securities Exchange Act of 1934, as amended. The accompanying unaudited condensed consolidated financial statements should be read in conjunction with our audited consolidated financial statements (and notes thereto) included in our Annual Report on Form 10-K for the year ended December 31, 2015. In our opinion, all adjustments considered necessary for a fair presentation of the accompanying unaudited condensed consolidated financial statements have been included, and all adjustments are of a normal and recurring nature. Operating results for the interim periods are not necessarily indicative of results that may be expected to occur for the entire year.

During the six months ended June 30, 2016, we repurchased 5.1 million shares of our Class A common stock for $294.6 million under our existing stock repurchase program approved by our Board of Directors. As of June 30, 2016, the remaining available balance under the Board authorization was $143.3 million. Additional stock repurchases were made in connection with our stock-based compensation plans, whereby Company shares were tendered by employees for payment of applicable statutory tax withholdings. During the six months ended June 30, 2016, such repurchases totaled 0.7 million shares at an aggregate cost of $40.5 million.

In August 2016, the Company announced that its Board of Directors approved an expansion of its stock repurchase program. The Board of Directors increased the Company's stock repurchase authorization under the program from $2.0 billion to $3.0 billion and extended the term of the stock repurchase program from December 31, 2017 to December 31, 2018.

Recently Adopted Accounting Pronouncements.

In April 2015, the Financial Accounting Standards Board, or FASB, issued an update related to the presentation of debt issuance costs. The updated standard requires debt issuance costs, other than costs incurred to secure lines of credit, be presented in the balance sheet as a direct deduction from the carrying value of that debt liability. The recognition and measurement guidance for debt issuance costs are not affected by this update. The guidance is effective on a retrospective basis for fiscal years, and interim periods within those years, beginning on or after January 1, 2016. Thus, we have adopted this guidance as of January 1, 2016. We conformed prior period's presentation to current period's presentation on our consolidated statement of financial position. The adoption of this standard impacted financial statement presentation only and had no effect on our financial condition or results of operations.

In April 2015, the FASB issued an update to the standard on internal-use software providing guidance to customers in evaluating whether a cloud computing arrangement includes a software license. If a cloud computing arrangement includes a software license, the updated standard requires the customer to account for the software license element of the arrangement consistent with the acquisition of other software licenses. If a cloud computing arrangement does not include a software license, the customer is required to account for the arrangement as a service contract. The update is effective for fiscal years, and interim periods within those years, beginning on or after January 1, 2016. A company can elect to adopt the update either prospectively to all arrangements entered into or materially modified after the effective date or retrospectively. We have adopted this update prospectively beginning January 1, 2016. The adoption of this update had no material effect on our financial condition or results of operations.

New Accounting Pronouncements.

In May 2014, the FASB issued a standard on revenue from contracts with customers. In 2016, the FASB issued four amendments to the new standard. The new standard, as amended, sets forth a single comprehensive model for recognizing and reporting revenue. The standard also requires additional financial statement disclosures that will enable users to understand the nature, amount, timing and uncertainty of revenue and cash flows relating to customer contracts. The standard is effective for fiscal years, and interim periods within those years, beginning on or after January 1, 2018. Early adoption is permitted but not before periods beginning on or after January 1, 2017. The standard allows for two methods of adoption: the full retrospective adoption, which requires the standard to be applied to each prior period presented, or the modified retrospective adoption, which requires the cumulative effect of adoption to be recognized as an adjustment to opening retained earnings in the period of adoption. We are currently evaluating the effect the new standard will have on our consolidated financial statements and related disclosures.

5

In January 2016, the FASB issued an update to the standard on financial instruments. The update significantly revises an entity’s accounting related to (1) the classification and measurement of investments in equity securities and (2) the presentation of certain fair value changes for financial liabilities measured at fair value. It also amends certain disclosure requirements.  The update is effective for fiscal years, and interim periods within those fiscal years, beginning on or after January 1, 2018. Upon adoption, entities will be required to make a cumulative-effect adjustment to the statement of financial position as of the beginning of the first reporting period in which the guidance is effective. However, the specific guidance on equity securities without readily determinable fair value will apply prospectively to all equity investments that exist as of the date of adoption.  Early adoption of certain sections of this update is permitted. We are currently evaluating the effect the update will have on our consolidated financial statements and related disclosures.

In February 2016, the FASB issued a standard on lease accounting. The new standard replaces the existing guidance on leases and requires the lessee to recognize a right-of-use asset and a lease liability for all leases with lease terms equal to or greater than twelve months. For finance leases, the lessee would recognize interest expense and amortization of the right-of-use asset, and for operating leases, the lessee would recognize total lease expense on a straight-line basis. This standard is effective for fiscal years, and interim periods within those fiscal years, beginning on or after January 1, 2019. Upon adoption, entities will be required to use a modified retrospective transition which provides for certain practical expedients. Entities are required to apply the new standard at the beginning of the earliest comparative period presented. Early adoption of this new standard is permitted. We are currently evaluating the effect the new standard will have on our consolidated financial statements and related disclosures.

In March 2016, the FASB issued an update to the standard on derivatives and hedging, which clarifies the effect of derivative contract novations on existing hedge accounting relationships. As it relates to derivative instruments, novation refers to replacing one of the parties to a derivative instrument with a new party, which may occur for a variety of reasons such as: financial institution mergers, intercompany transactions, an entity exiting a particular derivatives business or relationship, or because of laws or regulatory requirements. The update clarifies that a change in the counterparty to a derivative instrument that has been designated as the hedging instrument does not, in and of itself, require dedesignation of that hedge accounting relationship provided that all other hedge accounting criteria continue to be met. The update is effective for fiscal years, and interim periods within those fiscal years, beginning on or after January 1, 2017. Upon adoption, entities can choose to apply the update on either a prospective basis or a modified retrospective basis. Early adoption of this update is permitted. We are currently evaluating the effect the update will have on our consolidated financial statements and related disclosures.

In March 2016, the FASB issued an update to the standard on stock compensation, which simplifies several aspects of the accounting for employee share-based payment transactions including the accounting for excess tax benefits and deficiencies, forfeitures, and statutory tax withholding requirements, as well as classification in the statement of cash flows. The update is effective for fiscal years, and interim periods within those fiscal years, beginning on or after January 1, 2017. Upon adoption, entities will be required to apply a modified retrospective, prospective or retrospective transition method depending on the specific section of the guidance being adopted. Early adoption of this update is permitted. We are currently evaluating the effect the update will have on our consolidated financial statements and related disclosures. However, we expect the requirements to recognize excess tax benefits and deficiencies on stock awards in the income tax provision and to present the excess tax benefits and deficiencies in operating activities in the statement of cash flows to be the primary effects of this standard on our consolidated financial statements.

In June 2016, the FASB issued an update to the standard on financial instruments, which amends the guidance on the impairment of financial instruments. The update changes the methodology for measuring credit losses on financial instruments and the timing of when such losses are recorded by introducing an approach based on expected losses. The estimate of expected credit losses will require entities to incorporate considerations of historical information, current information and reasonable and supportable forecasts. The update is effective for fiscal years, and interim periods within those fiscal years, beginning on or after January 1, 2021. Early adoption is permitted beginning on or after January 1, 2020. Upon adoption, entities will be required to use a modified retrospective transition approach. We are currently evaluating the impact of the new guidance on our consolidated financial statements.

6

Note 2 — Business Combinations and Equity Method Investment

Business Combinations

During the six months ended June 30, 2016, we completed three business combinations for total initial consideration of approximately $91.8 million (net of cash acquired). One of these transactions was an acquisition of a global consulting and technology services company that strengthens and expands our digital capabilities to deliver cloud-based IT infrastructure services. The second transaction included an acquisition of a delivery center in Lithuania to enhance our delivery capabilities in Europe and a multi-year service agreement. The third transaction was an acquisition of tangible property, an assembled workforce and a multi-year service agreement, which qualifies as a business combination under authoritative accounting guidance.

These acquisitions were included in our unaudited condensed consolidated financial statements as of the date on which the businesses were acquired and were not material to our operations, financial position or cash flow. We have preliminarily allocated the purchase price related to these transactions to tangible and intangible assets and liabilities, including non-deductible goodwill, based on their fair values. Specifically-identified intangible assets and goodwill acquired were as follows:

	Fair Value	Weighted Average Useful Life
	(in millions)
Non-deductible goodwill	51.9
Customer relationship intangible assets	150.3	7.1 years
Other intangible assets	0.2	1 year

The primary items that generated the aforementioned goodwill are the value of the acquired assembled workforces and synergies between the acquired companies and us, neither of which qualify as an amortizable intangible asset.

Equity Method Investment

In April 2016, we acquired a 49% ownership interest in a strategic consulting firm specializing in the use of human sciences to help business leaders better understand customer behavior for a purchase price of $59.1 million. We have accounted for this investment as an equity method investment within our consolidated financial statements. In addition, we have the option to buy from the investee ("Call Option") and the investee has the option to sell to us ("Written Put Option") the remaining 51% of the investee at pre-determined purchase prices and contingent on certain performance conditions being satisfied. The Call Option, which has been recorded at cost, and our 49% ownership interest are included within "Equity method investment" in our consolidated statements of financial position. As of June 30, 2016, the Written Put Option was a liability of $1.3 million. If we acquire the remaining 51% of the investee and the investee meets certain performance conditions, we would be obligated to make incremental payments up to a maximum of $100.0 million, in addition to the purchase price for the remaining 51%.

Note 3 — Short-term Investments

Our short-term investments were as follows:

	June 30, 2016		December 31, 2015
	(in millions)
Available-for-sale investment securities:
U.S. Treasury and agency debt securities	$	639.4	$	527.1
Corporate and other debt securities	396.8		360.5
Certificates of deposit and commercial paper	684.8		754.0
Asset-backed securities	168.2		229.6
Municipal debt securities	121.8		121.3
Mutual funds	23.0		22.3
Total available-for-sale investment securities	2,034.0		2,014.8
Time deposits	762.7		809.5
Total short-term investments	$	2,796.7	$	2,824.3

7

Our available-for-sale investment securities consist of U.S. dollar denominated investments primarily in U.S. Treasury notes, U.S. government agency debt securities, municipal debt securities, non-U.S. government debt securities, U.S. and international corporate bonds, certificates of deposit, commercial paper, debt securities issued by supranational institutions, mutual funds invested in fixed income securities, and asset-backed securities, including Government National Mortgage Association (GNMA) mortgage backed securities and securities backed by auto loans, credit card receivables, and other receivables. Our investment guidelines are to purchase securities which are investment grade at the time of acquisition. We monitor the credit ratings of the securities in our portfolio on an ongoing basis.

Available-for-Sale Investment Securities

The amortized cost, gross unrealized gains and losses and fair value of available-for-sale investment securities at June 30, 2016 were as follows:

	Amortized Cost		Unrealized Gains		Unrealized Losses			Fair Value
	(in millions)
U.S. Treasury and agency debt securities	$	636.7	$	2.7	$	—		$	639.4
Corporate and other debt securities	394.9		2.0		(0.1		)	396.8
Certificates of deposit and commercial paper	685.0		0.4		(0.6		)	684.8
Asset-backed securities	167.5		0.7		—			168.2
Municipal debt securities	121.2		0.6		—			121.8
Mutual funds	26.0		—		(3.0		)	23.0
Total available-for-sale investment securities	$	2,031.3	$	6.4	$	(3.7	)	$	2,034.0

The amortized cost, gross unrealized gains and losses and fair value of available-for-sale investment securities at December 31, 2015 were as follows:

	Amortized Cost		Unrealized Gains		Unrealized Losses			Fair Value
	(in millions)
U.S. Treasury and agency debt securities	$	528.9	$	—	$	(1.8	)	$	527.1
Corporate and other debt securities	361.9		0.1		(1.5		)	360.5
Certificates of deposit and commercial paper	754.0		0.1		(0.1		)	754.0
Asset-backed securities	230.3		0.1		(0.8		)	229.6
Municipal debt securities	121.2		0.2		(0.1		)	121.3
Mutual funds	25.3		0.1		(3.1		)	22.3
Total available-for-sale investment securities	$	2,021.6	$	0.6	$	(7.4	)	$	2,014.8

The fair value and related unrealized losses of available-for-sale investment securities in a continuous unrealized loss position for less than 12 months and for 12 months or longer were as follows as of June 30, 2016:

	Less than 12 Months					12 Months or More					Total
	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
	(in millions)
U.S. Treasury and agency debt securities	$	44.5	$	—		$	—	$	—		$	44.5	$	—
Corporate and other debt securities	71.5		(0.1		)	0.9		—			72.4		(0.1		)
Certificates of deposit and commercial paper	155.5		(0.6		)	—		—			155.5		(0.6		)
Asset-backed securities	15.1		—			0.8		—			15.9		—
Municipal debt securities	9.1		—			0.6		—			9.7		—
Mutual funds	1.3		—			21.7		(3.0		)	23.0		(3.0		)
Total	$	297.0	$	(0.7	)	$	24.0	$	(3.0	)	$	321.0	$	(3.7	)

8

The fair value and related unrealized losses of available-for-sale investment securities in a continuous unrealized loss position for less than 12 months and for 12 months or longer were as follows as of December 31, 2015:

	Less than 12 Months					12 Months or More					Total
	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
	(in millions)
U.S. Treasury and agency debt securities	$	475.7	$	(1.8	)	$	—	$	—		$	475.7	$	(1.8	)
Corporate and other debt securities	315.1		(1.5		)	3.1		—			318.2		(1.5		)
Certificates of deposit and commercial paper	271.5		(0.1		)	—		—			271.5		(0.1		)
Asset-backed securities	199.4		(0.7		)	11.4		(0.1		)	210.8		(0.8		)
Municipal debt securities	56.5		(0.1		)	—		—			56.5		(0.1		)
Mutual funds	—		—			21.1		(3.1		)	21.1		(3.1		)
Total	$	1,318.2	$	(4.2	)	$	35.6	$	(3.2	)	$	1,353.8	$	(7.4	)

The unrealized losses for the above securities as of June 30, 2016 and December 31, 2015 are primarily attributable to changes in interest rates. At each reporting date, the Company performs an evaluation of impaired available-for-sale securities to determine if the unrealized losses are other-than-temporary. Based on this evaluation as of June 30, 2016, the Company identified an investment in a mutual fund with a fair value of $21.7 million to be other-than-temporarily impaired based on management's intent to sell the investment and accordingly, recognized an impairment loss of $3.0 million in our consolidated statements of operations in the caption "Other, net." As of June 30, 2016, other than the impaired mutual fund investment, we do not consider any of the investments to be other-than-temporarily impaired. The gross unrealized gains and losses in the above tables were recorded, net of tax, in accumulated other comprehensive income (loss), except for the loss on the other-than-temporarily impaired security.

The contractual maturities of our fixed income available-for-sale investment securities as of June 30, 2016 are set forth in the following table:

	Amortized Cost		Fair Value
	(in millions)
Due within one year	$	877.5	$	877.6
Due after one year up to two years	527.5		529.3
Due after two years up to three years	334.0		336.2
Due after three years up to four years	98.8		99.7
Asset-backed securities	167.5		168.2
Fixed income available-for-sale investment securities	$	2,005.3	$	2,011.0

Asset-backed securities were excluded from the maturity categories because the actual maturities may differ from the contractual maturities since the underlying receivables may be prepaid without penalties. Further, actual maturities of debt securities may differ from those presented above since certain obligations provide the issuer the right to call or prepay the obligation prior to scheduled maturity without penalty.

Proceeds from sales of available-for-sale investment securities and the gross gains and losses that have been included in earnings as a result of those sales were as follows:

	Three Months Ended   June 30,					Six Months Ended   June 30,
	2016			2015		2016			2015
	(in millions)
Proceeds from sales of available-for-sale investment securities	$	1,816.6		$	246.3	$	2,378.2		$	428.1
Gross gains	$	4.2		$	0.5	$	4.5		$	0.9
Gross losses	(0.1		)	—		(0.4		)	(0.1		)
Net realized gains on sales of available-for-sale investment securities	$	4.1		$	0.5	$	4.1		$	0.8

9

Note 4 — Accrued Expenses and Other Current Liabilities

Accrued expenses and other current liabilities were as follows:

	June 30, 2016		December 31, 2015
	(in millions)
Compensation and benefits	$	955.2	$	1,272.0
Income taxes	34.6		17.1
Professional fees	74.3		69.6
Travel and entertainment	32.5		29.8
Customer volume incentives	222.4		236.1
Derivative financial instruments	6.2		10.9
Other	239.8		182.9
Total accrued expenses and other current liabilities	$	1,565.0	$	1,818.4

Note 5 — Debt

In 2014, we entered into a credit agreement with a commercial bank syndicate providing for a $1,000.0 million unsecured term loan and a $750.0 million unsecured revolving credit facility. The term loan was used to pay a portion of the cash consideration in connection with the 2014 acquisition of TZ US Parent, Inc., or TriZetto. The revolving credit facility is available for general corporate purposes. The term loan and the revolving credit facility both mature in November 2019. All notes drawn to date under the revolving credit facility have been less than 90 days in duration. We are required under the credit agreement to make scheduled quarterly principal payments on the term loan.

Short-term Debt

The following summarizes our short-term debt balances as of:

	June 30, 2016		December 31, 2015
	(in millions)
Notes outstanding under revolving credit facility	$	—	$	350.0
Term loan - current maturities	68.8		56.3
Total short-term debt	$	68.8	$	406.3

Long-term Debt

The following summarizes our long-term debt balances as of:

	June 30, 2016			December 31, 2015
	(in millions)
Term loan, due 2019	$	912.5		$	937.5
Less:
Current maturities	(68.8		)	(56.3		)
Deferred financing costs	(3.7		)	(4.4		)
Long-term debt, net	$	840.0		$	876.8

In accordance with the recently adopted FASB update, we have presented debt issuance costs in the balance sheet as a direct deduction from the carrying value of that debt liability. As this guidance is effective on a retrospective basis, we conformed prior period's presentation to current period's presentation on our consolidated statement of financial position.

10

Note 6 — Income Taxes

Our Indian subsidiaries, collectively referred to as Cognizant India, are primarily export-oriented and are eligible for certain income tax holiday benefits granted by the government of India for export activities conducted within Special Economic Zones, or SEZs, for periods of up to 15 years. Our Indian profits ineligible for SEZ benefits are subject to corporate income tax at the rate of 34.6%. In addition, all Indian profits, including those generated within SEZs, are subject to the Minimum Alternative Tax, or MAT, at the rate of 21.3%. Any MAT paid is creditable against future Indian corporate income tax, subject to limitations.

In May 2016, India enacted the Finance Bill 2016 that, among other things, expanded the applicability of India’s buyback distribution tax to certain share buyback transactions occurring after June 1, 2016. In mid-May, prior to the June 1 effective date of the enactment, our principal operating subsidiary in India repurchased shares from its shareholders, which are non-Indian Cognizant entities, valued at $2.8 billion ("India Cash Remittance"). This transaction was undertaken pursuant to a plan approved by the High Court of Madras and simplified the shareholding structure of our principal operating subsidiary in India. Pursuant to the transaction, our principal Indian operating subsidiary repurchased approximately $1.2 billion of the total $2.8 billion of shares from its U.S. shareholders, resulting in tax expense in the United States and India, while the remaining $1.6 billion was repurchased from its shareholder outside the United States. Net of taxes, the transaction resulted in a remittance of cash to the United States in the amount of $1.0 billion. As a result of this transaction, we will incur an incremental 2016 income tax expense of $237.5 million, including a discrete item recognized in the second quarter of 2016 of $142.6 million relating to the distribution of historic undistributed accumulated foreign earnings. The remaining portion represents the tax on the distribution of current year earnings. Total incremental tax expense of $190.0 million was recognized in the quarter ended June 30, 2016 and approximately $23.7 million will be recognized in each of the quarters ending September 30, 2016 and December 31, 2016. This transaction is primarily responsible for the increase in our effective income tax rate in 2016 compared to 2015.

The India Cash Remittance did not impact our assertion that our foreign earnings are permanently reinvested outside the United States. In reaching this conclusion, we considered the one-time nature of the India Cash Remittance, our capital needs in the United States, the available sources of liquidity in the United States and our growth plans outside the United States. Thus, other than amounts affected by the India Cash Remittance and amounts for which we have already accrued U.S. taxes, our foreign earnings are deemed to be permanently reinvested outside the United States and we have not provided for U.S. federal income taxes on such earnings.

Our effective income tax rates were as follows:

	Three Months Ended   June 30,				Six Months Ended   June 30,
	2016		2015		2016		2015
Effective income tax rate	57.6	%	23.5	%	41.4	%	24.2	%

For the 2016 periods, the principal reason for the difference between our effective income tax rates and the U.S. federal statutory rate is the effect of the India Cash Remittance transaction described above, partially offset by the effect of the Indian tax holiday and earnings taxed in countries that have lower rates than the United States. For the 2015 periods, the principal reason for the difference between our effective income tax rates and the U.S. federal statutory rate is the effect of the Indian tax holiday and earnings taxed in countries that have lower rates than the United States.

11

Note 7 — Derivative Financial Instruments

In the normal course of business, we use foreign exchange forward contracts to manage foreign currency exchange rate risk. The estimated fair value of the foreign exchange forward contracts considers the following items: discount rate, timing and amount of cash flow and counterparty credit risk. Derivatives may give rise to credit risks from the possible non-performance by counterparties. Credit risk is generally limited to the fair value of those contracts that are favorable to us. We have limited our credit risk by entering into derivative transactions only with highly-rated financial institutions, limiting the amount of credit exposure with any one financial institution and conducting an ongoing evaluation of the creditworthiness of the financial institutions with which we do business. In addition, all the assets and liabilities related to our foreign exchange forward contracts set forth in the below table are subject to International Swaps and Derivatives Association, or ISDA, master netting arrangements or other similar agreements with each individual counterparty. These master netting arrangements generally provide for net settlement of all outstanding contracts with the counterparty in the case of an event of default or a termination event. We have presented all the assets and liabilities related to our foreign exchange forward contracts on a gross basis, with no offsets, in our accompanying unaudited condensed consolidated statements of financial position. There is no financial collateral (including cash collateral) posted or received by us related to our foreign exchange forward contracts.

The following table provides information on the location and fair values of derivative financial instruments included in our unaudited condensed consolidated statement of financial position as of:

		June 30, 2016				December 31, 2015
Designation of Derivatives	Location on Statement of Financial Position	Assets		Liabilities		Assets		Liabilities
		(in millions)
Foreign exchange forward contracts – Designated as cash flow hedging instruments	Other current assets	$	10.9	$	—	$	7.2	$	—
	Other noncurrent assets	2.9		—		1.6		—
	Accrued expenses and other current liabilities	—		6.2		—		9.7
	Other noncurrent liabilities	—		8.2		—		13.5
	Total	13.8		14.4		8.8		23.2
Foreign exchange forward contracts – Not designated as hedging instruments	Other current assets	2.3		—		0.4		—
	Accrued expenses and other current liabilities	—		—		—		1.2
	Total	2.3		—		0.4		1.2
Total		$	16.1	$	14.4	$	9.2	$	24.4

12

Cash Flow Hedges

We have entered into a series of foreign exchange forward contracts that are designated as cash flow hedges of Indian rupee denominated payments in India. These contracts are intended to partially offset the impact of movement of exchange rates on future operating costs and are scheduled to mature each month during 2016, 2017, and 2018. Under these contracts, we purchase Indian rupees and sell U.S. dollars. The changes in fair value of these contracts are initially reported in the caption “Accumulated other comprehensive income (loss)” in our consolidated statements of financial position and are subsequently reclassified to earnings in the same period the hedge contract matures. As of June 30, 2016, we estimate that $3.6 million, net of tax, of net gains related to derivatives designated as cash flow hedges recorded in accumulated other comprehensive income (loss) is expected to be reclassified into earnings within the next 12 months.

The notional value of our outstanding contracts by year of maturity and the net unrealized gains (losses) included in accumulated other comprehensive income (loss) for such contracts were as follows as of:

	June 30, 2016			December 31, 2015
	(in millions)
2016	$	615.0		$	1,215.0
2017	1,050.0			900.0
2018	405.0			330.0
Total notional value of contracts outstanding	$	2,070.0		$	2,445.0
Net unrealized (losses) included in accumulated other comprehensive income (loss), net of taxes	$	(0.3	)	$	(11.7	)

Upon settlement or maturity of the cash flow hedge contracts, we record the related gains or losses, based on our designation at the commencement of the contract, with the hedged Indian rupee denominated expense reported within cost of revenues and selling, general and administrative expenses. Hedge ineffectiveness was immaterial for all periods presented.

The following table provides information on the location and amounts of pre-tax gains (losses) on our cash flow hedges for the three months ended June 30:

	Change in Derivative Gains/Losses Recognized in Accumulated Other Comprehensive Income (Loss) (effective portion)						Location of Net Derivative Gains (Losses) Reclassified from Accumulated Other Comprehensive Income (Loss) into Income (effective portion)	Net Gain (Loss) Reclassified from Accumulated Other Comprehensive Income (Loss) into Income (effective portion)
	2016			2015				2016		2015
	(in millions)
Foreign exchange forward contracts – Designated as cash flow hedging instruments	$	(7.5	)	$	(9.0	)	Cost of revenues	$	2.7	$	(14.1	)
							Selling, general and administrative expenses	0.5		(3.1		)
							Total	$	3.2	$	(17.2	)

13

The following table provides information on the location and amounts of pre-tax gains (losses) on our cash flow hedges for the six months ended June 30:

	Change in Derivative Gains/Losses Recognized in Accumulated Other Comprehensive Income (Loss) (effective portion)				Location of Net Derivative Gains (Losses) Reclassified from Accumulated Other Comprehensive Income (Loss) into Income (effective portion)	Net Gain (Loss) Reclassified from Accumulated Other Comprehensive Income (Loss) into Income (effective portion)
	2016		2015			2016		2015
	(in millions)
Foreign exchange forward contracts – Designated as cash flow hedging instruments	$	14.5	$	25.7	Cost of revenues	$	0.6	$	(25.3	)
					Selling, general and administrative expenses	0.1		(5.6		)
					Total	$	0.7	$	(30.9	)

The activity related to the change in net unrealized gains (losses) on our cash flow hedges included in accumulated other comprehensive income (loss) is presented in Note 9.

Other Derivatives

We use foreign exchange forward contracts, which have not been designated as hedges, to hedge balance sheet exposure to certain monetary assets and liabilities denominated in currencies other than the functional currency of our foreign subsidiaries. We entered into a series of foreign exchange forward contracts that are primarily to purchase U.S. dollars and sell Indian rupees, British pounds and Euros, and are scheduled to mature in 2016 and 2017. Realized gains or losses and changes in the estimated fair value of these derivative financial instruments are recorded in the caption "Foreign currency exchange gains (losses), net" in our consolidated statements of operations.

Additional information related to our outstanding foreign exchange forward contracts not designated as hedging instruments is as follows:

	June 30, 2016				December 31, 2015
	Notional		Market Value		Notional		Market Value
	(in millions)
Contracts outstanding	$	211.3	$	2.3	$	165.5	$	(0.8	)

The following table provides information on the location and amounts of realized and unrealized pre-tax gains and losses on our other derivative financial instruments for the three and six months ended June 30, 2016 and 2015:

	Location of Net Gains (Losses) on Derivative Instruments	Amount of Net Gains (Losses) on Derivative Instruments
		Three Months Ended June 30,				Six Months Ended June 30,
		2016		2015		2016			2015
		(in millions)
Foreign exchange forward contracts – Not designated as hedging instruments	Foreign currency exchange gains (losses), net	$	2.5	$	0.1	$	(0.3	)	$	(1.7	)

The related cash flow impacts of all of our derivative activities are reflected as cash flows from operating activities.

14

Note 8 — Fair Value Measurements

We measure our cash equivalents, investments and foreign exchange forward contracts at fair value. The authoritative guidance defines fair value as the exit price, or the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants as of the measurement date. The authoritative guidance also establishes a fair value hierarchy that is intended to increase consistency and comparability in fair value measurements and related disclosures. The fair value hierarchy is based on inputs to valuation techniques that are used to measure fair value that are either observable or unobservable. Observable inputs reflect assumptions market participants would use in pricing an asset or liability based on market data obtained from independent sources while unobservable inputs reflect a reporting entity’s pricing based upon their own market assumptions.

The fair value hierarchy consists of the following three levels:

• Level 1 – Inputs are quoted prices in active markets for identical assets or liabilities.

• Level 2 – Inputs are quoted prices for similar assets or liabilities in an active market, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable and market-corroborated inputs which are derived principally from or corroborated by observable market data.

• Level 3 – Inputs are derived from valuation techniques in which one or more significant inputs or value drivers are unobservable.

The following table summarizes our financial assets and (liabilities) measured at fair value on a recurring basis as of June 30, 2016:

	Level 1		Level 2			Level 3		Total
	(in millions)
Cash equivalents:
Money market funds	$	262.6	$	—		$	—	$	262.6
Time deposits	—		25.0			—		25.0
Certificates of deposit and commercial paper	—		152.2			—		152.2
Total cash equivalents	262.6		177.2			—		439.8
Short-term investments:
Time deposits	—		762.7			—		762.7
Available-for-sale investment securities:
U.S. Treasury and agency debt securities	600.3		39.1			—		639.4
Corporate and other debt securities	—		396.8			—		396.8
Certificates of deposit and commercial paper	—		684.8			—		684.8
Asset-backed securities	—		168.2			—		168.2
Municipal debt securities	—		121.8			—		121.8
Total available-for-sale investment securities(1)	600.3		1,410.7			—		2,011.0
Total short-term investments(1)	600.3		2,173.4			—		2,773.7
Derivative financial instruments - foreign exchange forward contracts:
Other current assets	—		13.2			—		13.2
Accrued expenses and other current liabilities	—		(6.2		)	—		(6.2		)
Other noncurrent assets	—		2.9			—		2.9
Other noncurrent liabilities	—		(8.2		)	—		(8.2		)
Total	$	862.9	$	2,352.3		$	—	$	3,215.2

________________

(1) Excludes mutual funds valued at $23.0 million based on the net asset value, or NAV, of the fund at June 30, 2016.

15

The following table summarizes our financial assets and (liabilities) measured at fair value on a recurring basis as of December 31, 2015:

	Level 1		Level 2			Level 3		Total
	(in millions)
Cash equivalents:
Money market funds	$	495.9	$	—		$	—	$	495.9
Total cash equivalents	495.9		—			—		495.9
Short-term investments:
Time deposits	—		809.5			—		809.5
Available-for-sale investment securities:
U.S. Treasury and agency debt securities	463.7		63.4			—		527.1
Corporate and other debt securities	—		360.5			—		360.5
Certificates of deposit and commercial paper	—		754.0			—		754.0
Asset-backed securities	—		229.6			—		229.6
Municipal debt securities	—		121.3			—		121.3
Total available-for-sale investment securities(1)	463.7		1,528.8			—		1,992.5
Total short-term investments(1)	463.7		2,338.3			—		2,802.0
Derivative financial instruments - foreign exchange forward contracts:
Other current assets	—		7.6			—		7.6
Accrued expenses and other current liabilities	—		(10.9		)	—		(10.9		)
Other noncurrent assets	—		1.6			—		1.6
Other noncurrent liabilities	—		(13.5		)	—		(13.5		)
Total	$	959.6	$	2,323.1		$	—	$	3,282.7

________________

(1) Excludes mutual funds valued at $22.3 million based on the net asset value, or NAV, of the fund at December 31, 2015.

