GLOBAL PAYMENTS INC MANAGEMENT REPORT ON FINANCIAL POSITION AND RESULTS OF OPERATIONS (Form 10-Q)

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The following discussion and analysis of our financial condition and results of
operations should be read in conjunction with our unaudited consolidated
financial statements and related notes included in Item 1 of Part I of this
Quarterly Report and the Management's Discussion and Analysis of Financial
Condition and Results of Operations and consolidated financial statements
contained in our Annual Report on Form 10-K for the year ended December 31,
2021. This discussion and analysis contains forward-looking statements about our
plans and expectations of what may happen in the future. Forward-looking
statements are based on a number of assumptions and estimates that are
inherently subject to significant risks and uncertainties, and our actual
results could differ materially from the results anticipated by our
forward-looking statements.

Executive Overview

We are a leading payments technology company delivering innovative software and
services to our customers globally. Our technologies, services and team member
expertise allow us to provide a broad range of solutions that enable our
customers to operate their businesses more efficiently across a variety of
channels around the world.

We have grown organically as well as through acquisitions. We continue to invest
in new technology solutions and innovation, infrastructure to support our
growing business and the consolidation and enhancement of our operating
platforms. These investments include new product development and innovation to
further enhance and differentiate our suite of technology and cloud-based
solutions available to customers, along with migration of certain underlying
technology platforms to cloud environments to enhance performance, improve speed
to market and drive cost efficiencies. We continue to execute on merger and
integration activities, such as combining business operations, streamlining
technology infrastructure, eliminating duplicative corporate and operational
support structures and realizing scale efficiencies. We have also recently
commenced a strategic evaluation of the consumer portion of our Business and
Consumer Solutions segment with the intent to focus on our growing
business-to-business portfolio of assets.

Highlights related to our financial situation as of March 31, 2022 and results of operations for the three months then ended include the following:

•Consolidated revenues for the three months ended March 31, 2022 increased to
$2,156.3 million compared to $1,990.0 million for the prior year. The increase
in consolidated revenues was primarily due to an increase in transaction volumes
as a result of growth in customer base, acceleration in the use of digital
payment solutions and continued economic recovery from the effects of the
COVID-19 pandemic.

•Consolidated operating income for the three months ended March 31, 2022
increased to $375.9 million compared to $275.3 million for the prior year.
Operating margin for the three months ended March 31, 2022 increased to 17.4%
compared to 13.8% for the prior year. The increase in consolidated operating
income and operating margin for the three months ended March 31, 2022 was
primarily due to the favorable effect of the increase in revenues, since certain
fixed costs do not vary with revenues, and lower acquisition and integration
expenses.

Effect of COVID-19 and other world events

The COVID-19 pandemic has caused and may continue to cause significant
disruptions to businesses and markets worldwide through the continued spread of
the virus, including through a resurgence of COVID-19 cases or emergence of new
virus variants in certain jurisdictions. The pandemic and measures to prevent
its spread have affected and may continue to affect our financial results in
various geographic locations as a result of volatility in spending and
transaction volumes as governments implement or ease restrictions in response to
the virus. While we continue to see signs of economic recovery, which has
positively affected our financial results, the rate of recovery on a global
basis has been and may continue to be affected by additional developments
related to COVID-19.

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At the onset of the pandemic, we took early actions to preserve our available
capital and provide financial flexibility in response to the effects of COVID-19
on our business, including the temporary reduction of certain operating
expenses, employee compensation costs, other discretionary spending and planned
capital expenditures, adding to the strength of our financial profile. Certain
operating expenses, capital expenditures and other investments in the business
have returned to more normalized levels. We expect to continue to make
significant capital investments in the business while also continuing to manage
other discretionary spending. We continue to closely monitor the COVID-19
pandemic; however, the implications on future global economic conditions and
related effects on our business and financial condition are difficult to predict
due to continuing uncertainties around the ultimate severity, scope and duration
of the pandemic, vaccine administration rates and efficacy, resurgence of
COVID-19 cases and emergence of new virus variants and the direction or extent
of current or future restrictive actions that may be imposed by governments or
public health authorities.

