UNITED STATES
                       SECURITIES AND EXCHANGE COMMISSION
                             Washington, D.C. 20549

                                    FORM 10-Q

               QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF
                       THE SECURITIES EXCHANGE ACT OF 1934
                For the quarterly period ended September 30, 1997

                       Commission File Number: 33-15370-D
                                   -----------

                             CUSA Technologies, Inc.
          ------------------------------------------------------------
             (Exact name of the registrant as specified in charter)

                    Nevada                       87-0439511
          --------------------------     -----------------------------
            State of Incorporation         IRS Identification Number

               986 West Atherton Drive, Salt Lake City, Utah 84123
           -----------------------------------------------------------
                    (Address of principle executive offices)

                                 (801) 263-1840
           -----------------------------------------------------------
                  (Telephone of registrant including area code)

Check whether the Registrant  (1) has filed all reports  required to be filed by
Section 13 or 15(d) of the Securities Exchange Act during the past 12 months (or
for such shorter  period that the Issuer was required to file such  reports) and
(2) has been subject to such filing requirements for the past 90 days.

                                           Yes    X        No 
                                               -------        -------

                APPLICABLE ONLY TO ISSUER INVOLVED IN BANKRUPTCY
                   PROCEEDINGS DURING THE PRECEDING FIVE YEARS

Check whether the Issuer filed all documents and reports required to be filed by
Section 12, 13 or 15(d) of the Securities Exchange Act of 1934 subsequent to the
distribution of securities under a plan confirmed by the court.

                            Yes    X        No 
                                -------        -------

                      APPLICABLE ONLY TO CORPORATE ISSUERS

As of November 11, 1997 the Issuer had  15,289,437  shares of its common  stock,
par value $0.001 per share, issued and outstanding.


<PAGE>




                                     PART I
                              FINANCIAL INFORMATION

ITEM 1.  FINANCIAL STATEMENTS

CUSA Technologies,  Inc. (the "Company"),  has included the consolidated balance
sheets of the Company and its  subsidiaries as of September 30, 1997 (unaudited)
and June 30,  1997  (the end of the  Company's  most  recent  fiscal  year)  and
unaudited  consolidated  statements of  operations  and cash flows for the three
months ended  September 30, 1997 and 1996 together with  unaudited  consolidated
condensed notes thereto.

In the opinion of management of the Company,  the financial  statements  reflect
all  adjustments,  all of which are normal recurring  adjustments,  necessary to
fairly  present the financial  condition of the Company for the interim  periods
presented.  The financial statements included in this report on Form 10-Q should
be read in conjunction with the audited financial  statements of the Company and
the notes thereto  included in the annual report of the Company on Form 10-K for
the year ended June 30, 1997.



<PAGE>

<TABLE>

CUSA TECHNOLOGIES, INC.
Consolidated Balance Sheets

<CAPTION>


                                                            (Unaudited)
                                                            September 30,       June 30,
                                                                1997             1997
                                                            -------------    ------------
Assets
Current Assets:
<S>                                                      <C>                   <C>      
  Cash and cash equivalents                              $     1,372,151       2,861,994
  Trade accounts receivable, net of allowance for
    doubtful accounts                                          2,611,265       2,489,176
  Inventories                                                    562,118         370,479
  Prepaid expenses and other assets                              293,305         313,991
  Net assets of discontinued operations                          170,314

    Total current assets                                       5,009,153       6,035,640

Property and equipment :
  Buildings and improvements                                     134,836         134,836
  Furniture, fixtures and equipment                            2,369,888       2,332,357
  Other                                                          758,834         721,450

    Total property and equipment                               3,263,558       3,188,643

  Less accumulated depreciation and amortization               1,685,256       1,528,951

    Net property and equipment                                 1,578,302       1,659,692

Equipment under capital lease obligations, net                   237,781         259,255

Receivables from related parties                                  52,440          52,440

Software development and acquisition costs, net                1,713,841       1,659,398

Other assets                                                      73,047          73,047

                                                         $     8,664,564       9,739,472
</TABLE>


See accompanying notes to consolidated financial statements.



