8-K

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of

the Securities Exchange Act of 1934

April 28, 2008

Date of Report (Date of Earliest Event Reported)

Total System Services, Inc.

(Exact Name of Registrant as Specified in its Charter)

Georgia
(State of Incorporation) 1-10254
(Commission File Number) 58-1493818
(IRS Employer Identification No.)

1600 First Avenue, Columbus, Georgia 31901

(Address of principal executive offices) (Zip Code)

(706) 649-2267

(Registrant's telephone number, including area code)

________________________________________________

(Former name or former address, if changed since last report)

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

□ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

□ Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)

□ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

□ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

Item 2.02	Results of Operations and Financial Condition.
	On April 28, 2008, Total System Services, Inc. (“Registrant”) issued a press release and will hold an investor call and webcast on April 29, 2008 to disclose financial results for the quarter ended March 31, 2008. The press release and Supplemental Information for use at this investor call are attached hereto as Exhibits 99.1 and 99.2 and incorporated herein by reference. This information shall not be deemed to be filed for purposes of Section 18 of the Securities Exchange Act of 1934 or incorporated by reference into any document filed under the Securities Act of 1933 or the Securities Exchange Act of 1934 except as shall be expressly set forth by specific reference in such filing.
Item 7.01	Regulation FD Disclosure. See Item 2.02 above.
Item 9.01	Financial Statements and Exhibits.
	(d)	Exhibits
	Exhibit No.	Description
	99.1	Registrant's press release dated April 28, 2008
	99.2	Supplemental Information prepared for use with the press release

2

Signature

Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, Registrant has caused this report to be signed on its behalf by the undersigned hereunto duly authorized.

	TOTAL SYSTEM SERVICES, INC. ("Registrant")
Dated: April 28, 2008	By:/s/ Kathleen Moates Kathleen Moates Senior Deputy General Counsel

3

EX-99.1

Exhibit 99.1

Total System Services, Inc.

1600 First Ave. +1.706.649.2307

P.O. Box 2567 +1.706.649.5740

Columbus, GA 31902-2567 www.tsys.com

For immediate release.

Contacts:

James B. Lipham Chief Financial Officer +1.706.649.2262 Shawn Roberts TSYS Investor Relations +1.706.644.6081 shawnroberts@tsys.com

TSYS Reports Results for First Quarter 2008

Columbus, Ga., April 28, 2008— TSYS today announced first quarter of 2008 total revenues of $462 million, operating income of $87 million, net income of $57 million, and basic earnings per share of $0.29 on a generally accepted accounting principles (GAAP) basis. Included in operating expenses in the quarter were $6.9 million of non-recurring spin-related expenses, or approximately $0.02 per share. Excluding these one-time items related to the spin-off of TSYS by its former parent, Synovus Financial Corp., on December 31, 2007, non-GAAP earnings per share for the quarter were $0.31.

First Quarter Financial Highlights

• Total revenues increased 8% over the same period in 2007. Excluding revenues associated with deconverted portfolios, pro forma total revenues increased 14% over the same period in 2007.

• Revenues from the international-based support services segment grew 28% over 2007’s first quarter.

• Operating income on a GAAP basis increased 1% over the first quarter of 2007. On a non-GAAP basis, excluding the $6.9 million of non-recurring spin-related expenses, operating income increased 9% over the first quarter of 2007.

• First quarter operating income margins were 24% of revenues before reimbursables and 19% of total revenues on a GAAP basis. On a non-GAAP basis, excluding the $6.9 million of non-recurring spin-related expenses, operating income margins were 26% of revenues before reimbursables and 20% of total revenues. In the first quarter of 2007, operating income margins were 25% and 20% of revenues before reimbursables and total revenues, respectively.

• Net income on a GAAP basis decreased 1% compared to the first quarter of 2007. On a non-GAAP basis, excluding the $5 million after-tax impact of non-recurring spin-related expenses, net income increased 8% over 2007.