We also continue to evaluate the potential effects on our business from other
economic conditions and global events, including the situation in Ukraine and
Russia that began in February 2022. In response to the invasion of Ukraine by
Russia, economic sanctions were imposed on individuals and entities in Russia,
including financial institutions, by governments around the world, including the
U.S. and the European Union. Our business in Russia represents an immaterial
portion of our operations and financial results. In 2021, Russia contributed
less than one half of one percent of total consolidated revenues. We have no
team members or operations in Ukraine. As a result of additional sanctions
imposed in April 2022 that will affect our ability to continue normal operations
in Russia, we sold our merchant business in Russia effective April 29, 2022.
Based on our current estimates, we expect to recognize a charge of approximately
$130 million during the second quarter of 2022 associated with the sale. The
invasion of Ukraine by Russia and the sanctions and other measures imposed in
response to this situation have increased the level of economic and political
uncertainty in Russia and other areas of the world. Risks associated with
heightened geopolitical and economic instability include, among others,
reduction in consumer, government or corporate spending, international
sanctions, embargoes, heightened inflation, volatility in global financial
markets and foreign currency rates, increased cyber disruptions and higher
supply chain costs. We continue to take actions to comply with all applicable
restrictions and sanctions. The extent to which the effects of the invasion of
Ukraine by Russia will affect the global economy and our operations outside of
Russia is difficult to predict at this time. However, a significant escalation
or expansion of the scope or of the related economic disruption could have an
adverse effect on our business and financial results.

We also continue to monitor other potential effects on our financial statements
as a result of these global developments, including fluctuations in foreign
currency. Certain of our operations are conducted in foreign currencies.
Recently, the US dollar has strengthened against certain foreign currencies in
the markets in which we operate. Consequently, a portion of our revenues and
expenses may be affected by fluctuations in foreign currency exchange rates. For
the three months ended March 31, 2022, currency exchange rate fluctuations
decreased our consolidated revenues by approximately $14.7 million and decreased
our operating income by approximately $4.7 million, calculated by converting
revenues and operating income for the current year in local currencies using
exchange rates for the prior year. A continuation or worsening of conditions
could result in adverse effect on our future financial results; however, we are
unable to predict the extent of the potential effect on our financial results.

For a further discussion of trends, uncertainties and other factors that could
affect our future operating results, see "Item 1A - Risk Factors" included in
Item 1 of this Quarterly Report and the section entitled "Risk Factors" in Item
1A in our Annual Report on Form 10-K for the year ended December 31, 2021.
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Results of Operations

We operate in three reportable segments: Merchant Solutions, Issuer Solutions
and Business and Consumer Solutions. We evaluate performance and allocate
resources based on the operating income of each operating segment. For further
information about our reportable segments, see "Item 1. Business-Business
Segments" within our Annual Report on Form 10-K for the year ended December 31,
2021, incorporated herein by reference, and "Note 12-Segment Information" in the
notes to the accompanying unaudited consolidated financial statements.

The following table sets forth key selected financial data for the three months
ended March 31, 2022 and 2021, this data as a percentage of total revenues and
the changes between the periods in dollars and as a percentage of the prior-year
amount. The income statement data for the three months ended March 31, 2022 and
2021 is derived from the accompanying unaudited consolidated financial
statements included in Part I, Item 1 - Financial Statements.

                                 Three Months Ended                                       Three Months Ended
                                   March 31, 2022             % of Revenues(1)              March 31, 2021             % of Revenues(1)             $ Change            % Change

                                                                                           (dollar amounts in thousands)

Revenues(2):
Merchant Solutions              $       1,473,019                          68.3  %       $       1,267,872                          63.7  %       $ 205,147                  16.2  %
Issuer Solutions                          511,501                          23.7  %                 500,251                          25.1  %          11,250                   2.2  %
Business and Consumer Solutions           195,772                           9.1  %                 243,585                          12.2  %         (47,813)                (19.6) %
Intersegment eliminations                 (24,038)                         (1.1) %                 (21,701)                         (1.1) %          (2,337)                 10.8  %
 Consolidated revenues          $       2,156,254                         100.0  %       $       1,990,007                         100.0  %       $ 166,247                   8.4  %

Consolidated operating
expenses(2):
Cost of service                 $         957,158                          44.4  %       $         925,246                          46.5  %       $  31,912                   3.4  %
Selling, general and
administrative                            823,149                          38.2  %                 789,502                          39.7  %          33,647                   4.3  %
Operating expenses              $       1,780,307                          82.6  %       $       1,714,748                          86.2  %       $  65,559                   3.8  %

