PRGX Global, Inc. Announces Fourth Quarter and Full Year 2013 Financial Results

PRGX Global, Inc. Announces Fourth Quarter and Full Year 2013 Financial
Results

Operating Highlights

  *Q4 2013 Recovery Audit Services – Americas revenue of $30.7M, an increase
    of 2.2% over Q4 2012
  *Q4 2013 Recovery Audit Services – Americas Adjusted EBITDA of $10.8M, an
    increase of 12.6% over Q4 2012
  *Adjusted EBITDA as a percentage of revenue increased from 14.75% in FY
    2012 to 15.0% in FY 2013 on declining revenue
  *Q4 2013 Recovery Audit Services – Europe/Asia-Pacific revenue of $12.6M,
    an increase of 5.3% over Q3 2013

ATLANTA, Feb. 24, 2014 (GLOBE NEWSWIRE) -- PRGX Global, Inc. (Nasdaq:PRGX),
the world's leading provider of recovery audit services and the pioneer in
Profit Discovery™, today announced its unaudited financial results for the
fourth quarter and year ended December 31, 2013.

Ron Stewart, the Company's president and chief executive officer, commented,
"Since being named CEO in mid-November, I have undertaken a thorough review of
our operations, meeting with our business leaders and professionals, as well
as with many of our clients throughout the world. I am pleased to report that
PRGX remains fundamentally sound and is well-positioned to capitalize on the
strength of our core recovery audit practice. Boasting a client base that
includes 16 of the top 20 global retailers, coupled with a growing roster of
commercial clients, I am excited about what the future holds for PRGX."

Mr. Stewart continued, "Highlights for the quarter include solid performance
delivered by our core Recovery Audit Services – Americas segment. At the same
time, New Services was adversely affected by a severe, but anticipated,
decline in Healthcare Claims Recovery Audit revenue and by continued softness
in Profit Optimization. Although I am disappointed with our overall decline in
revenue in the fourth quarter, I am pleased to report that we achieved strong
Adjusted EBITDA growth as a percentage of revenue during the period. Our
ability to deliver favorable Adjusted EBITDA results despite significant
headwinds reflects the underlying strength of our business."

Mr. Stewart concluded, "To achieve long-term success, we are taking decisive
actions to overcome many of the issues that negatively impacted the fourth
quarter. At the center of this effort, we are focused on achieving profitable
growth in all areas of our business, not just in our core recovery audit
services. We will alter our approach and/or exit those businesses, or
sub-segments of those businesses, where we are unable to achieve attractive
EBITDA and return on invested capital objectives. To that end, we have
withdrawn from the current CMS Medicare RAC rebid process. While we are not
exiting the healthcare claims recovery audit business, we have determined that
Medicare RAC is not consistent with our long-term objectives. We are also
restructuring our Europe/Asia-Pacific recovery audit practice to improve our
focus on business development and profitability. Similarly, we are reviewing
our Profit Optimization business to determine the most effective way to drive
profitability, which we expect to achieve by the end of 2014."

Consolidated Results for Three Months Ended December 31, 2013

Consolidated revenue for the fourth quarter of 2013 was $46.5 million compared
to $53.1 million in the same prior year period. After adjusting for changes in
foreign exchange rates, consolidated fourth quarter revenue in 2013 decreased
11.5% compared to the same period in 2012.

  Recovery Audit Services – Americas revenue for the fourth quarter of 2013
  increased 2.2% to $30.7 million compared to $30.0 million in the same period
  in the prior year. On a constant dollar basis, adjusted for changes in
  foreign exchange rates, Recovery Audit Services – Americas revenue increased
  by 3.9% compared to 2012.

  Recovery Audit Services – Europe Asia/Pacific revenue for the fourth quarter
  of 2013 decreased 13.8% to $12.6 million compared to $14.7 million in the
  same period in the prior year. On a constant dollar basis, adjusted for
  changes in foreign exchange rates, Recovery Audit Services – Europe
  Asia/Pacific revenue decreased by 14.0% compared to 2012.

