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Technology Stocks : Paychex (PAYX) -- Ignore unavailable to you. Want to Upgrade?

To: Marty who wrote (147)	3/17/1999 6:06:00 PM
From: Beltropolis Boy	Respond to of 210

appreciate the word, marty. btw, did you know that the fool actually shorted chexy (as they 'affectionately' dubbed it) back in the day? worst short ever -- something like a 35% bite in the ass. here's the interview of golisano's appearance on CNBC today. this url has the aud & vid replays too. mktnews.nasdaq.com\\www\nasdaq\news\msnbc\1999\3\17\NASDAQ_1150_19542.htm&usymbol=PAYX&logo=True&companyname=Paychex%2C+Inc%2E Paychex (PAYX) Chairman and CEO Tom Golisano on the company's positive earnings report CNBC - MARKET WATCH INTERVIEW WITH PAYCHEX (PAYX) CHAIRMAN AND CEO TOM GOLISANO MARCH 17, 1999 SUMMARY: Golisano talks about factors that impact Paychex's revenue growth. Golisano says Paychex has no current offers of acquisition. Ted: The nation's second-largest payroll services company beat the street with its latest earnings report. Paychex announced fiscal third quarter profits of 22 cents per share, two cents above expectations. Paychex is currently trading at the moment up 2 7/16, 49 1/8. Joining us to discuss his company's earnings and future is Paychex Chairman and CEO Tom Golisano. He joins us live from Rochester, New York. I bet shareholders are glad you didn't win for governor and stayed where you are. Good morning, probably after this morning's earnings announcement they're fairly happy. Ted: What's the good news all about in. Paychex has been very consistent. This has been our 31st consecutive quarter where earnings have grown over 36%. The way it's happening, a very simple formula, is we grow our client base, payroll customer by 11 to 12% a year because of modest price increases, a lot of ancillary services we're selling like 401 (k) administration and direct deposit and cafeteria plans, we're growing our revenue from 17 to 19%, and because of fixed infrastructure costs we can grow earnings consistently over 25% and as I mentioned over the last several years, it's been in excess of 35%. Ted: Would things have been better if expenses hasn't been up 15%? Why is that? No, those were just necessitated by year end processing costs. As a payroll processor we do a large quantity of work at year-end because of W-2 procession, payroll tax return processing that happens at the end of the year. So we've been very consistent in our SGNA and consistent in that growth range in earnings. Ted: Among various units, where was the greatest strength? Payroll or this human resource service, professional-employer organization? Payroll segment is very consistent over the years, I think the operating income is up or operating revenue was up a bout 18%. But percentage wise, a large percentage of the growth is coming in our HRS, human resource services division including 401 (k) administration and cafeteria plan administration. Ted: How much of your business success, separate and apart you from you running it, which is a major part. If the economy were different, employment situation were different, how much of your business is reliant on this full employment we're looking at? Well, 1989 , 1990 you remember the recession we had, we did not see a diminishment in our client retention nor diminishment in our ability to sell clients. What we did see was an average number of checks per client go down about 2 1/2 to 3% in a nine-month period. That last extra payroll check we process for our client is a very profitable payroll check for us. So it did impact us on our revenue per check and our total overall income. But if that were to happen today, I think would you see maybe a small drop in our earnings growth but I don't think it would impact us to any large degree. Ted: Your biggest competitor, ADP doing anything to make you nervous? No, Automatic Data Processing is a great organization, they are a pioneer in our industry. They have had a very consistent record on earnings and growth over the last 20 years, so we're proud to be in the same industry with them. Competitively we are competitors, but I think there's a level now of peaceful coexistence. No plans for acquisitions? Would you allow yourself to be acquired important the right number? That's a statement I can't make on public t.v., but right now, it doesn't appear that anybody is jumping up on the band stand to say anything to us like that so I don't think it's an issue. Ted: Thanks for joining us, continued good luck. Thank you. We've been speaking with Paychex Chairman and CEO Tom Golisano, live from Rochester, New York.

To: Marty who wrote (147)	3/19/1999 10:37:00 AM
From: Beltropolis Boy	Respond to of 210

fwiw ... ----- Paychex Inc. Reiterated 'Buy' at Salomon Smith Barney Princeton, New Jersey, March 18 (Bloomberg Data) -- Paychex Inc. (PAYX US) was reiterated ''buy'' by analyst L. Keith Mullins at Salomon Smith Barney. Paychex Inc. Rated New 'Hold' at Warburg Dillon Read Princeton, New Jersey, March 18 (Bloomberg Data) -- Paychex Inc. (PAYX US) was rated ''hold'' in new coverage by analyst F. Thomas O'Halloran Iii at Warburg Dillon Read Inc.. The 12-month target price is $44.00 per share.

To: Marty who wrote (147)	3/31/1999 10:03:00 AM
From: Beltropolis Boy	Respond to of 210

Paychex Makes BUSINESS WEEK's '50 Best Performers' List ROCHESTER, N.Y., March 30 /PRNewswire/ -- Paychex (Nasdaq: PAYX), a leading U.S. payroll processor for businesses with 1 to 200 employees, was included on BUSINESS WEEK's list of the top 50 performing companies in the Standard & Poor's 500 (S&P 500). Paychex ranked No. 34 on BUSINESS WEEK's "50 Best Performers" list and received an "A" rating for Total Return (3 year), Sales Growth (1 and 3 year), Profit Growth (1 and 3 year) and Return on Equity (1 year). BUSINESS WEEK's "50 Best Performers" ranking is based on a company's growth in sales, profits, return to shareholders, consistency, profit margin, and return on equity. Return rates were tallied for one- and three-year time spans. Net margins and return on equity were measured for one year. According to the editors of BUSINESS WEEK's May 29, 1999 issue, "For No. 34 Paychex, Inc., this outsourcing boom has been the ticket to explosive growth. The company specializes in payroll services, which have grown more complex as government regulation increased ... Nine years ago, it processed only payrolls. Today, it offers everything from 401(k) record-keeping to cafeteria-style benefit plans." In 1997, BUSINESS WEEK introduced the Performance Ranking and the BUSINESS WEEK 50 list of the best overall performers among the S&P 500 companies. Paychex was added to the S&P 500 in October 1998.