Operating income (loss)(2)(3):
Merchant Solutions              $         444,530                          20.6  %       $         339,989                          17.1  %       $ 104,541                  30.7  %
Issuer Solutions                           58,102                           2.7  %                  68,455                           3.4  %         (10,353)                (15.1) %
Business and Consumer Solutions            33,658                           1.6  %                  61,923                           3.1  %         (28,265)                (45.6) %
Corporate                                (160,343)                         (7.4) %                (195,108)                         (9.8) %          34,765                 (17.8) %
Operating income                $         375,947                          17.4  %       $         275,259                          13.8  %       $ 100,688                  36.6  %

Operating margin(2):
Merchant Solutions                           30.2  %                                                  26.8  %                                           3.4  %
Issuer Solutions                             11.4  %                                                  13.7  %                                          (2.3) %
Business and Consumer Solutions              17.2  %                                                  25.4  %                                          (8.2) %


(1) Percentages may not add up to total due to rounding.

(2) Revenues, consolidated operating expenses, operating income (loss) and
operating margin reflect the effects of acquired businesses from the respective
acquisition dates. During the first quarter of 2022, the recently acquired
operations of MineralTree were reassigned to the Issuer Solutions segment to
reflect how the business will be managed going forward.

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(3) Operating loss for Corporate included acquisition and integration expenses
of $48.2 million and $90.1 million during the three months ended March 31, 2022
and 2021, respectively.

Revenues


Consolidated revenues for the three months ended March 31, 2022 increased by
8.4% to $2,156.3 million compared to $1,990.0 million for the prior year. The
increase in revenues for the three months ended March 31, 2022 was primarily due
to an increase in transaction volumes as a result of growth in customer base,
acceleration in the use of digital payment solutions and continued economic
recovery from the effects of the COVID-19 pandemic. While we continue to see
signs of economic recovery, which has positively affected our financial results
in the first quarter of 2022 compared to the first quarter of 2021, the rate of
recovery on a global basis has been and may continue to be affected by
additional developments related to COVID-19.

Merchant Solutions Segment. Revenues from our Merchant Solutions segment for the
three months ended March 31, 2022 increased by 16.2% to $1,473.0 million
compared to $1,267.9 million for the prior year. The increase in revenues for
the three months ended March 31, 2022 was primarily due to an increase in
transaction volumes as a result of growth in customer base, acceleration in the
use of digital payment solutions and continued economic recovery from the
effects of the COVID-19 pandemic.

Issuer Solutions Segment. Revenues from our Issuer Solutions segment for the
three months ended March 31, 2022 increased by 2.2% to $511.5 million compared
to $500.3 million for the prior year. The increase in revenues for the three
months ended March 31, 2022 was primarily due to an increase in transaction
volumes from continued economic recovery from the effects of the COVID-19
pandemic and the inclusion of the recently acquired MineralTree business within
the Issuer Solutions Segment beginning with the first quarter of 2022.

Business and Consumer Solutions Segment. Revenues from our Business and Consumer
Solutions segment for the three months ended March 31, 2022 were $195.8 million
compared to $243.6 million for the prior year. Revenues for the three months
ended March 31, 2021 were favorably affected by additional spending volumes
driven by individual stimulus payments and supplementary unemployment amounts
distributed to our customers by the U.S. government in the first quarter of
2021, which did not recur in the first quarter of 2022.

Functionnary costs


Cost of Service. Cost of service for the three months ended March 31, 2022
increased by 3.4% to $957.2 million compared to $925.2 million for the prior
year. Cost of service as a percentage of revenues decreased to 44.4% for the
three months ended March 31, 2022 compared to 46.5% for the prior year. The
increase in cost of service was primarily due to higher variable costs
associated with the increase in revenues. The decrease in cost of service as a
percentage of revenues was primarily due to the favorable effect of the increase
in revenues, since certain fixed costs do not vary with revenues. Cost of
service includes amortization of acquired intangibles, which were $329.0 million
and $329.2 million for the three months ended March 31, 2022 and 2021,
respectively.

