What is the status of the class-action lawsuits regarding customer privacy?

Intuit has reached an agreement in principle with plaintiffs' counsel to resolve most of the class-action lawsuits concerning alleged privacy violations related to Quicken.com data. The terms of this settlement are not material to Intuit. One case, Rubin v. Intuit Inc., was dismissed in November 2001.

What is Intuit's exposure to potential financial impact from litigation?

Intuit currently believes that the ultimate liability from all pending claims, including the privacy litigation, will not materially affect its financial position, results of operations, or liquidity. However, the company acknowledges that litigation outcomes are uncertain and can incur defense costs and divert management resources.

What significant business transactions have occurred recently?

Intuit has actively engaged in business development, acquiring substantially all assets of Eclipse, Inc. and Blue Ocean Software, Inc. during the reporting period. Concurrently, the company divested its Quicken Loans mortgage business.

Are there any key management changes?

Yes, Greg J. Santora, Senior Vice President and Chief Financial Officer, has announced his retirement from Intuit at the end of the calendar year 2002. He will continue in his role until his departure.

INTU 10-Q Quarterly Report Q1 FY2003 — Revenue, Net Income, EPS

Summary

This 10-Q filing for Intuit Inc. as of October 30, 2002, primarily addresses legal proceedings and recent corporate activities. The company is involved in several class-action lawsuits related to alleged privacy violations concerning customer data from its Quicken.com website. While an agreement in principle has been reached to resolve most of these cases on terms not material to Intuit, the company acknowledges the inherent risks and potential financial and operational impacts of litigation, regardless of the outcome. Investors should note that Intuit believes the ultimate liability from these and other routine legal proceedings will not materially affect its financial position, operations, or liquidity, though this is subject to the uncertainty of legal outcomes. Beyond legal matters, Intuit has been active on the corporate front. The filing details several Form 8-K filings reporting significant events during the first quarter of fiscal 2003. These include the acquisition of substantially all assets of Eclipse, Inc., and Blue Ocean Software, Inc. Conversely, Intuit completed the sale of its Quicken Loans mortgage business. The report also notes a significant management change, with the CFO, Greg J. Santora, announcing his retirement at the end of the calendar year. Investors should monitor the integration of acquired businesses and the transition in financial leadership.

Key Highlights

1Intuit has reached an agreement in principle to resolve privacy-related class-action lawsuits on terms not material to the company.
2The company believes that the ultimate liability from all pending litigation will not materially affect its financial position, results of operations, or liquidity.
3Intuit completed the acquisition of substantially all assets of Eclipse, Inc. on August 1, 2002.
4The sale of Intuit's Quicken Loans mortgage business to BRFC LLC was completed on August 15, 2002.
5Intuit acquired Blue Ocean Software, Inc. on September 24, 2002.
6The Senior Vice President and Chief Financial Officer, Greg J. Santora, announced his retirement effective at the end of the calendar year.
7Statements under oath regarding Exchange Act filings were submitted by management, covering fiscal year 2001 and 2002 reports.

INTUIT INC. Quarterly Report for Q1 Ended Oct 31, 2002

Summary

Key Highlights

Frequently Asked Questions