x
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QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
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o
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TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
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Delaware
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95-4023433
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(State of Incorporation)
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(I.R.S. Employer Identification No.)
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26745 Malibu Hills Road, Calabasas, CA
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91301
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(Address of principal executive offices)
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(Zip Code)
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(818) 878-7900
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||||||
(Registrant’s telephone number, including area code)
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||||||
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Large accelerated filer
x
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Accelerated filer
o
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Non-accelerated filer
o
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Smaller reporting company
o
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June 30,
2014 |
|
December 31,
2013
|
||||
ASSETS
|
|
|
|
||||
Current assets:
|
|
|
|
||||
Cash and cash equivalents
|
$
|
30,753
|
|
|
$
|
37,350
|
|
Accounts receivable, net of allowance of $4,374 and $3,067, respectively
|
295,935
|
|
|
262,224
|
|
||
Prepaid expenses
|
6,091
|
|
|
8,686
|
|
||
Deferred income tax assets
|
17,200
|
|
|
17,214
|
|
||
Workers' compensation and medical malpractice receivable
|
20,604
|
|
|
21,200
|
|
||
Other
|
3,090
|
|
|
3,200
|
|
||
Total current assets
|
373,673
|
|
|
349,874
|
|
||
|
|
|
|
||||
Property and equipment, net
|
42,200
|
|
|
38,591
|
|
||
Goodwill
|
574,951
|
|
|
574,948
|
|
||
Identifiable intangible assets, net
|
276,104
|
|
|
288,455
|
|
||
Other
|
8,651
|
|
|
9,326
|
|
||
Total Assets
|
$
|
1,275,579
|
|
|
$
|
1,261,194
|
|
|
|
|
|
||||
LIABILITIES AND STOCKHOLDERS’ EQUITY
|
|
|
|
||||
Current liabilities:
|
|
|
|
||||
Current portion of long-term debt
|
$
|
18,250
|
|
|
$
|
10,000
|
|
Accounts payable
|
5,545
|
|
|
8,370
|
|
||
Accrued payroll and contract professional pay
|
84,685
|
|
|
76,556
|
|
||
Workers’ compensation and medical malpractice loss reserves
|
32,678
|
|
|
32,751
|
|
||
Income taxes payable
|
5,783
|
|
|
13,418
|
|
||
Other
|
23,617
|
|
|
27,926
|
|
||
Total current liabilities
|
170,558
|
|
|
169,021
|
|
||
|
|
|
|
||||
Deferred income tax liabilities
|
49,525
|
|
|
49,584
|
|
||
Long-term debt
|
358,500
|
|
|
389,813
|
|
||
Other long-term liabilities
|
11,736
|
|
|
12,643
|
|
||
Total liabilities
|
590,319
|
|
|
621,061
|
|
||
Commitments and contingencies