Selling, General and Administrative Expenses. Selling, general and
administrative expenses for the three months ended March 31, 2022 increased by
4.3% to $823.1 million compared to $789.5 million for the prior year. Selling,
general and administrative expenses as a percentage of revenues decreased to
38.2% for the three months ended March 31, 2022 compared to 39.7% for the prior
year. The increase in selling, general and administrative expenses was primarily
due to an increase in variable selling and other costs related to the increase
in revenues. The decrease in selling, general and administrative expenses as a
percentage of revenues is primarily due to the favorable effect of the increase
in revenues, since certain fixed costs do not vary with revenues, and lower
acquisition and integration expenses in the current year. Selling, general and
administrative expenses included acquisition and integration expenses of
$51.0 million and $91.8 million for the three months ended March 31, 2022 and
2021, respectively.

Corporate. Corporate expenses for the three months ended March 31, 2022
decreased by $34.8 million to $160.3 million compared to $195.1 million for the
prior year. The decrease for the three months ended March 31, 2022 was primarily
due to lower acquisition and integration expenses, which were $48.2 million for
the three months ended March 31, 2022 compared to $90.1 million for the three
months ended March 31, 2021.

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Operating Income and Operating Margin


Consolidated operating income for the three months ended March 31, 2022
increased to $375.9 million compared to $275.3 million for the prior year.
Operating margin for the three months ended March 31, 2022 increased to 17.4%
compared to 13.8% for the prior year. The increase in consolidated operating
income and operating margin was primarily due to the favorable effect of the
increase in revenues, since certain fixed costs do not vary with revenues, and
lower acquisition and integration expenses.

Segment Operating Income and Operating Margin. Operating income and operating
margin in our Merchant Solutions segment for the three months ended March 31,
2022 increased compared to the three months ended March 31, 2021 primarily due
to the favorable effect of the increase in revenues, since certain fixed costs
do not vary with revenues, and continued management of discretionary spending,
slightly offset by incremental expenses related to continued investment in new
product, innovation and our technology environments. In our Issuer Solutions
segment, operating income and operating margin for the three months ended March
31, 2022 decreased compared to the three months ended March 31, 2021 primarily
due to the recently acquired operations of MineralTree. In our Business and
Consumer Solutions segment, operating income and operating margin for the three
months ended March 31, 2021 were favorably affected by additional stimulus
payments and supplementary unemployment amounts distributed by the U.S.
government in the first quarter of 2021, which did not recur in the first
quarter of 2022.

Other Income/Expense, Net


Interest and other expense for the three months ended March 31, 2022 increased
to $93.3 million compared to $83.1 million for the prior year, as a result of
the increase in our average outstanding borrowings and higher average interest
rates on outstanding borrowings, as the average LIBOR rate was higher during the
three months ended March 31, 2022 as compared to the three months ended March
31, 2021.

Income Tax Expense


Our effective income tax rate for the three months ended March 31, 2022 was
18.4%, and our effective income tax rate for the three months ended March 31,
2021 was 10.5%. The increase in our effective tax rate for the three months
ended March 31, 2022 was primarily the result of a change in the assessment of
the need for a valuation allowance related to foreign credit carryforwards that
favorably affected the rate for the three months ended March 31, 2021, and a
lower tax benefit on share-based awards in the current year.

Net income attributable to Global Payments

Net income attributable to Global Payments increased to $244.7 million for the
three months ended March 31, 2022 compared to $196.7 million for the prior year,
reflecting the increase in operating income.

Diluted earnings per share

Diluted earnings per share was $0.87 for the three months ended March 31, 2022
compared to $0.66 for the prior year. Diluted earnings per share for the three
months ended March 31, 2022 reflects the increase in net income and the decrease
in the weighted-average number of shares outstanding.

Cash and capital resources

We have many sources of capital, including cash and cash flow generated from operations as well as various sources of financing. In the normal course of our business, a significant portion of our liquidity comes from operating cash flow and borrowings, including capacity under our credit facilities.

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Our capital allocation priorities are to make planned capital investments in our
business, to pursue acquisitions that meet our corporate objectives, to pay
dividends, to pay principal and interest on our outstanding debt and to
repurchase shares of our common stock. Our significant contractual cash
requirements also include ongoing payments for lease liabilities and contractual
obligations related to service arrangements with suppliers for fixed or minimum
amounts, which primarily relate to software, technology infrastructure and
related services. Commitments under our borrowing arrangements are further
described in "Note 5-Long-Term Debt and Lines of Credit" in the notes to the
accompanying unaudited consolidated financial statements and below under
"Long-Term Debt and Lines of Credit." For additional information regarding our
other cash commitments and contractual obligations, see "Note 6-Leases," and
"Note 17-Commitments and Contingencies" in our Annual Report on Form 10-K for
the year ended December 31, 2021.