Page 1 of 13

• GAAP basic earnings per share were $0.29. Adjusted for the $0.02 per share of non-recurring spin-related expenses, non-GAAP earnings per share were $0.31, a 7% increase over the first three months of 2007.

• The company used approximately $11 million to repurchase 500,000 shares of its common stock in the open market.

“Our outstanding first quarter results as a fully independent, publicly traded company reflect ourcommitment to our core processing business and our global market strategy. We continue to benefit from the secular trend of increased usage of electronic payments and transactions over the use of cash and checks. Our operating margins remain steady and our organic revenue growth of 11% continues to support our business model of providing our services faster, cheaper and better than our competitors. Our non-operating income is down due to the payment of the $600 million special cash dividend at the end of last year in connection with the spin-off,” said Philip W. Tomlinson, chairman of the board and chief executive officer of TSYS.

“We are on track to achieve our previously announced guidance to grow both total revenues and net income in 2008 over 2007 in the range of 7% to 9%, and to grow our operating income in the double digit range of 12% to 14%. With our strong and stable cash flow, we expect to bring the bottom line growth right along with the operating income growth,” said Tomlinson.

This press release includes pro forma financial information that is not in accordance with GAAP. A reconciliation of non-GAAP to GAAP measures is included in this press release in the form of tables that should be read in conjunction with this pro forma information.

Recent Highlights

• TSYS announced the renewal of a long-term agreement with Target Corporation, the operator of Target and SuperTarget stores, to service its REDcard portfolio. The multi-year agreement will include systems processing for Target® Visa® Credit Card, Target Credit Card^SM, Target Check Card^SM and the Target Business Card®. Target began working with TSYS in 2000 for the launch of its Visa product. TSYS began supporting the Target Credit Card^SM portfolio in 2005.

• TSYS completed a contract to provide Standard Bank of South Africa card issuing, merchant acquiring and related payment services for the multiple countries across Africa in which Standard Bank operates. The South African-based financial services company has a global presence, operating in 18 countries in Africa and 20 on other continents, including the key financial centers of Europe, the Americas and Asia.

• TSYS announced the launch of ingenuity in action: n>gen^SM, a new business paradigm that makes it easy for TSYS clients to efficiently and thoroughly manage all their complex payments-related business needs with point-and-click ease. n>gen is not a new platform and use of n>gen will not require conversion to a new platform — it adds a new level of business intelligence made available through analytical-based services, giving institutions a “total” view of their portfolios to make actionable, well-informed decisions on growth opportunities and overall risk.

• Rod Boyer, a 21-year veteran of the payments and technology industries, was recently named president of TSYS Loyalty.

Page 2 of 13

• TSYS Loyalty announced the development of an innovative product that calculates points and rewards for customers who subscribe to multiple products with a single financial institution, including direct deposit, credit, mortgage, insurance and Certificate of Deposit accounts. TSYS Enterprise Rewards^SM (patent pending) also supports a Web interface, which allows the subscriber to manage their total relationship with a single access point.

• TSYS Healthcare successfully launched the industry’s most advanced benefits payments system. Fringe Benefits Management Company, the first third-party administrator to use this innovative solution, offers its subscribers the ability to pay from multiple healthcare tax-advantaged accounts, credit accounts and cash accounts through a single card.

Page 3 of 13

Projected Outlook for 2008

TSYS' expects its 2008 net income to increase between 7-9%, as compared to 2007, based on thefollowing assumptions:

1. Expenses associated with the spin-off, net of tax, will be $10 million. In 2008, expenses associated with the spin-off are classified under GAAP as operating expenses and income taxes. These estimates are subject to change as operating expenses include estimates of services being provided on an ongoing basis during the transition period after the spin-off. These items are summarized as follows with a comparison to 2007 for the sake of clarity,

	2008E	2007
Conversion of Synovus stock options to TSYS stock options	$7	6
Other operating expenses	9	8
Total operating expenses	$16	14
Tax impact*	(6)	(2)
Other operating expenses, net of tax impact	$10	12
Income taxes related to deconsolidation	-	11
Total	$10	23

* Certain expenses in a re-organization, such as the spin-off, are not deductible for tax purposes. A majority of the expenses in 2007 are not deductible. A smaller amount of non-deductible expenses is expected in 2008.