|
|
|
|
|
|
||
Stockholders’ equity:
|
|
|
|
||||
Preferred stock, $0.01 par value, 1,000,000 shares authorized, no shares issued
|
—
|
|
|
—
|
|
||
Common stock, $0.01 par value, 75,000,000 shares authorized, 54,432,587 and 53,926,525 issued and outstanding, respectively
|
544
|
|
|
539
|
|
||
Paid-in capital
|
503,848
|
|
|
493,279
|
|
||
Retained earnings
|
180,905
|
|
|
146,199
|
|
||
Accumulated other comprehensive income (loss)
|
(37
|
)
|
|
116
|
|
||
Total stockholders’ equity
|
685,260
|
|
|
640,133
|
|
||
Total Liabilities and Stockholders’ Equity
|
$
|
1,275,579
|
|
|
$
|
1,261,194
|
|
|
Three Months Ended
|
|
Six Months Ended
|
||||||||||||
June 30,
|
June 30,
|
||||||||||||||
|
2014
|
|
2013
|
|
2014
|
|
2013
|
||||||||
Revenues
|
$
|
468,618
|
|
|
$
|
407,864
|
|
|
$
|
907,892
|
|
|
$
|
786,908
|
|
Cost of services
|
315,891
|
|
|
286,532
|
|
|
617,577
|
|
|
555,465
|
|
||||
Gross profit
|
152,727
|
|
|
121,332
|
|
|
290,315
|
|
|
231,443
|
|
||||
Selling, general and administrative expenses
|
107,923
|
|
|
84,282
|
|
|
212,057
|
|
|
166,159
|
|
||||
Amortization of intangible assets
|
6,156
|
|
|
5,275
|
|
|
12,328
|
|
|
10,654
|
|
||||
Operating income
|
38,648
|
|
|
31,775
|
|
|
65,930
|
|
|
54,630
|
|
||||
Interest expense, net
|
(3,103
|
)
|
|
(4,081
|
)
|
|
(6,431
|
)
|
|
(9,177
|
)
|
||||
Write-off of loan costs
|
—
|
|
|
(14,958
|
)
|
|
—
|
|
|
(14,958
|
)
|
||||
Income before income taxes
|
35,545
|
|
|
12,736
|
|
|
59,499
|
|
|
30,495
|
|
||||
Provision for income taxes
|
14,846
|
|
|
5,493
|
|
|
24,752
|
|
|
13,036
|
|
||||
Income from continuing operations
|
20,699
|
|
|
7,243
|
|
|
34,747
|
|
|
17,459
|
|
||||
Gain on sale of discontinued operations, net of income taxes
|
—
|
|
|
—
|
|
|
—
|
|
|
14,412
|
|
||||
Income (loss) from discontinued operations, net of income taxes
|
90
|
|
|
96
|
|
|
(41
|
)
|
|
81
|
|
||||
Net income
|
$
|
20,789
|
|
|
$
|
7,339
|
|
|
$
|
34,706
|
|
|
$
|
31,952
|
|
|
|
|
|
|
|
|
|
||||||||
Basic earnings per common share:
|
|
|
|
|
|
|
|
||||||||
Continuing operations
|
$
|
0.38
|
|
|
$
|
0.14
|
|
|
$
|
0.64
|
|
|
$
|
0.33
|
|
Discontinued operations
|
—
|
|
|
—
|
|
|
—
|
|
|
0.27
|
|
||||
Net income
|
$
|
0.38
|
|
|
$
|
0.14
|
|
|
$
|
0.64
|
|
|
$
|
0.60
|
|
|
|
|
|
|
|
|
|
||||||||
Diluted earnings per common share:
|
|
|
|
|
|
|
|
||||||||
Continuing operations
|
$
|
0.38
|
|
|
$
|
0.13
|
|
|
$
|
0.63
|
|
|
$
|
0.32
|
|
Discontinued operations
|
—
|
|
|
0.01
|
|
|
—
|
|
|
0.27
|
|
||||
Net income
|
$
|
0.38
|
|
|
$
|
0.14
|
|
|
$
|
0.63
|
|
|
$
|
0.59
|
|
|
|
|
|
|
|
|
|
||||||||
Number of shares and share equivalents used to calculate earnings per share:
|
|
|
|
|
|
|
|
||||||||
Basic
|
54,372
|
|
|
53,378
|
|
|
54,239
|
|
|
53,213
|
|
||||
Diluted
|
55,173
|
|
|
54,327
|
|
|
55,098
|
|
|
54,222
|
|
||||
|
|
|
|
|
|
|
|
||||||||
Reconciliation of net income to comprehensive income:
|
|
|
|
|
|
|
|
||||||||
Net income
|
$
|
20,789
|
|
|
$
|
7,339
|
|
|
$
|
34,706
|
|
|
$
|
31,952
|
|
