VeriSign, Inc.

Verisign to Present at the J.P. Morgan Global Technology, Media and Telecom Conference

Tue, 07 May 2013 20:05:00 GMT

RESTON, VA--(Marketwired - May 7, 2013) - VeriSign, Inc. (NASDAQ: VRSN), the global leader in domain names, today announced that Jim Bidzos, executive chairman, president and chief executive officer, and George Kilguss III, senior vice president and chief financial officer, will speak at the J.P. Morgan Global Technology, Media and Telecom Conference in Boston, Massachusetts, on Tuesday, May 14, at 10:00 a.m. EDT. During the discussion, recent company performance and business initiatives will be highlighted. It will be possible to listen to the discussion via live audio webcast at http://investor.verisign.com. A replay of the webcast will also be available at http://investor.verisign.com after the event for a limited period of time.

About Verisign
As the global leader in domain names, Verisign powers the invisible navigation that takes people to where they want to go on the Internet. For more than 15 years, Verisign has operated the infrastructure for a portfolio of top-level domains that today include .com, .net, .tv, .edu, .gov, .jobs, .name and .cc, as well as two of the world's 13 Internet root servers. Verisign's product suite also includes Distributed Denial of Service (DDoS) Protection Services, iDefense Security Intelligence Services and Managed DNS.

VRSNF

©2013 VeriSign, Inc. All rights reserved. VERISIGN, the VERISIGN logo, and other trademarks, service marks, and designs are registered or unregistered trademarks of VeriSign, Inc. and its subsidiaries in the United States and in foreign countries. All other trademarks are property of their respective owners.

Verisign Reports 15 Percent Year-Over-Year Revenue Growth in First Quarter 2013

Thu, 25 Apr 2013 20:05:00 GMT

RESTON, VA--(Marketwired - Apr 25, 2013) - VeriSign, Inc. (NASDAQ: VRSN), the global leader in domain names, today reported financial results for the first quarter ended March 31, 2013.

First Quarter GAAP Financial Results
VeriSign, Inc., and subsidiaries ("Verisign") reported revenue of $236 million for the first quarter of 2013, up 15 percent from the same quarter in 2012. Verisign reported net income of $85 million and diluted earnings per share (EPS) of $0.52 for the first quarter of 2013, compared to net income of $68 million and diluted EPS of $0.42 in the same quarter in 2012. The operating margin was 56.4 percent for the first quarter of 2013 compared to 48.1 percent for the same quarter in 2012.

First Quarter Non-GAAP Financial Results
Verisign reported, on a non-GAAP basis, net income of $94 million and diluted EPS of $0.58 for the first quarter of 2013, compared to net income of $68 million and diluted EPS of $0.42 for the same quarter in 2012. The non-GAAP operating margin was 59.6 percent for the first quarter of 2013 compared to 51.9 percent for the same quarter in 2012. A table reconciling the GAAP to the non-GAAP results (which excludes items described below) is appended to this release.

"The first quarter demonstrates our continued focus and discipline in the execution of our strategic framework," commented Jim Bidzos, executive chairman, president and chief executive officer.

"We are pleased with the successful completion of our $750 million senior unsecured notes offering," stated George Kilguss III, senior vice president and chief financial officer.

Financial Highlights

On April 16, 2013, Verisign issued $750 million of 4.625% Senior Notes due May 2023. Verisign used a portion of the proceeds from the offering to repay the $100 million in outstanding indebtedness under its existing revolving credit facility and intends to use the remaining amount for general corporate purposes, including, but not limited to, the repurchase of shares under its share repurchase program.
Verisign ended the first quarter with Cash, Cash Equivalents, Marketable Securities and Restricted Cash of $1.57 billion, an increase of $9 million from year-end 2012.
Cash flow from operations was $151 million for the first quarter compared with $110 million for the same quarter in 2012.
Deferred revenues on March 31, 2013, totaled $847 million, an increase of $34 million from year-end 2012.
Capital expenditures were $17 million in the first quarter of 2013.
During the first quarter, Verisign repurchased approximately 3.0 million shares of its common stock for a cost of approximately $132 million. At March 31, 2013, approximately $844 million remained available and authorized under the current share repurchase program.
For purposes of calculating diluted EPS, the first quarter diluted share count included 7.9 million shares related to the subordinated convertible debentures, compared with 2.5 million shares in the same quarter in 2012. These represent diluted shares and not shares that have been issued.
Due to the stock price exceeding the subordinated convertible debentures trigger price during the first quarter of 2013, holders have the option to convert the debentures into common stock during the second quarter of 2013. Consequently, the debt component of the subordinated convertible debentures, the related embedded derivative, and deferred tax liability were reclassified from long-term liabilities to current liabilities, while the associated unamortized debt issuance costs were reclassified from long-term assets to current assets, as of March 31, 2013.

Business Highlights

Verisign Registry Services added 1.99 million net new names and ended the first quarter with 123.1 million active domain names in the zone for .com and .net, representing a 5.5 percent increase year over year.
In the first quarter, Verisign processed 8.8 million new domain name registrations as compared to 8.9 million for the same quarter a year prior.

Non-GAAP Items
Non-GAAP financial results exclude the following items that are included under GAAP: discontinued operations, stock-based compensation, amortization of other intangible assets, impairments of goodwill and other intangible assets, restructuring charges, contingent interest payments to holders of the subordinated convertible debentures, unrealized gain/loss on contingent interest derivative on subordinated convertible debentures, and non-cash interest expense. Non-GAAP financial information is also adjusted for a 28 percent tax rate starting from the third quarter of 2012, and 30 percent for the other periods presented herein, both of which differ from the GAAP tax rate. A table reconciling the GAAP to non-GAAP operating income and net income is appended to this release.

Today's Conference Call
Verisign will host a live conference call today at 4:30 p.m. (EDT) to review the first quarter 2013 results. The call will be accessible by direct dial at (888) 676-VRSN (U.S.) or (913) 981-5593 (international), conference ID 8794577. A listen-only live web cast and accompanying slide presentation of the first quarter 2013 earnings conference call will also be available at http://investor.verisign.com. An audio archive of the call will be available at https://investor.verisign.com/events.cfm. This news release and the financial information discussed on today's conference call are available at http://investor.verisign.com.

VRSNF

Statements in this announcement other than historical data and information constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 as amended and Section 21E of the Securities Exchange Act of 1934 as amended. These statements involve risks and uncertainties that could cause our actual results to differ materially from those stated or implied by such forward-looking statements. The potential risks and uncertainties include, among others, the uncertainty of whether the U.S. Department of Commerce will approve any exercise by us of our right to increase the price per .com domain name, under certain circumstances, the uncertainty of whether we will be able to demonstrate to the U.S. Department of Commerce that market conditions warrant removal of the pricing restrictions on .com domain names and the uncertainty of whether we will experience other negative changes to our pricing terms; the failure to renew key agreements on similar terms, or at all; the uncertainty of future revenue and profitability and potential fluctuations in quarterly operating results due to such factors as restrictions on increasing prices under the .com Registry Agreement, increasing competition, pricing pressure from competing services offered at prices below our prices and changes in marketing and advertising practices, including those of third-party registrars; changes in search engine algorithms and advertising payment practices; challenging global economic conditions; challenges to ongoing privatization of Internet administration; the outcome of legal or other challenges resulting from our activities or the activities of registrars or registrants, or litigation generally; new or existing governmental laws and regulations; changes in customer behavior, Internet platforms and web-browsing patterns; the uncertainty of whether we will successfully develop and market new services; the uncertainty of whether our new services will achieve market acceptance or result in any revenues; system interruptions; security breaches; attacks on the Internet by hackers, viruses, or intentional acts of vandalism; whether we will be able to continue to expand our infrastructure to meet demand; the uncertainty of the expense and timing of requests for indemnification, if any, relating to completed divestitures; and the impact of the introduction of new gTLDs, any delays in their introduction and whether our gTLD applications or the applicants' gTLD applications for which we have contracted to provide back-end registry services will be successful. More information about potential factors that could affect the our business and financial results is included in our filings with the SEC, including in our Annual Report on Form 10-K for the year ended Dec. 31, 2012, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. Verisign undertakes no obligation to update any of the forward-looking statements after the date of this announcement.



