Fair Isaac (FICO) 8-K FICO Acquires Adeptra, Adding Real-Time, Mobile Customer

FICO Acquires Adeptra

Extends FICO’s Decision Management Applications With Real-Time

Customer Engagement and Risk Intervention

Exhibit 99.2

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without

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Isaac

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©

2012 Fair Isaac Corporation.

2

©

2012 Fair Isaac Corporation. Confidential.

Statement Concerning Forward-Looking Information

Except for historical information contained herein, the statements contained in this

presentation that relate to FICO or its business are forward-looking statements

within

the

meaning

of

the

“safe

harbor”

provisions

of

the

Private

Securities

Litigation Reform Act of 1995. These forward-looking statements are subject to

risks and uncertainties that may cause actual results to differ materially, including

the success of the Company’s Decision Management strategy and reengineering

plan, the maintenance of its existing relationships and ability to create new

relationships with customers and key alliance partners, its ability to continue to

develop new and enhanced products and services, its ability to recruit and retain

key technical and managerial personnel, competition, regulatory changes

applicable to the use of consumer credit and other data, the failure to realize the

anticipated benefits of any acquisitions, continuing material adverse developments

in global economic conditions, and other risks described from time to time in

FICO’s SEC reports, including its Annual Report on Form 10-K for the year ended

September 30, 2011 and its last quarterly report on Form 10-Q for the period

ended June 30, 2012. If any of these risks or uncertainties materializes, FICO’s

results could differ materially from its expectations. FICO disclaims any intent or

obligation to update these forward-looking statements.

3

©

2012 Fair Isaac Corporation. Confidential.

What We Are Announcing

•

FICO acquires Adeptra

•

Adds a leader in cloud-based customer engagement and risk intervention

•

Transaction expected to be completed by end of September

•

About Adeptra

•

Private company founded in 1996 and based in Reading, UK, and Norwalk, CT

•

Adeptra’s leading SaaS-based platform enables organizations to assess, decide, act and resolve

customer issues in real time

•

50+

marquee

clients

worldwide

across

various

verticals

–

e.g.,

Citi,

Barclays,

Telstra,

Sabre

•

Combination expected to offer first full-cycle decision management

•

Businesses can seamlessly turn decisions into actions that improve fraud protection, loss

mitigation and customer satisfaction, with clear ROI

•

Closed

feedback

loop

reduces

risk

and

improves

decision

management

•

Successful

resolutions

using

real-time,

multi-channel

dialogue

–

voice,

SMS,

mobile

application, email

–

improve

customer

satisfaction

•

FICO will advance clients’

success in the mobile economy by giving businesses the ability to drive

every decision and action to successful resolution through voice, SMS, email and mobile apps.

•

Immediate

synergies

with

FICO

Falcon

Fraud

Manager

and

FICO

Debt

Manager

solutions

•

Adeptra’ssolutions are complementary to FICO offerings

•

Adeptratechnology provides the critical link between smarter decisions and better results

•

FICO and Adeptrasolutions enable a complete learning loop, connecting analytics with actions