We measure the fair value of money market funds and U.S. Treasury securities based on quoted prices in active markets for identical assets and therefore classify these assets as Level 1. The fair value of commercial paper, certificates of deposit, U.S. government agency securities, municipal debt securities, U.S. and international corporate bonds and foreign government debt securities is measured based on relevant trade data, dealer quotes, or model-driven valuations using significant inputs derived from or corroborated by observable market data, such as yield curves and credit spreads. We measure the fair value of our asset-backed securities using model-driven valuations based on significant inputs derived from or corroborated by observable market data such as dealer quotes, available trade information, spread data, current market assumptions on prepayment speeds and defaults and historical data on deal collateral performance. The carrying value of the time deposits approximated fair value as of June 30, 2016 and December 31, 2015.

We estimate the fair value of each foreign exchange forward contract by using a present value of expected cash flows model. This model calculates the difference between the current market forward price and the contracted forward price for each foreign exchange contract and applies the difference in the rates to each outstanding contract. The market forward rates include a discount and credit risk factor. The amounts are aggregated by type of contract and maturity.

During the six months ended June 30, 2016 and the year ended December 31, 2015, there were no transfers among Level 1, Level 2, or Level 3 financial assets and liabilities.

16

Note 9 — Accumulated Other Comprehensive Income (Loss)

Changes in accumulated other comprehensive income (loss) by component were as follows for the three and six months ended June 30, 2016:

	Three Months									Six Months
	Before Tax Amount			Tax Effect			Net of Tax Amount			Before Tax Amount			Tax Effect			Net of Tax Amount
	(in millions)
Foreign currency translation adjustments:
Beginning balance	$	(70.4	)	$	—		$	(70.4	)	$	(89.9	)	$	—		$	(89.9	)
Change in foreign currency translation adjustments	(28.6		)	—			(28.6		)	(9.1		)	—			(9.1		)
Ending balance	$	(99.0	)	$	—		$	(99.0	)	$	(99.0	)	$	—		$	(99.0	)
Unrealized gains (losses) on available-for-sale investment securities:
Beginning balance	$	1.5		$	(0.7	)	$	0.8		$	(6.8	)	$	2.2		$	(4.6	)
Net unrealized gains arising during the period	5.3			(1.7		)	3.6			13.6			(4.6		)	9.0
Reclassification of net (gains) to Other, net	(4.1		)	1.5			(2.6		)	(4.1		)	1.5			(2.6		)
Other-than-temporary impairment losses on investment securities recognized in earnings	3.0			(1.2		)	1.8			3.0			(1.2		)	1.8
Net change	4.2			(1.4		)	2.8			12.5			(4.3		)	8.2
Ending balance	$	5.7		$	(2.1	)	$	3.6		$	5.7		$	(2.1	)	$	3.6
Unrealized gains (losses) on cash flow hedges:
Beginning balance	$	10.1		$	(2.1	)	$	8.0		$	(14.4	)	$	2.7		$	(11.7	)
Unrealized (losses) gains arising during the period	(7.5		)	1.7			(5.8		)	14.5			(2.5		)	12.0
Reclassifications of gains to:
Cost of revenues	(2.7		)	0.6			(2.1		)	(0.6		)	0.1			(0.5		)
Selling, general and administrative expenses	(0.5		)	0.1			(0.4		)	(0.1		)	—			(0.1		)
Net change	(10.7		)	2.4			(8.3		)	13.8			(2.4		)	11.4
Ending balance	$	(0.6	)	$	0.3		$	(0.3	)	$	(0.6	)	$	0.3		$	(0.3	)
Accumulated other comprehensive income (loss):
Beginning balance	$	(58.8	)	$	(2.8	)	$	(61.6	)	$	(111.1	)	$	4.9		$	(106.2	)
Other comprehensive income (loss)	(35.1		)	1.0			(34.1		)	17.2			(6.7		)	10.5
Ending balance	$	(93.9	)	$	(1.8	)	$	(95.7	)	$	(93.9	)	$	(1.8	)	$	(95.7	)

17

Changes in accumulated other comprehensive income (loss) by component were as follows for the three and six months ended June 30, 2015:

	Three Months									Six Months
	Before Tax Amount			Tax Effect			Net of Tax Amount			Before Tax Amount			Tax Effect			Net of Tax Amount
	(in millions)
Foreign currency translation adjustments:
Beginning balance	$	(75.6	)	$	—		$	(75.6	)	$	(34.8	)	$	—		$	(34.8	)
Change in foreign currency translation adjustments	23.2			—			23.2			(17.6		)	—			(17.6		)
Ending balance	$	(52.4	)	$	—		$	(52.4	)	$	(52.4	)	$	—		$	(52.4	)
Unrealized gains (losses) on available-for-sale investment securities:
Beginning balance	$	1.5		$	(0.7	)	$	0.8		$	(2.4	)	$	0.8		$	(1.6	)
Net unrealized (losses) gains arising during the period	(1.6		)	0.5			(1.1		)	2.6			(1.2		)	1.4
Reclassification of net (gains) to Other, net	(0.4		)	0.2			(0.2		)	(0.7		)	0.4			(0.3		)
Net change	(2.0		)	0.7			(1.3		)	1.9			(0.8		)	1.1
Ending balance	$	(0.5	)	$	—		$	(0.5	)	$	(0.5	)	$	—		$	(0.5	)
Unrealized gains (losses) on cash flow hedges:
Beginning balance	$	(54.2	)	$	9.7		$	(44.5	)	$	(102.6	)	$	15.9		$	(86.7	)
Net unrealized (losses) gains arising during the period	(9.0		)	1.8			(7.2		)	25.7			(1.9		)	23.8
Reclassifications of losses to:
Cost of revenues	14.1			(2.6		)	11.5			25.3			(4.6		)	20.7
Selling, general and administrative expenses	3.1			(0.5		)	2.6			5.6			(1.0		)	4.6
Net change	8.2			(1.3		)	6.9			56.6			(7.5		)	49.1
Ending balance	$	(46.0	)	$	8.4		$	(37.6	)	$	(46.0	)	$	8.4		$	(37.6	)
Accumulated other comprehensive income (loss):
Beginning balance	$	(128.3	)	$	9.0		$	(119.3	)	$	(139.8	)	$	16.7		$	(123.1	)
Other comprehensive income (loss)	29.4			(0.6		)	28.8			40.9			(8.3		)	32.6
Ending balance	$	(98.9	)	$	8.4		$	(90.5	)	$	(98.9	)	$	8.4		$	(90.5	)

18

Note 10 — Commitments and Contingencies

As of June 30, 2016, we had outstanding fixed capital commitments of approximately $184.0 million related to our India development center expansion program to build new state-of-the-art IT development and delivery centers.

We are involved in various claims and legal actions arising in the ordinary course of business. We accrue a liability when a loss is considered probable and the amount can be reasonably estimated. In the opinion of management, the outcome of any existing claims and legal or regulatory proceedings, if decided adversely, is not expected to have a material adverse effect on our business, financial condition, results of operations and cash flows. Additionally, many of our engagements involve projects that are critical to the operations of our customers’ business and provide benefits that are difficult to quantify. Any failure in a customer’s systems or our failure to meet our contractual obligations to our clients, including any breach involving a customer’s confidential information or sensitive data, or our obligations under applicable laws or regulations could result in a claim for substantial damages against us, regardless of our responsibility for such failure. Although we attempt to contractually limit our liability for damages arising from negligent acts, errors, mistakes, or omissions in rendering our services, there can be no assurance that the limitations of liability set forth in our contracts will be enforceable in all instances or will otherwise protect us from liability for damages. Although we have general liability insurance coverage, including coverage for errors or omissions, there can be no assurance that such coverage will cover all types of claims, continue to be available on reasonable terms or will be available in sufficient amounts to cover one or more large claims, or that the insurer will not disclaim coverage as to any future claim. The successful assertion of one or more large claims against us that exceed or are not covered by our insurance coverage or changes in our insurance policies, including premium increases or the imposition of large deductible or co-insurance requirements, could have a material adverse effect on our business, results of operations, financial condition and cash flows.

In the normal course of business and in conjunction with certain client engagements, we have entered into contractual arrangements through which we may be obligated to indemnify clients or other parties with whom we conduct business with respect to certain matters. These arrangements can include provisions whereby we agree to hold the indemnified party and certain of their affiliated entities harmless with respect to third-party claims related to such matters as our breach of certain representations or covenants, or out of our intellectual property infringement, our gross negligence or willful misconduct or certain other claims made against certain parties. Payments by us under any of these arrangements are generally conditioned on the client making a claim and providing us with full control over the defense and settlement of such claim. It is not possible to determine the maximum potential amount under these indemnification agreements due to the unique facts and circumstances involved in each particular agreement. Historically, we have not made payments under these indemnification agreements and therefore they have not had any impact on our operating results, financial position, or cash flows. However, if events arise requiring us to make payment for indemnification claims under our indemnification obligations in contracts we have entered, such payments could have material impact on our business, results of operations, financial condition and cash flows.

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Note 11 — Segment Information

Our reportable segments are:

• Financial Services, which includes customers providing banking/transaction processing, capital markets and insurance services;

• Healthcare, which includes healthcare providers and payers as well as life sciences customers, including pharmaceutical, biotech and medical device companies;

• Manufacturing/Retail/Logistics, which includes consumer goods, manufacturers, retailers, travel and other hospitality customers, as well as customers providing logistics services; and

• Other, which is an aggregation of industry segments each of which, individually, represents less than 10% of consolidated revenues and segment operating profit. The Other reportable segment includes our information, media and entertainment services, communications and high technology operating segments.

Our sales managers, account executives, account managers and project teams are aligned in accordance with the specific industries they serve. Our chief operating decision maker evaluates the Company’s performance and allocates resources based on segment revenues and operating profit. Segment operating profit is defined as income from operations before unallocated costs. Generally, operating expenses for each operating segment have similar characteristics and are subject to the same factors, pressures and challenges. However, the economic environment and its effects on industries served by our operating segments may affect revenue and operating expenses to differing degrees. Expenses included in segment operating profit consist principally of direct selling and delivery costs as well as a per seat charge for use of the development and delivery centers. Certain selling, general and administrative expenses, excess or shortfall of incentive compensation for delivery personnel as compared to target, stock-based compensation expense, a portion of depreciation and amortization and the impact of the settlements of our cash flow hedges are not allocated to individual segments in internal management reports used by the chief operating decision maker. Accordingly, such expenses are excluded from segment operating profit and are separately disclosed as “unallocated costs” and adjusted only against our total income from operations.Additionally, management has determined that it is not practical to allocate identifiable assets by segment, since such assets are used interchangeably among the segments.

Revenues from external customers and segment operating profit, before unallocated expenses, for the Financial Services, Healthcare, Manufacturing/Retail/Logistics, and Other reportable segments were as follows:

	Three Months Ended   June 30,				Six Months Ended   June 30,
	2016		2015		2016		2015
	(in millions)
Revenues:
Financial Services	$	1,351.2	$	1,250.1	$	2,636.9	$	2,411.2
Healthcare	958.8		897.3		1,872.9		1,776.4
Manufacturing/Retail/Logistics	660.4		578.3		1,292.9		1,127.2
Other	399.5		359.4		769.2		681.7
Total revenue	$	3,369.9	$	3,085.1	$	6,571.9	$	5,996.5
Segment Operating Profit:
Financial Services	$	459.3	$	420.1	$	882.3	$	767.5
Healthcare	270.0		317.5		565.2		562.6
Manufacturing/Retail/Logistics	225.9		201.2		445.3		382.5
Other	134.0		122.9		255.6		214.9
Total segment operating profit	1,089.2		1,061.7		2,148.4		1,927.5
Less: unallocated costs	498.3		516.2		1,003.5		881.7
Income from operations	$	590.9	$	545.5	$	1,144.9	$	1,045.8

In June 2016, we amended a fixed-price customer contract in which Cognizant is a subcontractor to a third party for the purpose of delivering healthcare-related implementation services to local government. This arrangement is accounted for using the percentage of completion method of revenue recognition. We revised our estimate of total revenue and total efforts required to complete the contract and as a result, we recognized a net pre-tax loss of $27.4 million during the three months ended June 30, 2016. This loss was reported in the Healthcare segment.

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Geographic Area Information

Revenue and long-lived assets, by geographic area, are as follows:

	Three Months Ended   June 30,				Six Months Ended   June 30,
	2016		2015		2016		2015
	(in millions)
Revenues: (1)
North America(2)	$	2,624.1	$	2,423.9	$	5,121.4	$	4,715.9
United Kingdom	310.7		297.6		609.5		582.7
Rest of Europe	236.5		204.7		463.1		395.5
Europe - Total	547.2		502.3		1,072.6		978.2
Rest of World (3)	198.6		158.9		377.9		302.4
Total	$	3,369.9	$	3,085.1	$	6,571.9	$	5,996.5

	As of
	June 30, 2016		December 31, 2015
	(in millions)
Long-lived Assets: (4)
North America(2)	$	273.7	$	242.4
Europe	34.5		32.2
Rest of World (3)(5)	979.2		996.8
Total	$	1,287.4	$	1,271.4

________________

(1) Revenues are attributed to regions based upon customer location.

(2) Substantially all relates to operations in the United States.

(3) Includes our operations in Asia Pacific, the Middle East and Latin America.

(4) Long-lived assets include property and equipment, net of accumulated depreciation and amortization.

(5) Substantially all of these long-lived assets relate to our operations in India.

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Item 2.    Management’s Discussion and Analysis of Financial Condition and Results of Operations.

Executive Summary

We are a leading provider of information technology (IT), consulting and business process services, dedicated to helping the world’s leading companies build stronger businesses. Our clients engage us to help them operate more efficiently, provide solutions to critical business and technology problems, and help them drive technology-based innovation and growth. Our core competencies include: business, process, operations and IT consulting, application development and systems integration, enterprise information management, application testing, application maintenance, IT infrastructure services, and business process services. We tailor our services to specific industries and utilize an integrated global delivery model. This seamless global sourcing model combines industry-specific expertise, client service teams based on-site at the client locations and delivery teams located at dedicated near-shore and offshore global delivery centers.

The following table sets forth key financial results for the three months ended June 30, 2016 and 2015:

					Increase (Decrease)
	2016		2015		$			%
	(Dollars in millions, except per share data)
Revenue	$	3,369.9	$	3,085.1	$	284.8		9.2
Income from operations	590.9		545.5		45.4			8.3
Net income	252.4		420.1		(167.7		)	(39.9	)
Diluted earnings per share	0.41		0.68		(0.27		)	(39.7	)
Other Financial Information1
Non-GAAP income from operations	683.4		622.9		60.5			9.7
Non-GAAP diluted earnings per share	0.87		0.79		0.08			10.1

The key drivers of our revenue growth during the three months ended June 30, 2016 as compared to June 30, 2015 were as follows:

• Solid performance in our Manufacturing/Retail/Logistics and Other business segments with revenue growth of 14.2% and 11.2%, respectively;

• Revenue in our Financial Services business segment grew 8.1% as demand from our banking customers was negatively affected by the current macroeconomic conditions;

• Revenue in our Healthcare business segment grew 6.9% as the recent trend towards consolidation within the industry negatively affected demand from healthcare customers that were impacted by the mergers and acquisitions activity;

• Sustained strength in the North American market where revenues grew 8.3%;

• Continued penetration of the European and Rest of World (primarily the Asia Pacific) markets. Revenue from our customers outside the United States was negatively affected by the strength of the U.S. dollar against the British pound and other currencies;

◦ In Europe, we experienced revenue growth of 8.9%, after a negative currency impact of 2.9%. Specifically, within the United Kingdom, we experienced revenue growth of 4.4%, after a negative currency impact of 5.4%, while revenue from our Rest of Europe customers increased 15.5% with immaterial currency impact;

◦ Revenue from our Rest of World customers increased 25.0%, after a negative currency impact of 3.2%;

• Increased customer spending on discretionary projects;

• Expansion of our service offerings, including consulting and digital services, next-generation IT solutions and platform-based solutions;

• Continued expansion of the market for global delivery of IT and business process services; and

• Increased penetration at existing customers, including strategic clients.

___________

1 Non-GAAP income from operations and Non-GAAP diluted earnings per share are not measurements of financial performance prepared in accordance with GAAP. See “Non-GAAP Financial Measures” for more information and a reconciliation to the most directly comparable GAAP financial measure.

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We saw a continued demand from our customers for a broad range of services, including IT strategy and business consulting, application development and systems integration, enterprise information management, application testing, application maintenance, infrastructure services, and business process services. In addition, we are seeing a continued customer interest in digital solutions and increased demand for data mobility, mobile enterprise solutions and security services. We are also seeing an increase in demand for larger, more complex projects that are transformational for our customers, including managed services contracts. Such contracts may have longer sales cycles and ramp-up periods and could lead to greater variability in our period to period operating results. We increased the number of strategic clients by 7 during the quarter, bringing the total number of our strategic clients to 315. We define a strategic client as one offering the potential to generate at least $5 million to $50 million or more in annual revenues at maturity.

In June 2016, we amended a fixed-price customer contract in which Cognizant is a subcontractor to a third party for the purpose of delivering healthcare-related implementation services to local government. This arrangement is accounted for using the percentage of completion method of revenue recognition. We revised our estimate of total revenue and total efforts required to complete the contract and as a result, we recognized a net pre-tax loss of $27.4 million during the three months ended June 30, 2016.

Our operating margin decreased slightly to 17.5% for the quarter ended June 30, 2016 compared to 17.7% for the quarter ended June 30, 2015. The decrease in our operating margin was due to increases in certain operating expenses, stock-based compensation expense and the loss recognized on the fixed-price customer contract, partially offset by the impact of the depreciation of the Indian rupee against the U.S. dollar and realized gains on settlements of cash flow hedges in 2016 as compared to losses in 2015.

Our non-GAAP operating margin for the quarter ended June 30, 2016 increased slightly to 20.3%² compared to 20.2%² for the quarter ended June 30, 2015. The increase in our non-GAAP operating margin was due to the impact of the depreciation of the Indian rupee against the U.S. dollar and realized gains on settlements of cash flow hedges in 2016 as compared to losses in 2015, partially offset by increases in certain operating expenses and the loss recognized in the second quarter of 2016 on the fixed-price customer contract. Historically, we have invested our profits above the 19% to 20% non-GAAP operating margin level back into our business, which we believe is a significant contributing factor to our strong revenue growth. This investment is primarily focused in the areas of hiring client partners and relationship personnel with specific industry experience or domain expertise, training our technical staff in a broader range of service offerings, strengthening our business analytics and digital technology capabilities, strengthening and expanding our portfolio of services, continuing to expand our geographic presence for both sales and delivery, as well as recognizing and rewarding employee performance by means of enhanced incentive-based compensation. In addition, this investment includes maintaining a level of resources, trained in a broad range of service offerings, to be well positioned to respond to our customer requests to take on additional projects. We expect to continue to invest amounts in excess of our targeted operating margin levels back into the business.

In May 2016, India enacted the Finance Bill 2016 that, among other things, expanded the applicability of India’s buyback distribution tax to certain share buyback transactions occurring after June 1, 2016. In mid-May, prior to the June 1 effective date of the enactment, our principal operating subsidiary in India repurchased shares from its shareholders, which are non-Indian Cognizant entities, valued at $2.8 billion ("India Cash Remittance"). This transaction was undertaken pursuant to a plan approved by the High Court of Madras and simplified the shareholding structure of our principal operating subsidiary in India. Pursuant to the transaction, our principal Indian operating subsidiary repurchased approximately $1.2 billion of the total $2.8 billion of shares from its U.S. shareholders, resulting in tax expense in the United States and India, while the remaining $1.6 billion was repurchased from its shareholder outside the United States. Net of taxes, the transaction resulted in a remittance of cash to the United States in the amount of $1.0 billion. As a result of this transaction, we will incur an incremental 2016 income tax expense of $237.5 million, of which $190.0 million was recognized in the quarter ended June 30, 2016 and approximately $23.7 million will be recognized in each of the quarters ending September 30, 2016 and December 31, 2016. The decrease in net income for the quarter ended June 30, 2016 as compared to the quarter ended June 30, 2015 was primarily driven by the incremental income tax expense recognized in the second quarter of 2016 in relation to the India Cash Remittance.

__________

2 Non-GAAP operating margin is not a measurement of financial performance prepared in accordance with GAAP. See “Non-GAAP Financial Measures” for more information and a reconciliation to the most directly comparable GAAP financial measure.

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We finished the second quarter of 2016 with approximately 244,300 employees, which is an increase of approximately 26,300 as compared to June 30, 2015. The increase in the number of our service delivery staff and the related infrastructure costs to meet the demand for our services are the primary drivers of the increase in our operating expenses in 2016. Annualized turnover, including both voluntary and involuntary, was approximately 17.1% for the three months ended June 30, 2016. The majority of our turnover occurs in India. As a result, annualized attrition rates on-site at clients are below our global attrition rate. In addition, attrition is weighted towards the more junior members of our staff. We have experienced increases in compensation and benefit costs in India which may continue in the future; however, historically, this has not had a material impact on our results of operations as we have been able to absorb such cost increases through price increases or cost management strategies such as managing discretionary costs, the mix of our professional staff as well as utilization levels, and achieving other operating efficiencies.

At June 30, 2016, we had cash, cash equivalents and short-term investments of $4,481.2 million, working capital of $5,638.9 million and debt outstanding of $908.8 million. We believe our cash from operations and capital resources on hand provide sufficient liquidity to continue to make investments to expand and grow our business, and meet our debt repayment obligations.

During the remainder of 2016, barring any unforeseen events, we expect the following factors to affect our business and our operating results:

• Demand from our customers to help them meet their dual mandate of simultaneously achieving cost savings while investing in transformation and innovation;

• Continued focus by customers on directing IT spending towards cost containment projects, such as application maintenance, infrastructure services and business process services;

• Secular changes driven by evolving digital technologies and regulatory changes;

• Demand from our banking customers may continue to be negatively affected by the current macroeconomic conditions affecting the industry, including a sustained low interest rate environment, the weakening of the British pound and uncertainty in the markets due to the June 2016 United Kingdom referendum to exit the European Union (the "Brexit Referendum"). These conditions may also impact revenue growth from our customers in other business segments;

• Demand from our healthcare customers may continue to be negatively affected by the recent trend towards consolidation within the healthcare industry;

• Volatility in foreign currency rates; and

• Continued uncertainty in the world economy.

In response to this environment, we plan to:

• Continue to invest in our talent base and new service offerings, including digital technologies and new delivery models;

• Partner with our existing customers to garner an increased portion of our customers’ overall IT spending by providing innovative solutions;

• Focus on growing our business in Europe, the Middle East, the Asia Pacific and Latin America regions, where we believe there are opportunities to gain market share;

• Increase our strategic customer base across all of our business segments;

• Opportunistically look for acquisitions that may improve our overall service delivery capabilities, expand our geographic presence and/or enable us to enter new areas of technology;

• Focus on operating discipline in order to appropriately manage our cost structure; and

• Locate most of our new development center facilities in tax incentivized areas.

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Business Segments

Our four reportable business segments are:

• Financial Services, which includes customers providing banking/transaction processing, capital markets and insurance services;

• Healthcare, which includes healthcare providers and payers as well as life sciences customers, including pharmaceutical, biotech and medical device companies;

• Manufacturing/Retail/Logistics, which includes consumer goods manufacturers, retailers, travel and other hospitality customers, as well as customers providing logistics services; and

• Other, which is an aggregation of industry operating segments each of which, individually, represents less than 10.0% of consolidated revenues and segment operating profit. The Other reportable segment includes our information, media and entertainment services, communications, and high technology operating segments.

Our chief operating decision maker evaluates Cognizant’s performance and allocates resources based on segment revenues and operating profit. Segment operating profit is defined as income from operations before unallocated costs. Generally, operating expenses for each operating segment have similar characteristics and are subject to the same factors, pressures and challenges. However, the economic environment and its effects on industries served by our operating segments may affect revenue and operating expenses to differing degrees. Expenses included in segment operating profit consist principally of direct selling and delivery costs as well as a per seat charge for use of the development and delivery centers. Certain selling, general and administrative expenses, excess or shortfall of incentive compensation for delivery personnel as compared to target, stock-based compensation expense, a portion of depreciation and amortization and a portion of the impact of the settlements of our cash flow hedges are not allocated to individual segments in internal management reports used by the chief operating decision maker. Accordingly, such expenses are excluded from segment operating profit.

We provide a significant volume of services to many customers in each of our business segments. Therefore, a loss of a significant customer or a few significant customers in a particular segment could materially reduce revenues for that segment. However, no individual customer accounted for sales in excess of 10% of our consolidated revenues for the periods ended June 30, 2016 and 2015. In addition, the services we provide to our larger customers are often critical to the operations of such customers and we believe that a termination of our services would require an extended transition period with gradually declining revenues.

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Results of Operations

Three Months Ended June 30, 2016 Compared to Three Months Ended June 30, 2015

The following table sets forth, for the periods indicated, certain financial data for the three months ended June 30:

				% of				% of	Increase / Decrease
	2016			Revenues	2015			Revenues	$			%
	(Dollars in millions, except per share data)
Revenues	$	3,369.9		100.0	$	3,085.1		100.0	$	284.8		9.2
Cost of revenues(1)	2,037.7			60.5	1,844.8			59.8	192.9			10.5
Selling, general and administrative expenses(1)	653.9			19.4	612.0			19.8	41.9			6.8
Depreciation and amortization expense	87.4			2.6	82.8			2.7	4.6			5.6
Income from operations	590.9			17.5	545.5			17.7	45.4			8.3
Other income (expense), net	3.7				3.3				0.4			12.1
Income before provision for income taxes	594.6			17.6	548.8			17.8	45.8			8.3
Provision for income taxes	(342.4		)		(128.7		)		(213.7		)	166.0
Income from equity method investment	0.2				—				0.2
Net income	$	252.4		7.5	$	420.1		13.6	$	(167.7	)	(39.9	)
Diluted earnings per share	$	0.41			$	0.68			$	(0.27	)
Other Financial Information(2)
Non-GAAP income from operations and non-GAAP operating margin	$	683.4		20.3	$	622.9		20.2	$	60.5		9.7
Non-GAAP diluted earnings per share	$	0.87			$	0.79			$	0.08

_____________________

(1) Exclusive of depreciation and amortization expense.

(2) Non-GAAP income from operations, non-GAAP operating margin and non-GAAP diluted earnings per share are not measurements of financial performance prepared in accordance with GAAP. See “Non-GAAP Financial Measures” for more information and a reconciliation to the most directly comparable GAAP financial measure.

Revenue - Overall. Revenue increased9.2%, or $284.8 million, to $3,369.9 million during the three months ended June 30, 2016 from $3,085.1 million during the three months ended June 30, 2015. The increase in revenue was primarily attributed to services related to integration of digital technologies to align with shifts in consumer preferences, increased customer spending on discretionary projects, continued interest in using our global delivery model as a means to reduce overall IT and operations costs and continued penetration in all our geographic markets. Revenue from customers added since June 30, 2015 was $89.1 million and represented 31.3% of the period over period revenue increase. Demand from our banking customers has been and may continue to be negatively affected by the current macroeconomic conditions affecting the industry, including a sustained low interest rate environment, the weakening of the British pound and uncertainty in the markets due to the Brexit Referendum. These conditions may also impact revenue growth from our customers in other business segments. Additionally, demand from our healthcare customers may continue to be negatively affected by the recent trend towards consolidation within the healthcare industry.

Our consulting and technology services revenues for the three months ended June 30, 2016 increased by approximately 9.3% compared to the three months ended June 30, 2015 and represented approximately 57.5% of total revenues for the three months ended June 30, 2016. Our outsourcing services revenue for the three months ended June 30, 2016 increased by approximately 9.1% and constituted approximately 42.5% of total revenues for the three months ended June 30, 2016.

Revenues from our top five customers as a percentage of total revenues were 10.5% and 10.8% for the quarters ended June 30, 2016 and 2015, respectively. Revenues from our top ten customers as a percentage of total revenues were 17.5% and 18.5% for the quarters ended June 30, 2016 and 2015, respectively. As we continue to add new customers and increase our penetration at existing customers, we expect the percentage of revenues from our top five and top ten customers to decline over time.

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Revenue - Reportable Segments. Revenues by reportable business segment were as follows for the three months ended June 30:

	2016		2015		Increase
					$		%
	(Dollars in millions)
Financial Services	$	1,351.2	$	1,250.1	$	101.1	8.1
Healthcare	958.8		897.3		61.5		6.9
Manufacturing/Retail/Logistics	660.4		578.3		82.1		14.2
Other	399.5		359.4		40.1		11.2
Total revenue	$	3,369.9	$	3,085.1	$	284.8	9.2

Revenue from our Financial Services segment grew 8.1% or $101.1 million for the three months ended June 30, 2016, as compared to the three months ended June 30, 2015. Our banking and insurance customers contributed $56.5 million and $44.6 million, respectively, to the period over period revenue increase. In this segment, revenue from customers added since June 30, 2015 was $19.8 million and represented 19.6% of the period over period revenue increase in this segment. Key areas of focus for our Financial Services customers included the adoption and integration of digital technologies to align with shifts in consumer preferences, cost optimization, regulatory compliance driven initiatives, cyber security and vendor consolidation. We believe demand from certain of our banking customers has been and may continue to be negatively affected by the current macroeconomic conditions affecting the industry, including a sustained low interest rate environment, the weakening of the British pound and uncertainty in the markets due to the Brexit Referendum.

Revenue from our Healthcare segment grew 6.9% or $61.5 million for the three months ended June 30, 2016, as compared to the three months ended June 30, 2015. Growth was stronger among our life sciences customers, where revenue increased by $38.4 million as compared to an increase of $23.1 million for our healthcare customers. Revenue from customers added since June 30, 2015 was $21.1 million and represented 34.3% of the period over period revenue increase in this segment. The increase in revenue from our life sciences customers was driven by increased demand for advanced data analytics and solutions that span multiple service lines while leveraging cloud technologies and platforms. The demand for our services has been and may continue to be affected by the trend towards consolidation within the healthcare industry. We believe that in the long term the healthcare industry continues to present a growth opportunity due to factors that are transforming the industry, including the changing regulatory environment, increasing focus on medical costs, and the consumerization of healthcare.