VERISIGN, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands, except par value)
(Unaudited)

			March 31, 2013			December 31, 2012
ASSETS
Current assets:
	Cash and cash equivalents		$	78,620		$	130,736
	Marketable securities			1,483,827			1,425,700
	Accounts receivable, net			13,617			11,477
	Deferred tax assets			286			44,756
	Prepaid expenses and other current assets			38,849			30,795
		Total current assets		1,615,199			1,643,464
Property and equipment, net				333,183			333,861
Goodwill				52,527			52,527
Long-term deferred tax assets				52,793			7,299
Other long-term assets				17,411			25,325
		Total long-term assets		455,914			419,012
		Total assets	$	2,071,113		$	2,062,476
LIABILITIES AND STOCKHOLDERS' DEFICIT
Current liabilities:
	Accounts payable and accrued liabilities		$	119,986		$	130,391
	Subordinated convertible debentures, including contingent interest derivative			606,142			-
	Deferred revenues			591,356			564,627
	Deferred tax liabilities			388,923			-
		Total current liabilities		1,706,407			695,018
Long-term deferred revenues				255,438			247,955
Subordinated convertible debentures, including contingent interest derivative				-			597,614
Long-term debt				100,000			100,000
Long-term deferred tax liabilities				3,657			386,914
Other long-term tax liabilities				44,747			44,298
		Total long-term liabilities		403,842			1,376,781
		Total liabilities		2,110,249			2,071,799
Commitments and contingencies
Stockholders' deficit:
	Preferred stock-par value $.001 per share; Authorized shares: 5,000; Issued and outstanding shares: none			-			-
	Common stock-par value $.001 per share; Authorized shares: 1,000,000; Issued shares: 319,745 at March 31, 2013 and 318,722 at December 31, 2012; Outstanding shares: 151,185 at March 31, 2013 and 153,392 at December 31, 2012			320			319
	Additional paid-in capital			19,777,251			19,891,291
	Accumulated deficit			(19,816,032	)		(19,900,545	)
	Accumulated other comprehensive loss			(675	)		(388	)
		Total stockholders' deficit		(39,136	)		(9,323	)
		Total liabilities and stockholders' deficit	$	2,071,113		$	2,062,476

VERISIGN, INC.
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(In thousands, except per share data)
(Unaudited)

			Three Months Ended March 31,
			2013			2012
Revenues			$	236,447		$	205,726
Costs and expenses:
	Cost of revenues			47,254			41,256
	Sales and marketing			18,104			27,815
	Research and development			18,176			14,765
	General and administrative			19,649			23,508
	Restructuring charges			-			(548	)
		Total costs and expenses		103,183			106,796
Operating income				133,264			98,930
Interest expense				(12,596	)		(12,340	)
Non-operating (loss) income, net				(5,777	)		807
Income from continuing operations before income taxes				114,891			87,397
Income tax expense				(30,378	)		(21,292	)
Income from continuing operations, net of tax				84,513			66,105
Income from discontinued operations, net of tax				-			1,904
Net income				84,513			68,009
	Unrealized loss on investments, net of tax			(267	)		(5	)
	Realized gain on investments, net of tax, included in net income			(20	)		(5	)
Other comprehensive loss				(287	)		(10	)
Comprehensive income			$	84,226		$	67,999

Basic income per share:
	Continuing operations		$	0.55		$	0.41
	Discontinued operations			-			0.02
	Net income		$	0.55		$	0.43
Diluted income per share:
	Continuing operations		$	0.52		$	0.41
	Discontinued operations			-			0.01
	Net income		$	0.52		$	0.42
Shares used to compute net income per share
	Basic			152,543			159,344
	Diluted			161,346			162,881

VERISIGN, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)
(Unaudited)

					Three Months Ended March 31,
					2013			2012
Cash flows from operating activities:
	Net income				$	84,513		$	68,009
	Adjustments to reconcile net income to net cash provided by operating activities:
		Depreciation of property and equipment and amortization of other intangible assets				15,118			12,741
		Stock-based compensation				7,594			8,130
		Excess tax benefit associated with stock-based compensation				(11,808	)		(3,567	)
		Deferred income taxes				4,787			10,560
		Other, net				10,742			1,006
		Changes in operating assets and liabilities
			Accounts receivable			(2,280	)		1,392
			Prepaid expenses and other assets			3,210			9,822
			Accounts payable and accrued liabilities			4,549			(52,534	)
			Deferred revenues			34,212			54,719
				Net cash provided by operating activities		150,637			110,278
Cash flows from investing activities:
	Proceeds from maturities and sales of marketable securities					706,244			5,060
	Purchases of marketable securities					(764,268	)		(5,082	)
	Purchases of property and equipment					(17,115	)		(12,917	)
	Other investing activities					(3,426	)		-
				Net cash used in investing activities		(78,565	)		(12,939	)
Cash flows from financing activities:
	Proceeds from issuance of common stock from option exercises and employee stock purchase plans					8,733			11,390
	Repurchases of common stock					(142,892	)		(75,149	)
	Excess tax benefit associated with stock-based compensation					11,808			3,567
	Other financing activities					-			189
				Net cash used in financing activities		(122,351	)		(60,003	)
Effect of exchange rate changes on cash and cash equivalents						(1,837	)		2,355
Net (decrease) increase in cash and cash equivalents						(52,116	)		39,691
Cash and cash equivalents at beginning of period						130,736			1,313,349
Cash and cash equivalents at end of period					$	78,620		$	1,353,040
Supplemental cash flow disclosures:
	Cash paid for interest, net of capitalized interest				$	20,393		$	20,036
	Cash paid for income taxes, net of refunds received				$	729		$	13,186

VERISIGN, INC.
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
(In thousands, except per share data)
(Unaudited)

			Three Months Ended						Three Months Ended
			March 31, 2013						March 31, 2012
			Operating Income			Net Income			Operating Income			Net Income
GAAP as reported			$	133,264		$	84,513		$	98,930		$	68,009
	Discontinued operations												(1,904	)
	Adjustments:
		Stock-based compensation		7,594			7,594			8,130			8,130
		Amortization of other intangible assets		-			-			323			323
		Restructuring charges		-			-			(548	)		(548	)
		Unrealized loss on contingent interest derivative on the subordinated convertible debentures					6,433						813
		Non-cash interest expense					1,914						1,620
	Tax adjustment						(6,255	)					(8,028	)
Non-GAAP			$	140,858		$	94,199		$	106,835		$	68,415

Revenues			$	236,447					$	205,726
Non-GAAP operating margin				59.6	%					51.9	%
Diluted shares							161,346						162,881
Per diluted share, non-GAAP						$	0.58					$	0.42

Verisign provides quarterly and annual financial statements that are prepared in accordance with generally accepted accounting principles (GAAP). Along with this information, we typically disclose and discuss certain non-GAAP financial information in our quarterly earnings release, on investor conference calls and during investor conferences and related events. This non-GAAP financial information does not include the following types of financial measures that are included in GAAP: discontinued operations, stock-based compensation, amortization of other intangible assets, impairments of goodwill and other intangible assets, restructuring charges, contingent interest payments to holders of the subordinated convertible debentures, unrealized gain/loss on contingent interest derivative on subordinated convertible debentures, and non-cash interest expense. Non-GAAP financial information is also adjusted for a 28 percent tax rate starting from the third quarter of 2012 and 30 percent for all other periods presented herein, both of which differ from the GAAP tax rate.

