efx-20230930

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q


(Mark One)
☒			QUARTERLY REPORT PURSUANT TO SECTION 13 or 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended September 30, 2023


☐			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: 001-06605

EQUIFAX INC.

(Exact name of registrant as specified in its charter)


Georgia			58-0401110
(State or other jurisdiction of			(I.R.S. Employer
incorporation or organization)			Identification No.)

1550 Peachtree Street

N.W.

Atlanta

Georgia

30309

(Address of principal executive offices)

(Zip Code)

404-885-8000

(Registrant’s telephone number, including area code)

Securities registered pursuant to Section 12(b) of the Act:

Title of each class

Trading Symbol

Name of each exchange on which registered

Common stock, $1.25 par value per share

EFX

New York Stock Exchange

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 ☒ No ☐

Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted 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 such files). Yes ☒ 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

Accelerated filer

Non-accelerated filer

Smaller reporting company

Emerging growth company

☒

☐

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.

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

On October 6, 2023, there were 123,216,776 shares of the registrant’s common stock outstanding.

EQUIFAX INC.

QUARTERLY REPORT ON FORM 10-Q

QUARTER ENDED SEPTEMBER 30, 2023

INDEX


		Page
PART I.	Financial Information	4
Item 1.	Financial Statements (Unaudited)	4
	Consolidated Statements of Income—Three Months Ended September 30 , 2023 and 2022	4
	Consolidated Statements of Income—Nine Months Ended September 30 , 2023 and 2022	5
	Consolidated Statements of Comprehensive Income (Loss)—Three and Nine Months Ended September 30 , 2023 and 2022	6

	Consolidated Balance Sheets—September 30 , 2023 and December 31, 2022	7
	Consolidated Statements of Cash Flows—Nine Months Ended September 30 , 2023 and 2022	8
	Consolidated Statements of Shareholders' Equity—Three Months Ended September 30 , 2023 and 2022	9

	Consolidated Statements of Shareholders' Equity and Accumulated Other Comprehensive Loss—Nine Months Ended September 30, 2023 and 2022	10
	Notes to Consolidated Financial Statements (Unaudited)	12
Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	23
Item 3.	Quantitative and Qualitative Disclosures About Market Risk	38
Item 4.	Controls and Procedures	38
PART II.	Other Information	39
Item 1.	Legal Proceedings	39
Item 1A.	Risk Factors	40
Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	40
Item 6.	Exhibits	42
Signatures		43

FORWARD-LOOKING STATEMENTS

This report contains information that may constitute “forward-looking statements.” Generally, the words “believe,” “expect,” “intend,” “estimate,” “anticipate,” “project,” “will,” “may” and similar expressions identify forward-looking statements, which generally are not historical in nature. All statements that address future operating performance and events or developments that we expect or anticipate will occur in the future, including statements relating to future operating results, improvements in our information technology and data security infrastructure, including as a part of our cloud data and technology transformation, our strategy, the expected financial and operational benefits, synergies and growth from our acquisitions, changes in U.S. and worldwide economic conditions, such as rising interest rates and inflation, that materially impact consumer spending, consumer debt and employment and the demand for Equifax's products and services, our culture, our ability to innovate, the market acceptance of new products and services and similar statements about our business plans are forward-looking statements. Management believes that these forward-looking statements are reasonable as and when made. However, forward-looking statements are subject to certain risks and uncertainties that could cause actual results to differ materially from the Company’s historical experience and our present expectations or projections, including without limitation our expectations regarding the Company’s outlook, long-term organic and inorganic growth, and customer acceptance of our business solutions referenced above under “Item 1. Business” and below in “Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operation — Business Overview.” These risks and uncertainties include, but are not limited to, those described in Part II, “Item 1A. Risk Factors,” and elsewhere in our Annual Report on Form 10-K for the year ended December 31, 2022, as well as subsequent reports filed with the Securities and Exchange Commission. As a result of such risks and uncertainties, we urge you not to place undue reliance on any such forward-looking statements. Forward-looking statements speak only as of the date when made. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.

PART I. FINANCIAL INFORMATION

ITEM 1. FINANCIAL STATEMENTS (UNAUDITED)

EQUIFAX INC.

CONSOLIDATED STATEMENTS OF INCOME

(Unaudited)


	Three Months Ended September 30,
	2023		2022
(In millions, except per share amounts)
Operating revenue	$	1,319.1	$	1,244.3
Operating expenses:
Cost of services (exclusive of depreciation and amortization below)	585.2		542.5
Selling, general and administrative expenses	333.1		318.0
Depreciation and amortization	154.4		140.9
Total operating expenses	1,072.7		1,001.4
Operating income	246.4		242.9
Interest expense	(62.8)		(47.1)
Other income, net	7.1		23.9
Consolidated income before income taxes	190.7		219.7
Provision for income taxes	(26.4)		(52.8)


Consolidated net income	164.3		166.9
Less: Net income attributable to noncontrolling interests including redeemable noncontrolling interests	(2.1)		(1.2)

Net income attributable to Equifax	$	162.2	$	165.7




Basic earnings per common share:


Net income attributable to Equifax	$	1.32	$	1.35
Weighted-average shares used in computing basic earnings per share	123.0		122.4
Diluted earnings per common share:


Net income attributable to Equifax	$	1.31	$	1.34
Weighted-average shares used in computing diluted earnings per share	123.9		123.3
Dividends per common share	$	0.39	$	0.39

See Notes to Consolidated Financial Statements.

EQUIFAX INC.

CONSOLIDATED STATEMENTS OF INCOME

(Unaudited)


	Nine Months Ended September 30,
	2023		2022
(In millions, except per share amounts)
Operating revenue	$	3,938.7	$	3,924.3
Operating expenses:
Cost of services (exclusive of depreciation and amortization below)	1,753.5		1,638.0
Selling, general and administrative expenses	1,042.3		988.5
Depreciation and amortization	454.4		417.8
Total operating expenses	3,250.2		3,044.3
Operating income	688.5		880.0
Interest expense	(181.1)		(128.5)
Other income, net	27.7		36.8
Consolidated income before income taxes	535.1		788.3
Provision for income taxes	(117.9)		(197.2)


Consolidated net income	417.2		591.1
Less: Net income attributable to noncontrolling interests including redeemable noncontrolling interests	(4.3)		(3.1)

Net income attributable to Equifax	$	412.9	$	588.0




Basic earnings per common share:


Net income attributable to Equifax	$	3.36	$	4.81
Weighted-average shares used in computing basic earnings per share	122.7		122.3
Diluted earnings per common share:


Net income attributable to Equifax	$	3.34	$	4.77
Weighted-average shares used in computing diluted earnings per share	123.6		123.3
Dividends per common share	$	1.17	$	1.17

See Notes to Consolidated Financial Statements.