Revenue from our Manufacturing/Retail/Logistics segment grew 14.2% or $82.1 million for the three months ended June 30, 2016, as compared to the three months ended June 30, 2015. Growth was stronger among our manufacturing and logistics customers, where revenue increased by $67.2 million as compared to an increase of $14.9 million for our retail and hospitality customers. Revenue from customers added since June 30, 2015 was $28.7 million and represented 35.0% of the period over period revenue increase in this segment. Demand within this segment continues to be driven by increased adoption of digital technologies to align with shifts in consumer preferences as well as growing demand for analytics, supply chain consulting, implementation initiatives, product transformation and omni channel commerce implementation and integration services.

Revenue from our Other segment grew 11.2% or $40.1 million for the three months ended June 30, 2016, as compared to the three months ended June 30, 2015. In the second quarter of 2016, growth within Other was driven by the increased adoption of digital technologies and growing demand for a broader range of services, including business process services. Revenue growth in this segment was strong among our technology customers, where revenue increased by $22.6 million, and our telecommunications customers, where revenue increased by $12.5 million. Revenue from customers added since June 30, 2015 was $19.5 million and represented 48.6% of the period over period revenue increase in this segment.

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Revenue - Geographic Markets. Revenues by geographic market were as follows for the three months ended June 30:

	2016		2015		Increase
					$		%
	(Dollars in millions)
North America	$	2,624.1	$	2,423.9	$	200.2	8.3
United Kingdom	310.7		297.6		13.1		4.4
Rest of Europe	236.5		204.7		31.8		15.5
Europe - Total	547.2		502.3		44.9		8.9
Rest of World	198.6		158.9		39.7		25.0
Total Revenue	$	3,369.9	$	3,085.1	$	284.8	9.2

North America continues to be our largest market, representing 77.9% of total revenue for the second quarter of 2016, and accounting for $200.2 million of the $284.8 million total revenue increase from the second quarter of 2015. Revenue growth in Europe and Rest of World markets was driven by an increase in customer discretionary spending and customer adoption and integration of digital technologies to align with shifts in consumer preferences. In Europe, we experienced revenue growth of 8.9%, after a negative currency impact of 2.9% in the second quarter of 2016. Specifically, within the United Kingdom we experienced revenue growth of 4.4%, after a negative currency impact of 5.4% while revenue from our Rest of Europe customers increased 15.5% with immaterial currency impact. Revenue growth from our United Kingdom and Rest of Europe customers has been and may be negatively affected by the current macroeconomic conditions, including a sustained low interest rate environment, the weakening of the British pound and uncertainty in the markets due to the Brexit Referendum. Revenue from our Rest of World customers grew 25.0%, after a negative currency impact of 3.2% in the second quarter of 2016, and was primarily driven by the India, Singapore and Australia markets. We believe that Europe, the Middle East, the Asia Pacific and Latin America regions will continue to be areas of significant investment for us as we see these regions as long-term growth opportunities.

Cost of Revenues (Exclusive of Depreciation and Amortization Expense). Our cost of revenues consists primarily of salaries, incentive-based compensation, stock-based compensation expense, payroll taxes, employee benefits, immigration and project-related travel for technical personnel, subcontracting and sales commissions related to revenues. Our cost of revenues increased by 10.5% or $192.9 million during the second quarter of 2016 as compared to the second quarter of 2015. The increase was due primarily to an increase in compensation and benefits costs and the loss recognized on the fixed-price customer contract, partially offset by the depreciation of the Indian rupee against the U.S. dollar and realized gains on settlements of cash flow hedges in 2016 as compared to losses in 2015. In June 2016, we amended a fixed-price customer contract in which Cognizant is a subcontractor to a third party for the purpose of delivering healthcare-related implementation services to local government. This arrangement is accounted for using the percentage of completion method of revenue recognition. We revised our estimate of total revenue and total efforts required to complete the contract and as a result, we recognized a net pre-tax loss of $27.4 million during the three months ended June 30, 2016. For the three months ended June 30, 2016, compensation and benefit costs increased by $129.6 million, primarily as a result of the increase in the number of our service delivery personnel.

Selling, General and Administrative Expenses. Selling, general and administrative expenses consist primarily of salaries, incentive-based compensation, stock-based compensation expense, payroll taxes, employee benefits, immigration, travel, marketing, communications, management, finance, administrative and occupancy costs. Selling, general and administrative expenses, including depreciation and amortization, increased by 6.7% or $46.5 million during the second quarter of 2016 as compared to the second quarter of 2015. Selling, general and administrative expenses, including depreciation and amortization, decreased as a percentage of revenue to 22.0% in the second quarter of 2016 as compared to 22.5% in the second quarter of 2015. The decrease as a percentage of revenue was due primarily to economies of scale that allowed us to leverage our cost structure over a larger organization, the favorable impact of the depreciation of the Indian rupee against the U.S. dollar and realized gains on settlements of cash flow hedges in 2016 as compared to losses in 2015.

Income from Operations and Operating Margin - Overall. Income from operations increased8.3% or $45.4 million in the second quarter of 2016 as compared to the second quarter of 2015. Our operating margin decreased slightly to 17.5% during the second quarter of 2016 from 17.7% in the second quarter of 2015, due to increases in certain operating expenses, stock-based compensation expense and the loss of $27.4 million recognized in the second quarter of 2016 on the fixed-price customer contract, partially offset by the impact of the depreciation of the Indian rupee against the U.S. dollar and realized gains on settlements of cash flow hedges in 2016 as compared to losses in 2015. Excluding the impact of applicable designated cash flow hedges, the depreciation of the Indian rupee against the U.S. dollar positively impacted our operating margin by approximately 102 basis points or 1.02 percentage points in the three months ended June 30, 2016. Each additional 1.0%

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change in the exchange rate between the Indian rupee and the U.S. dollar will have the effect of moving our operating margin by approximately 18 basis points or 0.18 percentage points.

We entered into foreign exchange forward contracts to hedge certain Indian rupee denominated payments in India. These hedges are intended to mitigate the volatility of the changes in the exchange rate between the U.S. dollar and the Indian rupee. During the three months ended June 30, 2016, the settlement of our cash flow hedges favorably impacted our operating margin by approximately 9 basis points or 0.09 percentage points as compared to a negative impact of approximately 56 basis points or 0.56 percentage points during the three months ended June 30 2015.

For the three months ended June 30, 2016 and 2015, our non-GAAP operating margins were 20.3%³ and 20.2%³, respectively. As set forth in the “Non-GAAP Financial Measures” section below, our non-GAAP operating margin excludes stock based compensation expense and acquisition-related charges.

Segment Operating Profit. Segment operating profits were as follows for the three months ended June 30:

					Increase (Decrease)
	2016		2015		$			%
	(Dollars in millions)
Financial Services	$	459.3	$	420.1	$	39.2		9.3
Healthcare	270.0		317.5		(47.5		)	(15.0	)
Manufacturing/Retail/Logistics	225.9		201.2		24.7			12.3
Other	134.0		122.9		11.1			9.0
Total segment operating profit	1,089.2		1,061.7		27.5			2.6
Less: unallocated costs	498.3		516.2		(17.9		)	(3.5	)
Income from operations	$	590.9	$	545.5	$	45.4		8.3

In our Financial Services segment, operating profit increased as a percentage of revenues due to revenue growth outpacing headcount growth in 2016 as compared to the 2015 period, and the favorable impact of the depreciation of the Indian rupee versus the U.S. dollar. In our Healthcare segment, operating profits decreased as a percentage of revenue primarily due to the $27.4 million loss on the fixed-price contract with a customer recognized in the second quarter of 2016 and investments to grow our business, partially offset by the favorable impact of the depreciation of the Indian rupee versus the U.S. dollar. In our Manufacturing/Retail/Logistics and Other segments operating profits decreased as a percentage of revenues due to headcount growth outpacing revenue growth, partially offset by the favorable impact of the depreciation of the Indian rupee versus the U.S. dollar.

_______________

3 Non-GAAP operating margin is not a measurement of financial performance prepared in accordance with GAAP. See “Non-GAAP Financial Measures” for more information and a reconciliation to the most directly comparable GAAP financial measure.

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Other Income (Expense), Net. Total other income (expense), net consists primarily of foreign currency exchange gains and (losses), interest income and interest expense. The following table sets forth total other income (expense), net for the three months ended June 30:

	2016			2015			Increase/ Decrease
	(in millions)
Foreign currency exchange (losses)	$	(22.7	)	$	(10.5	)	$	(12.2	)
Gains on foreign exchange forward contracts not designated as hedging instruments	2.5			0.1			2.4
Net foreign currency exchange (losses)	(20.2		)	(10.4		)	(9.8		)
Interest income	27.6			17.6			10.0
Interest expense	(4.6		)	(4.1		)	(0.5		)
Other, net	0.9			0.2			0.7
Total other income (expense), net	$	3.7		$	3.3		$	0.4

The foreign currency exchange losses of $22.7 million were primarily attributed to the remeasurement of the Indian rupee denominated net monetary assets in our U.S. dollar functional currency India subsidiaries as well as the remeasurement of other net monetary assets denominated in currencies other than the functional currencies of our subsidiaries. The $2.5 million of gains on our foreign exchange forward contracts not designated as hedging instruments relate to the realized and unrealized gains and losses on foreign exchange forward contracts entered into primarily to offset foreign currency exposure to the Indian rupee and other non-U.S. dollar denominated net monetary assets. As of June 30, 2016, the notional value of our undesignated hedges was $211.3 million. The increase in interest income of $10.0 million was primarily attributable to an increase in average invested balances in 2016.

Provision for Income Taxes. The provision for income taxes increased to $342.4 million during the three months ended June 30, 2016 from $128.7 million during the three months ended June 30, 2015. The effective income tax rate increased to 57.6% for the three months ended June 30, 2016 from 23.5% for the three months ended June 30, 2015. The increase in our effective income tax rate was primarily attributed to the effect of the incremental income tax expense of $190.0 million related to the India Cash Remittance.

Net Income. Net income decreased to $252.4 million for the three months ended June 30, 2016 from $420.1 million for the three months ended June 30, 2015, representing 7.5% and 13.6% of revenues, respectively. The decrease in net income is primarily due to the incremental income tax expense related to the India Cash Remittance.

Non-GAAP Financial Measures

Portions of our disclosure, including the following table, include non-GAAP income from operations, non-GAAP operating margin, and non-GAAP diluted earnings per share. These non-GAAP financial measures are not based on any comprehensive set of accounting rules or principles and should not be considered a substitute for, or superior to, financial measures calculated in accordance with GAAP, and may be different from non-GAAP measures used by other companies. In addition, these non-GAAP measures should be read in conjunction with our financial statements prepared in accordance with GAAP. The reconciliations of Cognizant’s non-GAAP financial measures to the corresponding GAAP measures should be carefully evaluated.

Our non-GAAP income from operations and non-GAAP operating margin exclude stock-based compensation expense and acquisition-related charges. Our definition ofnon-GAAP diluted earnings per share excludes net non-operating foreign currency exchange gains or losses and, for the three and six months ended June 30, 2016 and for the remainder of 2016, the impact of a one-time incremental income tax expense related to the India Cash Remittance, in addition to excluding stock-based compensation expense and acquisition-related charges. Our non-GAAP diluted earnings per share is additionally adjusted for the income tax impact of the above items, as applicable. The income tax impact of each item is calculated by applying the statutory rate and local tax regulations in the jurisdiction in which the item was incurred.

We seek to manage the Company to a targeted non-GAAP operating margin of 19% to 20% of revenues. We believe providing investors with an operating view consistent with how we manage the Company provides enhanced transparency into the operating results of the Company. For our internal management reporting and budgeting purposes, we use non-GAAP financial information that does not include, as applicable, stock-based compensation expense, acquisition-related charges, net non-operating foreign currency exchange gains or losses, and the impact of a one-time incremental income tax expense related to the India Cash Remittance for financial and operational decision making, to evaluate period-to-period comparisons, to

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determine portions of the compensation for our executive officers and for making comparisons of our operating results to those of our competitors. Therefore, it is our belief that the use of non-GAAP financial measures excluding these costs provides a meaningful measure for investors to evaluate our financial performance. Accordingly, we believe that the presentation of non-GAAP income from operations, non-GAAP operating margin and non-GAAP diluted earnings per share, when read in conjunction with our reported GAAP results, can provide useful supplemental information to our management and investors regarding financial and business trends relating to our financial condition and results of operations.

A limitation of using non-GAAP financial measures versus financial measures calculated in accordance with GAAP is that non-GAAP measures do not reflect all of the amounts associated with our operating results as determined in accordance with GAAP and exclude costs that are recurring, namely stock-based compensation expense, certain acquisition-related charges, and net non-operating foreign currency exchange gains or losses. In addition, other companies may calculate non-GAAP financial measures differently than us, thereby limiting the usefulness of these non-GAAP financial measures as a comparative tool. We compensate for these limitations by providing specific information regarding the GAAP amounts excluded from non-GAAP income from operations, non-GAAP operating margin and non-GAAP diluted earnings per share to allow investors to evaluate such non-GAAP financial measures.

The following table presents a reconciliation of each non-GAAP financial measure to the most comparable GAAP measure for the three months ended June 30:

	2016		% of Revenues	2015		% of Revenues
	(Dollars in millions, except per share amounts)
GAAP income from operations and operating margin	$	590.9	17.5	$	545.5	17.7
Add: Stock-based compensation expense	62.2		1.8	49.4		1.6
Add: Acquisition-related charges (1)	30.3		0.9	28.0		0.9
Non-GAAP income from operations and non-GAAP operating margin	$	683.4	20.3	$	622.9	20.2
GAAP diluted earnings per share	$	0.41		$	0.68
Effect of above operating adjustments, net of tax (2)	0.11			0.09
Effect on non-operating foreign currency exchange losses, net of tax (3)	0.04			0.02
Effect of incremental income tax expense related to the India Cash Remittance (4)	0.31			—
Non-GAAP diluted earnings per share	$	0.87		$	0.79

_____________________

(1) Acquisition-related charges include, when applicable, amortization of purchased intangible assets included in the depreciation and amortization expense line on our condensed consolidated statements of operations, external deal costs, acquisition-related retention bonuses, integration costs, changes in the fair value of contingent consideration liabilities, charges for impairment of acquired intangible assets and other acquisition-related costs.

(2) The non-GAAP income tax benefits related to stock-based compensation expense were $14.8 million and $12.2 million for the three months ended June 30, 2016 and 2015, respectively.

The non-GAAP income tax benefits related to acquisition-related charges were $10.7 million and $10.5 million for the three months ended June 30, 2016 and 2015, respectively.

(3) Non-operating foreign currency exchange gains and losses are inclusive of gains and losses on related foreign exchange forward contracts not designated as hedging instruments for accounting purposes. The non-GAAP pre-tax non-operating foreign currency exchange losses were $20.2 million and $10.4 million for the three months ended June 30, 2016 and 2015, respectively, with related incremental non-GAAP income tax expenses of $0.2 million and $1.3 million, respectively.

(4) In May 2016, our principal operating subsidiary in India repurchased shares from its shareholders, which are non-Indian Cognizant entities, valued at $2.8 billion. As a result of this transaction, we will incur an incremental 2016 income tax expense of $237.5 million, of which $190.0 million was recognized in the quarter ended June 30, 2016 and approximately $23.7 million will be recognized in each of the quarters ending September 30, 2016 and December 31, 2016.

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Six Months EndedJune 30, 2016 Compared to Six Months EndedJune 30, 2015

The following table sets forth, for the periods indicated, certain financial data for the six months ended June 30:

				% of				% of	Increase (Decrease)
	2016			Revenues	2015			Revenues	$			%
	(Dollars in millions, except per share data)
Revenues	$	6,571.9		100.0	$	5,996.5		100.0	$	575.4		9.6
Cost of revenues(1)	3,953.1			60.2	3,572.0			59.6	381.1			10.7
Selling, general and administrative expenses(1)	1,300.1			19.8	1,222.8			20.4	77.3			6.3
Depreciation and amortization expense	173.8			2.6	155.9			2.6	17.9			11.5
Income from operations	1,144.9			17.4	1,045.8			17.4	99.1			9.5
Other income (expense), net	38.8				13.6				25.2			185.3
Income before provision for income taxes	1,183.7			18.0	1,059.4			17.7	124.3			11.7
Provision for income taxes	(490.3		)		(256.4		)		(233.9		)	91.2
Income from equity method investment	0.2				—				0.2
Net income	$	693.6		10.6	$	803.0		13.4	$	(109.4	)	(13.6	)
Diluted earnings per share	$	1.14			$	1.31			$	(0.17	)
Other Financial Information (2)
Non-GAAP income from operations and non-GAAP operating margin	$	1,320.0		20.1	$	1,199.7		20.0	$	120.3		10.0
Non-GAAP diluted earnings per share	$	1.67			$	1.50			$	0.17

_____________________

(1) Exclusive of depreciation and amortization expense.

(2) Non-GAAP income from operations, non-GAAP operating margin and non-GAAP diluted earnings per share are not measurements of financial performance prepared in accordance with GAAP. See “Non-GAAP Financial Measures” for more information and a reconciliation to the most directly comparable GAAP financial measure.

Revenue - Overall. Revenue increased9.6%, or $575.4 million, to $6,571.9 million during the six months ended June 30, 2016 from $5,996.5 million during the six months ended June 30, 2015. The increase in revenue was primarily attributed to services related to integration of digital technologies to align with shifts in consumer preferences, increased customer spending on discretionary projects, continued interest in using our global delivery model as a means to reduce overall IT and operations costs and continued penetration in all our geographic markets. Revenue from customers added since June 30, 2015 was $140.1 million and represented 24.3% of the period over period revenue increase. Demand from our banking customers has been and may continue to be negatively affected by the current macroeconomic conditions affecting the industry, including a sustained low interest rate environment, the weakening of the British pound and uncertainty in the markets due to the Brexit Referendum. These conditions may also impact revenue growth from our customers in other business segments. Additionally, demand from our healthcare customers may continue to be negatively affected by the recent trend towards consolidation within the healthcare industry.

Our consulting and technology services revenues for the six months ended June 30, 2016 increased by approximately 11.0% compared to the six months ended June 30, 2015 and represented approximately 57.6% of total revenues for the six months ended June 30, 2016. Our outsourcing services revenue for the six months ended June 30, 2016 increased by approximately 7.7% and constituted approximately 42.4% of total revenues for the six months ended June 30, 2016.

Revenues from our top five customers as a percentage of total revenues were 10.4% and 11.0% for the six months ended June 30, 2016 and 2015, respectively. Revenues from our top ten customers as a percentage of total revenues were 17.5%, and 18.7% for the six months ended June 30, 2016 and 2015, respectively. As we continue to add new customers and increase our penetration at existing customers, we expect the percentage of revenues from our top five and top ten customers to decline over time.

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Revenue - Reportable Segments. Revenues by reportable business segment were as follows for the six months ended June 30:

	2016		2015		Increase
					$		%
	(Dollars in millions)
Financial Services	$	2,636.9	$	2,411.2	$	225.7	9.4
Healthcare	1,872.9		1,776.4		96.5		5.4
Manufacturing/Retail/Logistics	1,292.9		1,127.2		165.7		14.7
Other	769.2		681.7		87.5		12.8
Total revenue	$	6,571.9	$	5,996.5	$	575.4	9.6

Revenue from our Financial Services segment grew 9.4% or $225.7 million for the six months ended June 30, 2016, as compared to the six months ended June 30, 2015. Our banking and insurance customers contributed $116.0 million and $109.7 million, respectively, to the period-over-period revenue increase. In this segment, revenue from customers added since June 30, 2015 was $31.1 million and represented 13.8% of the period over period revenue increase in this segment. Key areas of focus for our Financial Services customers included the adoption and integration of digital technologies to align with shifts in consumer preferences, cost optimization, regulatory compliance driven initiatives, cyber security and vendor consolidation. We believe demand from certain of our banking customers has been and may continue to be negatively affected by the current macroeconomic conditions affecting the industry, including a sustained low interest rate environment, the weakening of the British pound and uncertainty in the markets due to the Brexit Referendum.

Revenue from our Healthcare segment grew 5.4% or $96.5 million for the six months ended June 30, 2016, as compared to the six months ended June 30, 2015. Growth was stronger among our life sciences customers, where revenue increased by $69.8 million as compared to an increase of $26.7 million for our healthcare customers. Revenue from customers added since June 30, 2015 was $30.2 million and represented 31.3% of the period over period revenue increase in this segment. The increase in revenue from our life sciences customers was driven by increased demand for advanced data analytics and solutions that span multiple service lines while leveraging cloud technologies and platforms. The demand for our services has been and may continue to be affected by the trend towards consolidation within the healthcare industry. We believe that in the long term the healthcare industry continues to present a growth opportunity due to factors that are transforming the industry, including the changing regulatory environment, increasing focus on medical costs, and the consumerization of healthcare.

Revenue from our Manufacturing/Retail/Logistics segment grew 14.7% or $165.7 million for the six months ended June 30, 2016, as compared to the six months ended June 30, 2015. Growth was stronger among our manufacturing and logistics customers, where revenue increased by $124.9 million as compared to an increase of $40.8 million for our retail and hospitality customer. Revenue from customers added since June 30, 2015 was $46.8 million and represented 28.2% of the period over period revenue increase in this segment. Demand within this segment continues to be driven by increased adoption of digital technologies to align with shifts in consumer preferences, as well as growing demand for analytics, supply chain consulting, implementation initiatives, product transformation and omni channel commerce implementation and integration services.

Revenue from our Other segment grew 12.8% or $87.5 million for the six months ended June 30, 2016, as compared to the six months ended June 30, 2015. In the six months ended June 30, 2016, growth within Other was driven by increased adoption of digital technologies, platform engineering for cloud solutions and an expanded range of services, such as business process services. Revenue growth in this segment was strong among our technology customers, where revenue increased by $52.4 million, and our telecommunications customers, where revenue increased by $23.0 million. Revenue from customers added since June 30, 2015 was $32.0 million and represented 36.6% of the period over period revenue increase in this segment.

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Revenue - Geographic Markets. Revenues by geographic market were as follows for the six months ended June 30:

	2016		2015		Increase
					$		%
	(Dollars in millions)
North America	$	5,121.4	$	4,715.9	$	405.5	8.6
United Kingdom	609.5		582.7		26.8		4.6
Rest of Europe	463.1		395.5		67.6		17.1
Europe - Total	1,072.6		978.2		94.4		9.7
Rest of World	377.9		302.4		75.5		25.0
Total Revenue	$	6,571.9	$	5,996.5	$	575.4	9.6

North America continues to be our largest market representing 77.9% of total revenue for the six months ended June 30, 2016 and accounted for $405.5 million of the $575.4 million total revenue increase over the six months ended June 30, 2015. Revenue growth in Europe and Rest of World markets was driven by an increase in customer discretionary spending and customer adoption and integration of digital technologies to align with shifts in consumer preferences. In the six months ended June 30, 2016, revenue from our customers in Europe grew 9.7%, after a negative currency impact of 3.8% compared to the same period in 2015. Specifically, within the United Kingdom, we experienced revenue growth of 4.6%, after a negative currency impact of 5.2% while revenue from our Rest of Europe customers increased 17.1%, after a negative currency impact of 1.7%. Revenue growth from our United Kingdom and Rest of Europe customers has been and may be negatively affected by the current macroeconomic conditions, including a sustained low interest rate environment, the weakening of the British pound and uncertainty in the markets due to the Brexit Referendum. Revenue from our Rest of World customers grew 25.0%, after a negative currency impact of 5.0% in the six months ended June 30, 2016, and was primarily driven by the India, Singapore and Australia markets. We believe that Europe, the Middle East, the Asia Pacific and Latin America regions will continue to be areas of significant investment for us as we see these regions as long-term growth opportunities.

Cost of Revenues (Exclusive of Depreciation and Amortization Expense). Our cost of revenues consists primarily of salaries, incentive-based compensation, stock-based compensation expense, payroll taxes, employee benefits, immigration and project-related travel for technical personnel, subcontracting and sales commissions related to revenues. Our cost of revenues increased by 10.7% or $381.1 million during the six months ended June 30, 2016 as compared to the six months ended June 30, 2015. The increase was due primarily to an increase in compensation and benefits costs (inclusive of the impact of higher incentive-based compensation accrual rates) and the loss recognized on the fixed-price customer contract, partially offset by the decrease in professional services costs, the favorable impact of the depreciation of the Indian rupee against the U.S. dollar and realized gains on settlements of cash flow hedges in 2016 as compared to losses in 2015. In June 2016, we amended a fixed-price customer contract in which Cognizant is a subcontractor to a third party for the purpose of delivering healthcare-related implementation services to local government. This arrangement is accounted for using the percentage of completion method of revenue recognition. We revised our estimate of total revenue and total efforts required to complete the contract and as a result, we recognized a net pre-tax loss of $27.4 million in the second quarter of 2016. For the six months ended June 30, 2016, compensation and benefit costs increased by $331.4 million, primarily as a result of the increase in the number of our service delivery personnel and higher incentive-based compensation costs in 2016 as compared to 2015.

Selling, General and Administrative Expenses. Selling, general and administrative expenses consist primarily of salaries, incentive-based compensation, stock-based compensation expense, payroll taxes, employee benefits, immigration, travel, marketing, communications, management, finance, administrative and occupancy costs. Selling, general and administrative expenses, including depreciation and amortization, increased by 6.9%, or $95.2 million during the six months ended June 30, 2016 as compared to the six months ended June 30, 2015. Selling, general and administrative expenses, including depreciation and amortization, decreased as a percentage of revenue to 22.4% for the six months ended June 30, 2016 as compared to 23.0% for the six months ended June 30, 2015. The decrease as a percentage of revenue was due primarily to economies of scale that allowed us to leverage our cost structure over a larger organization, the favorable impact of the depreciation of the Indian rupee against the U.S. dollar and realized gains on settlements of cash flow hedges in 2016 as compared to losses in 2015.

Income from Operations and Operating Margin - Overall. Income from operations increased9.5% or $99.1 million for the six months ended June 30, 2016 as compared to the same period in 2015. Our operating margin remained flat at 17.4% for the six months ended June 30, 2016 and 2015. Excluding the impact of applicable designated cash flow hedges, the depreciation of the Indian rupee against the U.S. dollar positively impacted our operating margin by approximately 127 basis points or 1.27 percentage points during the six months ended June 30, 2016. Each additional 1.0% change in exchange rate between the Indian rupee and the U.S. dollar will have the effect of moving our operating margin by approximately 18 basis points or 0.18 percentage points.

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We entered into foreign exchange forward contracts to hedge certain Indian rupee denominated payments in India. These hedges are intended to mitigate the volatility of the changes in the exchange rate between the U.S. dollar and the Indian rupee. During the six months ended June 30, 2016, the settlement of cash flow hedges had a minimal effect on our operating margin as compared to a negative impact of approximately 52 basis points or 0.52 percentage points in 2015.

For the six months ended June 30, 2016 and 2015, our non-GAAP operating margins were 20.1%⁴, and 20.0%⁴, respectively. As set forth in the “Non-GAAP Financial Measures” section below, our non-GAAP operating margin excludes stock based compensation expense and acquisition-related charges.

Segment Operating Profit. Segment operating profits were as follows for the six months ended June 30:

					Increase
	2016		2015		$		%
	(Dollars in millions)
Financial Services	$	882.3	$	767.5	$	114.8	15.0
Healthcare	565.2		562.6		2.6		0.5
Manufacturing/Retail/Logistics	445.3		382.5		62.8		16.4
Other	255.6		214.9		40.7		18.9
Total segment operating profit	2,148.4		1,927.5		220.9		11.5
Less: unallocated costs	1,003.5		881.7		121.8		13.8
Income from operations	$	1,144.9	$	1,045.8	$	99.1	9.5

In our Financial Services, Manufacturing/Retail/Logistics and Other segments, operating profit for the six months ended June 30, 2016 increased as a percentage of revenues when compared to 2015 due to revenue growth outpacing headcount growth, decreases in certain operating expenses, such as professional services, and the favorable impact of the depreciation of the Indian rupee versus the U.S. dollar. In our Healthcare segment operating profits decreased as a percentage of revenue due to a loss on a fixed-price contract with a customer recognized in the six months ended June 30, 2016 of $27.4 million andinvestments to grow our business, partially offset by the favorable impact of the depreciation of the India rupee versus the U.S. dollar. The increase in unallocated costs is attributable primarily to higher incentive-based compensation costs in 2016 compared to the 2015 period.

________________

4 Non-GAAP operating margin is not a measurement of financial performance prepared in accordance with GAAP. See “Non-GAAP Financial Measures” for more information and a reconciliation to the most directly comparable GAAP financial measure.

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Other Income (Expense), Net. Total other income (expense), net consists primarily of foreign currency exchange gains and (losses) and interest income. The following table sets forth total other income (expense), net for the six months ended June 30:

	2016			2015			Increase/ Decrease
	(in millions)
Foreign currency exchange (losses)	$	(10.8	)	$	(10.9	)	$	0.1
(Losses) on foreign exchange forward contracts not designated as hedging instruments	(0.3		)	(1.7		)	1.4
Net foreign currency exchange (losses)	(11.1		)	(12.6		)	1.5
Interest income	58.2			35.6			22.6
Interest expense	(9.7		)	(9.1		)	(0.6		)
Other, net	1.4			(0.3		)	1.7
Total other income (expense), net	$	38.8		$	13.6		$	25.2

The foreign currency exchange losses of $10.8 million were primarily attributed to the remeasurement of the Indian rupee denominated net monetary assets in our U.S. dollar functional currency India subsidiaries as well as the remeasurement of other net monetary assets denominated in currencies other than the functional currencies of our subsidiaries. The $0.3 million of losses on our foreign exchange forward contracts not designated as hedging instruments relate to the realized and unrealized gains and losses on foreign exchange forward contracts entered into primarily to offset foreign currency exposure to the Indian rupee and other non-U.S. dollar denominated net monetary assets. As of June 30, 2016, the notional value of our undesignated hedges was $211.3 million. The increase in interest income of $22.6 million was primarily attributable to an increase in average invested balances in 2016.

Provision for Income Taxes. The provision for income taxes increased to $490.3 million during the six months ended June 30, 2016 from $256.4 million during the six months ended June 30, 2015. The effective income tax rate increased to 41.4% for the six months ended June 30, 2016 from 24.2% for the six months ended June 30, 2015. The increase in our effective income tax rate was primarily attributed to the effect of the incremental income tax expense of $190.0 million related to the India Cash Remittance.

Net Income. Net income decreased to $693.6 million for the six months ended June 30, 2016 from $803.0 million for the six months ended June 30, 2015, representing 10.6% and 13.4% of revenues, respectively. The decrease in net income is primarily due to the incremental income tax expense related to the India Cash Remittance.