Our capital plan objectives are to support our operational needs and strategic
plan for long-term growth while optimizing our cost of capital and financial
position. To supplement cash from operating activities, we use a combination of
bank financing, such as borrowings under our credit facilities, and senior note
issuances for general corporate purposes and to fund acquisitions. In addition,
specialized lines of credit are also used in certain of our markets to fund
merchant settlement prior to receipt of funds from the card networks.

We believe that our current level of cash and borrowing capacity under our
senior unsecured revolving credit facility, together with expected future cash
flows from operations, will be sufficient to meet both the near-term and
long-term needs of our existing operations and planned requirements. We
regularly evaluate our liquidity and capital position relative to cash
requirements, and we may elect to raise additional funds in the future through
the issuance of debt or equity or by other means. Accumulated cash balances are
invested in high-quality, marketable short-term instruments.

At March 31, 2022, we had cash and cash equivalents totaling $2,045.3 million.
Of this amount, we considered $797.3 million to be available for general
purposes, of which $33.1 million is undistributed foreign earnings considered to
be indefinitely reinvested outside the United States. The available cash of
$797.3 million does not include the following: (i) settlement-related cash
balances, (ii) funds held as collateral for merchant losses ("Merchant
Reserves") and (iii) funds held for customers. Settlement-related cash balances
represent funds that we hold when the incoming amount from the card networks
precedes the funding obligation to the merchant. Settlement-related cash
balances are not restricted in their use; however, these funds are generally
paid out in satisfaction of settlement processing obligations the following day.
Merchant Reserves serve as collateral to minimize contingent liabilities
associated with any losses that may occur under the merchant's agreement. While
this cash is not restricted in its use, we believe that designating this cash as
a Merchant Reserve strengthens our fiduciary standing with our member sponsors.
Funds held for customers, which are not restricted in their use, include amounts
collected before the corresponding obligation is due to be settled to or at the
direction of our customers.

We also had restricted cash of $134.4 million as of March 31, 2022, representing
amounts deposited by customers for prepaid card transactions. These balances are
subject to local regulatory restrictions requiring appropriate segregation and
restriction in their use.

Operating activities provided net cash of $630.0 million and $599.4 million for
the three months ended March 31, 2022 and 2021, respectively, which reflect net
income adjusted for noncash items, including depreciation and amortization and
changes in operating assets and liabilities. Fluctuations in operating assets
and liabilities are affected primarily by timing of month-end and transaction
volume, including changes in settlement processing assets and obligations and
accounts payable and other liabilities balances. The increase in cash flows from
operating activities from the prior year was primarily due to an increase in
earnings and an increase in accounts payable and other liabilities balances due
to timing of month-end and transaction volume, partially offset by an increase
in prepaid expenses and other assets as a result of additional capitalized
contract costs, capitalized implementation costs associated with cloud computing
arrangements and timing associated with other prepaid services.

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We used net cash in investing activities of $160.8 million and $96.9 million
during the three months ended March 31, 2022 and 2021, respectively, primarily
to fund acquisitions and capital expenditures. During the three months ended
March 31, 2022 and 2021, we used cash of $4.7 million and $11.1 million,
respectively, for acquisitions. We made capital expenditures of $156.1 million
and $86.2 million during the three months ended March 31, 2022 and 2021,
respectively. These investments include software and hardware to support the
development of new technologies, infrastructure to support our growing business
and the consolidation and enhancement of our operating platforms. These
investments also include new product development and innovation to further
enhance and differentiate our suite of technology and cloud-based solutions
available to customers. We expect to continue to make significant capital
investments in the business, and we anticipate capital expenditures to remain as
a similar percentage of revenues for the year ending December 31, 2022 as
compared to the year ended December 31, 2021.

Financing activities include borrowings and repayments under our various debt
arrangements, as well as borrowings and repayments made under specialized lines
of credit to fund daily settlement activities. Our borrowing arrangements are
further described in "Note 5-Long-Term Debt and Lines of Credit" in the notes to
the accompanying unaudited consolidated financial statements and below under
"Long-Term Debt and Lines of Credit." Financing activities also include cash
flows associated with common stock repurchase programs and share-based
compensation programs, cash distributions made to our shareholders and cash
contributions from and distributions to noncontrolling interests. We used net
cash in financing activities of $376.3 million and $369.0 million during the
three months ended March 31, 2022 and 2021, respectively.

