11-K Plan Year 2010
 
 
 
 
 
 
 
 
 
 
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
Form 11-K
 
 
 
x
 
ANNUAL REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 [NO FEE REQUIRED]
 
 
FOR THE FISCAL YEAR ENDED DECEMBER 31, 2010.
OR
 
 
 
o
 
TRANSITION REPORT PURSUANT TO SECTION 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 [NO FEE REQUIRED
 
 
for the transition period from __________ to __________
Commission file number 1-16427
A.
 
Full title of the plan and the address of the plan, if different from that of the issuer named below: Fidelity National Information Services, Inc 401(k) Profit Sharing Plan.
 
 
 
B.
 
Name of issuer of the securities held pursuant to the plan and the address of its principal executive office: Fidelity National Information Services, Inc., 601 Riverside Ave., Jacksonville, FL 32204
REQUIRED INFORMATION
Item 4. Plan Financial Statements and Schedules Prepared in Accordance with the Financial Reporting Requirements of ERISA
 
 
 
 
 
 
 
 
 
 
 
 




FIDELITY NATIONAL INFORMATION SERVICES, INC.
401(k) PROFIT SHARING PLAN
Table of Contents
 
 
 
 
 
 
 
 
Page(s)
 
Report of Independent Registered Public Accounting Firm
 
 
1

 
 
 
 
 
 
Statements of Net Assets Available for Benefits - December 31, 2010 and 2009
 
 
2

 
 
 
 
 
 
Statements of Changes in Net Assets Available for Benefits - Years ended December 31, 2010 and 2009
 
 
3

 
 
 
 
 
 
Notes to Financial Statements
 
 
4-11

 
 
 
 
 
 
Supplemental Schedules
 
 
 
 
 
 
 
 
 
Schedule H, Line 4a - Schedule of Delinquent Participant Contributions - Year Ended December 31, 2010
 
 
13

 
 
 
 
 
 
Schedule H, Line 4i - Schedule of Assets (Held at End of Year) - December 31, 2010
 
 
14

 
All other schedules are omitted because they are not applicable or not required based on disclosure requirements of the Employee Retirement Income Security Act of 1974 and regulations issued by the Department of Labor.






Report of Independent Registered Public Accounting Firm
Fidelity National Information Services, Inc.
Group Plans Committee:
We have audited the accompanying statements of net assets available for benefits of Fidelity National Information Services, Inc. 401(k) Profit Sharing Plan (the “Plan”) as of December 31, 2010 and 2009, and the related statements of changes in net assets available for benefits for the years then ended. These financial statements are the responsibility of the Plan's management. Our responsibility is to express an opinion on these financial statements based on our audits.
We conducted our audits in accordance with the standards of the Public Company Accounting Oversight Board (United States). Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. We believe that our audits provide a reasonable basis for our opinion.
In our opinion, the financial statements referred to above present fairly, in all material respects, the net assets available for benefits of the Plan as of December 31, 2010 and 2009, and the changes in net assets available for benefits for the years then ended, in conformity with U.S. generally accepted accounting principles.
Our audits were performed for the purpose of forming an opinion on the basic financial statements taken as a whole. The supplemental schedules, Schedule H, Line 4a - Schedule of Delinquent Participant Contributions for the year ended December 31, 2010, and Schedule H, Line 4i - Schedule of Assets (Held at End of Year) as of December 31, 2010, are presented for the purpose of additional analysis and are not a required part of the basic financial statements but are supplementary information required by the Department of Labor's Rules and Regulations for Reporting and Disclosure under the Employee Retirement Income Security Act of 1974. The supplemental schedules are the responsibility of the Plan's management. The supplemental schedules have been subjected to the auditing procedures applied in the audits of the financial statements and, in our opinion, are fairly stated in all material respects in relation to the basic financial statements taken as a whole.
/s/ KPMG LLP
June 29, 2011
Jacksonville, Florida
Certified Public Accountants


FIDELITY NATIONAL INFORMATION SERVICES, INC.
401(k) PROFIT SHARING PLAN
Statements of Net Assets Available for Benefits
Years ended December 31, 2010 and 2009


 
 
 
 
2010
 
2009
Assets:
 
 
 
 
 
Investments at fair value:
 
 
 
 
 
Employer common stock
$
46,945,419

 
$
42,551,101

 
 
Common stocks

 
24,827,588

 
 
Common/collective trust funds
277,975,810

 
248,350,396

 
 
Corporate bond funds
73,632,704

 
54,372,955

 
 
Mutual funds
266,485,591

 
181,703,389

 
 
Other cash equivalents
811,918

 
999,787

 
 
 
Total investments, at fair value
665,851,442

 
552,805,216

 
 
 
 
 
 
