FTI Consulting Reports Second Quarter 2013 Results

              FTI Consulting Reports Second Quarter 2013 Results

- Second Quarter Revenues of $414.6 Million

- Second Quarter Adjusted EPS of $0.58

- 2013 Guidance Reduced Primarily Due to Softness in North America
Restructuring Demand

PR Newswire

WEST PALM BEACH, Fla., Aug. 8, 2013

WEST PALM BEACH, Fla., Aug. 8, 2013 /PRNewswire/ -- FTI Consulting, Inc.
(NYSE: FCN), the global business advisory firm dedicated to helping
organizations protect and enhance their enterprise value (the "Company"),
today released its financial results for the quarter ended June 30, 2013.

For the quarter, revenues increased 4.6 percent to $414.6 million compared to
$396.2 million in the prior year quarter. Fully diluted earnings per share
("EPS") were $0.58 for the quarter compared to $0.18 in the prior year
quarter, which included a special charge reducing EPS by $0.42. Adjusted EPS
were $0.58 for the quarter compared to $0.60 in the prior year quarter.
Adjusted EPS for the quarter were reduced by $0.04 per share as a result of an
Australian "Stamp Tax" and other closing costs related to our acquisition of
an Australian corporate advisory firm. As discussed elsewhere in this press
release, Adjusted EPS for the quarter also included the offsetting effects of
two non-cash valuation adjustments – a revaluation gain related to the
contingent consideration liability of a prior acquisition which increased
Adjusted EPS by $0.18 and a deferred tax valuation reserve related to foreign
tax credits which reduced Adjusted EPS by $0.17.

Adjusted EBITDA was $74.2 million for the quarter compared to $66.6 million in
the prior year quarter. Adjusted EBITDA included the revaluation gain of $8.2
million during the quarter, compared to a revaluation gain of $4.1 million in
the prior year quarter. The increase in Adjusted EBITDA compared to the prior
year quarter resulted from the larger revaluation gain in the current quarter
and a reduction of performance-based compensation expense.

Adjusted EPS, Adjusted EBITDA and Adjusted Segment EBITDA are non-GAAP
measures defined elsewhere in this press release and are reconciled to GAAP
measures in the financial tables that accompany this press release.

Commenting on these results, Jack Dunn, FTI Consulting President and Chief
Executive Officer said, "The most significant factor affecting the quarter's
performance and our reduced guidance for the year was slowing demand for
bankruptcy and restructuring work in North America. Record levels of new
speculative grade and structured finance offerings and the continuation of the
Fed's policy of quantitative easing have resulted in lower than expected
default rates and demand for bankruptcy and restructuring services. On the
other hand, the record level of highly levered debt outstanding over the long
term should create the potential for significant engagements when interest
rates and default rates regress to more normal levels."

"Across the remainder of our business, results included continued strength in
our Economic Consulting segment, notably in Europe. We also realized improved
revenues and profitability in our Technology segment driven by increased
demand for our M&A-related second request services, and 12 percent revenue
growth over the prior year quarter in our health solutions practice."

Cash and Capital Allocation

Net cash provided by operating activities in the quarter was $21.7 million
compared to $0.5 million in the prior year quarter, primarily due to strong
cash collections. Cash and cash equivalents were $92.6 million at June 30,
2013. During the quarter, the Company utilized cash of $25.8 million for
acquisitions, which was primarily related to the acquisition of an Australian
corporate advisory firm.

Second Quarter Segment Results

Corporate Finance/Restructuring

Revenues in the Corporate Finance/Restructuring segment were $96.7 million in
the quarter compared to $96.2 million in the prior year quarter. The segment
benefited from three acquisitions which contributed revenues of $13.0 million
in the quarter; however, the segment experienced an equivalent decline in
bankruptcy and restructuring revenues in the North America and Asia Pacific
regions. Adjusted Segment EBITDA was $24.1 million or 24.9 percent of segment
revenues, compared to $27.3 million or 28.4 percent of segment revenues in the
prior year quarter. Adjusted Segment EBITDA included a revaluation gain of
$6.3 million during the quarter, compared to a revaluation gain of $3.8
million in the prior year quarter, and a reduction of $1.8 million due to the
Australian "Stamp Tax" and other closing costs related to our acquisition of
an Australian corporate advisory firm. Adjusted Segment EBITDA margin in the
quarter was reduced by underutilization in the segment's North America
bankruptcy and restructuring practice, which was partially offset by a
reduction of performance-based compensation expense and the revaluation gain.