Management believes that this non-GAAP financial data supplements the GAAP financial data by providing investors with additional information that allows them to have a clearer picture of Verisign's operations. The presentation of this additional information is not meant to be considered in isolation nor as a substitute for results prepared in accordance with GAAP. We believe that the non-GAAP information enhances investors' overall understanding of our financial performance and the comparability of Verisign's operating results from period to period. Above, we have provided a reconciliation of the non-GAAP financial information that we provide each quarter with the comparable financial information reported in accordance with GAAP for the given period.


SUPPLEMENTAL FINANCIAL INFORMATION
	The following table presents the classification of stock-based compensation:

	Three Months Ended March 31,
	2013		2012
Cost of revenues	$	1,540	$	1,537
Sales and marketing		1,487		1,516
Research and development		1,895		1,242
General and administrative		2,672		3,835
Total stock-based compensation expense	$	7,594	$	8,130

VERISIGN, INC.

SUPPLEMENTARY FINANCIAL INFORMATION

(Unaudited)

Following the offering of the 4.625% Senior Notes due 2023 (the "Notes"), Verisign is disclosing its Adjusted EBITDA for the periods shown below. Adjusted EBITDA is a non-GAAP financial measure and is calculated in accordance with the terms of the indenture governing the Notes. Adjusted EBITDA refers to net income before interest, taxes, depreciation and amortization, stock-based compensation, unrealized loss (gain) on contingent interest derivative on the subordinated convertible debentures and unrealized loss (gain) on hedging agreements.

The following table reconciles GAAP net income to Adjusted EBITDA for the periods shown below (in thousands):


		Three Months Ended March 31,
		2013			2012
Net Income		$	84,513		$	68,009
	Interest expense		12,596			12,340
	Income tax expense		30,378			21,474
	Depreciation and amortization		15,118			12,741
	Stock-based compensation		7,594			8,130
	Unrealized loss on contingent interest derivative on the subordinated convertible debentures		6,433			813
	Unrealized gain on hedging agreements		(894	)		(274	)
Adjusted EBITDA		$	155,738		$	123,233

		Four Quarters Ended
		March 31, 2013
Net Income		$	336,535
	Interest expense		50,452
	Income tax expense		112,710
	Depreciation and amortization		57,195
	Stock-based compensation		32,826
	Unrealized loss on contingent interest derivative on the subordinated convertible debentures		5,198
	Unrealized gain on hedging agreements		(321	)
Adjusted EBITDA		$	594,595

Verisign's management believes that presenting Adjusted EBITDA enhances investors' overall understanding of Verisign's financial performance and the comparability of Verisign's operating results from period to period. However, Adjusted EBITDA has important limitations as an analytical tool. These limitations include, but are not limited to, the following:

Adjusted EBITDA does not reflect Verisign's cash expenditures, or future requirements, for capital expenditures or contractual commitments;
Adjusted EBITDA does not reflect changes in, or cash requirements for, Verisign's working capital needs;
Adjusted EBITDA does not reflect the significant interest expense, or the cash requirements necessary to service interest or principal payments, on Verisign's debts;
although depreciation and amortization are non-cash charges, the assets being depreciated and amortized will often have to be replaced in the future, and Adjusted EBITDA does not reflect any cash requirements for such replacements;
non-cash compensation is and will remain a key element of Verisign's overall long-term incentive compensation package, although Verisign excludes it as an expense when evaluating its ongoing operating performance for a particular period; and
other companies in our industry may calculate Adjusted EBITDA differently than Verisign does, limiting its usefulness as a comparative measure.

Because of these limitations, Adjusted EBITDA should not be considered in isolation or as a substitute for performance measures calculated in accordance with GAAP.

Verisign Announces Pricing of $750 Million Offering of Senior Unsecured Notes

Thu, 11 Apr 2013 21:20:00 GMT

RESTON, VA--(Marketwired - Apr 11, 2013) - VeriSign, Inc. ("Verisign") (NASDAQ: VRSN), today announced that it has priced an offering of $750 million aggregate principal amount of 4.625% senior unsecured notes due 2023 (the "Notes") which represents an increase in aggregate principal amount from the $600 million offering of notes previously announced. The Notes were offered and will be sold in a private placement to qualified institutional buyers in the United States pursuant to Rule 144A under the Securities Act of 1933, as amended (the "Securities Act"), and to non-U.S. persons in transactions outside the United States pursuant to Regulation S under the Securities Act. The offering is expected to close on April 16, 2013, subject to customary closing conditions.

The Notes will rank equally in right of payment to all of Verisign's existing and future senior unsecured debt. Interest will be payable semi-annually at a rate of 4.625% per year for the Notes. The Notes will mature on May 1, 2023.

Verisign intends to use the proceeds from the offering to repay in full the outstanding indebtedness under its existing revolving credit facility and the remaining amounts for general corporate purposes, including, but not limited to, the repurchase of shares under its share repurchase program.

The Notes have not been registered under the Securities Act or any state securities laws and may not be offered or sold in the United States or to, or for the benefit of, U.S. persons absent registration under, or an applicable exemption from, the registration requirements of the Securities Act and applicable state securities laws.

This announcement does not constitute an offer to sell or a solicitation of an offer to buy the Notes or any other security and shall not constitute an offer, solicitation or sale in any state or jurisdiction in which, or to any persons to whom, such an offer, solicitation or sale would be unlawful. Any offers of the Notes will be made only by means of a private offering memorandum.

VRSNF

Statements in this announcement other than historical data and information constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 as amended and Section 21E of the Securities Exchange Act of 1934 as amended. These statements involve risks and uncertainties that could cause Verisign's actual results to differ materially from those stated or implied by such forward-looking statements. The potential risks and uncertainties include, among others, the uncertainty of whether the U.S. Department of Commerce will approve any exercise by Verisign of its right to increase the price per .com domain name, under certain circumstances, the uncertainty of whether Verisign will be able to demonstrate to the U.S. Department of Commerce that market conditions warrant removal of the pricing restrictions on .com domain names and the uncertainty of whether Verisign will experience other negative changes to its pricing terms; the failure to renew key agreements on similar terms, or at all; the uncertainty of future revenue and profitability and potential fluctuations in quarterly operating results due to such factors as restrictions on increasing prices under the .com Registry Agreement, increasing competition, pricing pressure from competing services offered at prices below Verisign's prices and changes in marketing and advertising practices, including those of third-party registrars; changes in search engine algorithms and advertising payment practices; challenging global economic conditions; challenges to ongoing privatization of Internet administration; the outcome of legal or other challenges resulting from Verisign's activities or the activities of registrars or registrants, or litigation generally; new or existing governmental laws and regulations; changes in customer behavior, Internet platforms and web-browsing patterns; the uncertainty of whether Verisign will successfully develop and market new services; the uncertainty of whether Verisign's new services will achieve market acceptance or result in any revenues; system interruptions; security breaches; attacks on the Internet by hackers, viruses, or intentional acts of vandalism; whether Verisign will be able to continue to expand its infrastructure to meet demand; the uncertainty of the expense and timing of requests for indemnification, if any, relating to completed divestitures; and the impact of the introduction of new gTLDs, any delays in their introduction and whether Verisign's gTLD applications or the applicants' gTLD applications for which we have contracted to provide back-end registry services will be successful. More information about potential factors that could affect Verisign's business and financial results is included in Verisign's filings with the SEC, including in Verisign's Annual Report on Form 10-K for the year ended Dec. 31, 2012, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. Verisign undertakes no obligation to update any of the forward-looking statements after the date of this announcement.

Internet Grows to More Than 252 Million Domain Names in the Fourth Quarter of 2012

Mon, 08 Apr 2013 12:30:00 GMT

RESTON, VA--(Marketwired - Apr 8, 2013) - VeriSign, Inc. (NASDAQ: VRSN), the global leader in domain names, today announced more than six million domain names were added to the Internet in the fourth quarter of 2012, bringing the total number of registered domain names to more than 252 million worldwide across all top-level domains (TLDs) as of Dec. 31, 2012, according to the latest Domain Name Industry Brief.

