ASSETS HELD FOR SALE AND DISCONTINUED OPERATIONS

3 Months Ended

Mar. 31, 2015

Discontinued Operations and Disposal Groups [Abstract]

ASSETS HELD FOR SALE AND DISCONTINUED OPERATIONS

ASSETS HELD FOR SALE AND DISCONTINUED OPERATIONS

Assets Held for Sale

In March 2015, the Company's management approved a plan to divest the U.S. information technology business ("US IT") within its Hudson Americas segment. The Company concluded the US IT business qualified for assets held for sale ("AHFS") in accordance with ASC No. 205 "Reporting Discontinued Operations" ("ASC 205") as of March 31, 2015. On May 8, 2015, the Company entered into an Asset Purchase Agreement (the “US IT Agreement”), with Mastech, Inc. to sell its US IT business for $17,000 in cash less the amount of deferred revenues relating to the US IT business at closing. The US IT Agreement provides that the Company will retain all working capital of the US IT business. As such, based on the terms of the US IT Agreement there were no relevant assets and liabilities of the US IT business to reclass as AHFS in accordance with ASC 205 as of March 31, 2015. See Note 17 for further discussion. Pre-tax loss of US IT in accordance with ASC 205 for the three months ended March 31, 2015 was $163 compared to a pre-tax profit of $473 for the same period in 2014.

Discontinued Operations

Effective November 9, 2014, the Company completed the sale of substantially all of the assets and certain liabilities of its Legal eDiscovery business in the U.S and U.K. to Document Technologies, LLC and DTI of London Limited. In addition in 2014, the Company ceased operations in Sweden, which was included within the Hudson Europe segment. The Company concluded that the divestiture of the Legal eDiscovery business and the cessation of operations in Sweden meet the criteria for discontinued operations set forth in ASC 205"(prior to ASU 2014-08)." The Company reclassified its discontinued operations for all periods presented and has excluded the results of its discontinued operations from continuing operations and from segment results for all periods presented.

The carrying amounts of the classes of assets and liabilities from the Legal eDiscovery business and Sweden operations included in discontinued operations were as follows:

	March 31, 2015						December 31, 2014
	eDiscovery		Sweden		Total		eDiscovery		Sweden		Total
Total assets	$	392	$	84	$	476	$	1,156	$	93	$	1,249
Total liabilities	$	2,779	$	149	$	2,928	$	3,297	$	215	$	3,512

Reported results for the discontinued operations by period were as follows:

	Three Months Ended March 31, 2015
	eDiscovery			Sweden			Total
Revenue	$	(1	)	$	—		$	(1	)
Gross margin	89			—			89
Reorganization expenses	363			(6		)	357
Impairment charges	—			—			—
Operating income (loss), excluding gain (loss) from sale of business	(267		)	(28		)	(295		)
Other non-operating income (loss), including interest	(8		)	—			(8		)
Gain (loss) from sale of discontinued operations	82			—			82
Income (loss) from discontinued operations before income taxes	(193		)	(28		)	(221		)
Provision (benefit) for income taxes	(37		)	—			(37		)
Income (loss) from discontinued operations	$	(156	)	$	(28	)	$	(184	)

	Three Months Ended March 31, 2014
	eDiscovery			Sweden			Total
Revenue	$	17,010		$	684		$	17,694
Gross margin	3,043			457			3,500
Reorganization expenses	—			—			—
Impairment charges	—			—			—
Operating income (loss), excluding gain (loss) from sale of business	(125		)	(176		)	(301		)
Other non-operating income (loss), including interest	(5		)	(4		)	(9		)
Gain (loss) from sale of discontinued operations	—			—			—
Income (loss) from discontinued operations before income taxes	(130		)	(180		)	(310		)
Provision (benefit) for income taxes	122			—			122
Income (loss) from discontinued operations	$	(252	)	$	(180	)	$	(432	)