Economic Consulting

Revenues in the Economic Consulting segment increased 11.6 percent to $111.0
million compared to $99.5 million in the prior year quarter. The increase in
revenues was driven by continued strong demand for the segment's antitrust
litigation services in North America and Europe, Middle East and Africa
("EMEA") and international arbitration, regulatory and valuation practices in
EMEA. Adjusted Segment EBITDA was $20.8 million or 18.7 percent of segment
revenues, compared to $18.5 million or 18.6 percent of segment revenues in the
prior year quarter.

Forensic and Litigation Consulting

Revenues in the Forensic and Litigation Consulting segment were $105.1 million
in the quarter compared to $106.3 million in the prior year quarter. Revenue
growth in the health solutions practice was offset by continued weak demand
for the segment's North America investigations and trial services practices.
Adjusted Segment EBITDA was $20.7 million or 19.7 percent of segment revenues,
compared to $19.5 million or 18.4 percent of segment revenues in the prior
year quarter. Adjusted Segment EBITDA included a revaluation gain of $1.9
million during the quarter, compared to a revaluation gain of $0.3 million in
the prior year quarter. The increase in Adjusted Segment EBITDA margin was due
to a reduction of performance-based compensation expense and the larger
revaluation gain in the quarter, which was partially offset by
underutilization in the trial services practice and investments in certain new
EMEA practices.

Technology

Revenues in the Technology segment increased 7.3 percent to $51.2 million
compared to $47.7 million in the prior year quarter. The increase in revenues
was due to increased volume for M&A-related second request services and
continued growth in EMEA and North America related to financial services
investigations and competition matters. Adjusted Segment EBITDA was $16.9
million or 33.0 percent of segment revenues, compared to $12.9 million or 26.9
percent of segment revenues in the prior year quarter. Adjusted Segment EBITDA
margin in the quarter was positively impacted by increased volumes for
services and a lower level of R&D spend due to the completion of recently
released versions of Ringtail®, which was partially offset by reduced pricing
for services and consulting.

Strategic Communications

Revenues in the Strategic Communications segment increased 8.4 percent to
$50.6 million compared to $46.6 million in the prior year quarter. The
increase in revenues included a $1.5 million contribution from the acquisition
of a U.S. public policy group completed in March 2013, increased pass-through
revenues for certain North America retained engagements and improved project
income in North America and EMEA. Adjusted Segment EBITDA was $5.2 million or
10.3 percent of segment revenues, compared to $5.0 million or 10.7 percent of
segment revenues in the prior year quarter. Adjusted Segment EBITDA margin was
adversely impacted by a greater proportion of low margin pass-through
revenues.

Non-Cash Valuation Adjustments

For the quarter, EPS and Adjusted EPS included the offsetting effects of
non-cash valuation adjustments of (1) an acquisition-related contingent
consideration liability, and (2) a foreign tax credit asset.

The Company reduced its acquisition-related contingent consideration liability
related to business operations in Asia that were acquired in 2010, based upon
a re-evaluation of the consideration expected to be paid over the remaining
earn out period. The $8.2 million non-cash valuation adjustment was recorded
as a revaluation gain and is included within "Acquisition-related contingent
consideration" in the Consolidated Statement of Income. This revaluation gain
resulted in a $0.18 increase in EPS and Adjusted EPS for the quarter. A
revaluation gain of $4.1 million related to the same business operations was
recorded in the prior year quarter, resulting in a $0.08 increase in EPS and
Adjusted EPS.

Additionally, a $6.9 million non-cash valuation reserve was recorded to reduce
a deferred tax asset previously established to reflect the benefit of future
foreign tax credits which, based on a current assessment, may not be
realizable in the future. This valuation allowance was recorded as an increase
in income tax expense for the quarter, which decreased EPS and Adjusted EPS by
$0.17.

2013 Guidance

Based on current market conditions, in particular the weakened outlook for
North America bankruptcy and restructuring engagements, the Company now
estimates that revenues for 2013 will be between $1.62 billion and $1.65
billion and Adjusted EPS will be between $2.10 and $2.20.

Second Quarter Conference Call

FTI Consulting will hold a conference call for analysts and investors to
discuss second quarter financial results at 9:00 AM Eastern Time on August 8,
2013. The call can be accessed live and will be available for replay over the
Internet for 90 days by logging onto the Company's website at
www.fticonsulting.com.

