Heidrick & Struggles Reports 2002 Second Quarter Financial Results
Initial View on 2002 Third Quarter Also Provided
CHICAGO, July 31 /PRNewswire-FirstCall/ --
Heidrick & Struggles International, Inc. (Nasdaq: HSII), the world's premier executive search and leadership consulting firm, today announced its financial results for the 2002 second quarter. On a U.S. GAAP basis, Heidrick & Struggles reported a loss per share of $0.19, compared to a loss per share of $0.21 in the 2001 second quarter. The net loss was $3.4 million, compared to a net loss of $4.0 million in last year's second quarter. Consolidated net revenue was $93.5 million, a decrease of 24 percent from $123.2 million in the
comparable quarter of 2001. Excluding the impact of exchange rate fluctuations, net revenue decreased 25 percent. On an adjusted basis, diluted earnings per share were $0.04 in the 2002 second quarter compared to diluted earnings per share of $0.07 in last year's same period. Adjusted net income was $683,000, compared to net income of $1.4 million reported in last year's second quarter. Adjusted-basis results exclude realized and unrealized gains and losses, write-downs on investments, special charges, goodwill amortization, and reimbursements of out-of-pocket expenses.
The reconciliation between U.S. GAAP results and adjusted results appears below.
Three Months Ended June 30,
Per Share(A) $Millions
2002 2001 2002 2001
U.S. GAAP Reported Net Income
(Loss) $(0.19) $(0.21) $(3.4) $(4.0)
Add Back:
Goodwill Amortization - 0.02 - 0.3
Net Unrealized Loss on
Derivative Instruments 0.05 0.04 0.9 0.7
Write-down of Long-term
Investment 0.18 - 3.3 -
Special Charges - 0.24 - 4.7
Subtract:
Net Realized Gain on
Investments - (0.01) - (0.2)
Adjusted Net Income (Loss) $0.04 $0.07 $0.7 $1.4
(A) Earnings per share are on a diluted basis
Columns may not add due to rounding
On a sequential basis, comparing 2002 second quarter performance to the 2002 first quarter, consolidated net revenue rose approximately 2 percent. The diluted earnings per share, as adjusted, of $0.04 in the second quarter represents an improvement of $0.19 per share from the $0.15 adjusted loss per share in the 2002 first quarter, as the company benefited from the actions it has taken since June 2001 to reduce its cost structure.
"We are encouraged to see continued stabilization in North America, and the expected decline in Europe was mitigated by the stronger Euro," said Piers Marmion, Chairman and Chief Executive Officer of Heidrick & Struggles International, Inc. "While the business environment is likely to remain uncertain for the remainder of the year, we are better positioned today to operate under such conditions because we have an appropriate cost structure in place."
Consolidated salaries and employee benefits expense in the 2002 second quarter was $64.3 million, down 20 percent from $80.6 million in the comparable quarter last year. The decrease was primarily attributable to lower fixed costs as a result of the reductions to the company's workforce over the past 12 months.
On an adjusted basis, consolidated general and administrative expenses declined 31 percent to $28.2 million in the 2002 second quarter, compared to $41.2 million in the 2001 second quarter. The decrease was primarily due to lower fixed costs resulting from office consolidations, reduced spending on discretionary items, and lower bad debt expense.
In the 2002 second quarter, confirmed executive searches decreased 9 percent from the 2001 second quarter. Compared to the 2002 first quarter, both the number of confirmed executive searches and fees per search were essentially flat. As of June 30, 2002, the company employed 383 executive search consultants, compared to 414 as of March 31, 2002, and 492 as of June 30, 2001.
During the 2002 second quarter, the company wrote down the remainder of its investment in ETF Group -- incurring a non-cash charge of $5.0 million --due to the continuing decline in the valuation of start-up technology companies. ETF Group is a Europe-based global venture capital firm that helps emerging companies expand into international markets.
Heidrick & Struggles adopted Emerging Issues Task Force Issue No. 01-14 (EITF 01-14), "Income Statement Characterization of Reimbursements Received for 'Out-of-Pocket' Expenses Incurred," in 2002, which requires that reimbursements of out-of-pocket expenses be reported on a gross basis as revenue and as operating expenses. Historically, the company classified reimbursements of out-of-pocket expenses as a reduction of operating expenses. The change in presentation has no impact on the company's operating income. The company's adjusted-basis information excludes the impact of this adoption.
Results by Geographic Region
(Note: All results in this section are on an adjusted basis.)