<PAGE>
<TABLE>

CUSA TECHNOLOGIES, INC.
Consolidated Balance Sheets

<CAPTION>


                                                                          (Unaudited)
                                                                         September 30,       June 30,
                                                                             1997              1997
                                                                         -------------    ------------
Liabilities and Stockholders'  Deficit
Current liabilities:
<S>                                                                   <C>                      <C>   
  Current installments of long-term debt                              $        28,035          29,367
  Current installments of obligations under capital leases                    131,479         163,148
  Accounts payable                                                          1,619,697       1,760,421
  Accrued liabilities                                                       1,859,396       1,698,865
  Customer deposits                                                         1,196,391       1,622,469
  Income taxes payable                                                        346,168         485,480
  Net liabilities of discontinued operations                                        -         304,464
  Deferred revenue                                                          4,867,508       5,506,377
    Total current liabilities                                              10,048,674      11,570,591

Obligations under capital leases, excluding current installments              120,932         118,241

    Total liabilities                                                      10,169,606      11,688,832

Commitments and contingent liabilities                                              -

Stockholders' deficit:
  1994 Series convertible preferred stock, $.001  par value
    authorized 1,500,000 shares; issued and outstanding 1,0                     1,000           1,000
  Common stock,  $.001 par value; authorized 25,000,000 shares;
    issued and outstanding 15,289,437 at September 30, 1997 and
    June 30, 1997                                                              15,289          15,289
  Additional paid-in capital                                               16,347,576      16,347,576
  Accumulated deficit                                                     (17,868,907)    (18,313,225)
    Total stockholders' deficit                                            (1,505,042)     (1,949,360)

                                                                      $     8,664,564       9,739,472
</TABLE>

See accompanying notes to consolidated financial statements.


<PAGE>




<TABLE>

CUSA TECHNOLOGIES, INC.
Consolidated Statements of Operations
(Unaudited)
Three months ended September 30,
<CAPTION>



                                                                                      1997          1996
                                                                                    ---------     ---------
Net revenues:
<S>                                                                             <C>               <C>      
  Hardware and software sales                                                   $   2,493,451     1,685,799
  Support, maintenance and other services                                           4,085,071     3,986,101
    Total revenues                                                                  6,578,522     5,671,900

Cost of goods sold and other direct costs:
  Hardware and software                                                               969,386       711,554
  Support, maintenance and other services                                           2,656,952     2,641,258
    Total cost of goods sold and other direct costs                                 3,626,338     3,352,812

    Gross profit                                                                    2,952,184     2,319,088

Product development costs                                                             691,153       495,489
Selling, general and administrative  expenses                                       1,806,276     2,552,308

    Operating income (loss)                                                           454,755      (728,709)

Other income (expense):
  Interest expense                                                                    (13,670)     (100,738)
  Interest income and other, net                                                       29,894        (6,568)

    Income (loss) from continuing operations before income taxes                      470,979      (836,015)

Income tax expense                                                                          -             -

Income (loss) from continuing operations                                              470,979      (836,015)

Loss from discontinued operations, net of income taxes                                      -      (110,459)

Income (loss) from disposal of discontinued operations, net of income taxes             3,339       (81,721)

    Net income (loss)                                                           $     474,318    (1,028,195)

Income (loss) per common and common equivalent share :
  Primary and fully diluted
    From continuing operations                                                  $        0.03         (0.10)
    From discontinued operations                                                $        0.00         (0.02)

Weighted average common and common equivalent shares
  Primary and fully diluted                                                        15,289,437     8,917,718

</TABLE>

See accompanying notes to consolidated financial statements.




