-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, RE2CTaV82bqadSp106CYSlwvCRQ7AX+mT575N077+8xN9xi+LlNypVzWXyZBtiNY 7QjMUJvzCgql9Z57pMCG5A== 0000912057-01-003838.txt : 20010205 0000912057-01-003838.hdr.sgml : 20010205 ACCESSION NUMBER: 0000912057-01-003838 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 1 CONFORMED PERIOD OF REPORT: 20001213 ITEM INFORMATION: FILED AS OF DATE: 20010201 FILER: COMPANY DATA: COMPANY CONFORMED NAME: TMP WORLDWIDE INC CENTRAL INDEX KEY: 0001020416 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-ADVERTISING AGENCIES [7311] IRS NUMBER: 133906555 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: SEC FILE NUMBER: 000-21571 FILM NUMBER: 1521782 BUSINESS ADDRESS: STREET 1: 622 THIRD AVE CITY: NEW YORK STATE: NY ZIP: 10017 BUSINESS PHONE: 2129774200 MAIL ADDRESS: STREET 1: 1633 BROADWAY CITY: NEW YORK STATE: NY ZIP: 10019 8-K 1 a2033202z8-k.txt FORM 8-K - -------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D.C. 20549 ------------------------ FORM 8-K CURRENT REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 DATE OF REPORT (DATE OF EARLIEST EVENT REPORTED): FEBRUARY 1, 2001 TMP WORLDWIDE INC. (Exact name of issuer as specified in its charter) DELAWARE (State or other jurisdiction of incorporation) 0-21571 13-3906555 (Commission File Number) (IRS Employer Identification No.)
622 THIRD AVENUE NEW YORK, NY 10017 (Address of Principal Executive Offices) Registrant's telephone number, including area code (212) 351-7000 NONE (Former address, if changed since last report.) - -------------------------------------------------------------------------------- - -------------------------------------------------------------------------------- ITEM 9. REGULATION FD DISCLOSURE. FORWARD LOOKING STATEMENTS This Current Report on Form 8-K contains forward-looking statements that involve risks and uncertainties. These statements may differ materially from actual events or results. Readers are referred to the documents filed by the Company with the Securities and Exchange Commission, specifically the most recent reports which identify important risk factors that could cause actual results to differ from those contained in the forward-looking statements, including potential fluctuations in quarterly results, volatility of the Company's stock price, intense competition in the Company's markets, changes in demands for the Company's products and services, management of the Company's growth, foreign currency fluctuations and adverse changes in the regulatory environment adversely effecting the Company's business. The Company undertakes no obligation to release publicly any revisions to any forward-looking statements to reflect events or circumstances after the date hereof to reflect the occurrence of unanticipated events. The Company herein is disclosing certain unaudited historical quarterly adjusted financial data retroactively restated to reflect its acquisitions, accounted for as pooling-of-interests, of Rich, Gardner & Associates, Ltd., Stratascape, Inc., Jobtrak Corporation, Cashback2.com, Inc., SPEC Group Holdings, Inc. and People.com Consultants, Inc. Such supplemental data will become historical data of the Company upon the issuance of the financial statements for the period that includes the consummation of these poolings of interests. The adjusted earnings and adjusted earnings before interest, income taxes, depreciation and amortization ("EBITDA") disclosed herein exclude the effects of Merger and Integration Costs and Restructuring Charges and tax benefits thereon. Such amounts include transaction costs for the mergers completed in the respective year-to-date periods, the costs incurred for the subsequent registration of shares issued in the acquisition and the amortization of employee stay bonuses. In addition, these amounts include separation pay and office and management integration costs, which include the elimination of redundant management, closing of excess leasehold facilities, and the write-off of fixed assets, which will not be used in the future. The Company's quarterly commissions and fees for recruitment advertising are typically highest in the first quarter and lowest in the fourth quarter; however, the cyclical nature of the economy and our clients' employment needs have an overriding impact on our quarterly results in Recruitment Advertising, Selection & Temporary Contracting and Executive Search. The Company's quarterly commissions and fees are affected by the timing of yellow page directory closings, which currently have a concentration in the third quarter. Yellow page publishers may change the timing of directory publications, which may have an effect on our quarterly results. Our yellow page advertising results are also affected by commissions earned for volume placements for the year and such amounts, if any, are typically reported in the fourth quarter. Moreover, acquisition activity has had more of an impact on our recently reported quarterly results than any other factor. 1 TMP WORLDWIDE INC. AND SUBSIDIARIES QUARTERLY ADJUSTED SUPPLEMENTAL FINANCIAL INFORMATION (IN THOUSANDS, EXCEPT PER SHARE AMOUNTS) (UNAUDITED)