About FTI Consulting

FTI Consulting, Inc. is a global business advisory firm dedicated to helping
organizations protect and enhance enterprise value in an increasingly complex
legal, regulatory and economic environment. With over 4,000 employees located
in 24 countries, FTI Consulting professionals work closely with clients to
anticipate, illuminate and overcome complex business challenges in areas such
as investigations, litigation, mergers and acquisitions, regulatory issues,
reputation management, strategic communications and restructuring. The Company
generated $1.58 billion in revenues during fiscal year 2012. More information
can be found at www.fticonsulting.com.

Use of Non-GAAP Measures

Note: We define Segment Operating Income as a segment's share of consolidated
operating income. We define Total Segment Operating Income as the total of
Segment Operating Income for all segments, which excludes unallocated
corporate expenses. We use Segment Operating Income for the purpose of
calculating Adjusted Segment EBITDA. We define Adjusted EBITDA as consolidated
net income before income tax provision, other non-operating income (expense),
depreciation, amortization of intangible assets, special charges and goodwill
impairment charges. We define Adjusted Segment EBITDA as a segment's share of
consolidated operating income before depreciation, amortization of intangible
assets, special charges and goodwill impairment charges. We define Total
Adjusted Segment EBITDA as the total of Adjusted Segment EBITDA for all
segments, which excludes unallocated corporate expenses. We use Adjusted
Segment EBITDA to internally evaluate the financial performance of our
segments because we believe it is a useful supplemental measure which reflects
current core operating performance and provides an indicator of the segment's
ability to generate cash. We also believe that these measures, when considered
together with our GAAP financial results, provide management and investors
with a more complete understanding of our operating results, including
underlying trends, by excluding the effects of special charges and goodwill
impairment charges. In addition, EBITDA is a common alternative measure of
operating performance used by many of our competitors. It is used by
investors, financial analysts, rating agencies and others to value and compare
the financial performance of companies in our industry. Therefore, we also
believe that these measures, considered along with corresponding GAAP
measures, provide management and investors with additional information for
comparison of our operating results to the operating results of other
companies.

We define Adjusted Net Income and Adjusted Earnings per Diluted Share as net
income and earnings per diluted share, respectively, excluding the impact of
special charges, goodwill impairment charges and losses on early
extinguishment of debt. We use Adjusted Net Income for the purpose of
calculating Adjusted Earnings per Diluted Share. Management uses Adjusted
Earnings per Diluted Share to assess total Company operating performance on a
consistent basis. We believe that this measure, when considered together with
our GAAP financial results, provides management and investors with a more
complete understanding of our business operating results, including underlying
trends, by excluding the effects of special charges, goodwill impairment
charges and losses on early extinguishment of debt. Non-GAAP financial
measures are not defined in the same manner by all companies and may not be
comparable to other similarly titled measures of other companies. Non-GAAP
financial measures should be considered in addition to, but not as a
substitute for or superior to, the information contained in our Consolidated
Statements of Comprehensive Income (Loss). Reconciliations of GAAP to non-GAAP
financial measures are included elsewhere in this press release.

Safe Harbor Statement

This press release includes "forward-looking statements" within the meaning of
Section 27A of the

Securities Act of 1933, as amended, and Section 21E of the Securities Exchange
Act of 1934, as amended, which involve uncertainties and risks.
Forward-looking statements include statements concerning our plans,
objectives, goals, strategies, future events, future revenues, future results
and performance, expectations, plans or intentions relating to acquisitions
and other matters, business trends and other information that is not
historical, including statements regarding estimates of our future financial
results. When used in this press release, words such as "estimates,"
"expects," "anticipates," "projects," "plans," "intends," "believes,"
"forecasts" and variations of such words or similar expressions are intended
to identify forward-looking statements. All forward-looking statements,
including, without limitation, estimates of our future financial results, are
based upon our expectations at the time we make them and various assumptions.
Our expectations, beliefs and projections are expressed in good faith, and we
believe there is a reasonable basis for them. However, there can be no
assurance that management's expectations, beliefs and estimates will be
achieved, and the Company's actual results may differ materially from our
expectations, beliefs and estimates. Further, preliminary results are subject
to normal year-end adjustments. The Company has experienced fluctuating
revenues, operating income and cash flow in prior periods and expects that
this will occur from time to time in the future. Other factors that could
cause such differences include declines in demand for, or changes in, the mix
of services and products that we offer, the mix of the geographic locations
where our clients are located or where services are performed, adverse
financial, real estate or other market and general economic conditions, which
could impact each of our segments differently, the pace and timing of the
consummation and integration of past and future acquisitions, the Company's
ability to realize cost savings and efficiencies, competitive and general
economic conditions, retention of staff and clients and other risks described
under the heading "Item 1A Risk Factors" in the Company's most recent Form
10-K filed with the SEC on February 28, 2013, the Current Report on Form 8-K
dated May 21, 2013 and in the Company's other filings with the Securities and
Exchange Commission, including the risks set forth under "Risks Related to Our
Operating Segments" and "Risks Related to Our Operations". We are under no
duty to update any of the forward looking statements to conform such
statements to actual results or events and do not intend to do so.