Net revenue in North America was $52.2 million, a decrease of 28 percent from $72.7 million in the 2001 second quarter. Almost all of the practices reported lower revenue in the 2002 second quarter compared to the 2001 second quarter. Operating income for the region increased 34 percent to $9.6 million from $7.2 million in last year's second quarter because of a better alignment of the fixed cost structure with revenue, and lower bad debt expense. The operating margin increased to 18.4 percent from 9.8 percent in the 2001 second quarter.
In Latin America, net revenue was $2.6 million, a decrease of 27 percent from $3.5 million in the 2001 second quarter. There was an operating loss of $1.2 million in the 2002 second quarter, compared to an operating loss of $378,000 in the 2001 second quarter. The increased loss was due primarily to the cost of converting certain wholly owned subsidiaries into licensees.
Net revenue in Europe was $32.9 million, a decrease of 17 percent from $39.5 million in the 2001 second quarter. Excluding the impact of exchange rate fluctuations, net revenue decreased 20 percent from the same quarter in 2001. Almost all of the practices experienced revenue declines. The region reported an operating loss of $300,000 in the 2002 second quarter, compared to operating income of $1.4 million in the prior year's second quarter. Europe has not yet realized all of the savings from previous cost reduction activities, so further improvement is expected in subsequent quarters.
In Asia Pacific, net revenue was $5.8 million, a decrease of 22 percent from $7.4 million in the 2001 second quarter. Excluding the impact of exchange rate fluctuations, net revenue decreased 24 percent from the comparable quarter in 2001. Operating income was $432,000 in the 2002 second quarter, compared to $926,000 last year.
Six Month Results
On a U.S. GAAP basis for the six months ended June 30, 2002, the loss per share was $1.17, compared to diluted earnings per share of $0.26 in the same period last year. The net loss was $21.1 million, compared to net income of $5.4 million for the first six months of 2001. Consolidated net revenue was $185.2 million, a decrease of 29 percent from $262.4 million in the comparable period last year.
On an adjusted basis for the six months ended June 30, 2002, the loss per share was $0.12 compared to diluted earnings per share of $0.36 in last year's same period. The adjusted net loss was $2.1 million, compared to net income of $7.3 million in the first six months of 2001.
Consolidated Outlook for the 2002 Third Quarter
Currently, the company believes net revenue for the 2002 third quarter will be in the range of $85 million to $95 million. At those revenue levels, the company estimates that 2002 third quarter diluted earnings per share on an adjusted basis could range from $0.04 to $0.09.
"The overall business environment seems to be gradually recovering, but the heightened nervousness of investors and markets, and the traditional slowdown of business during the summer months are keeping us cautious in our expectations," said Marmion. "Because we have reshaped Heidrick & Struggles to address these market realities, however, we anticipate further profit improvement. Our focus remains on revenue generation as we help our clients build the best leadership teams."
Webcast of Investor Call Available
To review its 2002 second quarter financial results, the company will provide a real-time webcast of the related investor call on Thursday, August 1, 2002, at 9:00 a.m. Central Time. The call will last up to one hour and will feature remarks by Piers Marmion, Chairman and Chief Executive Officer, and Kevin Smith, Chief Financial Officer. The webcast will be available online at http://www.heidrick.com/ . Listeners should log on approximately ten minutes in advance to ensure they are set up to receive the webcast. A replay will be available for up to 30 days. The webcast will also be available through CCBN's Investor Distribution Network. Individual investors can listen to the webcast through CCBN's individual investor center at biz.yahoo.com/cc/ . Institutional investors can access the webcast via CCBN's password-protected event management site, StreetEvents, at http://www.streetevents.com/ .
About Heidrick & Struggles International, Inc.
Heidrick & Struggles International, Inc. is the world's premier provider
of executive-level search and leadership consulting services. Currently, approximately 1,600 Heidrick & Struggles search professionals and employees
operate from locations primarily in North America, Latin America, Europe, and Asia Pacific. For nearly 50 years, Heidrick & Struggles Executive Search has specialized in chief executive, board member and senior-level management assignments for a broad spectrum of clients: multi-national corporations, mid-cap and start-up companies, nonprofit entities, educational institutions, foundations, associations and governmental units. We are expanding our range of complementary services to offer solutions to senior management teams for their leadership needs, including recruitment of emerging talent, executive assessment, interim executive placement, and professional development. For
more information about Heidrick & Struggles, visit our web site at
http://www.heidrick.com/ .