Changes in fair value of derivatives, net of tax
|
7
|
|
|
76
|
|
|
51
|
|
|
143
|
|
||||
Foreign currency translation adjustment, net of tax
|
(160
|
)
|
|
403
|
|
|
(204
|
)
|
|
(856
|
)
|
||||
Comprehensive income
|
$
|
20,636
|
|
|
$
|
7,818
|
|
|
$
|
34,553
|
|
|
$
|
31,239
|
|
|
Six Months Ended
|
||||||
June 30,
|
|||||||
|
2014
|
|
2013
|
||||
Cash Flows from Operating Activities:
|
|
|
|
||||
Net income
|
$
|
34,706
|
|
|
$
|
31,952
|
|
Adjustments to reconcile net income to net cash provided by operating activities:
|
|
|
|
||||
Gain on sale of discontinued operations, net of income taxes
|
—
|
|
|
(14,412
|
)
|
||
Depreciation and amortization
|
18,463
|
|
|
14,434
|
|
||
Stock-based compensation
|
7,285
|
|
|
6,210
|
|
||
Write-off of loan costs
|
—
|
|
|
14,958
|
|
||
Gross excess tax benefits from stock-based compensation
|
(3,217
|
)
|
|
(2,704
|
)
|
||
Workers’ compensation and medical malpractice provision
|
2,505
|
|
|
3,071
|
|
||
Other
|
3,943
|
|
|
1,226
|
|
||
Changes in operating assets and liabilities, net of effects of acquisitions and divestitures:
|
|
|
|
||||
Accounts receivable
|
(37,067
|
)
|
|
(33,329
|
)
|
||
Prepaid expenses
|
1,461
|
|
|
2,521
|
|
||
Accounts payable
|
(2,872
|
)
|
|
(1,249
|
)
|
||
Accrued payroll and contract professional pay
|
8,125
|
|
|
12,493
|
|
||
Income taxes payable
|
(4,414
|
)
|
|
(1,214
|
)
|
||
Other
|
(3,909
|
)
|
|
(3,630
|
)
|
||
Net cash provided by operating activities
|
25,009
|
|
|
30,327
|
|
||
Cash Flows from Investing Activities:
|
|
|
|
||||
Cash paid for property and equipment
|
(9,638
|
)
|
|
(7,328
|
)
|
||
Cash received from sale of discontinued operations, net
|
—
|
|
|
31,922
|
|
||
Other
|
406
|
|
|
(1,872
|
)
|
||
Net cash provided by (used in) investing activities
|
(9,232
|
)
|
|
22,722
|
|
||
Cash Flows from Financing Activities:
|
|
|
|
||||
Principal payments of long-term debt
|
(122,563
|
)
|
|
(440,775
|
)
|
||
Proceeds from long-term debt
|
99,500
|
|
|
383,500
|
|
||
Proceeds from stock transactions
|
3,268
|
|
|
3,912
|
|
||
Payments of employment taxes related to release of restricted stock awards
|
(4,544
|
)
|
|
(5,602
|
)
|
||
Gross excess tax benefits from stock-based compensation
|
3,217
|
|
|
2,704
|
|
||
Debt issuance costs
|
(446
|
)
|
|
(6,563
|
)
|
||
Payments of accrued earn-outs
|
(691
|
)
|
|
(3,425
|
)
|
||
Other
|
—
|
|
|
(14
|
)
|
||
Net cash used in financing activities
|
(22,259
|
)
|
|
(66,263
|
)
|
||
Effect of exchange rate changes on cash and cash equivalents
|
(115
|
)
|
|
(154)
|
|
||
Net Decrease in Cash and Cash Equivalents
|
(6,597
|
)
|
|
(13,368
|
)
|
||
Cash and Cash Equivalents at Beginning of Year
|
37,350
|
|
|
27,479
|
|
||
Cash and Cash Equivalents at End of Period
|
$
|
30,753
|
|
|
$
|
14,111
|
|
|
|
|
|
||||
Supplemental Disclosure of Cash Flow Information:
|
|
|
|
||||
Cash paid for:
|
|
|
|
||||
Income taxes
|
$
|
29,175
|
|
|
$
|
12,580
|
|
Interest
|
$
|
5,899
|
|
|
$
|
8,535
|
|
|
|
|
|
||||
Supplemental Disclosure of Non-Cash Transactions:
|
|
|
|