EQUIFAX INC.

CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)

(Unaudited)


	Three Months Ended September 30,
	2023				2022
	Equifax Shareholders		Noncontrolling Interests		Total		Equifax Shareholders		Noncontrolling Interests		Total
	(In millions)
Net income	$	162.2	$	2.1	$	164.3	$	165.7	$	1.2	$	166.9
Other comprehensive loss:
Foreign currency translation adjustment	(118.0)		(2.6)		(120.6)		(181.1)		(0.5)		(181.6)
Change in unrecognized prior service cost related to our pension and other postretirement benefit plans, net	—		—		—		(0.7)		—		(0.7)

Comprehensive income (loss)	$	44.2	$	(0.5)	$	43.7	$	(16.1)	$	0.7	$	(15.4)


	Nine Months Ended September 30,
	2023				2022
	Equifax Shareholders		Noncontrolling Interests		Total		Equifax Shareholders		Noncontrolling Interests		Total
	(In millions)
Net income	$	412.9	$	4.3	$	417.2	$	588.0	$	3.1	$	591.1
Other comprehensive loss:
Foreign currency translation adjustment	(90.2)		(2.5)		(92.7)		(299.3)		(0.8)		(300.1)
Change in unrecognized prior service cost related to our pension and other postretirement benefit plans, net	—		—		—		(1.5)		—		(1.5)

Comprehensive income	$	322.7	$	1.8	$	324.5	$	287.2	$	2.3	$	289.5

See Notes to Consolidated Financial Statements.

EQUIFAX INC.

CONSOLIDATED BALANCE SHEETS

(Unaudited)


(In millions, except par values)	September 30, 2023		December 31, 2022
ASSETS
Current assets:
Cash and cash equivalents	$	412.6	$	285.2
Trade accounts receivable, net of allowance for doubtful accounts of $18.3 and $19.1 at September 30, 2023 and December 31, 2022, respectively	967.9		857.7
Prepaid expenses	142.0		134.3
Other current assets	74.9		93.3
Total current assets	1,597.4		1,370.5
Property and equipment:
Capitalized internal-use software and system costs	2,428.2		2,139.1
Data processing equipment and furniture	286.3		281.4
Land, buildings and improvements	267.1		261.6
Total property and equipment	2,981.6		2,682.1
Less accumulated depreciation and amortization	(1,218.0)		(1,095.1)
Total property and equipment, net	1,763.6		1,587.0
Goodwill	6,730.8		6,383.9
Indefinite-lived intangible assets	95.1		94.8
Purchased intangible assets, net	1,903.9		1,818.5
Other assets, net	258.1		293.2
Total assets	$	12,348.9	$	11,547.9
LIABILITIES AND EQUITY
Current liabilities:
Short-term debt and current maturities of long-term debt	$	501.0	$	967.2
Accounts payable	190.7		250.8
Accrued expenses	267.1		229.0
Accrued salaries and bonuses	173.7		138.7
Deferred revenue	115.2		132.9
Other current liabilities	334.1		296.6
Total current liabilities	1,581.8		2,015.2
Long-term debt	5,500.4		4,820.1
Deferred income tax liabilities, net	468.8		460.3
Long-term pension and other postretirement benefit liabilities	97.7		100.4
Other long-term liabilities	215.6		178.6
Total liabilities	7,864.3		7,574.6
Commitments and Contingencies (see Note 6)

Redeemable noncontrolling interests	175.5		—
Equifax shareholders' equity:
Preferred stock, $0.01 par value: Authorized shares - 10.0; Issued shares - none	—		—
Common stock, $1.25 par value: Authorized shares - 300.0; Issued shares - 189.3 at September 30, 2023 and December 31, 2022; Outstanding shares - 123.2 and 122.5 at September 30, 2023 and December 31, 2022, respectively	236.6		236.6
Paid-in capital	1,736.6		1,594.2
Retained earnings	5,524.5		5,256.0
Accumulated other comprehensive loss	(563.9)		(473.7)
Treasury stock, at cost, 65.5 shares and 66.2 shares at September 30, 2023 and December 31, 2022, respectively	(2,634.6)		(2,650.7)
Stock held by employee benefit trusts, at cost, 0.6 shares at September 30, 2023 and December 31, 2022	(5.9)		(5.9)

Total Equifax shareholders’ equity	4,293.3		3,956.5
Noncontrolling interests	15.8		16.8
Total shareholders' equity	4,309.1		3,973.3
Total liabilities, redeemable noncontrolling interests, and shareholders' equity	$	12,348.9	$	11,547.9

See Notes to Consolidated Financial Statements.

EQUIFAX INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)


	Nine Months Ended September 30,
	2023		2022
	(In millions)
Operating activities:
Consolidated net income	$	417.2	$	591.1
Adjustments to reconcile consolidated net income to net cash provided by operating activities:

Depreciation and amortization	461.0		424.1
Stock-based compensation expense	61.3		50.4

Deferred income taxes	(67.9)		47.9
Gain on fair market value adjustment and gain on sale of equity investments	(13.8)		(20.2)

Changes in assets and liabilities, excluding effects of acquisitions:
Accounts receivable, net	(86.4)		(133.6)
Other assets, current and long-term	(16.0)		(32.0)
Current and long term liabilities, excluding debt	39.3		(496.0)
Cash provided by operating activities	794.7		431.7
Investing activities:
Capital expenditures	(455.6)		(468.4)
Acquisitions, net of cash acquired	(276.0)		(437.5)