 
 
Receivables:
 
 
 
 
 
Notes receivable from participants
18,099,426

 
15,689,481

 
 
Participant contributions
2,402,724

 
2,521,156

 
 
Employer contributions
910,543

 
901,095

 
 
Due from broker for securities sold
1,789,551

 
966,759

 
 
Due from Wells Fargo
121,191

 
77,747

 
 
Accrued interest
177

 
203

 
 
 
Total receivables
23,323,612

 
20,156,441

 
 
 
 
 
 
 
 
 
 
Total assets
689,175,054

 
572,961,657

 
 
 
 
 
 
 
Liabilities:
 
 
 
 
Due to broker for securities purchased
1,053,875

 
992,482

 
Accrued administrative expenses
42,381

 
72,343

 
 
 
Total liabilities
1,096,256

 
1,064,825

 
 
 
 
 
 
 
 
 
 
Net assets available for benefits before adjustments
688,078,798

 
571,896,832

 
 
 
 
 
 
 
Adjustment from fair value to contract value for fully benefit-responsive
 
 
 
 
investment contracts
(3,677,857
)
 
(337,548
)
 
 
 
 
 
 
 
 
 
 
Net assets available for benefits
$
684,400,941

 
$
571,559,284

 
 
 
 
 
 
 

See accompanying notes to financial statements.

2

FIDELITY NATIONAL INFORMATION SERVICES, INC.
401(k) PROFIT SHARING PLAN
Statements of Changes in Net Assets Available for Benefits
Years ended December 31, 2010 and 2009


 
 
 
 
2010
 
2009
Investment income:
 
 
 
 
Net appreciation in fair value of investments
$
57,136,541

 
$
73,643,063

 
Interest and dividends
4,966,721

 
6,793,936

 
 
 
Total investment income
62,103,262

 
80,436,999

 
 
 
 
 
 
 
Income on loans to participants
840,883

 
888,001

 
 
 
 
 
 
 
Contributions
 
 
 
 
Participant
63,415,303

 
46,479,808

 
Employer
22,691,357

 
15,494,437

 
Rollovers from qualified plans
12,261,354

 
2,228,430

 
 
 
Total contributions
98,368,014

 
64,202,675

 
 
 
 
 
 
 
Deductions from net assets attributable to:
 
 
 
 
Benefits paid to participants
(48,130,103
)
 
(52,913,766
)
 
Administrative expenses
(340,399
)
 
(464,573
)
 
 
 
Total deductions
(48,470,502
)
 
(53,378,339
)
 
 
 
 
 
 
 
 
 
 
Net increase
112,841,657

 
92,149,336

 
 
 
 
 
 
 
Net assets available for benefits:
 
 
 
 
Beginning of year
571,559,284

 
479,409,948

 
 
 
 
 
 
End of year
$
684,400,941

 
$
571,559,284

 
 
 
 
 
 
 

See accompanying notes to financial statements.

3

FIDELITY NATIONAL INFORMATION SERVICES, INC.
401(k) PROFIT SHARING PLAN
Notes to Financial Statements
December 31, 2010 and 2009




(1)    Description of the Plan

The following description of the Fidelity National Information Services, Inc. 401(k) Profit Sharing Plan (the FIS Plan) provides only general information. The FIS Plan and its related Trust are intended to qualify as a profit-sharing plan and trust under Sections 401(a) and 501(a) of the Internal Revenue Code (the Code), with a cash or deferred arrangement within the meaning of Section 401(k) of the Code. In addition, the FIS Plan is intended to qualify as a stock bonus plan that satisfies the requirements of an employee stock ownership plan (ESOP) within the meaning of Section 4975(e)(7) of the Code. That portion of the FIS Plan is designed to invest primarily in shares of Fidelity National Information Services, Inc. (FIS or the Company or the Employer or the Plan Sponsor).

The purpose of the FIS Plan is to provide retirement benefits to participants and their beneficiaries in a manner consistent and in compliance with the Code and the Employee Retirement Income Security Act of 1974 (ERISA). The Company shall maintain and administer the FIS Plan for the exclusive benefit of participants and their beneficiaries. Participants should refer to the FIS Plan document for more complete information of the FIS Plan's provisions.

(a)    General

The FIS Plan is a defined contribution retirement plan covering all employees of the Company who have attained age 18 and have completed 90 days of service. Temporary, part-time or seasonal employees are eligible to participate in the FIS Plan if 18 years of age or older and upon completion of 1,000 hours of service during the plan year. Union, nonresident aliens and leased employees are not eligible to participate in the FIS Plan. Employees are automatically enrolled in the FIS Plan if they do not decline enrollment within 30 days of becoming eligible.