The increase of 6.1 million domain names globally equates to a growth rate of 2.5 percent over the third quarter of 2012, and marks the eighth straight quarter with greater than 2 percent growth. Worldwide registrations have grown by 26.6 million, or 11.8 percent, year over year.

The .com and .net TLDs experienced aggregate growth in the fourth quarter of 2012, reaching a combined total of approximately 121.1 million domain names in the adjusted zone for .com and .net. This represents a 6.4 percent increase year over year. As of Dec. 31, 2012, the base of registered names in .com equaled 106.2 million names, while .net equaled 14.9 million names.

New .com and .net registrations totaled 8.0 million during the fourth quarter of 2012. In the fourth quarter of 2011, new .com and .net registrations totaled 7.9 million. The .com and .net renewal rate for the fourth quarter of 2012 was 72.9 percent, up slightly from 72.5 percent for the third quarter of 2012.

During the fourth quarter of 2012, Verisign's average daily Domain Name System (DNS) query load was 77 billion, across all TLDs operated by Verisign, with a peak of 123 billion. Compared to the previous quarter, the daily average increased 16 percent and the peak increased 20.4 percent. Year over year, the daily average increased 21.5 percent and the peak increased 5.3 percent.

The latest issue of the Domain Name Industry Brief also offers a high-level overview of the challenges and opportunities that Big Data presents companies of all sizes. "Big Data Can Pose Big Challenges, and Opportunities, for Organizations" also includes a synopsis of the data generated within the DNS, and how companies could use this data to inform business strategy and possibly improve network security.

Verisign publishes the Domain Name Industry Brief to provide Internet users throughout the world with statistical and analytical research and data on the domain name industry. Copies of the 2012 fourth quarter Domain Name Industry Brief, as well as previous reports, can be obtained at VerisignInc.com/DNIB.

VRSNF

Statements in this announcement other than historical data and information constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 as amended and Section 21E of the Securities Exchange Act of 1934 as amended. These statements involve risks and uncertainties that could cause Verisign's actual results to differ materially from those stated or implied by such forward-looking statements. The potential risks and uncertainties include, among others, the uncertainty of whether the U.S. Department of Commerce will approve any exercise by the Company of its right to increase the price per .com domain name, under certain circumstances, the uncertainty of whether the Company will be able to demonstrate to the U.S. Department of Commerce that market conditions warrant removal of the pricing restrictions on .com domain names and the uncertainty of whether we will experience other negative changes to our pricing terms;
the failure to renew key agreements on similar terms, or at all; the uncertainty of future revenue and profitability and potential fluctuations in quarterly operating results due to such factors as restrictions on increasing prices under the .com Registry Agreement, increasing competition, pricing pressure from competing services offered at prices below our prices and changes in marketing and advertising practices, including those of third-party registrars; changes in search engine algorithms and advertising payment practices; challenging global economic conditions; challenges to ongoing privatization of Internet administration; the outcome of legal or other challenges resulting from our activities or the activities of registrars or registrants, or litigation generally; new or existing governmental laws and regulations; changes in customer behavior, Internet platforms and web-browsing patterns; the uncertainty of whether Verisign will successfully develop and market new services; the uncertainty of whether our new services will achieve market acceptance or result in any revenues; system interruptions; security breaches; attacks on the Internet by hackers, viruses, or intentional acts of vandalism; whether Verisign will be able to continue to expand its infrastructure to meet demand; the uncertainty of the expense and timing of requests for indemnification, if any, relating to completed divestitures; and the impact of the introduction of new gTLDs, any delays in their introduction and whether our gTLD applications or the applicants' gTLD applications for which we have contracted to provide back-end registry services will be successful. More information about potential factors that could affect the Company's business and financial results is included in Verisign's filings with the Securities and Exchange Commission, including in the Company's Annual Report on Form 10-K for the year ended Dec. 31, 2012, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. Verisign undertakes no obligation to update any of the forward-looking statements after the date of this announcement.

Verisign Announces Proposed Offering of $600 Million of Senior Unsecured Notes

Mon, 08 Apr 2013 12:00:00 GMT

RESTON, VA--(Marketwired - Apr 8, 2013) - (NASDAQ: VRSN) VeriSign, Inc. ("Verisign" or the "Company") today announced a proposed offering of $600 million aggregate principal amount of senior unsecured notes due 2023 (the "Notes").

The timing, size and terms of the Notes are subject to market conditions and other factors. Verisign intends to use the proceeds from the offering to repay in full the outstanding indebtedness under its existing revolving credit facility and the remaining amounts for general corporate purposes, including, but not limited to, the repurchase of shares under its share repurchase program.

The Notes will be offered and sold in a private placement to qualified institutional buyers in the United States pursuant to Rule 144A under the Securities Act of 1933, as amended (the "Securities Act"), and to non-U.S. persons in transactions outside the United States pursuant to Regulation S under the Securities Act.

VRSNF
###

Statements in this announcement other than historical data and information constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 as amended and Section 21E of the Securities Exchange Act of 1934 as amended. These statements involve risks and uncertainties that could cause Verisign's actual results to differ materially from those stated or implied by such forward-looking statements. The potential risks and uncertainties include, among others, the uncertainty of whether the U.S. Department of Commerce will approve any exercise by the Company of its right to increase the price per .com domain name, under certain circumstances, the uncertainty of whether the Company will be able to demonstrate to the U.S. Department of Commerce that market conditions warrant removal of the pricing restrictions on .com domain names and the uncertainty of whether we will experience other negative changes to our pricing terms; the failure to renew key agreements on similar terms, or at all; the uncertainty of future revenue and profitability and potential fluctuations in quarterly operating results due to such factors as restrictions on increasing prices under the .com Registry Agreement, increasing competition, pricing pressure from competing services offered at prices below our prices and changes in marketing and advertising practices, including those of third-party registrars; changes in search engine algorithms and advertising payment practices; challenging global economic conditions; challenges to ongoing privatization of Internet administration; the outcome of legal or other challenges resulting from our activities or the activities of registrars or registrants, or litigation generally; new or existing governmental laws and regulations; changes in customer behavior, Internet platforms and web-browsing patterns; the uncertainty of whether Verisign will successfully develop and market new services; the uncertainty of whether our new services will achieve market acceptance or result in any revenues; system interruptions; security breaches; attacks on the Internet by hackers, viruses, or intentional acts of vandalism; whether Verisign will be able to continue to expand its infrastructure to meet demand; the uncertainty of the expense and timing of requests for indemnification, if any, relating to completed divestitures; and the impact of the introduction of new gTLDs, any delays in their introduction and whether our gTLD applications or the applicants' gTLD applications for which we have contracted to provide back-end registry services will be successful. More information about potential factors that could affect the Company's business and financial results is included in Verisign's filings with the SEC, including in the Company's Annual Report on Form 10-K for the year ended Dec. 31, 2012, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. Verisign undertakes no obligation to update any of the forward-looking statements after the date of this announcement.

Contacts
Investor Relations: David Atchley, datchley@verisign.com, 703-948-4643
Media Relations: Deana Alvy, dalvy@verisign.com, 703-948-4179

Verisign to Report First Quarter 2013 Financial Results

Mon, 01 Apr 2013 20:05:00 GMT

RESTON, VA--(Marketwire - Apr 1, 2013) - VeriSign, Inc. (NASDAQ: VRSN), the global leader in domain names, announced that its earnings call for the first quarter of 2013 will take place on Thursday, April 25, 2013, at 4:30 p.m. (EDT).

The first quarter 2013 earnings news release will be distributed to the wire services at approximately 4:05 p.m. (EDT) on Thursday, April 25, 2013, and will also be available directly from the company's website at http://investor.verisign.com.