Cash received from divestitures	6.9		98.8

Cash used in investing activities	(724.7)		(807.1)
Financing activities:
Net short-term borrowings	(83.6)		(162.1)
Payments on long-term debt	(575.0)		—
Borrowings on long-term debt	872.9		749.3

Dividends paid to Equifax shareholders	(143.7)		(143.3)
Dividends paid to noncontrolling interests	(2.8)		(2.5)
Proceeds from exercise of stock options and employee stock purchase plan	18.6		13.5
Payment of taxes related to settlement of equity awards	(16.9)		(33.0)


Debt issuance costs	(6.0)		(5.4)


Cash provided by financing activities	63.5		416.5
Effect of foreign currency exchange rates on cash and cash equivalents	(6.1)		(24.1)
Increase in cash and cash equivalents	127.4		17.0
Cash and cash equivalents, beginning of period	285.2		224.7
Cash and cash equivalents, end of period	$	412.6	$	241.7

See Notes to Consolidated Financial Statements.

EQUIFAX INC.

CONSOLIDATED STATEMENTS OF SHAREHOLDERS’ EQUITY

(Unaudited)

For the Three Months Ended September 30, 2023


	Equifax Shareholders
								Accumulated Other Comprehensive Loss				Stock Held By Employee Benefits Trusts
	Common Stock
	Shares Outstanding	Amount		Paid-In Capital		Retained Earnings				Treasury Stock				Noncontrolling Interests		Total Equity
	(In millions, except per share amounts)
Balance, June 30, 2023	122.7	$	236.6	$	1,650.5	$	5,410.5	$	(445.9)	$	(2,654.6)	$	(5.9)	$	17.1	$	4,208.3

Net income	—	—		—		162.2		—		—		—		2.1		164.3
Other comprehensive loss	—	—		—		—		(118.0)		—		—		(2.6)		(120.6)
Shares issued under stock and benefit plans, net of minimum tax withholdings	—	—		1.6		—		—		0.7		—		—		2.3

Cash dividends ($0.39 per share)	—	—		—		(48.2)		—		—		—		—		(48.2)
Dividends paid to employee benefits trusts	—	—		0.1		—		—		—		—		—		0.1
Stock-based compensation expense	—	—		9.1		—		—		—		—		—		9.1


Shares issued in acquisition of Boa Vista Serviços	0.5	—		75.3		—		—		19.3		—		—		94.6

Dividends paid to noncontrolling interests	—	—		—		—		—		—		—		(0.8)		(0.8)



Balance, September 30, 2023	123.2	$	236.6	$	1,736.6	$	5,524.5	$	(563.9)	$	(2,634.6)	$	(5.9)	$	15.8	$	4,309.1

For the Three Months Ended September 30, 2022


	Equifax Shareholders
								Accumulated Other Comprehensive Loss				Stock Held By Employee Benefits Trusts
	Common Stock
	Shares Outstanding	Amount		Paid-In Capital		Retained Earnings				Treasury Stock				Noncontrolling Interests		Total Equity
	(In millions, except per share amounts)
Balance, June 30, 2022	122.4	$	236.6	$	1,563.2	$	5,078.1	$	(414.4)	$	(2,652.6)	$	(5.9)	$	16.0	$	3,821.0
Net income	—	—		—		165.7		—		—		—		1.2		166.9
Other comprehensive loss	—	—		—		—		(181.8)		—		—		(0.5)		(182.3)
Shares issued under stock and benefit plans, net of minimum tax withholdings	—	—		3.0		—		—		1.2		—		—		4.2

Cash dividends ($0.39 per share)	—	—		—		(48.0)		—		—		—		—		(48.0)
Dividends paid to employee benefits trusts	—	—		0.2		—		—		—		—		—		0.2
Stock-based compensation expense	—	—		13.7		—		—		—		—		—		13.7


Dividends paid to noncontrolling interests	—	—		—		—		—		—		—		(0.1)		(0.1)



Balance, September 30, 2022	122.4	$	236.6	$	1,580.1	$	5,195.8	$	(596.2)	$	(2,651.4)	$	(5.9)	$	16.6	$	3,775.6

EQUIFAX INC.

CONSOLIDATED STATEMENTS OF SHAREHOLDERS’ EQUITY AND ACCUMULATED OTHER COMPREHENSIVE LOSS

(Unaudited)

For the Nine Months Ended September 30, 2023


	Equifax Shareholders
								Accumulated Other Comprehensive Loss				Stock Held By Employee Benefits Trusts
	Common Stock
	Shares Outstanding	Amount		Paid-In Capital		Retained Earnings				Treasury Stock				Noncontrolling Interests		Total Equity
	(In millions, except per share amounts)
Balance, December 31, 2022	122.5	$	236.6	$	1,594.2	$	5,256.0	$	(473.7)	$	(2,650.7)	$	(5.9)	$	16.8	$	3,973.3

Net income	—	—		—		412.9		—		—		—		4.3		417.2
Other comprehensive loss	—	—		—		—		(90.2)		—		—		(2.5)		(92.7)
Shares issued under stock and benefit plans, net of minimum tax withholdings	0.2	—		5.1		—		—		(3.2)		—		—		1.9

Cash dividends ($1.17 per share)	—	—		—		(144.4)		—		—		—		—		(144.4)
Dividends paid to employee benefits trusts	—	—		0.7		—		—		—		—		—		0.7
Stock-based compensation expense	—	—		61.3		—		—		—		—		—		61.3


Shares issued in acquisition of Boa Vista Serviços	0.5	—		75.3		—		—		19.3		—		—		94.6

Dividends paid to noncontrolling interests	—	—		—		—		—		—		—		(2.8)		(2.8)



Balance, September 30, 2023	123.2	$	236.6	$	1,736.6	$	5,524.5	$	(563.9)	$	(2,634.6)	$	(5.9)	$	15.8	$	4,309.1