(b)    Contributions

During 2010 and 2009, participants could contribute up to 40% of pretax annual compensation through payroll deductions, as defined in the FIS Plan. Participants who have attained age 50 before the end of the FIS Plan year are eligible to make catch-up contributions. Participants may also contribute amounts representing distributions from other qualified defined benefit or defined contribution plans, as well as direct rollovers from individual retirement accounts or annuities. During 2010 and 2009, the Company made matching contributions equal to 50% of participant deferrals up to 6% of eligible compensation. Discretionary employer contributions may be made at the option of the Company's board of directors.

The Company match for 2010 and 2009 of $22.7 million and $15.5 million, respectively, was funded throughout the year. No discretionary employer contributions were made during the years ended December 31, 2010 and 2009. Through March 31, 2009, all employer contributions are considered ESOP allocations and were made in cash and then invested in employer stock (see Note 9). A participant could, at their discretion, diversify their ESOP allocation in their account at any time. Effective April 1, 2009, all employer contributions are invested according to the participants' investment elections. Contributions are subject to certain limitations.

(c)    Participant Accounts

Each participant's account is credited with the participant's contribution, the employer's contribution, and an allocation of FIS Plan earnings, and charged with an allocation of FIS Plan losses and expenses, if any.

Allocations are based on participant earnings or account balances, as defined. The benefit to which a participant is entitled is the benefit that can be provided from the participant's vested account.

(d)    Vesting

Participants are immediately vested in their contributions plus actual earnings thereon. Vesting in the Company's matching and discretionary contribution portion of their accounts, plus actual earnings thereon, is based on years of service as follows:

(Continued)
4

FIDELITY NATIONAL INFORMATION SERVICES, INC.
401(k) PROFIT SHARING PLAN
Notes to Financial Statements
December 31, 2010 and 2009


 
 
 
Vested
 
 
 
Percentage
Number of years of service:
 
 
 
Less than 1 year
 
0
%
 
1 year
 
34
%
 
2 years
 
67
%
 
3 years or more
 
100
%

(e)    Forfeitures

Upon termination of employment, the nonvested portion of a participant's interest in their account attributable to employer contributions will be forfeited. These forfeitures can be used to restore the accounts of former FIS Plan participants, pay administrative expenses of the FIS Plan, if not paid by the Company, or reduce future Company matching contributions. During 2010 and 2009, $0.7 million and $1.5 million, respectively, of forfeitures were used to offset employer contributions in accordance with the FIS Plan document. As of December 31, 2010 and 2009, there were $0.3 million and $0.5 million, respectively, of unused forfeitures.

(f)    Notes Receivable from Participants

Participants may borrow from their fund accounts a minimum of $1,000, and are permitted to have two loans outstanding at a time. Loans may generally be taken up to 50% of a participant's vested account balance, but cannot exceed $50,000. Loans are generally repaid through payroll deductions with a 5-year maximum limit, except for loans for home purchases which may have terms up to 10 years. Interest rates are set at the date of the loan at the prime rate as determined by the Plan's Trustee or its affiliate plus 1%. Loan related fees for set-up and maintenance are paid by the participant. Interest rates range from 3.25% to 10.5% on loans outstanding as of December 31, 2010. Participant loans are measured at their unpaid principal balance plus any accrued but unpaid interest.

(g)    Payment of Benefits

Withdrawals from participant accounts may be made only for the following reasons: retirement at the FIS Plan's normal retirement age (65), when a participant reaches age 59 1/2, disability, death, or termination of employment. On termination of employment, a participant may receive the value of the participant's vested interest in his or her account as a lump-sum distribution. If a participant's account balance is less than $1,000 upon retirement or termination, a distribution of the participant's account will be made automatically. For termination of service for other reasons, a participant may receive the value of the vested interest in his or her account as a lump-sum distribution.

(h)    Administration

During 2010 and 2009, the trustee of the FIS Plan was Wells Fargo Bank, NA (Wells Fargo). Wells Fargo also performs participant recordkeeping and other administrative duties for the FIS Plan. Fidelity National Information Services, Inc. Group Plans Committee (the Committee) oversees the FIS Plan's operations.

(i)    Administrative Expenses

Under the terms of the FIS Plan document, administrative expenses of the FIS Plan are paid by the FIS Plan or FIS.

(j)    Investment Options

Participants may direct their elective deferrals in and among various investment options. Participants may change their investment elections and transfer funds between investment options on a daily basis. At December 31, 2010, the investment options consist of one Employer common stock fund, four common/collective trust funds, three corporate bond funds, and seven mutual funds. Investments in the Company's common stock fund include an investment in a money market fund for liquidity purposes (see Note 9).