<PAGE>




<TABLE>


CUSA TECHNOLOGIES, INC.
Consolidated Statements of Cash Flows
(Unaudited)
Three months ended September 30,
<CAPTION>

                                                                                 1997         1996
                                                                               --------     --------
Cash flows from operating activities:
<S>                                                                        <C>              <C>      
Income (loss) from continuing operations                                   $    470,979     (836,015)
Adjustments to reconcile income (loss) from
  continuing operations to net cash used in
  operating activities:
    Depreciation and amortization                                               317,978      274,224
    Provision for doubtful accounts                                                   -       30,275
    Net change in current assets and liabilities:
      Trade accounts receivable                                                (122,089)    (854,962)
      Inventories                                                              (191,639)    (108,268)
      Prepaids expenses and other assets                                         20,686     (154,334)
      Accounts payable and accrued liabilities                                  (10,194)  (2,290,603)
      Customer deposits                                                        (426,078)      73,735
      Income taxes payable                                                     (139,311)      (5,405)
      Deferred revenue                                                         (638,869)    (530,602)
      Net cash used in continuing operating activities                         (718,537)  (4,401,955)

Net cash used in discontinued operations                                       (471,439)  (1,437,003)

      Net cash used in operating activities                                  (1,189,976)  (5,838,958)

Cash flows from investing activities:
    Software development costs                                                 (189,944)    (124,695)
    Capital expenditures                                                        (83,483)    (238,807)
    Advances to related parties                                                       -      (94,633)
    Decrease in other assets                                                          -        5,021
      Net cash used in investing activities                                    (273,427)    (453,114)

Cash flows from financing activities:
    Net borrowings under lines of credit                                              -      237,041
    Repayments of obligations under capital leases                              (28,978)     (33,009)
    Repayment of long-term debt with related parties                                  -   (1,167,398)
    Proceeds from the sales of assets                                             3,870            -
    Repayments of long-term debt                                                 (1,332)    (776,412)
    Preferred dividend distributions                                                  -      (30,000)
    Net cash provided by financing activities of discontinued operations              -    7,650,000
      Net cash provided by (used in)  financing activities                      (26,440)   5,880,222

      Net decrease in cash                                                   (1,489,843)    (411,850)

Cash and cash equivalents at beginning of period                              2,861,994      583,080

Cash and cash equivalents at end of period                                 $  1,372,151      171,230

</TABLE>



See accompanying notes to consolidated financial statements.

<PAGE>



                             CUSA TECHNOLOGIES, INC.
                   Notes to Consolidated Financial Statements
                                   (Unaudited)




(1) Basis of Presentation
-------------------------

The   accompanying   unaudited   consolidated   financial   statements  of  CUSA
Technologies, Inc. (the Company) have been prepared in accordance with generally
accepted  accounting  principles for interim financial  information and with the
instructions to Form 10-Q and Article 10 of Regulation S-X.  Accordingly,  these
financial  statements  do  not  include  all  of the  information  and  footnote
disclosures  required by generally accepted  accounting  principles for complete
financial statements. These financial statements and footnote disclosures should
be read in conjunction with the audited  consolidated  financial  statements and
the notes thereto  included in the Company's  latest report on Form 10-K for the
year  ended  June 30,  1997.  In the  opinion of  management,  the  accompanying
unaudited consolidated financial statements contain all adjustments  (consisting
of only normal recurring  adjustments) necessary to fairly present the Company's
consolidated  financial  position as of September 30, 1997 and its  consolidated
results of  operations  and cash flows for the three months ended  September 30,
1997 and 1996.  The results of operations  for the three months ended  September
30, 1997 may not be  indicative of the results that may be expected for the year
ending June 30, 1998.


(2) Liquidity
-------------

During the three months ended  September  30, 1997,  the Company had income from
continuing  operations  of  $470,979  and income from  disposal of  discontinued
operations of $3,339, used cash in operating activities of $1,190,027, including
cash used in discontinued operations of $471,439. During the three-months ending
September 30, 1997, the accrued liabilities of discontinued operations have been
substantially  reduced. In most cases the reduction has come through the payment
in cash to settle the accrued obligations.  These cash settlements should reduce
the uncertainty  surrounding the estimates of the accrued contingent obligations
of the discontinued operations.

