First Annual FICO Decision Management Awards Presented to Bank of Communications, Highmark and Lloyds Banking Group (Halifax & Bank of Scotland Credit Card)

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MINNEAPOLIS – January 6, 2010 – FICO (NYSE: FICO), a leader in analytics and Decision Management technology, announced today that Bank of Communications, a leading Chinese bank, Lloyds Banking Group (HBOS Credit Card), a UK-based multinational bank, and Highmark, a large US insurer, are the winners of the first annual FICO Decision Management Awards competition in the respective categories of Credit Risk Management, Fraud Control and Insurance Claims Management. These awards honor companies that have achieved outstanding business results using FICO Decision Management solutions & technology. Winners were selected by an independent panel of judges from the analyst and media communities, and will be featured in presentations at FICO World 2010 in Miami, April 13-16.

Bank of Communications (China) has received the award in the category of Credit Risk Management. The company has achieved a major milestone in the retail credit card industry in China with the deployment of the first Connected Decisions financial solution in the region, involving a holistic integration of the entire credit card lifecycle. Quick improvements for the bank included increasing revolving balances by 10% within 6 months with controlled risk, while lowering manual review costs by 30% in the first year through decision automation.

Lloyds Banking Group (Halifax & Bank of Scotland Credit Cards) is the award winner in the category of Fraud Control. Halifax and Bank of Scotland Credit Cards business objective was to lower overall fraud rates and improve customer service; it implemented FICO’s Falcon Fraud Manager in real time to make decisions at a point of sale or ATM terminal. Leveraging Falcon Fraud Manager’s consortium models, Halifax & Bank of Scotland Credit Cards identified industry-wide patterns of fraud, achieving the lowest loss-per-card figure in the industry and a fraud recovery rate of 65% (compared to an industry average of 50%). While achieving these outstanding results, Halifax & Bank of Scotland Credit Cards continues to maintain excellent customer satisfaction ratings, with decline rates three times lower than industry best practices.

Highmark received an award in the category of Insurance Claims Management. The company has been able to reduce medical claims fraud significantly through innovative use of FICO™ Insurance Fraud Manager. Highmark also reduced the time necessary to identify fraudulent claims by comparing aberrant claims data with that of peers, reducing the number of post-payment fraud investigations and the cost to dispute them. Highmark’s Special Investigations Unit was able to audit its top 200 suspicious providers and open new investigations on nearly a quarter of suspicious cases in less than two months. They also detected an additional 19% of suspicious claims in previous cases they were already working.

All award nominations underwent a rigorous judging process. Winners were selected by an esteemed panel of industry analysts and members of the media: Steve Hendrick, group vice president of IDC; Rod Nelsestuen, senior research director, TowerGroup; Kathy Burger, editorial director of both Bank Systems & Technology and Insurance & Technology; and Davis Janowski, technology editor at InvestmentNews.

“As more and more businesses deploy Decision Management tools and applications, it’s important to recognize the very best achievements so the standard of practice can improve industry-wide,” said Andrew Jennings, chief research officer at FICO. “We applaud all the participants who submitted nominations for the first FICO Decision Management Awards. The business impact these initiatives can make is impressive.”

“Companies seeking to survive and thrive in the new economy are finding it imperative to take a more holistic approach to fraud and credit risk management,” said Rod Nelsestuen, senior research director, TowerGroup. “The winners of this year’s Decision Management Awards shine a spotlight on this trend. These companies demonstrate the business value to be gained by better connecting decisions across the enterprise. Each has shown innovation in their ability to leverage both processes and technology in an effective manner to achieve a real ROI while improving operations.”

About FICO
FICO (NYSE:FICO) transforms business by making every decision count. FICO’s Decision Management solutions combine trusted advice, world-class analytics and innovative applications to give organizations the power to automate, improve and connect decisions across their business. Clients in 80 countries work with FICO to increase customer loyalty and profitability, cut fraud losses, manage credit risk, meet regulatory and competitive demands, and rapidly build market share. FICO also helps millions of individuals manage their credit health through the website.

FICO Statement Concerning Forward-Looking Information
Except for historical information contained herein, the statements contained in this news release that relate to FICO or its business are forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially, including the success of the Company’s Decision Management strategy and reengineering initiative, the maintenance of its existing relationships and ability to create new relationships with customers and key alliance partners, its ability to continue to develop new and enhanced products and services, its ability to recruit and retain key technical and managerial personnel, competition, regulatory changes applicable to the use of consumer credit and other data, the failure to realize the anticipated benefits of any acquisitions, continuing material adverse developments in global economic conditions, and other risks described from time to time in FICO’s SEC reports, including its Annual Report on Form 10-K for the year ended September 30, 2009. If any of these risks or uncertainties materializes, FICO’s results could differ materially from its expectations. FICO disclaims any intent or obligation to update these forward-looking statements.

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