First Data Decides to Exit Encorus Business and Updates Earnings Guidance

In addition, the third quarter results will include a pre-tax gainof approximately $8 million from the sale of its remaining interest inInternational Banking Technologies, which had been substantiallydivested in 2001.

With these two changes, First Data has updated its 2005 full-yearearnings per share (EPS) guidance. The new 2005 GAAP EPS range is$2.19 to $2.23 versus the previous range of $2.23 to $2.32. The newEPS range, excluding the impact of Concord integration spending, whichis projected to be $0.13, is $2.32 to $2.36.

The company remains focused on driving growth in its corebusinesses in the second half of 2005 and positioning itself forcontinued growth in 2006.

About First Data

First Data Corp. (NYSE:FDC) is a leading provider of electroniccommerce and payment solutions for businesses and consumers worldwide.Serving 4.1 million merchant locations, 1,400 card issuers andmillions of consumers, First Data powers the global economy by makingit easy, fast and secure for people and businesses around the world tobuy goods and services using virtually any form of payment. Thecompany's portfolio of services and solutions includes credit, debit,private-label, smart and stored-value card issuing and merchanttransaction processing services; money transfer services; moneyorders; fraud protection and authentication solutions; check guaranteeand verification services through TeleCheck; as well as Internetcommerce and mobile solutions. Western Union and its subsidiary,Orlandi Valuta, together make up one of the world's largest moneytransfer networks with approximately 233,000 Agent locations in morethan 200 countries and territories. The company's STAR Network offersPIN-secured debit acceptance at 1.7 million ATM and retail locations.For more information, visit www.firstdata.com.

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Cautionary Information Regarding Forward-Looking Statements

Statements in this press release regarding First DataCorporation's business which are not historical facts, including therevenue and earnings projections, are "forward-looking statements."All forward-looking statements are inherently uncertain as they arebased on various expectations and assumptions concerning future eventsand they are subject to numerous known and unknown risks anduncertainties which could cause actual events or results to differmaterially from those projected. Important factors upon which theCompany's forward-looking statements are premised include: (a) nounanticipated developments that delay or negatively impact theintegration of Concord EFS, Inc. according to the Company'sintegration plans, including its plans to integrate IT systems,eliminate duplicative overhead and costs, and retain customers andcritical employees; (b) continued growth at rates approximating recentlevels for card-based payment transactions, consumer money transfertransactions and other product markets; (c) successful conversionsunder service contracts with major clients; (d) renewal of materialcontracts in the Company's business units consistent with pastexperience; (e) timely, successful and cost-effective implementationof processing systems to provide new products, improved functionalityand increased efficiencies; (f) successful and timely integration ofsignificant businesses and technologies acquired by the Company andrealization of anticipated synergies; (g) continuing development andmaintenance of appropriate business continuity plans for the Company'sprocessing systems based on the needs and risks relative to each suchsystem; (h) absence of further consolidation among client financialinstitutions or other client groups which has a significant impact onFDC client relationships and no material loss of business fromsignificant customers of the Company; (i) achieving planned revenuegrowth throughout the Company, including in the merchant allianceprogram which involves several joint ventures not under the solecontrol of the Company and each of which acts independently of theothers, and successful management of pricing pressures through costefficiencies and other cost management initiatives; (j) successfullymanaging the credit and fraud risks in the Company's business unitsand the merchant alliances, particularly in the context of thedeveloping e-commerce markets; (k) anticipation of and response totechnological changes, particularly with respect to e-commerce; (l)attracting and retaining qualified key employees; (m) no unanticipatedchanges in laws, regulations, credit card association rules or otherindustry standards affecting FDC's businesses which requiresignificant product redevelopment efforts, reduce the market for orvalue of its products or render products obsolete; (n) continuation ofthe existing interest rate environment so as to avoid increases inagent fees related to Payment Services' products and increases ininterest on the Company's borrowings; (o) absence of significantchanges in foreign exchange spreads on retail money transfertransactions, particularly in high-volume corridors, without acorresponding increase in volume or consumer fees; (p) continuedpolitical stability in countries in which Western Union has materialoperations; (q) implementation of Western Union agent agreements withgovernmental entities according to schedule and no interruption ofrelations with countries in which Western Union has or is implementingmaterial agent agreements; (r) no unanticipated developments relatingto previously disclosed lawsuits, investigations or similar matters;(s) no catastrophic events that could impact the Company's or itsmajor customer's operating facilities, communication systems andtechnology or that has a material negative impact on current economicconditions or levels of consumer spending; (t) no material breach ofsecurity of any of our systems; and (u) successfully managing thepotential both for patent protection and patent liability in thecontext of rapidly developing legal framework for expansive softwarepatent protection.

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