  New Services revenue for the fourth quarter of 2013 decreased 61.9% to $3.2
  million compared to $8.5 million in the same period in the prior year. The
  New Services segment represents Healthcare Claims Recovery Audit services
  and our Profit Optimization services.

Total cost of revenue for the fourth quarter of 2013 was $29.7 million
compared to $34.4 million in the fourth quarter of 2012. This result included
decreases in our Recovery Audit Services – Europe Asia/Pacific segment driven
by the expanded use of our Next-Generation Recovery Audit service model and
cost reductions in our Healthcare Claims Recovery Audit business. SG&A for the
fourth quarter of 2013 was $14.5 million, or 31.1% of revenue, compared to
$14.0 million, or 26.3% of revenue, in the fourth quarter of 2012.
Depreciation and amortization expenses were $3.3 million in the fourth quarter
of 2013 compared to $4.3 million in the fourth quarter of 2012.

The Company recorded fourth quarter 2013 asset impairment charges of $4.2
million related to internally developed software assets. These charges
resulted from the decision to withdraw from the Medicare RAC rebid process and
from planned changes to the Company's recovery audit delivery processes.

Net loss for the fourth quarter of 2013 was $(6.4) million, or $(0.22) per
basic and diluted share, compared to net income of $1.5 million, or $0.06 per
basic and diluted share, for the same period in 2012. The fourth quarter 2013
net loss includes impairment charges of $4.2 million for certain long-lived
assets with no comparable charges for the same period in the prior year. The
fourth quarter of 2012 includes a net tax benefit of $0.3 million that
primarily resulted from the release of a portion of the reserves held for
uncertain tax positions. The 2012 release of a portion of the reserves held
for uncertain tax positions also included a reversal of related interest
accruals, resulting in negative interest expense of $0.6 million in the fourth
quarter of 2012. Net cash provided by operating activities for the fourth
quarter of 2013 was $8.1 million compared to $6.5 million in the fourth
quarter of 2012.

Adjusted EBITDA for the fourth quarter of 2013 was $6.9 million compared to
$8.0 million for the same period in 2012. The 2013 fourth quarter Adjusted
EBITDA is earnings before interest, taxes, depreciation and amortization
(EBITDA) excluding impairment charges of $4.2 million for certain long-lived
assets, a charge of $2.5 million related to stock-based compensation, $1.8
million of transformation severance and related expenses, a $0.4 million
charge for acquisition-related charges, and less than $0.1 million of foreign
currency losses on short-term intercompany balances. Beginning in the third
quarter of 2013, the Company now includes fair value adjustments to contingent
consideration from acquisitions in its calculation of Adjusted EBITDA for all
periods presented, and has renamed the line item "acquisition obligations
classified as compensation" on Schedule 3 as "acquisition-related charges
(benefits)." The comparable Adjusted EBITDA amount for the fourth quarter of
2012 excludes from EBITDA for such period a $1.8 million charge for
stock-based compensation, $1.1 million of transformation severance and related
expenses, a less than $0.1 million credit for acquisition-related benefits,
$0.4 million of wage claim costs and $0.2 million of foreign currency gains on
short-term intercompany balances. Schedule 3 attached to this press release
provides a reconciliation of net income (loss) to each of EBIT (earnings
before interest and taxes), EBITDA and Adjusted EBITDA.

Consolidated Results for the Year Ended December 31, 2013

Consolidated revenue for the year ended December 31, 2013 decreased 6.4% to
$195.2 million, compared to $208.5 million in the prior year. After adjusting
for changes in foreign exchange rates, 2013 revenue decreased 5.6% compared to
2012.

  Recovery Audit Services – Americas revenue for the year ended December 31,
  2013 decreased 2.5% to $118.6 million compared to $121.6 million in the
  prior year. On a constant dollar basis, adjusted for changes in foreign
  exchange rates, Recovery Audit Services – Americas revenue decreased by 1.4%
  compared to 2012.

  Recovery Audit Services – Europe Asia/Pacific revenue for the year ended
  December 31, 2013 decreased 13.7% to $46.4 million compared to $53.8 million
  in the prior year. On a constant dollar basis, adjusted for changes in
  foreign exchange rates, Recovery Audit Services – Europe Asia/Pacific
  revenue decreased by 13.1% compared to 2012.