(Continued)
5

FIDELITY NATIONAL INFORMATION SERVICES, INC.
401(k) PROFIT SHARING PLAN
Notes to Financial Statements
December 31, 2010 and 2009


Certain participants were previously invested in shares of former affiliated companies under predecessor plans. The balances for participants who previously invested in shares of Fidelity National Financial, Inc. (New FNF) common stock under the FNF Plan were transferred into a frozen New FNF Stock Fund. The balances for participants who previously invested in shares of Equifax Inc. (Equifax) common stock under the Equifax 401(k) Plan were transferred into a frozen Equifax Stock Fund. The balances of participants who received shares of Lender Processing Services, Inc. (LPS) common stock during the spin-off of that former subsidiary were transferred into a frozen LPS Stock Fund. The frozen New FNF Stock Fund, Equifax Stock Fund and LPS Stock Fund appreciate and depreciate with the value of the respective common stock, but participants can no longer make contributions into the funds. Participants may elect to transfer balances from the frozen New FNF Stock Fund, Equifax Stock Fund, and LPS Stock Fund to other funds within the FIS Plan. The frozen New FNF Stock Fund, Equifax Stock Fund and LPS Stock Fund are reflected as common stock in the accompanying Statements of Net Assets Available for Benefits at December 31, 2009. Shares held in these stock funds as of the close of business on December 31, 2009 were transferred to the Plan's default fund, the Oakmark Equity and Income Fund (mutual fund) on January 1, 2010.

Dividends paid by the Company with respect to shares of FIS stock held by the ESOP shall be (1) paid in cash directly to participants in the ESOP, (2) paid in cash directly to the ESOP and distributed in cash to the participants in the ESOP, or (3) paid to the FIS Plan and reinvested in FIS stock. Cash dividends received on shares of FIS stock will be allocated to each participant's ESOP Allocations Account (ESOP Account) based on the number of shares of FIS stock held in each such ESOP Account, unless the participant elects to receive such dividends in cash (see Note 9).

(k)    Voting Rights

Each participant shall be entitled to direct the trustee to vote and to direct the trustee with respect to the tender of any FIS common stock allocated to the participant's accounts in accordance with the terms of the Trust. Shares for which no direction is received shall be voted by the Trustee in the same manner and proportion as the shares for which direction is received.


(2)    Summary of Significant Accounting Policies

(a)    Basis of Presentation

The financial statements of the FIS Plan are prepared on the accrual basis of accounting.

Investment contracts held by a defined-contribution plan are required to be reported at fair value. However, contract value is the relevant measurement attribute for that portion of the net assets available for benefits of a defined-contribution plan attributable to fully benefit-responsive investment contracts because contract value is the amount participants would receive if they were to initiate permitted transactions under the terms of the FIS Plan. The Statements of Net Assets Available for Benefits present the fair value of the investment contracts as well as the adjustment of the fully benefit-responsive investment contracts from fair value to contract value. The Statements of Changes in Net Assets Available for Benefits are prepared on a contract value basis.

(b)    Use of Estimates

The preparation of financial statements in conformity with U.S. generally accepted accounting principles requires the FIS Plan's management to make estimates and assumptions that affect the reported amounts of assets, liabilities, and changes therein, and disclosure of contingent assets and liabilities. Actual results could differ from those estimates.

(c)    Risk and Uncertainties

The FIS Plan invests in various investment securities. Investment securities are exposed to various risks such as interest rate, market and credit risks. Due to the level of risk associated with certain investment securities, it is at least reasonably possible that changes in the values of investment securities will occur in the near term and that such changes could materially affect participants' account balances and the amounts reported in the Statements of Net Assets Available for Benefits.

(Continued)
6

FIDELITY NATIONAL INFORMATION SERVICES, INC.
401(k) PROFIT SHARING PLAN
Notes to Financial Statements
December 31, 2010 and 2009


(d)    Investment Valuation and Income Recognition

Investments are reported at fair value. Fair value is the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. See note 3 for discussion of fair value measurements.

Purchases and sales of securities are recorded on a trade-date basis. Interest income is recorded on an accrual basis. Dividends are recorded on the ex-dividend date. Net appreciation includes the FIS Plan's gains and losses on investments bought and sold as well as held during the year.

The FIS Plan provides participants with the option of directing their elective deferrals into four Wells Fargo common/collective trust funds which include the Wells Fargo Stable Return Fund N, Wells Fargo S&P 500 Index Fund N, Wells Fargo S&P Midcap Index Fund G and Wells Fargo International Equity Index Fund G. The Wells Fargo Stable Return Fund N invests in guaranteed investment contracts and synthetic investment contracts. The Wells Fargo S&P 500 Index Fund N invests in common stocks in substantially the same percentages as the S&P 500 Index with the objective of approximating, before fees and expenses, the total return of the S&P 500 Index. The Wells Fargo S&P Midcap Index Fund G invests in equities of the S&P Midcap Index with the objective of approximating, before fees and expenses, the total return of the S&P Midcap Index. The Wells Fargo International Equity Index Fund G generally intends to remain 90% invested in stocks comprising the Morgan Stanley Capital International Europe Australasia and Far East Index and 10% in cash reserves and seeks to approximate the total return, before deduction of fees and expenses, as measured by the index.

