New FICO Service Enables Banks to Fine-Tune Risk Strategies Based on Economic Conditions

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MINNEAPOLIS – February 23, 2010 – FICO (NYSE:FICO), the leading provider of analytics and decision management technology, today announced the immediate global availability of the FICO Economic Impact Service, a patent-pending analytic service that helps lenders adjust their use of risk scores based on economic projections and lender-defined scenarios. With the ability to build on both internally derived score models and standard credit scores, such as the FICO® 8 Score, the FICO Economic Impact Service™ provides lenders with unprecedented insight into the changing nature of risk in response to economic conditions.

“Banks are experiencing tremendous pressure to balance demands for growth and profitability with the imperative to manage risk,” said Dr. Andrew Jennings, chief research officer at FICO. “Changes in unemployment rates, interest rates and other economic indicators often anticipate important marketplace movements. It can be extraordinarily difficult for even large lenders to objectively assess such external risks and adapt their credit decisioning systems quickly enough to be effective. That’s why we’ve developed this new way to enhance traditional risk scores and significantly strengthen lenders’ abilities to manage risk and boost profitability in dynamic economic environments.”

Many scoring models, including the industry-leading FICO® 8 Score, provide lenders with a powerful tool that rank-orders consumers based on risk. FICO Economic Impact Service™ represents a novel approach in risk management that for the first time gives lenders the added ability to scientifically calibrate credit risk estimates to expected market conditions, at the account level. The new service can be used to fine-tune lending strategies based on both positive and negative economic movement. It is as valuable to lenders for managing risk in a downturn as during times of economic recovery and growth.

FICO Economic Impact Service™ examines up to 150 different economic indicators, for example, unemployment rate, interest rates and gross domestic product (GDP), then projects changes in risk using predictive analytics pioneered by FICO. Clients can choose how frequently they wish to examine economic indicators and correspondingly adjust their risk management strategies. As a result, lenders can keep their strategies tuned to evolving market conditions and determine appropriate levels of loan loss reserves and capital requirements for a more sustainable, healthier performing business.

“Raiffeisen International chose FICO Economic Impact Service™ to evaluate potential risk changes in one of our largest Eastern European card portfolios,” said Zsolt Jaczko, vice president and head of methodology and validation, Retail Risk Management for Raiffeisen. “We’re continually searching for ways to improve the risk performance of our portfolio, to reduce losses and to identify areas of profitable opportunity. FICO EIS uniquely quantifies how our portfolio risk will react to changes in regional economic shifts that will ultimately result in improved profitability for Raiffeisen.”

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, and its quarterly report on Form 10-Q for the period ended December 31, 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.

FICO and FICO Economic Impact Service are trademarks or registered trademarks of Fair Isaac Corporation in the United States and other countries.

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