Safe Harbor Statement
This news release contains forward-looking statements. The forward-looking statements are based on current expectations, estimates, forecasts and projections about the industry in which we operate and management's beliefs and assumptions. Forward-looking statements may be identified by the use of words such as "expects," "anticipates," "intends," "plans," "believes," "seeks," "estimates," and similar expressions. Forward-looking statements are not guarantees of future performance and involve certain known and unknown risks, uncertainties and assumptions that are difficult to predict. Actual outcomes and results may differ materially from what is expressed, forecasted or implied in the forward-looking statements. Factors that may affect the outcome of the forward-looking statements include, among other things, our ability to attract and retain qualified executive search consultants; economic weakness in the United States, Europe or elsewhere; social or political instability in overseas markets; price
competition; bad debt write-offs far inexcess of allowances for doubtful accounts; an inability to achieve the planned cost savings from our restructuring initiatives; and delays in the development and/or implementation of new technology and systems. We undertake no obligation to update publicly any forward-looking statements, whether as a result of new information, future events or otherwise.
Heidrick & Struggles International, Inc.
Consolidated Statements of Operations
(In thousands, except per share data)
Three Months Ended June 30,
2002 2001
Actual Adjustments Pro Actual Adjustments Pro
Forma Forma
Revenue:
Revenue before
reimbursements
(net revenue) $93,476 $- $93,476 $123,171 $- $123,171
Reimbursements(A) 6,834 (6,834) - 7,192 (7,192) -
Total
revenue 100,310 (6,834) 93,476 130,363 (7,192) 123,171
Operating expenses:
Salaries and
employee
benefits 64,273 - 64,273 80,550 - 80,550
General and
administrative
expenses(B) 28,247 - 28,247 41,740 (517) 41,223
Reimbursed
expenses(A) 6,834 (6,834) - 7,192 (7,192) -
Special
charges(C) - - - 8,163 (8,163) -
Total
operating
expenses 99,354 (6,834) 92,520 137,645 (15,872) 121,773
Operating
income (loss) 956 - 956 (7,282) 8,680 1,398
Non-operating
income (expense):
Interest income 383 - 383 1,419 - 1,419
Interest expense (37) - (37) (38) - (38)
Realized gains
(losses) on
investments(D) 47 (47) - 394 (394) -
Net unrealized
gain (loss) on
derivative
instruments(E) (1,432) 1,432 - (1,194) 1,194 -
Write-down of
long-term
investment(F) (5,000) 5,000 - - - -
Other, net (144) - (144) (264) - (264)
Net non-operating
income
(expense) (6,183) 6,385 202 317 800 1,117
Income (loss)
before income
taxes (5,227) 6,385 1,158 (6,965) 9,480 2,515
Provision for
(benefit from)
income taxes (1,830) 2,305 475 (2,995) 4,077 1,082
Net income (loss) $(3,397) $4,080 $683 $(3,970) $5,403 $1,433
Basic earnings
(loss) per
common share $(0.19) $0.04 $(0.21) $0.07
Basic weighted
average common
shares
outstanding 18,098 18,098 19,244 19,244
Diluted earnings
(loss) per
common share $(0.19) $0.04 $(0.21) $0.07
Diluted weighted
average common
share
outstanding 18,098 19,124 19,244 20,347
Salaries and
employee
benefits margin 68.8% 68.8% 65.4% 65.4%
General and
administrative
expense margin 30.2% 30.2% 33.9% 33.5%
Effective tax rate 35.0% 41.0% 43.0% 43.0%
Notes for the three months ended June 30, 2002 and June 30, 2001:
(A)In November 2001, the Emerging Issues Task Force reached a consensus on Issue No. 01-14, "Income Statement Characterization of Reimbursements Received for 'Out-of-Pocket' Expenses Incurred" (EITF 01-14). EITF 01-14 establishes that reimbursements received for certain out-of-pocket expenses should be reported as revenue. Historically, the Company classified reimbursements of out-of-pocket expenses as a reduction of operating expenses. The Company adopted this guidance in 2002. The pro forma results exclude the impact of adopting EITF 01-14.
(B)On January 1, 2002, the Company adopted Statement of Financial Accounting Standards (SFAS) No. 142,"Goodwill and Other Intangible Assets". Under the new rule, goodwill is no longer amortized. The 2001 second quarter pro forma results exclude $517,000 of goodwill amortization.