  New Services revenue for the year ended December 31, 2013 decreased 8.9% to
  $30.1 million compared to $33.1 million in the prior year. Revenue from New
  Services represented 15.4% of consolidated revenue in the year ended
  December 31, 2013 compared to 15.9% of consolidated revenue in 2012.

Total cost of revenue for the year ended December 31, 2013 was $122.5 million
compared to $134.4 million in 2012. Cost of revenue was 62.8% of revenue for
the year, an improvement from 64.5% in 2012. Cost of revenue as a percentage
of revenue in the Recovery Audit Services – Americas segment improved from
52.8% in 2012 to 51.1% in 2013 and in the Recovery Audit Services –
Europe/Asia-Pacific segment deteriorated slightly from 77.6% in 2012 to 79.2%
in 2013 due primarily to lower revenue in 2013.

SG&A for the year ended December 31, 2013 was $52.8 million, or 27.0% of
revenue, compared to $52.5 million, or 25.2% of revenue in 2012. Depreciation
and amortization expenses were $13.2 million for the year ended December 31,
2013 compared to $14.3 million in the prior year.

Net loss for the year ended December 31, 2013 was $(0.2) million, or $(0.01)
per basic and diluted share, compared to net income of $5.4 million, or $0.21
per basic and diluted share, for 2012. The 2013 net loss includes impairment
charges of $4.2 million for certain long-lived assets with no comparable
charges for the prior year. Net cash provided by operating activities for the
year ended December 31, 2013 was $18.4 million compared to $18.8 million in
2012.

Adjusted EBITDA for the year ended December 31, 2013 was $29.4 million
compared to $30.8 million in 2012. For the year ended December 31, 2013,
Adjusted EBITDA was earnings before interest, taxes, depreciation and
amortization (EBITDA) excluding impairment charges of $4.2 million for certain
long-lived assets, a charge of $6.3 million related to stock-based
compensation, $2.5 million of transformation severance and related expenses, a
$0.6 million charge for acquisition-related charges, and less than $0.1
million of foreign currency gains on short-term intercompany balances. The
comparable Adjusted EBITDA amount for the year ended December 31, 2012
excludes from EBITDA for such period a $6.3 million charge for stock-based
compensation, $2.1 million of transformation severance and related expenses, a
$0.2 million credit for acquisition-related benefits, $1.0 million of wage
claim costs, and $0.4 million of foreign currency gains on short-term
intercompany balances. Schedule 3 attached to this press release provides a
reconciliation of net income (loss) to each of EBIT, EBITDA and Adjusted
EBITDA.

Liquidity

At December 31, 2013, the Company had unrestricted cash and cash equivalents
of $43.7 million, no borrowings against its revolving credit facility, and no
bank debt outstanding.

Stock Repurchase Program

The Company also announced today that its Board of Directors has approved a
stock repurchase program. Under the terms of the program, the Company may
repurchase up to $10 million of its common stock from time to time through
March 31, 2015. The timing and amount of repurchases, if any, will depend upon
the Company's stock price, economic and market conditions, regulatory
requirements, and other corporate considerations. The Company may initiate,
suspend or discontinue purchases under the stock repurchase program at any
time. The Company currently has approximately 29.9 million shares of common
stock outstanding.

Fourth Quarter Earnings Call

As previously announced, management will hold a conference call tomorrow
morning at 8:30 AM (Eastern time) to discuss the Company's fourth quarter and
full year 2013 financial results. To access the conference call, listeners in
the U.S. and Canada should dial (877) 755-7423 at least 5 minutes prior to the
start of the conference. Listeners outside the U.S. and Canada should dial
(678) 894-3069. To be admitted to the call, listeners should use passcode
50661751.