For the Nine Months Ended September 30, 2022


	Equifax Shareholders
								Accumulated Other Comprehensive Loss				Stock Held By Employee Benefits Trusts
	Common Stock
	Shares Outstanding	Amount		Paid-In Capital		Retained Earnings				Treasury Stock				Noncontrolling Interests		Total Equity
	(In millions, except per share amounts)
Balance, December 31, 2021	122.1	$	236.6	$	1,536.7	$	4,751.6	$	(295.4)	$	(2,639.2)	$	(5.9)	$	16.8	$	3,601.2
Net income	—	—		—		588.0		—		—		—		3.1		591.1
Other comprehensive loss	—	—		—		—		(300.8)		—		—		(0.8)		(301.6)
Shares issued under stock and benefit plans, net of minimum tax withholdings	0.3	—		(7.5)		—		—		(12.2)		—		—		(19.7)

Cash dividends ($1.17 per share)	—	—		—		(143.8)		—		—		—		—		(143.8)
Dividends paid to employee benefits trusts	—	—		0.5		—		—		—		—		—		0.5
Stock-based compensation expense	—	—		50.4		—		—		—		—		—		50.4


Dividends paid to noncontrolling interests	—	—		—		—		—		—		—		(2.5)		(2.5)



Balance, September 30, 2022	122.4	$	236.6	$	1,580.1	$	5,195.8	$	(596.2)	$	(2,651.4)	$	(5.9)	$	16.6	$	3,775.6

Accumulated Other Comprehensive Loss consists of the following components:


	September 30, 2023		December 31, 2022
	(In millions)
Foreign currency translation	$	(559.5)	$	(469.3)
Unrecognized prior service cost related to our pension and other postretirement benefit plans, net of accumulated tax of $1.1 and $1.2 at September 30, 2023 and December 31, 2022, respectively	(3.4)		(3.4)
Cash flow hedging transactions, net of accumulated tax of $0.5 and $0.6 at September 30, 2023 and December 31, 2022, respectively	(1.0)		(1.0)

Accumulated other comprehensive loss	$	(563.9)	$	(473.7)

See Notes to Consolidated Financial Statements.

EQUIFAX INC.

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS (UNAUDITED)

September 30, 2023

1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

As used herein, the terms Equifax, the Company, we, our and us refer to Equifax Inc., a Georgia corporation, and its consolidated subsidiaries as a combined entity, except where it is clear that the terms mean only Equifax Inc.

Nature of Operations. We collect, organize and manage various types of financial, demographic, employment, criminal justice data and marketing information. Our products and services enable businesses to make credit and service decisions, manage their portfolio risk, automate or outsource certain payroll-related, tax and human resources business processes, and develop marketing strategies concerning consumers and commercial enterprises. We serve customers across a wide range of industries, including the financial services, mortgage, retail, telecommunications, utilities, automotive, brokerage, healthcare and insurance industries, as well as government agencies. We also enable consumers to manage and protect their financial health through a portfolio of products offered directly to consumers. As of September 30, 2023, we operated in the following countries: Argentina, Australia, Brazil, Canada, Chile, Costa Rica, Dominican Republic, Ecuador, El Salvador, Honduras, India, Ireland, Mexico, New Zealand, Paraguay, Peru, Portugal, Spain, the United Kingdom, or U.K., Uruguay and the United States of America, or U.S. We also have investments in consumer and/or commercial credit information companies through joint ventures in Cambodia, Malaysia and Singapore. On August 7, 2023, we purchased the remaining interest in our equity investment in a consumer and commercial credit information company in Brazil.

We develop, maintain and enhance secured proprietary information databases through the compilation of consumer specific data, including credit, income, employment, criminal justice data, asset, liquidity, net worth and spending activity, and business data, including credit and business demographics, that we obtain from a variety of sources, such as credit granting institutions, and income and tax information primarily from large to mid-sized companies in the U.S. We process this information utilizing our proprietary information management systems. We also provide information, technology and services to support debt collections and recovery management.

Basis of Presentation. The accompanying unaudited Consolidated Financial Statements have been prepared in accordance with U.S. generally accepted accounting principles, or GAAP, the instructions to Form 10-Q and applicable sections of SEC Regulation S-X. This Form 10-Q should be read in conjunction with the Consolidated Financial Statements and the notes thereto included in our annual report on Form 10-K for the year ended December 31, 2022 (“2022 Form 10-K”).

Our unaudited Consolidated Financial Statements reflect all adjustments which are, in the opinion of management, necessary for a fair presentation of the periods presented and are of a normal recurring nature.

Earnings Per Share. Our basic earnings per share, or EPS, is calculated as net income attributable to Equifax divided by the weighted-average number of common shares outstanding during the reporting period. Diluted EPS is calculated to reflect the potential dilution that would occur if stock options or other contracts to issue common stock were exercised and resulted in additional common shares outstanding. The net income amounts used in both our basic and diluted EPS calculations are the same. A reconciliation of the weighted-average outstanding shares used in the two calculations is as follows:


	Three Months Ended September 30,		Nine Months Ended September 30,
	2023	2022	2023	2022
	(In millions)
Weighted-average shares outstanding (basic)	123.0	122.4	122.7	122.3
Effect of dilutive securities:
Stock options and restricted stock units	0.9	0.9	0.9	1.0
Weighted-average shares outstanding (diluted)	123.9	123.3	123.6	123.3

For the three and nine months ended September 30, 2023 and 2022, stock options that were anti-dilutive were not material.

Financial Instruments. Our financial instruments consist primarily of cash and cash equivalents, accounts receivable, accounts payable and short and long-term debt. The carrying amounts of these items, other than long-term debt, approximate their fair market values due to the short-term nature of these instruments. The fair value of our fixed-rate debt is determined using Level 2 inputs such as quoted market prices for publicly traded instruments, and for non-publicly traded instruments, through valuation techniques depending on the specific characteristics of the debt instrument, taking into account credit risk. As of September 30, 2023 and December 31, 2022, the fair value of our long-term debt, including the current portion, was $5.1 billion and $4.8 billion compared to its carrying value of $5.6 billion and $5.3 billion, respectively.

Fair Value Measurements. Fair value is determined based on the assumptions marketplace participants use in pricing an asset or liability. We use a three level fair value hierarchy to prioritize the inputs used in valuation techniques between observable inputs that reflect quoted prices in active markets, inputs other than quoted prices with observable market data and unobservable data (e.g., a company’s own data).

Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis. We completed two acquisitions during the nine months ended September 30, 2023 and multiple acquisitions during the year ended December 31, 2022. The values of net assets acquired were recorded at fair value using Level 3 inputs. The majority of the related current assets acquired and liabilities assumed were recorded at their carrying values as of the date of acquisition, as their carrying values approximated their fair values due to their short-term nature. The fair values of definite-lived intangible assets acquired in these acquisitions were estimated primarily based on the income approach. The income approach estimates fair value based on the present value of the cash flows that the assets are expected to generate in the future. We developed internal estimates for the expected cash flows and discount rates in the present value calculations.

Trade Accounts Receivable and Allowance for Doubtful Accounts. Accounts receivable are stated at cost and are due in less than a year. Significant payment terms for customers are identified in the contract. We do not recognize interest income on our trade accounts receivable. Additionally, we generally do not require collateral from our customers related to our trade accounts receivable.

The allowance for doubtful accounts is based on management's estimate for expected credit losses for outstanding trade accounts receivables. We determine expected credit losses based on historical write-off experience, an analysis of the aging of outstanding receivables, customer payment patterns, the establishment of specific reserves for customers in an adverse financial condition and adjusted based upon our expectations of changes in macroeconomic conditions that may impact the collectability of outstanding receivables. We reassess the adequacy of the allowance for doubtful accounts each reporting period. Increases to the allowance for doubtful accounts are recorded as bad debt expense, which are included in selling, general and administrative expenses on the accompanying Consolidated Statements of Income. Below is a rollforward of our allowance for doubtful accounts for the three and nine months ended September 30, 2023 and 2022, respectively.


	Three Months Ended September 30,				Nine Months Ended September 30,
	2023		2022		2023		2022
	(In millions)
Allowance for doubtful accounts, beginning of period	$	17.0	$	15.6	$	19.1	$	13.9
Current period bad debt expense	3.6		1.4		8.8		4.4
Write-offs, net of recoveries	(2.3)		(1.5)		(9.6)		(2.8)
Allowance for doubtful accounts, end of period	$	18.3	$	15.5	$	18.3	$	15.5

Other Current Assets. Other current assets on our Consolidated Balance Sheets primarily include amounts receivable related to vendor rebates and from tax authorities. Other current assets also include amounts in specifically designated accounts that hold the funds that are due to customers from our debt collection and recovery management services. As of September 30, 2023, these assets were $28.7 million, with a corresponding balance in other current liabilities. These amounts are restricted as to their current use and will be released according to the specific customer agreements.

Other Assets. Other assets on our Consolidated Balance Sheets primarily represent our investments in unconsolidated affiliates, the Company’s operating lease right-of-use assets, employee benefit trust assets, assets related to life insurance policies covering certain officers of the Company and long-term deferred tax assets.

Equity Investment. On August 7, 2023, we purchased the remaining interest of our equity investment in Boa Vista Serviços S.A. ("BVS"), a consumer and commercial credit information bureau in Brazil. Up until the date of acquisition, we recorded this equity investment within Other Assets at fair value, using observable Level 1 inputs. The carrying value of the

investment was adjusted to $88.9 million as of the close date, August 7, 2023, based on quoted market prices, resulting in a loss of $0.2 million and a gain of $7.0 million for the three and nine months ended September 30, 2023, respectively. The carrying value of the investment was $58.0 million as of September 30, 2022, resulting in an unrealized gain of $5.7 million and unrealized loss of $0.7 million for the three and nine months ended September 30, 2022, respectively. All unrealized gains or losses on this investment were recorded in Other income, net within the Consolidated Statements of Income.

During the nine months ended September 30, 2023, in addition to the BVS activity mentioned above, we sold our interest in a separate equity investment. The overall sale proceeds exceeded the total carrying value of the investments, and we have recorded a gain of $6.2 million in Other income, net within the Consolidated Statements of Income. During the nine months ended September 30, 2022, we sold our interest in two other equity investments. The overall sale proceeds exceeded the total carrying value of the investments, and we recorded a total gain of $27.5 million in Other income, net within the Consolidated Statements of Income for the nine months ended September 30, 2022.

Other Current Liabilities. Other current liabilities on our Consolidated Balance Sheets consist of the current portion of our operating lease liabilities and various accrued liabilities such as interest expense, income taxes, accrued employee benefits, and insurance expense. Other current liabilities also include the offset to other current assets related to amounts in specifically designated accounts that hold the funds that are due to customers from our debt collection and recovery management services. As of September 30, 2023, these funds were $28.7 million. These amounts are restricted as to their current use and will be released according to the specific customer agreements.

Change in Accounting Principle. In October 2021, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") No. 2021-08 “Business Combinations (Topic 805): Accounting for Contract Assets and Contract Liabilities from Contracts with Customers.” The update provides clarifying guidance to reduce diversity in practice stating that contract assets, contract liabilities and deferred revenue acquired in business combinations should be measured in accordance with Accounting Standards Topic 606, rather than the fair value principles of Accounting Standards Topic 805. ASU 2021-08 is effective for all public business entities for annual periods beginning after December 15, 2022. This guidance must be applied on a prospective basis. As of January 1, 2023, we have adopted this standard as it relates to our current year business combinations. The adoption of this guidance did not have a material impact on our financial position, results of operations or cash flows.

Recent Accounting Pronouncements. In March 2020, the FASB issued ASU No. 2020-04 “Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting.” The update provides optional guidance for a limited period of time to ease the potential burden in accounting for (or recognizing the effects of) contract modifications on financial reporting, caused by reference rate reform. ASU 2020-04 is effective for all entities as of March 12, 2020 through December 31, 2022. In December 2022, the FASB issued ASU No. 2022-06 "Reference Rate Reform (Topic 848): Deferral of the Sunset Date of Topic 848." The update extends the sunset date from ASU No. 2020-04 from December 31, 2022, to December 31, 2024. After this date, entities will no longer be permitted to apply the relief in Topic 848. We are still evaluating the impact, but do not expect the adoption of the standard to have a material impact on our Consolidated Financial Statements.

