January 22, 2003

First Quarter Earnings Conference

Safe Harbor Statement

Certain statements in this presentation constitute forward-looking statements

within the meaning of the Private Securities Litigation Reform Act of 1995. The

forward-looking statements are based on current expectations, estimates,

forecasts and projections of future company or industry performance based on

management's judgment, beliefs, current trends and market conditions. Forward-

looking statements made or to be made by or on behalf of the company may be

identified by the use of words such as "expects," "anticipates," "intends," "plans,"

"believes," "seeks," "estimates" and similar expressions. Forward-looking

statements are not guarantees of future performance and involve certain risks,

uncertainties and assumptions that are difficult to predict. Actual outcomes and

results may differ materially from what is expressed, forecasted or implied in the

forward-looking statements. See also the discussion of factors that may affect

future results contained in the company's Current Report on Form 8-K filed with

the SEC on August 11, 2000, which we incorporate herein by reference. The

company undertakes no obligation to update any forward-looking statements,

whether as a result of new information, future events or otherwise.

Q1 Highlights

EPS increased 14% with continued strong operating margins

Revenues increased 3% with mix of business slightly different than expected

Acquired Networkcar, industry’s most advanced telematics solution, adding to growing arsenal of CRM solutions

Today’s acquisition of MSN Autos Dealerpoint extends REY’s leadership in CRM services

Customer reception of the Reynolds Generations Series and new value-added services continued to be positive

Created New Markets Group to enter adjacent markets

Market Update

Flat IT spending pattern lasting longer than expected

Franchised automobile retailers remain a strong market

Automotive retailer optimism remains high, driven in large part by diverse mix of profit centers

Car company initiatives adding increased value and require a retailing solutions partner to implement

Interest in customer retention solutions and services continues to grow

Smart Roadside Assistance

Remote Door Unlock

Real-time Performance Monitoring

Transmits car performance and location information over existing wireless infrastructure

Installs easily under a car’s dashboard

Emergency Assistance

$$$$$$$$$Cost

Net

wor

kcar

LoJa

ckO

nSta

rA

larmCar Owner Benefits

Opportunities

Real-time E-mail Problem Alerts

E-mail Alerts of Service Milestones

On-line Service Appointment Scheduling

Remote Auto Technician Assistance

Personal Website with Service Records and Recalls

Early Detection of Emission Problems

Possible Theft Prevention

Stolen Vehicle Recovery

Concierge Assistance

Remote Emissions Monitoring and Certification

EMERGENCY

SERVICE

EMISSION

THEFT

The Networkcar CAReader™

MSN Autos Dealerpoint

Adds entry-level lead management solution to CRM portfolio

Currently used by over 4,000 retailers

Creates opportunity to migrate to full Contact Management solution

Provides meaningful touchpoint with car companies

Extends REY’s automotive CRM leadership position

Automark Web Services

Added 138 dealerships in the quarter. 1945 dealerships now utilize the service.

Significant enhancements to be announced at NADA convention

Value proposition and ROI continue to strengthen

Customer Management

69 dealerships now utilizing application

MSN Autos Dealerpoint expands REY’s customer base

Value proposition and ROI continue to strengthen

The Reynolds Generations Series Progress

Markets Market Size Wins

Independent Pre-Owned Vehicles

55,000 retail points

$109B

ADESA

Enterprise Rental Car

Price 1

Thrifty Car Sales

Hertz Car Sales

Sports and Recreation Vehicles

22,000

$60B

Harley Davidson

Brunswick

Mastercraft

MarineMax

Rick Case

Commercial Equipment 2,450

$85B

Karmak

Vehicle Care & Aftermarket Parts Shops

100,000

$150B+

Collision-Repair Shops 53,000

$30B

Opportunities

Adjacent Markets Status

Q1 Summary

Revenues +3% EPS +14%

$ in millions

$240

$247

$0.35*

$0.40

2002 2003 2002 2003* Excludes accounting change last year

2002 2003 %Software Solutions $148 $162 10%Transformation Solutions 38 34 -9%Documents 44 41 -8%Financial Services 10 10 -7%Total Company $240 $247 3%

Q1 Revenue Summary by Segment $ in millions

2002* 2003 % Change

Revenues $240 $247 3%

Operating Income $44 $46 5%Operating Margin 18% 19%

Net Income $25 $28 11%

EPS $0.35 $0.40 14%

Q1 Income Summary $ in millions

* Excludes accounting change last year

2002 2003

Expenses $16 $18

% of Revenues 7% 7%

EPS Impact $0.13 $0.15

Q1 R&D$ in millions

2002 2003

Gross Margin 58.6% 56.5%

SG&A (% of revenues) 40.5% 37.9%

Operating Margin 18.1% 18.6%

Tax Rate 38.8% 38.7%

Q1 Margin Summary

Q1

Beginning Cash $155

Sources of Cash (operating/other) 8Key Uses of Cash

Business Combination (12)Net Capital Expenditures (9)Capitalized Software (5)Share Repurchases (41)

Shares Issued 7

Ending Cash $103

Cash Flow Summary$ in millions

Q1

Amount $41 million

Number of Shares 1.6 million

Price Per Share $25.89

Share Repurchase Summary

Software Solutions Backlog$ in millions

$0

$10

$20

$30

$40

$50

$60

$70

Q1 '01 Q2 '01 Q3 '01 Q4 '01 Q1 '02 Q2 '02 Q3 '02 Q4 '02 Q1 '03

Financial Outlook

EPS to be approximately $1.70

Q2 EPS to be approximately $0.40

Operating margins to be approximately 19%

Return on equity to exceed 20%

CapEx and capitalized software to total approximately $35M

Depreciation and amortization to total approximately $40M

R&D expenses are expected to be approximately $70M

Share repurchases expected to continue

Fully diluted shares used to calculate EPS to be approximately 71M