This teleconference will also be audiocast on the Internet at www.prgx.com
(click on "Events & Presentations" under "Investors"). A replay of the
audiocast will be available at the same location on www.prgx.com beginning
approximately two hours after the conclusion of the live audiocast, extending
through March 31, 2014. Please note that the Internet audiocast is
"listen-only." Microsoft Windows Media Player is required to access the live
audiocast and the replay and can be downloaded from
www.microsoft.com/windows/mediaplayer.

About PRGX Global, Inc.

Headquartered in Atlanta, Georgia, PRGX Global, Inc. is the world's leading
provider of recovery audit services. With over 1,700 employees, the Company
operates and serves clients in more than 30 countries and provides its
services to over 75% of the top 20 global retailers. PRGX is also pioneering
Profit Discovery, a unique combination of audit, analytics and advisory
services that improves client financial performance. For additional
information, please visit PRGX at www.prgx.com.

Non-GAAP Financial Measures

EBIT, EBITDA and Adjusted EBITDA are all "non-GAAP financial measures"
presented as supplemental measures of the Company's performance. They are not
presented in accordance with accounting principles generally accepted in the
United States, or GAAP. The Company believes these measures provide additional
meaningful information in evaluating its performance over time, and that the
rating agencies and a number of lenders use EBITDA and similar measures for
similar purposes. In addition, a measure similar to Adjusted EBITDA is used in
the restrictive covenants contained in the Company's secured credit facility.
However, EBIT, EBITDA and Adjusted EBITDA have limitations as analytical
tools, and you should not consider them in isolation, or as substitutes for
analysis of the Company's results as reported under GAAP. In addition, in
evaluating EBIT, EBITDA and Adjusted EBITDA, you should be aware that, as
described above, the adjustments may vary from period to period and in the
future the Company will incur expenses such as those used in calculating these
measures. The Company's presentation of these measures should not be construed
as an inference that future results will be unaffected by unusual or
nonrecurring items. Schedule 3 to this press release provides a reconciliation
of net income (loss) to each of EBIT, EBITDA and Adjusted EBITDA.

Forward-Looking Statements

In addition to historical information, this press release includes certain
forward-looking statements within the meaning of the Private Securities
Litigation Reform Act of 1995. Such statements include both implied and
express statements regarding the Company's overall condition and growth
prospects, the strength of the Company's core recovery audit business, the
Company's decision to withdraw from the Medicare RAC rebid process, the long
term business objectives for the Company, including its healthcare claims
recovery audit business and its Profit Optimization business, and the expected
benefits of the Company's redesigned recovery audit service delivery model.
Such forward-looking statements are not guarantees of future performance and
are subject to risks, uncertainties and other factors that may cause the
actual results, performance or achievements of the Company to differ
materially from the historical results or from any results expressed or
implied by such forward-looking statements. Risks that could affect the
Company's future performance include revenue that does not meet expectations
or justify costs incurred, the Company's ability to develop material sources
of new revenue in addition to revenue from its core recovery audit services,
changes in the market for the Company's services, the Company's ability to
retain and attract qualified personnel, changes to Medicare and Medicaid
recovery audit contractor programs and the effects of the Company's decision
to withdraw from the Medicare RAC rebid process, the Company's ability to
integrate recent and future acquisitions, uncertainty in the credit markets,
the Company's ability to maintain compliance with its financial covenants,
client bankruptcies, loss of major clients, and other risks generally
applicable to the Company's business. For a discussion of other risk factors
that may impact the Company's business, please see the Company's filings with
the Securities and Exchange Commission, including its Form 10-K filed on March
13, 2013. The Company disclaims any obligation or duty to update or modify
these forward-looking statements.

