Automatic Data Processing, Inc. (NASDAQ: ADP), with nearly $9 billion in revenues and about 570,000 clients, is one of the world's largest providers of business outsourcing solutions. Leveraging 60 years of experience, ADP offers the widest range of HR, payroll, tax and benefits administration solutions from a single source. ADP's easy-to-use solutions for employers provide superior value to companies of all types and sizes. ADP is also a leading provider of integrated computing solutions to auto, truck, motorcycle, marine and recreational vehicle dealers throughout the world.

Highlights – Quarter ending March 31, 2010

1. Revenues $2.4 billion, up by 3%
   o Negatively impacted by cumulative effect of economic downturn
   o Benefited nearly 2 percentage points from favorable foreign exchange rate comparisons
2. Pretax earnings from continuing operations up by 1% to $633.0 million
   o Benefited nearly 2 percentage points from favorable foreign exchange rate comparisons
3. Pretax margin 25.9%, down by 60 basis points
4. Effective tax rate 36.6%
5. Net earnings from continuing operations decreased slightly to $401.6 million
6. Diluted EPS from continuing operations down by 1% to $0.79 from $0.80
7. Share Repurchases
   o Acquired 3.0 million shares during 3Q10 for $127 million; little to no impact on 3Q 10 EPS
   o Through March 31, 2010, acquired 6.5+ million shares for nearly $280 million ($0.01 -$0.02 accretion to full-year FY10 EPS anticipated)
   o About 40 million shares remain under current Board authorization %

Business Outlook

1. Total Revenues about flat
   o Employer Services revenues down by up to 1%
    Pays per control down by about 4%
    Client revenue retention about flat
   o PEO Services revenues up by 8% to 10%
   o Annual dollar value of ES & PEO Worldwide New Business Sales –slightly positive
   o Dealer Services revenues down by 3% - down by 4%
2. Diluted EPS from Continuing Operations – $2.36 - $2.38, compared to $2.38 in FY09
   o Excludes favorable tax items in both fiscal years
   o Current forecast excludes $0.01 per share in both FY09 and FY10 related to the restatement of Dealer Services’ Commercial business to discontinued operations
   o No further share buybacks reflected in forecast
3. No improvement in segment pretax margins)