2. There will be no significant movements in LIBOR. TSYS’ guidance does not include any significant draws on its $252 million revolving credit facility.

3. Estimated total revenues will increase 7% to 9% in 2008. Excluding the revenues associated with deconverted portfolios and reimbursable items, estimated pro forma total revenues will increase in the range of 12% to 14% over 2007 levels.

4. Anticipated growth levels in employment, equipment and other expenses, which are included in 2008 estimates, will be accomplished.

5. There will be no significant movement in foreign currency exchange rates related to TSYS’ business.

6. TSYS will not incur significant expenses associated with the conversion of new large clients or acquisitions, or any significant impairment of goodwill or other intangibles, and there will be no significant portfolio deconversions.

Page 4 of 13

            Presentation of revenues and earnings excluding the spin-related costs, revenues associated with deconverted portfolios, and reimbursable items are non-GAAP financial measures. The following table is a reconciliation of the range of changes from 2007 to 2008, comparing non-GAAP financial measures to GAAP financial measures for 2007 and estimated financial measures for 2008.

(Amounts in millions of dollars; certain amounts have been adjusted due to rounding)	Range of Guidance ($ in millions)
	2008 Forecast	2007 Actual	08 vs. 07 Percent Change
TOTAL REVENUES	$1,928 to $1,964	$1,806	7% to 9%
Less: reimbursable items	($391 to $399)	($378)
Revenues excluding reimbursable items	$1,537 to $1,565	$1,428	8% to 10%
Less: revenues associated with deconverted portfolios	-	($55)
Revenues excluding reimbursable items and revenues associated with deconverted portfolios	$1,537 to $1,565	$1,373	12% to 14%
NET INCOME	$254 to $259	$237	7% to 9%
Add: interest, taxes and other non-operating items	$142 to $144	$117
OPERATING INCOME	$396 to $403	$354	12% to 14%
Add: operating spin-related costs	$16	$14
Operating income, excluding spin-related expenses	$412 to $419	$368	12% to 14%
Add: depreciation and amortization	$151	$152
EBITDA – earnings before interest, taxes, depreciation and amortization, excluding spin-related costs	$563 to $570	$520	8% to 10%

NET INCOME	$254 to $259	$237	7% to 9%
Add: spin-related costs, net of tax	$10	$23
Net income, excluding spin-related expenses	$264 to $269	$260	1% to 3%
EARNINGS PER SHARE (EPS) - BASIC	$1.29 to $1.31	$1.21	7% to 9%
Add: spin-related costs, net of tax per share	$0.05	$0.11
EPS, excluding spin-related expenses	$1.34 to $1.36	$1.32	1% to 3%
Common shares outstanding	197.405	196.759

Page 5 of 13

TSYS believes the table above and the table on page 13 present meaningful information to assist investors in understanding the company’s changes in total revenues and net income from estimates in changes from 2007 to 2008 as a result of deconverted portfolios and spin-related costs as the non-GAAP financial measures exclude amounts that the company does not consider part of ongoing operating results. TSYS believes the information is useful for investors because it can provide a more complete understanding of TSYS’ underlying operational performance. The non-GAAP financial percentage changes should not be considered by themselves or as a substitute for the GAAP percentage changes year over year. The non-GAAP measures should be considered as an additional view of the way TSYS’ financial measures are affected by deconverted portfolios, reimbursable items and spin-related costs; and should be used in conjunction with all publicly filed financial statements and reports.

Conference Call

TSYS will host its quarterly conference call at 8:30 a.m. EDT, Tuesday, April 29, 2008. Theconference call can be accessed via simultaneous Internet broadcast at tsys.com by clicking on the “Conference Call” icon on the homepage. The replay will be archived for 12 months and will be available approximately 30 minutes after the completion of the call.