SCHEDULE 1
PRGX Global, Inc. and Subsidiaries
Condensed Consolidated Statements of Operations
(Amounts in thousands, except per share data)
(Unaudited)
                                                                
                                   Three Months         Twelve Months
                                    Ended December 31,   Ended December 31,
                                   2013       2012      2013       2012
                                                                
Revenue                             $46,507  $53,109 $195,216 $208,503
Operating expenses:                                               
Cost of revenue                     29,741    34,399   122,545   134,390
Selling, general and administrative 14,472    13,952   52,757    52,527
expenses
Depreciation of property and        2,162     2,276    8,231     7,084
equipment
Amortization of intangible assets   1,185     2,007    4,997     7,224
Impairment charges                  4,207     --      4,207     --
Total operating expenses            51,767    52,634   192,737   201,225
                                                                
Operating income (loss)             (5,260)   475      2,479     7,278
                                                                
Foreign currency transaction
(gains) losses on short-term        41        (187)    (13)      (377)
intercompany balances
Interest expense (income), net      12        (582)    (77)      966
Income (loss) before income taxes   (5,313)   1,244    2,569     6,689
                                                                
Income tax expense (benefit)        1,084     (289)    2,755     1,297
                                                                
Net income (loss)                   $(6,397) $1,533  $(186)   $5,392
                                                                
                                                                
Basic earnings (loss) per common    $(0.22)  $0.06   $(0.01)  $0.21
share
                                                                
Diluted earnings (loss) per common  $(0.22)  $0.06   $(0.01)  $0.21
share
                                                                
Weighted average common shares outstanding:                         
Basic                               29,447    26,150   29,169    25,566
Diluted                             29,447    26,716   29,169    26,137


SCHEDULE 2
PRGX Global, Inc. and Subsidiaries
Condensed Consolidated Balance Sheets
(Amounts in thousands)
(Unaudited)
                                                                
                                                    December 31, December 31,
                                                     2013         2012
                                                                
ASSETS
Current assets:                                                  
Cash and cash equivalents                            $43,700    $37,806
Restricted cash                                      57          65
Receivables:                                                     
Contract receivables, net                            38,079      45,127
Employee advances and miscellaneous receivables, net 2,242       1,352
Total receivables                                    40,321      46,479
                                                                
Prepaid expenses and other current assets            3,917       3,853
Total current assets                                 87,995      88,203
                                                                
Property and equipment, net                          13,994      19,574
Goodwill                                             13,686      13,669
Intangible assets, net                               13,582      18,399
Deferred income taxes                                1,701       1,552
Other assets                                         1,871       2,189
Total assets                                       $132,829   $143,586
                                                                
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:                                             
Accounts payable and accrued expenses                $10,809    $14,136
Accrued payroll and related expenses                 15,415      20,874
Refund liabilities and deferred revenue              8,109       8,530
Current portion of debt                              --         3,000
Business acquisition obligations                     3,156       4,218
Total current liabilities                            37,489      50,758
                                                                
Long-term debt                                       --         3,000
Noncurrent business acquisition obligations          --         2,479
Other long-term liabilities                          1,512       2,697
Total liabilities                                    39,001      58,934
                                                                
Shareholders' equity:                                            
Common stock                                         294         279
Additional paid-in capital                           604,806     594,045
Accumulated deficit                                  (513,386)   (513,200)
Accumulated other comprehensive income               2,114       3,528
Total shareholders' equity                           93,828      84,652
                                                                
Total liabilities and shareholders' equity         $132,829   $143,586


SCHEDULE 3
PRGX Global, Inc. and Subsidiaries
Reconciliation of Net Income (Loss) to EBIT, EBITDA and Adjusted EBITDA
(Amounts in thousands)
(Unaudited)
                                                               
                            Three Months              Twelve Months
                             Ended December 31,        Ended December 31,
                            2013           2012       2013        2012
Reconciliation of net income
(loss) to EBIT, EBITDA and                                      
Adjusted EBITDA:
                                                               
Net income (loss)            $(6,397)     $1,533   $(186)    $5,392
                                                               
Income tax expense (benefit) 1,084         (289)     2,755      1,297
Interest expense (income),   12            (582)     (77)       966
net
                                                               
EBIT                         (5,301)       662       2,492      7,655
                                                               
Depreciation of property and 2,162         2,276     8,231      7,084
equipment
Amortization of intangible   1,185         2,007     4,997      7,224
assets
                                                               