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Non-GAAP Financial Measures

The following table presents a reconciliation of each non-GAAP financial measure to the most comparable GAAP measure for the six months ended June 30:

	2016		% of Revenues	2015		% of Revenues
	(Dollars in millions, except per share amounts)
GAAP income from operations and operating margin	$	1,144.9	17.4	$	1,045.8	17.4
Add: Stock-based compensation expense	115.7		1.8	95.2		1.6
Add: Acquisition-related charges (1)	59.4		0.9	58.7		1.0
Non-GAAP income from operations and non-GAAP operating margin	$	1,320.0	20.1	$	1,199.7	20.0
GAAP diluted earnings per share	$	1.14		$	1.31
Effect of above operating adjustments, net of tax (2)	0.21			0.17
Effect on non-operating foreign currency exchange losses, net of tax (3)	0.01			0.02
Effect of incremental income tax expense related to the India Cash Remittance (4)	0.31			—
Non-GAAP diluted earnings per share	$	1.67		$	1.50

_____________________

(1) Acquisition-related charges include, when applicable, amortization of purchased intangible assets included in the depreciation and amortization expense line on our condensed consolidated statements of operations, external deal costs, acquisition-related retention bonuses, integration costs, changes in the fair value of contingent consideration liabilities, charges for impairment of acquired intangible assets and other acquisition-related costs.

(2) The non-GAAP income tax benefits related to stock-based compensation expense were $26.7 million and $23.1 million for the six months ended June 30, 2016 and 2015, respectively.

The non-GAAP income tax benefits related to acquisition-related charges were $21.9 million and $22.4 million for the six months ended June 30, 2016 and 2015, respectively.

(3) Non-operating foreign currency exchange gains and losses are inclusive of gains and losses on related foreign exchange forward contracts not designated as hedging instruments for accounting purposes. The non-GAAP pre-tax non-operating foreign currency exchange losses were $11.1 million and $12.6 million for the six months ended June 30, 2016 and 2015, respectively, with related non-GAAP tax benefits of $1.0 million and $0.8 million, respectively.

(4) In May 2016, our principal operating subsidiary in India repurchased shares from its shareholders, which are non-Indian Cognizant entities, valued at $2.8 billion. As a result of this transaction, we will incur an incremental 2016 income tax expense of $237.5 million, of which $190.0 million was recognized in the quarter ended June 30, 2016 and approximately $23.7 million will be recognized in each of the quarters ending September 30, 2016 and December 31, 2016.

Liquidity and Capital Resources

Our cash generated from operations has historically been our primary source of liquidity to fund operations and investments to grow our business. In addition, as of June 30, 2016, we had cash, cash equivalents and short-term investments of $4,481.2 million and additional available capacity under our revolving credit facility of approximately $750.0 million. We have used and plan to continue to use a combination of our cash flow from operations, cash on hand and capacity available under our revolving credit facility for expansion of existing operations, including our offshore development and delivery centers, continued investments in new service lines and digital capabilities, acquisitions of related businesses, formation of joint ventures, stock repurchases and general corporate purposes, including funding working capital requirements.

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The following table provides a summary of our cash flows for the six months ended June 30:

	2016			2015			Increase / Decrease
	(in millions)
Net cash from operating activities	$	428.4		$	645.4		$	(217.0	)
Net cash (used in) investing activities	(260.3		)	(853.5		)	593.2
Net cash (used in) financing activities	(611.1		)	(706.4		)	95.3

Operating activities. The decrease in cash generated from operating activities was primarily attributable to a decrease in net income and higher incentive based compensation payments made in the first half of 2016 as compared to the same period in 2015, partially offset by an increase in non-cash expenses. Trade accounts receivable increased to $2,427.4 million at June 30, 2016 from $2,252.6 million at December 31, 2015. Unbilled accounts receivable increased to $451.1 million at June 30, 2016 from $369.0 million at December 31, 2015. The increase in trade accounts receivable and unbilled receivables as of June 30, 2016 as compared to December 31, 2015 was primarily due to increased revenues.

We monitor turnover, aging and the collection of accounts receivable through the use of management reports that are prepared on a customer basis and evaluated by our finance staff. Our days sales outstanding calculation includes billed and unbilled accounts receivable, net of allowance for doubtful accounts, reduced by the uncollected portion of our deferred revenue. Our days sales outstanding as of June 30, 2016 was 74 days as compared to 70 days as of December 31, 2015 and 72 days as of June 30, 2015.

Investing activities. The decrease in net cash used in investing activities is primarily related to significant net investment purchases in 2015, partially offset by payments for acquisitions and an equity method investment in the 2016 period.

Financing activities. The decrease in cash used in financing activities in the 2016 period is primarily attributable to lower repayments of notes under our revolving credit facility, partially offset by the increase in stock repurchases.

In 2014, we entered into a credit agreement with a commercial bank syndicate providing for a $1,000.0 million unsecured term loan and a $750.0 million revolving credit facility. The term loan was used to pay a portion of the cash consideration in connection with our acquisition of TZ US Parent, Inc., or TriZetto. The revolving credit facility is available for general corporate purposes. The term loan and the revolving credit facility both mature in November 2019. As of June 30, 2016, we had $912.5 million outstanding under the term loan and no outstanding loans under the revolving credit facility.

The credit agreement contains certain negative covenants, including limitations on liens, mergers, consolidations and acquisitions, subsidiary indebtedness and affiliate transactions, as well as certain affirmative covenants. In addition, the credit agreement requires us to maintain a debt to total stockholders' equity ratio not in excess of 0.40 to 1.00. As of June 30, 2016, we are in compliance with our debt covenants and have provided a quarterly certification to our lenders to that effect. We believe that we currently meet all conditions set forth in the credit agreement to borrow thereunder, and we are not aware of any conditions that would prevent us from borrowing part or all of the remaining available capacity under the revolving credit facility as of June 30, 2016 and through the date of this filing.

We intend to continue to use a portion of our available capital resources for stock repurchases during 2016. The number of shares ultimately repurchased under our open-market share purchase program may vary depending on numerous factors, including, without limitation, our stock price and other market conditions, our ongoing capital allocation planning, the levels of cash and debt balances, other demands for cash, such as acquisition activity, general economic and/or business conditions, and board and management discretion. Additionally, as these factors may change over the course of the year, the amount of stock repurchase activity during any particular period cannot be predicted and may fluctuate from time to time. Stock repurchases may be made from time to time through open-market purchases and through the use of Rule 10b5-1 plans and/or by other means. The stock repurchase program may be accelerated, suspended, delayed or discontinued at any time, without notice.

We believe our U.S. cash flows continue to be sufficient to fund our current domestic operations and obligations, including debt service. The amount of funds held in U.S. tax jurisdictions can fluctuate due to the timing of receipts and payments in the ordinary course of business, including debt repayments, and due to other reasons, such as acquisition-related activities. The Company’s U.S. operations historically have generated and are expected to continue to generate substantial cash flows. In circumstances where the Company has additional cash requirements in the United States, we have several additional liquidity options available to meet those requirements. These options may include borrowing additional funds, including borrowings under our committed revolving credit facility, temporarily utilizing intercompany loans with certain foreign subsidiaries on a limited basis and repatriating certain of our foreign earnings. We also believe we have access to the credit and

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equity markets and could borrow additional funds under acceptable terms and conditions or raise additional capital through an equity transaction.

In May 2016, India enacted the Finance Bill 2016 that, among other things, expanded the applicability of India’s buyback distribution tax to certain share buyback transactions occurring after June 1, 2016. In mid-May, prior to the June 1 effective date of the enactment, our principal operating subsidiary in India repurchased shares from its shareholders, which are non-Indian Cognizant entities, valued at $2.8 billion. Pursuant to the transaction, our principal Indian operating subsidiary repurchased approximately $1.2 billion of the total $2.8 billion of shares from its U.S. shareholders, resulting in tax expense in United States and India, while the remaining $1.6 billion was repurchased from its shareholder outside the United States. Net of taxes, the transaction resulted in a remittance of cash to the United States in the amount of $1.0 billion.

Many of our operations are conducted outside the United States and significant portions of our cash, cash equivalents and short-term investments are held internationally. As of June 30, 2016, $3,245.9 million of our cash, cash equivalents and short-term investments were held outside the United States. As part of our ongoing liquidity assessments, we regularly monitor the mix of domestic and international cash flows and cash balances. We utilize certain strategies in an effort to ensure that our worldwide cash is available in the locations in which it is needed. Most of the amounts held outside of the United States could be repatriated to the United States but, under current law, would be subject to income taxes in the United States, less applicable foreign tax credits. Other than amounts affected by the India Cash Remittance and amounts for which we have already accrued U.S. taxes, we intend to indefinitely reinvest these funds outside the United States and our current plans do not demonstrate a need to repatriate these amounts to fund our liquidity needs in the United States. In reaching this conclusion, we considered the one-time nature of the India Cash Remittance, our capital needs in the United States, the available sources of liquidity in the United States and our growth plans outside the United States. However, future events may occur, such as material changes in cash estimates, discretionary transactions, including corporate restructurings, and changes in applicable laws, which may lead us to repatriate foreign earnings. This may result in an additional provision for income taxes, which could materially affect our future effective income tax rate. Due to the various methods by which such earnings could be repatriated in the future, it is not currently practicable to determine the amount of applicable taxes that would result from such repatriation.

We expect our operating cash flow, cash and investment balances, and available capacity under our revolving credit facility to be sufficient to meet our operating requirements for the next twelve months. Our ability to expand and grow our business in accordance with current plans, to make acquisitions and form joint ventures and to meet our long-term capital requirements beyond a twelve month period will depend on many factors, including the rate, if any, at which our cash flow increases, our ability and willingness to accomplish acquisitions and joint ventures with capital stock, our continued intent not to repatriate foreign earnings, and the availability of public and private debt and equity financing. We cannot be certain that additional financing, if required, will be available on terms and conditions acceptable to us, if at all.

Commitments and Contingencies

As of June 30, 2016, we had outstanding fixed capital commitments of approximately $184.0 million related to our India development center expansion program to build new state-of-the-art IT development and delivery centers.

We are involved in various claims and legal actions arising in the ordinary course of business. We accrue a liability when a loss is considered probable and the amount can be reasonably estimated. In the opinion of management, the outcome of any existing claims and legal or regulatory proceedings, if decided adversely, is not expected to have a material adverse effect on our business, financial condition, results of operations and cash flows. Additionally, many of our engagements involve projects that are critical to the operations of our customers’ business and provide benefits that are difficult to quantify. Any failure in a customer’s systems or our failure to meet our contractual obligations to our clients, including any breach involving a customer’s confidential information or sensitive data, or our obligations under applicable laws or regulations could result in a claim for substantial damages against us, regardless of our responsibility for such failure. Although we attempt to contractually limit our liability for damages arising from negligent acts, errors, mistakes, or omissions in rendering our services, there can be no assurance that the limitations of liability set forth in our contracts will be enforceable in all instances or will otherwise protect us from liability for damages. Although we have general liability insurance coverage, including coverage for errors or omissions, there can be no assurance that such coverage will cover all types of claims, continue to be available on reasonable terms or will be available in sufficient amounts to cover one or more large claims, or that the insurer will not disclaim coverage as to any future claim. The successful assertion of one or more large claims against us that exceed or are not covered by our insurance coverage or changes in our insurance policies, including premium increases or the imposition of large deductible or co-insurance requirements, could have a material adverse effect on our business, results of operations, financial condition and cash flows.

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Foreign Currency Risk

Overall, we believe that we have limited revenue risk resulting from movement in foreign currency exchange rates as 77.9% of our revenues for the six months ended June 30, 2016 were generated from customers located in North America. Revenue from our customers in the United Kingdom, Rest of Europe and Rest of World represented 9.3%, 7.0% and 5.8%, respectively, of our 2016 revenues. Accordingly, our operating results outside the United States may be affected by fluctuations in the exchange rates, primarily the British pound and the Euro, as compared to the U.S. dollar. In particular, the Brexit Referendum and its effect on the British pound may subject us to increased volatility in foreign currency exchange rate movements.

A portion of our costs in India, representing approximately 22.0% of our global operating costs for the six months ended June 30, 2016, are denominated in the Indian rupee and are subject to foreign exchange rate fluctuations. These foreign currency exchange rate fluctuations have an impact on our results of operations. In addition, a portion of our balance sheet is exposed to foreign currency exchange rate fluctuations, which may result in non-operating foreign currency exchange gains or losses upon remeasurement. For the six months ended June 30, 2016, we reported foreign currency exchange losses, exclusive of hedging gains or losses, of $10.8 million, which were primarily attributed to the remeasurement of the Indian rupee denominated net monetary assets in our U.S. dollar functional currency India subsidiaries as well as the remeasurement of other net monetary assets denominated in currencies other than the functional currencies of our subsidiaries. On an ongoing basis, we manage a portion of this risk by limiting our net monetary asset exposure to certain currencies, primarily the Indian rupee, in our foreign subsidiaries.

We entered into a series of foreign exchange forward contracts that are designated as cash flow hedges of certain Indian rupee denominated payments in India. Our Indian subsidiaries, collectively referred to as Cognizant India, convert U.S. dollar receipts from intercompany billings to Indian rupees to fund local expenses. These hedges to buy Indian rupees and sell U.S. dollars are intended to partially offset the impact of movement of exchange rates on future operating costs. For the six months ended June 30, 2016, we reported gains of $0.7 million on contracts that settled during this period. As of June 30, 2016, the notional value and weighted average contract rates of these contracts were as follows:

	Notional Value (in millions)		Weighted Average Contract Rate (Indian rupee to U.S. dollar)
2016	$	615.0	69.1
2017	1,050.0		71.5
2018	405.0		74.2
Total	$	2,070.0	71.3

Our foreign subsidiaries are exposed to foreign exchange rate risk for transactions denominated in currencies other than the functional currency of the respective subsidiary. We also use foreign exchange forward contracts to hedge balance sheet exposure to certain monetary assets and liabilities denominated in currencies other than the functional currency of the subsidiary. These contracts are not designated as hedges and are intended to offset the foreign currency exchange gains or losses upon remeasurement of these net monetary assets. We entered into a series of foreign exchange forward contracts scheduled to mature in 2016 and 2017 which are used to hedge our foreign currency denominated net monetary assets. At June 30, 2016, the notional value of the outstanding contracts was $211.3 million and the related fair value was an asset of $2.3 million. During the three and six months ended June 30, 2016, inclusive of $2.5 million of gains and $0.3 million of losses, respectively, on these undesignated balance sheet hedges, we reported net foreign currency exchange losses of $20.2 million and $11.1 million, respectively.

Off-Balance Sheet Arrangements

Other than our foreign exchange forward contracts, there were no off-balance sheet transactions, arrangements or other relationships with unconsolidated entities or other persons in the six months ended June 30, 2016 that have, or are reasonably likely to have, a current or future effect on our financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources.

Critical Accounting Estimates

Management’s discussion and analysis of our financial condition and results of operations is based on our unaudited condensed consolidated financial statements that have been prepared in accordance with accounting principles generally accepted in the United States of America. The preparation of these financial statements requires management to make estimates and assumptions that affect the amounts reported for assets and liabilities, including the recoverability of tangible and intangible assets, disclosure of contingent assets and liabilities as of the date of the financial statements, and the reported

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amounts of revenues and expenses during the reported period. On an on-going basis, we evaluate our estimates. The most significant estimates relate to the recognition of revenue and profits based on the percentage of completion method of accounting for certain fixed-bid contracts, the allowance for doubtful accounts, income taxes, valuation of goodwill and other long-lived assets, valuation of investments and derivative financial instruments, assumptions used in valuing stock-based compensation arrangements, contingencies and litigation. We base our estimates on historical experience and on various other assumptions that are believed to be reasonable under the circumstances, the results of which form the basis for making judgments about the carrying values of assets and liabilities that are not readily apparent from other sources. The actual amounts may differ from the estimates used in the preparation of the accompanying condensed consolidated financial statements. For a discussion of our critical accounting estimates, see “Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations” in our 2015 Annual Report on Form 10-K. Our significant accounting policies are described in Note 1 to the audited consolidated financial statements included in our 2015 Annual Report on Form 10-K. There have been no material changes to the aforementioned critical accounting estimates and policies during the quarter.

Recently Adopted and New Accounting Pronouncements

See Note 1 to our unaudited condensed consolidated financial statements for additional information.

Effects of Inflation

Our most significant costs are the salaries and related benefits for our programming staff and other professionals. In certain regions, competition for professionals with advanced technical skills necessary to perform our services has caused wages to increase at a rate greater than the general rate of inflation. As with other service providers in our industry, we must adequately anticipate wage increases, particularly on our fixed-price contracts. Historically, we have experienced increases in compensation and benefit costs in India; however, this has not had a material impact on our results of operations as we have been able to absorb such cost increases through price increases or cost management strategies such as managing discretionary costs, mix of professional staff and utilization levels and achieving other operating efficiencies. There can be no assurance that we will be able to offset such cost increases in the future.

Forward Looking Statements

The statements contained in this Quarterly Report on Form 10-Q that are not historical facts are forward-looking statements (within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended) that involve risks and uncertainties. Such forward-looking statements may be identified by, among other things, the use of forward-looking terminology such as “believe,” “expect,” “may,” “could,” “would,” “plan,” “intend,” “estimate,” “predict,” “potential,” “continue,” “should” or “anticipate” or the negative thereof or other variations thereon or comparable terminology, or by discussions of strategy that involve risks and uncertainties. From time to time, we or our representatives have made or may make forward-looking statements, orally or in writing.

Such forward-looking statements may be included in various filings made by us with the Securities and Exchange Commission, or press releases or oral statements made by or with the approval of one of our authorized executive officers. These forward-looking statements, such as statements regarding anticipated future revenues or operating margins, contract percentage completions, earnings, capital expenditures, liquidity, plans, objectives and other statements regarding matters that are not historical facts, are based on our current expectations, estimates and projections, management’s beliefs and certain assumptions made by management, many of which, by their nature, are inherently uncertain and beyond our control. Our actual results, performance or achievements could differ materially from the results expressed in, or implied by, these forward-looking statements. There are a number of important factors that could cause our results to differ materially from those indicated by such forward-looking statements, including, but not limited to:

• Competition from other service providers;

• The risk that our operating margin may decline and we may not be able to sustain our current level of profitability;

• The risk of liability or damage to our reputation resulting from security breaches;

• Any possible failure to comply with or adapt to changes in healthcare-related data protection and privacy laws;

• The loss of customers, especially as a few customers account for a large portion of our revenues;

• The risk that we may not be able to keep pace with the rapidly evolving technological environment;

• The rate of growth in the use of technology in business and the type and level of technology spending by our clients;

• Mispricing of our services, especially as an increasing percentage of our revenues are derived from fixed-price contracts;

• The risk that we might not be able to maintain effective internal controls, including as we acquire and integrate other companies;

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• Our inability to successfully acquire or integrate target companies;

• System failure or disruptions in our communications or information technology;

• The risk that we may lose key executives and not be able to enforce non-competition agreements with them;

• Competition for hiring highly-skilled technical personnel;

• Possible failure to provide end-to-end business solutions and deliver complex and large projects for our clients;

• The risk of reputational harm to us;

• Our revenues being highly dependent on clients concentrated in certain industries, including financial services and healthcare, and located primarily in the United States and Europe;

• Risks relating to our global operations, including our operations in India;

• The effects of fluctuations in the Indian rupee and other currency exchange rates;

• The effect of our use of derivative instruments;

• The risk of war, terrorist activities, pandemics and natural disasters;

• The possibility that we may be required, as a result of our indebtedness, or otherwise choose to repatriate foreign earnings or that our foreign earnings or profits may become subject to U.S. taxes;

• The possibility that we may lose certain tax benefits provided to companies in our industry by the Indian government;

• The risk that we may not be able to enforce or protect our intellectual property rights, or that we may infringe upon the intellectual property rights of others;

• Changes in domestic and international regulations and legislation relating to immigration and anti-outsourcing;

• Increased regulation of the financial services and healthcare industries, as well as other industries in which our clients operate;

• The Brexit Referendum and any negative effects on global economic conditions, financial markets and our business; and

• The factors set forth in Part I, in the section entitled “Item 1A. Risk Factors” in our Annual Report on Form 10-K for the year ended December 31, 2015.

You are advised to consult any further disclosures we make on related subjects in the reports we file with the Securities and Exchange Commission, including this report in the section titled “Part I, Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations” and “Part I, Item 1. Business” in our Annual Report on Form 10-K for the year ended December 31, 2015. We undertake no obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws.

Item 3.    Quantitative and Qualitative Disclosures about Market Risk.

We are exposed to foreign currency exchange rate risk in the ordinary course of doing business as we transact or hold a portion of our funds in foreign currencies, particularly the Indian rupee. Additionally, the Brexit Referendum and its effect on the British pound may subject us to increased volatility in foreign currency exchange rate movements. Accordingly, we periodically evaluate the need for hedging strategies, including the use of derivative financial instruments, to mitigate the effect of foreign currency exchange rate fluctuations and expect to continue to use such instruments in the future to reduce foreign currency exposure to appreciation or depreciation in the value of certain foreign currencies. All hedging transactions are authorized and executed pursuant to regularly reviewed policies and procedures.

We have entered into a series of foreign exchange forward contracts that are designated as cash flow hedges of certain Indian rupee denominated payments in India. Cognizant India converts U.S. dollar receipts from intercompany billings to Indian rupees to fund local expenses. These U.S. dollar / Indian rupee hedges are intended to partially offset the impact of movement of exchange rates on future operating costs. As of June 30, 2016, the notional value and weighted average contract rates of these contracts were as follows:

	Notional Value (in millions)		Weighted Average Contract Rate (Indian rupee to U.S. dollar)
2016	$	615.0	69.1
2017	1,050.0		71.5
2018	405.0		74.2
Total	$	2,070.0	71.3

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As of June 30, 2016, the net unrealized loss on our outstanding foreign exchange forward contracts was $0.6 million. Based upon a sensitivity analysis of our foreign exchange forward contracts at June 30, 2016, which estimates the fair value of the contracts based upon market exchange rate fluctuations, a 10.0% change in the foreign currency exchange rate against the U.S. dollar with all other variables held constant would have resulted in a change in the fair value of approximately $196.4 million.

Our foreign subsidiaries are exposed to foreign currency exchange rate risk for transactions denominated in currencies other than the functional currency of the respective subsidiary. We also use foreign exchange forward contracts to hedge balance sheet exposure to certain monetary assets and liabilities denominated in currencies other than the functional currency of the subsidiary. These contracts are not designated as hedges and are intended to offset the foreign currency exchange gains or losses upon remeasurement of these net monetary assets. We entered into a series of foreign exchange forward contracts scheduled to mature in 2016 and 2017 which are used to hedge our foreign currency denominated net monetary assets. At June 30, 2016, the notional value of the outstanding contracts was $211.3 million and the related fair value was an asset of $2.3 million. Based upon a sensitivity analysis of our foreign exchange forward contracts at June 30, 2016, which estimates the fair value of the contracts based upon market exchange rate fluctuations, a 10.0% change in the foreign currency exchange rate against the U.S. dollar with all other variables held constant would have resulted in a change in the fair value of approximately $20.4 million.

In 2014, we entered into a credit agreement providing for a $1,000.0 million unsecured term loan and a $750.0 million unsecured revolving credit facility. The term loan and the revolving credit facility both mature on November 20, 2019. As of June 30, 2016, we had $912.5 million outstanding under the term loan and no outstanding loans under the revolving credit facility. The credit agreement requires interest to be paid at either the base rate or the Eurocurrency rate, plus a margin. The margin over the base rate is 0.00%, and the margin over the Eurocurrency rate ranges from 0.75% to 1.125%, depending on our debt ratings (or, if we have not received debt ratings, from 0.875% to 1.00%, depending on our debt to total stockholders' equity ratio). Thus, our debt exposes us to market risk from changes in interest rates. We performed a sensitivity analysis to determine the effect of interest rate fluctuations on our interest expense. A 10% change in interest rates, with all other variables held constant, would have resulted in a 2.9% change to our reported interest expense for the six months ended June 30, 2016.

In addition, our cash, cash equivalents and short-term investments are subject to market risk from changes in interest rates. As of June 30, 2016, a 10% change in interest rates, with all other variables held constant, would result in a change in the fair market value of our available-for-sale investment securities of approximately $2.4 million.

Information provided by the sensitivity analysis does not necessarily represent the actual changes that would occur under normal market conditions.

We typically invest in highly-rated securities and our policy generally limits the amount of credit exposure to any one issuer. Our investment policy requires investments to be investment grade with the objective of minimizing the potential risk of principal loss. We may sell our investments prior to their stated maturities for strategic purposes, in anticipation of credit deterioration, or for duration management. As of June 30, 2016, our short-term investments totaled $2,796.7 million. Our investment portfolio is comprised primarily of time deposits, mutual funds invested in fixed income securities and U.S. dollar denominated corporate bonds, municipal bonds, certificates of deposit, commercial paper, debt issuances by the U.S. government, U.S. government agencies, foreign governments and supranational entities and asset-backed securities. The asset-backed securities included Government National Mortgage Association (GNMA) mortgage backed securities and securities backed by auto loans, credit card receivables, and other receivables.

Item 4.    Controls and Procedures.

Evaluation of Disclosure Controls and Procedures

Our management, under the supervision and with the participation of our chief executive officer and our chief financial officer, evaluated the design and operating effectiveness of our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Securities Exchange Act of 1934, as amended, or the Exchange Act) as of June 30, 2016. Based on this evaluation, our chief executive officer and our chief financial officer concluded that, as of June 30, 2016, our disclosure controls and procedures were effective to ensure that information required to be disclosed by us in our reports that we file or submit under the Exchange Act is (i) recorded, processed, summarized and reported within the time periods specified in the SEC’s rules and forms and (ii) accumulated and communicated to our chief executive officer and our chief financial officer as appropriate to allow timely decisions regarding required disclosure.

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Changes in Internal Control over Financial Reporting

No changes in our internal control over financial reporting (as defined in Rules 13a-15(f) and 15d-15(f) under the Exchange Act) occurred during the fiscal quarter ended June 30, 2016 that have materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

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PART II. OTHER INFORMATION

Item 1A. Risk Factors

There have been no material changes in our risk factors from those disclosed in Part I, Item 1A, Risk Factors, in our Annual Report on Form 10-K for the fiscal year ended December 31, 2015 filed with the Securities and Exchange Commission on February 25, 2016, except as noted below.

The results of the United Kingdom’s referendum on withdrawal from the European Union may have a negative effect on global economic conditions, financial markets and our business.

In June 2016, a majority of voters in the United Kingdom elected to withdraw from the European Union in a national referendum (the “Brexit Referendum”). The Brexit Referendum was advisory, and the terms of any withdrawal are subject to a negotiation period that could last at least two years after the government of the United Kingdom formally initiates a withdrawal process. Nevertheless, the Brexit Referendum has created political and economic uncertainty about the future relationship between the United Kingdom and the European Union and as to whether any other European countries may similarly seek to exit the European Union. As we have material operations in the United Kingdom and the Rest of Europe and our global operations serve many customers with significant operations in those regions, our financial condition and results of operation may be impacted by such uncertainty.

In the six months ended June 30, 2016, revenue from our customers in the United Kingdom and Rest of Europe represented 9.3% and 7.0%, respectively, of our consolidated revenues. A significant portion of our revenue from customers in the United Kingdom is generated in British pounds. This exposure subjects us to revenue risk with respect to our customers in the United Kingdom as well as to risk resulting from adverse movements in foreign currency exchange rates. In addition, revenue from our Financial Services customers represented 40.1% of our consolidated revenues. Uncertainty regarding future United Kingdom financial laws and regulations, the withdrawal terms of the United Kingdom from the European Union and the future trade terms between the United Kingdom and the European Union could negatively impact the financial services sector, including our clients in such sector, and as a consequence adversely impact our financial condition and results of operations. Further, it is uncertain what impact the withdrawal of the United Kingdom from the European Union will have on general economic conditions in the United Kingdom, the European Union and globally. Any of these factors could have a material adverse effect on our business, financial condition and results of operations.

Item 2.    Unregistered Sales of Equity Securities and Use of Proceeds

Issuer Repurchases of Equity Securities

Through June 2016, our Board of Directors had authorized the repurchase of $2.0 billion of our outstanding shares of Class A common stock, excluding fees and expenses. In August 2016, the Board of Directors increased the Company's stock repurchase authorization under the program to $3.0 billion and extended the term of the program from December 31, 2017 to December 31, 2018. Under the stock repurchase program, the Company is authorized to repurchase its Class A common stock through open market purchases, including under a trading plan adopted pursuant to Rule 10b5-1 of the Securities Exchange Act of 1934, or in private transactions, in accordance with applicable federal securities laws. The timing of repurchases and the exact number of shares to be purchased are determined by the Company’s management, in its discretion, or pursuant to a Rule 10b5-1 trading plan, and will depend upon market conditions and other factors.

45

During the three months ended June 30, 2016, we repurchased $50.0 million of our Class A common stock under our stock repurchase program. These stock repurchases were funded from working capital. As of June 30, 2016, the remaining available balance under the Board authorization was $143.3 million.

Month	Total Number of Shares Purchased	Average Price Paid per Share		Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs	Approximate Dollar Value of Shares that May Yet Be Purchased under the Plans or Programs (in millions)
April 1, 2016 - April 30, 2016	630,852	$	59.65	630,852	$	155.7
May 1, 2016 - May 31, 2016	213,435	57.95		213,435	143.3
June 1, 2016 - June 30, 2016	—	—		—	143.3
Total	844,287	$	59.22	844,287

In addition, during the three months ended June 30, 2016, we purchased additional shares in connection with our stock-based compensation plans, whereby shares of our common stock were tendered by employees for payment of applicable statutory tax withholdings. For the three months ended June 30, 2016, we purchased 453,335 shares at an aggregate cost of $27.7 million in connection with employee tax withholding obligations.

46

Item 6.    Exhibits.

EXHIBIT INDEX

		Incorporated by Reference
Number	Exhibit Description	Form	File No.	Exhibit	Date	Filed or Furnished Herewith
3.1	Restated Certificate of Incorporation	8-K	000-24429	3.2	9/17/2013
3.2	Amended and Restated Bylaws, as adopted on January 28, 2016	8-K	000-24429	3.2	2/1/2016
31.1	Certification of principal executive officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002					Filed
31.2	Certification of principal financial officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002					Filed
32.1	Certification of principal executive officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, 18 U.S.C. 1350					Furnished
32.2	Certification of principal financial officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, 18 U.S.C. 1350					Furnished
101.INS	XBRL Instance Document					Filed
101.SCH	XBRL Taxonomy Extension Schema Document					Filed
101.CAL	XBRL Taxonomy Extension Calculation Linkbase Document					Filed
101.DEF	XBRL Taxonomy Extension Definition Linkbase Document					Filed
101.LAB	XBRL Taxonomy Extension Label Linkbase Document					Filed
101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document					Filed

47

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 by the undersigned thereunto duly authorized.