About TSYS

TSYS (www.tsys.com) is one of the world’s largest companies for outsourced payment services, offering a broad range of issuer- and acquirer-processing technologies that support consumer-finance, credit, debit, debt management, healthcare, loyalty, prepaid services and debt management for financial institutions and retail companies in the Americas, EMEA and Asia-Pacific regions. For more information, contact news@tsys.com.

This press release contains statements that constitute "forward-looking statements" within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934 as amended by the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, among others, statements regarding TSYS' earnings forecast for 2008, and the assumptions underlying such statements. These statements are based on the current beliefs and expectations of TSYS' management and are subject to significant risks and uncertainties. Actual results may differ materially from those contemplated by the forward-looking statements. A number of important factors could cause actual results to differ materially from those contemplated by our forward-looking statements in this press release. Many of these factors are beyond TSYS' ability to control or predict. These factors include, but are not limited to, one or more of the assumptions upon which TSYS' 2008 earnings forecast is based are incorrect. Additional factors that could cause actual results to differ materially from those contemplated in this release can be found in TSYS' filings with the Securities and Exchange Commission, including our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. We believe these forward-looking statements are reasonable; however, undue reliance should not be placed on any forward-looking statements, which are based on current expectations. We do not assume any obligation to update any forward-looking statements as a result of new information, future developments or otherwise.

© 2008 Total System Services, Inc.^® All rights reserved worldwide. Total System Services, Inc. and TSYS^® are federally registered service marks of Total System Services, Inc., in the United States. n>genuity in action: n>gen^SM is a service mark of Total System Services, Inc., in the United States and in other countries. Total System Services, Inc., and its affiliates own a number of service marks that are registered in the United States and in other countries. All other products and company names are trademarks of their respective companies.

