EVERTEC: GROWTH IN AN ERA OF ECONOMIC CHALLENGE

When in 2010 the acquisition of a majority of EVERTEC, Inc. by Apollo Management, LP, occurred, it helped to strengthen the company to its current position as the leading technology company in the Caribbean and Central America.

Since its inception in 2004, EVERTEC has remained steadfast in its growth, despite the economic difficulties facing the business world, including Puerto Rico, where its headquarters are located. In fact, the numbers reflect that in 2010 total revenue growth when compared to 2009 had an increase of $18 million from $267.4 million to $285.4 million. "We are proud of what with great determination and dedication, EVERTEC and its more than 1,700 employees have achieved, both in Puerto Rico and outside the island," said Félix M. Villamil, president and chief executive officer. He said that since its inception, "we have focused our resources on identifying new business opportunities."

This leading technology corporation has become a principal service provider of transaction processing and outsourcing services, offering its services to over 400 local and international clients.

Their strategy has been well focused; always mindful of what distinguishes from a powerful information infrastructure, high-quality technology and highly specialized and powerful, knowledgeable personnel. With this in mind, they can identify and develop what sets them apart as a company, which in turn is part of the business expansion strategy. "So far, we have overcome the great challenges of the economy because we are dedicated to finding new sources of revenue to serve other industries and grow on the outside. That's why we stay active and work continually evaluating the effectiveness of our strategies,” said the executive. Effectiveness was reflected in their latest results where EVERTEC reported an increase in total revenues of $7.4 million (11%) during the second quarter ending June 30, 2011.

Notably, as a result of the effectiveness of their business plan and strategies, the company managed to sign, from January 2010 to June 2011, a total of 92 contracts, of which 43 were brand new and 21 of which were signed with companies based outside of Puerto Rico. In addition with their focus on providing customers with services that allow them to use technology and resources of their companies more efficiently, EVERTEC achieved in the reporting period the renewal and / or amendment of 49 contracts valued at over $41 million.

But how have they achieved growth in more than one market? "The success of our expansion has been the result of many steps. We are dedicated to knowing the market, customers and competitors in order to work under a plan of 'business intelligence'. For example, in the Caribbean region, where we have a good market share, what we did was study and focus on those industries where we could add value by reducing costs and focus our resources on our core business. While in Latin America, we saw that what EVERTEC had in Puerto Rico could be exported to other countries," said Villamil. In addition, EVERTEC has two business lines that have been crucial to its expansion: the ATH Network and Merchant Acquiring. The ATH Network has become the largest electronic transaction processor used in Puerto Rico and in several countries in the region. The same applies to the Merchant Acquiring business in Puerto Rico, which is very significant for the company because, when compared with the main suppliers throughout Latin America, it ranks fifth in the region.

The truth is that the diversity of its products and services and the savings that they are able to offer their customers with a focus on service, has been the competitive advantage that has driven the success of EVERTEC. This company has conducted its operations by focusing strategically on identifying new service areas that offer greater efficiency in the management and implementation of technology and can serve various industries such as banking, government, insurance, manufacturing, pharmaceutical and distribution.


In their seven years of establishment the company is distinguished by: the growth of its portfolio, foray into new industries, acquisitions that strengthen their range and the establishment of new offices in Latin America. It has also been part of strategic business projects such as consolidation of the financial industry in the country, and in 2010 it was recognized by Cisco - worldwide leader in networking - as a business partner with high potential to jointly provide technology solutions in the Caribbean. In addition, it owns and operates the Red ATH ® - electronic payments network and leading ATMs in Puerto Rico and the Caribbean, and was recognized in 2011 by the Puerto Rico Products Association with the Excellence in Quality award.

However, for Villamil, the greatest value of EVERTEC lies in the confidence of its customers and the great commitment of its team that is focused on providing a high level of quality and a continuous search for innovation to anticipate and meet the needs of its customers.

About EVERTEC, Inc.

EVERTEC, Inc. is a diversified processing firm, which provides transaction processing and payments, merchant acquiring and related services in Puerto Rico, and some countries in the Caribbean, Central and Latin America. EVERTEC operates in three business segments, which are reportable and organized according to the nature of the products and services: transaction processing, merchant acquirers and business solutions. EVERTEC owns and operates the ATH Network's network of ATMs and is the electronic payments leader in Puerto Rico. Products and services include processing EVERTEC outlets, switch and network services, ATM management, processing, banking solutions, solutions for business process outsourcing, infrastructure management technology, financial services applications and services purchasers shops. Headquartered in San Juan, Puerto Rico, EVERTEC has approximately 1,700 employees in six countries across the Caribbean and Latin America. EVERTEC is 51% owned by an affiliate of Apollo Management, LP, a leading private equity and investor in capital markets, and 49% owned by Popular, Inc., the largest financial institution in Puerto Rico and the Caribbean. For more information on EVERTEC, visit www.evertecinc.com.