Discontinued Operations

6 Months Ended

Jun. 30, 2014

Discontinued Operations

Discontinued Operations

Note M – 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 June 30,
In thousands	2014		2013
Revenues	$	-	$	48,151
Income from discontinued operations before impairment charges and income taxes	-		1,908
Income tax expense	-		535
Income from discontinued operations	$	-	$	1,373
	Six Months Ended June 30,
In thousands	2014		2013
Revenues	$	-	$	94,131
Income from discontinued operations before impairment charges and income taxes	-		2,691
Income tax expense	-		970
Income from discontinued operations	$	-	$	1,721

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

	Six Months Ended June 30,
In thousands	2014		2013
Income from discontinued operations	$	-	$	1,721
Depreciation and software amortization	-		1,739
Other, net	-		2,811
Net cash provided by discontinued operations	$	-	$	6,271