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Page 6 of 13

EX-99.2

Exhibit 99.2

TSYS Announces First Quarter 2008 Earnings
Page 7 of 13
TSYS
Financial Highlights
(unaudited)
(in thousands, except per share data)
		Three Months Ended
		March 31,
				Percentage
		2008	2007	Change
Revenues
Electronic payment processing services*	$	241,279	230,060	4.9	%
Merchant acquiring services		61,667	60,680	1.6
Other services*		57,095	52,871	8.0
Revenues before reimbursables		360,041	343,611	4.8
Reimbursable items		101,682	85,992	18.2
Total revenues		461,723	429,603	7.5
Expenses
Salaries & other personnel expense*		148,317	140,445	5.6
Net occupancy & equipment expense*		72,886	67,348	8.2
Spin related expenses*		6,895	-	nm
Other operating expenses*		45,168	50,139	(9.9)
Expenses before reimbursable items		273,266	257,932	5.9
Reimbursable items		101,682	85,992	18.2
Total operating expenses		374,948	343,924	9.0
Operating income		86,775	85,679	1.3
Other income:
Interest income		2,563	5,488	(53.3)
Interest expense		(3,340)	(210)	nm
Gain on foreign currency translation, net		1,943	683	184.5
Dividend income		134	15	nm
Other income		1,300	5,976	(78.2)
Income before income taxes, minority interest
and equity in income of equity investments		88,075	91,655	(3.9)
Income taxes		33,035	34,892	(5.3)
Income before minority interest and equity
in income of equity investments		55,040	56,763	(3.0)
Minority interest		(250)	(350)	28.6
Equity in income of equity investments		1,824	860	112.1
Net income	$	56,614	57,273	(1.2)	%
Basic earnings per share	$	0.29	0.29	(1.3)	%
Diluted earnings per share	$	0.29	0.29	(1.3)	%
Dividend declared per share	$	0.07	0.07
Average common shares outstanding		196,745	196,487
Average common and common
equivalent shares outstanding		197,306	196,938
* Certain amounts have been previously reclassed to conform with the presentation adopted in 2008.
nm = not meaningful
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TSYS Announces First Quarter 2008 Earnings
Page 8 of 13
TSYS
Segment Breakdown
(unaudited)
(in thousands)
		Three Months Ended March 31, 2008					Three Months Ended March 31, 2007
		Domestic- Based Support Services	International- Based Support Services	Merchant Acquiring Services	Spin- Related Costs	Consolidated	Domestic- Based Support Services	International- Based Support Services	Merchant Acquiring Services	Spin- Related Costs	Consolidated
Revenues before reimbursables	$	242,771	67,957	55,129	-	365,857	240,106	52,963	55,681	-	348,750
Intersegment revenues		(5,231)	(403)	(182)	-	(5,816)	(4,776)	(223)	(140)	-	(5,139)
Revenues before reimbursables
from external customers	$	237,540	67,554	54,947	-	360,041	235,330	52,740	55,541	-	343,611
Total revenues	$	328,909	69,824	70,937	-	469,670	313,595	55,400	67,747	-	436,742
Intersegment revenues		(7,362)	(403)	(182)	-	(7,947)	(6,776)	(223)	(140)	-	(7,139)
Revenues from external customers	$	321,547	69,421	70,755	-	461,723	306,819	55,177	67,607	-	429,603
Depreciation and amortization	$	24,980	7,695	6,554	-	39,229	25,951	5,800	6,846	-	38,597
Intersegment expenses	$	2,774	(3,541)	(7,180)	-	(7,947)	3,476	(3,239)	(7,371)	-	(7,134)
Segment operating income	$	71,150	7,446	15,074	(6,895)	86,775	62,481	11,112	12,086	-	85,679
Income before income taxes, minority interest and
equity income of equity investments		70,836	8,750	15,384	(6,895)	88,075	67,613	11,379	12,663	-	91,655
Income tax expense	$	26,637	2,914	5,408	(1,924)	33,035	26,186	4,172	4,534	-	34,892
Equity in income of equity investments	$	(338)	2,162	-	-	1,824	-	860	-	-	860
Net Income	$	45,917	5,693	9,976	(4,972)	56,614	41,547	7,597	8,129	-	57,273
Identifiable assets		1,296,349	353,655	188,360	-	1,838,364
Intersegment eliminations		(312,664)	(1,514)	(1,209)	-	(315,387)
Total assets		983,685	352,141	187,151	-	1,522,977

Note:

Revenues from domestic-based services include electronic payment processing services and other services provided from the United States to clients domiciled in the United States or other countries. Revenues from international-based services include electronic payment processing services and other services provided from outside the United States to clients based mainly outside the United States. Revenues from merchant processing services include TSYS Acquiring's merchant acquiring and related services.

Effective February 1, 2008, TSYS merged the operations of Golden Retriever LLC with TSYS Acquiring Solutions, LLC. As a result of the merger, the results of Golden Retriever for prior periods have been reclassified to reflect the move from domestic-based support services to the merchant acquiring services segment.

