UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-Q

QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)

OF THE SECURITIES EXCHANGE ACT OF 1934

For the quarterly period ended June 30, ~~2014~~2015

Commission File Number 1-9788


	LANDAUER, INC. (Exact Name of ~~registrant~~Registrant as ~~specified~~Specified in ~~its charter)~~Its Charter)

	Delaware	06-1218089
	(State or ~~other jurisdiction~~Other Jurisdiction of Incorporation or ~~organization)~~Organization)	(I.R.S. Employer Identification ~~Number)~~No.)

	2 Science Road, Glenwood, IL 60425 (Address of ~~principal executive offices~~Principal Executive Offices and ~~zip code)~~Zip Code)

	Registrant’s ~~telephone number, including area code:~~ Telephone Number, Including Area Code: (708) 755-7000

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes [ X ] No [ ]

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Web site, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T (Section 232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes [ X ] No [ ]

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, or a smaller reporting company. See the definitions of “large accelerated filer,” “accelerated filer” and “smaller reporting company” in Rule 12b-2 of the Exchange Act.


Large accelerated filer	[ ]	Accelerated filer	[ X ]
Non-accelerated filer	[ ]	Smaller reporting company	[ ]
(Do not check if a smaller reporting company)

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act). Yes [ ] No [ X ]

As of ~~July 29, 2014, 9,551,378~~August 6, 2015, 9,578,523 shares of common stock, par value $0.10 per share, of the registrant were outstanding.

TABLE OF CONTENTS



PART I FINANCIAL INFORMATION

Item 1.	Financial Statements

		Consolidated Balance Sheets (Unaudited)	3

		Consolidated Statements of Operations (Unaudited)	4

		Consolidated Statements of Comprehensive Income (Loss) (Unaudited)	5

		Consolidated Statement of Stockholders’ Equity (Unaudited)	6

		Consolidated Statements of Cash Flows (Unaudited)	7

		Notes to Consolidated Financial Statements (Unaudited)	8

Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations		1922

Item 3.	Quantitative and Qualitative Disclosures About Market Risk		27

Item 4.	Controls and Procedures		2728


PART II OTHER INFORMATION

Item 1.	Legal Proceedings		3031

Item 1A.	Risk Factors		3031

Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds		31

Item 3.	Defaults Upon Senior Securities		31

Item 4.	Mine Safety Disclosures		31

Item 5.	Other Information		31

Item 6.	Exhibits		32


SIGNATURE			33

Table of Contents

PART I FINANCIAL INFORMATION

Item 1.Financial Statements

LANDAUER, INC. AND SUBSIDIARIES

Consolidated Balance Sheets (Unaudited)


(Dollars in Thousands)	June 30, 2014		September 30, 2013		June 30, 2015		September 30, 2014
ASSETS
Current assets:
Assets
Cash and cash equivalents	$	11,154	$	11,184	$	8,441	$	6,761
Receivables, net of allowances of $1,030 and $600 respectively		34,750		38,419
Receivables, net of allowances of $1,456 at June 30, 2015 and $1,872 at September 30, 2014						29,392		34,707
Inventories		7,734		9,539		7,456		6,687
Deferred income tax asset - current						2,352		2,369
Prepaid income taxes		6,383		3,132		2,346		1,836
Prepaid expenses and other current assets		5,305		4,019		2,742		1,973
Current assets		65,326		66,293
Total current assets						52,729		54,333
Property, plant and equipment, at cost		105,761		107,446		109,430		104,010
Accumulated depreciation and amortization		(57,369)		(55,514)
Less accumulated depreciation and amortization						(62,730)		(57,253)
Net property, plant and equipment		48,392		51,932		46,700		46,757
Equity in joint ventures		23,744		23,942		23,315		23,835
Goodwill		44,645		84,436		40,850		43,218
Intangible assets, net of accumulated amortization of $37,543 and $13,604, respectively		14,663		37,161
Dosimetry devices, net of accumulated depreciation of $10,899 and $9,472, respectively		5,409		5,798
Intangible assets, net of accumulated amortization of $38,177 at June 30, 2015 and $37,579 at September 30, 2014						13,181		14,077
Dosimetry devices, net of accumulated depreciation of $5,190 at June 30, 2015 and $4,353 at September 30, 2014						3,741		3,958
Deferred income tax assets						18,823		18,374
Other assets		20,539		7,271		8,735		12,034
Assets	$	222,718	$	276,833
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Total assets					$	208,074	$	216,586