Verisign will host a live teleconference call on April 25, 2013, at 4:30 p.m. (EDT), which will be accessible by direct dial at (888) 676-VRSN (US) or (913) 981-5593 (international). A listen-only live webcast of the first quarter 2013 earnings conference call will also be available at http://investor.verisign.com. An audio archive of the call will be available at https://investor.verisign.com/events.cfm.

About Verisign
As the global leader in domain names, Verisign powers the invisible navigation that takes people to where they want to go on the Internet. For more than 15 years, Verisign has operated the infrastructure for a portfolio of top-level domains that today include .com, .net, .tv .edu, .gov, .jobs, .name, and .cc, as well as two of the world's 13 Internet root servers. Verisign's product suite also includes Distributed Denial of Service (DDoS) Protection Services, iDefense Security Intelligence Services and Managed DNS. To learn more about what it means to be Powered by Verisign, please visit VerisignInc.com.

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Verisign Reports 13 Percent Year-Over-Year Revenue Growth in 2012

Thu, 24 Jan 2013 21:05:00 GMT

RESTON, VA--(Marketwire - Jan 24, 2013) - VeriSign, Inc. (NASDAQ: VRSN), the trusted provider of Internet infrastructure services for the networked world, announced financial results for the fourth quarter of 2012 and year ended Dec. 31, 2012.

Fourth Quarter GAAP Financial Results
VeriSign, Inc. and subsidiaries ("Verisign") reported revenue of $230 million for the fourth quarter of 2012, up 13 percent from the same quarter in 2011. Verisign reported net income of $106 million and diluted earnings per share (EPS) of $0.65 for the fourth quarter of 2012, compared to net income of $54 million and diluted EPS of $0.34 for the same quarter in 2011. The operating margin was 58.8 percent for the fourth quarter of 2012 compared to 45.6 percent for the same quarter in 2011. Results for the fourth quarter of 2012 included non-recurring pre-tax benefits of $13.6 million, split $5.8 million and $7.8 million between continuing operations and discontinued operations, respectively, primarily related to reimbursements of previously incurred litigation and defense costs, received upon settlement with the selling shareholders of a previously acquired business. Additionally, results for the fourth quarter of 2012 include pre-tax benefits of $5.5 million related to a change in the estimated bonus payout. Together these items increased the operating margin by 4.9 percent and diluted EPS by $0.07. Results for the fourth quarter of 2011 included a pre-tax, $4 million non-operating accrued expense, which was non-recurring in nature and which reduced diluted EPS by $0.02.

Fourth Quarter Non-GAAP Financial Results
Verisign reported, on a non-GAAP basis, net income of $96 million and diluted EPS of $0.59 for the fourth quarter of 2012, compared to net income of $64 million and diluted EPS of $0.40 for the same quarter in 2011. The non-GAAP operating margin was 62.0 percent for the fourth quarter of 2012 compared to 50.9 percent for the same quarter in 2011. Non-GAAP results for the fourth quarter of 2012 included non-recurring pre-tax benefits of $5.8 million recorded in continuing operations, primarily related to reimbursements of previously incurred litigation and defense costs, received upon settlement with the selling shareholders of a previously acquired business. Additionally, the non-GAAP results for the fourth quarter of 2012 include pre-tax benefits of $5.5 million related to a change in the estimated bonus payout. Together these items increased the operating margin by 4.9 percent and diluted EPS by $0.05. Results for the fourth quarter of 2011 included a pre-tax, $4 million non-operating accrued expense, which was non-recurring in nature and which reduced diluted EPS by $0.02. A table reconciling the GAAP to the non-GAAP results (which excludes items described below) is appended to this release.

"In 2012, Verisign marked 15 years of uninterrupted availability for .com and .net and we renewed the .com Registry Agreement for an additional six years. Our performance continues to demonstrate discipline and operational focus. In 2013, we will continue to seek quality growth, while protecting and managing our business," said Jim Bidzos, chairman and chief executive officer of Verisign.

2012 GAAP Financial Results
For the year ended Dec. 31, 2012, Verisign reported revenue of $874 million, up 13 percent from $772 million in 2011. Verisign reported net income of $320 million and diluted EPS of $1.95 in 2012, compared to net income of $143 million and diluted EPS of $0.86 in 2011. The operating margin for 2012 was 52.4 percent compared to 42.7 percent in 2011.

2012 Non-GAAP Financial Results
Verisign reported, on a non-GAAP basis, net income of $322 million and diluted EPS of $1.97 for 2012, compared to net income of $249 million and diluted EPS of $1.49 in 2011. The non-GAAP operating margin for 2012 was 56.2 percent compared to 49.7 percent in 2011. A table reconciling the GAAP to the non-GAAP results (which excludes items described below) is appended to this release.

Financial Highlights

Verisign ended the fourth quarter of 2012 with Cash, Cash Equivalents, Marketable Securities and Restricted Cash of $1.56 billion, an increase of $211 million from year-end 2011.
Cash flow from operations was $171 million for the fourth quarter of 2012 and $538 million for the full year 2012, compared with $124 million for the same quarter in 2011 and $336 million for the full year 2011.
Deferred revenues ended the fourth quarter of 2012 totaling $813 million, an increase of $84 million from year-end 2011.
Capital expenditures were $13 million in the fourth quarter and $53 million for the full year.
During the fourth quarter, Verisign repurchased approximately 2.3 million shares of its common stock for a cost of $94 million. During the full year 2012, Verisign repurchased approximately 7.7 million shares of its common stock for a cost of $315 million. On Dec. 5, 2012, the Board of Directors authorized the repurchase of up to approximately $458.8 million of our common stock, in addition to the approximately $541.2 million of our common stock remaining available for repurchase under the previous 2010 Share Buyback Program, for a total repurchase of up to $1.0 billion of Verisign common stock. At Dec. 31, 2012, approximately $976 million remained available and authorized for share repurchases.
For purposes of calculating diluted EPS, the fourth quarter diluted share count included 6.4 million shares related to the convertible debentures. These represent dilutive shares and not shares that have been issued. There was no dilution from the convertible debentures in the same quarter of 2011.
Due to the stock price not exceeding the convertible debentures trigger during the fourth quarter of 2012, the debentures are no longer convertible starting Jan. 1, 2013. Consequently, the debt component of the convertible debentures, the related embedded derivative, and deferred tax liability were reclassified from current liabilities to long-term liabilities, while the associated unamortized debt issuance costs were reclassified from current assets to long-term assets, as of Dec. 31, 2012.

Business and Corporate Highlights

Verisign Registry Services added 1.25 million net new names and ended the fourth quarter with 121.1 million active domain names in the zone for .com and .net, representing a 6.4 percent increase year over year.
Verisign processed 8.0 million and 33.1 million new domain name registrations for .com and .net, representing 0.9 percent and 3.0 percent increase year over year, in the fourth quarter and full year 2012 periods, respectively.
On Nov. 30, 2012, Verisign announced that the U.S. Department of Commerce approved the renewal of Verisign's revised agreement, on the terms described in that announcement, with the Internet Corporation for Assigned Names and Numbers (ICANN), to serve as the authoritative registry operator for the .com registry for the term commencing on Dec. 1, 2012 through Nov. 30, 2018.
On Dec. 19, 2012, Verisign announced that as of July 1, 2013, the registry fee for .net domain names will increase from $5.11 to $5.62.

Non-GAAP Items
Non-GAAP financial results exclude the following items that are included under GAAP: Discontinued operations, stock-based compensation, amortization of other intangible assets, impairments of goodwill and other intangible assets, restructuring charges, contingent interest payments to holders of our Convertible Debentures, unrealized gain/loss on contingent interest derivative on Convertible Debentures, and non-cash interest expense. Non-GAAP financial information is also adjusted for a 28 percent tax rate starting from the third quarter of 2012, and 30 percent for the other periods presented herein, both of which differ from the GAAP tax rate. A table reconciling the GAAP to non-GAAP operating income and net income is appended to this release.