||||
Acquisition of property and equipment through accounts payable
|
$
|
639
|
|
|
$
|
993
|
|
|
|
2013 Acquisitions
|
||||||
|
|
CyberCoders
|
|
Whitaker
|
||||
Current assets
|
|
$
|
10,583
|
|
|
$
|
9,155
|
|
Property and equipment
|
|
3,790
|
|
|
272
|
|
||
Goodwill
|
|
70,784
|
|
|
7,216
|
|
||
Identifiable intangible assets
|
|
36,450
|
|
|
9,760
|
|
||
Other
|
|
915
|
|
|
568
|
|
||
Total assets acquired
|
|
$
|
122,522
|
|
|
$
|
26,971
|
|
|
|
|
|
|
||||
Current liabilities
|
|
$
|
8,057
|
|
|
$
|
5,093
|
|
Other
|
|
15,817
|
|
|
551
|
|
||
Total liabilities assumed
|
|
23,874
|
|
|
5,644
|
|
||
Total purchase price
|
|
$
|
98,648
|
|
|
$
|
21,327
|
|
|
|
|
Identifiable Intangible Asset Value
|
||||||
|
Useful life
|
|
CyberCoders
|
|
Whitaker
|
||||
Contractor relationships
|
2.5 years
|
|
$
|
3,900
|
|
|
$
|
1,800
|
|
Customer relationships
|
3 – 7 years
|
|
750
|
|
|
5,900
|
|
||
Non-compete agreements
|
3 years
|
|
800
|
|
|
60
|
|
||
In-use software
|
6 years
|
|
18,900
|
|
|
—
|
|
||
Trademarks
|
indefinite
|
|
12,100
|
|
|
2,000
|
|
||
Total identifiable intangible assets acquired
|
|
|
$
|
36,450
|
|
|
$
|
9,760
|
|
Revenues
|
$
|
831,486
|
|
Income from continuing operations
|
$
|
19,693
|
|
Net income
|
$
|
34,186
|
|
|
|
||
Basic earnings per share:
|
|
||
Income from continuing operations
|
$
|
0.37
|
|
Net income
|
$
|
0.64
|
|
|
|
||
Diluted earnings per share:
|
|
||
Income from continuing operations
|
$
|
0.36
|
|
Net income
|
$
|
0.63
|
|
|
|
||
Number of shares used to calculate earnings per share:
|
|
||
Basic
|
53,213
|
|
|
Diluted
|
54,222
|
|
|
Three Months Ended
|
|
Six Months Ended
|
||||||||||||
|
June 30,
|
|
June 30,
|
||||||||||||
|
2014
|
|
2013
|
|
2014
|
|
2013
|
||||||||
Revenues
|
$
|
—
|
|
|
$
|
10,035
|
|
|
$
|
—
|
|
|
$
|
26,616
|
|
Income (loss) before income taxes
|
$
|
126
|
|
|
$
|
180
|
|
|
$
|
(83
|
)
|
|
$
|
311
|
|
Provision (benefit) for income taxes
|
$
|
36
|
|
|
$
|
84
|
|
|
$
|
(42
|
)
|
|
$
|
230
|
|
Net income (loss)
|
$
|
90
|
|
|
$
|
96
|
|
|
$
|
(41
|
)
|
|
$
|
81
|
|
|
2014
|
|
2013
|
||||
Senior Secured Debt
|
|
|
|
||||
Revolving credit facility, due May 2018
|
$
|
28,500
|
|
|
$
|
44,500
|
|
Term A loan facility, due May 2018
|
167,938
|
|
|
92,500
|
|
||
Term B loan facility, due May 2020
|
180,312
|
|
|
262,813
|
|
||
|
$
|
376,750
|
|
|
$
|
399,813
|
|
2014
|
|
$
|
9,125
|
|
2015
|
|
18,250
|
|
|
2016
|
|
18,250
|
|
|
2017
|
|
18,250
|
|
|
2018
|
|
132,562
|
|
|
Thereafter
|
|
180,313
|
|
|
|
|
$
|
376,750
|
|
|
As of June 30, 2014
|
||||||||||||||
|
Fair Value Measurements Using
|
|
Total
|
||||||||||||
|
Quoted Prices in Active Markets for Identical Assets
|
|
Significant Other Observable Inputs
|
|
Significant Unobservable Inputs
|
|
|
||||||||
|
(Level 1)
|
|
(Level 2)
|
|
(Level 3)
|
|
|
||||||||
Contingent consideration
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
(7,860
|
)
|
|
$
|
(7,860
|
)
|
|
|
|
|
|
|
|
|
||||||||
|
As of December 31, 2013
|
||||||||||||||
|
Fair Value Measurements Using
