Discontinued Operations

3 Months Ended

Mar. 31, 2014

Discontinued Operations

Discontinued Operations

Note L – Discontinued Operations

We sold the assets of our California Shoppers operations to affiliates of OpenGate Capital Management, LLC (“OpenGate”) on September 27, 2013.  Because Shoppers represented a distinct business unit with operations and cash flows that can clearly be distinguished, both operationally and for financial purposes, from the rest of Harte Hanks, the results of the Shoppers operations are reported as discontinued operations for all periods presented.

Results of the remaining Harte Hanks marketing services business are reported as continuing operations.

Summarized operating results for the Shoppers discontinued operations are as follows:

	Three Months Ended March 31,
In thousands	2014		2013
Revenues	$	0	$	45,980
Income from discontinued operations before impairment
charges and income taxes	0		783
Income tax expense	0		435
Income from discontinued operations	$	0	$	348

The major components of cash flows for the Shoppers discontinued operations are as follows:

	Three Months Ended March 31,
In thousands	2014		2013
Income (Loss) from discontinued operations	$	-	$	348
Loss on sale	-		-
Depreciation and software amortization	-		871
Other, net	-		(563)
Net cash provided by (used in) discontinued operations	$	-	$	656