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Crawford Reports Substantial Improvement in 2011 Third Quarter Results

ATLANTA, Nov. 7, 2011 /PRNewswire/ -- Crawford & Company (www.crawfordandcompany.com) (NYSE: CRDA; CRDB), the world's largest independent provider of claims management solutions to insurance companies and self-insured entities, today announced its financial results for the third quarter ended September 30, 2011.

Consolidated Results

Third quarter 2011 consolidated revenues before reimbursements totaled $283.0 million, up 11% over $254.5 million in the 2010 third quarter.  Third quarter 2011 net income attributable to Crawford & Company was $15.3 million, compared with $13.0 million recorded in the 2010 third quarter. Third quarter 2011 diluted earnings per share for CRDA and CRDB were $0.28 compared with $0.24 reported in the prior-year quarter. Third quarter 2011 diluted earnings per share for CRDA and CRDB were positively impacted by an arbitration award of $7.0 million ($5.9 million net of tax, or $0.11 per diluted share) related to the previously disclosed arbitration with Platinum Equity, LLC.

The Company's consolidated cash and cash equivalents position as of September 30, 2011 totaled $68.0 million, compared with $93.5 million at December 31, 2010. Crawford used $17.6 million of cash in operations during the 2011 year-to-date period, compared with $25.1 million during the comparable 2010 period. The $7.5 million reduction in cash used in operations was due to higher net income, partially offset by higher accounts receivable and unbilled revenues and increased payments of accounts payable and accrued liabilities.

In the 2011 third quarter, the Company paid a higher dividend on CRDA than on CRDB. This may result in a different earnings per share ("EPS") for each class of stock due to the two-class method of computing EPS as required by the guidance in Accounting Standards Codification 260 - "Earnings Per Share". The two-class method is an earnings allocation method under which EPS is calculated for each class of common stock considering both dividends declared and participation rights in undistributed earnings as if all such earnings had been distributed during the period. Further references in this release will generally be only for CRDB, as that is the more dilutive measure.

Results by Segment

Americas

Americas revenues before reimbursements were $94.7 million in the third quarter of 2011, increasing 10% from $85.7 million in the 2010 third quarter. During the 2011 third quarter compared with the 2010 third quarter, the U.S. dollar weakened against foreign currencies in the segment, resulting in a positive exchange rate impact to revenues of $2.6 million in this segment. Excluding the positive impact of exchange rate changes, Americas revenues would have been $92.0 million in the 2011 third quarter. Revenues generated by the Company's catastrophe adjuster group in the U.S. were $12.9 million in the 2011 third quarter, increasing from $4.6 million in the 2010 period.  Americas operating expenses for the 2011 third quarter increased by $8.4 million in U.S. dollars, an 11% increase, and increased by 7% on a constant dollar basis, compared with the 2010 period. Operating earnings in the 2011 third quarter in the segment increased to $6.8 million, or an operating margin of 7%, compared with operating earnings of $6.2 million, or 7% of revenues in the 2010 third quarter.

EMEA/AP

Third quarter 2011 revenues before reimbursements for the EMEA/AP segment increased 27% to $87.0 million from $68.7 million in the same period of 2010. During the 2011 third quarter compared with the 2010 third quarter, the U.S. dollar weakened against most major foreign currencies, resulting in a positive exchange rate impact to revenues of $10.0 million in this segment. Excluding the positive impact of exchange rate changes, EMEA/AP revenues would have been $77.0 million in the 2011 third quarter. EMEA/AP operating expenses for the 2011 third quarter increased by $17.7 million in U.S. dollars, a  28% increase, and increased by 14% on a constant dollar basis, compared with the 2010 period. Operating earnings increased to $5.7 million in the 2011 third quarter from 2010 third quarter operating earnings of $5.1 million. The related operating margin was 7% for both the third quarter of 2011 and 2010.

Broadspire

Revenues before reimbursements from the Broadspire segment were $58.9 million in the 2011 third quarter, down 5% from $61.7 million in the 2010 third quarter. Broadspire had an operating loss of $2.9 million in the 2011 third quarter, or a negative operating margin of 5%, compared with an operating loss of $0.7 million, or  a negative operating margin of 1%, in the prior year period. These declines were primarily due to lower revenues from existing clients due to a lengthening in the duration of certain workers' compensation claims and a shift in mix to lower-margin claims, partially as a result of the ongoing special project for one of our clients.