EBITDA                       (1,954)       4,945     15,720     21,963
                                                               
Impairment charges           4,207          --        4,207      --
Foreign currency transaction
(gains) losses on short-term 41            (187)     (13)       (377)
intercompany balances
Acquisition-related charges  371           (34)      602        (231)
(benefits)
Transformation severance and 1,766         1,071     2,544      2,107
related expenses
Wage claim costs             --           407       --        984
Stock-based compensation     2,517         1,842     6,294      6,321
                                                               
Adjusted EBITDA              $ 6,948        $ 8,044    $29,354   $30,767
                                                               
                                                               
EBIT, EBITDA and Adjusted EBITDA are all "non-GAAP financial measures"
presented as supplemental measures of our performance.They are not presented
in accordance with accounting principles generally accepted in the United
States, or GAAP.The Company believes these measures provide additional
meaningful information in evaluating the Company's performance over time, and
that the rating agencies and a number of lenders use EBIT, EBITDA and similar
measures for similar purposes. In addition, a measure similar to Adjusted
EBITDA is used in the restrictive covenants contained in the Company's secured
credit facility. However, EBIT, EBITDA and Adjusted EBITDA have limitations as
analytical tools, and you should not consider them in isolation, or as
substitutes for analysis of our results as reported under GAAP. In addition,
in evaluating EBIT, EBITDA and Adjusted EBITDA, you should be aware that in
the future we will incur expenses such as those used in calculating these
measures. Our presentation of these measures should not be construed as an
inference that our future results will be unaffected by unusual or
nonrecurring items.


SCHEDULE 4
PRGX Global, Inc. and Subsidiaries
Condensed Consolidated Statements of Cash Flows
(Amounts in thousands)
(Unaudited)
                                                                 
                                     Three Months         Twelve Months
                                      Ended December 31,   Ended December 31,
                                     2013       2012      2013      2012
Cash flows from operating activities:                             
Net income (loss)                     $ (6,397) $1,533  $(186)  $5,392
Adjustments to reconcile net income (loss) to net cash              
provided by operating activities:
Impairment charges                    4,207     --      4,207    --
Depreciation and amortization         3,347     4,283    13,228   14,308
Amortization of deferred debt costs   56        46       193      183
Stock-based compensation expense      2,517     1,842    6,294    6,321
Foreign currency transaction (gains)
losses on short-term intercompany     41        (187)    (13)     (377)
balances
Decrease (increase) in receivables    4,894     (57)     6,815    (3,777)
Increase (decrease) in accounts
payable, accrued payroll and other    318       204      (9,895)  (2,148)
accrued expenses
Other, primarily changes in assets    (854)     (1,186)  (2,219)  (1,059)
and liabilities
Net cash provided by operating        8,129     6,478    18,424   18,843
activities
                                                                 
Cash flows from investing activities:                             
Business acquisitions                 --       (105)    --      (1,542)
Purchases of property and equipment,  (2,331)   (2,242)  (6,875)  (7,931)
net of disposals
Net cash used in investing activities (2,331)   (2,347)  (6,875)  (9,473)
                                                                 
Cash flows from financing activities:                             
Net proceeds from issuance of common  --       14,682   4,118    14,682
stock
Other, net                            (3,959)   (881)    (8,743)  (6,883)
Net cash (used in) provided by        (3,959)   13,801   (4,625)  7,799
financing activities
                                                                 
Effect of exchange rates on cash and  (546)     11       (1,030)  300
cash equivalents
                                                                 
Net increase in cash and cash         1,293     17,943   5,894    17,469
equivalents
                                                                 
Cash and cash equivalents at          42,407    19,863   37,806   20,337
beginning of period
                                                                 
Cash and cash equivalents at end of   $ 43,700  $ 37,806 $ 43,700 $ 37,806
period


SCHEDULE 5
PRGX Global, Inc. and Subsidiaries
Results by Operating Segment *
(Amounts in thousands)
(Unaudited)
                                                                     
                    Three Months Ended              Twelve Months Ended
                     December 31,                    December 31,
                                                                     
                    2013       2012      Change     2013       2012       Change
Revenue                                                               
Recovery Audit       $30,650  $29,998 $652     $118,649 $121,638 $(2,989)
Services - Americas
Recovery Audit
Services -           12,640    14,661   (2,021)   46,436    53,783    (7,347)
Europe/Asia-Pacific
New Services         3,217     8,450    (5,233)   30,131    33,082    (2,951)
Total                $46,507  $53,109 $(6,602) $195,216 $208,503 $(13,287)
                                                                     