Today's Conference Call
Verisign will host a live conference call today at 4:30 p.m. (EST) to review the fourth quarter and full year 2012 results. The call will be accessible by direct dial at (888) 676-VRSN (U.S.) or (913) 312-0637 (international). A listen-only live web cast and accompanying slide presentation of the fourth quarter and full year 2012 earnings conference call will also be available at http://investor.verisign.com. A replay of this call will be available at (888) 203-1112 or (719) 457-0820 (passcode: 1285042) beginning at 8:00 p.m. (EST) on Jan. 24, 2012, and will run through Feb. 1, 2012, at 7:00 p.m. (EST). An audio archive of the call will be available at https://investor.verisign.com/events.cfm. This news release and the financial information discussed on today's conference call are available at http://investor.verisign.com.

About Verisign
VeriSign, Inc. (NASDAQ: VRSN) is the trusted provider of Internet infrastructure services for the networked world. Billions of times each day, Verisign helps companies and consumers all over the world connect between the dots. Additional news and information about the company is available at www.verisigninc.com.

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Statements in this announcement other than historical data and information constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 as amended and Section 21E of the Securities Exchange Act of 1934 as amended. These statements involve risks and uncertainties that could cause Verisign's actual results to differ materially from those stated or implied by such forward-looking statements. The potential risks and uncertainties include, among others, the uncertainty of whether the Department of Commerce will approve any exercise by the Company of its right to increase the price per .com domain name, under certain circumstances, and whether the Company will be able to demonstrate to the Department of Commerce that market conditions warrant removal of the pricing restrictions on .com domain names; the uncertainty of future revenue and profitability and potential fluctuations in quarterly operating results due to such factors as restrictions on increasing prices under the 2012 .com Registry Agreement, increasing competition, pricing pressure from competing services offered at prices below our prices and changes in marketing and advertising practices, including those of third-party registrars; changes in search engine algorithms and advertising payment practices; challenging global economic conditions; challenges to ongoing privatization of Internet administration; the outcome of legal or other challenges resulting from our activities or the activities of registrars or registrants, or litigation generally; new or existing governmental laws and regulations; changes in customer behavior, Internet platforms and web-browsing patterns; the uncertainty of whether Verisign will successfully develop and market new services; the uncertainty of whether our new services will achieve market acceptance or result in any revenues; system interruptions; security breaches; attacks on the Internet by hackers, viruses, or intentional acts of vandalism; whether Verisign will be able to continue to expand its infrastructure to meet demand; the uncertainty of the expense and timing of requests for indemnification, if any, relating to completed divestitures; and the impact of the introduction of new gTLDs, any delays in their introduction and whether our gTLD applications or the applicants' gTLD applications for which we have contracted to provide back-end registry services will be successful. More information about potential factors that could affect the Company's business and financial results is included in Verisign's filings with the Securities and Exchange Commission, including in the Company's Annual Report on Form 10-K for the year ended December 31, 2011, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. Verisign undertakes no obligation to update any of the forward-looking statements after the date of this announcement.


VERISIGN, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands, except par value)
(Unaudited)

			December 31, 2012			December 31, 2011
ASSETS
Current assets:
	Cash and cash equivalents		$	130,736		$	1,313,349
	Marketable securities			1,425,700			32,860
	Accounts receivable, net			11,477			14,974
	Deferred tax assets			82,812			64,751
	Prepaid expenses and other current assets			30,795			21,847
		Total current assets		1,681,520			1,447,781
Property and equipment, net				333,861			327,136
Goodwill and other intangible assets, net				52,527			53,848
Long-term deferred tax assets				7,299			2,758
Other long-term assets				25,325			24,656
		Total long-term assets		419,012			408,398
		Total assets	$	2,100,532		$	1,856,179
LIABILITIES AND STOCKHOLDERS' DEFICIT
Current liabilities:
	Accounts payable and accrued liabilities		$	130,391		$	156,385
	Deferred revenues			564,627			502,538
		Total current liabilities		695,018			658,923
Long-term deferred revenues				247,955			226,033
Convertible debentures, including contingent interest derivative				597,614			590,086
Long-term debt				100,000			100,000
Long-term deferred tax liabilities				424,970			325,527
Other long-term tax liabilities				44,298			43,717
		Total long-term liabilities		1,414,837			1,285,363
		Total liabilities		2,109,855			1,944,286
Commitments and contingencies
Stockholders' deficit:
	Preferred stock--par value $.001 per share; Authorized shares: 5,000; Issued and outstanding shares: none			--			--
	Common stock--par value $.001 per share; Authorized shares: 1,000,000; Issued shares: 318,722 at December 31, 2012 and 316,781 at December 31, 2011; Outstanding shares: 153,392 at December 31, 2012 and 159,422 at December 31, 2011			319			317
	Additional paid-in capital			19,891,291			20,135,237
	Accumulated deficit			(19,900,545	)		(20,220,577	)
	Accumulated other comprehensive loss			(388	)		(3,084	)
		Total stockholders' deficit		(9,323	)		(88,107	)
		Total liabilities and stockholders' deficit	$	2,100,532		$	1,856,179



VERISIGN, INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE INCOME
(In thousands, except per share data)
(Unaudited)

			Three Months Ended December 31,						Year Ended December 31,
			2012			2011			2012			2011
Revenues			$	230,196		$	203,646		$	873,592		$	771,978
Costs and expenses:
	Cost of revenues			42,040			42,016			167,600			165,246
	Sales and marketing			20,753			27,772			97,809			97,432
	Research and development			16,059			13,121			61,694			53,277
	General and administrative			16,024			24,512			89,927			111,122
	Restructuring charges			(35	)		3,352			(765	)		15,512
		Total costs and expenses		94,841			110,773			416,265			442,589
Operating income				135,355			92,873			457,327			329,389
Interest expense				(12,657	)		(11,859	)		(50,196	)		(147,332	)
Non-operating income, net				8,596			(3,688	)		5,564			11,530
Income from continuing operations before income taxes				131,294			77,326			412,695			193,587
Income tax expense				(30,205	)		(31,997	)		(100,210	)		(55,031	)
Income from continuing operations, net of tax				101,089			45,329			312,485			138,556
Income from discontinued operations, net of tax				4,552			8,485			7,547			4,335
Net income				105,641			53,814			320,032			142,891
	Foreign currency translation adjustments			--			112			--			110
	Increase (decrease) in unrealized gain on investments, net of tax			221			(15	)		2,757			688
	Realized (gain) loss on investments, net of tax, included in net income			(6	)		3			(61	)		(2,548	)
Other comprehensive income (loss)				215			100			2,696			(1,750	)
Comprehensive income			$	105,856		$	53,714		$	322,728		$	141,141

Basic income per share:
	Continuing operations		$	0.65		$	0.28		$	1.99		$	0.84
	Discontinued operations			0.03			0.06			0.05			0.03
	Net income		$	0.68		$	0.34		$	2.04		$	0.87
Diluted income per share:
	Continuing operations		$	0.62		$	0.28		$	1.91		$	0.83
	Discontinued operations			0.03			0.06			0.04			0.03
	Net income		$	0.65		$	0.34		$	1.95		$	0.86
Shares used to compute net income per share
	Basic			154,642			159,226			156,953			165,408
	Diluted			162,034			160,087			163,909			166,887



VERISIGN, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)
(Unaudited)

