TSYS Reports 20.5% Increase in Net Income for 2002

Columbus, Ga., Jan. 14, 2003 — TSYS^® today announces that its financial results are in line with the Company's forecast for the fourth quarter and for the year ended Dec. 31, 2002.

Net income for 2002 increased 20.5% to $125.8 million from $104.4 million in the same period last year. Basic earnings per share for 2002 increased to $0.64 from $0.54 one year ago. Diluted earnings per share for 2002 increased to $0.64 from $0.53 in 2001. Revenue for 2002 was $955.1 million, an increase of 7.0%, compared with revenue of $892.3 million in 2001. Revenue for 2002, excluding the amounts for reimbursable charges such as postage and courier charges, was $724.0 million, an increase of 9.8%, compared to $659.2 million in 2001.

Net income for the quarter ending Dec. 31, 2002, increased 18.7% to $35.5 million from $29.9 million in the same period last year. Basic and diluted earnings per share for the fourth quarter increased to $0.18 from $0.15 in the same period last year. Revenue for the fourth quarter was $246.0 million, an increase of 7.9%, compared with revenue of $228.1 million one year ago. Revenue for the fourth quarter of 2002, excluding the amounts for reimbursable charges, was $188.4 million, an increase of 9.2%, compared to $172.5 million in the same period last year.

The financial results include the acquisition of ProCard, Inc., from Synovus Financial Corp., which was completed on Nov. 1, 2002. Because the transaction involved entities under common control, TSYS has recorded the acquisition at historical cost and has restated all periods prior to the acquisition to reflect the combined results of TSYS and ProCard.

"TSYS had another solid year despite a challenging economic environment and expects another record year in 2003 while celebrating the company's 20th anniversary," said Richard W. Ussery, chairman and CEO of TSYS. "Our fundamental business remains strong. Our internal growth from our existing customers of 11.3% for the quarter coupled with the dynamic shift to electronic transactions continues to be a solid foundation for our core business. Transactions for the 2002 holiday shopping season increased 6.7% over last year. In addition to the fundamental growth, TSYS has the opportunity to grow through new customers both domestically and internationally."

Ussery continued, "During the fourth quarter of 2002, we announced:

• Signing Sears Canada to become the exclusive processor for its 8 million retail cards, expanding on the successful partnership that Sears and TSYS have built in the United States. The conversion of the portfolio to our TS2 platform is expected to be completed in the second quarter of 2003.
• Renewing our processing agreement with Canadian Tire Financial Services for seven years."

"We continue to proceed with our long-term growth strategy of leveraging our technology into other vertical markets and acquiring new businesses," said Ussery.

TSYS expects its 2003 net income to exceed its 2002 net income by 12-15%. The assumptions underlying the 2003 net income forecast are an increase in revenues (excluding reimbursables) between 9-10%, an internal growth rate of accounts of existing clients of approximately 11% and a continued focus on expense management. The forecast does not include any revenues or expenses associated with signing and converting a major client.

TSYS will host its quarterly conference call at 4:30 p.m. EST, Jan. 14, 2003. The conference call can be accessed at www.tsys.com by clicking on the designated icon within the Highlights section of the site. The replay will be available 30-45 minutes after the call.

About TSYS
TSYS (NYSE: TSS) (www.tsys.com) brings integrity and innovation to the world of electronic payment services as the integral link between buyers and sellers in this rapidly evolving universe. Synovus (NYSE: SNV) owns an 81-percent interest in TSYS. For more information, contact news@tsys.com.

Contacts:
James B. Lipham
Chief Financial Officer
706.649.2262

Leo S. Berard
Investor Relations
706.649.5220

This press release contains statements that constitute "forward-looking statements" within the meaning of the Securities Act of 1933 and the Securities Exchange Act of 1934 as amended by the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, among others, statements regarding TSYS' expected growth in net income for 2003 and the assumptions underlying such statements, including, with respect to TSYS' expected increase in net income for 2003; an increase in revenues (excluding reimbursables) between 9-10%; an internal growth rate of accounts of existing clients of approximately 11%; and continued aggressive expense management. Prospective investors are cautioned that any such forward-looking statements are not guarantees of future performance and involve risks and uncertainties, and that actual results may differ materially from those contemplated by such forward-looking statements. A number of important factors could cause actual results to differ materially from those contemplated by the forward-looking statements in this press release. Many of these factors are beyond TSYS' ability to control or predict. These factors include, but are not limited to, lower than anticipated revenues; lower than anticipated internal growth rates for TSYS' existing customers; TSYS' inability to control expenses and increase market share; hostilities in the Middle East or elsewhere; TSYS' inability to successfully bring new products to market, including, but not limited to, stored value and e-commerce products, loan processing products and other processing services; the inability of TSYS to grow its business through acquisitions; adverse developments with respect to entering into contracts with new clients and retaining current clients; TSYS' inability to increase the revenues derived from international sources; the merger of TSYS clients with entities that are not TSYS clients or the sale of portfolios by TSYS clients to entities that are not TSYS clients; TSYS' inability to anticipate and respond to technological changes, particularly with respect to e-commerce; adverse developments with respect to the successful conversion of clients; the absence of significant changes in foreign exchange spreads between the United States and the countries in which TSYS transacts business, to include Mexico, United Kingdom, Japan, Canada and the European Union; adverse developments with respect to the credit card industry in general; TSYS' inability to successfully manage any impact from slowing economic conditions or consumer spending; the occurrence of catastrophic events that would impact TSYS' or its major customers' operating facilities, communications systems and technology, or that has a material negative impact on current economic conditions or levels of consumer spending; revenues generated by sub-prime lending clients being less than anticipated; successfully managing the potential both for patent protection and patent liability in the context of rapidly developing legal framework for expansive software patent protection; and overall market conditions. Additional factors that could cause actual results to differ materially from those contemplated in this press release can be found in TSYS' filings with the Securities and Exchange Commission, including its Annual Report on Form 10-K, quarterly reports on Form 10-Q, and current reports on Form 8-K. We believe these forward-looking statements are reasonable; however, undue reliance should not be placed on any forward-looking statements, which are based on current expectations.