CORRECTION: Crawford & Company Announces Review of 4th Quarter 2012 Tax Provision
2013-02-25 16:05:32 -
This is a correction of the announcement from 08:34 25.02.2013 EST. Reason for
the correction: Correct Headline
CRAWFORD & COMPANY 1001 SUMMIT BOULEVARD ATLANTA, GEORGIA 30319 (404) 300-1000
Date: February 25, 2013
From: Jeffrey T. Bowman
Chief Executive Officer
Crawford & Company Announces Review of 4(th) Quarter 2012 Tax Provision
Reaffirms Initial Guidance for 2013
Crawford & Company (www.crawfordandcompany.com) (NYSE: CRDA and CRDB), the
world's largest independent provider of claims management solutions to insurance
companies and self-insured entities, announced today that, following the
issuance on February 13, 2013 of its press release announcing its unaudited
financial results for the fourth quarter and year ended December 31, 2012 (the
"2012 Earnings Release"), and in continued preparation of its financial
statements to be included in its Annual Report on Form 10-K for the year ended
December 31, 2012, it is reviewing its tax expense provisions for the fourth
quarter of 2012 and for prior periods.
Although this review is ongoing, the Company believes the impact of this review
is likely to result in an increase in the Company's tax expense in the fourth
quarter of 2012 as compared to amounts reported in the 2012 Earnings Release.
Based on information currently available, the Company does not believe that any
adjustment would exceed $3 million in additional tax expense, or $0.06 per CRDA
or CRDB share. Any adjustment will have no effect on the Company's revenues,
operating earnings or cash flows as reported in the 2012 Earnings Release.
The final result of any adjustment will be reflected in the Company's audited
financial statements for the year ended December 31, 2012, to be included in the
Company's Annual Report on Form 10-K, which the Company intends to file on or
before March 18, 2013.
The Company reaffirms its initial guidance for 2013 as follows:
* Consolidated revenues before reimbursements between $1.05 and $1.08 billion.
* Consolidated operating earnings between $85.0 and $93.0 million.
* Consolidated cash provided by operating activities of between $65.0 and
* After reflecting stock option expense, net corporate interest expense,
customer-relationship intangible asset amortization expense, and income
taxes, net income attributable to shareholders of Crawford & Company on a
GAAP basis between $49.0 and $54.0 million, or $0.85 to $0.95 diluted
earnings per CRDB share.
Based in Atlanta, Georgia, Crawford & Company (www.crawfordandcompany.com) is
the world's largest independent provider of claims management solutions to the
risk management and insurance industry, as well as to self-insured entities,
with an expansive global network serving clients in more than 70 countries. The
Crawford System of Claims Solutions(®) offers comprehensive, integrated claims
services, business process outsourcing and consulting services for major product
lines including property and casualty claims management, workers' compensation
claims and medical management, and legal settlement administration. The
Company's shares are traded on the NYSE under the symbols CRDA and CRDB.
The Company's two classes of stock are substantially identical, except with
respect to voting rights and the Company's ability to pay greater cash dividends
on the Class A Common Stock than on the Class B Common Stock, subject to certain
limitations. In addition, with respect to mergers or similar transactions,
holders of Class A Common Stock must receive the same type and amount of
consideration as holders of Class B Common Stock, unless approved by the holders
of 75% of the Class A Common Stock, voting as a class.
|This press release contains forward-looking statements, including statements|
|about the financial condition, results of operations and earnings outlook of|
|Crawford & Company. Statements, both qualitative and quantitative, that are|
|not historical facts may be "forward-looking statements" as defined in the|
|Private Securities Litigation Reform Act of 1995 and other federal securities|
|laws. Forward-looking statements involve a number of risks and uncertainties|
|that could cause actual results to differ materially from historical|
|experience or Crawford & Company's present expectations. Accordingly, no one|
|should place undue reliance on forward-looking statements, which speak only as|
|of the date on which they are made. Crawford & Company does not undertake to|
|update forward-looking statements to reflect the impact of circumstances or|
|events that may arise or not arise after the date the forward-looking|
|statements are made. For further information regarding Crawford & Company,|
|including factors that could cause our actual financial condition, results or|
|earnings to differ from those described in any forward-looking statements,|
|please read Crawford & Company's reports filed with the SEC and available at|
|www.sec.gov or in the Investor Relations section of Crawford & Company's|
|website at www.crawfordandcompany.com. |
FOR FURTHER INFORMATION REGARDING THIS PRESS RELEASE, PLEASE CALL BRUCE SWAIN AT
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Source: Crawford & Company via Thomson Reuters ONE