signature=305e8d8cdb9b265b85946c01d0276462,e8vk

exv99w2

Exhibit

99.2

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A Leader in Payroll / HR Outsourcing

July 27, 2006

Quarterly Earnings Conference Call

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Statements expressing or indicating the beliefs and expectations of management regarding future performance are

forward-looking statements including, without limitation, favorable operating trends, anticipated revenue and earnings in

the second quarter of fiscal 2007 and for the fiscal year ending March 31, 2007, and any other plans, objectives,

expectations and intentions that are not historical facts. These statements reflect our current views with respect to future

events and are based on assumptions and subject to risks and uncertainties. These risks and uncertainties include,

without limitation, the preliminary nature of our estimates, which are subject to change as we collect additional

information and they are reviewed internally and by our external auditors, as well as the risks detailed in the company's

Form 10-K for the fiscal year ended March 31, 2006, in "Part I - Item 1A. Risk Factors," as well as (1) the risk that our

revenues from The Work Number may fluctuate in response to changes in certain economic conditions such as interest

rates and employment trends; (2) risks associated with our ability to prevent breaches of confidentiality or inappropriate

use of data as we perform large-scale processing of verifications; (3) risks associated with our ability to maintain the

accuracy, privacy and confidentiality of our clients' employee data; (4) risks related to our ability to increase the size and

range of applications for The Work Number database and to successfully market current and future services and related

to our dependence on third party providers to do so; (5) proceedings by Federal and state regulators related to our

business, including the inquiry by the Federal Trade Commission related to our acquisitions in the unemployment

compensation and Work Number businesses; (6) the risk of interruption of our computer network and telephone

operations, including potential slow-down or loss of business as potential clients review our operations; (7) risks

associated with potential challenges regarding the applicability of the Fair Credit Reporting Act or similar law; (8) risks

relating to the dependence of the market for The Work Number services on mortgage documentation requirements in the

secondary market and the risk that our revenues and profitability would be significantly harmed if those requirements

were relaxed or eliminated; (9) risks related to the applicability of any new privacy legislation or interpretation of existing

laws; (10) the risk that our revenues from unemployment tax management services may fluctuate in response to

changes in economic conditions; (11) risks related to changes in tax laws, including work opportunity , or "WOTC," and

welfare to work, or "WtW," tax credits; (12) the risk to our future growth due to our dependence on our ability to

effectively integrate acquired companies and capitalize on cross-selling opportunities; and (13) risks relating to doing

business with the federal government following our April 2006 acquisition of pan. These risks, uncertainties and other

factors may cause our actual results, performance or achievements to be materially different from those expressed or

implied by our forward-looking statements. We do not undertake any obligation or plan to update these forward-looking

statements, even though our situation may change.

Safe Harbor Statement

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Highlights of quarterly results

Continued growth in The Work Number transactions

Benefits of acquisitions

Raising full-year guidance

Recent acquisitions

pan - acquired April 6, 2006

Electronic employee assessment and talent

management service

Fits nicely with existing onboarding services

Private placement of debt - $75 million

Reduced and refinanced existing debt facility with

proceeds

Quarter Overview

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Earnings Highlights - Quarter Ended June 2006

Revenues of $66.2 million

41% growth over prior year's $46.8 million

The Work Number services - 27% growth

Unemployment tax services - 25% growth

Tax credits & incentives - 53% growth

Talent mgmt services revenue - $6.7

million

Gross profit increased 40% to $40.9 million from

$29.2 million last year

Gross margin declined 50 basis points to 61.9%

from 62.4% last year

FY2007 quarter includes share-based

compensation (67 basis points)

The Work Number services - 78.5%

Tax management services - 50.9%

Unemployment tax management - 50.5%

Tax credits and incentives - 53.7%

Talent management services - 49.6%

The Work Number Unempl Tax Services Tax Credits Talent Management Other

25897 28766 4392 6717 402

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SG&A expenses were 38.6% of revenues, compared to 38.1%

last year

FY2007 quarter includes share-based compensation

expense (75 basis points)

Operating margin was 23.3% of revenues, compared to 24.3%

last year

FY2007 quarter includes share-based compensation

expense (142 basis points)

Earnings from continuing operations

$7.3 million, or $0.22 per diluted share

Includes share-based compensation expense -

$813,000, or $0.02 per diluted share

Prior year - $6.4 million, or $0.19 per diluted share

No impact from SFAS 123r

Earnings Highlights - Quarter Ended June 2006

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Cash flow from operating activities

$7.0 million versus $8.5 million last year

Change primarily reflects timing of annual bonus payments

Sources (Uses) of cash

Private placement of debt $ 75.0 million

Debt repayments (74.2) million

New borrowings 80.8 million

Acquisitions (78.8) million

Stock repurchase (8.1) million

Capital expenditures and

capitalized software (5.2) million

Dividend payments (1.3) million

Cash Flow Highlights - Quarter Ended June 2006

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Financial Position Highlights - June 30, 2006