At September  30, 1997 the Company had a  stockholders'  deficit of  $1,505,042.
Management  implemented  plans in late 1996 to return the Company to  profitable
operations  and a positive cash flow.  Although the Company has a  stockholders'
deficit and used cash from  operations,  in the opinion of management  the plans
implemented  during the past nine  months  will  permit the  Company to meet its
operating  and debt cash  requirements,  at least  through  the next  year.  The
Company is subject to many  uncertainties  over  which  management  has  limited
control,  any one of which could adversely  affect the Company's  operating cash
flows, and thus create cash flow problems for the Company.


<PAGE>
                            CUSA TECHNOLOGIES, INC.
                   Notes to Consolidated Financial Statements
                                   (Unaudited)



(3) Discontinued Operations
----------------------------

As part of an overall  business plan, the Board of Directors and management have
decided  to  concentrate  the  Company's  business  activities  on credit  union
business. Consequently, the following divisions have been discontinued:

      (a)Medical and Commercial Software Divisions
      --------------------------------------------

         In June  1996,  the Board of  Directors  of the  Company  committed  to
         dispose  of the  business  and  assets of the  medical  and  commercial
         software divisions.  On July 2, 1996, the Company entered into an asset
         purchase agreement with Physician Computer Network,  Inc. (PCN) whereby
         PCN  agreed to  acquire  substantially  all of the  assets  and  assume
         certain liabilities of the medical and commercial software divisions.

         In June 1996,  upon  adoption of the plan to dispose of the medical and
         commercial software divisions, the Company recorded a provision for the
         estimated  loss on the  disposal  of the  divisions  in the  amount  of
         $2,494,451.  The provision  related to the expected loss on the sale to
         PCN (net of disposal costs),  severance benefits to division employees,
         certain occupancy costs under  non-cancelable  leases,  and anticipated
         future losses  related to assets and  operations  not sold to PCN until
         their  ultimate  disposition.  The reported loss  provision is based on
         certain  management  estimates and  assumptions.  Actual  results could
         differ from the estimated  loss  provision  recorded.  As estimates and
         assumptions are adjusted or as actual results occur, the loss provision
         is adjusted  and  accordingly,  is  reported  in the current  period as
         additional  gain or loss on  disposal.  During the three-  month period
         ended  September 30, 1997 no additional  losses  related to the medical
         and commercial software divisions have been recorded.  During the three
         month period ended September 30, 1996, the Company recorded  additional
         losses on the disposal of the divisions in the amount of $81,721.

      (b)Rental Software and Real-estate Rental Divisions
      ---------------------------------------------------

         In March of 1997,  the Board of Directors  of the Company  committed to
         dispose of the business and assets of the equipment rental software and
         real  estate  rental  divisions.   In  the  accompanying   consolidated
         statement  of  operations,  net  losses  from these  divisions  for the
         three-month  period ending September 30, 1996 have been reclassified to
         be consistent with the September 30, 1997  personation.  All assets and
         liabilities  from these  divisions  were  disposed of prior to June 30,
         1997,  and the Company did not record any net income or loss from these
         divisions during the three-month period ending September 30, 1997.
         The Company does not expect any future losses from these divisions.

      (c)Surgery Centers
      ------------------

         In June of 1997,  the Board of  Directors  of the Company  committed to
         dispose  of the  business  and  assets of the  surgery  centers.  As of
         September  30,  1997  the  Company  had  not  completed  the  disposal.
         Therefore,  in the  September  30, 1997 balance sheet the net assets of
         discontinued  operations included  approximately $440,000 in net assets
         from the surgery centers.  During the three-months ending September 30,
         1997 and 1996, the Company  recorded income from the surgery centers of
         $3,339 and $21,757,  respectively,  which is included in Income  (loss)
         from disposal of discontinued  operations,  net of income taxes, in the
         accompanying consolidated statements of operations

     The medical,  commercial,  and equipment rental  software,  the real estate
     rental,  and the  surgery  center  divisions  have  been  accounted  for as
     discontinued operations,  and accordingly,  the results of their operations
     are segregated from continuing operations in the accompanying statements of
     operations.  Revenue,  operating  costs  and  expenses,  other  income  and
     expense,  and income taxes of these  divisions  for the three month periods



<PAGE>
                            CUSA TECHNOLOGIES, INC.
                   Notes to Consolidated Financial Statements
                                   (Unaudited)




     ended September 30, 1997 and 1996,  have been  reclassified as discontinued
     operations.  No allocation of general  corporate  overhead has been made to
     discontinued operations related to these divisions.