Investment options in common/collective trusts are valued using the audited financial statements of the collective trust at year-end using net asset value (NAV) as a practical expedient. Notwithstanding a twelve month replacement notification requirement on the Wells Fargo Stable Return Fund N, the common/collective trust funds do not have limiting terms, or restrictions on redemption. Additionally, the common collective trust funds are not subject to future unfunded commitments, and it is not probable that they will be sold at a value other than NAV.

(e)    Payment of Benefits

Benefits are recorded when paid.

(f)    Certain Reclassifications

Certain reclassifications have been made in the 2009 Financial Statements to conform to the classifications used in 2010.


(3)    Fair Value Measurements

(a)    Fair Value of Financial Instruments

The fair value of a financial instrument is the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. Investments are measured at fair value in the accompanying Statements of Net Assets Available for Benefits. Participant and employer contributions receivable, receivables due from Wells Fargo, and amounts due to and from brokers approximate fair value based on their short-term nature.

(b)    Fair Value Hierarchy

The authoritative accounting literature defines fair value, establishes a framework for measuring fair value, and establishes a fair value hierarchy based on the quality of inputs used to measure fair value.

The fair value hierarchy includes three levels which are based on the priority of the inputs to the valuation technique. The fair value hierarchy gives the highest priority to quoted prices in active markets for identical assets or liabilities

(Continued)
7

FIDELITY NATIONAL INFORMATION SERVICES, INC.
401(k) PROFIT SHARING PLAN
Notes to Financial Statements
December 31, 2010 and 2009

(Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). If the inputs used to measure the financial instruments fall within different levels of the hierarchy, the categorization is based on the lowest level input that is significant to the fair value measurement of the investment. The three levels of the fair value hierarchy are described below:

Level 1. Inputs to the valuation methodology are unadjusted quoted prices for identical assets or liabilities in active markets that the FIS Plan has the ability to access.

Level 2. Inputs to the valuation methodology include:

Quoted prices for similar assets or liabilities in active markets;

Quoted prices for identical or similar assets or liabilities in inactive markets;

Inputs other than quoted prices that are observable for the asset or liability; and

Inputs that are derived principally from or corroborated by observable market data by correlation or other means.

If the asset or liability has a specified (contractual) term, the Level 2 input must be observable for substantially the full term of the asset or liability.

Level 3. Inputs to the valuation methodology are unobservable and significant to the fair value measurement.

Following is a description of the valuation methodologies used for assets and liabilities measured at fair value.

Common stocks and other cash equivalents: Valued at the closing price reported on the active market on which the security is traded.

Mutual funds and corporate bond funds: Valued based on quoted market prices of shares held by the FIS Plan at year end.

Common collective trust funds: Valued at NAV as a practical expedient to measuring fair value, primarily based on the fair value of the underlying investments at quoted market prices, as determined by the Trustee of the fund of shares held by the FIS Plan at year end.

The following table sets forth, by level within the fair value hierarchy, the Plan's assets at fair value as of December 31, 2010 and 2009.
 
 
 
 
Assets at fair value as of December 31, 2010
 
 
 
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
Investments:
 
 
 
 
 
 
 
 
 
Employer common stock
 
$
46,945,419

 
$

 
$

 
$
46,945,419

 
Common/collective trust funds
 

 
277,975,810

 

 
277,975,810

 
Corporate bond funds
 
73,632,704

 

 

 
73,632,704

 
Mutual funds
 
266,485,591

 

 

 
266,485,591

 
Other cash equivalents
 
811,918

 

 

 
811,918

 
 
 
 
 
 
 
 
 
 
 
 
 
Total investments at fair value
 
$
387,875,632

 
$
277,975,810

 
$

 
$
665,851,442



(Continued)
8

FIDELITY NATIONAL INFORMATION SERVICES, INC.
401(k) PROFIT SHARING PLAN
Notes to Financial Statements
December 31, 2010 and 2009

 
 
 
 
Assets at fair value as of December 31, 2009
 
 
 
 
(Level 1)
 
(Level 2)
 
(Level 3)
 
Total
Investments:
 
 
 
 
 
 
 
 
 
Employer common stock
 
$
42,551,101

 
$

 
$

 
$
42,551,101

 
Common stocks
 
24,827,588

 