Cash and investments - $8.4 million

$11.6 million at March 31, 2006

Debt - $192.4 million

$110.8 million at March 31, 2006

$75.8 million borrowings for acquisition

$5.8 million borrowings for cash management needs

Treasury stock

347,400 shares repurchased during the quarter

267,400 shares in the treasury at June 30, 2006

164,000 shares repurchased in July

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Fiscal 2007 Financial Guidance

Fiscal year ending March 2007 - Raising Guidance

Total revenues

$275 million to $280 million

Diluted earnings per share (from continuing operations)

$1.06 to $1.12

Includes an $0.08 charge related to share-based compensation

Quarter ending September 2006 - Initial Guidance

Total revenues

$66 million to $68 million

Year ago - $48.3 million

Diluted earnings per share (from continuing operations)

$0.22 to $0.24

Includes a $0.02 charge related to share-based compensation

Year ago - $0.21

No impact from SFAS 123r

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The Work Number Services - Growth Initiatives

Continuing Initiatives

Add records to the database

Add new verifiers

Increase penetration (REACH)

Regular cost of doing business adjustments

New Initiatives

Verification of education

Confirmation direct

Increase pre-employment

screening transactions with

employer clients

One-stop verifications

59 41

61 39

39%

of TALX Revenue

(Fiscal 2007/Q1)

The Work Number

Services Revenue

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The Work Number Services - Revenue History

FY2001 FY2002 FY2003 FY2004 FY2005 FY2006 FY2007

1st Quarter 4.132 6.103 7.617 10.943 14.42 20.4 25.9

2nd Quarter 4.531 6.659 8.573 11.627 14.19 21.9

3rd Quarter 4.635 6.856 9.011 10.028 15.56 21.9

4th Quarter 5.796 7.566 10.733 14.01 21.21 27.1

Revenue History (millions)

$27.2

$35.9

$46.6

$65.4

$91.3

$25.9

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Revenue Growth Outpaces Database Growth (percent)