FINANCIAL TABLES FOLLOW

# # #



FTI CONSULTING, INC.
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
FOR THE SIX MONTHS ENDED JUNE 30, 2013 AND 2012
(in thousands, except per share data)
(unaudited)
                                        Six Months Ended
                                        June 30,
                                        2013                 2012
Revenues                                $             $      
                                        821,791              791,471
Operating expenses
Direct cost of revenues                 518,008              493,838
Selling, general and administrative     192,972              195,049
expense
Special charges                         427                  26,782
Acquisition-related contingent          (6,721)              (2,984)
consideration
Amortization of other intangible assets 11,517               11,007
                                        716,203              723,692
Operating income                        105,588              67,779
Other income (expense)
Interest income and other               550                  2,919
Interest expense                        (25,786)             (30,399)
                                        (25,236)             (27,480)
Income before income tax provision      80,352               40,299
Income tax provision                    33,186               14,121
Net income                             $            $       
                                        47,166               26,178
Earnings per common share - basic      $           $        
                                         1.20                0.65
Weighted average common shares          39,272               40,475
outstanding - basic
Earnings per common share - diluted     $           $        
                                         1.17                0.61
Weighted average common shares          40,456               42,672
outstanding - diluted
Other comprehensive income (loss), net
of tax:
Foreign currency translation            $             $        
adjustments, net of tax $0              (27,223)             1,889
Other comprehensive income (loss), net  (27,223)             1,889
of tax
Comprehensive income                    $            $       
                                        19,943               28,067



FTI CONSULTING, INC.
CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)
FOR THE THREE MONTHS ENDED JUNE 30, 2013 AND 2012
(in thousands, except per share data)
(unaudited)
                                      Three Months Ended
                                      June 30,
                                      2013                 2012
Revenues                              $             $      
                                      414,613              396,243
Operating expenses
Direct cost of revenues               259,528              248,220
Selling, general and administrative   96,325               92,460
expense
Special charges                       -                    26,782
Acquisition-related contingent        (7,452)              (3,541)
consideration
Amortization of other intangible      5,953                5,490
assets
                                      354,354              369,411
Operating income                      60,259               26,832
Other income (expense)
Interest income and other             (387)                (363)
Interest expense                      (13,071)             (15,195)
                                      (13,458)             (15,558)
Income before income tax provision    46,801               11,274
Income tax provision                  23,315               3,527
Net income                           $            $        
                                      23,486               7,747
Earnings per common share - basic    $           $         
                                       0.60               0.19
Weighted average common shares        39,143               40,592
outstanding - basic
Earnings per common share - diluted   $           $         
                                       0.58               0.18
Weighted average common shares        40,293               42,074
outstanding - diluted
Other comprehensive income (loss),
net of tax:
Foreign currency translation          $             $      
adjustments, net of tax $0            (11,714)             (10,960)
Other comprehensive income (loss),    (11,714)             (10,960)
net of tax
Comprehensive income (loss)           $            $       
                                      11,772               (3,213)



FTI CONSULTING, INC.
OPERATING RESULTS BY BUSINESS SEGMENT
                                                                           Revenue-
                                                                Average
                                 Adjusted                       Billable  Generating
                       Revenues  EBITDA    Margin  Utilization  Rate ^(4)   Headcount
                                 ^(1)              ^(4)
                        (in thousands)


Three Months Ended
June 30, 2013
Corporate              $      $   
Finance/Restructuring              24.9%   62%          $       718
^(3)                                                      416
                       96,714    24,123
Forensic and                                                    $    
Litigation Consulting  105,120   20,693    19.7%   67%          307        969
^(3)
Economic Consulting    111,014   20,803    18.7%   82%          $       499
                                                                505
Technology ^(2)       51,196    16,888    33.0%   N/M          N/M         285
Strategic              50,569    5,219     10.3%   N/M          N/M         611
Communications^ (2)
                       $   
                             87,726    21.2%                            3,082
                       
                       414,613
 Unallocated                   (13,498)
Corporate Expenses
                                 $   
Adjusted EBITDA^(1)                    17.9%
                                    