Proceeds from long-term debt were $1,529.2 million and $1,987.0 million for the
three months ended March 31, 2022 and 2021, respectively. Repayments of
long-term debt were $1,176.5 million and $1,575.4 million for the three months
ended March 31, 2022 and 2021, respectively. Proceeds from and repayments of
long-term debt consist of borrowings and repayments that we make with available
cash, from time-to-time, under our revolving credit facility, as well as
scheduled principal repayments we make on our term loans. On February 26, 2021,
we issued $1.1 billion aggregate principal amount of 1.200% senior unsecured
notes due February 2026. We used the net proceeds from this offering to fund the
redemption in full of the 3.800% senior unsecured notes due April 2021, to repay
a portion of the outstanding indebtedness under our revolving credit facility
and for general corporate purposes.

Activity under our settlement lines of credit is affected primarily by timing of
month-end and transaction volume. During the three months ended March 31, 2022
and 2021, we had net borrowings from settlement lines of credit of $16.5 million
and $108.5 million, respectively.

We repurchase our common stock mainly through open market repurchase plans and,
at times, through accelerated share repurchase ("ASR") programs. During the
three months ended March 31, 2022 and 2021, we used $649.7 million and $803.0
million, respectively, to repurchase shares of our common stock. The activity
for the three months ended March 31, 2021 included the repurchase of 2,491,161
shares at an average price of $200.71 per share under an ASR agreement we
entered into on February 10, 2021 with a financial institution to repurchase an
aggregate of $500 million of our common stock during the ASR program purchase
period, which ended on March 31, 2021. As of March 31, 2022, we had $1,707.0
million of share repurchase authority remaining under our share repurchase
program.

We paid dividends to our common shareholders in the amounts of $70.2 million and
$57.6 million during the three months ended March 31, 2022 and 2021,
respectively. Additionally, during the three months ended March 31, 2022, we
made distributions to noncontrolling interests in the amount of $5.5 million.

Long-term debt and lines of credit

Senior Unsecured Notes

We have $9.4 billion in aggregate principal amount of senior unsecured notes,
which mature at various dates ranging from June 2023 to August 2049. Interest on
the senior notes is payable semi-annually at various dates. Each series of the
senior notes is redeemable, at our option, in whole or in part, at any time and
from time-to-time at the redemption prices set forth in the related indenture.

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Senior Unsecured Credit Facilities

From March 31, 2022borrowings outstanding under the term loan and revolving credit facility have been $2.0 billion and $0.4 billionrespectively.

We may issue standby letters of credit of up to $250 million in the aggregate
under the revolving credit facility. Outstanding letters of credit under the
revolving credit facility reduce the amount of borrowings available to us. The
amounts available to borrow under the revolving credit facility are also
determined by a financial leverage covenant. As of March 31, 2022, the total
available commitments under the revolving credit facility were $1.7 billion.

Compliance with commitments

The senior unsecured term loan and revolving credit facility contain customary
conditions to funding, affirmative covenants, negative covenants, financial
covenants and events of default. As of March 31, 2022, financial covenants under
the term loan facility required a leverage ratio of 3.50 to 1.00 and an interest
coverage ratio of 3.00 to 1.00. We were in compliance with all applicable
covenants as of March 31, 2022.

Settlement credit lines

In various markets where we do business, we have specialized lines of credit
that are restricted for use in funding settlement. The settlement lines of
credit generally have variable interest rates, are subject to annual review and
are denominated in local currency but may, in some cases, facilitate borrowings
in multiple currencies. For certain of our lines of credit, the available credit
is increased by the amount of cash we have on deposit in specific accounts with
the lender. Accordingly, the amount of the outstanding lines of credit may
exceed the stated credit limit. As of March 31, 2022, a total of $79.3 million
of cash on deposit was used to determine the available credit.

As of March 31, 2022, we had $497.3 million outstanding under these lines of
credit with additional capacity to fund settlement of $1.7 billion. During the
three months ended March 31, 2022, the maximum and average outstanding balances
under these lines of credit were $814.7 million and $442.3 million,
respectively. The weighted-average interest rate on these borrowings was 2.29%
at March 31, 2022.