 

 
24,827,588

 
Common/collective trust funds
 

 
248,350,396

 

 
248,350,396

 
Corporate bond funds
 
54,372,955

 

 

 
54,372,955

 
Mutual funds
 
181,703,389

 

 

 
181,703,389

 
Other cash equivalents
 
999,787

 

 

 
999,787

 
 
 
 
 
 
 
 
 
 
 
 
 
Total investments at fair value
 
$
304,454,820

 
$
248,350,396

 
$

 
$
552,805,216




(4)    Investments
Investments that represent 5% or more of the FIS Plan's net assets, at fair value, as of December 31, 2010 and 2009 are as follows:
 
 
2010
 
2009
Wells Fargo Stable Return Fund N
 
$
170,853,177

 
$
169,111,662

Oakmark Equity and Income Fund Class One
 
106,938,382

 
59,570,071

Wells Fargo S&P 500 Index Fund N
 
50,390,631

 
38,770,804

Fidelity National Information Services, Inc. common stock
 
46,945,419

 
42,551,101

Wells Fargo S&P Midcap Index Fund G
 
39,248,548

 
26,490,477

Artio International Equity Fund
 
37,041,417

 
33,279,018

American Growth Fund of America Class R4
 
35,618,218

 
29,627,728

All other investments less than 5%
 
178,815,650

 
153,404,355

 
 
 
 
 
Total investments, at fair value
 
$
665,851,442

 
$
552,805,216

During 2010 and 2009, the FIS Plan's investments (including gains and losses on investments bought and sold, as well as held during the year) appreciated (depreciated) in value by investment type, as follows:

 
 
2010
 
2009
Employer common stock
 
$
7,053,467

 
$
13,901,748

Common stocks
 
(70,104
)
 
2,325,785

Common/collective trust funds
 
19,863,304

 
22,797,788

Corporate bond funds
 
2,668,718

 
3,565,504

Mutual funds
 
27,621,156

 
31,052,238

 
 
 
 
 
Net appreciation in fair value of investments
 
$
57,136,541

 
$
73,643,063


As stated in notes 2(a) and 2(d), the Wells Fargo Stable Return Fund N (the Fund), which is deemed to be fully benefit-responsive, is stated at fair value in the Statements of Net Assets Available for Benefits, with a corresponding adjustment to reflect contract value. The fair value of the Fund as of December 31, 2010 and 2009 was $170.9 million and $169.1 million, respectively. The contract value of the Fund as of December 31, 2010 and 2009 was $167.2 million and $168.8 million, respectively. There are no reserves against the contract value for credit risk of the contract issuer or

(Continued)
9

FIDELITY NATIONAL INFORMATION SERVICES, INC.
401(k) PROFIT SHARING PLAN
Notes to Financial Statements
December 31, 2010 and 2009

otherwise. During 2010 and 2009, the average yield of the Fund was approximately 2.38% and 3.40%, respectively. This represents the annualized earnings of all investments in the Fund, divided by the fair value of all investments in the Fund. During 2010 and 2009, the crediting interest rate of the Fund was approximately 2.90% and 3.32%, respectively. This represents the annualized earnings credited to participants in the Fund, divided by the fair value of all investments in the Fund. The credit rating assigned to Wells Fargo by Standard & Poor's at December 31, 2010 is AA-.

Certain events limit the liability of the Plan to transact at contract value with the issuer. Such events include the following: (1) the Plan's failure to qualify under Section 401(a) or Section 401(k) of the IRC, (2) the establishment of a defined contribution plan that competes with the Plan for employee contributions, (3) any substantive modification of the fund or the administration of the fund that is not consented to by the issuer, (4) any change in law, regulation or administrative ruling applicable to the Plan that could have a material adverse effect on the fund's cash flow, (5) any communication given to participants by the Plan's sponsor or fiduciary or Wells Fargo that is designed to induce or influence participants to avoid investing in the fund or to transfer assets out of the fund, and (6) any transfer of assets from the fund directly to a competing investment option. The Plan administrator does not believe that the occurrence of any of these events which would limit the Plan's ability to transact at contract value with participants is probable of occurring.


(5)    Related Party Transactions
Certain FIS Plan investments are shares of common/collective trust funds and mutual funds managed by Wells Fargo. Wells Fargo is the Trustee as defined by the FIS Plan and, therefore, these transactions qualify as party-in-interest transactions. Fees paid by the FIS Plan for investment management services were $0.1 million for each of the years ended December 31, 2010 and 2009. Additionally, transactions involving shares of common stock of the Company, New FNF, and LPS are parties-in-interest transactions. Dividends on these common stock shares totaled $0.4 million and $1.0 million for the years ended December 31, 2010 and 2009, respectively.