					Year Ended December 31,
					2012			2011
Cash flows from operating activities:
	Net income				$	320,032		$	142,891
	Adjustments to reconcile net income to net cash provided by operating activities:
		Depreciation of property and equipment and amortization of other intangible assets				54,819			55,706
		Stock-based compensation				33,362			43,272
		Excess tax benefit associated with stock-based compensation				(18,436	)		(13,420	)
		Other, net				10,981			12,965
		Changes in operating assets and liabilities
			Accounts receivable			3,327			(251	)
			Prepaid expenses and other assets			(31,946	)		11,043
			Accounts payable and accrued liabilities			81,480			18,162
			Deferred revenues			84,011			65,533
				Net cash provided by operating activities		537,630			335,901
Cash flows from investing activities:
	Proceeds from maturities and sales of marketable securities					1,234,156			546,006
	Purchases of marketable securities					(2,622,898	)		(78,975	)
	Purchases of property and equipment					(53,023	)		(192,660	)
	Other investing activities					(588	)		(1,129	)
				Net cash (used in) provided by investing activities		(1,442,353	)		273,242
Cash flows from financing activities:
	Proceeds from issuance of common stock from option exercises and employee stock purchase plans					29,303			49,983
	Repurchases of common stock					(325,680	)		(550,097	)
	Payment of dividends to stockholders					--			(463,498	)
	Excess tax benefit associated with stock-based compensation					18,436			13,420
	Proceeds received from borrowings					--			100,000
	Repayment of borrowings					--			(1,067	)
	Other financing activities					189			(939	)
				Net cash used in financing activities		(277,752	)		(852,198	)
Effect of exchange rate changes on cash and cash equivalents						(138	)		(3,224	)
Net decrease in cash and cash equivalents						(1,182,613	)		(246,279	)
Cash and cash equivalents at beginning of period						1,313,349			1,559,628
Cash and cash equivalents at end of period					$	130,736		$	1,313,349
Supplemental cash flow disclosures:
	Cash paid for interest, net of capitalized interest				$	41,276		$	140,193
	Cash paid for income taxes, net of refunds received				$	19,436		$	6,567



VERISIGN, INC.
STATEMENTS OF OPERATIONS RECONCILIATION
(In thousands, except per share data)
(Unaudited)

			Three Months Ended						Three Months Ended
			December 31, 2012						December 31, 2011
			Operating Income			Net Income			Operating Income			Net Income
GAAP as reported			$	135,355		$	105,641		$	92,873		$	53,814
	Discontinued operations						(4,552	)					(8,485	)
	Adjustments:
		Stock-based compensation		6,971			6,971			7,165			7,165
		Amortization of other intangible assets		533			533			325			325
		Restructuring charges		(35	)		(35	)		3,352			3,352
		Unrealized (gain)loss on contingent interest derivative on Convertible Debentures					(7,549	)					1,625
		Non-cash interest expense					1,961						1,555
	Tax adjustment						(7,085	)					4,593
Non-GAAP as adjusted			$	142,824		$	95,885		$	103,715		$	63,944

Revenues			$	230,196					$	203,646
Non-GAAP operating margin				62.0	%					50.9	%
Diluted shares							162,034						160,087
Per diluted share, non-GAAP as adjusted						$	0.59					$	0.40

Verisign provides quarterly and annual financial statements that are prepared in accordance with generally accepted accounting principles (GAAP). Along with this information, we typically disclose and discuss certain non-GAAP financial information in our quarterly earnings release, on investor conference calls and during investor conferences and related events. This non-GAAP financial information does not include the following types of financial measures that are included in GAAP: discontinued operations, stock-based compensation, amortization of other intangible assets, impairments of goodwill and other intangible assets, restructuring charges, contingent interest payments to holders of our Convertible Debentures, unrealized gain/loss on contingent interest derivative on Convertible Debentures, and non-cash interest expense. Non-GAAP financial information is also adjusted for a 28 percent tax rate starting from the third quarter of 2012 and 30 percent for all other periods presented herein, both of which differ from the GAAP tax rate.

Management believes that this non-GAAP financial data supplements our GAAP financial data by providing investors with additional information that allows them to have a clearer picture of the Company's operations. The presentation of this additional information is not meant to be considered in isolation nor as a substitute for results prepared in accordance with GAAP. We believe that the non-GAAP information enhances the investors' overall understanding of our financial performance and the comparability of the company's operating results from period to period. Above, we have provided a reconciliation of the non-GAAP financial information that we provide each quarter with the comparable financial information reported in accordance with GAAP for the given period.

SUPPLEMENTAL FINANCIAL INFORMATION
The following table presents the classification of stock-based compensation:


	Three Months Ended December 31,
	2012		2011
Cost of revenues	$	1,275	$	1,376
Sales and marketing		1,045		1,206
Research and development		1,832		961
General and administrative		2,819		3,622
Total stock-based compensation expense	$	6,971	$	7,165



VERISIGN, INC.
STATEMENTS OF OPERATIONS RECONCILIATION
(In thousands, except per share data)
(Unaudited)

			Year Ended						Year Ended
			December 31, 2012						December 31, 2011
			Operating Income			Net Income			Operating Income			Net Income

GAAP as reported			$	457,327		$	320,032		$	329,389		$	142,891
	Discontinued operations						(7,547	)					(4,335	)
	Adjustments:
		Stock-based compensation		33,362			33,362			37,571			37,571
		Amortization of other intangible assets		1,321			1,321			1,293			1,293
		Restructuring charges		(765	)		(765	)		15,512			15,512
		Contingent interest payment to holders of Convertible Debentures					--						100,020
		Unrealized (gain)loss on contingent interest derivative on Convertible Debentures					(422	)					1,125
		Non-cash interest expense					7,370						6,540
	Tax adjustment						(30,860	)					(51,663	)
Non-GAAP as adjusted			$	491,245		$	322,491		$	383,765		$	248,954

Revenues			$	873,592					$	771,978
Non-GAAP operating margin				56.2	%					49.7	%
Diluted shares							163,909						166,887
Per diluted share, non-GAAP as adjusted						$	1.97					$	1.49

Verisign provides quarterly and annual financial statements that are prepared in accordance with generally accepted accounting principles (GAAP). Along with this information, we typically disclose and discuss certain non-GAAP financial information in our quarterly earnings release, on investor conference calls and during investor conferences and related events. This non-GAAP financial information does not include the following types of financial measures that are included in GAAP: discontinued operations, stock-based compensation, amortization of other intangible assets, impairments of goodwill and other intangible assets, restructuring charges, contingent interest payments to holders of our Convertible Debentures, unrealized gain/loss on contingent interest derivative on Convertible Debentures, and non-cash interest expense. Non-GAAP financial information is also adjusted for a 28 percent tax rate starting from the third quarter of 2012 and 30 percent for all other periods presented herein, both of which differ from the GAAP tax rate.

SUPPLEMENTAL FINANCIAL INFORMATION
The following table presents the classification of stock-based compensation:


	Year Ended December 31,
	2012		2011
Cost of revenues	$	5,754	$	6,655
Sales and marketing		6,091		6,062
Research and development		6,023		4,926
General and administrative		15,494		19,928
Restructuring charges		--		5,701
Total stock-based compensation expense	$	33,362	$	43,272

Verisign to Report Fourth Quarter and Full Year 2012 Financial Results

Wed, 02 Jan 2013 21:05:00 GMT

RESTON, VA--(Marketwire - Jan 2, 2013) - VeriSign, Inc. (NASDAQ: VRSN), the trusted provider of Internet infrastructure services for the networked world, today announced that its earnings call for the fourth quarter and full year 2012 will take place on Thursday, Jan. 24, 2013, at 4:30 p.m. (EST).

The fourth quarter and full year 2012 earnings news release will be distributed to the wire services at approximately 4:05 p.m. (EST) on Thursday, Jan. 24, 2013, and will also be available directly from the company's website at http://investor.verisign.com.