     Summary  operating  results of  discontinued  operations  for the  medical,
     commercial,  and equipment rental software, the real-estate rental, and the
     surgery center divisions for the three months ending September 30, 1997 and
     1996 are as follows:

                                                        1997           1996
                                                     ----------     ----------
         Revenues                                    $   77,553        548,586
                                                     ==========     ==========
         Gross Profit                                $   10,924        254,906
                                                     ==========     ==========
         Income (loss) before income taxes           $    3,339       (192,180)

            Income tax benefit                       $       -0-            -0-
                                                     ----------     ----------
         Income (loss) from discontinued operations  $    3,339       (192,180)
                                                     ==========     ==========

The remaining assets and liabilities related to the discontinued operations have
been  separately  classified  on the  balance  sheets  as  net  assets  (or  net
liabilities)  of  discontinued   operations.  A  summary  of  these  assets  and
liabilities as of September 30, 1997 is as follows:

         Assets:
           Trade accounts receivable, net                     $     101,096
            Other receivables                                       818,870
            Inventory                                                10,000
            Fixed assets, net                                        53,750
                                                              -------------
                  Total assets                                      983,716
                                                              -------------
         Liabilities:
           Accounts Payable and accrued liabilities                 813,402
                                                              -------------
           Net assets of discontinued operations              $     170,314
                                                              =============

(4) Income (loss) per Share
---------------------------

Income or loss per common and common  equivalent  share is  computed by dividing
net income (loss) by the weighted average common shares  outstanding  during the
period,  including common  equivalent  shares (if dilutive).  Common  equivalent
shares include stock options,  convertible preferred stock and convertible debt.
Income used in this  calculation is reduced (loss is increased) by the dividends
paid to preferred  stockholders.  During the period  ending  September  30, 1997
primary and fully diluted income per common and common equivalent share were the
same. Since the three-month  period ending September 30, 1996 resulted in a loss
only primary  earnings per share were calculated  since a fully diluted earnings
per share calculation would have been anti-dilutive.

(5) Contingent Liabilities
--------------------------

The Company is  involved  in certain  legal  matters in the  ordinary  course of
business.  In the opinion of management and legal counsel, such matters will not
have a material effect on the financial position or results of operations of the
Company.

<PAGE>
                            CUSA TECHNOLOGIES, INC.
                   Notes to Consolidated Financial Statements
                                   (Unaudited)





(6) Subsequent Event
--------------------

On  November  4, 1997 the  Company  announced  that it had  signed a  definitive
Agreement and Plan of Merger,  which provides for the acquisition of the Company
by Fiserv, Inc. (Fiserv) in an all-stock transaction valued at approximately $25
million (the Merger).  Under the terms of the agreement  Fiserv will acquire all
of the outstanding  shares of the Company (estimated to number 18,452,000 at the
closing) for approximately $1.35 per share, subject to a "holdback" of an amount
of Fiserv shares worth  approximately $3 million.  The "holdback" shares will be
placed in escrow in respect of any claims  arising from  certain  contingencies.
The  transaction  will be  accounted  for as a pooling of  interests.  The exact
number of Fiserv  shares to be exchanged  for each CUSA share will be determined
by dividing  approximately $1.35 by the average closing price of Fiserv's common
stock during the 20 trading  days-ending  on the second trading day prior to the
effective date of the Merger.  The agreement is subject to all normal conditions
to  closing  including  receipt of all  necessary  regulatory  consents  and the
Company's shareholder approval.  The obligation of Fiserv to complete the Merger
is subject to certain conditions  including,  but not limited to, the redemption
by the  Company of the 1994 Series  Preferred  Stock and the  completion  of the
previously approved disposal of the Company's surgery center business unit.