                                 74,228


Six Months Ended June
30, 2013
Corporate              $      $   
Finance/Restructuring              22.1%   66%          $       718
^(3)                                                       412
                       195,794   43,208
Forensic and                                                    $    
Litigation Consulting  205,844   33,504    16.3%   65%          314        969
^(3)
Economic Consulting    226,208   46,997    20.8%   86%          $       499
                                                                501
Technology ^(2)       97,900    30,604    31.3%   N/M          N/M         285
Strategic              96,045    8,773     9.1%    N/M          N/M         611
Communications^ (2)
                       $   
                             163,086   19.8%                            3,082
                       
                       821,791
 Unallocated                   (29,532)
Corporate Expenses
                                 $   
Adjusted EBITDA^(1)                    16.3%
                                   
                                 133,554


Three Months Ended
June 30, 2012
Corporate              $      $   
Finance/Restructuring              28.4%   75%          $       596
^(3)                                                      413
                       96,187    27,296
Forensic and                                                    $    
Litigation Consulting  106,256   19,542    18.4%   68%          306        930
^(3)
Economic Consulting    99,455    18,491    18.6%   80%          $       467
                                                                496
Technology ^(2)       47,697    12,849    26.9%   N/M          N/M         311
Strategic              46,648    4,970     10.7%   N/M          N/M         599
Communications^ (2)
                       $   
                             83,148    21.0%                            2,903
                       
                       396,243
 Unallocated                   (16,532)
Corporate Expenses
                                 $   
Adjusted EBITDA^(1)                    16.8%
                                    
                                 66,616


Six Months Ended June
30, 2012
Corporate              $      $   
Finance/Restructuring              26.7%   77%          $       596
^(3)                                                       413
                       193,061   51,468
Forensic and                                                    $    
Litigation Consulting  209,891   34,211    16.3%   74%          304        930
^(3)
Economic Consulting    199,507   36,915    18.5%   83%          $       467
                                                                483
Technology ^(2)       97,357    26,064    26.8%   N/M          N/M         311
Strategic              91,655    9,499     10.4%   N/M          N/M         599
Communications^ (2)
                       $   
                             158,157   20.0%                            2,903
                       
                       791,471
 Unallocated                   (37,581)
Corporate Expenses
                                 $   
Adjusted EBITDA^(1)                    15.2%
                                   
                                 120,576

^(1) We define Adjusted EBITDA as consolidated net income before income tax
provision, other non-operating income (expense), depreciation, amortization of
intangible assets, special charges and goodwill impairment charges. Amounts
presented in the Adjusted EBITDA column for each segment reflect the segments'
respective Adjusted Segment EBITDA. We define Adjusted Segment EBITDA as a
segment's share of consolidated operating income before depreciation,
amortization of intangible assets, special charges and goodwill impairment
charges. We use Adjusted Segment EBITDA to internally evaluate the financial
performance of our segments because we believe it is a useful supplemental
measure which reflects current core operating performance and provides an
indicator of the segment's ability to generate cash. We also believe that
these measures, when considered together with our GAAP financial results,
provide management and investors with a more complete understanding of our
operating results, including underlying trends, by excluding the effects of
special charges and goodwill impairment charges. In addition, EBITDA is a
common alternative measure of operating performance used by many of our
competitors. It is used by investors, financial analysts, rating agencies and
others to value and compare the financial performance of companies in our
industry. Therefore, we also believe that these measures, considered along
with corresponding GAAP measures, provide management and investors with
additional information for comparison of our operating results to the
operating results of other companies.
Adjusted EBITDA and Adjusted Segment EBITDA are not defined in the same manner
by all companies and may not be comparable to other similarly titled measures
of other companies. These non-GAAP financial measures should be considered in
addition to, but not as a substitute for or superior to, the information
contained in our Condensed Consolidated Statements of Comprehensive Income
(Loss). See also our reconciliation of GAAP to non-GAAP financial measures.
^(2) The majority of the Technology and Strategic Communications segments'
revenues are not generated based on billable hours. Accordingly, utilization
and average billable rate metrics are not presented as they are not meaningful
as a segment-wide metric.
^(3)Effective in the first quarter of 2013, we modified our reportable
segments to reflect changes in how we operate our business and the related
internal management reporting. The Company's healthcare and life sciences
practices from both our Corporate Finance/Restructuring segment and our
Forensic and Litigation Consulting segment have been combined under a single
organizational structure. This single integrated practice, our health
solutions practice, is now aggregated in its entirety within the Forensic and
Litigation Consulting reportable segment. Prior period Corporate
Finance/Restructuring and Forensic and Litigation Consulting segment
information has been reclassified to conform to the current period
presentation.
^(4) 2013 and 2012 utilization and average bill rate calculations for our
Corporate Finance/Restructuring, Forensic and Litigation Consulting, and
Economic Consulting segments were updated to reflect the realignment of
certain practices as well as information related to non-U.S. operations that
was not previously available.