•

Proven ROI at joint customers with FICO Falcon Fraud Manager over past 10 years

•

Strong client overlap, with high cross-sell and up-sell potential

4

Trends

Implication

Mobile

Explosion

and New

Consumer

Expectations

Increased choice for

customers increases

complexity in choosing

the right medium of

communication with

customers, depending on

their preference

Batch to

Real-Time

New functionality

requirements for

intercepting and verifying

issues in real-time

Customers expect

immediacy and

convenience

New

Regulations

New regulations, such as

those related to credit

limit increases, force

banks to increase

customer

communications

Industry Trends Driving Need For A

Communications and Risk Intervention Platform

Take action,

then inform

$

$

Seek permission,

then act

•

Mobile communications becoming key part of every business’s strategy

•

Customer-centricity and real-time responsiveness are common goals

•

Adeptra’s solution will become increasingly strategic for FICO clients

•

4 billion mobile subscribers worldwide

•

1.8 billion smart phones

voice

voice

sms

sms

voice

online

online

©

2012 Fair Isaac Corporation. Confidential.

5

©

2012 Fair Isaac Corporation. Confidential.

FICO and Adeptra Together Offer

Full-Cycle Decision Management

•

Adeptra provides the link between smarter decisions and better results

•

Full-cycle decision management will reduce risk and increase customer

satisfaction

•

FICO solutions assess and decide, but

businesses typically rely on manual or

internal systems to act and resolve

•

Disconnect impairs results and slows

the evolution of optimal strategies

•

FICO + Adeptra solutions complete the

loop, enabling real-time consumer

dialogue, immediate resolution, and a

closed learning loop

Assess

Decide

Act

Resolve

FICO

Adeptra / Others

Today

Assess

Decide

Act

Resolve

FICO + Adeptra

6

©

2012 Fair Isaac Corporation. Confidential.

How Adeptra Solution Works –

Card Fraud Scenario

Monitor/

Detect:

Decide:

Assess:

Act:

Resolve:

FICO Fraud

Detection

System

Rule

Rule

Rule

6

•

FICO system

detects possible

card fraud and

engages Adeptra

•

Adeptra builds

case,

combining

internal and

external data in

real time

•

Determine best

treatment

•

Custom rules

guide action; e.g.

platinum-card

holder will

receive specific

treatment

•

Based on history,

preferences and

urgency, medium of

communication is

chosen –

e.g. voice and

if unsuccessful, SMS

•

Consumer contacted

in seconds to verify

activity and unblock

the account

•

Results returned to

bank

•

Happy customer

continues shopping

7

How Adeptra Solution Works –

Collections Scenario

Bank System

of Record

Monitor/

Detect:

•

Customers

become

delinquent

•

Batch files

provided to

Adeptra

Decide:

•

Customer

specific

treatment

according to

segmentation

•

Custom rules

guide action

Assess:

•

Adeptra

enriches

customer

information in

real time and

performs

customer

segmentation

Act:

•

Based on history,

expected willingness

and ability to engage,

preferences and   

urgency, medium of

communication is

chosen

Resolve:

•

Results returned to

bank in real time

such as; promise to

pay, payment plan,

or actual payment

made

©

2012 Fair Isaac Corporation. Confidential.

8

Adeptra Makes it Easy to Stop Fraud and Improve

Payments Using Customer Contact Preferences

Fraud

Resolution

Payment

Plans

©

2012 Fair Isaac Corporation. Confidential.

9

Financial Highlights

•

Consistent

revenue

growth

–

22%

revenue

CAGR

from

2008-2012

•

95%+ recurring revenue from existing applications / new signed applications, providing revenue

predictability

•

Loyal customer base with negligible customer churn

•

SaaS-based business model with leverage for growth in EBITDA

Total

Year ended December 30

LTM

2009

2010

2011

2011

2012

6/30/2012

$m -

FYE Dec

Risk Management

10.6

13.8

17.9

8.5

11.6

21.0

Credit Management

20.1

16.9

17.7

8.5

10.8

20.0

Marketing Solutions

0.4

0.6

1.1

0.4

1.3

2.0

PSO

1.2

1.7

1.5

0.8

0.7

1.5

Revenues

32.3

33.0

38.2

18.2

24.3

44.4

Total revenue growth (%)

2.4%

15.7%

33.9%

26%

EBITDA

2.8

1.1

2.9

1.1

2.6

4.5

Total EBITDA growth (%)

-61%

165.5%

145.8%

141%

6 months ended 6/30

©

2012 Fair Isaac Corporation. Confidential.

10

Combining FICO decision management with Adeptra’s customer

engagement and risk intervention platform to provide full-cycle decision

management

Creating a positive, direct connection between decisions, actions, and

results

–

closing

the

learning

loop

Enabling businesses to move seamlessly from defining, changing, and

testing decisions to executing and resolving customer interactions

Providing greater flexibility and agility in resolving risk and securing

growth through a SaaS-based offering

Enhancing

our

clients’

ability

to

provide

a

positive

customer

experience, tailored to the communication and channel preferences of

each individual

Accelerating

our

clients’

success

in

the

fast-growing

mobile

economy

Supporting it all with a world-class global services and support

organization

FICO + Adeptra: A Compelling Combination

©

2012 Fair Isaac Corporation. Confidential.

11

Confidential. This presentation is provided for the recipient only and cannot

be

reproduced

or

shared

without

Fair

Isaac

Corporation's

express

consent.

©

2012 Fair Isaac Corporation.

www.fico.com/adeptra