NINE MONTHS 2000 THREE MONTHS ENDED ENDED ------------------------------------ SEPTEMBER 30, MARCH 31 JUNE 30 SEPTEMBER 30 2000 --------- -------- ------------- ------------- GROSS BILLINGS Interactive............................................ $ 83,780 $107,545 $135,720 $ 327,045 Recruitment advertising................................ 222,395 227,767 216,639 666,801 Selection & temporary contracting...................... 89,313 99,043 105,359 293,715 Executive search....................................... 39,007 48,345 47,888 135,240 Yellow page advertising................................ 133,175 135,694 162,789 431,658 -------- -------- -------- ---------- Total gross billings............................... 567,670 618,394 668,395 1,854,459 -------- -------- -------- ---------- COMMISSIONS & FEES Interactive............................................ 74,095 97,030 121,977 293,102 Recruitment advertising................................ 47,151 49,648 49,360 146,159 Selection & temporary contracting...................... 87,843 98,013 103,804 289,660 Executive search....................................... 39,007 48,345 47,888 135,240 Yellow page advertising................................ 23,300 23,081 29,285 75,666 -------- -------- -------- ---------- Total commissions & fees........................... 271,396 316,117 352,314 939,827 -------- -------- -------- ---------- OPERATING EXPENSES Salary & related....................................... 151,820 167,985 173,819 493,624 Office & general....................................... 65,810 71,374 74,207 211,391 Marketing & promotion.................................. 29,741 38,692 49,321 117,754 Amortization of intangibles............................ 3,731 4,002 4,487 12,220 -------- -------- -------- ---------- Total operating expenses........................... 251,102 282,053 301,834 834,989 -------- -------- -------- ---------- Adjusted operating income.............................. 20,294 34,064 50,480 104,838 OTHER INCOME (EXPENSE) Interest income, net................................... 1,536 5,074 5,986 12,596 Other, net............................................. (86) (490) 24 (552) -------- -------- -------- ---------- Total other income (expense), net.................. 1,450 4,584 6,010 12,044 -------- -------- -------- ---------- Adjusted income before provision for income taxes, minority interests & equity in losses of affiliates........................................... 21,744 38,648 56,490 116,882 Provision for income taxes............................. 9,100 14,188 22,118 45,406 -------- -------- -------- ---------- Adjusted income before minority interests & equity in losses of affiliates................................. 12,644 24,460 34,372 71,476 Minority interests..................................... 81 243 62 386 -------- -------- -------- ---------- Adjusted net income.................................... $ 12,725 $ 24,703 $ 34,434 $ 71,862 ======== ======== ======== ========== Diluted weighted average shares outstanding............ 106,212 108,002 109,061 107,707 ======== ======== ======== ========== Diluted adjusted earnings per share.................... $ 0.12 $ 0.23 $ 0.32 $ 0.67 ======== ======== ======== ========== ADJUSTED EBITDA Adjusted operating income.............................. $ 20,294 $ 34,064 $ 50,480 $ 104,838 Depreciation and amortization.......................... 8,301 8,414 9,134 25,849 Amortization of intangibles............................ 3,731 4,002 4,487 12,220 Other income (expense), net............................ (86) (490) 24 (552) Minority interests..................................... 81 243 62 386 -------- -------- -------- ---------- Total adjusted EBITDA.............................. $ 32,321 $ 46,233 $ 64,187 $ 142,741 ======== ======== ======== ========== Merger and integration costs (excluded from above)..... $ 8,674 $ 13,649 $ 14,823 $ 37,146 Tax benefit of merger and integration costs (excluded from above).......................................... $ (1,558) $ (1,497) $ (6,716) $ (9,771)
2 TMP WORLDWIDE INC. AND SUBSIDIARIES QUARTERLY ADJUSTED SUPPLEMENTAL FINANCIAL INFORMATION (IN THOUSANDS, EXCEPT PER SHARE AMOUNTS) (UNAUDITED)