In August 2023, the FASB issued ASU No. 2023-05 "Business Combinations—Joint Venture Formations (Subtopic 805-60): Recognition and Initial Measurement." The amendments in this update address the accounting for contributions made to a joint venture, upon formation, in a joint venture’s separate financial statements. The update requires that a joint venture apply a new basis of accounting upon formation. By applying a new basis of accounting, a joint venture, upon formation, will recognize and initially measure its assets and liabilities at fair value (with exceptions to fair value measurement that are consistent with the business combinations guidance). The amendments in this update are effective prospectively for all joint venture formations with a formation date on or after January 1, 2025. This update will impact us if we enter into any joint venture agreements after January 1, 2025 and we will evaluate the impact accordingly.

2. REVENUE

Revenue Recognition. Based on the information that management reviews internally for evaluating operating segment performance and nature, amount, timing, and uncertainty of revenue and cash flows affected by economic factors, we disaggregate revenue as follows:


	Three Months Ended September 30,				Change				Nine Months Ended September 30,				Change
Consolidated Operating Revenue	2023		2022		$		%		2023		2022		$		%
	(In millions)								(In millions)
Verification Services	$	459.3	$	454.5	$	4.8	1	%	$	1,389.1	$	1,472.4	$	(83.3)	(6)	%
Employer Services	117.9		104.4		13.5		13	%	367.2		344.7		22.5		7	%
Total Workforce Solutions	577.2		558.9		18.3		3	%	1,756.3		1,817.1		(60.8)		(3)	%
Online Information Solutions	348.2		314.4		33.8		11	%	1,047.8		987.5		60.3		6	%
Mortgage Solutions	27.3		32.1		(4.8)		(15)	%	90.8		112.3		(21.5)		(19)	%
Financial Marketing Services	50.5		50.9		(0.4)		(1)	%	154.1		152.0		2.1		1	%
Total U.S. Information Solutions	426.0		397.4		28.6		7	%	1,292.7		1,251.8		40.9		3	%
Asia Pacific	85.5		87.1		(1.6)		(2)	%	263.1		263.7		(0.6)		—	%
Europe	85.2		80.7		4.5		6	%	239.6		246.3		(6.7)		(3)	%
Canada	65.1		66.2		(1.1)		(2)	%	194.7		191.8		2.9		2	%
Latin America	80.1		54.0		26.1		48	%	192.3		153.6		38.7		25	%
Total International	315.9		288.0		27.9		10	%	889.7		855.4		34.3		4	%
Total operating revenue	$	1,319.1	$	1,244.3	$	74.8	6	%	$	3,938.7	$	3,924.3	$	14.4	—	%

Remaining Performance Obligation – We have elected to disclose only the remaining performance obligations for those contracts with an expected duration of greater than one year and do not disclose the value of remaining performance obligations for contracts in which we recognize revenue at the amount to which we have the right to invoice. We expect to recognize as revenue the following amounts related to our remaining performance obligations as of September 30, 2023, inclusive of foreign exchange impact:


Performance Obligation	Amount
	(In millions)
Less than 1 year	$	25.7
1 to 3 years	28.9
3 to 5 years	14.3
Thereafter	21.8
Total remaining performance obligation	$	90.7

3. ACQUISITIONS AND INVESTMENTS

2023 Acquisitions and Investments. In the first quarter of 2023, the Company acquired a company in Canada, within the International operating segment.

Acquisition of Boa Vista Serviços

On August 7, 2023, we acquired the remaining interest of our investment in Boa Vista Serviços S.A. ("BVS"), a consumer and commercial credit information company in Brazil, within the International operating segment for approximately $510 million in cash, 2,171,615 shares of Equifax do Brasil, and 479,725 shares of Equifax Inc. common stock (the "Acquisition"). We previously owned a 10% investment in BVS.

The following table summarizes the fair value of consideration exchanged to complete the acquisition of BVS:


Fair value of consideration	Amount
	(In millions)

Cash transferred (1)	$	509.7
Equifax do Brasil common shares issued (2)	176.4
Equifax Brazilian Depositary Receipts ("Equifax BDRs") issued (3)	94.6
Fair value of 10% investment	88.9
Total value of consideration	$	869.6

(1) The cash transferred represents the actual cash transferred as part of the transaction. The cash portion of the consideration was funded primarily with borrowings under our commercial paper program.

(2) The fair value of the 2,171,615 Equifax do Brasil common shares issued was determined based on the offer price for the outstanding BVS shares.

(3) One Equifax BDR represents one share of Equifax Inc. common stock. The fair value of the 479,725 Equifax BDRs issued was determined based on the share price of Equifax Inc. as of August 7, 2023.

The Company accounted for this acquisition in accordance with ASC 805, Business Combinations, which requires the assets acquired and the liabilities assumed to be measured at fair value at the date of the acquisition. The purchase price allocation for the acquisition is not yet finalized and open areas relate to measurement of intangible assets, noncontrolling interest, income taxes, working capital and other reserves, as well as the assignment of goodwill recognized in the transaction. Accordingly, adjustments may be made to the values of the assets acquired and liabilities assumed as additional information is obtained about the facts and circumstances that existed at the valuation date.

The preliminary valuation of acquired assets and assumed liabilities at the date of the acquisition, include the following:


Net assets acquired:	Amount
	(In millions)
Cash and cash equivalents	$	239.5
Trade accounts receivable and other current assets	36.2
Other assets, net	48.6
Purchased intangible assets (1)	241.9

Goodwill (2)	407.2
Total assets acquired	973.4



Total liabilities assumed	(103.8)

Net assets acquired	$	869.6

(1) Purchased intangible assets are further disaggregated in the following table.

(2) The goodwill related to BVS is included in the Latin America reporting unit within our International reportable segment.

The goodwill recognized in connection with the transaction was due to expanded growth opportunities from expanding geographically into Brazil, and from the opportunity to create new or enhanced product offerings, as well as cost savings from improved technology and the elimination of duplicative activities that are not recognized as assets apart from goodwill.