FTI CONSULTING, INC.
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
FOR THE THREE AND SIX MONTHS ENDED JUNE 30, 2013 AND 2012
(in thousands, except per share data)
                              Three Months Ended        Six Months Ended
                              June 30,                  June 30,
                              2013         2012         2013        2012
Net income                    $       $       $       $    
                               23,486       7,747      47,166    26,178
Add back: Special charges,    -            17,320       253         17,320
net of tax effect ^(1)
Adjusted Net Income ^(2)      $       $       $       $    
                               23,486      25,067       47,419    43,498
Earnings per common share -   $       $       $       $    
diluted                          0.58      0.18              
                                                        1.17        0.61
Add back: Special charges,    -            0.42         -           0.41
net of tax effect ^(1)
                              $       $       $       $    
Adjusted EPS ^(2)                0.58      0.60              
                                                        1.17        1.02
Weighted average number of
common shares outstanding -   40,293       42,074       40,456      42,672
diluted

^(1) The tax effect takes into account the tax treatment and related tax
rate(s) that apply to each adjustment in the applicable tax jurisdiction(s).
As a result, the effective tax rates for the adjustments for the six months
ended June 30, 2013 was 40.7%, and the adjustment was 35.3% for each of the
three and six months ended June 30, 2012. The tax expense related to the
adjustments for the six months ended June 30, 2013 was $0.2 million with no
impact on diluted earnings per share. The tax expense for the three and six
months ended June 30, 2012 was $9.5 million or $0.22 impact on diluted
earnings per share.
^(2) We define Adjusted Net Income and Adjusted Earnings per Diluted Share as
net income and earnings per diluted share, respectively, excluding the impact
of special charges, goodwill impairment charges and losses on early
extinguishment of debt. We use Adjusted Net Income for the purpose of
calculating Adjusted Earnings per Diluted Share. Management uses Adjusted
Earnings per Diluted Share to assess total company operating performance on a
consistent basis. We believe that this measure, when considered together with
our GAAP financial results, provides management and investors with a more
complete understanding of our business operating results, including underlying
trends, by excluding the effects of special charges, goodwill impairment
charges and losses on early extinguishment of debt.