		Cognizant Technology Solutions Corporation
Date:	August 5, 2016		By:	/s/ Francisco D’Souza
				Francisco D’Souza,
				Chief Executive Officer
				(Principal Executive Officer)

Date:	August 5, 2016	By:	/s/ Karen McLoughlin
			Karen McLoughlin,
			Chief Financial Officer
			(Principal Financial and Accounting Officer)

48

EXHIBIT INDEX

		Incorporated by Reference
Number	Exhibit Description	Form	File No.	Exhibit	Date	Filed or Furnished Herewith
3.1	Restated Certificate of Incorporation	8-K	000-24429	3.2	9/17/2013
3.2	Amended and Restated Bylaws, as adopted on January 28, 2016	8-K	000-24429	3.2	2/1/2016
31.1	Certification of principal executive officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002					Filed
31.2	Certification of principal financial officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002					Filed
32.1	Certification of principal executive officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, 18 U.S.C. 1350					Furnished
32.2	Certification of principal financial officer pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, 18 U.S.C. 1350					Furnished
101.INS	XBRL Instance Document					Filed
101.SCH	XBRL Taxonomy Extension Schema Document					Filed
101.CAL	XBRL Taxonomy Extension Calculation Linkbase Document					Filed
101.DEF	XBRL Taxonomy Extension Definition Linkbase Document					Filed
101.LAB	XBRL Taxonomy Extension Label Linkbase Document					Filed
101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document					Filed

49

EX-31.1

EXHIBIT 31.1

CERTIFICATION

I, Francisco D’Souza, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Cognizant Technology Solutions Corporation;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Dated:	August 5, 2016	/s/ Francisco D’Souza
		Francisco D’Souza,
		Chief Executive Officer (Principal Executive Officer)

EX-31.2

EXHIBIT 31.2

CERTIFICATION

I, Karen McLoughlin, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Cognizant Technology Solutions Corporation;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) Evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and

d) Disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of the registrant’s board of directors (or persons performing the equivalent functions):

a) All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal control over financial reporting.

Dated:	August 5, 2016	/s/ Karen McLoughlin
		Karen McLoughlin
		Chief Financial Officer (Principal Financial and Accounting Officer)

EX-32.1

EXHIBIT 32.1

CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002*

In connection with the Quarterly Report on Form 10-Q of Cognizant Technology Solutions Corporation (the “Company”) for the period ended June 30, 2016 as filed with the Securities and Exchange Commission on the date hereof (the “Report”), the undersigned, Francisco D’Souza, Chief Executive Officer of the Company, hereby certifies, pursuant to 18 U.S.C. Section 1350, that:

(1) The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Dated:	August 5, 2016	/s/    Francisco D’Souza
		Francisco D’Souza,
		Chief Executive Officer (Principal Executive Officer)

___________________

* A signed original of this written statement required by Section 906 has been provided to Cognizant Technology Solutions Corporation and will be retained by Cognizant Technology Solutions Corporation and furnished to the Securities and Exchange Commission or its staff upon request.

EX-32.2

EXHIBIT 32.2

CERTIFICATION PURSUANT TO 18 U.S.C. SECTION 1350,

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002*

In connection with the Quarterly Report on Form 10-Q of Cognizant Technology Solutions Corporation (the “Company”) for the period ended June 30, 2016 as filed with the Securities and Exchange Commission on the date hereof (the “Report”), the undersigned, Karen McLoughlin, Chief Financial Officer of the Company, hereby certifies, pursuant to 18 U.S.C. Section 1350, that:

(1) The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

(2) The information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of the Company.

Dated:	August 5, 2016	/s/    Karen McLoughlin
		Karen McLoughlin
		Chief Financial Officer (Principal Financial and Accounting Officer)

___________________

* A signed original of this written statement required by Section 906 has been provided to Cognizant Technology Solutions Corporation and will be retained by Cognizant Technology Solutions Corporation and furnished to the Securities and Exchange Commission or its staff upon request.

XML

Document And Entity Information - shares	6 Months Ended
	Jun. 30, 2016	Jul. 29, 2016
Document And Entity Information [Abstract]
Document Type	10-Q
Amendment Flag	false
Document Period End Date	Jun. 30, 2016
Document Fiscal Year Focus	2016
Document Fiscal Period Focus	Q2
Trading Symbol	CTSH
Entity Registrant Name	COGNIZANT TECHNOLOGY SOLUTIONS CORP
Entity Central Index Key	0001058290
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Entity Common Stock, Shares Outstanding		606,942,840

XML

Condensed Consolidated Statements Of Financial Position - USD ($) $ in Millions	Jun. 30, 2016	Dec. 31, 2015
Assets
Cash and cash equivalents	$ 1,684.5	$ 2,125.2
Short-term investments	2,796.7	2,824.3
Trade accounts receivable, net of allowances of $48.8 and $39.0, respectively	2,427.4	2,252.6
Unbilled accounts receivable	451.1	369.0
Other current assets	399.2	337.5
Total current assets	7,758.9	7,908.6
Property and equipment, net of accumulated depreciation of $1,191.2 and $1,079.1, respectively	1,287.4	1,271.4
Goodwill	2,457.9	2,404.7
Intangible assets, net	961.4	864.3
Deferred income tax assets, net	328.7	347.8
Equity method investment	59.6	0.0
Other noncurrent assets	286.2	264.2
Total assets	13,140.1	13,061.0
Liabilities and Stockholders' Equity
Accounts payable	164.5	165.3
Deferred revenue	321.7	323.7
Short-term debt	68.8	406.3
Accrued expenses and other current liabilities	1,565.0	1,818.4
Total current liabilities	2,120.0	2,713.7
Deferred revenue, noncurrent	175.6	49.3
Deferred income tax liabilities, net	3.0	3.3
Long-term debt	840.0	876.8
Other noncurrent liabilities	138.6	139.8
Total liabilities	3,277.2	3,782.9
Commitments and contingencies (See Note 10)
Stockholders' Equity:
Preferred stock, $0.10 par value, 15.0 shares authorized, none issued	0.0	0.0
Class A common stock, $0.01 par value, 1,000.0 shares authorized, 607.3 and 609.0 shares issued and outstanding at June 30, 2016 and December 31, 2015, respectively	6.1	6.1
Additional paid-in capital	333.7	453.0
Retained earnings	9,618.8	8,925.2
Accumulated other comprehensive income (loss)	(95.7)	(106.2)
Total stockholders’ equity	9,862.9	9,278.1
Total liabilities and stockholders’ equity	$ 13,140.1	$ 13,061.0

XML

Condensed Consolidated Statements Of Financial Position (Parenthetical) - USD ($) $ in Millions	Jun. 30, 2016	Dec. 31, 2015
Statement of Financial Position [Abstract]
Trade accounts receivable, allowances	$ 48.8	$ 39.0
Property and equipment, accumulated depreciation	$ 1,191.2	$ 1,079.1
Preferred stock, par value (in dollars per share)	$ 0.10	$ 0.10
Preferred stock, shares authorized	15,000,000	15,000,000
Preferred stock, issued	0	0
Class A common stock, par value (in dollars per share)	$ 0.01	$ 0.01
Class A common stock, shares authorized	1,000,000,000	1,000,000,000
Class A common stock, shares issued	607,300,000	609,000,000
Class A common stock, shares outstanding	607,300,000	609,000,000

XML

Condensed Consolidated Statements Of Operations - USD ($) shares in Millions, $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Income Statement [Abstract]
Revenues	$ 3,369.9	$ 3,085.1	$ 6,571.9	$ 5,996.5
Operating expenses:
Cost of revenues (exclusive of depreciation and amortization expense shown separately below)	2,037.7	1,844.8	3,953.1	3,572.0
Selling, general and administrative expenses	653.9	612.0	1,300.1	1,222.8
Depreciation and amortization expense	87.4	82.8	173.8	155.9
Income from operations	590.9	545.5	1,144.9	1,045.8
Other income (expense), net:
Interest income	27.6	17.6	58.2	35.6
Interest expense	(4.6)	(4.1)	(9.7)	(9.1)
Foreign currency exchange gains (losses), net	(20.2)	(10.4)	(11.1)	(12.6)
Other, net	0.9	0.2	1.4	(0.3)
Total other income (expense), net	3.7	3.3	38.8	13.6
Income before provision for income taxes	594.6	548.8	1,183.7	1,059.4
Provision for income taxes	(342.4)	(128.7)	(490.3)	(256.4)
Income from equity method investment	0.2	0.0	0.2	0.0
Net income	$ 252.4	$ 420.1	$ 693.6	$ 803.0
Basic earnings per share (usd per share)	$ 0.42	$ 0.69	$ 1.14	$ 1.32
Diluted earnings per share (usd per share)	$ 0.41	$ 0.68	$ 1.14	$ 1.31
Weighted average number of common shares outstanding - Basic (shares)	606.1	609.9	607.1	609.7
Dilutive effect of shares issuable under stock-based compensation plans (shares)	2.7	4.0	3.2	4.2
Weighted average number of common shares outstanding - Diluted (shares)	608.8	613.9	610.3	613.9

XML

Condensed Consolidated Statements Of Comprehensive Income - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Statement of Comprehensive Income [Abstract]
Net income	$ 252.4	$ 420.1	$ 693.6	$ 803.0
Other comprehensive income (loss), net of tax:
Foreign currency translation adjustments	(28.6)	23.2	(9.1)	(17.6)
Change in unrealized gains and losses on cash flow hedges, net of taxes	(8.3)	6.9	11.4	49.1
Change in unrealized gains and losses on available-for-sale securities, net of taxes	2.8	(1.3)	8.2	1.1
Other comprehensive income (loss)	(34.1)	28.8	10.5	32.6
Comprehensive income	$ 218.3	$ 448.9	$ 704.1	$ 835.6

XML

Condensed Consolidated Statements Of Cash Flows - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015
Cash flows from operating activities:
Net income	$ 693.6	$ 803.0
Adjustments to reconcile net income to net cash provided by operating activities:
Depreciation and amortization	180.6	159.6
Provision for doubtful accounts	4.0	(1.4)
Deferred income taxes	26.1	(36.9)
Stock-based compensation expense	115.7	95.2
Excess tax benefits on stock-based compensation plans	(10.2)	(15.3)
Other	9.9	8.7
Changes in assets and liabilities:
Trade accounts receivable	(187.2)	(185.7)
Other current assets	(119.8)	(20.6)
Other noncurrent assets	(5.6)	(50.3)
Accounts payable	5.9	19.4
Deferred revenues, current and noncurrent	2.3	33.8
Other current and noncurrent liabilities	(286.9)	(164.1)
Net cash provided by operating activities	428.4	645.4
Cash flows from investing activities:
Purchases of property and equipment	(138.6)	(133.6)
Purchases of investments	(2,932.9)	(1,565.8)
Proceeds from maturity or sale of investments	2,962.5	845.9
Payments for business combinations, net of cash acquired and equity method investment	(151.3)
Payments for business combinations, net of cash acquired and equity method investment		0.0
Net cash (used in) investing activities	(260.3)	(853.5)
Cash flows from financing activities:
Issuance of common stock under stock-based compensation plans	90.3	68.5
Excess tax benefits on stock-based compensation plans	10.2	15.3
Repurchases of common stock	(335.1)	(214.0)
Repayment of term loan borrowings and capital lease obligations	(26.5)	(26.2)
Net change in notes outstanding under the revolving credit facility	(350.0)	(550.0)
Net cash (used in) financing activities	(611.1)	(706.4)
Effect of exchange rate changes on cash and cash equivalents	2.3	(6.3)
(Decrease) in cash and cash equivalents	(440.7)	(920.8)
Cash and cash equivalents, beginning of year	2,125.2	2,010.1
Cash and cash equivalents, end of period	$ 1,684.5	$ 1,089.3

XML

Interim Condensed Consolidated Financial Statements

6 Months Ended

Jun. 30, 2016

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Interim Condensed Consolidated Financial Statements

Interim Condensed Consolidated Financial Statements

The terms “Cognizant,” “we,” “our,” “us” and “the Company” refer to Cognizant Technology Solutions Corporation unless the context indicates otherwise. We have prepared the accompanying unaudited condensed consolidated financial statements included herein in accordance with generally accepted accounting principles in the United States of America, or U.S. GAAP, and Article 10 of Regulation S-X under the Securities Exchange Act of 1934, as amended. The accompanying unaudited condensed consolidated financial statements should be read in conjunction with our audited consolidated financial statements (and notes thereto) included in our Annual Report on Form 10-K for the year ended December 31, 2015. In our opinion, all adjustments considered necessary for a fair presentation of the accompanying unaudited condensed consolidated financial statements have been included, and all adjustments are of a normal and recurring nature. Operating results for the interim periods are not necessarily indicative of results that may be expected to occur for the entire year.

During the six months ended June 30, 2016, we repurchased 5.1 million shares of our Class A common stock for $294.6 million under our existing stock repurchase program approved by our Board of Directors. As of June 30, 2016, the remaining available balance under the Board authorization was $143.3 million. Additional stock repurchases were made in connection with our stock-based compensation plans, whereby Company shares were tendered by employees for payment of applicable statutory tax withholdings. During the six months ended June 30, 2016, such repurchases totaled 0.7 million shares at an aggregate cost of $40.5 million.

In August 2016, the Company announced that its Board of Directors approved an expansion of its stock repurchase program. The Board of Directors increased the Company's stock repurchase authorization under the program from $2.0 billion to $3.0 billion and extended the term of the stock repurchase program from December 31, 2017 to December 31, 2018.

Recently Adopted Accounting Pronouncements.

In April 2015, the Financial Accounting Standards Board, or FASB, issued an update related to the presentation of debt issuance costs. The updated standard requires debt issuance costs, other than costs incurred to secure lines of credit, be presented in the balance sheet as a direct deduction from the carrying value of that debt liability. The recognition and measurement guidance for debt issuance costs are not affected by this update. The guidance is effective on a retrospective basis for fiscal years, and interim periods within those years, beginning on or after January 1, 2016. Thus, we have adopted this guidance as of January 1, 2016. We conformed prior period's presentation to current period's presentation on our consolidated statement of financial position. The adoption of this standard impacted financial statement presentation only and had no effect on our financial condition or results of operations.

In April 2015, the FASB issued an update to the standard on internal-use software providing guidance to customers in evaluating whether a cloud computing arrangement includes a software license. If a cloud computing arrangement includes a software license, the updated standard requires the customer to account for the software license element of the arrangement consistent with the acquisition of other software licenses. If a cloud computing arrangement does not include a software license, the customer is required to account for the arrangement as a service contract. The update is effective for fiscal years, and interim periods within those years, beginning on or after January 1, 2016. A company can elect to adopt the update either prospectively to all arrangements entered into or materially modified after the effective date or retrospectively. We have adopted this update prospectively beginning January 1, 2016. The adoption of this update had no material effect on our financial condition or results of operations.

New Accounting Pronouncements.

In May 2014, the FASB issued a standard on revenue from contracts with customers. In 2016, the FASB issued four amendments to the new standard. The new standard, as amended, sets forth a single comprehensive model for recognizing and reporting revenue. The standard also requires additional financial statement disclosures that will enable users to understand the nature, amount, timing and uncertainty of revenue and cash flows relating to customer contracts. The standard is effective for fiscal years, and interim periods within those years, beginning on or after January 1, 2018. Early adoption is permitted but not before periods beginning on or after January 1, 2017. The standard allows for two methods of adoption: the full retrospective adoption, which requires the standard to be applied to each prior period presented, or the modified retrospective adoption, which requires the cumulative effect of adoption to be recognized as an adjustment to opening retained earnings in the period of adoption. We are currently evaluating the effect the new standard will have on our consolidated financial statements and related disclosures.

In January 2016, the FASB issued an update to the standard on financial instruments. The update significantly revises an entity’s accounting related to (1) the classification and measurement of investments in equity securities and (2) the presentation of certain fair value changes for financial liabilities measured at fair value. It also amends certain disclosure requirements.  The update is effective for fiscal years, and interim periods within those fiscal years, beginning on or after January 1, 2018. Upon adoption, entities will be required to make a cumulative-effect adjustment to the statement of financial position as of the beginning of the first reporting period in which the guidance is effective. However, the specific guidance on equity securities without readily determinable fair value will apply prospectively to all equity investments that exist as of the date of adoption.  Early adoption of certain sections of this update is permitted. We are currently evaluating the effect the update will have on our consolidated financial statements and related disclosures.

In February 2016, the FASB issued a standard on lease accounting. The new standard replaces the existing guidance on leases and requires the lessee to recognize a right-of-use asset and a lease liability for all leases with lease terms equal to or greater than twelve months. For finance leases, the lessee would recognize interest expense and amortization of the right-of-use asset, and for operating leases, the lessee would recognize total lease expense on a straight-line basis. This standard is effective for fiscal years, and interim periods within those fiscal years, beginning on or after January 1, 2019. Upon adoption, entities will be required to use a modified retrospective transition which provides for certain practical expedients. Entities are required to apply the new standard at the beginning of the earliest comparative period presented. Early adoption of this new standard is permitted. We are currently evaluating the effect the new standard will have on our consolidated financial statements and related disclosures.

In March 2016, the FASB issued an update to the standard on derivatives and hedging, which clarifies the effect of derivative contract novations on existing hedge accounting relationships. As it relates to derivative instruments, novation refers to replacing one of the parties to a derivative instrument with a new party, which may occur for a variety of reasons such as: financial institution mergers, intercompany transactions, an entity exiting a particular derivatives business or relationship, or because of laws or regulatory requirements. The update clarifies that a change in the counterparty to a derivative instrument that has been designated as the hedging instrument does not, in and of itself, require dedesignation of that hedge accounting relationship provided that all other hedge accounting criteria continue to be met. The update is effective for fiscal years, and interim periods within those fiscal years, beginning on or after January 1, 2017. Upon adoption, entities can choose to apply the update on either a prospective basis or a modified retrospective basis. Early adoption of this update is permitted. We are currently evaluating the effect the update will have on our consolidated financial statements and related disclosures.

In March 2016, the FASB issued an update to the standard on stock compensation, which simplifies several aspects of the accounting for employee share-based payment transactions including the accounting for excess tax benefits and deficiencies, forfeitures, and statutory tax withholding requirements, as well as classification in the statement of cash flows. The update is effective for fiscal years, and interim periods within those fiscal years, beginning on or after January 1, 2017. Upon adoption, entities will be required to apply a modified retrospective, prospective or retrospective transition method depending on the specific section of the guidance being adopted. Early adoption of this update is permitted. We are currently evaluating the effect the update will have on our consolidated financial statements and related disclosures. However, we expect the requirements to recognize excess tax benefits and deficiencies on stock awards in the income tax provision and to present the excess tax benefits and deficiencies in operating activities in the statement of cash flows to be the primary effects of this standard on our consolidated financial statements.

In June 2016, the FASB issued an update to the standard on financial instruments, which amends the guidance on the impairment of financial instruments. The update changes the methodology for measuring credit losses on financial instruments and the timing of when such losses are recorded by introducing an approach based on expected losses. The estimate of expected credit losses will require entities to incorporate considerations of historical information, current information and reasonable and supportable forecasts. The update is effective for fiscal years, and interim periods within those fiscal years, beginning on or after January 1, 2021. Early adoption is permitted beginning on or after January 1, 2020. Upon adoption, entities will be required to use a modified retrospective transition approach. We are currently evaluating the impact of the new guidance on our consolidated financial statements.

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Business Combinations

6 Months Ended

Jun. 30, 2016

Business Combinations [Abstract]

Business Combinations

Business Combinations and Equity Method Investment

Business Combinations

During the six months ended June 30, 2016, we completed three business combinations for total initial consideration of approximately $91.8 million (net of cash acquired). One of these transactions was an acquisition of a global consulting and technology services company that strengthens and expands our digital capabilities to deliver cloud-based IT infrastructure services. The second transaction included an acquisition of a delivery center in Lithuania to enhance our delivery capabilities in Europe and a multi-year service agreement. The third transaction was an acquisition of tangible property, an assembled workforce and a multi-year service agreement, which qualifies as a business combination under authoritative accounting guidance.

These acquisitions were included in our unaudited condensed consolidated financial statements as of the date on which the businesses were acquired and were not material to our operations, financial position or cash flow. We have preliminarily allocated the purchase price related to these transactions to tangible and intangible assets and liabilities, including non-deductible goodwill, based on their fair values. Specifically-identified intangible assets and goodwill acquired were as follows:

	Fair Value	Weighted Average Useful Life
	(in millions)
Non-deductible goodwill	51.9
Customer relationship intangible assets	150.3	7.1 years
Other intangible assets	0.2	1 year

The primary items that generated the aforementioned goodwill are the value of the acquired assembled workforces and synergies between the acquired companies and us, neither of which qualify as an amortizable intangible asset.

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Business Combinations Equity Method Investment (Notes)

6 Months Ended

Jun. 30, 2016

Equity Method Investments and Joint Ventures [Abstract]

Equity Method Investments and Joint Ventures Disclosure [Text Block]

Equity Method Investment

In April 2016, we acquired a 49% ownership interest in a strategic consulting firm specializing in the use of human sciences to help business leaders better understand customer behavior for a purchase price of $59.1 million. We have accounted for this investment as an equity method investment within our consolidated financial statements. In addition, we have the option to buy from the investee ("Call Option") and the investee has the option to sell to us ("Written Put Option") the remaining 51% of the investee at pre-determined purchase prices and contingent on certain performance conditions being satisfied. The Call Option, which has been recorded at cost, and our 49% ownership interest are included within "Equity method investment" in our consolidated statements of financial position. As of June 30, 2016, the Written Put Option was a liability of $1.3 million. If we acquire the remaining 51% of the investee and the investee meets certain performance conditions, we would be obligated to make incremental payments up to a maximum of $100.0 million, in addition to the purchase price for the remaining 51%.

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Short-term Investments

6 Months Ended

Jun. 30, 2016

Investments [Abstract]

Short-term Investments

Short-term Investments

Our short-term investments were as follows:

	June 30, 2016		December 31, 2015
	(in millions)
Available-for-sale investment securities:
U.S. Treasury and agency debt securities	$	639.4	$	527.1
Corporate and other debt securities	396.8		360.5
Certificates of deposit and commercial paper	684.8		754.0
Asset-backed securities	168.2		229.6
Municipal debt securities	121.8		121.3
Mutual funds	23.0		22.3
Total available-for-sale investment securities	2,034.0		2,014.8
Time deposits	762.7		809.5
Total short-term investments	$	2,796.7	$	2,824.3

Our available-for-sale investment securities consist of U.S. dollar denominated investments primarily in U.S. Treasury notes, U.S. government agency debt securities, municipal debt securities, non-U.S. government debt securities, U.S. and international corporate bonds, certificates of deposit, commercial paper, debt securities issued by supranational institutions, mutual funds invested in fixed income securities, and asset-backed securities, including Government National Mortgage Association (GNMA) mortgage backed securities and securities backed by auto loans, credit card receivables, and other receivables. Our investment guidelines are to purchase securities which are investment grade at the time of acquisition. We monitor the credit ratings of the securities in our portfolio on an ongoing basis.

Available-for-Sale Investment Securities

The amortized cost, gross unrealized gains and losses and fair value of available-for-sale investment securities at June 30, 2016 were as follows:

	Amortized Cost		Unrealized Gains		Unrealized Losses			Fair Value
	(in millions)
U.S. Treasury and agency debt securities	$	636.7	$	2.7	$	—		$	639.4
Corporate and other debt securities	394.9		2.0		(0.1		)	396.8
Certificates of deposit and commercial paper	685.0		0.4		(0.6		)	684.8
Asset-backed securities	167.5		0.7		—			168.2
Municipal debt securities	121.2		0.6		—			121.8
Mutual funds	26.0		—		(3.0		)	23.0
Total available-for-sale investment securities	$	2,031.3	$	6.4	$	(3.7	)	$	2,034.0

The amortized cost, gross unrealized gains and losses and fair value of available-for-sale investment securities at December 31, 2015 were as follows:

	Amortized Cost		Unrealized Gains		Unrealized Losses			Fair Value
	(in millions)
U.S. Treasury and agency debt securities	$	528.9	$	—	$	(1.8	)	$	527.1
Corporate and other debt securities	361.9		0.1		(1.5		)	360.5
Certificates of deposit and commercial paper	754.0		0.1		(0.1		)	754.0
Asset-backed securities	230.3		0.1		(0.8		)	229.6
Municipal debt securities	121.2		0.2		(0.1		)	121.3
Mutual funds	25.3		0.1		(3.1		)	22.3
Total available-for-sale investment securities	$	2,021.6	$	0.6	$	(7.4	)	$	2,014.8

The fair value and related unrealized losses of available-for-sale investment securities in a continuous unrealized loss position for less than 12 months and for 12 months or longer were as follows as of June 30, 2016:

	Less than 12 Months					12 Months or More					Total
	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
	(in millions)
U.S. Treasury and agency debt securities	$	44.5	$	—		$	—	$	—		$	44.5	$	—
Corporate and other debt securities	71.5		(0.1		)	0.9		—			72.4		(0.1		)
Certificates of deposit and commercial paper	155.5		(0.6		)	—		—			155.5		(0.6		)
Asset-backed securities	15.1		—			0.8		—			15.9		—
Municipal debt securities	9.1		—			0.6		—			9.7		—
Mutual funds	1.3		—			21.7		(3.0		)	23.0		(3.0		)
Total	$	297.0	$	(0.7	)	$	24.0	$	(3.0	)	$	321.0	$	(3.7	)

The fair value and related unrealized losses of available-for-sale investment securities in a continuous unrealized loss position for less than 12 months and for 12 months or longer were as follows as of December 31, 2015:

	Less than 12 Months					12 Months or More					Total
	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
	(in millions)
U.S. Treasury and agency debt securities	$	475.7	$	(1.8	)	$	—	$	—		$	475.7	$	(1.8	)
Corporate and other debt securities	315.1		(1.5		)	3.1		—			318.2		(1.5		)
Certificates of deposit and commercial paper	271.5		(0.1		)	—		—			271.5		(0.1		)
Asset-backed securities	199.4		(0.7		)	11.4		(0.1		)	210.8		(0.8		)
Municipal debt securities	56.5		(0.1		)	—		—			56.5		(0.1		)
Mutual funds	—		—			21.1		(3.1		)	21.1		(3.1		)
Total	$	1,318.2	$	(4.2	)	$	35.6	$	(3.2	)	$	1,353.8	$	(7.4	)

The unrealized losses for the above securities as of June 30, 2016 and December 31, 2015 are primarily attributable to changes in interest rates. At each reporting date, the Company performs an evaluation of impaired available-for-sale securities to determine if the unrealized losses are other-than-temporary. Based on this evaluation as of June 30, 2016, the Company identified an investment in a mutual fund with a fair value of $21.7 million to be other-than-temporarily impaired based on management's intent to sell the investment and accordingly, recognized an impairment loss of $3.0 million in our consolidated statements of operations in the caption "Other, net." As of June 30, 2016, other than the impaired mutual fund investment, we do not consider any of the investments to be other-than-temporarily impaired. The gross unrealized gains and losses in the above tables were recorded, net of tax, in accumulated other comprehensive income (loss), except for the loss on the other-than-temporarily impaired security.

The contractual maturities of our fixed income available-for-sale investment securities as of June 30, 2016 are set forth in the following table:

	Amortized Cost		Fair Value
	(in millions)
Due within one year	$	877.5	$	877.6
Due after one year up to two years	527.5		529.3
Due after two years up to three years	334.0		336.2
Due after three years up to four years	98.8		99.7
Asset-backed securities	167.5		168.2
Fixed income available-for-sale investment securities	$	2,005.3	$	2,011.0

Asset-backed securities were excluded from the maturity categories because the actual maturities may differ from the contractual maturities since the underlying receivables may be prepaid without penalties. Further, actual maturities of debt securities may differ from those presented above since certain obligations provide the issuer the right to call or prepay the obligation prior to scheduled maturity without penalty.

Proceeds from sales of available-for-sale investment securities and the gross gains and losses that have been included in earnings as a result of those sales were as follows:

	Three Months Ended   June 30,					Six Months Ended   June 30,
	2016			2015		2016			2015
	(in millions)
Proceeds from sales of available-for-sale investment securities	$	1,816.6		$	246.3	$	2,378.2		$	428.1
Gross gains	$	4.2		$	0.5	$	4.5		$	0.9
Gross losses	(0.1		)	—		(0.4		)	(0.1		)
Net realized gains on sales of available-for-sale investment securities	$	4.1		$	0.5	$	4.1		$	0.8

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Accrued Expenses And Other Current Liabilities

6 Months Ended

Jun. 30, 2016

Payables and Accruals [Abstract]

Accrued Expenses And Other Current Liabilities

Accrued Expenses and Other Current Liabilities

Accrued expenses and other current liabilities were as follows:

	June 30, 2016		December 31, 2015
	(in millions)
Compensation and benefits	$	955.2	$	1,272.0
Income taxes	34.6		17.1
Professional fees	74.3		69.6
Travel and entertainment	32.5		29.8
Customer volume incentives	222.4		236.1
Derivative financial instruments	6.2		10.9
Other	239.8		182.9
Total accrued expenses and other current liabilities	$	1,565.0	$	1,818.4

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Debt

6 Months Ended

Jun. 30, 2016

Debt Disclosure [Abstract]

Debt

Debt

In 2014, we entered into a credit agreement with a commercial bank syndicate providing for a $1,000.0 million unsecured term loan and a $750.0 million unsecured revolving credit facility. The term loan was used to pay a portion of the cash consideration in connection with the 2014 acquisition of TZ US Parent, Inc., or TriZetto. The revolving credit facility is available for general corporate purposes. The term loan and the revolving credit facility both mature in November 2019. All notes drawn to date under the revolving credit facility have been less than 90 days in duration. We are required under the credit agreement to make scheduled quarterly principal payments on the term loan.

Short-term Debt

The following summarizes our short-term debt balances as of:

	June 30, 2016		December 31, 2015
	(in millions)
Notes outstanding under revolving credit facility	$	—	$	350.0
Term loan - current maturities	68.8		56.3
Total short-term debt	$	68.8	$	406.3

Long-term Debt

The following summarizes our long-term debt balances as of:

	June 30, 2016			December 31, 2015
	(in millions)
Term loan, due 2019	$	912.5		$	937.5
Less:
Current maturities	(68.8		)	(56.3		)
Deferred financing costs	(3.7		)	(4.4		)
Long-term debt, net	$	840.0		$	876.8

In accordance with the recently adopted FASB update, we have presented debt issuance costs in the balance sheet as a direct deduction from the carrying value of that debt liability. As this guidance is effective on a retrospective basis, we conformed prior period's presentation to current period's presentation on our consolidated statement of financial position.

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Income Taxes

6 Months Ended

Jun. 30, 2016

Income Tax Disclosure [Abstract]

Income Taxes

Income Taxes

Our Indian subsidiaries, collectively referred to as Cognizant India, are primarily export-oriented and are eligible for certain income tax holiday benefits granted by the government of India for export activities conducted within Special Economic Zones, or SEZs, for periods of up to 15 years. Our Indian profits ineligible for SEZ benefits are subject to corporate income tax at the rate of 34.6%. In addition, all Indian profits, including those generated within SEZs, are subject to the Minimum Alternative Tax, or MAT, at the rate of 21.3%. Any MAT paid is creditable against future Indian corporate income tax, subject to limitations.

