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Lender Services

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Payday Advance Companies. Subprime Auto Lenders. Subprime Credit Card Issuers ... through alternative channels (automotive, subprime, mortgage, payday stores) ... – PowerPoint PPT presentation

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Title: Lender Services


1
Multifamily Services
Lender Services
Dealer Services
Data Services
Employer Services
Investigative Services
BUSINESS SOLUTIONS
2
Forward Looking Statement
Certain statements made in this presentation,
including those related to First Advantages
product expansion in its business segments,
organic growth, expansion of distribution
channels, consolidation of operations and
geographic are forward looking. Risks and
uncertainties exist that may cause results to
differ materially from those set forth in these
forward-looking statements. Factors that could
cause the anticipated results to differ from
those described in the forward-looking statements
include interest rate fluctuations changes in
the performance of the real estate markets
limitations on access to public records and other
data general volatility in the capital markets
changes in applicable government regulations
consolidation among both companies significant
customers and competitors the companies
continued abilities to identify and complete
acquisitions and successfully integrate acquired
businesses the market price of First Advantages
Class A common stock First Advantages ability
to successfully raise capital increases in First
Advantages expenses unanticipated technological
changes and requirements First Advantages
ability to identify suppliers of quality and
cost-effective data, and other factors described
in both companies Annual Reports on Form 10-K
for the year ended December 31, 2004, as filed
with the Securities and Exchange Commission. The
forward-looking statements speak only as of the
date they are made. First Advantage does not
undertake to update forward-looking statements to
reflect circumstances or events that occur after
the date the forward-looking statements are made.

2
3
Company Fundamentals
First Advantage Is Ranked Among Top Three In All
Major Business Lines
?
Global Risk Mitigation and Business
SolutionsProvider
?
Nasdaq FADV Publicly Listed Since June
2003 Merged with US Search.com
?
?
?
Headquartered in St. Petersburg, Florida
Offices in the U.S. and throughout Asia-Pacific
Over 3,700 Employees Worldwide
?
?
?
Majority Shareholder First American
Corporation 76 of Total Outstanding
Shares
?
3
4
Financial Overview
( 000s)
Service Revenue
596,105
472,142
388,776
291,215
239,571
181,621
4
5
Business Segments
Multifamily Services
Dealer Services
Lender Services
Data Services
Employer Services
Investigative Services
5
6
Lender Services
Overview
Quarterly Restated Segment Results

?
1 Mortgage Credit Re-Sell Provider45 Market
Share1 Provider to Fannie Mae Freddie
Mac 18 Out of Top 20 Lenders as
Customers Industry Leading Services Best in
Class IT Infrastructure Exclusive Distribution
through First American Corporation
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?
?
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Service Revenue
Operating Income
Operating Margin
6
7
Lender Services
Financial Overview
Fourth Quarter
2005
2004
Lender Services Service Revenue 39,364 31,7
21 Operating Margin 27.0 22.2
Full Year
2005
2004
Lender Services Service Revenue 168,327 135
,201 Operating Margin 28.6 28.2
7
8
Lender Services
Products
Product Expansion
Credit Reports - Tri-merged credit reportsLine
item verificationNon-traditional home-buyers
assistanceAccount Monitoring Creditor
contact informationCredit score updatesFraud
Identity Theft Prevention Detection Tax
Return VerificationOFAC Alerts Social Security
ScreeningStrategic Marketing Solutions Event
Alert TriggersCredit Trend DataDecisioning
Credit automation software and services,
creditapplication analysis and decisioning
? Product diversification into underserved
markets Bankruptcy Emerging Mortgage
Markets Subprime ? Leverage First American
market and distribution resources through a
partnership with the strategic sales team ?
International credit opportunities
8
9
Multifamily Services
Fundamentals
Quarterly Restated Segment Results

?
1 Provider of Resident Screening Information
ServicesApproximately 35 MarketshareThe
industrys largest, proprietary database of 34
million landlord-tenant recordsThe industrys
largest, proprietary criminal databaseThe
industrys only statistical scoring model which
enables delivery of superior screening results
and provides business metrics reports to
property owners and managers
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?
?
?
Service Revenue
Operating Income
Operating Margin
9
10
Multifamily Services
Financial Overview
Fourth Quarter
2005
2004
Multifamily Services Service
Revenue 14,121 12,297 Operating Margin
13.9 18.6
Full Year
2005
2004
Multifamily Services Service Revenue
63,254 54,135 Operating Margin 25.5
22.7
10
11
Multifamily Services
Products
Product Expansion
Resident ScreeningIndustrys only statistical
scoring model ? Nations most advanced and
comprehensive resident screening tool
? Industrys only results-based statistical
scoring model
? Introduction of advanced scoring model?
Target smaller landlords and apartment
associations
Renters InsuranceResident liability insurance
program ? Underwritten by First
American ? Paperless program ?
Tenants are prequalified
? Continue to cross-sell with other FADV
multifamily product offerings
Property Management SoftwareWeb-based software
for all apartment managementfunctions ?
Streamlines workflow integrates operations
? Enforces policies across portfolio ?
Control / track resident interactions
transactions
? Integration of capabilities across product
offerings (SafeRent form use at PMS)?
Integration with renters insurance
11
12
Dealer Services
Overview
Quarterly Restated Segment Results