1999 THREE MONTHS ENDED ---------------------------------------------------- TOTAL MARCH 31 JUNE 30 SEPTEMBER 30 DECEMBER 31 YEAR --------- ---------- ------------ ------------ ---------- GROSS BILLINGS Interactive....................................... $ 28,340 $ 35,315 $ 48,684 $ 64,248 $ 176,587 Recruitment advertising........................... 217,793 215,087 207,039 204,036 843,955 Selection & temporary contracting................. 63,591 71,545 81,484 78,513 295,133 Executive search.................................. 41,544 42,686 47,776 41,552 173,558 Yellow page advertising........................... 120,011 137,101 156,580 118,566 532,258 -------- ---------- -------- -------- ---------- Total gross billings.......................... 471,279 501,734 541,563 506,915 2,021,491 -------- ---------- -------- -------- ---------- COMMISSIONS & FEES Interactive....................................... 25,712 31,814 43,814 56,875 158,215 Recruitment advertising........................... 46,987 47,742 44,542 44,667 183,938 Selection & temporary contracting................. 62,382 71,016 80,297 78,536 292,231 Executive search.................................. 41,513 42,686 47,776 41,302 173,277 Yellow page advertising........................... 23,795 27,187 28,540 21,772 101,294 -------- ---------- -------- -------- ---------- Total commissions & fees...................... 200,389 220,445 244,969 243,152 908,955 -------- ---------- -------- -------- ---------- OPERATING EXPENSES Salary & related.................................. 117,959 130,356 132,220 132,019 512,554 Office & general.................................. 56,408 48,072 51,587 60,759 216,826 Marketing & promotion............................. 10,357 19,633 17,982 27,808 75,780 Amortization of intangibles....................... 3,179 3,169 3,292 3,254 12,894 -------- ---------- -------- -------- ---------- Total operating expenses...................... 187,903 201,230 205,081 223,840 818,054 -------- ---------- -------- -------- ---------- Adjusted operating income......................... 12,486 19,215 39,888 19,312 90,901 OTHER INCOME (EXPENSE) Interest expense, net............................. (3,781) (3,058) (3,317) (3,970) (14,126) Other, net........................................ (171) (1,340) (910) (468) (2,889) -------- ---------- -------- -------- ---------- Total other income (expense), net............. (3,952) (4,398) (4,227) (4,438) (17,015) -------- ---------- -------- -------- ---------- Adjusted income before provision for income taxes, minority interests & equity in losses of affiliates...................................... 8,534 14,817 35,661 14,874 73,886 Provision for income taxes........................ 1,970 4,824 15,597 5,499 27,890 -------- ---------- -------- -------- ---------- Adjusted income before minority interests & equity in losses of affiliates......................... 6,564 9,993 20,064 9,375 45,996 Minority interests................................ (99) (8) -- -- (107) Equity in losses of affiliates.................... (100) (100) (100) -- (300) -------- ---------- -------- -------- ---------- Adjusted net income............................... $ 6,365 $ 9,885 $ 19,964 $ 9,375 $ 45,589 ======== ========== ======== ======== ========== Diluted weighted average shares outstanding....... 92,626 94,079 93,878 96,601 94,459 ======== ========== ======== ======== ========== Diluted adjusted earnings per share............... $ 0.07 $ 0.10 $ 0.21 $ 0.10 $ 0.48 ======== ========== ======== ======== ========== ADJUSTED EBITDA Adjusted operating income......................... $ 12,486 $ 19,215 $ 39,888 $ 19,312 $ 90,901 Depreciation and amortization..................... 6,114 6,995 9,214 7,314 29,637 Amortization of intangibles....................... 3,179 3,169 3,292 3,254 12,894 Other income (expense), net....................... (171) (1,340) (910) (468) (2,889) Minority interests................................ (99) (8) -- -- (107) Equity in losses of affiliates.................... (100) (100) (100) -- (300) -------- ---------- -------- -------- ---------- Total adjusted EBITDA......................... $ 21,409 $ 27,931 $ 51,384 $ 29,412 $ 130,136 ======== ========== ======== ======== ========== Merger and integration costs (excluded from above).......................................... $ 4,687 $ 6,767 $ 34,808 $ 16,792 $ 63,054 Restructuring charge (excluded from above)........ $ 2,789 -- -- -- $ 2,789 Tax benefit of merger and integration costs and restructuring charge (excluded from above)...... $ (2,447) $ (2,014) $(13,235) $ (1,770) $ (19,466)
3 TMP WORLDWIDE INC. AND SUBSIDIARIES QUARTERLY ADJUSTED SUPPLEMENTAL FINANCIAL INFORMATION (IN THOUSANDS, EXCEPT PER SHARE AMOUNTS) (UNAUDITED)