(6)    Income Tax Status
The FIS Plan is a defined contribution retirement plan that is intended to be qualified under Section 401(a) of the Code. Once qualified, the FIS Plan is required to operate in conformity with the Code to maintain its qualification as tax exempt. The FIS Plan submitted an initial application for a determination letter with the Internal Revenue Service on March 15, 2007.
Accounting principles generally accepted in the United States of America require plan management to evaluate tax positions taken by the plan and recognize a tax liability (or asset) if the plan has taken an uncertain position that more likely than not would not be sustained upon examination by the applicable taxing authorities. The plan administrator has analyzed the tax positions taken by the Plan, and has concluded that as of December 31, 2010, there are no uncertain positions taken or expected to be taken that would require recognition of a liability (or asset) or disclosure in the financial statements.
During 2009, the Plan Sponsor identified an operational compliance issue with the FIS Plan in which eligibility was calculated incorrectly for temporary employees. The Plan Sponsor is in the process of correcting this matter in accordance with the Internal Revenue Service Employee Plans Compliance Resolution System (EPCRS) program. The Plan administrator and the Plan Sponsor believe that an additional employer contribution totaling $64,720 will be required to resolve this operational compliance issue, which has been included in employer contributions receivable in the accompanying Statements of Net Assets Available for Benefits at December 31, 2010 and 2009. The Plan Sponsor has established additional procedures to ensure that the FIS Plan's operations are in compliance with the provisions of the Code. The plan administrator and tax counsel believe that the FIS Plan is currently operating in compliance with the FIS Plan document and the Code.


(7)    Plan Termination

Although it has not expressed any intent to do so, the Company has the right under the FIS Plan to discontinue its contributions at any time and to terminate the FIS Plan subject to the provisions of ERISA. In the event of the FIS Plan's termination, participants will become 100% vested in their employer contributions.



(Continued)
10

FIDELITY NATIONAL INFORMATION SERVICES, INC.
401(k) PROFIT SHARING PLAN
Notes to Financial Statements
December 31, 2010 and 2009

(8)    Reconciliation of Financial Statements to Form 5500
The following is a reconciliation of net assets available for benefits per the financial statements to the expected 2010 and actual 2009 Form 5500:
 
 
 
2010
 
2009
Net assets available for benefits, per the financial statements
 
$
684,400,941

 
$
571,559,284

 
Less current year adjustment to contract value for fully benefit-responsive
investment contracts
 
3,677,857

 
337,548

 
 
 
 
 
 
Net assets available for benefits, per the Form 5500
 
$
688,078,798

 
$
571,896,832


The following is a reconciliation of investment income per the financial statements to the expected 2010 and actual 2009 Form 5500:

 
 
 
2010
 
2009
Total investment income per the financial statements
 
$
62,103,262

 
$
80,436,999

 
Plus prior year adjustment to contract value for fully benefit-responsive
investment contracts
 
(337,548
)
 
9,716,201

 
Less current year adjustment to contract value for fully benefit-responsive
investment contracts
 
3,677,857

 
337,548

 
 
 
 
 
 
Total investment income per the Form 5500
 
$
65,443,571

 
$
90,490,748



(9)    Subsequent Events
Effective July 28, 2011 at 4:00 P.M. Eastern Standard Time (EST), no new contributions, loan payments or transfers into the FIS Stock Fund will be permitted. Participants will have until the July 28, 2011 cutoff, to redirect future contributions to other Plan investments. After the July 28, 2011 cutoff, any future contributions allocation percentages directed to the FIS Stock Fund will be automatically changed to the Plan's default fund the Oakmark Equity and Income Fund (mutual fund). Beginning November 2011 the Plan will begin selling all remaining shares in the FIS Stock Fund. Participants will have until November 29, 2011 at 4:00 P.M. EST to redirect any remaining balance in the participant's FIS Stock Fund to other Plan investments. On November 30, 2011 the remaining balance in the FIS Stock Fund will be automatically transferred to the Plan's default fund, the Oakmark Equity and Income Fund (mutual fund) and the FIS Stock Fund will be terminated.
The Company has evaluated transactions, events and circumstances for consideration of recognition or disclosure and has reflected or disclosed those items within the financial statements as deemed appropriate.