Source: Mortgage Bankers Association

Revenue Records Mortgage index

3/31/1999 1 1 1

4/2/1999 1 1 1

4/9/1999 1 1 0.98

4/16/1999 1 1 1.07

4/23/1999 1 1 1.03

4/30/1999 1 1 1.07

5/7/1999 1 1 1.04

5/14/1999 1 1 0.93

5/21/1999 1 1 0.97

5/28/1999 1 1 0.97

6/4/1999 1 1 0.75

6/11/1999 1 1 0.96

6/18/1999 1 1 0.86

6/25/1999 1 1 0.85

7/2/1999 1.07 1.03 0.87

7/9/1999 1.07 1.03 0.61

7/16/1999 1.07 1.03 0.76

7/23/1999 1.07 1.03 0.74

7/30/1999 1.07 1.03 0.78

8/6/1999 1.07 1.07 0.75

8/13/1999 1.07 1.07 0.72

8/20/1999 1.07 1.07 0.71

8/27/1999 1.07 1.07 0.74

9/3/1999 1.07 1.18 0.64

9/10/1999 1.07 1.18 0.54

9/17/1999 1.07 1.18 0.65

9/24/1999 1.07 1.18 0.63

10/1/1999 1.2 1.25 0.69

10/8/1999 1.2 1.25 0.65

10/15/1999 1.2 1.25 0.6

10/22/1999 1.2 1.25 0.62

10/29/1999 1.2 1.25 0.67

11/5/1999 1.2 1.29 0.65

11/12/1999 1.2 1.29 0.62

11/19/1999 1.2 1.29 0.71

11/26/1999 1.2 1.29 0.44

12/3/1999 1.2 1.36 0.58

12/10/1999 1.2 1.36 0.57

12/17/1999 1.2 1.36 0.54

12/24/1999 1.2 1.36 0.39

12/31/1999 1.2 1.36 0.37

1/7/2000 1.41 1.39 0.52

1/14/2000 1.41 1.39 0.61

1/21/2000 1.41 1.39 0.58

1/28/2000 1.41 1.39 0.68

2/4/2000 1.41 1.41 0.76

2/11/2000 1.41 1.41 0.69

2/18/2000 1.41 1.41 0.68

2/25/2000 1.41 1.41 0.66

3/3/2000 1.41 1.52 0.78

3/10/2000 1.41 1.52 0.78

3/17/2000 1.41 1.52 0.78

3/24/2000 1.41 1.52 0.83

3/31/2000 1.41 1.52 0.77

4/7/2000 1.57 1.54 0.83

4/14/2000 1.57 1.54 0.79

4/21/2000 1.57 1.54 0.79

4/28/2000 1.57 1.54 0.79

5/5/2000 1.57 1.6 0.68

5/12/2000 1.57 1.6 0.65

5/19/2000 1.57 1.6 0.71

5/26/2000 1.57 1.6 0.65

6/2/2000 1.57 1.69 0.6

6/9/2000 1.57 1.69 0.56

6/16/2000 1.57 1.69 0.57

6/23/2000 1.57 1.69 0.57

6/30/2000 1.57 1.69 0.59

7/7/2000 1.72 1.74 0.55

7/14/2000 1.72 1.74 0.61

7/21/2000 1.72 1.74 0.58

7/28/2000 1.72 1.74 0.57

8/4/2000 1.72 1.8 0.6

8/11/2000 1.72 1.8 0.59

8/18/2000 1.72 1.8 0.56

8/25/2000 1.72 1.8 0.57

9/1/2000 1.72 1.85 0.59

9/8/2000 1.72 1.85 0.62

9/15/2000 1.72 1.85 0.61

9/22/2000 1.72 1.85 0.6

9/29/2000 1.72 1.85 0.62

10/6/2000 1.76 1.9 0.6

10/13/2000 1.76 1.9 0.62

10/20/2000 1.76 1.9 0.62

10/27/2000 1.76 1.9 0.65

11/3/2000 1.76 1.95 0.66

11/10/2000 1.76 1.95 0.69

11/17/2000 1.76 1.95 0.64

11/24/2000 1.76 1.95 0.63

12/1/2000 1.76 1.99 0.7

12/8/2000 1.76 1.99 0.74

12/15/2000 1.76 1.99 0.68

12/22/2000 1.76 1.99 0.64

12/29/2000 1.76 1.99 0.54

1/5/2001 2.2 2.03 0.87

1/12/2001 2.2 2.03 1.26

1/19/2001 2.2 2.03 1.08

1/26/2001 2.2 2.03 0.99

2/2/2001 2.2 2.06 1.18

2/9/2001 2.2 2.06 1.14

The Work Number Services - Revenue Growth

Revenue

Records

Mortgage Index

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FY2005 FY2005 FY2006 Fiscal 2007

Pre-employment 2.6 2.7 2.8 2.97 3.88 3.78 4.08 3.77 4.626

Consumer Finance 2.31 2.98 3.27 5.09 4.7 6.11 5.89 5.89 6.14

Social Services 1.87 1.14 1.24 1.7 1.84 1.85 1.94 2.36 2.538

Other Verifications 0.72 0.71 0.78 0.42 0.41 0.41 0.38 0.43 0.483

Mortgage 5.05 4.82 5.45 5.73 6.95 7.52 7.17 7.55 8.289

Complementary Work Number Services* 1.87 1.84 2.02 5.3 2.66 2.23 2.44 6.95 3.819

*Complementary Work Number

Services include ePayroll,

W-2 eXpress, FasTime

and HireXpress

The Work Number Services - Revenue Mix (quarterly)

Revenue Mix (millions by quarter)

+27%

Q1 Q2 Q3 Q4 Q1

$20.4

$21.9

$21.9

$25.9

Fiscal Year 2006

Fiscal

Year

2007

$27.1

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The Work Number Services - Metrics

The Work Number Employment and Income Verification

4.1 million records added to the database during the quarter

143.0 million records under contract

133.1 million live

9.9 million in backlog

28% of database represents current employees

Approximately 29% of non-agricultural U.S. workforce is

currently on The Work Number

Complementary Work Number services

ePayroll - 46% revenue growth over year-ago quarter

FasTime - 31% revenue growth over year-ago quarter

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Tax Management Services

Complementary to The Work Number

Cross-selling opportunities

Growth through acquisitions in Tax

Credits & Incentives business

Unemployment Tax Services Tax Credits and Incentives

43 7 50

50%

of TALX Revenue

(Fiscal 2007/Q1)

Tax Management

Services Revenue

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Talent Management Services

New segment - Talent Management

Services

Secure, electronic-based

psychometric testing and

assessments

Comprehensive talent

management services

1Q07 revenues of $6.7 million

FY07 growth expectations

Federal government

FY08 growth expectations

Corporate market

Talent Management

6.7 0 59.5

10%

of TALX Revenue

(Fiscal 2007/Q1)

Talent Management

Services Revenue

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Key Investment Highlights

Market Leadership in Two Payroll and HR Areas

Employment and income verification

Unemployment tax management

Diversified Client Base

No one client > 10% of revenue in FY06 or 1Q07

Over 3/4 of the Fortune 500 use one or more TALX services

Proven Business Model

Revenue growth

Earnings and EPS growth

Strong gross and operating margins

Strong operating cash flow

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