In  connection  with the  execution  of the  definitive  agreement,  Richard  N.
Beckstrand  (chief executive  officer,  chairman of the Board of Directors,  and
principal shareholder,  "the Investor"),  executed an irrevocable proxy allowing
Fiserv the power to vote the Investor's sixty nine percent beneficial  ownership
in favor of the Merger Agreement.

The Merger is structured as a tax-free reorganization under Section 368(a)(1)(A)
and (a)(2)(D) of the Internal Revenue Code of 1986, as amended, and thus will be
tax free to the CUSA  shareholders.  However,  if the all stock merger cannot be
accounted for as a "pooling of interests," the Merger will be converted from all
stock to cash-for-stock and will be taxable to the CUSA shareholders.

<PAGE>



ITEM 2.  MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS
OF OPERATIONS

General

In June of 1994,  the Company  entered into the credit union  software  business
through the  acquisition  of CUSA,  Inc.  ("CUSA") and the credit union software
division of CUSA's largest  distributor.  From June of 1994 to July of 1995, the
Company  acquired most of the  distributors of the CUSA software,  some of which
were distributors of software products in the medical, commercial, and equipment
rental markets. In June of 1996, the Company disposed of the business and assets
of the Company's  medical and commercial  software  divisions  through a sale of
assets to Physician  Computer Network,  Inc. ("PCN").  In 1997, the Company sold
the equipment rental software  division and an office rental complex,  which was
acquired by the Company in June of 1994. The Company has also decided to dispose
of the surgery center business,  which it acquired in 1993 prior to entering the
credit union  market.  Upon the  completion of the  divestiture  of the medical,
commercial,  and equipment rental software divisions, the office rental complex,
and the surgery center business,  the Company's resources will be singly focused
on the development and expansion of its credit union software business. (In this
item,  all  references to the "first  quarter" refer to the first quarter of the
Company's fiscal year (quarter ended September 30.))

Net revenues
------------

The Company's net revenues from continuing  operations increased 16 percent from
$5.7 million in the first  quarter of 1997 to $6.6 million in the first  quarter
of 1998.  Revenues  from hardware and software  sales  increased 48 percent from
$1.7 million in the first  quarter of 1997 to $2.5 million in the first  quarter
of 1998.  The  increase  is the result of a positive  market  acceptance  of the
Company's  Reliance  credit union  management  software and the Company's new PC
based workstation modules. Revenues from support, maintenance and other services
increased  2.5  percent  from $4  million  in the first  quarter of 1997 to $4.1
million in the first quarter of 1998.  The increase is due largely to new annual
maintenance  billings  related to the Reliance  software  systems sold in fiscal
1997 and the first quarter of 1998.  Revenues are derived from  computer  system
sales,  hardware  maintenance  and software  support,  and the sale of products,
which are related to the Company's computer systems such as statement  printing,
disaster recovery, and microfiche services.

Gross margin
------------

The hardware and software  gross margin  increased  from 57.8 percent in 1997 to
61.1  percent  in 1998.  In the same  period,  the gross  margin  from  support,
maintenance  and other  services  revenue  increased  from 33.7  percent to 35.0
percent.  The increase in the  hardware  and software  gross margin is primarily
attributable  to a shift in the sales mix towards the more  profitable  software
sales.  The increase in the gross profit  margin from support,  maintenance  and
other services  revenue is due to management cost control  measures and the more
efficient  utilization of resources.  Costs of goods sold consist of the cost of
hardware and software  purchased for resale,  the  amortization  of  capitalized
software  development  costs,  and the expense of supporting  and installing the
systems sold.

Product development costs
-------------------------

Product   development  costs  represent  the  uncapitalized  costs  of  software
development.   Uncapitalized  costs  include  research  and  development,  minor
enhancements  to  operational  systems and  maintenance  software  upgrades.  As
expected,  product  development costs increased 39 percent from $495 thousand in
the first  quarter of 1997 to $691  thousand in the first  quarter of 1998.  The
increase  reflects  the  Company's  commitment  to continue  to improve  current
products and to invest in the research and development of new products.