?
1 Automotive Credit Information ResellerLeader
in specialized credit reporting to the
Automotive, Recreational Vehicle, Marine
industry, and Manufactured Housing
industry Leading loan origination system
processor of credit applications on DealerTrack
network
?
?
Service Revenue
Operating Income
Operating Margin
12
13
Dealer Services
Financial Overview
Fourth Quarter
2005
2004
Dealer Services Service Revenue 26,105 16,8
20 Operating Margin 11.6 8.9
Full Year
2005
2004
Dealer Services Service Revenue 98,357
69,842 Operating Margin 13.8 11.7
13
14
Dealer Services
Products
Product Expansion
Automotive Credit Reporting Industry leading
automotive credit reporting service Single and
triple merge credit reports Identity
verification Fraud detection Credit report
analysis FICO and Bankruptcy risk scores
? Bankruptcy Lead ? Cross-sell Bar None lead
generation services to existing dealerships
Specialty Credit Credit reporting services
provided to the RecreationalVehicle, Marine and
Manufactured Housing marketsoperating in similar
fashion to Automotive
14
15
Dealer Services
Products
Product Expansion
Credit Automation Software Manages flow of
credit information in and out of lending
institutions Scorecards to approve / decline
loans Loan Documents Action Letters Management
Reports Highly Configurable Decision
Criteria Tolerance Rules
? Continue to develop third party
distribution relationships
Bar NoneBrand name credit-based lead generation
and application processing for auto dealers
15
16
Data Services
Overview
Quarterly Restated Segment Results

Transportation Credit Reporting ? Leading
provider of business credit information to
the 500 billion trucking industry
Subprime Credit Reporting ? Proprietary database
of subprime consumers
Motor Vehicle Record Reporting ? Comprehensive
point of sale software
Consumer Services ? US SearchLeader in public
information since 1994
  • Membership Services
  • ? Membership credit customer service

Criminal Records Reselling ? Approximately 165
million records
Service Revenue
Lead Generation ? Full service on-line lead
generation
Operating Income
Operating Margin
16
17
Data Services
Financial Overview
Fourth Quarter
2005
2004
Data Services Service Revenue 29,839 18,111
Operating Margin 28.5 32.2
Full Year
2005
2004
Data Services Service Revenue 91,699
74,905 Operating Margin 32.1 19.2
17
18
Data Services
Products
Product Expansion
Transportation Credit ReportingTruckload
carrier business credit reporting ?
Proprietary database of truckload carrier
receivables business practices ? 80 of
leading truckload carriers as clients ?
34,000 carriers contribute regularly to
databaseDriving records from all 50 states,
Canada, andPuerto Rico ? Private network
of direct-to-DMV interfaces
? Expand commercial fleet product offerings
through cross-sell opportunities Employment
Screening Drug Testing Employment History?
Added promotional activity in key segments?
Increase client product awareness? Cross-sell
Fleet Management Services Fuel Tax
Reporting Permitting
Motor Vehicle Record Reporting Second largest
MVR information provider to insurance,
transportation and employment screening
industries in U.S., Canada and P.R. ?
Industry-leading software ? Multiple
delivery channels
? Expand vehicle based products ? Target fleet
and driver management services ? Improve margins
with regional and niche market products
18
19
Data Services
Products
Product Expansion
? ID verification tool? Improved database
elements Multiple Scoring Models Positive
Payment History Information? Improve system
architecture for more efficient future
product integration ? International expansion
Canada, Europe
Subprime Credit ReportingNations leading
source of subprime consumerinformation with 155
million records ? Proprietary database of
subprime consumer records ?
Unique data and decisioning solutions
for Payday Advance Companies Subprime Auto
Lenders Subprime Credit Card Issuers Subprime
Consumer Finance Companies
Criminal Records ResellingProprietary database
of 165 million felony and misdemeanor records
? NationScan ? Utilizes multiple criminal
record sources
? Continue to develop new features / services
with business partners Access to FADV SafeRent
database? Access tailored to volunteer
agencies? Access tailored to dating
organizations
19
20
Data Services
Products
Product Expansion
Consumer Services (US Search.com)Market leading
internet public record location andbackground
data services ? 1.2 Million customer
database ? 42 Million unique consumer
visitors per year
? Expand customer base through the addition of
subscription based membership offerings
Example Home Value Membership? Pursue
new advertising channels? Integration into
core products with added cross-sell
opportunities
Membership ServicesConsumer credit reporting,
credit monitoring,identity theft, and
membership-based services ? Third Party
Administrator ? Private Label ? Retail
? Expand and focus on membership retention
and customer service
20
21
Data Services
Products
Product Expansion
Lead GenerationOn-line lead generation
marketing tool targeting theautomotive, mortgage
and micro-loan vertical markets ? Sales
lead generation ? List management ?
Affiliate network marketing
? Poised to capitalize on increasing
recognition of Internet marketing advertising
influx? Increase growth into Mortgage and
Real Estate lead generation market
coverage? Continue to pursue relationships
with publishers and advertisers
21
22
Investigative Litigation Services
Overview
Quarterly Restated Segment Results
Electronic Discovery ? First to market in Asia
and foreign languages? 300 Years combined
experience