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TSYS Announces First Quarter 2008 Earnings
Page 9 of 13
TSYS
Balance Sheet
(in thousands)
		Mar 31, 2008	Dec 31, 2007
		(unaudited)	(unaudited)
Assets
Current assets:
Cash and cash equivalents	$	242,649	210,518
Restricted cash		25,706	29,688
Accounts receivable, net		261,935	256,970
Deferred income tax assets		19,787	17,152
Prepaid expenses and other current assets		75,492	72,250
Total current assets		625,569	586,578
Property and equipment, net		287,594	283,138
Computer software, net		195,853	205,830
Contract acquisition costs, net		159,778	151,599
Goodwill, net		143,555	142,545
Equity investments, net		85,189	80,905
Other intangible assets, net		13,209	13,462
Other assets		12,230	14,963
Total assets	$	1,522,977	1,479,020
Liabilities and Shareholders' Equity
Current liabilities:
Accrued salaries and employee benefits	$	50,787	85,142
Accounts payable		43,638	41,817
Current portion of notes payable		71,776	8,648
Current portion of obligations under capital leases		3,552	3,080
Other current liabilities		163,905	135,108
Total current liabilities		333,658	273,795
Notes payable, excluding current portion		186,292	252,659
Deferred income tax liabilities		67,232	67,428
Obligations under capital leases, excluding current portion		7,562	3,934
Other long-term liabilities		30,524	28,151
Total liabilities		625,268	625,967
Minority interests in consolidated subsidiaries		9,793	8,580
Shareholders' Equity:
Common stock		20,038	19,966
Additional paid-in capital		112,402	104,762
Accumulated other comprehensive income, net		32,687	28,322
Treasury stock		(45,475)	(34,138)
Retained earnings		768,264	725,561
Total shareholders' equity		887,916	844,473
Total liabilities and shareholders' equity	$	1,522,977	1,479,020
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TSYS Announces First Quarter 2008 Earnings
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TSYS
Cash Flow
(unaudited)
(in thousands)
		Three Months Ended March 31,
		2008	2007
Cash flows from operating activities:
Net income	$	56,614	57,273
Adjustments to reconcile net income to net cash provided by
operating activities:
Minority interests in consolidated subsidiaries' net income		250	350
Equity in income of equity investments		(1,824)	(860)
Gain on currency translation adjustments, net		(1,943)	(683)
Depreciation and amortization		39,229	38,597
Share-based compensation		7,895	3,036
Asset impairments		-	620
Provisions for (recoveries of) bad debt expense and billing
adjustments		2,101	(1,239)
Charges for transaction processing provisions		265	(792)
Deferred income tax benefit		(6,875)	(1,006)
Loss on disposal of equipment, net		161	20
(Increase) decrease in:
Accounts receivable		(6,140)	9,089
Prepaid expenses, other current assets and other long-term assets		2,530	(3,518)
Increase (decrease) in:
Accounts payable		3,426	735
Accrued salaries and employee benefits		(34,401)	(39,211)
Excess tax benefit from share-based payment arrangements		(67)	(2,503)
Other current liabilities and other long-term liabilities		38,778	6,542
Net cash provided by operating activities		99,999	66,450
Cash flows from investing activities:
Purchases of property and equipment, net		(14,350)	(17,232)
Additions to licensed computer software from vendors		(2,351)	(3,884)
Additions to internally developed computer software		(2,413)	(3,039)
Cash used in acquisitions and equity investments		-	(472)
Additions to contract acquisition costs		(17,168)	(7,145)
Net cash used in investing activities		(36,282)	(31,772)
Cash flows from financing activities:
Proceeds from borrowings of long-term debt		-	6,805
Principal payments on long-term debt borrowings and
capital lease obligations		(4,976)	(562)
Proceeds from exercise of stock options		59	3,518
Excess tax benefit from share-based payment arrangements		67	2,503
Repurchase of common stock		(11,369)	-
Dividends paid on common stock		(13,858)	(13,783)
Net cash used in financing activities		(30,077)	(1,519)
Effect of exchange rate changes on cash and cash equivalents		(1,509)	(571)
Net increase in cash and cash equivalents		32,131	32,588
Cash and cash equivalents at beginning of year		210,518	389,123
Cash and cash equivalents at end of period	$	242,649	421,711
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TSYS Announces First Quarter 2008 Earnings
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Geographic Area Data:
The following geographic area data represents revenues for the three months ended March 31 based on where the client is domiciled:
		Three Months Ended March 31,
(dollars in millions):		2008	%			2007	%		% Chg
United States	$	354.1	76.7	%	$	337.7	78.6	%	4.8	%
Europe		58.9	12.7			45.9	10.7		28.2
Canada		31.7	6.9			30.0	7.0		5.4
Japan		7.4	1.6			5.3	1.2		40.0
Mexico		3.7	0.8			3.3	0.8		14.4
Other		5.9	1.3			7.4	1.7		(19.6)
	$	461.7	100.0	%	$	429.6	100.0	%	7.5	%