<PAGE>

Selling, general and administrative costs
-----------------------------------------

The selling,  general, and administrative  expenses for the Company decreased 29
percent from $2.55 million in the first quarter of 1997, to $1.81 million in the
first  quarter  of 1998.  The  decrease  is a result  of a  reduction  of staff,
management personnel, and office locations related to the continuing operations.
It is anticipated that the selling,  general,  and administrative costs will not
decrease significantly from the current level during 1998.

Interest and income tax expense
-------------------------------

Interest expense decreased 86 percent in the first quarter of 1997 when compared
to the first  quarter of 1998.  The decrease was due  primarily to a decrease in
average debt outstanding.

Income tax expense for both 1997 and 1998 for  continuing  operations  was zero,
due to the significant  loss in 1996 and the utilization of 1996 income tax loss
carry forwards in these periods.

Discontinued Operations
-----------------------

The income (loss) from disposal of discontinued operations,  net of income taxes
reported  in the first  quarter of 1998  included  only the  operations  and the
anticipated loss from the disposal of the discontinued  surgery center business.
The loss from  discontinued  operations,  net of income  taxes,  and the  income
(loss) from disposal of discontinued  operations,  net of income taxes, reported
in the first  quarter of 1997  included the medical,  commercial,  and equipment
rental software divisions,  the office rental complex division,  and the surgery
center  division.  There  were no  operations  or losses  recorded  in the first
quarter of 1998 related to the medical, commercial, or equipment rental software
divisions,  or the office rental complex division.  Additional losses related to
the disposed  divisions are not  anticipated,  however no assurance can be given
that unexpected costs related to these discontinued divisions will not occur.

Capital Resources and Liquidity

At September 30, 1997,  the Company had current assets of $5 million and current
liabilities  of $10  million.  The current  liabilities  include $4.9 million of
deferred revenue,  which primarily  represents payments received for services to
be  provided  over the  remaining  term of  software  and  hardware  maintenance
contracts (generally one year).

Losses from  operations in 1996 and the first quarter of 1997 caused the Company
to be in violation of certain loan  covenants with its primary lender and raised
concerns among employees,  stockholders, and some customers. In order to address
these circumstances, the board of directors decided to seek equity financing. On
January 24, 1997,  the Company  entered into a Stock Purchase and Sale Agreement
(the Agreement)  whereby it agreed to sell 8,648,649 shares of its common stock,
representing  49  percent  of the  common  stock  to be  outstanding  after  the
completion of the sale,  for $8.0 million in cash. The Agreement was between the
Company and the Investor. In February 1997, the Company received $6.0 million of
the purchase  price which was used to retire  certain  current  liabilities  and
long-term debt. The Company  anticipates that the remaining $2.0 million will be
received in fiscal 1998 which the Company plans to use to redeem the 1994 Series
Convertible Preferred Stock. Upon completion of the transaction,  the Investor's
beneficial ownership interest increased to approximately sixty nine percent. The
transaction was negotiated between the Investor and an independent  committee of
the board of directors.  During the past fifteen months, the Company reduced its
total  liabilities from $20.3 million at June 1996 to $10.2 million at September
1997.

As part of the overall business plan implemented during 1997, management reduced
the overall corporate  overhead included in selling,  general and administrative
expenses  from $2.55  million for the first quarter of 1997 to $1.81 million for
the first quarter of 1998.  Income from continuing  operations  increased from a
loss of  $836,015  for the first  quarter of 1997 to income of  $470,979  in the
first quarter of 1998. In the fiscal year ending June 1998, the Company  expects
operating   results   and  cash  flows  to  improve  as  the   disposal  of  the
non-profitable business units are completed and management focuses on the credit
union business. The Company believes that cash flow will be sufficient to permit
the Company to meet its cash requirements through the up coming year.