(C)During the 2001 second quarter, the Company announced a reduction of its workforce and recognized special charges of $8.2 million for severance and related costs. The pro forma results for the 2001 second quarter exclude the impact of these special charges.
(D)The pro forma results for the three months ended June 30, 2002 and 2001, respectively, exclude realized gains of $47,000 and $394,000, resulting from sales of equity securities, net of consultants' bonuses and administrative and other costs.
(E)On January 1, 2001, the Company adopted SFAS No. 133, "Accounting for Derivative Instruments and Hedging Activities," and its subsequent amendments. For the three months ended June 30, 2002 and 2001, respectively, the Company recorded unrealized losses of $1.4 million and $1.2 million, net of consultants' bonuses and administrative and other costs, due to SFAS No. 133. The 2002 and 2001 pro forma results exclude the impact of these unrealized losses.
(F)During the 2002 second quarter, the Company wrote-down its investment in ETF Group, incurring a non-cash charge of $5.0 million. The pro forma results exclude the impact of this write-down.
HEIDRICK & STRUGGLES INTERNATIONAL, INC.
SEGMENT INFORMATION - AS ADJUSTED
(In thousands)
Three Months Ended June 30,
2002 2001
2002 2001 $ Change % Change Margin Margin
Revenue(A)(B)
North America $52,226 $72,658 $(20,432) -28.1%
Latin America 2,575 3,534 (959) -27.1%
Europe 32,867 39,544 (6,677) -16.9%
Asia Pacific 5,808 7,435 (1,627) -21.9%
Total
Company $93,476 $123,171 $(29,695) -24.1%
Operating Income
(Loss)(B)
North America(C) $9,607 $7,156 $2,451 34.3% 18.4% 9.8%
Latin America (1,224) (378) (846) -223.8%
Europe(C) (300) 1,400 (1,700) 3.5%
Asia Pacific(C) 432 926 (494) -53.3% 7.4% 12.5%
Total Search 8,515 9,104 (589) -6.5% 9.1% 7.4%
Corporate(C) (7,559) (7,706) 147 1.9%
Total Company(D) $956 $1,398 $(442) -31.6% 1.0% 1.1%
Notes for the three months ended June 30, 2002 and June 30, 2001:
(A)In November 2001, the Emerging Issues Task Force reached a consensus on Issue No. 01-14, "Income Statement Characterization of Reimbursements Received for 'Out-of-Pocket' Expenses Incurred" (EITF 01-14). EITF 01- 14 establishes that reimbursements received for certain out-of-pocket expenses should be reported as revenue. Historically, the Company classified reimbursements of out-of-pocket expenses as a reduction of operating expenses. The Company adopted this guidance in 2002. The pro forma segment information for the three months ended June 30, 2002 and 2001 excludes the impact of adopting EITF 01-14.
(B)As of January 1, 2002, the Company completed the integration of LeadersOnline, its mid-level recruiting business, into the Executive Search business. The 2001 second quarter segment information has been restated to reflect this change.
(C)On January 1, 2002, the Company adopted Statement of Financial Accounting Standards (SFAS) No. 142, "Goodwill and Other Intangible Assets." Under SFAS No. 142, goodwill is no longer amortized. For the three months ended June 30, 2001, the pro forma operating results exclude goodwill amortization of $189,000 in North America, $104,000 in Europe, $17,000 in Asia Pacific and $207,000 in Corporate.
(D)During the 2001 second quarter, the Company announced a reduction of its workforce, and recognized special charges of $8.2 million for severance and related costs. The 2001 second quarter pro forma segment information excludes the impact of these special charges.
Heidrick & Struggles International, Inc.
