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the Company to make annual contributions to the plan equal to 7% of participant compensation, as defined. 

PROFIT SHARING PLAN: During 2009 and 2008, the Compa- ny’s employees were eligible to participate in the TSYS Profit Sharing Plan. The Company’s contributions to the plan are con- tingent upon achievement of certain financial goals. The terms of the plan limit the Company’s contribution to 7% of participant compensation, as defined, not to exceed the maximum allowable deduction under Internal Revenue Service guidelines. 

401(K) PLAN: During 2009 and 2008, the Company’s employ- ees were eligible to participate in the TSYS 401(k) Plan. The terms of the plan allow employees to contribute eligible pretax com- pensation with a discretionary company contribution up to a maximum of 7% of participant compensation, as defined, based upon the Company’s attainment of certain financial goals. 

The Company’s contributions to the plans charged to expense for the years ended December 31 are as follows: 

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STOCK PURCHASE PLAN: The Company maintains stock pur- chase plans for employees and directors. Prior to July 2009, the Company made contributions equal to one-half of employee and director voluntary contributions. Beginning in July 2009, the Company changed its contribution to 15% of employee and director voluntary contributions. The funds are used to purchase presently issued and outstanding shares of TSYS common stock for the benefit of participants. The Company’s contributions to these plans charged to expense for the years ended December 31 are as follows: 

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POSTRETIREMENT MEDICAL BENEFITS PLAN: TSYS pro- vides certain medical benefits to qualified retirees through a postretirement medical benefits plan, which is immaterial to the Company’s consolidated financial statements. The measure- ment of the benefit expense and accrual of benefit costs associ- ated with the plan do not reflect the effects of the 2003 Medicare Act. Additionally, the benefit expense and accrued benefit cost 

associated with the plan, as well as any potential impact of the effects of the 2003 Medicare Act, are not significant to the Company’s consolidated financial statements. 

## NOTE 22 Segment Reporting, including Geographic Area Data and Major Customers 

In June 1997, the FASB issued guidance in accordance with ASC 280, “Segment Reporting.” ASC 280 establishes standards for the way public business enterprises are to report information about operating segments in annual financial statements and requires those enterprises to report selected financial information about operating segments in interim financial reports issued to shareholders. It also establishes standards for related disclosures about products and services, geographic area data and major customers. 

TSYS provides global payment processing and other services to card-issuing and merchant acquiring institutions in the United States and internationally through online accounting and elec- tronic payment processing systems. During 2010, TSYS reorga- nized its operating segments in a manner that reflects the way the chief operating decision maker (CODM) views the business. The change involved accumulating corporate administration expenses, such as finance, legal, human resources, mergers and acquisitions and investor relations, that existed in all oper- ating segments and categorizing them, and spin-related costs, as Corporate Administration. 

In September 2010, the Company sold certain assets and liabil- ities of TPOS. As a result, TPOS was classified as discontinued operations for all periods. TPOS was included in the Merchant Services segment. 

In April 2010, TSYS acquired 51% of TMS. Refer to Note 24 for more information on the acquisition of TMS. Since the acquisition, TSYS has included the financial results of TMS in the Merchant Services segment. 

North America Services includes electronic payment processing services and other services provided from within the North Amer- ica region. International Services includes electronic payment processing and other services provided from outside the North America region. Merchant Services includes electronic processing and other services provided to merchant acquiring institutions. 

The Company believes the terms and conditions of transactions between the segments are comparable to those which could have been obtained in transactions with unaffiliated parties. 