Legal Settlement Administration

Legal Settlement Administration revenues before reimbursements were $42.5 million in the 2011 third quarter, compared with $38.4 million in the 2010 third quarter.  Operating earnings totaled $10.8 million in the 2011 third quarter, or 25% of revenues, compared with $11.0 million, or 29% of revenues, in the prior-year period. The segment's awarded project backlog totaled approximately $72.5 million at September 30, 2011 as compared with $75.0 million at September 30, 2010.  

Management's Comments

Mr. Jeffrey T. Bowman, chief executive officer of Crawford & Company, stated, "Our third quarter 2011 operating results reflect continued strong performance in our Americas, EMEA/AP and Legal Settlement Administration segments.

"Both the Americas segment and EMEA/AP benefited from weather-related claims increases, the former in the U.S. as a result of Hurricane Irene and the latter as a result of an increase in weather-related claims activity in our Australian market.

"In our Legal Settlement Administration segment, we continue to see solid results primarily from our engagement in the Gulf Coast Claims Facility special project. We still have a strong backlog of awarded projects in this segment and expect the special project activity to continue through 2011 and into 2012, although at a reduced rate as this project continues to wind down.

"Our Broadspire segment is  closely correlated with the U.S. economy and continues to be affected by lower workplace-related claims volumes reflecting the high level of U.S. unemployment. In addition, we are seeing the duration of workers compensation claims lengthen, which is putting further pressure on this business. We are actively addressing these issues and focusing on significant technology improvements, business development, and cost control measures. As we have previously disclosed, during the 2011 third quarter we completed all remaining arbitration matters related to the acquisition of Broadspire. In connection with that, we recorded an after-tax $5.9 million one-time arbitration award in this year's third quarter. We are pleased all arbitration matters associated with the Broadspire acquisition are now behind us as we continue to build this business unit."

Mr. Bowman concluded, "As we end the year and prepare to enter 2012, I am optimistic that our strategic focus of getting Broadspire to an acceptable operating profit level, reducing our overall debt load, and enhancing shareholders' returns through improved revenue and operating earnings as we capitalize on global opportunities and efficiencies will be executed."

2011 Guidance

Crawford & Company revises and increases aspects of its previously issued guidance for 2011 as follows:

  • Consolidated revenues before reimbursements between $1.10 billion and $1.13 billion.
  • Consolidated operating earnings between $83.0 million and $89.0 million.
  • Consolidated cash provided by operating activities between $30.0 million and $35.0 million.
  • After reflecting stock-based compensation expense, net corporate interest expense, customer-relationship intangible asset amortization expense, special credits and charges, and income taxes, net income attributable to shareholders of Crawford & Company on a GAAP basis between $45.0 million and $47.5 million, or $0.81 to $0.86 diluted earnings per CRDB share.
  • Before reflecting a net special credit of $1.6 million, or $0.04 per share, net income attributable to shareholders of Crawford & Company on a non-GAAP basis between $43.5 million and $46.0 million, or $0.77 to $0.82 diluted earnings per CRDB share.

Crawford & Company's management will host a conference call with investors on Monday, November 7, 2011 at 3:00 p.m. EST to discuss earnings and other developments. The call will be recorded and available for replay through November 15, 2011. You may dial 1-855-859-2056 (404-537-3406 international) to listen to the replay. The access code is 21518137. Alternatively, please visit our web site at www.crawfordandcompany.com for a live audio web cast and related financial presentation.

Further information regarding the Company's financial position, operating results, and cash flows as of and for the quarter and year-to-date period ended September 30, 2011 is shown on the attached unaudited condensed consolidated financial statements.

In the normal course of business, our operating segments incur certain out-of-pocket expenses that are thereafter reimbursed by our clients. Under GAAP, these out-of-pocket expenses and associated reimbursements are reported as expenses and revenues, respectively, in our consolidated results of operations. In the foregoing discussion and analysis of segment results of operations, we do not include a gross up of segment revenues and expenses for these pass-through reimbursed expenses. The amounts of reimbursed expenses and related revenues offset each other in our results of operations with no impact to our net income or operating earnings (loss). A reconciliation of revenues before reimbursements to consolidated revenues determined in accordance with GAAP is self-evident from the face of the accompanying unaudited condensed consolidated statements of operations.