Consolidated Statements of Operations
(In thousands, except per share data)
Six Months Ended June 30,
2002 2001
Actual Adjustments Pro Actual Adjustments Pro
Forma Forma
Revenue:
Revenue before
reimbursements
(net
revenue) $185,199 $- $185,199 $262,439 $- $262,439
Reimbursements
(A) 13,317 (13,317) - 14,264 (14,264) -
Total
revenue 198,516 (13,317) 185,199 276,703 (14,264) 262,439
Operating expenses:
Salaries and
employee
benefits 133,170 - 133,170 167,640 - 167,640
General and
administrative
expenses(B) 56,060 - 56,060 86,069 (1,079) 84,990
Reimbursed
expenses(A) 13,317 (13,317) - 14,264 (14,264) -
Special
charges(C) 23,169 (23,169) - 8,163 (8,163) -
Total
operating
expenses 225,716 (36,486) 189,230 276,136 (23,506) 252,630
Operating
income
(loss) (27,200) 23,169 (4,031) 567 9,242 9,809
Non-operating
income
(expense):
Interest
income 911 - 911 3,480 - 3,480
Interest
expense (88) - (88) (79) - (79)
Realized gains
(losses) on
investments(D) 47 (47) - 648 (648) -
Net unrealized
gain (loss) on
derivative
instruments(E) (1,289) 1,289 - (2,669) 2,669 -
Write-down of
long-term
investment(F) (5,000) 5,000 - - - -
Other, net 107 - 107 (426) - (426)
Net
non-operating
income
(expense) (5,312) 6,242 930 954 2,021 2,975
Income (loss)
before income
taxes and
cumulative effect
of accounting
change (32,512) 29,411 (3,101) 1,521 11,263 12,784
Provision for
(benefit from)
income taxes (11,380) 10,364 (1,016) 654 4,844 5,498
Net income
(loss) before
cumulative effect
of accounting
change (21,132) 19,047 (2,085) 867 6,419 7,286
Cumulative
effect of
accounting
change(G) - - - 4,494 (4,494) -
Net income (loss)$(21,132) $19,047 $(2,085) $5,361 $1,925 $7,286
Basic earnings
(loss) per
common share $(1.17) $(0.12) $0.28 $0.38
Basic weighted
average common
shares
outstanding 18,074 18,074 19,309 19,309
Diluted earnings
(loss) per
common share $(1.17) $(0.12) $0.26 $0.36
Diluted weighted
average common
share
outstanding 18,074 18,074 20,458 20,458
Salaries and
employee
benefits margin 71.9% 71.9% 63.9% 63.9%
General and
administrative
expense margin 30.3% 30.3% 32.8% 32.4%
Effective tax rate 35.0% 32.8% 43.0% 43.0%
Notes for the six months ended June 30, 2002 and June 30, 2001:
(A)In November 2001, the Emerging Issues Task Force reached a consensus on Issue No. 01-14, "Income Statement Characterization of Reimbursements Received for 'Out-of-Pocket' Expenses Incurred" (EITF 01-14). EITF 01-14 establishes that reimbursements received for certain out-of-pocket expenses should be reported as revenue. Historically, the Company classified reimbursements of out-of-pocket expenses as a reduction of operating expenses. The Company adopted this guidance in 2002. The pro forma results exclude the impact of adopting EITF 01-14.
(B)On January 1, 2002, the Company adopted Statement of Financial Accounting Standards (SFAS) No. 142,"Goodwill and Other Intangible Assets." Under the new rule, goodwill is no longer amortized. The pro forma results for the six months ended June 30, 2001 exclude approximately $1.1 million of goodwill amortization.
(C)During the 2001 second quarter, the Company announced a reduction of its workforce and recognized special charges of $8.2 million for severance and related costs.
During the 2001 fourth quarter, the Company announced additional reductions of its workforce and the consolidation and closing of offices. In the 2002 first quarter, the Company recognized special charges of $23.2 million related to these announced initiatives.
The pro forma results for the six months ended June 30, 2002 and 2001 exclude the impact of these special charges.
(D)The pro forma results for the six months ended June 30, 2002 and 2001, respectively, exclude realized gains of $47,000 and $648,000 resulting from sales of equity securities, net of consultants' bonuses and administrative and other costs.
(E)On January 1, 2001, the Company adopted SFAS No. 133, "Accounting for Derivative Instruments and Hedging Activities," and its subsequent amendments. For the six months ended June 30, 2002 and 2001, respectively, the Company recorded unrealized losses of $1.3 million and $2.7 million, net of consultants' bonuses and administrative and other costs, due to SFAS No. 133. The 2002 and 2001 pro forma results exclude the impact of these unrealized losses.
(F)During the second quarter of 2002, the Company wrote-down its investment in ETF Group, incurring a non-cash charge of $5.0 million.The pro forma results exclude the impact of this write-down.
(G)As a result of the adoption of SFAS No. 133, the Company recorded, as a cumulative effect of a change in accounting principle, a transition adjustment of $4.5 million, net of consultants' bonuses and other costs, and taxes. The pro forma results for the six months ended June 30, 2001 exclude the impact of this change in accounting principle.
HEIDRICK & STRUGGLES INTERNATIONAL, INC.