In May 2016, India enacted the Finance Bill 2016 that, among other things, expanded the applicability of India’s buyback distribution tax to certain share buyback transactions occurring after June 1, 2016. In mid-May, prior to the June 1 effective date of the enactment, our principal operating subsidiary in India repurchased shares from its shareholders, which are non-Indian Cognizant entities, valued at $2.8 billion ("India Cash Remittance"). This transaction was undertaken pursuant to a plan approved by the High Court of Madras and simplified the shareholding structure of our principal operating subsidiary in India. Pursuant to the transaction, our principal Indian operating subsidiary repurchased approximately $1.2 billion of the total $2.8 billion of shares from its U.S. shareholders, resulting in tax expense in the United States and India, while the remaining $1.6 billion was repurchased from its shareholder outside the United States. Net of taxes, the transaction resulted in a remittance of cash to the United States in the amount of $1.0 billion. As a result of this transaction, we will incur an incremental 2016 income tax expense of $237.5 million, including a discrete item recognized in the second quarter of 2016 of $142.6 million relating to the distribution of historic undistributed accumulated foreign earnings. The remaining portion represents the tax on the distribution of current year earnings. Total incremental tax expense of $190.0 million was recognized in the quarter ended June 30, 2016 and approximately $23.7 million will be recognized in each of the quarters ending September 30, 2016 and December 31, 2016. This transaction is primarily responsible for the increase in our effective income tax rate in 2016 compared to 2015.

The India Cash Remittance did not impact our assertion that our foreign earnings are permanently reinvested outside the United States. In reaching this conclusion, we considered the one-time nature of the India Cash Remittance, our capital needs in the United States, the available sources of liquidity in the United States and our growth plans outside the United States. Thus, other than amounts affected by the India Cash Remittance and amounts for which we have already accrued U.S. taxes, our foreign earnings are deemed to be permanently reinvested outside the United States and we have not provided for U.S. federal income taxes on such earnings.

Our effective income tax rates were as follows:

	Three Months Ended   June 30,				Six Months Ended   June 30,
	2016		2015		2016		2015
Effective income tax rate	57.6	%	23.5	%	41.4	%	24.2	%

For the 2016 periods, the principal reason for the difference between our effective income tax rates and the U.S. federal statutory rate is the effect of the India Cash Remittance transaction described above, partially offset by the effect of the Indian tax holiday and earnings taxed in countries that have lower rates than the United States. For the 2015 periods, the principal reason for the difference between our effective income tax rates and the U.S. federal statutory rate is the effect of the Indian tax holiday and earnings taxed in countries that have lower rates than the United States.

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Derivative Financial Instruments

6 Months Ended

Jun. 30, 2016

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Financial Instruments

Derivative Financial Instruments

In the normal course of business, we use foreign exchange forward contracts to manage foreign currency exchange rate risk. The estimated fair value of the foreign exchange forward contracts considers the following items: discount rate, timing and amount of cash flow and counterparty credit risk. Derivatives may give rise to credit risks from the possible non-performance by counterparties. Credit risk is generally limited to the fair value of those contracts that are favorable to us. We have limited our credit risk by entering into derivative transactions only with highly-rated financial institutions, limiting the amount of credit exposure with any one financial institution and conducting an ongoing evaluation of the creditworthiness of the financial institutions with which we do business. In addition, all the assets and liabilities related to our foreign exchange forward contracts set forth in the below table are subject to International Swaps and Derivatives Association, or ISDA, master netting arrangements or other similar agreements with each individual counterparty. These master netting arrangements generally provide for net settlement of all outstanding contracts with the counterparty in the case of an event of default or a termination event. We have presented all the assets and liabilities related to our foreign exchange forward contracts on a gross basis, with no offsets, in our accompanying unaudited condensed consolidated statements of financial position. There is no financial collateral (including cash collateral) posted or received by us related to our foreign exchange forward contracts.

The following table provides information on the location and fair values of derivative financial instruments included in our unaudited condensed consolidated statement of financial position as of:

		June 30, 2016				December 31, 2015
Designation of Derivatives	Location on Statement of Financial Position	Assets		Liabilities		Assets		Liabilities
		(in millions)
Foreign exchange forward contracts – Designated as cash flow hedging instruments	Other current assets	$	10.9	$	—	$	7.2	$	—
	Other noncurrent assets	2.9		—		1.6		—
	Accrued expenses and other current liabilities	—		6.2		—		9.7
	Other noncurrent liabilities	—		8.2		—		13.5
	Total	13.8		14.4		8.8		23.2
Foreign exchange forward contracts – Not designated as hedging instruments	Other current assets	2.3		—		0.4		—
	Accrued expenses and other current liabilities	—		—		—		1.2
	Total	2.3		—		0.4		1.2
Total		$	16.1	$	14.4	$	9.2	$	24.4

Cash Flow Hedges

We have entered into a series of foreign exchange forward contracts that are designated as cash flow hedges of Indian rupee denominated payments in India. These contracts are intended to partially offset the impact of movement of exchange rates on future operating costs and are scheduled to mature each month during 2016, 2017, and 2018. Under these contracts, we purchase Indian rupees and sell U.S. dollars. The changes in fair value of these contracts are initially reported in the caption “Accumulated other comprehensive income (loss)” in our consolidated statements of financial position and are subsequently reclassified to earnings in the same period the hedge contract matures. As of June 30, 2016, we estimate that $3.6 million, net of tax, of net gains related to derivatives designated as cash flow hedges recorded in accumulated other comprehensive income (loss) is expected to be reclassified into earnings within the next 12 months.

The notional value of our outstanding contracts by year of maturity and the net unrealized gains (losses) included in accumulated other comprehensive income (loss) for such contracts were as follows as of:

	June 30, 2016			December 31, 2015
	(in millions)
2016	$	615.0		$	1,215.0
2017	1,050.0			900.0
2018	405.0			330.0
Total notional value of contracts outstanding	$	2,070.0		$	2,445.0
Net unrealized (losses) included in accumulated other comprehensive income (loss), net of taxes	$	(0.3	)	$	(11.7	)

Upon settlement or maturity of the cash flow hedge contracts, we record the related gains or losses, based on our designation at the commencement of the contract, with the hedged Indian rupee denominated expense reported within cost of revenues and selling, general and administrative expenses. Hedge ineffectiveness was immaterial for all periods presented.

The following table provides information on the location and amounts of pre-tax gains (losses) on our cash flow hedges for the three months ended June 30:

	Change in Derivative Gains/Losses Recognized in Accumulated Other Comprehensive Income (Loss) (effective portion)						Location of Net Derivative Gains (Losses) Reclassified from Accumulated Other Comprehensive Income (Loss) into Income (effective portion)	Net Gain (Loss) Reclassified from Accumulated Other Comprehensive Income (Loss) into Income (effective portion)
	2016			2015				2016		2015
	(in millions)
Foreign exchange forward contracts – Designated as cash flow hedging instruments	$	(7.5	)	$	(9.0	)	Cost of revenues	$	2.7	$	(14.1	)
							Selling, general and administrative expenses	0.5		(3.1		)
							Total	$	3.2	$	(17.2	)

The following table provides information on the location and amounts of pre-tax gains (losses) on our cash flow hedges for the six months ended June 30:

	Change in Derivative Gains/Losses Recognized in Accumulated Other Comprehensive Income (Loss) (effective portion)				Location of Net Derivative Gains (Losses) Reclassified from Accumulated Other Comprehensive Income (Loss) into Income (effective portion)	Net Gain (Loss) Reclassified from Accumulated Other Comprehensive Income (Loss) into Income (effective portion)
	2016		2015			2016		2015
	(in millions)
Foreign exchange forward contracts – Designated as cash flow hedging instruments	$	14.5	$	25.7	Cost of revenues	$	0.6	$	(25.3	)
					Selling, general and administrative expenses	0.1		(5.6		)
					Total	$	0.7	$	(30.9	)

The activity related to the change in net unrealized gains (losses) on our cash flow hedges included in accumulated other comprehensive income (loss) is presented in Note 9.

Other Derivatives

We use foreign exchange forward contracts, which have not been designated as hedges, to hedge balance sheet exposure to certain monetary assets and liabilities denominated in currencies other than the functional currency of our foreign subsidiaries. We entered into a series of foreign exchange forward contracts that are primarily to purchase U.S. dollars and sell Indian rupees, British pounds and Euros, and are scheduled to mature in 2016 and 2017. Realized gains or losses and changes in the estimated fair value of these derivative financial instruments are recorded in the caption "Foreign currency exchange gains (losses), net" in our consolidated statements of operations.

Additional information related to our outstanding foreign exchange forward contracts not designated as hedging instruments is as follows:

	June 30, 2016				December 31, 2015
	Notional		Market Value		Notional		Market Value
	(in millions)
Contracts outstanding	$	211.3	$	2.3	$	165.5	$	(0.8	)

The following table provides information on the location and amounts of realized and unrealized pre-tax gains and losses on our other derivative financial instruments for the three and six months ended June 30, 2016 and 2015:

	Location of Net Gains (Losses) on Derivative Instruments	Amount of Net Gains (Losses) on Derivative Instruments
		Three Months Ended June 30,				Six Months Ended June 30,
		2016		2015		2016			2015
		(in millions)
Foreign exchange forward contracts – Not designated as hedging instruments	Foreign currency exchange gains (losses), net	$	2.5	$	0.1	$	(0.3	)	$	(1.7	)

The related cash flow impacts of all of our derivative activities are reflected as cash flows from operating activities.

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Fair Value Measurements

6 Months Ended

Jun. 30, 2016

Fair Value Disclosures [Abstract]

Fair Value Measurements

Fair Value Measurements

We measure our cash equivalents, investments and foreign exchange forward contracts at fair value. The authoritative guidance defines fair value as the exit price, or the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants as of the measurement date. The authoritative guidance also establishes a fair value hierarchy that is intended to increase consistency and comparability in fair value measurements and related disclosures. The fair value hierarchy is based on inputs to valuation techniques that are used to measure fair value that are either observable or unobservable. Observable inputs reflect assumptions market participants would use in pricing an asset or liability based on market data obtained from independent sources while unobservable inputs reflect a reporting entity’s pricing based upon their own market assumptions.

The fair value hierarchy consists of the following three levels:

• Level 1 – Inputs are quoted prices in active markets for identical assets or liabilities.

• Level 2 – Inputs are quoted prices for similar assets or liabilities in an active market, quoted prices for identical or similar assets or liabilities in markets that are not active, inputs other than quoted prices that are observable and market-corroborated inputs which are derived principally from or corroborated by observable market data.

• Level 3 – Inputs are derived from valuation techniques in which one or more significant inputs or value drivers are unobservable.

The following table summarizes our financial assets and (liabilities) measured at fair value on a recurring basis as of June 30, 2016:

	Level 1		Level 2			Level 3		Total
	(in millions)
Cash equivalents:
Money market funds	$	262.6	$	—		$	—	$	262.6
Time deposits	—		25.0			—		25.0
Certificates of deposit and commercial paper	—		152.2			—		152.2
Total cash equivalents	262.6		177.2			—		439.8
Short-term investments:
Time deposits	—		762.7			—		762.7
Available-for-sale investment securities:
U.S. Treasury and agency debt securities	600.3		39.1			—		639.4
Corporate and other debt securities	—		396.8			—		396.8
Certificates of deposit and commercial paper	—		684.8			—		684.8
Asset-backed securities	—		168.2			—		168.2
Municipal debt securities	—		121.8			—		121.8
Total available-for-sale investment securities(1)	600.3		1,410.7			—		2,011.0
Total short-term investments(1)	600.3		2,173.4			—		2,773.7
Derivative financial instruments - foreign exchange forward contracts:
Other current assets	—		13.2			—		13.2
Accrued expenses and other current liabilities	—		(6.2		)	—		(6.2		)
Other noncurrent assets	—		2.9			—		2.9
Other noncurrent liabilities	—		(8.2		)	—		(8.2		)
Total	$	862.9	$	2,352.3		$	—	$	3,215.2

________________

(1) Excludes mutual funds valued at $23.0 million based on the net asset value, or NAV, of the fund at June 30, 2016.

The following table summarizes our financial assets and (liabilities) measured at fair value on a recurring basis as of December 31, 2015:

	Level 1		Level 2			Level 3		Total
	(in millions)
Cash equivalents:
Money market funds	$	495.9	$	—		$	—	$	495.9
Total cash equivalents	495.9		—			—		495.9
Short-term investments:
Time deposits	—		809.5			—		809.5
Available-for-sale investment securities:
U.S. Treasury and agency debt securities	463.7		63.4			—		527.1
Corporate and other debt securities	—		360.5			—		360.5
Certificates of deposit and commercial paper	—		754.0			—		754.0
Asset-backed securities	—		229.6			—		229.6
Municipal debt securities	—		121.3			—		121.3
Total available-for-sale investment securities(1)	463.7		1,528.8			—		1,992.5
Total short-term investments(1)	463.7		2,338.3			—		2,802.0
Derivative financial instruments - foreign exchange forward contracts:
Other current assets	—		7.6			—		7.6
Accrued expenses and other current liabilities	—		(10.9		)	—		(10.9		)
Other noncurrent assets	—		1.6			—		1.6
Other noncurrent liabilities	—		(13.5		)	—		(13.5		)
Total	$	959.6	$	2,323.1		$	—	$	3,282.7

________________

(1) Excludes mutual funds valued at $22.3 million based on the net asset value, or NAV, of the fund at December 31, 2015.

We measure the fair value of money market funds and U.S. Treasury securities based on quoted prices in active markets for identical assets and therefore classify these assets as Level 1. The fair value of commercial paper, certificates of deposit, U.S. government agency securities, municipal debt securities, U.S. and international corporate bonds and foreign government debt securities is measured based on relevant trade data, dealer quotes, or model-driven valuations using significant inputs derived from or corroborated by observable market data, such as yield curves and credit spreads. We measure the fair value of our asset-backed securities using model-driven valuations based on significant inputs derived from or corroborated by observable market data such as dealer quotes, available trade information, spread data, current market assumptions on prepayment speeds and defaults and historical data on deal collateral performance. The carrying value of the time deposits approximated fair value as of June 30, 2016 and December 31, 2015.

We estimate the fair value of each foreign exchange forward contract by using a present value of expected cash flows model. This model calculates the difference between the current market forward price and the contracted forward price for each foreign exchange contract and applies the difference in the rates to each outstanding contract. The market forward rates include a discount and credit risk factor. The amounts are aggregated by type of contract and maturity.

During the six months ended June 30, 2016 and the year ended December 31, 2015, there were no transfers among Level 1, Level 2, or Level 3 financial assets and liabilities.

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Accumulated Other Comprehensive Income (Loss)

6 Months Ended

Jun. 30, 2016

Equity [Abstract]

Accumulated Other Comprehensive Income (Loss)

Accumulated Other Comprehensive Income (Loss)

Changes in accumulated other comprehensive income (loss) by component were as follows for the three and six months ended June 30, 2016:

	Three Months									Six Months
	Before Tax Amount			Tax Effect			Net of Tax Amount			Before Tax Amount			Tax Effect			Net of Tax Amount
	(in millions)
Foreign currency translation adjustments:
Beginning balance	$	(70.4	)	$	—		$	(70.4	)	$	(89.9	)	$	—		$	(89.9	)
Change in foreign currency translation adjustments	(28.6		)	—			(28.6		)	(9.1		)	—			(9.1		)
Ending balance	$	(99.0	)	$	—		$	(99.0	)	$	(99.0	)	$	—		$	(99.0	)
Unrealized gains (losses) on available-for-sale investment securities:
Beginning balance	$	1.5		$	(0.7	)	$	0.8		$	(6.8	)	$	2.2		$	(4.6	)
Net unrealized gains arising during the period	5.3			(1.7		)	3.6			13.6			(4.6		)	9.0
Reclassification of net (gains) to Other, net	(4.1		)	1.5			(2.6		)	(4.1		)	1.5			(2.6		)
Other-than-temporary impairment losses on investment securities recognized in earnings	3.0			(1.2		)	1.8			3.0			(1.2		)	1.8
Net change	4.2			(1.4		)	2.8			12.5			(4.3		)	8.2
Ending balance	$	5.7		$	(2.1	)	$	3.6		$	5.7		$	(2.1	)	$	3.6
Unrealized gains (losses) on cash flow hedges:
Beginning balance	$	10.1		$	(2.1	)	$	8.0		$	(14.4	)	$	2.7		$	(11.7	)
Unrealized (losses) gains arising during the period	(7.5		)	1.7			(5.8		)	14.5			(2.5		)	12.0
Reclassifications of gains to:
Cost of revenues	(2.7		)	0.6			(2.1		)	(0.6		)	0.1			(0.5		)
Selling, general and administrative expenses	(0.5		)	0.1			(0.4		)	(0.1		)	—			(0.1		)
Net change	(10.7		)	2.4			(8.3		)	13.8			(2.4		)	11.4
Ending balance	$	(0.6	)	$	0.3		$	(0.3	)	$	(0.6	)	$	0.3		$	(0.3	)
Accumulated other comprehensive income (loss):
Beginning balance	$	(58.8	)	$	(2.8	)	$	(61.6	)	$	(111.1	)	$	4.9		$	(106.2	)
Other comprehensive income (loss)	(35.1		)	1.0			(34.1		)	17.2			(6.7		)	10.5
Ending balance	$	(93.9	)	$	(1.8	)	$	(95.7	)	$	(93.9	)	$	(1.8	)	$	(95.7	)

Changes in accumulated other comprehensive income (loss) by component were as follows for the three and six months ended June 30, 2015:

	Three Months									Six Months
	Before Tax Amount			Tax Effect			Net of Tax Amount			Before Tax Amount			Tax Effect			Net of Tax Amount
	(in millions)
Foreign currency translation adjustments:
Beginning balance	$	(75.6	)	$	—		$	(75.6	)	$	(34.8	)	$	—		$	(34.8	)
Change in foreign currency translation adjustments	23.2			—			23.2			(17.6		)	—			(17.6		)
Ending balance	$	(52.4	)	$	—		$	(52.4	)	$	(52.4	)	$	—		$	(52.4	)
Unrealized gains (losses) on available-for-sale investment securities:
Beginning balance	$	1.5		$	(0.7	)	$	0.8		$	(2.4	)	$	0.8		$	(1.6	)
Net unrealized (losses) gains arising during the period	(1.6		)	0.5			(1.1		)	2.6			(1.2		)	1.4
Reclassification of net (gains) to Other, net	(0.4		)	0.2			(0.2		)	(0.7		)	0.4			(0.3		)
Net change	(2.0		)	0.7			(1.3		)	1.9			(0.8		)	1.1
Ending balance	$	(0.5	)	$	—		$	(0.5	)	$	(0.5	)	$	—		$	(0.5	)
Unrealized gains (losses) on cash flow hedges:
Beginning balance	$	(54.2	)	$	9.7		$	(44.5	)	$	(102.6	)	$	15.9		$	(86.7	)
Net unrealized (losses) gains arising during the period	(9.0		)	1.8			(7.2		)	25.7			(1.9		)	23.8
Reclassifications of losses to:
Cost of revenues	14.1			(2.6		)	11.5			25.3			(4.6		)	20.7
Selling, general and administrative expenses	3.1			(0.5		)	2.6			5.6			(1.0		)	4.6
Net change	8.2			(1.3		)	6.9			56.6			(7.5		)	49.1
Ending balance	$	(46.0	)	$	8.4		$	(37.6	)	$	(46.0	)	$	8.4		$	(37.6	)
Accumulated other comprehensive income (loss):
Beginning balance	$	(128.3	)	$	9.0		$	(119.3	)	$	(139.8	)	$	16.7		$	(123.1	)
Other comprehensive income (loss)	29.4			(0.6		)	28.8			40.9			(8.3		)	32.6
Ending balance	$	(98.9	)	$	8.4		$	(90.5	)	$	(98.9	)	$	8.4		$	(90.5	)

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Commitments And Contingencies

6 Months Ended

Jun. 30, 2016

Commitments and Contingencies Disclosure [Abstract]

Commitments And Contingencies

Commitments and Contingencies

As of June 30, 2016, we had outstanding fixed capital commitments of approximately $184.0 million related to our India development center expansion program to build new state-of-the-art IT development and delivery centers.

We are involved in various claims and legal actions arising in the ordinary course of business. We accrue a liability when a loss is considered probable and the amount can be reasonably estimated. In the opinion of management, the outcome of any existing claims and legal or regulatory proceedings, if decided adversely, is not expected to have a material adverse effect on our business, financial condition, results of operations and cash flows. Additionally, many of our engagements involve projects that are critical to the operations of our customers’ business and provide benefits that are difficult to quantify. Any failure in a customer’s systems or our failure to meet our contractual obligations to our clients, including any breach involving a customer’s confidential information or sensitive data, or our obligations under applicable laws or regulations could result in a claim for substantial damages against us, regardless of our responsibility for such failure. Although we attempt to contractually limit our liability for damages arising from negligent acts, errors, mistakes, or omissions in rendering our services, there can be no assurance that the limitations of liability set forth in our contracts will be enforceable in all instances or will otherwise protect us from liability for damages. Although we have general liability insurance coverage, including coverage for errors or omissions, there can be no assurance that such coverage will cover all types of claims, continue to be available on reasonable terms or will be available in sufficient amounts to cover one or more large claims, or that the insurer will not disclaim coverage as to any future claim. The successful assertion of one or more large claims against us that exceed or are not covered by our insurance coverage or changes in our insurance policies, including premium increases or the imposition of large deductible or co-insurance requirements, could have a material adverse effect on our business, results of operations, financial condition and cash flows.

In the normal course of business and in conjunction with certain client engagements, we have entered into contractual arrangements through which we may be obligated to indemnify clients or other parties with whom we conduct business with respect to certain matters. These arrangements can include provisions whereby we agree to hold the indemnified party and certain of their affiliated entities harmless with respect to third-party claims related to such matters as our breach of certain representations or covenants, or out of our intellectual property infringement, our gross negligence or willful misconduct or certain other claims made against certain parties. Payments by us under any of these arrangements are generally conditioned on the client making a claim and providing us with full control over the defense and settlement of such claim. It is not possible to determine the maximum potential amount under these indemnification agreements due to the unique facts and circumstances involved in each particular agreement. Historically, we have not made payments under these indemnification agreements and therefore they have not had any impact on our operating results, financial position, or cash flows. However, if events arise requiring us to make payment for indemnification claims under our indemnification obligations in contracts we have entered, such payments could have material impact on our business, results of operations, financial condition and cash flows.

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Segment Information

6 Months Ended

Jun. 30, 2016

Segment Reporting [Abstract]

Segment Information

Segment Information

Our reportable segments are:

• Financial Services, which includes customers providing banking/transaction processing, capital markets and insurance services;

• Healthcare, which includes healthcare providers and payers as well as life sciences customers, including pharmaceutical, biotech and medical device companies;

• Manufacturing/Retail/Logistics, which includes consumer goods, manufacturers, retailers, travel and other hospitality customers, as well as customers providing logistics services; and

• Other, which is an aggregation of industry segments each of which, individually, represents less than 10% of consolidated revenues and segment operating profit. The Other reportable segment includes our information, media and entertainment services, communications and high technology operating segments.

Our sales managers, account executives, account managers and project teams are aligned in accordance with the specific industries they serve. Our chief operating decision maker evaluates the Company’s performance and allocates resources based on segment revenues and operating profit. Segment operating profit is defined as income from operations before unallocated costs. Generally, operating expenses for each operating segment have similar characteristics and are subject to the same factors, pressures and challenges. However, the economic environment and its effects on industries served by our operating segments may affect revenue and operating expenses to differing degrees. Expenses included in segment operating profit consist principally of direct selling and delivery costs as well as a per seat charge for use of the development and delivery centers. Certain selling, general and administrative expenses, excess or shortfall of incentive compensation for delivery personnel as compared to target, stock-based compensation expense, a portion of depreciation and amortization and the impact of the settlements of our cash flow hedges are not allocated to individual segments in internal management reports used by the chief operating decision maker. Accordingly, such expenses are excluded from segment operating profit and are separately disclosed as “unallocated costs” and adjusted only against our total income from operations.Additionally, management has determined that it is not practical to allocate identifiable assets by segment, since such assets are used interchangeably among the segments.

Revenues from external customers and segment operating profit, before unallocated expenses, for the Financial Services, Healthcare, Manufacturing/Retail/Logistics, and Other reportable segments were as follows:

	Three Months Ended   June 30,				Six Months Ended   June 30,
	2016		2015		2016		2015
	(in millions)
Revenues:
Financial Services	$	1,351.2	$	1,250.1	$	2,636.9	$	2,411.2
Healthcare	958.8		897.3		1,872.9		1,776.4
Manufacturing/Retail/Logistics	660.4		578.3		1,292.9		1,127.2
Other	399.5		359.4		769.2		681.7
Total revenue	$	3,369.9	$	3,085.1	$	6,571.9	$	5,996.5
Segment Operating Profit:
Financial Services	$	459.3	$	420.1	$	882.3	$	767.5
Healthcare	270.0		317.5		565.2		562.6
Manufacturing/Retail/Logistics	225.9		201.2		445.3		382.5
Other	134.0		122.9		255.6		214.9
Total segment operating profit	1,089.2		1,061.7		2,148.4		1,927.5
Less: unallocated costs	498.3		516.2		1,003.5		881.7
Income from operations	$	590.9	$	545.5	$	1,144.9	$	1,045.8

In June 2016, we amended a fixed-price customer contract in which Cognizant is a subcontractor to a third party for the purpose of delivering healthcare-related implementation services to local government. This arrangement is accounted for using the percentage of completion method of revenue recognition. We revised our estimate of total revenue and total efforts required to complete the contract and as a result, we recognized a net pre-tax loss of $27.4 million during the three months ended June 30, 2016. This loss was reported in the Healthcare segment.

Geographic Area Information

Revenue and long-lived assets, by geographic area, are as follows:

	Three Months Ended   June 30,				Six Months Ended   June 30,
	2016		2015		2016		2015
	(in millions)
Revenues: (1)
North America(2)	$	2,624.1	$	2,423.9	$	5,121.4	$	4,715.9
United Kingdom	310.7		297.6		609.5		582.7
Rest of Europe	236.5		204.7		463.1		395.5
Europe - Total	547.2		502.3		1,072.6		978.2
Rest of World (3)	198.6		158.9		377.9		302.4
Total	$	3,369.9	$	3,085.1	$	6,571.9	$	5,996.5

	As of
	June 30, 2016		December 31, 2015
	(in millions)
Long-lived Assets: (4)
North America(2)	$	273.7	$	242.4
Europe	34.5		32.2
Rest of World (3)(5)	979.2		996.8
Total	$	1,287.4	$	1,271.4

________________

(1) Revenues are attributed to regions based upon customer location.

(2) Substantially all relates to operations in the United States.

(3) Includes our operations in Asia Pacific, the Middle East and Latin America.

(4) Long-lived assets include property and equipment, net of accumulated depreciation and amortization.

(5) Substantially all of these long-lived assets relate to our operations in India.

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Interim Condensed Consolidated Financial Statements (Policies)

6 Months Ended

Jun. 30, 2016

Organization, Consolidation and Presentation of Financial Statements [Abstract]

Recently Adopted Accounting Pronouncements

Recently Adopted Accounting Pronouncements.

In April 2015, the Financial Accounting Standards Board, or FASB, issued an update related to the presentation of debt issuance costs. The updated standard requires debt issuance costs, other than costs incurred to secure lines of credit, be presented in the balance sheet as a direct deduction from the carrying value of that debt liability. The recognition and measurement guidance for debt issuance costs are not affected by this update. The guidance is effective on a retrospective basis for fiscal years, and interim periods within those years, beginning on or after January 1, 2016. Thus, we have adopted this guidance as of January 1, 2016. We conformed prior period's presentation to current period's presentation on our consolidated statement of financial position. The adoption of this standard impacted financial statement presentation only and had no effect on our financial condition or results of operations.

In April 2015, the FASB issued an update to the standard on internal-use software providing guidance to customers in evaluating whether a cloud computing arrangement includes a software license. If a cloud computing arrangement includes a software license, the updated standard requires the customer to account for the software license element of the arrangement consistent with the acquisition of other software licenses. If a cloud computing arrangement does not include a software license, the customer is required to account for the arrangement as a service contract. The update is effective for fiscal years, and interim periods within those years, beginning on or after January 1, 2016. A company can elect to adopt the update either prospectively to all arrangements entered into or materially modified after the effective date or retrospectively. We have adopted this update prospectively beginning January 1, 2016. The adoption of this update had no material effect on our financial condition or results of operations.

New Accounting Pronouncements.

In May 2014, the FASB issued a standard on revenue from contracts with customers. In 2016, the FASB issued four amendments to the new standard. The new standard, as amended, sets forth a single comprehensive model for recognizing and reporting revenue. The standard also requires additional financial statement disclosures that will enable users to understand the nature, amount, timing and uncertainty of revenue and cash flows relating to customer contracts. The standard is effective for fiscal years, and interim periods within those years, beginning on or after January 1, 2018. Early adoption is permitted but not before periods beginning on or after January 1, 2017. The standard allows for two methods of adoption: the full retrospective adoption, which requires the standard to be applied to each prior period presented, or the modified retrospective adoption, which requires the cumulative effect of adoption to be recognized as an adjustment to opening retained earnings in the period of adoption. We are currently evaluating the effect the new standard will have on our consolidated financial statements and related disclosures.

In January 2016, the FASB issued an update to the standard on financial instruments. The update significantly revises an entity’s accounting related to (1) the classification and measurement of investments in equity securities and (2) the presentation of certain fair value changes for financial liabilities measured at fair value. It also amends certain disclosure requirements.  The update is effective for fiscal years, and interim periods within those fiscal years, beginning on or after January 1, 2018. Upon adoption, entities will be required to make a cumulative-effect adjustment to the statement of financial position as of the beginning of the first reporting period in which the guidance is effective. However, the specific guidance on equity securities without readily determinable fair value will apply prospectively to all equity investments that exist as of the date of adoption.  Early adoption of certain sections of this update is permitted. We are currently evaluating the effect the update will have on our consolidated financial statements and related disclosures.

In February 2016, the FASB issued a standard on lease accounting. The new standard replaces the existing guidance on leases and requires the lessee to recognize a right-of-use asset and a lease liability for all leases with lease terms equal to or greater than twelve months. For finance leases, the lessee would recognize interest expense and amortization of the right-of-use asset, and for operating leases, the lessee would recognize total lease expense on a straight-line basis. This standard is effective for fiscal years, and interim periods within those fiscal years, beginning on or after January 1, 2019. Upon adoption, entities will be required to use a modified retrospective transition which provides for certain practical expedients. Entities are required to apply the new standard at the beginning of the earliest comparative period presented. Early adoption of this new standard is permitted. We are currently evaluating the effect the new standard will have on our consolidated financial statements and related disclosures.