Computer Forensics ? Largest commercial computer
forensics lab on the east coast?
Continuously trained staff
Data Recovery? Industry leading RD
capabilities? 16 Terabytes of data recovered
monthly
Due Diligence Reporting ? Finest due diligence
reports in the industry? Better priced reports,
more complete, and more consistent
Insurance Fraud Surveillance ? National leader
specializing in the detection and exposure
of workers compensation, disability and
liability insurance fraud
Service Revenue
Operating Income
Operating Margin
22
23
Investigative Litigation Services
Financial Overview
Fourth Quarter
2005
2004
Investigative Services Service
Revenue 11,438 7,027 Operating Margin
9.4 4.1
Full Year
2005
2004
Investigative Services Service Revenue
34,580 25,714 Operating Margin 6.1
3.5
23
24
Investigative Litigation Services
Products
Product Expansion
Electronic Discovery ? Consulting ?
Data collection and preservation ? Data
conversion, delivery, review production
? Office and employee expansion to provide a
full array of service offerings ?
Unique foreign language conversion
Computer ForensicsOver 30 staff experts
consisting of engineers and licensed forensic
examiners ? Litigation support ?
Proving or disproving fraudulent activity ?
Intellectual property theft
? Continue to cross-sell with other FADV
investigative product offerings
24
25
Investigative Litigation Services
Products
Product Expansion
Data RecoveryInformation recovery from all
types of media ? Disasters and accidental
data loss ? Restore data to tapes and
hard drives
? Broadened product reach through formal
reseller program computer stores and re-
sellers are able to sell our service?
Established automotive intake system to
accept client media at various FADV locations
for transfer to clean rooms
Due Diligence ReportingStandardized due
diligence process on the following ?
Hedge fund managers ? Investment banking
backed business people ? Managers
receiving private equity from funds
? Expand the breadth of service offerings
through added staff and management
25
26
Investigative Litigation Services
Products
Product Expansion
Insurance Fraud SurveillanceSpecializing in
detection and exposure of workerscompensation,
disability and liability fraud ?
Surveillance ? Fraud Investigations ?
Background and database investigations
? Cross-sell fraud surveillance services to
other First Advantage customers, i.e. large
self-insured organizations? Further diversify
and expand into additional markets
26
27
Employer Services
Overview
Quarterly Restated Segment Results