1998 THREE MONTHS ENDED ---------------------------------------------------- TOTAL MARCH 31 JUNE 30 SEPTEMBER 30 DECEMBER 31 YEAR --------- ---------- ------------ ------------ ---------- GROSS BILLINGS Interactive....................................... $ 11,436 $ 15,428 $ 18,824 $ 25,883 $ 71,571 Recruitment advertising........................... 227,412 224,367 219,045 210,985 881,809 Selection & temporary contracting................. 48,118 56,878 56,788 61,279 223,063 Executive search.................................. 49,958 54,373 51,615 39,322 195,268 Yellow page advertising........................... 114,969 134,643 156,737 113,780 520,129 -------- ---------- -------- -------- ---------- Total gross billings.......................... 451,893 485,689 503,009 451,249 1,891,840 -------- ---------- -------- -------- ---------- COMMISSIONS & FEES Interactive....................................... 10,496 14,148 17,503 22,711 64,858 Recruitment advertising........................... 47,157 47,091 43,714 45,431 183,393 Selection & temporary contracting................. 47,654 56,805 56,457 60,948 221,864 Executive search.................................. 49,958 54,373 51,615 39,322 195,268 Yellow page advertising........................... 23,296 27,114 32,124 23,921 106,455 -------- ---------- -------- -------- ---------- Total commissions & fees...................... 178,561 199,531 201,413 192,333 771,838 -------- ---------- -------- -------- ---------- OPERATING EXPENSES Salary & related.................................. 100,982 113,218 116,697 111,614 442,511 Office & general.................................. 46,344 48,149 46,944 50,719 192,156 Marketing & promotion............................. 5,741 5,604 6,904 11,980 30,229 Amortization of intangibles....................... 2,708 3,196 2,291 3,086 11,281 CEO Bonus......................................... 375 375 375 125 1,250 -------- ---------- -------- -------- ---------- Total operating expenses...................... 156,150 170,542 173,211 177,524 677,427 -------- ---------- -------- -------- ---------- Adjusted operating income......................... 22,411 28,989 28,202 14,809 94,411 OTHER INCOME (EXPENSE) Interest expense, net............................. (3,787) (2,920) (3,192) (3,760) (13,659) Other, net........................................ (94) (239) (584) (1,178) (2,095) -------- ---------- -------- -------- ---------- Total other income (expense), net............. (3,881) (3,159) (3,776) (4,938) (15,754) -------- ---------- -------- -------- ---------- Adjusted income before provision for income taxes, minority interests & equity in losses of affiliates...................................... 18,530 25,830 24,426 9,871 78,657 Provision for income taxes........................ 5,475 8,296 8,352 2,465 24,588 -------- ---------- -------- -------- ---------- Adjusted income before minority interests & equity in losses of affiliates......................... 13,055 17,534 16,074 7,406 54,069 Minority interests................................ (16) 17 17 (46) (28) Equity in losses of affiliates.................... (87) (87) (123) (99) (396) -------- ---------- -------- -------- ---------- Adjusted net income............................... $ 12,952 $ 17,464 $ 15,968 $ 7,261 $ 53,645 ======== ========== ======== ======== ========== Diluted weighted average shares outstanding....... 89,497 89,639 89,967 90,215 89,305 ======== ========== ======== ======== ========== Diluted adjusted earnings per share............... $ 0.14 $ 0.19 $ 0.18 $ 0.08 $ 0.60 ======== ========== ======== ======== ========== ADJUSTED EBITDA Adjusted operating income......................... $ 22,411 $ 28,989 $ 28,202 $ 14,809 $ 94,411 Depreciation and amortization..................... 5,191 6,006 6,284 6,419 23,900 Amortization of intangibles....................... 2,708 3,196 2,291 3,086 11,281 Other income (expense), net....................... (94) (239) (584) (1,178) (2,095) Minority interests................................ (16) 17 17 (46) (28) Equity in losses of affiliates.................... (87) (87) (123) (99) (396) -------- ---------- -------- -------- ---------- Total adjusted EBITDA......................... $ 30,113 $ 37,882 $ 36,087 $ 22,991 $ 127,073 ======== ========== ======== ======== ========== Merger and integration costs (excluded from above).......................................... -- $ 2,487 $ 7,090 $ 12,835 $ 22,412 Restructuring charge (excluded from above)........ -- -- -- $ 3,543 $ 3,543 Tax benefit of merger and intergration costs and restructuring charge (excluded from above)...... -- $ (477) $ (2,892) $ (3,793) $ (7,162)
4 SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this Report to be signed on its behalf by the undersigned hereunto duly authorized. TMP WORLDWIDE INC. (Registrant) By: /s/ BART CATALANE ----------------------------------------- Bart Catalane CHIEF FINANCIAL OFFICER Dated: February 1, 2001
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