<PAGE>


                                     PART II
                                OTHER INFORMATION


ITEM 1. LEGAL PROCEEDINGS

The Company is  involved  in certain  legal  matters in the  ordinary  course of
business.  In the opinion of management and in-house legal counsel, the ultimate
resolution  of these  matters will not have a material  effect on the  financial
position or results of operations of the Company.


ITEM 5.  OTHER INFORMATION

On November 4, 1997,  the Company and Fiserv  Incorporated  signed a  definitive
Agreement  and Plan of Merger (the  "Merger  Agreement)  which  provides for the
acquisition  of the  Company  by Fiserv in an  all-stock  transaction  valued at
approximately  $25  million  (the  "Merger").  Under the  agreement  each of the
Company's  shares  (estimated  to  number  18,452,000  at the  closing)  will be
exchanged  for  approximately  $1.35  worth  of  Fiserv  shares,  subject  to  a
"holdback" of an amount of Fiserv  shares worth  approximately  $3,000,000.  The
"holdback"  shares are to be placed in escrow in  respect of any claims  arising
from certain  contingencies.  The exact number of Fiserv  shares to be exchanged
for each CUSA share will be  determined by dividing  approximately  $1.35 by the
average  closing  price of Fiserv stock during the 20 trading days ending on the
second trading day prior to the effective date of the Merger.

Each party's  obligation to complete the Merger is subject to certain conditions
precedent  including the affirmative vote of the shareholders of the Company and
the effectiveness of a Registration  Statement  covering the Fiserv shares to be
used in the Merger.  The  obligation of Fiserv to complete the Merger is subject
to certain conditions precedent,  including but not limited to the redemption by
the  Company  of the 1994  Series  Preferred  Stock  and the  completion  of the
previously approved disposal of the Company's surgery center business unit.

In  connection  with the  execution of the  definitive  agreement,  the Investor
executed an irrevocable  proxy allowing  Fiserv the power to vote the Investor's
sixty nine percent beneficial ownership in favor of the Merger Agreement.

The Merger is structured as a tax-free reorganization under Section 368(a)(1)(A)
and (a)(2)(D) of the Internal Revenue Code of 1986, as amended, and thus will be
tax free to the CUSA  shareholders.  However,  if the all stock merger cannot be
accounted for as a "pooling of interests," the Merger will be converted from all
stock to cash-for-stock and will be taxable to the CUSA shareholders.

Fiserv  is   currently   preparing  a   registration   statement,   including  a
proxy/prospectus,  prepared by the  Company,  for review by the  Securities  and
Exchange Commission.  Following such review, the proxy/prospectus will be mailed
to each of the Company's shareholders,  and a meeting of the shareholders of the
Company will be held. A majority  vote of the  Company's  outstanding  shares is
required for approval.  The Company  expects the  transaction to be completed in
two to three months.

Fiserv, Inc. is an independent provider of financial data processing systems and
related  information  management services and products to more than 5,000 banks,
credit  unions,  mortgage  firms  and  savings  institutions  worldwide.  Fiserv
currently  employs   approximately   10,000  financial   service   professionals
company-wide,   skilled  in  providing  information   management  and  financial
services. A publicly held company  headquartered in Brookfield,  Wis., Fiserv is
traded on the NASDAQ National Market under the symbol FISV.

<PAGE>

ITEM 6. EXHIBITS AND REPORTS ON FORM 8-K


(a) Exhibits

The following exhibits are included as part of this report:

Exhibit                  SEC Ref
Number                   Number                        Title of Document
-------                  -------                      -------------------
                         None.

(b) Reports on Form 8-K.

                         None.


<PAGE>



SIGNATURES

Pursuant  to the  requirements  of  section  13 or 15(d) of the  Securities  and
Exchange  Act of 1934 as amended,  the Company has duly caused this report to be
signed on its behalf by the undersigned, thereunto duly authorized.


Dated:  November 11, 1997


CUSA Technologies, Inc.



------------------------------------------------------
D. Jeff Peck, Principal Accounting Officer