Geographic Area Revenue by Operating Segment:

The following table reconciles segment revenues to revenues by reporting segment for the three months ended March 31:

		Three Months Ended March 31,
		Domestic-based		International-based		Merchant acquiring
		support services		support services		services
(dollars in millions):		2008	2007	2008	2007	2008	2007
United States	$	283.6	271.2	0.1	-	70.4	66.5
Europe		0.3	0.4	58.6	45.5	-	-
Canada		31.5	29.9	-	-	0.2	0.1
Japan		-	-	7.4	5.3	-	-
Mexico		3.7	3.3	-	-	-	-
Other		2.1	2.9	3.6	4.4	0.2	0.1
	$	321.2	307.7	69.7	55.2	70.8	66.7
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TSYS Announces First Quarter 2008 Earnings
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Supplemental Information:
	Accounts on File at March 31,
(in millions)	2008	%		2007	%		% Change
Consumer	211.4	57.9	%	268.9	63.6	%	(21.4)	%
Retail	57.9	15.9		52.5	12.4		10.4
Commercial	40.1	11.0		32.8	7.8		22.1
Government services	24.1	6.6		21.5	5.1		11.8
Stored Value	26.0	7.1		42.2	10.0		(38.4)
Debit	5.4	1.5		4.8	1.1		12.1
	364.9	100.0	%	422.7	100.0	%	(13.7)	%

(in millions)	March 31, 2008			March 31, 2007			% Change
YTD Average Accounts on File	370.2			418.3			(11.5)
	Accounts on File at March 31,
(in millions)	2008	%		2007	%		% Change
Domestic	283.4	77.7	%	353.5	83.6	%	(19.8)	%
International	81.5	22.3		69.2	16.4		17.9
	364.9	100.0	%	422.7	100.0	%	(13.7)	%
Note: The accounts on file between domestic and international is based on the geographic domicile of processing clients.

Growth in Accounts on File (in millions):
	March 2007 to March 2008	March 2006 to March 2007
Beginning balance	422.7	440.4
Change in accounts on file due to:
Internal growth of existing clients	53.9	36.2
New clients	18.2	96.1
Purges/Sales	(25.3)	(19.2)
Deconversions	(104.6)	(130.8)
Ending balance	364.9	422.7
Number of Employees (FTEs):	2008	2007
At March 31,	7,548	6,804
YTD average for period ended March 31,	7,245	6,740
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TSYS Announces First Quarter 2008 Earnings
Page 13 of 13
RECONCILIATION OF GAAP TO NON-GAAP
		Three Months Ended March 31,
(in thousands, except per share)		2008	2007	% Change
REVENUES
Total revenues	$	461,723	429,603	7.5	%
Deduct: revenues associated with deconverted portfolios		(4,856)	(28,899)
Total revenues, excluding revenues associated with
deconverted portfolios	$	456,867	400,704	14.0	%
OPERATING INCOME
Operating income	$	86,775	85,679	1.3	%
Add: spin-related costs		6,895	-
Operating income, excluding spin-related expenses	$	93,670	85,679	9.3	%
Revenues before reimbursables	$	360,041	343,611
Total revenues	$	461,723	429,603
Operating margin, as reported		18.8%	19.9%
Operating margin, excluding reimbursables		24.1%	24.9%
Operating margin, excluding reimbursables
and spin-related expenses		26.0%	24.9%
NET INCOME
Net income	$	56,614	57,273	(1.2)	%
Add: spin-related costs, net of tax		4,972	-
Net income, excluding spin-related expenses	$	61,586	57,273	7.5	%
Common shares outstanding		196,745	196,487
EARNINGS PER SHARE (EPS) - Basic
Basic earnings per share	$	0.29	0.29	(1.3)	%
Add: spin-related costs, net of tax per share		0.02	-
Basic EPS, excluding spin-related expenses	$	0.31	0.29	7.4	%

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