RECONCILIATION OF NET INCOME AND OPERATING INCOME (LOSS) TO ADJUSTED EBITDA
(in thousands)
                 Corporate      Forensic
Three Months     Finance /      and         Economic                  Strategic  Unallocated
Ended June 30,   Restructuring  Litigation  Consulting  Technology^  Communi-   Corporate    Total
2013             ^(3)           Consulting                            cations    Expenses
                                ^(3)
                                                                                              $   
Net income                                                                                     
                                                                                              23,486
 Interest
 income and                                                                                   387
 other
 Interest                                                                                     13,071
 expense
 Income tax                                                                                   23,315
 provision
Operating        $        $       $       $        $      $       $   
income ^(1)        21,436      19,177    19,530   11,292              (14,570)       
                                                                      3,394                   60,259
 Depreciation
 and             855            937         863         3,611         678        1,072        8,016
 amortization
 Amortization of
 other           1,832          579         410         1,985         1,147      -            5,953
 intangible
 assets
Adjusted         $        $       $       $        $      $       $   
EBITDA ^(2)        24,123      20,693    20,803   16,888              (13,498)       
                                                                      5,219                   74,228
Six Months
Ended June 30,
2013
                                                                                              $   
Net income                                                                                     
                                                                                              47,166
 Interest
 income and                                                                                   (550)
 other
 Interest                                                                                     25,786
 expense
 Income tax                                                                                   33,186
 provision
Operating        $        $       $       $        $      $     
income ^(1)        38,135      30,279    44,525   19,374              (31,846)     105,588
                                                                      5,121
 Depreciation
 and             1,622          1,961       1,668       7,246         1,323      2,202        16,022
 amortization
 Amortization
 of other        3,383          1,091       808         3,970         2,265      -            11,517
 intangible
 assets
 Special         68             173         (4)         14            64         112          427
 charges
Adjusted         43,208         33,504      46,997      30,604        8,773      (29,532)     133,554
EBITDA ^(2)
                 Corporate      Forensic
Three Months     Finance /      and         Economic                  Strategic  Unallocated
Ended June 30,   Restructuring  Litigation  Consulting  Technology^  Communi-   Corporate    Total
2012             ^(3)           Consulting                            cations    Expenses
                                ^(3)
                                                                                              $   
Net income                                                                                      
                                                                                              7,747
 Interest
 income and                                                                                   363
 other
 Interest                                                                                     15,195
 expense
 Income tax                                                                                   3,527
 provision
Operating        $        $       $       $        $      $       $   
income (loss)      14,520      10,201    16,551    4,757              (17,827)       
^(1)                                                                  (1,370)                 26,832
 Depreciation
 and             775            1,025       724         3,142         669        1,177        7,512
 amortization
 Amortization of
 other           1,440          508         398         1,984         1,160      -            5,490
 intangible
 assets
 Special         10,561         7,808       818         2,966         4,511      118          26,782
 charges
Adjusted         $        $       $       $        $      $       $   
EBITDA ^(1)        27,296      19,542    18,491   12,849              (16,532)       
                                                                      4,970                   66,616
Six Months
Ended June 30,
2012
                                                                                              $   
Net income                                                                                     
                                                                                              26,178
 Interest
 income and                                                                                   (2,919)
 other
 Interest                                                                                     30,399
 expense
 Income tax                                                                                   14,121
 provision
Operating        $        $       $       $        $      $     
income ^(1)        36,464      23,298    33,871   12,958              (40,099)     67,779
                                                                      1,287
 Depreciation
 and             1,565          2,081       1,429       6,164         1,369      2,400        15,008
 amortization
 Amortization
 of other        2,878          1,024       797         3,976         2,332      -            11,007
 intangible
 assets
 Special         10,561         7,808       818         2,966         4,511      118          26,782
 charges
Adjusted         51,468         34,211      36,915      26,064        9,499      (37,581)     120,576
EBITDA ^(2)

^(1) We define Segment Operating Income as a segment's share of consolidated
operating income. We define Total Segment Operating Income as the total of
Segment Operating Income for all segments, which excludes unallocated
corporate expenses. We use Segment Operating Income for the purpose of
calculating Adjusted Segment EBITDA.
^(2) We define Adjusted EBITDA as consolidated net income before income tax
provision, other non-operating income (expense), depreciation, amortization of
intangible assets, special charges and goodwill impairment charges. Amounts
presented in the Adjusted EBITDA column for each segment reflect the segments'
respective Adjusted Segment EBITDA. We define Adjusted Segment EBITDA as a
segment's share of consolidated operating income before depreciation,
amortization of intangible assets, special charges and goodwill impairment
charges. We use Adjusted Segment EBITDA to internally evaluate the financial
performance of our segments because we believe it is a useful supplemental
measure which reflects current core operating performance and provides an
indicator of the segment's ability to generate cash. We also believe that
these measures, when considered together with our GAAP financial results,
provide management and investors with a more complete understanding of our
operating results, including underlying trends, by excluding the effects of
special charges and goodwill impairment charges. In addition, EBITDA is a
common alternative measure of operating performance used by many of our
competitors. It is used by investors, financial analysts, rating agencies and
others to value and compare the financial performance of companies in our
industry. Therefore, we also believe that these measures, considered along
with corresponding GAAP measures, provide management and investors with
additional information for comparison of our operating results to the
operating results of other companies.
Adjusted EBITDA and Adjusted Segment EBITDA are not defined in the same manner
by all companies and may not be comparable to other similarly titled measures
of other companies. These non-GAAP financial measures should be considered in
addition to, but not as a substitute for or superior to, the information
contained in our Condensed Consolidated Statements of Comprehensive Income
(Loss). See also our reconciliation of GAAP to non-GAAP financial measures.
^(3) Effective in the first quarter of 2013, we modified our reportable
segments to reflect changes in how we operate our business and the related
internal management reporting. The Company's healthcare and life sciences
practices from both our Corporate Finance/Restructuring segment and our
Forensic and Litigation Consulting segment have been combined under a single
organizational structure. This single integrated practice, our health
solutions practice, is now aggregated in its entirety within the Forensic and
Litigation Consulting reportable segment. Prior period Corporate
Finance/Restructuring and Forensic and Litigation Consulting segment
information has been reclassified to conform to the current period
presentation.