|
|
Total
|
||||||||||||
|
Quoted Prices in Active Markets for Identical Assets
|
|
Significant Other Observable Inputs
|
|
Significant Unobservable Inputs
|
|
|
||||||||
(Level 1)
|
|
(Level 2)
|
|
(Level 3)
|
|
|
|||||||||
Contingent consideration
|
$
|
—
|
|
|
$
|
—
|
|
|
$
|
(8,527
|
)
|
|
$
|
(8,527
|
)
|
|
Three Months Ended
|
|
Six Months Ended
|
||||||||||||
|
June 30,
|
June 30,
|
|||||||||||||
|
2014
|
|
2013
|
|
2014
|
|
2013
|
||||||||
Contingent consideration
|
|
|
|
|
|
|
|
||||||||
Balance at beginning of period
|
$
|
(7,860
|
)
|
|
$
|
(6,544
|
)
|
|
$
|
(8,527
|
)
|
|
$
|
(7,577
|
)
|
Payments on contingent consideration
|
—
|
|
|
3,425
|
|
|
691
|
|
|
3,425
|
|
||||
Fair value adjustment
|
—
|
|
|
62
|
|
|
—
|
|
|
892
|
|
||||
Foreign currency translation adjustment
|
—
|
|
|
(114
|
)
|
|
(24
|
)
|
|
89
|
|
||||
Balance at end of period
|
$
|
(7,860
|
)
|
|
$
|
(3,171
|
)
|
|
$
|
(7,860
|
)
|
|
$
|
(3,171
|
)
|
|
Apex
|
|
Oxford
|
|
Physician
|
|
Life Sciences Europe
|
|
Healthcare
|
|
Total
|
||||||||||||
Balance as of December 31, 2012
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Gross goodwill
|
$
|
289,712
|
|
|
$
|
150,619
|
|
|
$
|
51,561
|
|
|
$
|
3,753
|
|
|
$
|
122,230
|
|
|
$
|
617,875
|
|
Accumulated impairment
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(121,717
|
)
|
|
(121,717
|
)
|
||||||
|
289,712
|
|
|
150,619
|
|
|
51,561
|
|
|
3,753
|
|
|
513
|
|
|
496,158
|
|
||||||
Whitaker Acquisition (see Note 3)
|
—
|
|
|
—
|
|
|
7,452
|
|
|
—
|
|
|
—
|
|
|
7,452
|
|
||||||
CyberCoders Acquisition (see Note 3)
|
—
|
|
|
70,527
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
70,527
|
|
||||||
Divestiture - gross goodwill
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
(121,717
|
)
|
|
(121,717
|
)
|
||||||
Divestiture - accumulated impairment
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
121,717
|
|
|
121,717
|
|
||||||
Transfers
|
—
|
|
|
513
|
|
|
—
|
|
|
—
|
|
|
(513
|
)
|
|
—
|
|
||||||
Translation adjustment
|
—
|
|
|
—
|
|
|
—
|
|
|
811
|
|
|
—
|
|
|
811
|
|
||||||
Balance as of December 31, 2013
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Gross goodwill
|
289,712
|
|
|
221,659
|
|
|
59,013
|
|
|
4,564
|
|
|
—
|
|
|
574,948
|
|
||||||
Accumulated impairment
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
|
289,712
|
|
|
221,659
|
|
|
59,013
|
|
|
4,564
|
|
|
—
|
|
|
574,948
|
|
||||||
Acquisition accounting
|
—
|
|
|
257
|
|
|
(236
|
)
|
|
—
|
|
|
—
|
|
|
21
|
|
||||||
Translation adjustment
|
—
|
|
|
—
|
|
|
—
|
|
|
(18
|
)
|
|
—
|
|
|
(18
|
)
|
||||||
Balance as of June 30, 2014
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Gross goodwill
|
289,712
|
|
|
221,916
|
|
|
58,777
|
|
|
4,546
|
|
|
—
|
|
|
574,951
|
|
||||||
Accumulated impairment
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
|
—
|
|
||||||
|
$
|
289,712
|
|
|
$
|
221,916
|
|
|
$
|
58,777
|
|
|
$
|
4,546
|
|
|
$
|
—
|
|
|
$
|
574,951
|
|
|
|
|
As of June 30, 2014
|
|
As of December 31, 2013
|
||||||||||||||||||||