Purchased intangible assets	Amount		Weighted-average useful life
	(In millions)		(In years)
Customer relationships	$	172.4	10.0
Purchased data files	64.3		15.0

Trade names and other intangible assets	5.2		2.4
Total acquired definite-lived intangibles	$	241.9	11.2

Redeemable Noncontrolling Interest

As part of the merger consideration issued to complete the acquisition of BVS, we issued shares of one of our subsidiaries, Equifax do Brasil, thus resulting in a noncontrolling interest. We recognized the noncontrolling interest at fair value at the date of acquisition. These shares were issued with specific rights allowing the holders to sell the shares back to Equifax, at fair value during specified future time periods starting at the fifth anniversary and only when certain conditions exist. Additionally, the shareholder agreements provide Equifax the right to buy the shares back at fair value at future dates beginning after the tenth anniversary of the acquisition, however Equifax is not required to execute this right at any point.

We determined the noncontrolling interest shareholder rights meet the requirements to be considered redeemable. Therefore we have classified the noncontrolling interest outside of permanent equity on our consolidated balance sheet.

Currently, the noncontrolling interest is not redeemable but it is probable that it will become redeemable in the future. Therefore we will recognize changes in the redemption value as of each balance sheet date.

2022 Acquisitions and Investments. In the first quarter of 2022, the Company acquired 100% of Efficient Hire, a provider of cloud recruiting, onboarding and human resources management solutions, within the Workforce Solutions operating segment, and Data Crédito, a consumer credit reporting agency in the Dominican Republic, within the International operating segment.

In the third quarter of 2022, the Company acquired 100% of LawLogix, a leading provider of cloud-based I-9 software and immigration case management software, within the Workforce Solutions operating segment, and Midigator, a provider of post-transaction fraud mitigation solutions, within the U.S. Information Solutions business segment.

4. GOODWILL AND INTANGIBLE ASSETS

Goodwill. Goodwill represents the cost in excess of the fair value of the net assets acquired in a business combination. Goodwill is tested for impairment at the reporting unit level on an annual basis and on an interim basis if an event occurs or circumstances change that would more likely than not reduce the fair value of a reporting unit below its carrying value. We perform our annual goodwill impairment test as of September 30.

Our annual goodwill impairment testing was completed during the third quarter of 2023. The estimated fair value for all reporting units exceeded the carrying value for those units as of September 30, 2023. As a result, no goodwill impairment was recorded.

Changes in the amount of goodwill for the nine months ended September 30, 2023, are as follows:


	Workforce Solutions		U.S. Information Solutions		International		Total

Balance, December 31, 2022	$	2,520.8	$	2,004.8	$	1,858.3	$	6,383.9
Acquisitions	—		—		410.4		410.4
Adjustments to initial purchase price allocation	(0.7)		1.4		0.3		1.0
Foreign currency translation	—		—		(64.5)		(64.5)

Balance, September 30, 2023	$	2,520.1	$	2,006.2	$	2,204.5	$	6,730.8

Indefinite-Lived Intangible Assets. Indefinite-lived intangible assets consist of indefinite-lived reacquired rights representing the value of rights which we had granted to various affiliate credit reporting agencies that were reacquired in the U.S. and Canada. At the time we acquired these agreements, they were considered perpetual in nature under the accounting guidance in place at that time and, therefore, the useful lives are considered indefinite. Indefinite-lived intangible assets are not

amortized. We are required to test indefinite-lived intangible assets for impairment annually and whenever events or circumstances indicate that there may be an impairment of the asset value. We perform our annual indefinite-lived intangible asset impairment test as of September 30. The estimated fair value of our indefinite-lived intangible assets exceeded the carrying value as of September 30, 2023. As a result, no impairment was recorded. Our indefinite-lived intangible asset carrying amounts did not change materially during the nine months ended September 30, 2023.

Purchased Intangible Assets. Purchased intangible assets represent the estimated acquisition date fair value of acquired intangible assets used in our business. Purchased data files represent the estimated fair value of consumer and commercial data files acquired through our acquisitions of various companies, including a fraud and identity solutions provider and independent credit reporting agencies in the U.S., Australia, Brazil, Dominican Republic and Canada. We expense the cost of modifying and updating credit files in the period such costs are incurred. We amortize all of our purchased intangible assets on a straight-line basis. For additional information about the useful lives related to our purchased intangible assets, see Note 1 of the Notes to Consolidated Financial Statements in our 2022 Form 10-K.

Purchased intangible assets at September 30, 2023 and December 31, 2022 consisted of the following:


	September 30, 2023						December 31, 2022
	Gross		Accumulated Amortization		Net		Gross		Accumulated Amortization		Net
Definite-lived intangible assets:	(In millions)
Purchased data files	$	1,136.5	$	(574.5)	$	562.0	$	1,090.0	$	(527.8)	$	562.2
Customer relationships	1,036.7		(455.2)		581.5		874.6		(407.4)		467.2

Proprietary database	706.3		(157.3)		549.0		705.9		(115.0)		590.9
Acquired software and technology	222.2		(66.1)		156.1		225.4		(42.6)		182.8
Trade names, non-compete agreements and other intangible assets	83.3		(28.0)		55.3		41.2		(25.8)		15.4

Total definite-lived intangible assets	$	3,185.0	$	(1,281.1)	$	1,903.9	$	2,937.1	$	(1,118.6)	$	1,818.5

Amortization expense related to purchased intangible assets was $64.4 million and $59.1 million during the three months ended September 30, 2023 and 2022, respectively. Amortization expense related to purchased intangible assets was $185.4 million and $174.4 million during the nine months ended September 30, 2023 and 2022, respectively.

