Deluxe Posts Spike in Net Income on More Modest Revenue Increase

Direct Checks
Revenue was $57.8 million compared to $61.8 million in 2011, primarily driven by lower order volume resulting from the continued decline in check usage. Operating income in 2012 increased to $17.3 million from $16.0 million in 2011.

Other Highlights
Cash provided by operating activities for the first quarter of 2012 totaled $52.0 million, a decrease of $9.1 million compared to 2011. Improved operating performance and the discontinuation of payments to our defined contribution pension plan were more than offset by planned contributions to our VEBA trust for future medical costs, and higher contract acquisition and interest payments.