Operating earnings is the primary financial performance measure used by our senior management and chief operating decision maker ("CODM") to evaluate the financial performance of our operating segments and make resource allocation decisions. Unlike net income, our operating earnings measure is not a standard performance measure found in GAAP. However, since it is our segment measure of profitability presented in conformity with the Financial Accounting Standards Board's ("FASB") Accounting Standards Codification ("ASC") Topic 280 "Segment Reporting," it is not considered a non-GAAP financial measure requiring reconciliation pursuant to Securities and Exchange Commission ("SEC") guidance contained in Regulation G and Item 10(e) of Regulation S-K. We believe this measure is useful to others in that it allows them to evaluate segment operating performance using the same criteria our  management and CODM  use. Operating earnings  represent  segment  earnings  excluding income tax expense, net corporate interest expense, amortization of customer-relationship intangible assets, stock option expense, certain other gains and expenses, and certain unallocated corporate and shared costs. Net income or loss attributable to noncontrolling interests has also been removed from operating earnings.

Income tax expense, net corporate interest expense, amortization of customer-relationship intangible assets, and stock option expense are recurring components of our net income, but they are not considered part of our segment operating earnings because they are managed on a corporate-wide basis. Income tax expense is based on statutory rates in effect in each of the jurisdictions where we provide services, and vary throughout the world. Net corporate interest expense results from capital structure decisions made by management and affecting the Company as a whole. Amortization expense relates to non-cash amortization expense of customer-relationship intangible assets resulting from business combinations. Stock option expense represents the non-cash costs generally related to stock options and employee stock purchase plan expenses which are not allocated to our operating segments. None of these costs relate directly to the performance of our services or operating activities and, therefore, are excluded from segment operating earnings in order to better assess the results of each segment's operating activities on a consistent basis.

Certain other gains and expenses may arise from events (such as expenses related to restructurings, losses on subleases, arbitration awards, and goodwill impairment charges) that are not allocated to any particular segment since they historically have not regularly impacted our performance and are not expected to impact our future performance on a regular basis.

Following is a reconciliation of segment operating earnings (loss) to net income attributable to Crawford & Company on a GAAP basis and the related margins as a percentage of revenues before reimbursements for all periods presented (in thousands, except percentages):



Quarter ended


Year-to-date period ended


September 30, 2011

% Margin

September 30, 2010

% Margin


September 30, 2011

% Margin

September 30, 2010

% Margin

Operating Earnings (Loss):










Americas

$

6,780


7%

$

6,232


7%


$

20,089


7%

$

18,332


7%

EMEA/AP

5,686


7%

5,133


7%


20,465


8%

15,209


7%

Broadspire

(2,925)


(5)%

(659)


(1)%


(9,184)


(5)%

(4,764)


(3)%

Legal Settlement Administration

10,781


25%

10,968


29%


42,537)


28%

19,817


24%

Unallocated corporate and shared costs

(956)


—%

(783)


—%


(5,349)


(1)%

(2,244)


—%

Add (Deduct):










Arbitration award and special charges

6,992


2%


—%


6,992


1%

(4,650)


(1)%

Goodwill impairment


—%


—%



—%

(7,303)


(1)%

Stock option expense

(78)


—%

(195)


—%


(375)


—%

(586)


—%

Amortization expense

(1,513)


(1)%

(1,497)


(1)%


(4,531)


(1)%

(4,496)


(1)%

Net corporate interest expense

(4,142)


(1)%

(3,923)


(2)%


(12,396)


(1)%

(11,732)


(2)%

Provision for income taxes

(5,295)


(2) %

(2,180)


(1)%


(17,337)


(2)%

(3,938)


(1)%

Net (income) loss attributable to non-controlling interests

(34)


—%

(106)


—%


1


—%

(128)


—%

Net income attributable to Crawford & Company

$

15,296


5%

$

12,990


5%


$

40,912


5%

$

13,517


2%














Based in Atlanta, Georgia, Crawford & Company (www.crawfordandcompany.com) is the world's largest independent provider of claims management solutions to the risk management and insurance industry as well as self-insured entities, with an expansive global network serving clients in more than 70 countries. The Crawford System of Claims Solutions(SM) offers comprehensive, integrated claims services, business process outsourcing and consulting services for major product lines including property and casualty claims management, workers' compensation claims and medical management, and legal settlement administration. The Company's shares are traded on the NYSE under the symbols CRDA and CRDB.