SEGMENT INFORMATION - AS ADJUSTED
(In thousands)
Six Months Ended June 30,
2002 2001
2002 2001 $ Change % Change Margin Margin
Revenue(A)(B)
North America $102,061 $147,964$(45,903) -31.0%
Latin America 5,471 7,869 (2,398) -30.5%
Europe 66,295 91,288 (24,993) -27.4%
Asia Pacific 11,372 15,318 (3,946) -25.8%
Total
Company $185,199 $262,439$(77,240) -29.4%
Operating Income
(Loss)(B)
North
America(C) $12,609 $12,947 $(338) -2.6% 12.4% 8.8%
Latin America (1,577) (595) (982) -165.0%
Europe(C) (1,257) 10,945 (12,202) 12.0%
Asia Pacific(C) 1,091 1,718 (627) -36.5% 9.6% 11.2%
Total Search 10,866 25,015 (14,149) -56.6% 5.9% 9.5%
Corporate(C) (14,897) (15,206) 309 2.0%
Total
Company(D) $(4,031) $9,809$(13,840) 3.7%
Notes for the six months ended June 30, 2002 and June 30, 2001:
(A)In November 2001, the Emerging Issues Task Force reached a consensus on Issue No. 01-14, "Income Statement Characterization of Reimbursements Received for 'Out-of-Pocket' Expenses Incurred" (EITF 01-14). EITF 01-14 establishes that reimbursements received for certain out-of-pocket expenses should be reported as revenue. Historically, the Company classified reimbursements of out-of-pocket expenses as a reduction of operating expenses. The Company adopted this guidance in 2002. The pro forma segment information for the six months ended June 30, 2002 and 2001 excludes the impact of adopting EITF 01-14.
(B)As of January 1, 2002, the Company completed the integration of LeadersOnline, its mid-level recruiting business, into the Executive Search business. The 2001 pro forma year to date segment information has been restated to reflect this change.
(C)On January 1, 2002, the Company adopted Statement of Financial Accounting Standards (SFAS) No. 142, "Goodwill and Other Intangible Assets." Under SFAS No. 142, goodwill is no longer amortized. For the six months ended June 30, 2001, the pro forma operating results exclude goodwill amortization of $378,000 in North America, $213,000 in Europe, $75,000 in Asia Pacific and $413,000 in Corporate.
(D)During the 2001 second quarter, the Company announced a reduction of its workforce, and recognized $8.2 million of special charges for severance and related costs.
During the 2001 fourth quarter, the Company announced additional reductions of its workforce and the consolidation and closing of offices. In the 2002 first quarter, the Company incurred special charges of $23.2 million related to these initiatives.
The pro forma segment information for the six months ended June 30, 2002 and 2001 excludes the impact of these special charges.
HEIDRICK & STRUGGLES INTERNATIONAL, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands)
June 30, December 31,
2002 2001
Current assets:
Cash and cash equivalents $84,952 $108,732
Accounts receivable, net of allowance for
doubtful accounts 71,619 54,241
Other receivables 3,530 5,870
Prepaid expenses 11,807 11,445
Income taxes recoverable 2,675 22,958
Deferred income taxes 36,575 36,605
Total current assets 211,158 239,851
Property and equipment, net 44,920 54,364
Non-current assets:
Assets designated for pension plans 19,069 16,624
Investments 6,681 14,836
Income taxes recoverable 15,536 -
Other assets 10,198 14,637
Deferred income taxes 7,598 7,089
Goodwill, net 51,829 51,110
Other intangibles, net 11,692 12,595
Total non-current assets 122,603 116,891
Total assets $378,681 $411,106
Current liabilities:
Current maturities of long-term debt $2,618 $2,480
Accounts payable 8,469 13,391
Accrued expenses-
Salaries and employee benefits 73,128 101,341
Other 37,710 29,853
Income taxes payable - -
Total current liabilities 121,925 147,065
Non-current liabilities:
Long-term debt, less current maturities 1,216 1,959
Retirement and pension plans 22,948 19,092
Non-current portion of special charges 16,097 13,282
Other non-current liabilities 259 117
Deferred income taxes - -
Total non-current liabilities 40,520 34,450
Stockholders' equity 216,236 229,591
Total liabilities and stockholders' equity $378,681 $411,106
SOURCE Heidrick & Struggles International, Inc.
Web site: http://www.heidrick.com/
CONTACT: media, Eric Sodorff, +1-312-496-1613, esodorff@heidrick.com , or analyst,
Lynn McHugh, +1-312-496-1593, lmchugh@heidrick.com , both of Heidrick & Struggles
International, Inc.