See "Note 5-Long-Term Debt and Lines of Credit" in the notes to the accompanying
unaudited consolidated financial statements for further information about our
borrowing agreements.

Effect of New Accounting Pronouncements and Recently Issued Accounting Pronouncements Not Yet Adopted

From time-to-time, new accounting pronouncements are issued by the Financial
Accounting Standards Board or other standards setting bodies that may affect our
current and/or future financial statements. See "Note 1-Basis of Presentation
and Summary of Significant Accounting Policies" in the notes to the accompanying
unaudited consolidated financial statements for a discussion of recently adopted
accounting pronouncements and recently issued accounting pronouncements not yet
adopted.

Forward-Looking Statements

Some of the statements we use in this report, and in some of the documents we
incorporate by reference in this report, contain forward-looking statements
concerning our business operations, economic performance and financial
condition, including in particular: our business strategy and means to implement
the strategy; measures of future results of operations, such as revenues,
expenses, operating margins, income tax rates, and earnings per share; other
operating metrics such as shares outstanding and capital expenditures; the
effects of the COVID-19 pandemic on our business; our success and timing in
developing and introducing new services and expanding our business; and
statements about the benefits of our acquisitions, including future financial
and operating results, the company's plans, objectives, expectations and
intentions, and the successful integration of our acquisitions or completion of
anticipated benefits and strategic initiatives. You can sometimes identify
forward-looking statements by our use of the words "believes," "anticipates,"
"expects," "intends," "plan," "forecast," "guidance" and similar expressions.
For these statements, we claim the protection of the safe harbor for
forward-looking statements contained in the Private Securities Litigation Reform
Act of 1995.
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Contents

Although we believe that the plans and expectations reflected in or suggested by
our forward-looking statements are reasonable, those statements are based on a
number of assumptions, estimates, projections or plans that are inherently
subject to significant risks, uncertainties and contingencies, many of which are
beyond our control, cannot be foreseen and reflect future business decisions
that are subject to change. Accordingly, we cannot guarantee that our plans and
expectations will be achieved. Our actual revenues, revenue growth rates and
margins, other results of operations and shareholder values could differ
materially from those anticipated in our forward-looking statements as a result
of many known and unknown factors, many of which are beyond our ability to
predict or control. Important factors, among others, that may otherwise cause
actual events or results to differ materially from those anticipated by such
forward-looking statements or historical performance include the effects of
global economic, political, market, health and social events or other
conditions, including the effects and duration of, and actions taken in response
to, the COVID-19 pandemic and the evolving situation involving Ukraine and
Russia; our ability to meet our liquidity needs in light of the effects of the
COVID-19 pandemic or otherwise; difficulties, delays and higher than anticipated
costs related to integrating the businesses of Global Payments and Total System
Services, Inc., including with respect to implementing controls to prevent a
material security breach of any internal systems or to successfully manage
credit and fraud risks in business units; the effect of a security breach or
operational failure on the Company's business; failing to comply with the
applicable requirements of Visa, Mastercard or other payment networks or card
schemes or changes in those requirements; the ability to maintain Visa and
Mastercard registration and financial institution sponsorship; the ability to
retain, develop and hire key personnel; the diversion of management's attention
from ongoing business operations; the continued availability of capital and
financing; increased competition in the markets in which we operate and our
ability to increase our market share in existing markets and expand into new
markets; our ability to safeguard our data; risks associated with our
indebtedness, foreign currency exchange and interest rate risks; our ability to
meet environmental, social and governance targets, goals and commitments; the
potential effects of climate change including natural disasters; the effects of
new or changes in current laws, regulations, credit card association rules or
other industry standards on us or our partners and customers, including privacy
and cybersecurity laws and regulations; and other events beyond our control, and
other factors presented in "Item 1A - Risk Factors" of our Annual Report on Form
10-K for the year ended December 31, 2021 and this Quarterly Report on Form
10-Q, which we advise you to review. These cautionary statements qualify all of
our forward-looking statements, and you are cautioned not to place undue
reliance on these forward-looking statements.

Our forward-looking statements speak only as of the date they are made and
should not be relied upon as representing our plans and expectations as of any
subsequent date. While we may elect to update or revise forward-looking
statements at some time in the future, we specifically disclaim any obligation
to publicly release the results of any revisions to our forward-looking
statements, except as required by law.

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