Business Combination

9 Months Ended

Sep. 30, 2011

Business Combination [Abstract]

BUSINESS COMBINATIONS

3. BUSINESS COMBINATIONS

On June 6, 2011, a variable interest entity for which the Company is the primary beneficiary entered into a stock purchase agreement to acquire 100% of the outstanding shares of JMA Architects, Inc. (“JMA”), an architectural and interior design firm based in Las Vegas, Nevada. This transaction was funded with cash on hand. JMA specializes in the design of healthcare, hospitality, education and commercial facilities in the southwestern United States with revenues of approximately $10 million for the year ended December 31, 2010. The addition of JMA significantly broadens the spectrum of architectural services the Company offers, allowing it to expand geographically, and strengthens its ability to provide an elevated level of design services worldwide. This acquisition was not material to the Company’s unaudited Condensed Consolidated Balance Sheet as of September 30, 2011 and unaudited Condensed Consolidated Statement of Income for the three and nine months ended September 30, 2011, therefore no pro-forma financials are necessary. The acquisition method accounting adjustments related to the JMA acquisition are currently preliminary and may have additional changes through the remainder of 2011.

On May 3, 2010, the Company entered into a stock purchase agreement to acquire 100% of the outstanding shares of The LPA Group Incorporated and all of its subsidiaries and affiliates (“LPA”) for $59.5 million. This transaction was funded with approximately $51.4 million of cash on hand and approximately $8.1 million of the Company’s stock. The transaction was subject to a working capital adjustment provision resulting in an additional payment of approximately $1.1 million to the former shareholders in June 2010.

The results of operations for LPA are included in the Company’s unaudited Condensed Consolidated Statement of Income for the three and nine months ended September 30, 2011 and for the three months ended September 30, 2010. The unaudited pro-forma financial information summarized in the following table gives effect to the LPA acquisition and assumes that it occurred on January 1, 2010:

	For the nine
	months ended
(In thousands, except per share amounts)	September 30, 2010
Continuing operations
Revenues	$	414,838
Net income		17,093
Diluted earnings per share	$	1.86

The pro-forma financial information does not include any costs related to the acquisition. In addition, the pro-forma financial information does not assume any impacts from revenue, cost or other operating synergies that are expected as a result of the acquisition. Pro-forma adjustments have been made to reflect amortization of the identifiable intangible assets for the related periods. Identifiable intangible assets are being amortized on a basis approximating the economic value derived from those assets. The unaudited pro-forma financial information is not necessarily indicative of what the Company’s results would have been had the acquisition been consummated on such dates or project results of operations for any future period.

On October 3, 2011, the Company acquired 100% of the outstanding shares of RBF Consulting (“RBF”). See further discussions in the “Subsequent Event” footnote.