|
Estimated Useful Life
|
|
Gross Carrying Amount
|
|
Accumulated Amortization
|
|
Net Carrying Amount
|
|
Gross Carrying Amount
|
|
Accumulated Amortization
|
|
Net Carrying Amount
|
||||||||||||
Intangible assets subject to amortization:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Customer relations
|
3 months – 10 years
|
|
$
|
109,999
|
|
|
$
|
49,682
|
|
|
$
|
60,317
|
|
|
$
|
110,007
|
|
|
$
|
41,564
|
|
|
$
|
68,443
|
|
Contractor relations
|
2 - 7 years
|
|
43,595
|
|
|
33,074
|
|
|
10,521
|
|
|
43,598
|
|
|
30,737
|
|
|
12,861
|
|
||||||
Non-compete agreements
|
2 - 7 years
|
|
3,860
|
|
|
1,716
|
|
|
2,144
|
|
|
3,863
|
|
|
1,424
|
|
|
2,439
|
|
||||||
In-use software
|
6 years
|
|
18,900
|
|
|
1,839
|
|
|
17,061
|
|
|
18,900
|
|
|
263
|
|
|
18,637
|
|
||||||
|
|
|
176,354
|
|
|
86,311
|
|
|
90,043
|
|
|
176,368
|
|
|
73,988
|
|
|
102,380
|
|
||||||
Intangible assets not subject to amortization:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Trademarks
|
|
|
186,061
|
|
|
—
|
|
|
186,061
|
|
|
186,075
|
|
|
—
|
|
|
186,075
|
|
||||||
Goodwill
|
|
|
574,951
|
|
|
—
|
|
|
574,951
|
|
|
574,948
|
|
|
—
|
|
|
574,948
|
|
||||||
Total
|
|
|
$
|
937,366
|
|
|
$
|
86,311
|
|
|
$
|
851,055
|
|
|
$
|
937,391
|
|
|
$
|
73,988
|
|
|
$
|
863,403
|
|
2014
|
$
|
12,184
|
|
2015
|
21,323
|
|
|
2016
|
17,718
|
|
|
2017
|
12,886
|
|
|
2018
|
10,305
|
|
|
Thereafter
|
15,627
|
|
|
|
$
|
90,043
|
|
|
Three Months Ended
|
|
Six Months Ended
|
||||||||
|
June 30,
|
|
June 30,
|
||||||||
|
2014
|
|
2013
|
|
2014
|
|
2013
|
||||
Weighted average number of common shares outstanding used to compute basic earnings per share
|
54,372
|
|
|
53,378
|
|
|
54,239
|
|
|
53,213
|
|
Dilutive effect of stock-based awards
|
801
|
|
|
949
|
|
|
859
|
|
|
1,009
|
|
Number of shares used to compute diluted earnings per share
|
55,173
|
|
|
54,327
|
|
|
55,098
|
|
|
54,222
|
|
|
Three Months Ended June 30, 2014
|
||||||||||||||||||||||
|
Apex
|
|
Oxford
|
|
Physician
|
|
Life Sciences Europe
|
|
Corporate
|
|
Total
|
||||||||||||
Revenues
|
$
|
297,893
|
|
|
$
|
126,004
|
|
|
$
|
33,657
|
|
|
$
|
11,064
|
|
|
$
|
—
|
|
|
$
|
468,618
|
|
Gross profit
|
84,677
|
|
|
53,611
|
|
|
10,298
|
|
|
4,141
|
|
|
—
|
|
|
152,727
|
|
||||||
Operating income
|
31,708
|
|
|
17,828
|
|
|
2,455
|
|
|
1,028
|
|
|
(14,371
|
)
|
|
38,648
|
|
||||||
Amortization
|
4,089
|
|
|
1,362
|
|
|
634
|
|
|
71
|
|
|
—
|
|
|
6,156
|
|
|
Three Months Ended June 30, 2013
|
||||||||||||||||||||||
|
Apex
|
|
Oxford
|
|
Physician
|
|
Life Sciences Europe
|
|
Corporate
|
|
Total
|
||||||||||||
Revenues
|
$
|
262,347
|
|
|
$
|
109,153
|
|
|
$
|
26,466
|
|
|
$
|
9,898
|
|
|
$
|
—
|
|
|
$
|
407,864
|
|
Gross profit
|
72,912
|
|
|
37,122
|
|
|
7,640
|
|
|
3,658
|
|
|
—
|
|
|
121,332
|
|
||||||
Operating income
|
24,637
|
|
|
15,944
|
|
|
2,213
|
|
|
448
|
|
|
(11,467
|
)
|
|
31,775
|
|
||||||
Amortization
|
4,881
|
|
|
96
|
|
|
176
|
|
|
102
|
|
|
20
|
|
|
5,275
|
|
|
Six Months Ended June 30, 2014
|
||||||||||||||||||||||
|
