Discontinued Operations

6 Months Ended

Jun. 30, 2017

Discontinued Operations and Disposal Groups [Abstract]

Discontinued Operations

Discontinued Operations

On December 23, 2016, we completed the sale of our Trillium business to Syncsort. The decision to sell Trillium was largely based on the prioritization of investments in support of optimizing our clients' customer journey across an omni-channel delivery platform, and the determination that the Trillium business is likely to be a better strategic fit and more valuable asset to other parties. The business was sold for gross proceeds of approximately $112.0 million in cash and resulted in a loss on the sale of $39.9 million, net of $4.6 million of income tax benefit. We believe that the sale of Trillium will allow us to better focus on our core Customer Interaction businesses and moving towards growth.

Because the sale of Trillium represented a strategic shift that has a major effect on our operations and financial results, the results of operations, financial position, and cash flows for Trillium are reported separately as discontinued operations for all periods presented. Results of the remaining Harte Hanks business are reported as continuing operations.

Summarized operating results for the Trillium discontinued operations, through the dates of disposal, are as follows:

	Three Months Ended June 30,					Six Months Ended June 30,
In thousands	2017		2016			2017		2016
Revenue	$	—	$	12,711		$	—	$	23,871
Labor	—		5,202			—		10,503
Production and distribution	—		156			—		412
Advertising, selling, general and administrative	—		3,337			—		5,764
Depreciation and software amortization	—		589			—		1,101
Other, net	—		(385		)	—		178
Income from discontinued operations before income taxes	—		3,812			—		5,913
Income tax expense	—		1,163			—		1,920
Net income from discontinued operations	$	—	$	2,649		$	—	$	3,993