The Company's two classes of stock have substantially identical rights, except with respect to voting rights and the Company's ability to pay greater cash dividends on the Class A Common Stock than on the Class B Common Stock, subject to certain limitations. In addition, with respect to mergers or similar transactions, holders of Class A Common Stock must receive the same type and amount of consideration as holders of Class B Common Stock, unless approved by the holders of 75% of the Class A Common Stock, voting as a class.

This press release contains forward-looking statements, including statements about the financial condition, results of operations and earnings outlook of Crawford & Company.  Statements, both qualitative and quantitative, that are not historical facts may be "forward-looking" statements as defined in the Private Securities Litigation Reform Act of 1995 and other federal securities laws.  Forward-looking statements involve a number of risks and uncertainties that could cause actual results to differ materially from historical experience or Crawford & Company's present expectations.  Accordingly, no one should place undue reliance on forward-looking statements, which speak only as of the date on which they are made.  Crawford & Company does not undertake to update forward-looking statements to reflect the impact of circumstances or events that may arise or not arise after the date the forward-looking statements are made.  For further information regarding Crawford & Company, including factors that could cause our actual financial condition, results or earnings to differ from those described in any forward-looking statements, please read Crawford & Company's reports filed with the SEC and available at www.sec.gov or in the Investor Relations section of Crawford & Company's website at www.crawfordandcompany.com.



CRAWFORD  &  COMPANY

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

Unaudited

(In Thousands, Except Earnings Per Share Amounts and Percentages)














Three Months Ended September 30,

2011


2010

% Change








Revenues:












Revenues Before Reimbursements

$ 282,967


$ 254,523

11%


Reimbursements

25,252


23,587

7%


Total Revenues

308,219


278,110

11%








Costs and Expenses:












Costs of Services Provided, Before Reimbursements

211,577


185,172

14%


Reimbursements

25,252


23,587

7%


Total Costs of Services

236,829


208,759

13%








Selling, General, and Administrative Expenses

53,615


50,152

7%


Corporate Interest Expense, Net

4,142


3,923

6%


Arbitration Award

(6,992)


-

nm


Total Costs and Expenses

287,594


262,834

9%














Income before Income Taxes

20,625


15,276

35%


Provision for Income Taxes

5,295


2,180

143%


Net Income

15,330


13,096

17%


Less:  Net Income Attributable to Noncontrolling Interests

34


106

(68%)


Net Income Attributable to Shareholders of Crawford & Company

$   15,296


$   12,990

18%














Earnings Per Share - Basic:






Class A Common Stock

$       0.29


$       0.25

16%


Class B Common Stock

$       0.28


$       0.25

12%








Earnings Per Share - Diluted:






Class A Common Stock

$       0.28


$       0.24

17%


Class B Common Stock

$       0.28


$       0.24

17%








Cash Dividends Per Share:






Class A Common Stock

$       0.03


$           -

nm


Class B Common Stock

$       0.02


$           -

nm














nm = not meaningful







CRAWFORD  &  COMPANY

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS

Unaudited

(In Thousands, Except Earnings Per Share Amounts and Percentages)














Nine Months Ended September 30,

2011


2010

% Change








Revenues:












Revenues Before Reimbursements

$ 859,718


$ 728,940

18%


Reimbursements

66,691


57,209

17%


Total Revenues

926,409


786,149

18%








Costs and Expenses:












Costs of Services Provided, Before Reimbursements

629,292


538,142

17%


Reimbursements

66,691


57,209

17%


Total Costs of Services

695,983


595,351

17%








Selling, General, and Administrative Expenses

166,774


149,530

12%


Corporate Interest Expense, Net

12,396


11,732

6%


Arbitration Award and Special Charges

(6,992)


4,650

nm


Goodwill Impairment Charge

-


7,303

nm


Total Costs and Expenses

868,161


768,566

13%














Income before Income Taxes

58,248


17,583

231%


Provision for Income Taxes

17,337


3,938

340%


Net Income

40,911


13,645

200%


Less:  Net (Loss) Income Attributable to Noncontrolling Interests

(1)


128

(101%)


Net Income Attributable to Shareholders of Crawford & Company

$   40,912


$   13,517

203%














Earnings Per Share - Basic:






Class A Common Stock

$       0.77


$       0.26

196%


Class B Common Stock

$       0.76


$       0.26

192%








Earnings Per Share - Diluted:






Class A Common Stock

$       0.76


$       0.25

204%


Class B Common Stock

$       0.75


$       0.25

200%








Cash Dividends Per Share:






Class A Common Stock

$       0.07


$           -

nm


Class B Common Stock

$       0.06


$           -

nm














nm = not meaningful







CRAWFORD & COMPANY

SUMMARY RESULTS BY OPERATING SEGMENT

Three Months Ended September 30,

Unaudited

(In Thousands, Except Percentages)















Americas

%

EMEA/AP

%

Broadspire

%

Legal Settlement Administration

%


2011

2010

Change

2011

2010

Change

2011

2010

Change

2011

2010

Change



























Revenues Before Reimbursements

$   94,651

$   85,673

10%

$   86,970

$   68,725

27%

$   58,855

$   61,683

(5)%

$   42,491

$ 38,442

11%














Compensation & Benefits

58,524

53,824

9%

56,940

46,019

24%

34,115

35,391

(4)%

16,976

13,631

25%

% of Revenues Before Reimbursements

62%

63%


65%

67%


58%

57%


40%

35%















Expenses Other than Reimbursements,













  Compensation & Benefits

29,347

25,617

15%

24,344

17,573

39%

27,665

26,951

3%

14,734

13,843

6%

% of Revenues Before Reimbursements

31%

30%


28%

26%


47%

44%


35%

36%















Total Operating Expenses

87,871

79,441

11%

81,284

63,592

28%

61,780

62,342

(1)%

31,710

27,474

15%














Operating Earnings (Loss)   (1)

$     6,780

$     6,232

9%

$     5,686

$     5,133

11%

$   (2,925)

$      (659)

(344)%

$   10,781

$ 10,968

(2)%

% of Revenues Before Reimbursements

7%

7%


7%

7%


(5)%

(1)%


25%

29%









































Nine Months Ended September 30,

Unaudited

(In Thousands, Except Percentages)















Americas

%

EMEA/AP

%

Broadspire

%

Legal Settlement Administration

%


2011

2010

Change

2011

2010

Change

2011

2010

Change

2011

2010

Change



























Revenues Before Reimbursements

$ 275,700

$ 252,841

9%

$ 254,016

$ 207,907

22%

$ 176,561

$ 184,826

(4)%

$ 153,441

$ 83,366

84%














Compensation & Benefits

172,374

160,433

7%

167,048

142,046

18%

103,225

107,966

(4)%

55,637

34,447

62%

% of Revenues Before Reimbursements

63%

63%


66%

68%


58%

58%


36%

41%















Expenses Other than Reimbursements,













  Compensation & Benefits

83,237

74,076

12%

66,503

50,652

31%

82,520

81,624

1%

55,267

29,102

90%

% of Revenues Before Reimbursements

30%

29%


26%

24%


47%

44%


36%

35%















Total Operating Expenses

255,611

234,509

9%

233,551

192,698

21%

185,745

189,590

(2)%

110,904

63,549

75%














Operating Earnings (Loss)   (1)

$   20,089

$   18,332

10%

$   20,465

$   15,209

35%

$   (9,184)

$   (4,764)

(93)%

$   42,537

$ 19,817

115%

% of Revenues Before Reimbursements

7%

7%


8%

7%


(5)%

(3)%


28%

24%




























(1) This is a segment financial measure representing earnings (loss) before income tax expense, net corporate interest expense, amortization of customer-relationship

    intangible assets, stock option expense, certain other gains and expenses and certain unallocated corporate and shared costs. See page 5 for a

    reconciliation of Operating Earnings (Loss) to Net Income computed in accordance with GAAP.



CRAWFORD & COMPANY

CONDENSED CONSOLIDATED BALANCE SHEETS

As of September 30, 2011 and December 31, 2010

(In Thousands, Except Par Values)





Unaudited


*



September 30,


December 31,

ASSETS

2011


2010






Current Assets:





Cash and Cash Equivalents

$            68,034


$        93,540


Accounts Receivable, Net

179,024


142,521


Unbilled Revenues, at Estimated Billable Amounts

133,424


122,933


Prepaid Expenses and Other Current Assets

23,040


20,411






Total Current Assets

403,522


379,405







Property and Equipment

155,876


149,444


Less Accumulated Depreciation

(112,900)


(106,073)

Net Property and Equipment

42,976


43,371






Other Assets:





Goodwill

127,756


125,764


Intangible Assets Arising from Business Acquisitions, Net

95,326


97,881


Capitalized Software Costs, Net

59,289


55,204


Deferred Income Tax Assets

88,952


91,930


Other Noncurrent Assets

27,052


27,119

Total Other Assets

398,375


397,898






Total Assets

$          844,873


$      820,674











LIABILITIES AND SHAREHOLDERS' INVESTMENT









Current Liabilities:





