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Five analysts and top management from forty-five sector firms examine the Credit Suisse First Boston 4th Annual Global Services Growth Conference in this special 177-page issue from The Wall Street Transcript, available at (212/952-7433) or http://www.twst.com/info/info509.htm

TWST: In the education, business and professional services areas that you specifically focus on within the Global Services team, are any of them running against the overall grain of growth and services companies?

Mr. Cappelli: I think the HR space — the business and professional services space — is a little more cyclical in genera, with the payment processing and the payroll companies feeling a little more of the pain. From an educational services standpoint, the postsecondary companies have done a tremendous job of being able to grow through a very difficult economy. Even on the e-learning side, there are a couple of companies that have been able to put up some decent growth even in what is a very difficult time overall. From a view of going against the grain, not really. The companies in our services coverage group are generally non-capital intensive companies that enjoy strong free cash flow and have recurring revenue streams and reinvestment opportunities back into the business, or through acquisition. Fortunately, most have a lot of cash and good balance sheets to get them through tough times.

TWST: It seems as if these areas for the investor with a services orientation do tend to slide across sector or vertical distinctions. You're really walking across two or three different tableaux as you discuss these areas.

Mr. Cappelli: That's a fair characterization. These are service companies that participate in various areas of the economy, and they sell into companies that operate in many different areas of the economy as well. So your characterization is correct. Many of these companies deal not only with individuals, but also with entire HR departments as well as other divisions of corporations. Outsourcing is one of the major themes for companies in our group.

TWST: On the education side, what companies are you focused on and who are some of the leaders in that group from your viewpoint?

Mr. Cappelli: In the postsecondary or college-type companies, there are two or three themes that underlie an investment thesis. First, there's an 80% income differential for those who have a degree versus those who don't, and that's causing a lot of demand from not only high school grads but also, working adults who want to close the wage gap. Second, there is a lot of money available to go to school in this country. There's 70 billion in student financial aid that makes it possible for students to attend college in the US. That's been fueling a lot of the growth over the past several years. Third, from a demand standpoint, you can now take classes online. Apollo (Nasdaq:APOL) is certainly the biggest company within the universe of postsecondary. We also like Career Education. It is a Chicago-based company that was built in the early 1990s and primarily put together through targeted acquisition. They have acquired undermanaged schools of choice over the past six or seven years at what we believe are reasonable prices. They then put in their centrally developed, career-based curriculum (where the jobs are) as well as up-to-date financial aid programs, good recruiting, marketing and placement programs for the students. They've been able to drive enrollment growth and profitability significantly higher in these schools that they have purchased over the last five to six years. So they've done a very nice job with a very high quality management team, in our opinion. Career Ed (Nasdaq:CECO) has a big presence in culinary arts and visual communications. The curriculum overall is well-rounded with programs that apply to both male and female students of all different age groups. That's kept them going through good and bad economies. They're not just tied to one sector — they've really broadened their program offerings and they've done a nice job recruiting.

This special conference issue includes:

1) Global Services Outlook - In an in-depth (3,300 words) Analyst Interview, Greg W. Cappelli, Managing Director and Senior Analyst responsible for heading the research coverage of CSFB's Global Services Team at Credit Suisse First Boston, examines the outlook for the sector including and shares specific stock recommendations.

2) Professional & Educational Services - In an in-depth (2,500 words) Analyst Interview, Greg W. Cappelli, Managing Director and Senior Analyst responsible for heading the research coverage of CSFB's Global Services Team at Credit Suisse First Boston, examines the outlook for the sector including and shares specific stock recommendations.

3) HR & Professional Services Industry - In an in-depth (2,600 words) Analyst Interview, Joshua Rosen, Analyst that covers the HR and professional services industry for the CSFB Global Services Team at Credit Suisse First Boston, examines the outlook for the sector including and shares specific stock recommendations.

4) European Support Services Stocks - In an in-depth (2,600 words) Analyst Interview, Andrew Sweeting, Research Analyst at Credit Suisse First Boston, examines the outlook for the sector including and shares specific stock recommendations.

5) Education & Business Services Companies - In an in-depth (4,300 words) Analyst Interview, Brandon Dobell, Analyst that covers education and business services companies for Credit Suisse First Boston, examines the outlook for the sector including and shares specific stock recommendations.

6) Payment Processing & Information Services - In an in-depth (4,100 words) Analyst Interview, Dris Upitis, Senior Equity Research Analyst who focuses on the payment processing and information services sectors for CSFB's Global Services Team at Credit Suisse First Boston, examines the outlook for the sector including and shares specific stock recommendations.

7) CEO interviews (average 2,500 words). Top management of forty-five sector firms examine the outlook for their firm and the sector.