Apex
|
|
Oxford
|
|
Physician
|
|
Life Sciences Europe
|
|
Corporate
|
|
Total
|
||||||||||||
Revenues
|
$
|
576,301
|
|
|
$
|
243,504
|
|
|
$
|
65,448
|
|
|
$
|
22,639
|
|
|
$
|
—
|
|
|
$
|
907,892
|
|
Gross profit
|
160,183
|
|
|
102,637
|
|
|
19,136
|
|
|
8,359
|
|
|
—
|
|
|
290,315
|
|
||||||
Operating income
|
54,492
|
|
|
32,112
|
|
|
3,714
|
|
|
2,227
|
|
|
(26,615
|
)
|
|
65,930
|
|
||||||
Amortization
|
8,178
|
|
|
2,732
|
|
|
1,268
|
|
|
142
|
|
|
8
|
|
|
12,328
|
|
|
Six Months Ended June 30, 2013
|
||||||||||||||||||||||
|
Apex
|
|
Oxford
|
|
Physician
|
|
Life Sciences Europe
|
|
Corporate
|
|
Total
|
||||||||||||
Revenues
|
$
|
502,112
|
|
|
$
|
211,841
|
|
|
$
|
52,768
|
|
|
$
|
20,187
|
|
|
$
|
—
|
|
|
$
|
786,908
|
|
Gross profit
|
136,893
|
|
|
71,937
|
|
|
15,123
|
|
|
7,490
|
|
|
—
|
|
|
231,443
|
|
||||||
Operating income
|
41,866
|
|
|
29,610
|
|
|
4,639
|
|
|
981
|
|
|
(22,466
|
)
|
|
54,630
|
|
||||||
Amortization
|
9,762
|
|
|
203
|
|
|
352
|
|
|
262
|
|
|
75
|
|
|
10,654
|
|
|
Three Months Ended
|
|
Six Months Ended
|
||||||||||||
|
June 30,
|
|
June 30,
|
||||||||||||
|
2014
|
|
2013
|
|
2014
|
|
2013
|
||||||||
Revenues:
|
|
|
|
|
|
|
|
||||||||
Domestic
|
$
|
448,296
|
|
|
$
|
388,744
|
|
|
$
|
866,960
|
|
|
$
|
747,393
|
|
Foreign
|
20,322
|
|
|
19,120
|
|
|
40,932
|
|
|
39,515
|
|
||||
|
$
|
468,618
|
|
|
$
|
407,864
|
|
|
$
|
907,892
|
|
|
$
|
786,908
|
|
CHANGES IN RESULTS OF OPERATIONS FOR THE THREE MONTHS ENDED JUNE 30, 2014 COMPARED WITH THE THREE MONTHS ENDED JUNE 30, 2013
|
|
Three Months Ended
|
|
Change
|
|||||||||||
June 30,
|
||||||||||||||
|
2014
|
|
2013
|
|
$
|
|
%
|
|||||||
Apex
|
$
|
297,893
|
|
|
$
|
262,347
|
|
|
$
|
35,546
|
|
|
13.5
|
%
|
Oxford
|
126,004
|
|
|
109,153
|
|
|
16,851
|
|
|
15.4
|
%
|
|||
Physician
|
33,657
|
|
|
26,466
|
|
|
7,191
|
|
|
27.2
|
%
|
|||
Life Sciences Europe
|
11,064
|
|
|
9,898
|
|
|
1,166
|
|
|
11.8
|
%
|
|||
|
$
|
468,618
|
|
|
$
|
407,864
|
|
|
$
|
60,754
|
|
|
14.9
|
%
|
|
Three Months Ended
|
||||||||||||
June 30,
|
|||||||||||||
|
2014
|
|
2013
|
||||||||||
|
Gross Profit
|
|
Gross Margin
|
|
Gross Profit
|
|
Gross Margin
|
||||||
Apex
|
$
|
84,677
|
|
|
28.4
|
%
|
|
$
|
72,912
|
|
|
27.8
|
%
|
Oxford
|
53,611
|
|
|
42.5
|
%
|
|
37,122
|
|
|
34.0
|
%
|
||
Physician
|
10,298
|
|
|
30.6
|
%
|
|
7,640
|
|
|
28.9
|
%
|
||
Life Sciences Europe
|
4,141
|
|
|
37.4
|
%
|
|
3,658
|
|
|
37.0
|
%
|
||
|
$
|
152,727
|
|
|
32.6
|
%
|
|
$
|
121,332
|
|
|
29.7
|
%
|
|
|
|
|
|
|
|
|
|
|
CHANGES IN RESULTS OF OPERATIONS FOR THE SIX MONTHS ENDED JUNE 30, 2014 COMPARED WITH THE SIX MONTHS ENDED JUNE 30, 2013
|
|
|
|
|
|
|
|
|
|
||||||
|
Six Months Ended
|
|
Change
|
|||||||||||
June 30,
|
||||||||||||||
|
2014
|
|
2013
|
|
$
|
|
%
|
|||||||
Apex
|
$
|
576,301
|
|
|
$
|
502,112
|
|
|
$
|
74,189
|
|
|
14.8
|
%
|
Oxford
|
243,504
|
|
|
211,841
|
|
|
31,663
|
|
|
14.9
|
%
|
|||
Physician
|
65,448
|
|
|
52,768
|
|
|
12,680
|
|
|
24.0
|
%
|
|||
Life Sciences Europe
|
22,639
|
|
|
20,187
|
|
|
2,452
|
|
|
12.1