Short-Term Borrowings

$            21,749


$                 -


Accounts Payable

41,324


53,517


Accrued Compensation and Related Costs

81,599


90,590


Self-Insured Risks

17,607


15,094


Income Taxes Payable

9,499


2,558


Deferred Income Taxes

17,077


17,146


Deferred Rent

14,764


15,750


Other Accrued Liabilities

36,104


31,097


Deferred Revenues

50,454


48,198


Mandatory Contributions Due to Pension Plan

8,600


20,000


Current Installments of Long-Term Debt and Capital Leases

2,971


2,891






Total Current Liabilities

301,748


296,841






Noncurrent Liabilities:





Long-Term Debt and Capital Leases, Less Current Installments

217,005


220,437


Deferred Revenues

28,623


30,048


Self-Insured Risks

11,236


18,274


Accrued Pension Liabilities, Less Current Mandatory Contributions

127,799


145,030


Other Noncurrent Liabilities

14,198


14,813

Total Noncurrent Liabilities

398,861


428,602






Shareholders' Investment:





Class A Common Stock, $1.00 Par Value

29,072


28,002


Class B Common Stock, $1.00 Par Value

24,697


24,697


Additional Paid-in Capital

32,922


32,348


Retained Earnings

206,198


168,791


Accumulated Other Comprehensive Loss

(153,638)


(164,322)

Shareholders' Investment Attributable to Shareholders of Crawford & Company

139,251


89,516






Noncontrolling Interests

5,013


5,715






Total Shareholders' Investment

144,264


95,231






Total Liabilities and Shareholders' Investment

$          844,873


$      820,674




* derived from the audited Consolidated Balance Sheet



CRAWFORD & COMPANY

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

Nine Months Ended September 30, 2011 and September 30, 2010

Unaudited

(In Thousands)








2011


2010








Cash Flows From Operating Activities:






Net Income

$ 40,911


$ 13,645



Reconciliation of Net Income to Net Cash Used In Operating Activities:






     Depreciation and Amortization

23,804


22,780



     Goodwill Impairment Charge

-


7,303



     Arbitration Award

(6,992)


-



     Stock-Based Compensation

2,709


2,959



     Changes in Operating Assets and Liabilities, Net of Effects of Acquisitions and Dispositions:






          Accounts Receivable, Net

(30,179)


(30,513)



          Unbilled Revenues, Net

(6,654)


(24,647)



          Accrued or Prepaid Income Taxes

6,308


(1,589)



          Accounts Payable and Accrued Liabilities

(23,309)


11,821



          Deferred Revenues

566


(4,459)



          Accrued Retirement Costs

(22,313)


(17,557)



          Prepaid Expenses and Other Operating Activities

(2,449)


(4,853)


Net Cash Used In Operating Activities

(17,598)


(25,110)














Cash Flows From Investing Activities:






Acquisitions of Property and Equipment

(9,326)


(8,003)



Proceeds from Disposals of Property and Equipment

84


40



Capitalization of Computer Software Costs

(11,963)


(10,671)



Additional Purchase Price Consideration for Previous Acquisition

-


(7,303)



Cash Received in Arbitration Award

4,913


-



Payments for Business Acquisitions, Net of Cash Acquired

(6,874)


-


Net Cash Used In Investing Activities

(23,166)


(25,937)














Cash Flows From Financing Activities:






Cash Dividends Paid

(3,505)


-



Shares Used to Settle Withholding Taxes Under Stock-Based Compensation Plans

(1,653)


(703)



Proceeds from Employee Stock-Based Compensation Plans

588


530



Increases in Short-Term Borrowings

59,252


34,939



Payments on Short-Term Borrowings

(36,432)


(2,718)



Payments on Long-Term Debt and Capital Lease Obligations

(4,145)


(7,516)



Other Financing Activities

(41)


(218)


Net Cash Provided by Financing Activities

14,064


24,314








Effects of Exchange Rate Changes on Cash and Cash Equivalents

1,194


(1,428)








Decrease in Cash and Cash Equivalents

(25,506)


(28,161)


Cash and Cash Equivalents at Beginning of Year

93,540


70,354


Cash and Cash Equivalents at End of Period

$ 68,034


$ 42,193



SOURCE Crawford & Company