Mattersight 8-K Results of Operations and Financial Condition

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eLoyalty Q3 2007

Earnings Webinar

November 7, 2007

Exhibit 99.2

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eLoyalty Confidential and Restricted ©

2007 eLoyalty Corporation

Safe Harbor Language

During today’s call we will be making both historical and

forward-looking statements in order to help you better

understand our business.  These forward-looking statements

include references to our plans, intentions, expectations,

beliefs, strategies and objectives.  Any forward-looking

statements speak only as of today’s date.  In addition, these

forward-looking statements are subject to risks and

uncertainties that could cause actual results to differ

materially from those stated or implied by the forward-

looking statements.  The risks and uncertainties associated

with our business are highlighted in our filings with the SEC,

including our Annual Report filed on Form 10-K for the year

ended December 30, 2006, our quarterly reports on Form

10-Q, as well as our press release issued earlier today.

eLoyalty undertakes no obligation to publicly update or

revise any forward-looking statements in this call.  Also, be

advised that this call is being recorded and is copyrighted by

eLoyalty Corporation. 

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Discussion Topics

Q3 2007 Summary and Results

Behavioral Analytics™

Update

Company Strategy and Expense Management

Q4 2007 Guidance

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Third Quarter Overview

Services Revenue was ~ $1 million below our expectations due to

lower than forecast traditional CRM and Integrated Contact Solutions

(“ICS”) Revenue (previously referred to as CIPCC)

Revenue was lower than expected in these

Service Lines

due to lower

revenue at several large accounts and later

than anticipated starts at

several new ICS customers

Q3 Positives

–

Record

$3.4

million

of

Behavioral

Analytics™

revenue

–

Record $9.8 million of Managed services revenue

–

Record 60% of our Services Revenue came from Behavioral Analytics™

and ICS

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Third Quarter Financial Summary

$22.5 million of Services Revenue

–

4% sequential decline

–

15% year over year growth

–

31% growth year to date, on a year to year basis

$26.6 million of Total Revenue

–

2% sequential growth

–

3% year over year growth

–

22% growth year to date, on a year to year basis

$1.5 million Adjusted Earnings (EBITDA) Loss

$25.8 million in Cash

$13.3 million in Accounts Receivable/45 Day DSO

$62.7 million in Backlog (up from $62.5 million in Q2)

466 employees

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Behavioral Analytics™

Highlights

Record $3.4 million in Q3 Revenue

–

19% sequential growth

–

43% year over year growth

–

183% growth 2007 YTD over 2006 YTD

Record Customer Count (as of November 5)

–

28 total customers (up from 21 at the end of Q2)

–

13 Deployment Customers

2 signed in Q3

1 signed in Q4 to date

–

15 Assessment Customers

3 signed in Q3

4 signed in Q4 to date

–

Assessments in progress represent ~ $60 million of potential deployment contracts

Increased the Business Development team to 9 in Q3

Patents

–

Filed 5 patent applications in Q3

–

24 patent applications on file (19 in the U.S. and 5 internationally)

Aggregated Data Milestones

–

100 million recorded calls

–

30 million analyzed calls

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Company Strategy and Expense Management

Basic Company Strategies

–

Build strong positions in two compelling

niches:

Behavioral Analytics™

and ICS

–

Deploy a unique delivery model that combines managed services and consulting to produce

significant benefits for our clients

Strong Results over last 6 Quarters

–

Behavioral Analytics™

and ICS quarterly revenue has increased 128%, from $5.9 million

to $13.5

million

–

The percentage of our Services revenue coming from these new Service Lines has grown from

35% to 60%

–

Managed services quarterly revenue has increased 89%, from $5.2 million to $9.8 million

–

The percentage of our Services revenue coming from Managed services has grown from 31% to

44%

Behavioral Analytics™

Investment

–

Invested >$2 million in Q3

–

We will continue to invest based on our strong pipeline and market outlook

Expense Management

–

Need to better balance investment requirements and expense management

–

Reducing non-essential, non-Behavioral Analytics™

expenses in Q4 by ~ $1 million as compared to

Q3

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Fourth Quarter Guidance

Q4 revenue will be adversely impacted by the seasonal

slowdown in consulting services and by elongated sales cycles

at our Financial Services clients and prospects.

We only provide guidance for Services revenue

Our Q4 guidance is to achieve Services revenue of $22.5

million

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Q&A

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Summary

Q3 revenue was below our expectations

Behavioral Analytics™

continues to gain traction

ICS and Behavioral Analytics™

Service Lines are well positioned

to take advantage of attractive market opportunities

Significant additional investment is required to take advantage

of these opportunities

Implementing tighter expense management beginning in Q4

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Thank You

Kelly Conway

–

(847) 582-7200

–

Kelly_Conway@eLoyalty.com

Steve Pollema

–

(847) 582-7100

–

Steve_Pollema@eLoyalty.com