Cost of revenue                                                       
Recovery Audit       $15,459  $15,329 $(130)   $60,603  $64,205  $3,602
Services - Americas
Recovery Audit
Services -           9,507     11,320   1,813     36,762    41,715    4,953
Europe/Asia-Pacific
New Services         4,775     7,750    2,975     25,180    28,470    3,290
Total                $29,741  $34,399 $4,658   $122,545 $134,390 $11,845
                                                                     
Selling, general and                                                   
administrative expenses
Recovery Audit       $4,677   $5,171  $494     $19,514  $19,882  $368
Services - Americas
Recovery Audit
Services -           1,214     1,359    145       4,067     4,980     913
Europe/Asia-Pacific
New Services         1,454     1,500    46        6,369     5,497     (872)
Corporate            7,127     5,922    (1,205)   22,807    22,168    (639)
Total                $14,472  $13,952 $(520)   $52,757  $52,527  $(230)
                                                                     
Depreciation of
property and                                                          
equipment
Recovery Audit       $1,479   $1,635  $156     $5,617   $4,651   $(966)
Services - Americas
Recovery Audit
Services -           152       105      (47)      514       322       (192)
Europe/Asia-Pacific
New Services         531       536      5         2,100     2,111     11
Total                $2,162   $2,276  $114     $8,231   $7,084   $(1,147)
                                                                     
Amortization of                                                       
intangible assets
Recovery Audit       $698     $1,235  $537     $2,792   $4,355   $1,563
Services - Americas
Recovery Audit
Services -           337       571      234       1,508     2,062     554
Europe/Asia-Pacific
New Services         150       201      51        697       807       110
Total                $1,185   $2,007  $822     $4,997   $7,224   $2,227
                                                                     
Impairment charges                                                    
Recovery Audit       $2,702   $--    $(2,702) $2,702   $--     $(2,702)
Services - Americas
Recovery Audit
Services -           --       --      --       --       --       --
Europe/Asia-Pacific
New Services         1,505     --      (1,505)   1,505     --       (1,505)
Total                $4,207   $--    $(4,207) $4,207   $--     $(4,207)
                                                                     
Operating income                                                      
(loss)
Recovery Audit       $5,635   $6,628  $(993)   $27,421  $28,545  $(1,124)
Services - Americas
Recovery Audit
Services -           1,430     1,306    124       3,585     4,704     (1,119)
Europe/Asia-Pacific
New Services         (5,198)   (1,537)  (3,661)   (5,720)   (3,803)   (1,917)
Corporate            (7,127)   (5,922)  (1,205)   (22,807)  (22,168)  (639)
Total                $(5,260) $475    $(5,735) $2,479   $7,278   $(4,799)
                                                                     
Adjusted EBITDA                                                       
Recovery Audit       $10,849  $9,632  $1,217   $39,954  $38,620  $1,334
Services - Americas
Recovery Audit
Services -           2,461     2,660    (199)     5,842     7,632     (1,790)
Europe/Asia-Pacific
New Services         (2,886)   (232)    (2,654)   (1,063)   298       (1,361)
Corporate            (3,476)   (4,016)  540       (15,379)  (15,783)  404
Total                $6,948   $8,044  $(1,096) $29,354  $30,767  $(1,413)
                                                                     
* The Recovery Audit Services - Americas segment represents recovery audit services,
excluding New Services, provided in the United States, Canada and Latin America. The
Recovery Audit Services - Europe/Asia-Pacific segment represents recovery audit
services provided in Europe, Asia and the Pacific region. The New Services segment
represents Healthcare Claims Recovery Audit services and Profit Optimization
services.

CONTACT: PRGX Global, Inc.
         investor-relations@prgx.com
         Phone: 770-779-3011

PRGX Global, Inc. Logo
 
Press spacebar to pause and continue. Press esc to stop.