Estimated future amortization expense related to definite-lived purchased intangible assets at September 30, 2023 is as follows:


Years ending December 31,	Amount
	(In millions)
2023	$	66.0
2024	252.2
2025	247.4
2026	231.5
2027	218.7
Thereafter	888.1
	$	1,903.9

5. DEBT

Debt outstanding at September 30, 2023 and December 31, 2022 was as follows:


	September 30, 2023		December 31, 2022
	(In millions)
Commercial paper	$	483.5	$	566.8



Notes, 3.95%, due June 2023	—		400.0
Notes, 2.6%, due December 2024	750.0		750.0
Notes, 2.6%, due December 2025	400.0		400.0
Notes, 3.25%, due June 2026	275.0		275.0

Term loan, due August 2026	700.0		700.0
Notes, 5.10%, due December 2027	750.0		750.0
Notes, 5.10%, due June 2028	700.0		—
Debentures, 6.9%, due July 2028	125.0		125.0
Notes, 3.1%, due May 2030	600.0		600.0
Notes, 2.35%, due September 2031	1,000.0		1,000.0
Notes, 7.0%, due July 2037	250.0		250.0
Other	—		0.4
Total debt	6,033.5		5,817.2
Less short-term debt and current maturities	(501.0)		(967.2)
Less unamortized discounts and debt issuance costs	(32.1)		(29.9)
Total long-term debt, net	$	5,500.4	$	4,820.1

5.1% Senior Notes. In May 2023, we issued $700.0 million aggregate principal amount of 5.1% five-year Senior Notes due 2028 (the "2028 Notes") in an underwritten public offering. Interest on the 2028 Notes accrues at a rate of 5.1% per year and is payable semi-annually in arrears on June 1 and December 1 of each year. The net proceeds of the sale of the 2028 Notes were ultimately used to repay our then-outstanding $400.0 million 3.95% Senior Notes due June 2023 at maturity. The remaining proceeds were used for general corporate purposes, including the repayment of borrowings under our commercial paper program. We must comply with various non-financial covenants, including certain limitations on mortgages, liens and sale-leaseback transactions, as well as mergers and sales of substantially all of our assets. The 2028 Notes are unsecured and rank equally with all of our other unsecured and unsubordinated indebtedness.

5.1% Senior Notes. In September 2022, we issued $750.0 million aggregate principal amount of 5.1% five-year Senior Notes due 2027 (the "2027 Notes") in an underwritten public offering. Interest on the 2027 Notes accrues at a rate of 5.1% per year and is payable semi-annually in arrears on June 15 and December 15 of each year. The net proceeds of the sale of the 2027 Notes were ultimately used to repay, in October 2022, our then-outstanding $500.0 million 3.30% Senior Notes due December 2022. The remaining proceeds were used for general corporate purposes, including the repayment of borrowings under our commercial paper program. We must comply with various non-financial covenants, including certain limitations on mortgages, liens and sale-leaseback transactions, as well as mergers and sales of substantially all of our assets. The 2027 Notes are unsecured and rank equally with all of our other unsecured and unsubordinated indebtedness.

Senior Credit Facilities. We have access to a $1.5 billion five-year unsecured revolving credit facility (the “Revolver”) and a $700.0 million delayed draw term loan (“Term Loan”), collectively known as the “Senior Credit Facilities,” both of which mature in August 2026. In March 2023, we amended our Senior Credit Facilities agreement to adjust our debt covenant requirements and incorporate the Secured Overnight Financing Rate (SOFR) into our agreement, among other changes. Borrowings under the Senior Credit Facilities may be used for working capital, for capital expenditures, to refinance existing debt, to finance acquisitions and for other general corporate purposes. The Revolver includes an option to request a maximum of three one-year extensions of the maturity date any time after the first anniversary of the closing date of the Revolver. Availability of the Revolver is reduced by the outstanding principal balance of our commercial paper notes and by any letters of credit issued under the Revolver. As of September 30, 2023, there were $483.5 million of outstanding commercial paper notes, $0.4 million of letters of credit outstanding, no outstanding borrowings under the Revolver and $700.0 million outstanding under the Term Loan. Availability under the Revolver was $1,016.1 million at September 30, 2023.

Commercial Paper Program. Our $1.5 billion commercial paper ("CP") program has been established through the private placement of commercial paper notes from time-to-time, in which borrowings may bear interest at either a variable or a fixed rate, plus the applicable margin. Maturities of CP can range from overnight to 397 days. Because the CP is backstopped by our Revolver, the amount of CP which may be issued under the program is reduced by the outstanding face amount of any letters of credit issued and by the outstanding borrowings under our Revolver. At September 30, 2023, there were $483.5 million of outstanding CP notes. We have disclosed the net short-term borrowing activity for the nine months ended September 30, 2023 in the Consolidated Statements of Cash Flows. There are no CP borrowings or payments with a maturity date greater than 90 days and less than 365 days for the nine months ended months ended September 30, 2023.

For additional information about our debt agreements, see Note 5 of the Notes to Consolidated Financial Statements in our 2022 Form 10-K.

6. COMMITMENTS AND CONTINGENCIES

Canadian Class Actions. In 2017, we experienced a cybersecurity incident following a criminal attack on our systems that involved the theft of personal information of consumers. Five putative Canadian class actions, four of which are on behalf of a national class of approximately 19,000 Canadian consumers, are pending against us in Ontario, British Columbia and Alberta. Each of the proposed Canadian class actions asserts a number of common law and statutory claims seeking monetary damages and other related relief in connection with the 2017 cybersecurity incident. In addition to seeking class certification on behalf of Canadian consumers whose personal information was allegedly impacted by the 2017 cybersecurity incident, in some cases, plaintiffs also seek class certification on behalf of a larger group of Canadian consumers who had contracts for subscription products with Equifax around the time of the incident or earlier and were not impacted by the incident.

On December 13, 2019, the court in Ontario granted certification of a nationwide class that includes all impacted Canadians as well as Canadians who had subscription products with Equifax between March 7, 2017 and July 30, 2017 who were not impacted by the incident. We appealed one of the claims on which a class was certified and on June 9, 2021, our appeal was granted by the Ontario Divisional Court. The plaintiff filed a notice of further appeal with the Ontario Court of Appeal, and on November 25, 2022, the Ontario Court of Appeal dismissed the plaintiff’s appeal and upheld the Divisional Court’s ruling in our favor. On January 24, 2023, the plaintiff appealed this decision to the Supreme Court of Canada, and on July 13, 2023, the Supreme Court of Canada dismissed the appeal. All remaining purported class actions are at preliminary stages or stayed.

FCA Investigation. The U.K.’s Financial Conduct Authority (“FCA”) opened an enforcement investigation against our U.K. subsidiary, Equifax Limited, in October 2017 in connection with the 2017 cybersecurity incident. We received a notice with the FCA's findings on Octob