11





















Supplemental Schedules


FIDELITY NATIONAL INFORMATION SERVICES, INC.
401(k) PROFIT SHARING PLAN
Schedule H, Line 4a - Schedule of Delinquent Participant Contributions
Year Ended December 31, 2010


 
 
Participant
 
 
 
 
 
Contributions
 
Totally Fully
 
 
 
 
Contributions
 
 
 
Contributions
 
Pending
 
Corrected
 
 
 
 
Transferred
 
Contributions
 
Corrected
 
Correction in
 
Under VFCP and
 
Lost
Year Ended
 
Late to Plan
 
Not Corrected
 
Outside VFCP
 
VFCP
 
PTE 2002-51
 
Interest
December 31, 2009
 
$
1,865

 

 
$
1,865

 

 

 
$
2


There were delays by the Company in December 2009 in remitting employee contributions to the trustee in the amount of $1,865. The Company reimbursed the Plan for lost interest in the amount of $2 in January 2010.

See accompanying report of independent registered public accounting firm.

13

FIDELITY NATIONAL INFORMATION SERVICES, INC.
401(k) PROFIT SHARING PLAN
Schedule H, Line 4i - Schedule of Assets (Held at End of Year)
December 31, 2010


 
 
Identity of issue, borrower
 
Description of investment, including maturity date, rate of
 
 
 
 
lessor, or similar party
 
interest, number of shares, collateral, par or maturity value
 
Value
 
 
Employer common stock:
 
 
 
 
(1)
 
 
Fidelity National Information
Services, Inc.
 
Common stock, 1,713,962 shares
 
$
46,945,419

 
 
 
 
 
 
 
 
 
 
Common/collective trust funds:
 
 
 
 
(1)
 
 
Wells Fargo
 
Wells Fargo Stable Return Fund N4, 3,655,882 shares
 
170,853,177

(1)
 
 
Wells Fargo
 
Wells Fargo S&P 500 Index Fund N, 844,913 shares
 
50,390,631

(1)
 
 
Wells Fargo
 
Wells Fargo S&P Midcap Index Fund G, 1,982,250 shares
 
39,248,548

(1)
 
 
Wells Fargo
 
Wells Fargo International Equity Index Fund G, 1,296,992 shares
 
17,483,454

 
 
 
 
 
 
 
 
 
 
Corporate bond funds:
 
 
 
 
 
 
 
The Dreyfus Corporation
 
Dreyfus Intermediate Term Income Fund, 2,464,840 shares
 
32,240,104

 
 
 
Vanguard Investments
 
Vanguard Intermediate Term Bond Index Fund, 2,161,957 shares
 
24,317,450

 
 
 
PIMCO
 
PIMCO Real Return Bond Fund Class I, 1,505,263 shares
 
17,075,150

 
 
 
 
 
 
 
 
 
 
Mutual funds:
 
 
 
 
 
 
 
The Oakmark Funds
 
Oakmark Equity and Income Fund Class One, 3,855,025 shares
 
106,938,382

 
 
 
The Julius Baer Group
 
Artio International Equity Fund, 1,228,979 shares
 
37,041,417

 
 
 
American Funds
 
American Growth Fund of America Class R4, 1,179,802 shares
 
35,618,218

 
 
 
Van Kampen Investments
 
Van Kampen Comstock Fund Class A, 1,804,749 shares
 
28,388,697

 
 
 
RS Investments
 
Robert Stephens Value Fund Class A, 785,118 shares
 
20,342,398

 
 
 
The Dreyfus Corporation
 
Dreyfus Small Cap Stock Index Fund, 981,706 shares
 
20,046,427

 
 
 
The Hartford
 
Hartford Small Company HLS Fund Class 1B, 1,054,136 shares
 
18,110,052

 
 
 
 
 
 
 
 
 
 
Other cash equivalents:
 
 
 
 
(1)
 
 
Wells Fargo
 
Wells Fargo Short-term Investment Fund G, 598,528 shares
 
598,528

(1)
 
 
Wells Fargo
 
Wells Fargo Advantage Cash Money Market, 213,390 shares
 
213,390

 
 
 
 
 
 
 
 
 
 
Notes receivable from participants
 
Varying maturities and interest rates from 3.25% to 10.5%. A total
 
 
 
 
 
 
 
of 4,104 loans are outstanding with maturities from January 2011
 
 
 
 
 
 
 
through December 2020.
 
18,099,426

 
 
 
 
 
 
 
$
683,950,868


(1)    Represents a party-in-interest.

See accompany report of independent registered public accounting firm.

14




Pursuant to the requirements of the Securities Exchange Act of 1934, the Trustees (or other persons who administer the employee benefit plan) have duly caused this annual report to be signed on its behalf by the undersigned hereunto duly authorized.


 
FIDELITY NATIONAL INFORMATION SERVICES, INC.
 
 
401 (k) Profit Sharing Plan
Date: June 29, 2011 
By:  
/s/ Michael P. Oates
 
 
Michael P. Oates
 
 
Trustee


15





EXHIBIT INDEX
Exhibit No.
 
 
 
Page No.
23
 
Consent of Independent Registered Public Accounting Firm
 
17


16