In March 2016, the FASB issued an update to the standard on derivatives and hedging, which clarifies the effect of derivative contract novations on existing hedge accounting relationships. As it relates to derivative instruments, novation refers to replacing one of the parties to a derivative instrument with a new party, which may occur for a variety of reasons such as: financial institution mergers, intercompany transactions, an entity exiting a particular derivatives business or relationship, or because of laws or regulatory requirements. The update clarifies that a change in the counterparty to a derivative instrument that has been designated as the hedging instrument does not, in and of itself, require dedesignation of that hedge accounting relationship provided that all other hedge accounting criteria continue to be met. The update is effective for fiscal years, and interim periods within those fiscal years, beginning on or after January 1, 2017. Upon adoption, entities can choose to apply the update on either a prospective basis or a modified retrospective basis. Early adoption of this update is permitted. We are currently evaluating the effect the update will have on our consolidated financial statements and related disclosures.

In March 2016, the FASB issued an update to the standard on stock compensation, which simplifies several aspects of the accounting for employee share-based payment transactions including the accounting for excess tax benefits and deficiencies, forfeitures, and statutory tax withholding requirements, as well as classification in the statement of cash flows. The update is effective for fiscal years, and interim periods within those fiscal years, beginning on or after January 1, 2017. Upon adoption, entities will be required to apply a modified retrospective, prospective or retrospective transition method depending on the specific section of the guidance being adopted. Early adoption of this update is permitted. We are currently evaluating the effect the update will have on our consolidated financial statements and related disclosures. However, we expect the requirements to recognize excess tax benefits and deficiencies on stock awards in the income tax provision and to present the excess tax benefits and deficiencies in operating activities in the statement of cash flows to be the primary effects of this standard on our consolidated financial statements.

In June 2016, the FASB issued an update to the standard on financial instruments, which amends the guidance on the impairment of financial instruments. The update changes the methodology for measuring credit losses on financial instruments and the timing of when such losses are recorded by introducing an approach based on expected losses. The estimate of expected credit losses will require entities to incorporate considerations of historical information, current information and reasonable and supportable forecasts. The update is effective for fiscal years, and interim periods within those fiscal years, beginning on or after January 1, 2021. Early adoption is permitted beginning on or after January 1, 2020. Upon adoption, entities will be required to use a modified retrospective transition approach. We are currently evaluating the impact of the new guidance on our consolidated financial statements.

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Business Combinations (Tables)

6 Months Ended

Jun. 30, 2016

Series of Individually Immaterial Business Acquisitions [Member]

Acquired Finite-Lived Intangible Assets [Line Items]

Finite-Lived and Indefinite-Lived Intangible Assets Acquired as Part of Business Combination

These acquisitions were included in our unaudited condensed consolidated financial statements as of the date on which the businesses were acquired and were not material to our operations, financial position or cash flow. We have preliminarily allocated the purchase price related to these transactions to tangible and intangible assets and liabilities, including non-deductible goodwill, based on their fair values. Specifically-identified intangible assets and goodwill acquired were as follows:

	Fair Value	Weighted Average Useful Life
	(in millions)
Non-deductible goodwill	51.9
Customer relationship intangible assets	150.3	7.1 years
Other intangible assets	0.2	1 year

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Short-term Investments (Tables)

6 Months Ended

Jun. 30, 2016

Investments [Abstract]

Short-term investments

Our short-term investments were as follows:

	June 30, 2016		December 31, 2015
	(in millions)
Available-for-sale investment securities:
U.S. Treasury and agency debt securities	$	639.4	$	527.1
Corporate and other debt securities	396.8		360.5
Certificates of deposit and commercial paper	684.8		754.0
Asset-backed securities	168.2		229.6
Municipal debt securities	121.8		121.3
Mutual funds	23.0		22.3
Total available-for-sale investment securities	2,034.0		2,014.8
Time deposits	762.7		809.5
Total short-term investments	$	2,796.7	$	2,824.3

Amortized Cost, Gross Unrealized Gains And Losses And Fair Value Of Investment Securities Available-For-Sale

The amortized cost, gross unrealized gains and losses and fair value of available-for-sale investment securities at June 30, 2016 were as follows:

	Amortized Cost		Unrealized Gains		Unrealized Losses			Fair Value
	(in millions)
U.S. Treasury and agency debt securities	$	636.7	$	2.7	$	—		$	639.4
Corporate and other debt securities	394.9		2.0		(0.1		)	396.8
Certificates of deposit and commercial paper	685.0		0.4		(0.6		)	684.8
Asset-backed securities	167.5		0.7		—			168.2
Municipal debt securities	121.2		0.6		—			121.8
Mutual funds	26.0		—		(3.0		)	23.0
Total available-for-sale investment securities	$	2,031.3	$	6.4	$	(3.7	)	$	2,034.0

The amortized cost, gross unrealized gains and losses and fair value of available-for-sale investment securities at December 31, 2015 were as follows:

	Amortized Cost		Unrealized Gains		Unrealized Losses			Fair Value
	(in millions)
U.S. Treasury and agency debt securities	$	528.9	$	—	$	(1.8	)	$	527.1
Corporate and other debt securities	361.9		0.1		(1.5		)	360.5
Certificates of deposit and commercial paper	754.0		0.1		(0.1		)	754.0
Asset-backed securities	230.3		0.1		(0.8		)	229.6
Municipal debt securities	121.2		0.2		(0.1		)	121.3
Mutual funds	25.3		0.1		(3.1		)	22.3
Total available-for-sale investment securities	$	2,021.6	$	0.6	$	(7.4	)	$	2,014.8

Available-For-Sale Securities In A Continuous Unrealized Loss Position

The fair value and related unrealized losses of available-for-sale investment securities in a continuous unrealized loss position for less than 12 months and for 12 months or longer were as follows as of June 30, 2016:

	Less than 12 Months					12 Months or More					Total
	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
	(in millions)
U.S. Treasury and agency debt securities	$	44.5	$	—		$	—	$	—		$	44.5	$	—
Corporate and other debt securities	71.5		(0.1		)	0.9		—			72.4		(0.1		)
Certificates of deposit and commercial paper	155.5		(0.6		)	—		—			155.5		(0.6		)
Asset-backed securities	15.1		—			0.8		—			15.9		—
Municipal debt securities	9.1		—			0.6		—			9.7		—
Mutual funds	1.3		—			21.7		(3.0		)	23.0		(3.0		)
Total	$	297.0	$	(0.7	)	$	24.0	$	(3.0	)	$	321.0	$	(3.7	)

The fair value and related unrealized losses of available-for-sale investment securities in a continuous unrealized loss position for less than 12 months and for 12 months or longer were as follows as of December 31, 2015:

	Less than 12 Months					12 Months or More					Total
	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
	(in millions)
U.S. Treasury and agency debt securities	$	475.7	$	(1.8	)	$	—	$	—		$	475.7	$	(1.8	)
Corporate and other debt securities	315.1		(1.5		)	3.1		—			318.2		(1.5		)
Certificates of deposit and commercial paper	271.5		(0.1		)	—		—			271.5		(0.1		)
Asset-backed securities	199.4		(0.7		)	11.4		(0.1		)	210.8		(0.8		)
Municipal debt securities	56.5		(0.1		)	—		—			56.5		(0.1		)
Mutual funds	—		—			21.1		(3.1		)	21.1		(3.1		)
Total	$	1,318.2	$	(4.2	)	$	35.6	$	(3.2	)	$	1,353.8	$	(7.4	)

Contractual Maturities Of Investments In Debt Securities Available-For-Sale

The contractual maturities of our fixed income available-for-sale investment securities as of June 30, 2016 are set forth in the following table:

	Amortized Cost		Fair Value
	(in millions)
Due within one year	$	877.5	$	877.6
Due after one year up to two years	527.5		529.3
Due after two years up to three years	334.0		336.2
Due after three years up to four years	98.8		99.7
Asset-backed securities	167.5		168.2
Fixed income available-for-sale investment securities	$	2,005.3	$	2,011.0

Gross Gains (Losses) Realized On Sales, Maturities And Other Securities Transactions Related To Investment Securities

Proceeds from sales of available-for-sale investment securities and the gross gains and losses that have been included in earnings as a result of those sales were as follows:

	Three Months Ended   June 30,					Six Months Ended   June 30,
	2016			2015		2016			2015
	(in millions)
Proceeds from sales of available-for-sale investment securities	$	1,816.6		$	246.3	$	2,378.2		$	428.1
Gross gains	$	4.2		$	0.5	$	4.5		$	0.9
Gross losses	(0.1		)	—		(0.4		)	(0.1		)
Net realized gains on sales of available-for-sale investment securities	$	4.1		$	0.5	$	4.1		$	0.8

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Accrued Expenses And Other Current Liabilities (Tables)

6 Months Ended

Jun. 30, 2016

Payables and Accruals [Abstract]

Accrued Expenses And Other Current Liabilities

Accrued expenses and other current liabilities were as follows:

	June 30, 2016		December 31, 2015
	(in millions)
Compensation and benefits	$	955.2	$	1,272.0
Income taxes	34.6		17.1
Professional fees	74.3		69.6
Travel and entertainment	32.5		29.8
Customer volume incentives	222.4		236.1
Derivative financial instruments	6.2		10.9
Other	239.8		182.9
Total accrued expenses and other current liabilities	$	1,565.0	$	1,818.4

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Debt (Tables)

6 Months Ended

Jun. 30, 2016

Debt Disclosure [Abstract]

Summary of Short-term Debt

Short-term Debt

The following summarizes our short-term debt balances as of:

	June 30, 2016		December 31, 2015
	(in millions)
Notes outstanding under revolving credit facility	$	—	$	350.0
Term loan - current maturities	68.8		56.3
Total short-term debt	$	68.8	$	406.3

Summary of Long-term Debt

Long-term Debt

The following summarizes our long-term debt balances as of:

	June 30, 2016			December 31, 2015
	(in millions)
Term loan, due 2019	$	912.5		$	937.5
Less:
Current maturities	(68.8		)	(56.3		)
Deferred financing costs	(3.7		)	(4.4		)
Long-term debt, net	$	840.0		$	876.8

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Income Taxes (Tables)

6 Months Ended

Jun. 30, 2016

Income Tax Disclosure [Abstract]

Schedule Of Effective Income Tax Rates

Our effective income tax rates were as follows:

	Three Months Ended   June 30,				Six Months Ended   June 30,
	2016		2015		2016		2015
Effective income tax rate	57.6	%	23.5	%	41.4	%	24.2	%

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Derivative Financial Instruments (Tables)

6 Months Ended

Jun. 30, 2016

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Location And Fair Values Of Derivative Financial Instruments In Our Condensed Consolidated Statements Of Financial Position

The following table provides information on the location and fair values of derivative financial instruments included in our unaudited condensed consolidated statement of financial position as of:

		June 30, 2016				December 31, 2015
Designation of Derivatives	Location on Statement of Financial Position	Assets		Liabilities		Assets		Liabilities
		(in millions)
Foreign exchange forward contracts – Designated as cash flow hedging instruments	Other current assets	$	10.9	$	—	$	7.2	$	—
	Other noncurrent assets	2.9		—		1.6		—
	Accrued expenses and other current liabilities	—		6.2		—		9.7
	Other noncurrent liabilities	—		8.2		—		13.5
	Total	13.8		14.4		8.8		23.2
Foreign exchange forward contracts – Not designated as hedging instruments	Other current assets	2.3		—		0.4		—
	Accrued expenses and other current liabilities	—		—		—		1.2
	Total	2.3		—		0.4		1.2
Total		$	16.1	$	14.4	$	9.2	$	24.4

Notional value of outstanding contracts by year of maturity

The notional value of our outstanding contracts by year of maturity and the net unrealized gains (losses) included in accumulated other comprehensive income (loss) for such contracts were as follows as of:

	June 30, 2016			December 31, 2015
	(in millions)
2016	$	615.0		$	1,215.0
2017	1,050.0			900.0
2018	405.0			330.0
Total notional value of contracts outstanding	$	2,070.0		$	2,445.0
Net unrealized (losses) included in accumulated other comprehensive income (loss), net of taxes	$	(0.3	)	$	(11.7	)

Location And Amounts Of Pre-Tax Gains (Losses) on Cash Flow Hedges

The following table provides information on the location and amounts of pre-tax gains (losses) on our cash flow hedges for the three months ended June 30:

	Change in Derivative Gains/Losses Recognized in Accumulated Other Comprehensive Income (Loss) (effective portion)						Location of Net Derivative Gains (Losses) Reclassified from Accumulated Other Comprehensive Income (Loss) into Income (effective portion)	Net Gain (Loss) Reclassified from Accumulated Other Comprehensive Income (Loss) into Income (effective portion)
	2016			2015				2016		2015
	(in millions)
Foreign exchange forward contracts – Designated as cash flow hedging instruments	$	(7.5	)	$	(9.0	)	Cost of revenues	$	2.7	$	(14.1	)
							Selling, general and administrative expenses	0.5		(3.1		)
							Total	$	3.2	$	(17.2	)

The following table provides information on the location and amounts of pre-tax gains (losses) on our cash flow hedges for the six months ended June 30:

	Change in Derivative Gains/Losses Recognized in Accumulated Other Comprehensive Income (Loss) (effective portion)				Location of Net Derivative Gains (Losses) Reclassified from Accumulated Other Comprehensive Income (Loss) into Income (effective portion)	Net Gain (Loss) Reclassified from Accumulated Other Comprehensive Income (Loss) into Income (effective portion)
	2016		2015			2016		2015
	(in millions)
Foreign exchange forward contracts – Designated as cash flow hedging instruments	$	14.5	$	25.7	Cost of revenues	$	0.6	$	(25.3	)
					Selling, general and administrative expenses	0.1		(5.6		)
					Total	$	0.7	$	(30.9	)

Additional Information Related To Outstanding Contracts Not Designated As Hedging Instruments

Additional information related to our outstanding foreign exchange forward contracts not designated as hedging instruments is as follows:

	June 30, 2016				December 31, 2015
	Notional		Market Value		Notional		Market Value
	(in millions)
Contracts outstanding	$	211.3	$	2.3	$	165.5	$	(0.8	)

Location And Amounts Of Pre-Tax Gains (Losses) On Derivative Financial Instruments Not Designated As Hedges

The following table provides information on the location and amounts of realized and unrealized pre-tax gains and losses on our other derivative financial instruments for the three and six months ended June 30, 2016 and 2015:

	Location of Net Gains (Losses) on Derivative Instruments	Amount of Net Gains (Losses) on Derivative Instruments
		Three Months Ended June 30,				Six Months Ended June 30,
		2016		2015		2016			2015
		(in millions)
Foreign exchange forward contracts – Not designated as hedging instruments	Foreign currency exchange gains (losses), net	$	2.5	$	0.1	$	(0.3	)	$	(1.7	)

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Fair Value Measurements (Tables)

6 Months Ended

Jun. 30, 2016

Fair Value Disclosures [Abstract]

Financial Assets And (Liabilities) Measured At Fair Value On A Recurring Basis

The following table summarizes our financial assets and (liabilities) measured at fair value on a recurring basis as of June 30, 2016:

	Level 1		Level 2			Level 3		Total
	(in millions)
Cash equivalents:
Money market funds	$	262.6	$	—		$	—	$	262.6
Time deposits	—		25.0			—		25.0
Certificates of deposit and commercial paper	—		152.2			—		152.2
Total cash equivalents	262.6		177.2			—		439.8
Short-term investments:
Time deposits	—		762.7			—		762.7
Available-for-sale investment securities:
U.S. Treasury and agency debt securities	600.3		39.1			—		639.4
Corporate and other debt securities	—		396.8			—		396.8
Certificates of deposit and commercial paper	—		684.8			—		684.8
Asset-backed securities	—		168.2			—		168.2
Municipal debt securities	—		121.8			—		121.8
Total available-for-sale investment securities(1)	600.3		1,410.7			—		2,011.0
Total short-term investments(1)	600.3		2,173.4			—		2,773.7
Derivative financial instruments - foreign exchange forward contracts:
Other current assets	—		13.2			—		13.2
Accrued expenses and other current liabilities	—		(6.2		)	—		(6.2		)
Other noncurrent assets	—		2.9			—		2.9
Other noncurrent liabilities	—		(8.2		)	—		(8.2		)
Total	$	862.9	$	2,352.3		$	—	$	3,215.2

________________

(1) Excludes mutual funds valued at $23.0 million based on the net asset value, or NAV, of the fund at June 30, 2016.

The following table summarizes our financial assets and (liabilities) measured at fair value on a recurring basis as of December 31, 2015:

	Level 1		Level 2			Level 3		Total
	(in millions)
Cash equivalents:
Money market funds	$	495.9	$	—		$	—	$	495.9
Total cash equivalents	495.9		—			—		495.9
Short-term investments:
Time deposits	—		809.5			—		809.5
Available-for-sale investment securities:
U.S. Treasury and agency debt securities	463.7		63.4			—		527.1
Corporate and other debt securities	—		360.5			—		360.5
Certificates of deposit and commercial paper	—		754.0			—		754.0
Asset-backed securities	—		229.6			—		229.6
Municipal debt securities	—		121.3			—		121.3
Total available-for-sale investment securities(1)	463.7		1,528.8			—		1,992.5
Total short-term investments(1)	463.7		2,338.3			—		2,802.0
Derivative financial instruments - foreign exchange forward contracts:
Other current assets	—		7.6			—		7.6
Accrued expenses and other current liabilities	—		(10.9		)	—		(10.9		)
Other noncurrent assets	—		1.6			—		1.6
Other noncurrent liabilities	—		(13.5		)	—		(13.5		)
Total	$	959.6	$	2,323.1		$	—	$	3,282.7

________________

(1) Excludes mutual funds valued at $22.3 million based on the net asset value, or NAV, of the fund at December 31, 2015

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Accumulated Other Comprehensive Income (Loss) (Tables)

6 Months Ended

Jun. 30, 2016

Equity [Abstract]

Schedule Of Accumulated Other Comprehensive Income (Loss)

Changes in accumulated other comprehensive income (loss) by component were as follows for the three and six months ended June 30, 2016:

	Three Months									Six Months
	Before Tax Amount			Tax Effect			Net of Tax Amount			Before Tax Amount			Tax Effect			Net of Tax Amount
	(in millions)
Foreign currency translation adjustments:
Beginning balance	$	(70.4	)	$	—		$	(70.4	)	$	(89.9	)	$	—		$	(89.9	)
Change in foreign currency translation adjustments	(28.6		)	—			(28.6		)	(9.1		)	—			(9.1		)
Ending balance	$	(99.0	)	$	—		$	(99.0	)	$	(99.0	)	$	—		$	(99.0	)
Unrealized gains (losses) on available-for-sale investment securities:
Beginning balance	$	1.5		$	(0.7	)	$	0.8		$	(6.8	)	$	2.2		$	(4.6	)
Net unrealized gains arising during the period	5.3			(1.7		)	3.6			13.6			(4.6		)	9.0
Reclassification of net (gains) to Other, net	(4.1		)	1.5			(2.6		)	(4.1		)	1.5			(2.6		)
Other-than-temporary impairment losses on investment securities recognized in earnings	3.0			(1.2		)	1.8			3.0			(1.2		)	1.8
Net change	4.2			(1.4		)	2.8			12.5			(4.3		)	8.2
Ending balance	$	5.7		$	(2.1	)	$	3.6		$	5.7		$	(2.1	)	$	3.6
Unrealized gains (losses) on cash flow hedges:
Beginning balance	$	10.1		$	(2.1	)	$	8.0		$	(14.4	)	$	2.7		$	(11.7	)
Unrealized (losses) gains arising during the period	(7.5		)	1.7			(5.8		)	14.5			(2.5		)	12.0
Reclassifications of gains to:
Cost of revenues	(2.7		)	0.6			(2.1		)	(0.6		)	0.1			(0.5		)
Selling, general and administrative expenses	(0.5		)	0.1			(0.4		)	(0.1		)	—			(0.1		)
Net change	(10.7		)	2.4			(8.3		)	13.8			(2.4		)	11.4
Ending balance	$	(0.6	)	$	0.3		$	(0.3	)	$	(0.6	)	$	0.3		$	(0.3	)
Accumulated other comprehensive income (loss):
Beginning balance	$	(58.8	)	$	(2.8	)	$	(61.6	)	$	(111.1	)	$	4.9		$	(106.2	)
Other comprehensive income (loss)	(35.1		)	1.0			(34.1		)	17.2			(6.7		)	10.5
Ending balance	$	(93.9	)	$	(1.8	)	$	(95.7	)	$	(93.9	)	$	(1.8	)	$	(95.7	)

Changes in accumulated other comprehensive income (loss) by component were as follows for the three and six months ended June 30, 2015:

	Three Months									Six Months
	Before Tax Amount			Tax Effect			Net of Tax Amount			Before Tax Amount			Tax Effect			Net of Tax Amount
	(in millions)
Foreign currency translation adjustments:
Beginning balance	$	(75.6	)	$	—		$	(75.6	)	$	(34.8	)	$	—		$	(34.8	)
Change in foreign currency translation adjustments	23.2			—			23.2			(17.6		)	—			(17.6		)
Ending balance	$	(52.4	)	$	—		$	(52.4	)	$	(52.4	)	$	—		$	(52.4	)
Unrealized gains (losses) on available-for-sale investment securities:
Beginning balance	$	1.5		$	(0.7	)	$	0.8		$	(2.4	)	$	0.8		$	(1.6	)
Net unrealized (losses) gains arising during the period	(1.6		)	0.5			(1.1		)	2.6			(1.2		)	1.4
Reclassification of net (gains) to Other, net	(0.4		)	0.2			(0.2		)	(0.7		)	0.4			(0.3		)
Net change	(2.0		)	0.7			(1.3		)	1.9			(0.8		)	1.1
Ending balance	$	(0.5	)	$	—		$	(0.5	)	$	(0.5	)	$	—		$	(0.5	)
Unrealized gains (losses) on cash flow hedges:
Beginning balance	$	(54.2	)	$	9.7		$	(44.5	)	$	(102.6	)	$	15.9		$	(86.7	)
Net unrealized (losses) gains arising during the period	(9.0		)	1.8			(7.2		)	25.7			(1.9		)	23.8
Reclassifications of losses to:
Cost of revenues	14.1			(2.6		)	11.5			25.3			(4.6		)	20.7
Selling, general and administrative expenses	3.1			(0.5		)	2.6			5.6			(1.0		)	4.6
Net change	8.2			(1.3		)	6.9			56.6			(7.5		)	49.1
Ending balance	$	(46.0	)	$	8.4		$	(37.6	)	$	(46.0	)	$	8.4		$	(37.6	)
Accumulated other comprehensive income (loss):
Beginning balance	$	(128.3	)	$	9.0		$	(119.3	)	$	(139.8	)	$	16.7		$	(123.1	)
Other comprehensive income (loss)	29.4			(0.6		)	28.8			40.9			(8.3		)	32.6
Ending balance	$	(98.9	)	$	8.4		$	(90.5	)	$	(98.9	)	$	8.4		$	(90.5	)

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Segment Information (Tables)

6 Months Ended

Jun. 30, 2016

Segment Reporting [Abstract]

Revenues From External Customers And Segment Operating Profit

Revenues from external customers and segment operating profit, before unallocated expenses, for the Financial Services, Healthcare, Manufacturing/Retail/Logistics, and Other reportable segments were as follows:

	Three Months Ended   June 30,				Six Months Ended   June 30,
	2016		2015		2016		2015
	(in millions)
Revenues:
Financial Services	$	1,351.2	$	1,250.1	$	2,636.9	$	2,411.2
Healthcare	958.8		897.3		1,872.9		1,776.4
Manufacturing/Retail/Logistics	660.4		578.3		1,292.9		1,127.2
Other	399.5		359.4		769.2		681.7
Total revenue	$	3,369.9	$	3,085.1	$	6,571.9	$	5,996.5
Segment Operating Profit:
Financial Services	$	459.3	$	420.1	$	882.3	$	767.5
Healthcare	270.0		317.5		565.2		562.6
Manufacturing/Retail/Logistics	225.9		201.2		445.3		382.5
Other	134.0		122.9		255.6		214.9
Total segment operating profit	1,089.2		1,061.7		2,148.4		1,927.5
Less: unallocated costs	498.3		516.2		1,003.5		881.7
Income from operations	$	590.9	$	545.5	$	1,144.9	$	1,045.8

Revenues And Long-Lived Assets By Geographic Area

Revenue and long-lived assets, by geographic area, are as follows:

	Three Months Ended   June 30,				Six Months Ended   June 30,
	2016		2015		2016		2015
	(in millions)
Revenues: (1)
North America(2)	$	2,624.1	$	2,423.9	$	5,121.4	$	4,715.9
United Kingdom	310.7		297.6		609.5		582.7
Rest of Europe	236.5		204.7		463.1		395.5
Europe - Total	547.2		502.3		1,072.6		978.2
Rest of World (3)	198.6		158.9		377.9		302.4
Total	$	3,369.9	$	3,085.1	$	6,571.9	$	5,996.5

	As of
	June 30, 2016		December 31, 2015
	(in millions)
Long-lived Assets: (4)
North America(2)	$	273.7	$	242.4
Europe	34.5		32.2
Rest of World (3)(5)	979.2		996.8
Total	$	1,287.4	$	1,271.4

________________

(1) Revenues are attributed to regions based upon customer location.

(2) Substantially all relates to operations in the United States.

(3) Includes our operations in Asia Pacific, the Middle East and Latin America.

(4) Long-lived assets include property and equipment, net of accumulated depreciation and amortization.

(5) Substantially all of these long-lived assets relate to our operations in India.

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Interim Condensed Consolidated Financial Statements (Details) - USD ($) shares in Millions	6 Months Ended
	Jun. 30, 2016	Aug. 04, 2016
Equity, Class of Treasury Stock [Line Items]
Stock Repurchase Program, Authorized Amount	$ 2,000,000,000.0
Existing Stock Repurchase Program [Member] | Common Class A [Member]
Equity, Class of Treasury Stock [Line Items]
Stock repurchased during period, shares	5.1
Stock repurchased during period, value	$ 294,600,000
Stock-based compensation plan [Member] | Common Class A [Member]
Equity, Class of Treasury Stock [Line Items]
Stock repurchased during period, shares	0.7
Stock repurchased during period, value	$ 40,500,000
Remaining available balance under Board authorization for stock repurchases	$ 143,300,000
Subsequent Event [Member]
Equity, Class of Treasury Stock [Line Items]
Stock Repurchase Program, Authorized Amount		$ 3,000,000,000.0

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Business Combinations (Details) - Series of Individually Immaterial Business Acquisitions [Member] $ in Millions	6 Months Ended
	Jun. 30, 2016 USD ($) business
Business Acquisition [Line Items]
Number of business combinations (business) | business	3
Consideration transferred	$ 91.8
Goodwill	51.9
Customer Relationships [Member]
Business Acquisition [Line Items]
Intangible assets	$ 150.3
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life	7 years 1 month
Other Intangible Assets [Member]
Business Acquisition [Line Items]
Intangible assets	$ 0.2
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life	1 year

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Business Combinations Equity Method Investment (Details) - USD ($)	1 Months Ended
	Apr. 30, 2016	Jun. 30, 2016
Equity Method Investments and Joint Ventures [Abstract]
Ownership interest in equity method investment	49.00%	49.00%
Purchase price of equity method investment	$ 59,100,000
Remaining ownership interest, equity method investment	51.00%
Liability for written put option		$ 1,300,000
Potential additional contingent payments	$ 100,000,000.0

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Short-term Investments (Investments) (Details) - USD ($) $ in Millions	Jun. 30, 2016	Dec. 31, 2015
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale investment securities	$ 2,034.0	$ 2,014.8
Time deposits	762.7	809.5
Short-term Investments, Total	2,796.7	2,824.3
U.S. Treasury And Agency Debt Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale investment securities	639.4	527.1
Corporate And Other Debt Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale investment securities	396.8	360.5
Certificates of Deposit and Commercial Paper [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale investment securities	684.8	754.0
Asset-Backed Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale investment securities	168.2	229.6
Municipal Debt Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale investment securities	121.8	121.3
Mutual Funds [Member]
Schedule of Available-for-sale Securities [Line Items]
Available-for-sale investment securities	$ 23.0	$ 22.3

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Short-term Investments (Amortized Cost, Gross Unrealized Gains And Losses And Fair Value Of Investment Securities Available-For-Sale) (Details) - USD ($) $ in Millions	Jun. 30, 2016	Dec. 31, 2015
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	$ 2,031.3	$ 2,021.6
Unrealized Gains	6.4	0.6
Unrealized Losses	(3.7)	(7.4)
Available-for-sale securities, current	2,034.0	2,014.8
U.S. Treasury And Agency Debt Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	636.7	528.9
Unrealized Gains	2.7	0.0
Unrealized Losses	0.0	(1.8)
Available-for-sale securities, current	639.4	527.1
Corporate And Other Debt Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	394.9	361.9
Unrealized Gains	2.0	0.1
Unrealized Losses	(0.1)	(1.5)
Available-for-sale securities, current	396.8	360.5
Certificates of Deposit and Commercial Paper [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	685.0	754.0
Unrealized Gains	0.4	0.1
Unrealized Losses	(0.6)	(0.1)
Available-for-sale securities, current	684.8	754.0
Asset-Backed Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	167.5	230.3
Unrealized Gains	0.7	0.1
Unrealized Losses	0.0	(0.8)
Available-for-sale securities, current	168.2	229.6
Municipal Debt Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	121.2	121.2
Unrealized Gains	0.6	0.2
Unrealized Losses	0.0	(0.1)
Available-for-sale securities, current	121.8	121.3
Mutual Funds [Member]
Schedule of Available-for-sale Securities [Line Items]
Amortized Cost	26.0	25.3
Unrealized Gains	0.0	0.1
Unrealized Losses	(3.0)	(3.1)
Available-for-sale securities, current	$ 23.0	$ 22.3