Verisign will host a live conference call on Jan. 24, 2013, at 4:30 p.m. (EST), which will be accessible by direct dial at (888) 676-VRSN (U.S.) or (913) 312-0637 (international). A listen-only live webcast of the fourth quarter and full year 2012 earnings conference call will also be available at http://investor.verisign.com. A replay of this call will be available at (888) 203-1112 or (719) 457-0820 (passcode: 1285042) beginning at 8:00 p.m. (EST) on Jan. 24, 2013, and will run through Feb. 1, 2013, at 7:00 p.m. (EST). An audio archive of the call will be available at https://investor.verisign.com/events.cfm.

About VeriSign
VeriSign, Inc. (NASDAQ: VRSN) is the trusted provider of Internet infrastructure services for the networked world. Billions of times each day, Verisign helps companies and consumers all over the world connect between the dots. Additional news and information about the company is available at www.verisigninc.com.

VRSNF

Internet Grows to More Than 246 Million Domain Names in the Third Quarter of 2012

Thu, 20 Dec 2012 21:05:00 GMT

RESTON, VA--(Marketwire - Dec 20, 2012) - More than five million domain names were added to the Internet in the third quarter of 2012, bringing the total number of registered domain names as of Sept. 30, 2012, to more than 246 million worldwide across all Top-Level Domains, according to the latest Domain Name Industry Brief, published by VeriSign, Inc. (NASDAQ: VRSN), the trusted provider of Internet infrastructure services for the networked world.

The increase of 5.7 million domain names globally equates to a growth rate of 2.4 percent over the second quarter of 2012, and marks the seventh straight quarter with greater than 2 percent growth. Worldwide registrations have grown by 26.4 million, or 12 percent, since the third quarter of 2011.

The .com and .net Top-Level Domains (TLDs) experienced aggregate growth in the third quarter of 2012, reaching a combined total of approximately 119.9 million domain names in the adjusted zone for .com and .net. This represents a 1 percent increase in the base over the second quarter of 2012 and a 7.1 percent increase over the third quarter of 2011. As of Sept. 30, 2012, the base of registered names in .com equaled 105 million names, while .net equaled 14.9 million names.

New .com and .net registrations totaled 7.8 million during the third quarter of 2012. This is a 1.1 percent year-over-year decrease in new registrations. The .com/.net renewal rate for the third quarter of 2012 was 72.5 percent, slightly down from 72.9 percent for the second quarter of 2012.

Verisign's average daily Domain Name System (DNS) query load during the third quarter of 2012 was 67 billion with a peak of 102 billion. Compared to the previous quarter, the daily average decreased 1.3 percent and the peak increased 14.1 percent.

The latest issue of the Domain Name Industry Brief also offers advice for blocking distributed denial of service (DDoS) attacks before they reach an enterprise's network or application. "Combating DDoS Attacks in the Cloud" highlights key strategies for companies to consider when creating an informed DDoS mitigation plan to help better protect their assets.

Verisign publishes the Domain Name Industry Brief to provide Internet users throughout the world with statistical and analytical research and data on the domain name industry. Copies of the 2012 third quarter Domain Name Industry Brief, as well as previous reports, can be obtained at www.VerisignInc.com/DNIB.

VRSNF

Statements in this announcement other than historical data and information constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 as amended and Section 21E of the Securities Exchange Act of 1934 as amended. These statements involve risks and uncertainties that could cause Verisign's actual results to differ materially from those stated or implied by such forward-looking statements. The potential risks and uncertainties include, among others, the uncertainty of whether the Company will be able to exercise its right, under certain circumstances, to increase the price per domain name registration, whether the Department of Commerce will approve any exercise by the Company of the right and whether the Company will be able to demonstrate to the Department of Commerce that market conditions warrant removal of the pricing restrictions; the uncertainty of future revenue and profitability and potential fluctuations in quarterly operating results due to such factors as restrictions on increasing prices under the 2012 .com Registry Agreement, increasing competition, pricing pressure from competing services offered at prices below our prices and changes in marketing and advertising practices, including those of third-party registrars; changes in search engine algorithms and advertising payment practices; challenging global economic conditions; challenges to ongoing privatization of Internet administration; the outcome of legal or other challenges resulting from our activities or the activities of registrars or registrants, or litigation generally; new or existing governmental laws and regulations; changes in customer behavior, Internet platforms and web-browsing patterns; the uncertainty of whether Verisign will successfully develop and market new services; the uncertainty of whether our new services will achieve market acceptance or result in any revenues; system interruptions; security breaches; attacks on the Internet by hackers, viruses, or intentional acts of vandalism; whether Verisign will be able to continue to expand its infrastructure to meet demand; the uncertainty of the expense and timing of requests for indemnification, if any, relating to completed divestitures; and the impact of the introduction of new gTLDs, any delays in their introduction and whether our gTLD applications or the applicants' gTLD applications for which we have contracted to provide back-end registry services will be successful. More information about potential factors that could affect the Company's business and financial results is included in Verisign's filings with the Securities and Exchange Commission, including in the Company's Annual Report on Form 10-K for the year ended December 31, 2011, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. Verisign undertakes no obligation to update any of the forward-looking statements after the date of this announcement.

©2012 VeriSign, Inc. All rights reserved. VERISIGN, the VERISIGN logo, and other trademarks, service marks, and designs are registered or unregistered trademarks of VeriSign, Inc. and its subsidiaries in the United States and in foreign countries. All other trademarks are property of their respective owners.

Verisign Announces Increase in .Net Registry Fee

Wed, 19 Dec 2012 21:05:00 GMT

RESTON, VA--(Marketwire - Dec 19, 2012) - VeriSign, Inc. (NASDAQ: VRSN), the trusted provider of Internet infrastructure services for the networked world, today announced, effective July 1, 2013, an increase in the registry domain name fee for .net top-level domain names, per its agreement with the Internet Corporation for Assigned Names and Numbers (ICANN).

As of July 1, 2013, the registry fee for .net will increase from $5.11 to $5.62.

VRSNF

Statements in this announcement other than historical data and information constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 as amended and Section 21E of the Securities Exchange Act of 1934 as amended. These statements involve risks and uncertainties that could cause Verisign's actual results to differ materially from those stated or implied by such forward-looking statements. The potential risks and uncertainties include, among others, the uncertainty of whether the Company will be able to exercise its right, under certain circumstances, to increase the price per domain name registration, whether the Department of Commerce will approve any exercise by the Company of the right and whether the Company will be able to demonstrate to the Department of Commerce that market conditions warrant removal of the pricing restrictions; the uncertainty of future revenue and profitability and potential fluctuations in quarterly operating results due to such factors as restrictions on increasing prices under the 2012 .com Registry Agreement, increasing competition, pricing pressure from competing services offered at prices below our prices and changes in marketing and advertising practices, including those of third-party registrars; changes in search engine algorithms and advertising payment practices; challenging global economic conditions; challenges to ongoing privatization of Internet administration; the outcome of legal or other challenges resulting from our activities or the activities of registrars or registrants, or litigation generally; new or existing governmental laws and regulations; changes in customer behavior, Internet platforms and web-browsing patterns; the uncertainty of whether Verisign will successfully develop and market new services; the uncertainty of whether our new services will achieve market acceptance or result in any revenues; system interruptions; security breaches; attacks on the Internet by hackers, viruses, or intentional acts of vandalism; whether Verisign will be able to continue to expand its infrastructure to meet demand; the uncertainty of the expense and timing of requests for indemnification, if any, relating to completed divestitures; and the impact of the introduction of new gTLDs, any delays in their introduction and whether our gTLD applications or the applicants' gTLD applications for which we have contracted to provide back-end registry services will be successful. More information about potential factors that could affect the Company's business and financial results is included in Verisign's filings with the Securities and Exchange Commission, including in the Company's Annual Report on Form 10-K for the year ended December 31, 2011, Quarterly Reports on Form 10-Q and Current Reports on Form 8-K. Verisign undertakes no obligation to update any of the forward-looking statements after the date of this announcement.