|
%
|
|||
|
$
|
907,892
|
|
|
$
|
786,908
|
|
|
$
|
120,984
|
|
|
15.4
|
%
|
|
|
|
|
|
|
|
|
|
|
||||
|
Six Months Ended
|
||||||||||||
June 30,
|
|||||||||||||
|
2014
|
|
2013
|
||||||||||
|
Gross Profit
|
|
Gross Margin
|
|
Gross Profit
|
|
Gross Margin
|
||||||
Apex
|
$
|
160,183
|
|
|
27.8
|
%
|
|
$
|
136,893
|
|
|
27.3
|
%
|
Oxford
|
102,637
|
|
|
42.2
|
%
|
|
71,937
|
|
|
34.0
|
%
|
||
Physician
|
19,136
|
|
|
29.2
|
%
|
|
15,123
|
|
|
28.7
|
%
|
||
Life Sciences Europe
|
8,359
|
|
|
36.9
|
%
|
|
7,490
|
|
|
37.1
|
%
|
||
|
$
|
290,315
|
|
|
32.0
|
%
|
|
$
|
231,443
|
|
|
29.4
|
%
|
|
ON ASSIGNMENT, INC.
|
|
|
|
|
Date: August 8, 2014
|
By:
|
/s/ Edward L. Pierce
|
|
|
Edward L. Pierce
|
|
|
Executive Vice President and Chief Financial Officer
|
|
|
(Principal Financial and Accounting Officer)
|
Participant:
|
Peter T. Dameris
|
Grant Date:
|
|
Grant Number:
|
________ (“
RSU Award
”)
|
Total Number of RSUs:
|
|
Vesting Schedule:
|
[Set forth performance goal and performance period.]
|
Termination:
|
If Participant experiences a Termination of Service prior to the applicable vesting date, all RSUs that have not become vested on or prior to the date of such Termination of Service (after taking into consideration any vesting that may occur in connection with such Termination of Service, if any), will thereupon be automatically forfeited by Participant without payment of any consideration therefor;
provided
,
however
, that if Participant experiences a Qualifying Termination (as defined in the Participant’s employment agreement), the RSUs shall remain outstanding and eligible to vest in accordance with Section 2.3(b) of the Restricted Stock Unit Award Agreement.
|
Dated: ________________________
|
_________________________________
|
|
Signature of Spouse
|
Participant:
|
Peter T. Dameris
|
Grant Date:
|
|
|
|
Grant Number:
|
_______
2014 Additional Performance Award (Tranche C), (the “APA Grant”)
|
|
|
Value:
|
$500,000.00 divided by the closing price of the Company’s common stock on the date of settlement of the APA Grant.
|
Terms:
|
[Set forth performance target and performance period.]
|
Termination:
|
The terms of your Amended and Restated Senior Executive Agreement, dated as of December 13, 2012 (the “Employment Agreement”), shall govern.
|
On Assignment, Inc.:
|
PARTICIPANT:
|
||
By:
|
|
By:
|
|
Print Name:
|
|
Print Name:
|
Peter T. Dameris
|
Dated: ________________________
|
_________________________________
|
|
Signature of Spouse
|
Date: August 8, 2014
|
|
/s/ Peter T. Dameris
|
Peter T. Dameris
|
President and Chief Executive Officer
|
Date: August 8, 2014
|
|
|
|
/s/ Edward L. Pierce
|
|
Edward L. Pierce
|
|
Executive Vice President and Chief Financial Officer
|
Date: August 8, 2014
|
By:
|
/s/ Peter T. Dameris
|
|
|
Peter T. Dameris
|
|
|
President and Chief Executive Officer
|
|
|
|
|
|
|
|
|
|
|
|
|
Date: August 8, 2014
|
By:
|
/s/ Edward L. Pierce
|
|
|
Edward L. Pierce
|
|
|
Executive Vice President and Chief Financial Officer
|
|
|
|
|
|
|
|
|
|
|
|
|