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Short-term Investments (Available-For-Sale Securities In A Continuous Unrealized Loss Position) (Details) - USD ($) $ in Millions	6 Months Ended
	Jun. 30, 2016	Dec. 31, 2015
Schedule of Available-for-sale Securities [Line Items]
Fair Value available-for-sale securities Less than 12 Months	$ 297.0	$ 1,318.2
Unrealized losses, available-for-sale securities, Less than 12 Months	(0.7)	(4.2)
Fair value available-for-sale securities 12 Months or More	24.0	35.6
Other than Temporary Impairment Losses, Investments, Portion Recognized in Earnings, Net, Available-for-sale Securities	3.0	3.2
Total Fair Value available-for-sale securities	321.0	1,353.8
Unrealized losses, available-for-sale securities, Total	(3.7)	(7.4)
U.S. Treasury And Agency Debt Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Fair Value available-for-sale securities Less than 12 Months	44.5	475.7
Unrealized losses, available-for-sale securities, Less than 12 Months	0.0	(1.8)
Fair value available-for-sale securities 12 Months or More	0.0	0.0
Other than Temporary Impairment Losses, Investments, Portion Recognized in Earnings, Net, Available-for-sale Securities	0.0	0.0
Total Fair Value available-for-sale securities	44.5	475.7
Unrealized losses, available-for-sale securities, Total	0.0	(1.8)
Corporate And Other Debt Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Fair Value available-for-sale securities Less than 12 Months	71.5	315.1
Unrealized losses, available-for-sale securities, Less than 12 Months	(0.1)	(1.5)
Fair value available-for-sale securities 12 Months or More	0.9	3.1
Other than Temporary Impairment Losses, Investments, Portion Recognized in Earnings, Net, Available-for-sale Securities	0.0	0.0
Total Fair Value available-for-sale securities	72.4	318.2
Unrealized losses, available-for-sale securities, Total	(0.1)	(1.5)
Certificates of Deposit and Commercial Paper [Member]
Schedule of Available-for-sale Securities [Line Items]
Fair Value available-for-sale securities Less than 12 Months	155.5	271.5
Unrealized losses, available-for-sale securities, Less than 12 Months	(0.6)	(0.1)
Fair value available-for-sale securities 12 Months or More	0.0	0.0
Other than Temporary Impairment Losses, Investments, Portion Recognized in Earnings, Net, Available-for-sale Securities	0.0	0.0
Total Fair Value available-for-sale securities	155.5	271.5
Unrealized losses, available-for-sale securities, Total	(0.6)	(0.1)
Asset-Backed Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Fair Value available-for-sale securities Less than 12 Months	15.1	199.4
Unrealized losses, available-for-sale securities, Less than 12 Months	0.0	(0.7)
Fair value available-for-sale securities 12 Months or More	0.8	11.4
Other than Temporary Impairment Losses, Investments, Portion Recognized in Earnings, Net, Available-for-sale Securities	0.0	0.1
Total Fair Value available-for-sale securities	15.9	210.8
Unrealized losses, available-for-sale securities, Total	0.0	(0.8)
Municipal Debt Securities [Member]
Schedule of Available-for-sale Securities [Line Items]
Fair Value available-for-sale securities Less than 12 Months	9.1	56.5
Unrealized losses, available-for-sale securities, Less than 12 Months	0.0	(0.1)
Fair value available-for-sale securities 12 Months or More	0.6	0.0
Other than Temporary Impairment Losses, Investments, Portion Recognized in Earnings, Net, Available-for-sale Securities	0.0	0.0
Total Fair Value available-for-sale securities	9.7	56.5
Unrealized losses, available-for-sale securities, Total	0.0	(0.1)
Mutual Funds [Member]
Schedule of Available-for-sale Securities [Line Items]
Fair Value available-for-sale securities Less than 12 Months	1.3	0.0
Unrealized losses, available-for-sale securities, Less than 12 Months	0.0	0.0
Fair value available-for-sale securities 12 Months or More	21.7	21.1
Other than Temporary Impairment Losses, Investments, Portion Recognized in Earnings, Net, Available-for-sale Securities	3.0	3.1
Total Fair Value available-for-sale securities	23.0	21.1
Unrealized losses, available-for-sale securities, Total	(3.0)	$ (3.1)
Other than Temporary Impairment Losses, Investments, Portion Recognized in Earnings, Net, Available-for-sale Securities	$ 3.0

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Short-term Investments (Contractual Maturities Of Investments In Debt Securities Available-For-Sale) (Details) $ in Millions	Jun. 30, 2016 USD ($)
Amortized Cost
Due within one year	$ 877.5
Due after one year up to two years	527.5
Due after two years up to three years	334.0
Due after three years up to four years	98.8
Asset-backed securities	167.5
Amortized Cost	2,005.3
Fair Value
Due within one year	877.6
Due after one year up to two years	529.3
Due after two years up to three years	336.2
Due after three years up to four years	99.7
Asset-backed securities	168.2
Fair Value	$ 2,011.0

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Short-term Investments (Gross Gains (Losses) Realized On Sales, Maturities And Other Securities Transactions Related To Investment Securities) (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Investments [Abstract]
Proceeds from sales of available-for-sale investment securities	$ 1,816.6	$ 246.3	$ 2,378.2	$ 428.1
Gross gains	4.2	0.5	4.5	0.9
Gross losses	(0.1)	0.0	(0.4)	(0.1)
Net realized gains on sales of available-for-sale investment securities	$ 4.1	$ 0.5	$ 4.1	$ 0.8

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Accrued Expenses And Other Current Liabilities (Accrued Expenses And Other Current Liabilities) (Details) - USD ($) $ in Millions	Jun. 30, 2016	Dec. 31, 2015
Payables and Accruals [Abstract]
Compensation and benefits	$ 955.2	$ 1,272.0
Income Taxes	34.6	17.1
Professional fees	74.3	69.6
Travel and entertainment	32.5	29.8
Customer volume incentives	222.4	236.1
Derivative financial instruments	6.2	10.9
Other	239.8	182.9
Accrued Liabilities and Other Liabilities	$ 1,565.0	$ 1,818.4

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Debt - Additional Disclosures (Details)	Nov. 20, 2014 USD ($)
Term Loan [Member]
Line of Credit Facility [Line Items]
Principal amount of debt	$ 1,000,000,000.0
Revolving Credit Facility [Member]
Line of Credit Facility [Line Items]
Maximum borrowing capacity	$ 750,000,000
Period drawn notes have been outstanding	90 days

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Debt - Short-term Debt (Details) - USD ($) $ in Millions	Jun. 30, 2016	Dec. 31, 2015
Short-term Debt [Line Items]
Total short-term debt	$ 68.8	$ 406.3
Revolving Credit Facility [Member]
Short-term Debt [Line Items]
Notes outstanding under revolving credit facility	0.0	350.0
Term Loan [Member]
Short-term Debt [Line Items]
Term loan - current maturities	$ 68.8	$ 56.3

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Debt - Long-term Debt (Details) - USD ($) $ in Millions	Jun. 30, 2016	Dec. 31, 2015
Debt Instrument [Line Items]
Long-term debt, net of current maturities	$ 840.0	$ 876.8
Term Loan [Member]
Debt Instrument [Line Items]
Term loan, due 2019	912.5	937.5
Current maturities	(68.8)	(56.3)
Debt Issuance Costs, Net	(3.7)	(4.4)
Long-term debt, net of current maturities	$ 840.0	$ 876.8

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Income Taxes (Narrative) (Details) - USD ($) $ in Millions	1 Months Ended	3 Months Ended				6 Months Ended		12 Months Ended
	May 31, 2016	Dec. 31, 2016	Sep. 30, 2016	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015	Dec. 31, 2016
One-time Transaction [Table] [Line Items]
Income tax expense				$ 342.4	$ 128.7	$ 490.3	$ 256.4
Incentive period for SEZs, years						15 years
Current MAT rate						21.30%
Regular corporate income tax rate in India						34.60%
India Cash Remittance [Member]
One-time Transaction [Table] [Line Items]
Foreign Earnings Repatriated	$ 2,800.0
Income tax expense				190.0
India Cash Remittance [Member] | U.S.
One-time Transaction [Table] [Line Items]
Foreign Earnings Repatriated	1,200.0
Foreign Earnings Repatriated, Net of Tax	1,000.0
India Cash Remittance [Member] | Outside of U.S.
One-time Transaction [Table] [Line Items]
Foreign Earnings Repatriated	$ 1,600.0
India Cash Remittance [Member] | Scenario, Forecast
One-time Transaction [Table] [Line Items]
Income tax expense								$ 237.5
India Cash Remittance Current Year Earnings [Member] [Domain] | Scenario, Forecast
One-time Transaction [Table] [Line Items]
Income tax expense		$ 23.7	$ 23.7
India Cash Remittance - Historic Undistributed Accumulated Earnings [Member] [Domain]
One-time Transaction [Table] [Line Items]
Income tax expense				$ 142.6

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Income Taxes (Schedule Of Effective Tax Rate) (Details)	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Income Tax Disclosure [Abstract]
Effective income tax rate	57.60%	23.50%	41.40%	24.20%

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Derivative Financial Instruments (Narrative) (Details) $ in Millions	6 Months Ended
	Jun. 30, 2016 USD ($)
Derivative Instruments and Hedging Activities Disclosure [Abstract]
Cash flow hedge gains expected to be reclassified to earnings within the next 12 months	$ 3.6
Cash flow hedge ineffectiveness is immaterial	Hedge ineffectiveness was immaterial for all periods presented.

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Derivative Financial Instruments (Location And Fair Values Of Derivative Financial Instruments In Our Consolidated Statement Of Financial Position) (Details) - USD ($) $ in Millions	Jun. 30, 2016	Dec. 31, 2015
Derivatives, Fair Value [Line Items]
Derivative assets fair value	$ 16.1	$ 9.2
Derivative liabilities fair value	14.4	24.4
Cash Flow Hedging [Member] | Designated as Hedging Instrument [Member] | Foreign Exchange Forward [Member]
Derivatives, Fair Value [Line Items]
Derivative assets fair value	13.8	8.8
Derivative liabilities fair value	14.4	23.2
Cash Flow Hedging [Member] | Designated as Hedging Instrument [Member] | Foreign Exchange Forward [Member] | Other Current Assets [Member]
Derivatives, Fair Value [Line Items]
Derivative assets fair value	10.9	7.2
Cash Flow Hedging [Member] | Designated as Hedging Instrument [Member] | Foreign Exchange Forward [Member] | Other Noncurrent Assets [Member]
Derivatives, Fair Value [Line Items]
Derivative assets fair value	2.9	1.6
Cash Flow Hedging [Member] | Designated as Hedging Instrument [Member] | Foreign Exchange Forward [Member] | Accrued Expenses And Other Current Liabilities [Member]
Derivatives, Fair Value [Line Items]
Derivative liabilities fair value	6.2	9.7
Cash Flow Hedging [Member] | Designated as Hedging Instrument [Member] | Foreign Exchange Forward [Member] | Other Noncurrent Liabilities [Member]
Derivatives, Fair Value [Line Items]
Derivative liabilities fair value	8.2	13.5
Other Derivatives [Member] | Not Designated as Hedging Instrument [Member] | Foreign Exchange Forward [Member]
Derivatives, Fair Value [Line Items]
Derivative assets fair value	2.3	0.4
Derivative liabilities fair value	0.0	1.2
Other Derivatives [Member] | Not Designated as Hedging Instrument [Member] | Foreign Exchange Forward [Member] | Other Current Assets [Member]
Derivatives, Fair Value [Line Items]
Derivative assets fair value	2.3	0.4
Other Derivatives [Member] | Not Designated as Hedging Instrument [Member] | Foreign Exchange Forward [Member] | Accrued Expenses And Other Current Liabilities [Member]
Derivatives, Fair Value [Line Items]
Derivative liabilities fair value	$ 0.0	$ 1.2

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Derivative Financial Instruments (Notional Value Of Outstanding Cash Flow Hedge Contracts By Year Of Maturity And Net Unrealized (Loss) Gain Included In Accumulated Other Comprehensive Income) (Details) - USD ($) $ in Millions	Jun. 30, 2016	Mar. 31, 2016	Dec. 31, 2015	Jun. 30, 2015	Mar. 31, 2015	Dec. 31, 2014
Derivative [Line Items]
Net unrealized (losses) included in accumulated other comprehensive income (loss), net of taxes	$ (0.3)	$ 8.0	$ (11.7)	$ (37.6)	$ (44.5)	$ (86.7)
Foreign Exchange Forward [Member]
Derivative [Line Items]
Net unrealized (losses) included in accumulated other comprehensive income (loss), net of taxes	(0.3)		(11.7)
Designated as Hedging Instrument [Member] | Foreign Exchange Forward [Member] | Cash Flow Hedging [Member]
Derivative [Line Items]
Notional value of contracts outstanding	2,070.0		2,445.0
Designated as Hedging Instrument [Member] | Foreign Exchange Forward, Maturity 2016 [Member] | Cash Flow Hedging [Member]
Derivative [Line Items]
Notional value of contracts outstanding	615.0		1,215.0
Designated as Hedging Instrument [Member] | Foreign Exchange Forward, Maturity 2017 [Member] | Cash Flow Hedging [Member]
Derivative [Line Items]
Notional value of contracts outstanding	1,050.0		900.0
Designated as Hedging Instrument [Member] | Foreign Exchange Forward, Maturity 2018 [Member] | Cash Flow Hedging [Member]
Derivative [Line Items]
Notional value of contracts outstanding	$ 405.0		$ 330.0

XML

Derivative Financial Instruments (Location And Amounts Of Pre-Tax Gains (Losses) On Cash Flow Hedge Derivatives Financial Instruments) (Details) - Cash Flow Hedging [Member] - Designated as Hedging Instrument [Member] - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net	$ 3.2	$ (17.2)	$ 0.7	$ (30.9)
Cost Of Revenues [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net	2.7	(14.1)	0.6	(25.3)
Selling, General and Administrative Expenses [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Instruments, Gain (Loss) Reclassified from Accumulated OCI into Income, Effective Portion, Net	0.5	(3.1)	0.1	(5.6)
Foreign Exchange Forward [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Increase (decrease) in Derivative Gains (Losses) Recognized in Accumulated Other Comprehensive Income (Loss) (effective portion)	$ (7.5)	$ (9.0)	$ 14.5	$ 25.7

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Derivative Financial Instruments (Other Derivatives) (Details) - Not Designated as Hedging Instrument [Member] - Foreign Exchange Forward [Member] - USD ($) $ in Millions	Jun. 30, 2016	Dec. 31, 2015
Derivative [Line Items]
Notional	$ 211.3	$ 165.5
Market Value	$ 2.3	$ (0.8)

XML

Derivative Financial Instruments (Location And Amounts Of Pre-Tax Gains (Losses) On Derivative Financial Instruments Not Designated As Hedges) (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Not Designated as Hedging Instrument [Member] | Foreign Exchange Forward [Member] | Foreign Currency Exchange Gains (Losses), net [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Amount of net gains (losses) on derivative instruments	$ 2.5	$ 0.1	$ (0.3)	$ (1.7)

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Fair Value Measurements (Financial Assets And (Liabilities) Measured At Fair Value On A Recurring Basis) (Details) - USD ($) $ in Millions	Jun. 30, 2016	Dec. 31, 2015
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities, current	$ 2,034.0	$ 2,014.8
U.S. Treasury And Agency Debt Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities, current	639.4	527.1
Corporate And Other Debt Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities, current	396.8	360.5
Certificates of Deposit and Commercial Paper [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities, current	684.8	754.0
Asset-Backed Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities, current	168.2	229.6
Municipal Debt Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities, current	121.8	121.3
Mutual Funds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale securities, current	23.0	22.3
Recurring [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	439.8	495.9
Time deposits	762.7	809.5
Available-for-sale investment securities	2,011.0	1,992.5
Investments	2,773.7	2,802.0
Total	3,215.2	3,282.7
Recurring [Member] | Other Current Assets [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative financial instruments, assets	13.2	7.6
Recurring [Member] | Accrued Expenses And Other Current Liabilities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative financial instruments, liabilities	(6.2)	(10.9)
Recurring [Member] | Other Noncurrent Assets [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative financial instruments, assets	2.9	1.6
Recurring [Member] | Other Noncurrent Liabilities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative financial instruments, liabilities	(8.2)	(13.5)
Recurring [Member] | U.S. Treasury And Agency Debt Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale investment securities	639.4	527.1
Recurring [Member] | Corporate And Other Debt Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale investment securities	396.8	360.5
Recurring [Member] | Certificates of Deposit and Commercial Paper [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale investment securities	684.8	754.0
Recurring [Member] | Asset-Backed Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale investment securities	168.2	229.6
Recurring [Member] | Municipal Debt Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale investment securities	121.8	121.3
Recurring [Member] | Money Market Funds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	262.6	495.9
Recurring [Member] | Bank Time Deposits [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	25.0
Recurring [Member] | Commercial Paper [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	152.2
Recurring [Member] | Level 1 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	262.6	495.9
Time deposits	0.0	0.0
Available-for-sale investment securities	600.3	463.7
Investments	600.3	463.7
Total	862.9	959.6
Recurring [Member] | Level 1 [Member] | Other Current Assets [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative financial instruments, assets	0.0	0.0
Recurring [Member] | Level 1 [Member] | Accrued Expenses And Other Current Liabilities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative financial instruments, liabilities	0.0	0.0
Recurring [Member] | Level 1 [Member] | Other Noncurrent Assets [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative financial instruments, assets	0.0	0.0
Recurring [Member] | Level 1 [Member] | Other Noncurrent Liabilities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative financial instruments, liabilities	0.0	0.0
Recurring [Member] | Level 1 [Member] | U.S. Treasury And Agency Debt Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale investment securities	600.3	463.7
Recurring [Member] | Level 1 [Member] | Corporate And Other Debt Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale investment securities	0.0	0.0
Recurring [Member] | Level 1 [Member] | Certificates of Deposit and Commercial Paper [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale investment securities	0.0	0.0
Recurring [Member] | Level 1 [Member] | Asset-Backed Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale investment securities	0.0	0.0
Recurring [Member] | Level 1 [Member] | Municipal Debt Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale investment securities	0.0	0.0
Recurring [Member] | Level 1 [Member] | Money Market Funds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	262.6	495.9
Recurring [Member] | Level 1 [Member] | Commercial Paper [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	0.0
Recurring [Member] | Level 2 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	177.2	0.0
Time deposits	762.7	809.5
Available-for-sale investment securities	1,410.7	1,528.8
Investments	2,173.4	2,338.3
Total	2,352.3	2,323.1
Recurring [Member] | Level 2 [Member] | Other Current Assets [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative financial instruments, assets	13.2	7.6
Recurring [Member] | Level 2 [Member] | Accrued Expenses And Other Current Liabilities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative financial instruments, liabilities	(6.2)	(10.9)
Recurring [Member] | Level 2 [Member] | Other Noncurrent Assets [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative financial instruments, assets	2.9	1.6
Recurring [Member] | Level 2 [Member] | Other Noncurrent Liabilities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative financial instruments, liabilities	(8.2)	(13.5)
Recurring [Member] | Level 2 [Member] | U.S. Treasury And Agency Debt Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale investment securities	39.1	63.4
Recurring [Member] | Level 2 [Member] | Corporate And Other Debt Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale investment securities	396.8	360.5
Recurring [Member] | Level 2 [Member] | Certificates of Deposit and Commercial Paper [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale investment securities	684.8	754.0
Recurring [Member] | Level 2 [Member] | Asset-Backed Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale investment securities	168.2	229.6
Recurring [Member] | Level 2 [Member] | Municipal Debt Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale investment securities	121.8	121.3
Recurring [Member] | Level 2 [Member] | Money Market Funds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents		0.0
Recurring [Member] | Level 2 [Member] | Bank Time Deposits [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	25.0
Recurring [Member] | Level 2 [Member] | Commercial Paper [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	152.2
Recurring [Member] | Level 3 [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents		0.0
Time deposits	0.0	0.0
Available-for-sale investment securities	0.0	0.0
Investments	0.0	0.0
Total	0.0	0.0
Recurring [Member] | Level 3 [Member] | Other Current Assets [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative financial instruments, assets	0.0	0.0
Recurring [Member] | Level 3 [Member] | Accrued Expenses And Other Current Liabilities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative financial instruments, liabilities	0.0	0.0
Recurring [Member] | Level 3 [Member] | Other Noncurrent Assets [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative financial instruments, assets	0.0	0.0
Recurring [Member] | Level 3 [Member] | Other Noncurrent Liabilities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Derivative financial instruments, liabilities	0.0	0.0
Recurring [Member] | Level 3 [Member] | U.S. Treasury And Agency Debt Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale investment securities	0.0	0.0
Recurring [Member] | Level 3 [Member] | Corporate And Other Debt Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale investment securities	0.0
Recurring [Member] | Level 3 [Member] | Certificates of Deposit and Commercial Paper [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale investment securities	0.0	0.0
Recurring [Member] | Level 3 [Member] | Asset-Backed Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale investment securities	0.0	0.0
Recurring [Member] | Level 3 [Member] | Municipal Debt Securities [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Available-for-sale investment securities	0.0	0.0
Recurring [Member] | Level 3 [Member] | Money Market Funds [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents		$ 0.0
Recurring [Member] | Level 3 [Member] | Commercial Paper [Member]
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items]
Cash equivalents	$ 0.0

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Accumulated Other Comprehensive Income (Loss) (Schedule Of Changes In Accumulated Other Comprehensive Income (Loss) By Component) (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Foreign Currency Translation Adjustment, Before Taxes [Roll Forward]
Foreign currency translation adjustments, beginning balance, before tax	$ (70.4)	$ (75.6)	$ (89.9)	$ (34.8)
Change in foreign currency translation, before tax	(28.6)	23.2	(9.1)	(17.6)
Foreign currency translation adjustments, ending balance, before tax	(99.0)	(52.4)	(99.0)	(52.4)
Foreign Currency Translation Adjustment, Tax [Roll Forward]
Foreign currency translation adjustment, beginning balance, tax	0.0	0.0	0.0	0.0
Change in foreign currency translation, tax	0.0	0.0	0.0	0.0
Foreign currency translation adjustment, ending balance, tax	0.0	0.0	0.0	0.0
Foreign Currency Translation Adjustment, Net of Tax [Roll Forward]
Foreign currency translation adjustments, beginning balance, net of tax	(70.4)	(75.6)	(89.9)	(34.8)
Change in foreign currency translation, net of tax	(28.6)	23.2	(9.1)	(17.6)
Foreign currency translation adjustments, ending balance, net of tax	(99.0)	(52.4)	(99.0)	(52.4)
Available-for-sale Securities Adjustment, Before Taxes [Roll Forward]
Unrealized gains (losses) on available-for-sale investment securities, beginning balance, before tax	1.5	1.5	(6.8)	(2.4)
Unrealized (losses) gains arising on available-for-sale investment securities during the period, before tax	5.3	(1.6)	13.6	2.6
Reclassification of (gains) to other, net on available-for-sale investment securities, before tax	(4.1)	(0.4)	(4.1)	(0.7)
Other-than-temporary impairment losses on investment securities recognized in earnings, before tax	3.0		3.0
Net change on available-for-sale investment securities, before tax	4.2	(2.0)	12.5	1.9
Unrealized gains (losses) on available-for-sale investment securities, ending balance, before tax	5.7	(0.5)	5.7	(0.5)
Available-for-sale Securities Adjustment, Tax [Roll Forward]
Unrealized gains (losses) on available-for-sale investment securities, beginning balance, tax	(0.7)	(0.7)	2.2	0.8
Unrealized (losses) gains arising on available-for-sale investment securities during the period, tax	(1.7)	0.5	(4.6)	(1.2)
Reclassification of (gains) to other, net on available-for-sale investment securities, tax	1.5	0.2	1.5	0.4
Other-than-temporary impairment losses on investment securities recognized in earnings, tax	(1.2)		(1.2)
Net change on available-for-sale investment securities, tax	(1.4)	0.7	(4.3)	(0.8)
Unrealized gains (losses) on available-for-sale investment securities, ending balance, tax	(2.1)	0.0	(2.1)	0.0
Available-for-sale Securities Adjustment, Net of Tax [Roll Forward]
Unrealized gains (losses) on available-for-sale investment securities, beginning balance, net of tax	0.8	0.8	(4.6)	(1.6)
Unrealized (losses) gains arising on available-for-sale investment securities during the period, net of tax	3.6	(1.1)	9.0	1.4
Reclassification of (gains) to other, net on available-for-sale investment securities, net of tax	(2.6)	(0.2)	(2.6)	(0.3)
Other-than-temporary impairment losses on investment securities recognized in earnings, after tax	1.8		1.8
Net change on available-for-sale investment securities, net of tax	2.8	(1.3)	8.2	1.1
Unrealized gains (losses) on available-for-sale investment securities, ending balance, net of tax	3.6	(0.5)	3.6	(0.5)
Cumulative Changes in Net Gain (Loss) from Cash Flow Hedges, Before Taxes [Roll Forward]
Unrealized (losses) on cash flow hedges, beginning balance, before tax	10.1	(54.2)	(14.4)	(102.6)
Unrealized (losses) arising on cash flow hedges during the period, before tax	(7.5)	(9.0)	14.5	25.7
Net change on cash flow hedges, before tax	(10.7)	8.2	13.8	56.6
Unrealized (losses) on cash flow hedges, ending balance, before tax	(0.6)	(46.0)	(0.6)	(46.0)
Cumulative Changes in Net Gain (Loss) from Cash Flow Hedges, Tax [Roll Forward]
Unrealized (losses) on cash flow hedges, beginning balance, tax	(2.1)	9.7	2.7	15.9
Unrealized (losses) arising on cash flow hedges during the period, tax	1.7	1.8	(2.5)	(1.9)
Net change on cash flow hedges, tax	2.4	(1.3)	(2.4)	(7.5)
Unrealized (losses) on cash flow hedges, ending balance, tax	0.3	8.4	0.3	8.4
Cumulative Changes in Net Gain (Loss) from Cash Flow Hedges, Effect Net of Tax [Roll Forward]
Unrealized (losses) on cash flow hedges, beginning balance, net of tax	8.0	(44.5)	(11.7)	(86.7)
Unrealized (losses) arising on cash flow hedges during the period, net of tax	(5.8)	(7.2)	12.0	23.8
Net change on cash flow hedges, net of tax	(8.3)	6.9	11.4	49.1
Unrealized (losses) on cash flow hedges, ending balance, net of tax	(0.3)	(37.6)	(0.3)	(37.6)
Accumulated Other Comprehensive Income (Loss), Before Taxes [Roll Forward]
Accumulated other comprehensive income (loss), beginning balance, before tax	(58.8)	(128.3)	(111.1)	(139.8)
Other comprehensive income loss, before tax	(35.1)	29.4	17.2	40.9
Accumulated other comprehensive income (loss), ending balance, before tax	(93.9)	(98.9)	(93.9)	(98.9)
Accumulated Other Comprehensive Income (Loss), Tax [Roll Forward]
Accumulated other comprehensive income (loss), beginning balance, tax	(2.8)	9.0	4.9	16.7
Other comprehensive income loss, tax	1.0	(0.6)	(6.7)	(8.3)
Accumulated other comprehensive income (loss), ending balance, tax	(1.8)	8.4	(1.8)	8.4
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward]
Accumulated other comprehensive income (loss), beginning balance, net of tax	(61.6)	(119.3)	(106.2)	(123.1)
Other comprehensive income (loss)	(34.1)	28.8	10.5	32.6
Accumulated other comprehensive income (loss), ending balance, net of tax	(95.7)	(90.5)	(95.7)	(90.5)
Cost Of Revenues [Member]
Cumulative Changes in Net Gain (Loss) from Cash Flow Hedges, Before Taxes [Roll Forward]
Reclassifications of losses on cash flow hedges, before tax	(2.7)	14.1	(0.6)	25.3
Cumulative Changes in Net Gain (Loss) from Cash Flow Hedges, Tax [Roll Forward]
Reclassification of losses on cash flow hedges, tax	0.6	(2.6)	0.1	(4.6)
Cumulative Changes in Net Gain (Loss) from Cash Flow Hedges, Effect Net of Tax [Roll Forward]
Reclassification of losses on cash flow hedges, net of tax	(2.1)	11.5	(0.5)	20.7
Selling, General and Administrative Expenses [Member]
Cumulative Changes in Net Gain (Loss) from Cash Flow Hedges, Before Taxes [Roll Forward]
Reclassifications of losses on cash flow hedges, before tax	(0.5)	3.1	(0.1)	5.6
Cumulative Changes in Net Gain (Loss) from Cash Flow Hedges, Tax [Roll Forward]
Reclassification of losses on cash flow hedges, tax	0.1	(0.5)	0.0	(1.0)
Cumulative Changes in Net Gain (Loss) from Cash Flow Hedges, Effect Net of Tax [Roll Forward]
Reclassification of losses on cash flow hedges, net of tax	$ (0.4)	$ 2.6	$ (0.1)	$ 4.6

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Commitments and Contingencies (Details) $ in Millions	Jun. 30, 2016 USD ($)
Commitments and Contingencies [Abstract]
Purchase Commitments Related to Capital Expansion Plan	$ 184.0

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Segment Information (Narrative) (Details)	6 Months Ended
	Jun. 30, 2016
Segment Reporting [Abstract]
Percentage of consolidated revenues and segment operating profit, less than 10%	10.00%

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Segment Information (Revenues From External Customers And Segment Operating Profit) (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015
Segment Reporting Information [Line Items]
Revenues	$ 3,369.9	$ 3,085.1	$ 6,571.9	$ 5,996.5
Income from operations	590.9	545.5	1,144.9	1,045.8
Operating Segments [Member]
Segment Reporting Information [Line Items]
Revenues	3,369.9	3,085.1	6,571.9	5,996.5
Income from operations	1,089.2	1,061.7	2,148.4	1,927.5
Operating Segments [Member] | Financial Services [Member]
Segment Reporting Information [Line Items]
Revenues	1,351.2	1,250.1	2,636.9	2,411.2
Income from operations	459.3	420.1	882.3	767.5
Operating Segments [Member] | Healthcare [Member]
Segment Reporting Information [Line Items]
Revenues	958.8	897.3	1,872.9	1,776.4
Income from operations	270.0	317.5	565.2	562.6
Operating Segments [Member] | Manufacturing/Retail/Logistics [Member]
Segment Reporting Information [Line Items]
Revenues	660.4	578.3	1,292.9	1,127.2
Income from operations	225.9	201.2	445.3	382.5
Operating Segments [Member] | Other [Member]
Segment Reporting Information [Line Items]
Revenues	399.5	359.4	769.2	681.7
Income from operations	134.0	122.9	255.6	214.9
Corporate, Non-Segment [Member]
Segment Reporting Information [Line Items]
Unallocated costs	498.3	$ 516.2	$ 1,003.5	$ 881.7
Contracts Accounted for under Percentage of Completion [Member]
Segment Reporting Information [Line Items]
Loss on Contracts	$ 27.4

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Segment Information (Revenues And Long-Lived Assets By Geographic Area) (Details) - USD ($) $ in Millions	3 Months Ended		6 Months Ended
	Jun. 30, 2016	Jun. 30, 2015	Jun. 30, 2016	Jun. 30, 2015	Dec. 31, 2015
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues	$ 3,369.9	$ 3,085.1	$ 6,571.9	$ 5,996.5
Long-lived Assets	1,287.4		1,287.4		$ 1,271.4
North America [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues	2,624.1	2,423.9	5,121.4	4,715.9
Long-lived Assets	273.7		273.7		242.4
Europe [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues	547.2	502.3	1,072.6	978.2
Long-lived Assets	34.5		34.5		32.2
UNITED KINGDOM
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues	310.7	297.6	609.5	582.7
Europe, excluding United Kingdom [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues	236.5	204.7	463.1	395.5
Other Regions [Member]
Revenues from External Customers and Long-Lived Assets [Line Items]
Revenues	198.6	$ 158.9	377.9	$ 302.4
Long-lived Assets	$ 979.2		$ 979.2		$ 996.8