ADP Top HR Service Provider, According to IDC Report.

Business Editors

ROSELAND, N.J.--(BUSINESS WIRE)--Oct. 25 2001

Automatic Data Processing, Inc. (ADP(R)), a recognized leader in providing outsourced human resources and payroll solutions, today announced that IDC acknowledged ADP as the leading company among HR service providers.

In a bulletin released on October 15, 2001, IDC, a division of IDG, the world's leading IT media, research and exposition company, ranked ADP as number one among the Top 10 list of U.S. HR Service Providers based on their U.S. service revenues for the year 2000. IDC cited ADP's expanded offering of HR services as a contributing factor in ADP's continued growth.

According to IDC's bulletin, A Top 10 List and Leadership Analysis of U.S. HR Service Providers, HR service revenue will reach $45.9 billion by 2005. The bulletin states that the leaders among HR service providers will be those who can meet the market demands and capture market share. According to IDC, ADP is well positioned to capitalize on these factors. ADP's focus on providing best practice solutions "from recruitment to retirement" will be key to satisfying the needs of the marketplace and maintaining its leadership position.

"We are extremely pleased that ADP has been recognized by IDC as the leading HR service provider," said Russ Fradin, president, ADP Employer Services, North America. "Our goal is to provide ADP clients of all sizes with World Class Service and a broad range of solutions that brings simplicity to the whole process of staffing, managing, paying and retaining employees. IDC's ranking ADP first among U.S. HR Service Providers lets us know that we are on target and in tune with current market needs and future market direction."

One area where IDC sees potential market growth is through providing comprehensive, integrated solutions that leverage the Internet. ADP has responded to this market trend by introducing the eXpert Series(SM), a comprehensive web-enabled suite of HR services for mid-sized companies; EasyPayNet(SM), the online payroll solution for small businesses; ezHR(SM), the Internet-based human resource management system for small business; and ADP's Enterprise HRMS, the flexible Web-based technology solution for integrated human resources, payroll and benefits administration services for large companies. Also, ADP has reaffirmed its commitment to provide its clients with World Class Service through outsourcing options that are tailored to their needs.

In its bulletin, IDC notes that a crucial component of growth among HR service providers will be the development of strategic partnerships and alliances. ADP has recognized the need for this strategy and has recently strengthened its offerings with the acquisition of Avert Technologies, a leading provider of pre-employment screening technologies, and by entering into a strategic alliance with Exult, an end-to-end HR and accounting Business Process Outsourcing (BPO) service provider, which was named within IDC's bulletin as one of the companies to watch among HR service providers.

About ADP

Automatic Data Processing, Inc. (NYSE:ADP) is one of the largest independent computing services firms in the world, with approximately $7 billion in revenue and 500,000 clients. ADP's Employer Services (ES) Division is a leading provider of integrated business administrative solutions that help its approximately 455,000 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, PEO services 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 or visit the company's Web site at www.adp.com.