Background Screening Services ? Third largest
verification provider in the U.S.
Occupational Health Services ? Second largest
drug screening marketplace provider
Tax Consulting Services ? Hiring Location,
Transportation, and Sales Use Tax
Consulting
Hiring Management Services? Employer applicant
tracking system
Skills Assessment ? Skills testing products
services
Service Revenue
Biometrics ? Fingerprinting applications
Operating Income
Operating Margin
27
28
Employer Services
Financial Overview
Fourth Quarter
2005
2004
Employer Services Service Revenue 39,388 30
,797 Operating Margin 11.2 12.4
Full Year
2005
2004
Employer Services Service Revenue 143,839 1
15,461 Operating Margin 10.4 9.2
28
29
Employer Services Lifecycle
29
30
Employer Services
Products
Product Expansion
Background Screening ServicesProducts and
services that assist in screeningapplicants for
jobs, and monitoring ongoing employment
qualifications ? Over 80 various
background searches ? Largest provider
of pre-employment screening in
Asia-Pacific
? New specialty product offerings Vendor
Check
? Cross-sell new product acquisitions Biometri
cs Hiring Management Solutions
Occupational Health Services? Substance abuse
testing? Compliance management? Physical exam
management? Employee assistance programs
? FADV branded specialty testing products
? Introduction of compliance monitoring tool
for industries requiring professional
credentialing
30
31
Employer Services
Products
Product Expansion
Tax Consulting Service? Hiring and
location-based tax incentives consulting
Work Opportunity Tax Credit/ Welfare to Work
State Hiring Credit
Enterprise Zone Credits Investment
Credit Training Grants ?
Transportation consulting services - Fleet
management ensures trucking fleets are in
compliance with state and federal regulations ?
Sales and use tax consulting
? Continue to increase service offerings through
acquisitions and organic growth
? Expand tax credit target market Manufacturing
Processing Distribution Technology
31
32
Employer Services
Products
Product Expansion
Hiring Management Services? Web-based
employer applicant tracking system Open-position
management capability Create job
requisitions Post position openings
Accepting applications Schedule
interviews Evaluation of applicants
Coordinate background checks ? System available
in 12 languages
? Language translation capability for cross-sell
opportunity with First Advantage Quest
employee screening unit
? Bundle service opportunities with other FADV
human resource services
32
33
Employer Services
Products
Product Expansion
Skills Assessment? Pre-employment testing and
educational skills assessment Over
800 products in 14 languages test for
competency in the following areas
MicroSoft Office knowledge Clerical
Computer literacy Information Technology
Call Center Legal areas
? FADV sales force will offer skills assessment
products to existing customers.
? Product will be offered through the FADV
Hiring Management Services system
BiometricsCapture, store and transmit
fingerprints to federaland local authorities for
background screeningpurposes
? Cross-sell with related background screening
services
33
34
Maximize Shareholder Value
Shareholder Value
Platform for Continued Growth
Capitalize on Segment Synergies
OrganicGrowth
Capitalize on Single Source Concept
Capitalize on Client Relationships Customer
Service
Distribution Channel Expansion
Distribution Channels
Continuing Development of Sales Product Teams
Increased Expense Control Efficiencies
Operations Consolidation
Continued Systems Integration and Functionality
Target International Markets
Geographic Expansion
Foreign Language Translation Capability
Increase Marketshare through Acquisitions
Product Diversification
Product Expansion
Bundled Service Offerings
Partnership Opportunities
34
35
Product Expansion
?
Product Diversification Online talent
acquisition services Recruitment
advertising Applicant tracking Web-based
skills testing Expand product offerings to
unique customer base
?
?
Bundled Service Offerings Automotive
Credit Reporting Lead Generation
Bankruptcy Lead Generation Lifestyle Lead
Generation
?
?
?
?
?
Partnership Opportunities Employer
Services Business Development teams used
to strengthen alliances with partnerships
such as payroll companies and job boards
?
?
35
36
Geographic Expansion
?
Target International Markets Implemented
Subprime Expansion to Canada Market Leader in
Asia-Pacific regionIndia(4) ? Beijing ? Hong
Kong ? Tokyo ? Singapore ? Philippines ?
Perth Potential Growth Markets Europe Latin
America
?
?
?
Unique Foreign Language Translation
Capability Only eDiscovery firm to provide
complete foreign language processing and
translation service
?
?
Increase Marketshare through Acquisitions Presenc
e in U.K. due to acquisition of applicant
tracking system
?
?
36
37
Operations Consolidation
?
Increased Expense Control Efficiencies
? Reduce IT maintenance costs by providing a
single client interface
?
Continued Systems Integration Functionality
Employer Services Migrate
clients to improved system platform
Improve webdesign to better showcase
products Multifamily Services
Complete customer migration to First
Advantage SafeRent Develop new
features and services Enhanced Scoring
Model Property Performance Analytics
?
?
?
?
?
?
37
38
Distribution Channels
?
Distribution Channel Expansion Data
Services Lead Generation
?
?
Drive additional lead generation through
alternative channels (automotive, subprime,
mortgage, payday stores) Entry into Student
Lending and Education vertical markets Target
leads on a state and regional level
?
?
Automotive Credit Reporting
?
Utilize subprime Teletrack business to target
bankruptcy lead generation
?
?
Continuing Development of Sales and Product Teams

Partnership with First American Strategic Account
Sales Team
?
38
39
Organic Growth Potential
?
Projected Organic Growth Rate 8.0 to 10.0
(2006 Consolidated)
?
?
Capitalize on Synergies Between
Segments Cross-sell existing products
Cross-sell products from recent acquisitions
Shared sales force with First American
?
?
?
?
Capitalize on Single Source Concept Unification
of corporate identity
?
?
Capitalize on Client Relationships Secure
domestic business of multinational overseas
clients No single customer represents more than
5 of FADV service revenue
?
?
?
Capitalize on Levels of Customer Service Strong
customer base Broader coverage of service
offerings
?
?
39
40
Summary
Ranked among Top 3 in all business lines
?
?
Maximize revenue and earnings potential
throughcontinued strategic initiatives Acquisit
ions Product and Market Expansion Partnerships
Continue to seek global growth opportunities
?
Cross-sell opportunities across business lines
?
Seasoned management with proven expertisein
executing growth strategies
?
40
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