FTI CONSULTING, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE SIX MONTHS ENDED June 30, 2013 AND 2012
(in thousands)
(unaudited)
                                                      Six Months Ended
                                                      June 30,
                                                      2013         2012
Operating activities
Net income                                            $       $     
                                                      47,166       26,178
Adjustments to reconcile net income to net cash
provided by (used in) operating activities:
Depreciation and amortization                         16,022       18,449
Amortization of other intangible assets               11,517       11,186
Acquisition-related contingent consideration          (6,721)      (2,984)
Provision for doubtful accounts                      7,478        7,027
Non-cash share-based compensation                    17,046       17,805
Non-cash interest expense                             1,349        3,887
Other                                                 (197)        70
Changes in operating assets and liabilities, net of
effects from acquisitions:
Accounts receivable, billed and unbilled              (58,827)     (50,190)
Notes receivable                                      (11,113)     (23,834)
Prepaid expenses and other assets                     (1,485)      (4,363)
Accounts payable, accrued expenses and other          (1,354)      (1,216)
Income taxes                                         14,740       (17,108)
Accrued compensation                                  (10,467)     (43,081)
Billings in excess of services provided               (5,785)      886
 Net cash provided by (used 19,369       (57,288)
in) operating activities
Investing activities
Payments for acquisition of businesses, net of cash   (40,512)     (21,550)
received
Purchases of property and equipment                   (14,130)     (13,728)
Other                                                 21           93
 Net cash used in investing  (54,621)     (35,185)
activities
Financing activities
Payments of long-term debt and capital lease          -            (1,974)
obligations
Purchase and retirement of common stock               (28,758)     -
Net issuance of common stock under equity             1,245        (840)
compensation plans
Other                                                 (616)        (1,324)
 Net cash used in financing  (28,129)     (4,138)
activities
Effect of exchange rate changes on cash and cash      (850)        (1,831)
equivalents
Net decrease in cash and cash equivalents             (64,231)     (98,442)
Cash and cash equivalents, beginning of period        156,785      264,423
Cash and cash equivalents, end of period              $       $    
                                                      92,554       165,981



FTI CONSULTING, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
AT JUNE 30, 2013 AND DECEMBER 31, 2012
(in thousands, except per share amounts)
                                      June 30,             December 31,
                                      2013                 2012
Assets                                (unaudited)
Current assets
 Cash and cash equivalents          $      92,554  $     156,785
 Restricted cash                    -                    1,190
 Accounts receivable:
 Billed receivables             362,664              314,491
 Unbilled receivables           223,875              208,797
 Allowance for doubtful         (106,507)            (94,048)
accounts and unbilled services
 Accounts receivable, net    480,032              429,240
 Current portion of notes           34,128               33,194
receivable
 Prepaid expenses and other current 40,298               50,351
assets
 Current portion of deferred tax    17,765               3,615
assets
Total current assets                  664,777              674,375
Property and equipment, net of        65,607               68,192
accumulated depreciation
Goodwill                              1,263,166            1,260,035
Other intangible assets, net of       101,675              104,181
amortization
Notes receivable, net of current      110,908              101,623
portion
Other assets                          64,748               67,046
Total assets                          $    2,270,881    $    2,275,452
Liabilities and Stockholders' Equity
Current liabilities
 Accounts payable, accrued         $      85,974  $      98,109
expenses and other
Accrued compensation                  144,391              168,392
Current portion of long-term debt and 6,000                6,021
capital lease obligations
 Billings in excess of services    25,413               31,675
provided
Total current liabilities             261,778              304,197
Long-term debt and capital lease      717,000              717,024
obligations, net of current portion
Deferred income taxes                 129,111              105,751
Other liabilities                     83,425               80,248
Total liabilities                     1,191,314            1,207,220
Stockholders' equity
Preferred stock, $0.01 par value;
shares authorized ―5,000; none        -                    -
outstanding
Common stock, $0.01 par value; shares
authorized ―75,000; shares issued and 405                  408
 outstanding ―40,494 (2013) and
40,755 (2012)
Additional paid-in capital            359,373              367,978
Retained earnings                     788,381              741,215
Accumulated other comprehensive loss  (68,592)             (41,369)
Total stockholders' equity            1,079,567            1,068,232
Total liabilities and stockholders'   $    2,270,881    $    2,275,452
equity

SOURCE FTI Consulting, Inc.

Website: http://www.fticonsulting.com
Contact: Investor & Media Contact: Mollie Hawkes, +1.617.747.1791,
mollie.hawkes@fticonsulting.com