ADP Expands Client Service Capabilities To Asia/Pacific Region With Acquistion Of Australia-based PayConnect Solutions.

Business & Financial Editors

ROSELAND, N.J.--(BUSINESS WIRE)--July 26, 2000

Acquisition of Region's Leading Payroll Service Bureau Enables ADP 

to Meet Unique Client Needs with Local Expertise in 22 Countries

Across 5 Continents

Automatic Data Processing, Inc. (ADP (R)), the world's leading provider of integrated payroll, human resources and benefits administration services, announced today the further expansion of its global footprint with the acquisition of Australia-based PayConnect Solutions, Limited.

Building upon an existing reciprocal service agreement between ADP and the leading payroll service bureau in the Asia/Pacific region, the new acquisition provides ADP with immediate access to the rapidly growing Asia/Pacific business process outsourcing market.

"ADP is committed to providing our clients with solutions that address their administrative needs on a global scale," said Gary Butler, President and Chief Operating Officer, ADP. "The acquisition of PayConnect Solutions will enable us to deliver World Class Service to our clients conducting business in Australia and provides us with an immediate foothold in the Asia/Pacific region where business process outsourcing is expected to grow at a 25% rate."

Originally founded as part of the Mayne Nickless Group more than 25 years ago, PayConnect Solutions has leveraged a combination of dedicated client service and advanced technology to establish a market leadership position in the Asia/Pacific region. With more than US$30 million in revenues, the company currently pays more than 10% of the Australian workforce and services multi-national clients from seven offices located throughout Australia and Hong Kong.

Prior to this acquisition, PayConnect was a charter member of the ADP Global Network program. Designed to support ADP's expanding multi-national client base, the ADP Global Network consists of pre-screened partners who support client needs in regions where the company does not have a direct presence.

"We see tremendous synergies between both companies' `client-first' approach and operating philosophies that make this acquisition a natural fit," said Phil Cave, Chief Executive Officer, PayConnect Solutions. "Over the past fifty years, ADP has established itself as a global leader in employer services and we look forward to drawing upon its experience as a resource to help further develop our Australian leadership position and continue our growth throughout the Asia/Pacific region."

ABOUT ADP GLOBAL SERVICES

ADP Global Services provides integrated payroll, human resources and benefits administration solutions to clients in more than 22 countries on five continents through local ADP offices and ADP Global Network partners. ADP Global Services touches more than 28 million employees across North America, South America, Europe, Asia and Australia each payday through outsourced payroll processing services. All ADP and ADP Global Network payroll operations are coordinated under a unique two-tier service methodology which enables clients to realize efficiencies of scale through a combination of ADP's overall payroll management expertise and the localized regulatory knowledge of a regional service provider.

ABOUT ADP

Automatic Data Processing, Inc. (NYSE:AUD) is one of the largest global providers of computerized transaction processing, data communications and information services, with more than $6 billion in revenues and more than 450,000 clients worldwide. ADP, Inc.'s Employer Services (ES) division is a leading provider of integrated business administrative solutions that help clients efficiently manage their internal processes, allowing them to focus on core competencies. ADP ES' offerings include both traditional and Internet-based outsourcing products and services, giving clients the ability to select from ADP's comprehensive range of World Class Service solutions.

Services include: payroll, tax regulatory management, HRMS, benefits administration, time and labor management, retirement plan services, online recruiting, and pre-employment screening. For more information about ADP Employer Services, or to contact a local ADP sales office, reach us at 1-800-225-5237, ext. 124, or visit the company's Web site at www.adp.com.

ABOUT PAYCONNECT

PayConnect Solutions is the largest provider of a broad range of payroll services and human resource systems in Australia and the Asia/Pacific region. PayConnect has over 25 years experience in the payroll and HR industry in Australia and currently pays approximately $1.7 billion to 1.3 million Australians through its payroll systems each month. PayConnect began its expansion into Asia with the opening of its offices in Hong Kong in 1999. This coincided with the successful implementation of the payroll for a large multinational headquartered in Hong Kong and PayConnect is rapidly gaining recognition with multi-national organizations as a preferred supplier of payroll services and human resource systems in the Asia/Pacific market.

PayConnect has more than 7,500 clients and is uniquely positioned in the market to deliver solutions to organizations of all sizes ranging from one to 100,000 employees. PayConnect also has the unique advantage to leverage off its IT infrastructure to develop business relationships with other payroll providers and enterprise wide solution providers to deliver post payroll services including electronic payment services, print and distribution of pay advices and group certificates and data storage of payroll and human resources information. PayConnect also provides inhouse and outsourced payroll services and human resource systems including a comprehensive range of support services including facilities management, consulting services, business process review consulting services, implementation support and specialist payroll training.