Liabilities
Accounts payable	$	5,611	$	6,310	$	4,625	$	6,248
Dividends payable		5,380		5,419		2,719		5,329
Deferred contract revenue		16,772		13,181		15,419		14,750
Accrued compensation and related costs		6,849		8,207		7,708		7,132
Accrued severance						411		2,731
Other accrued expenses		7,776		7,531		7,088		8,538
Current liabilities		42,388		40,648
Non-current liabilities:
Total current liabilities						37,970		44,728
Long-term debt		138,285		142,785		134,385		133,585
Pension and postretirement obligations		13,588		13,047		19,123		19,475
Deferred income taxes		656		9,817		426		509
Uncertain income tax liabilities						2,145		3,284
Other non-current liabilities		1,418		915		1,290		1,271
Non-current liabilities		153,947		166,564
Stockholders' equity:
Preferred stock, $.10 par value per share, authorized 1,000,000 shares; none issued		-		-
Common stock, $.10 par value per share, authorized 20,000,000 shares; 9,616,579 and 9,575,926 issued and outstanding at June 30, 2014 and September 30, 2013 respectively		962		958
Total liabilities						195,339		202,852
Commitments and Contingencies
Stockholders' equity
Preferred stock, $0.10 par value per share, authorized 1,000,000 shares; none issued						-		-
Common stock, $0.10 par value per share, authorized 20,000,000 shares; 9,663,531 and 9,577,874 shares issued and outstanding at June 30, 2015 and September 30, 2014, respectively						966		958
Additional paid in capital		40,392		39,465		41,556		40,317
Accumulated other comprehensive loss		(4,360)		(4,456)		(13,446)		(10,148)
(Accumulated deficit) retained earnings		(12,299)		32,012
Accumulated deficit						(17,518)		(18,873)
Landauer, Inc. stockholders' equity		24,695		67,979		11,558		12,254
Noncontrolling interest		1,688		1,642		1,177		1,480
Stockholders' equity		26,383		69,621
Liabilities and Stockholders' Equity	$	222,718	$	276,833
Total stockholders' equity						12,735		13,734
Total Liabilities and Stockholders' Equity					$	208,074	$	216,586

The accompanying notes are an integral part of these consolidated financial statements.

Three Months Ended
June 30,

Nine Months Ended
June 30,
(Dollars in Thousands, Except per Share)

2014

2013

2014

2013
Service revenues

$
31,013

$
31,591

$
95,890

$
95,593
Product revenues

3,753

4,989

16,135

14,750
Net revenues

34,766

36,580

112,025

110,343
Cost and expenses:

Service costs

16,149

15,474

46,393

44,645
Product costs

1,830

2,490

8,138

6,932
Total cost of sales

17,979

17,964

54,531

51,577
Selling, general and administrative

13,805

12,550

41,902

38,519
Goodwill and intangible assets impairment charge

62,188

22,700

62,188

22,700
Acquisition, reorganization and nonrecurring costs

1,558

142

1,778

442
Costs and expenses

95,530

53,356

160,399

113,238
Operating loss

(60,764)

(16,776)

(48,374)

(2,895)
Equity in income of joint ventures

256

471

1,364

2,555
Interest expense, net

(817)

(1,154)

(2,684)

(3,268)
Other (loss) income, net

(22)

112

7

431
Loss before taxes

(61,347)

(17,347)

(49,687)

(3,177)
Income tax (benefit) expense

(25,030)

(3,748)

(21,580)

146
Net loss

(36,317)

(13,599)

(28,107)

(3,323)
Less: Net income attributed to noncontrolling interest

309

154

471

400
Net loss attributed to Landauer, Inc.

$
(36,626)

$
(13,753)

$
(28,578)

$
(3,723)
Net loss per share attributable to Landauer, Inc. shareholders:

Basic & diluted

$
(3.86)

$
(1.46)

$
(3.02)

$
(0.40)
Weighted average shares outstanding - basic & diluted

9,482

9,439

9,466

9,402


		Three Months Ended June 30,				Nine Months Ended June 30,
(Dollars in Thousands, Except per Share)	2015		2014 (As Restated)		2015		2014 (As Restated)
Revenues:
Service revenues	$	31,924	$	31,800	$	96,223	$	96,415
Product revenues		3,543		4,068		14,930		16,654
Total revenues		35,467		35,868		111,153		113,069
Costs and expenses:
Service costs		15,531		16,109		47,323		46,274
Product costs		1,290		1,821		5,860		8,373
Total cost of sales		16,821		17,930		53,183		54,647
Gross profit		18,646		17,938		57,970		58,422
Selling, general and administrative		13,535		13,819		41,088		41,795
Goodwill and other intangible assets impairment charge		-		62,188		-		62,188
Acquisition, reorganization and nonrecurring costs		-		1,558		-		1,778
Operating income (loss)		5,111		(59,627)		16,882		(47,339)
Equity in income of joint ventures		428		256		1,804		2,072
Interest expense, net		(1,080)		(867)		(2,997)		(2,818)
Other (expense) income, net		158		(21)		(76)		143
Income (loss) before taxes		4,617		(60,259)		15,613		(47,942)
Income tax expense (benefit)		481		(24,225)		3,271		(20,413)
Net income (loss)		4,136		(36,034)		12,342		(27,529)
Less: Net income attributed to noncontrolling interest		81		301		363		471
Net income (loss) attributed to Landauer, Inc.	$	4,055	$	(36,335)	$	11,979	$	(28,000)

Net income (loss) per share attributable to Landauer, Inc. shareholders:
Basic	$	0.42	$	(3.83)	$	1.26	$	(2.96)
Weighted average basic shares outstanding		9,509		9,482		9,476		9,466

Diluted	$	0.42	$	(3.83)	$	1.25	$	(2.96)
Weighted average diluted shares outstanding		9,534		9,482		9,503		9,466

The accompanying notes are an integral part of theseconsolidated financial ~~statements.~~statements.



							Three Months Ended June 30, 2015						Nine Months Ended June 30, 2015
(Dollars in Thousands)							Landauer, Inc.		Noncontrolling Interest		Total		Landauer, Inc.		Noncontrolling Interest		Total
Net income							$	4,055	$	81	$	4,136	$	11,979	$	363	$	12,342
Other comprehensive income:
Defined benefit pension and postretirement plans activity, net of taxes of $27 and $80, respectively								46		-		46		137		-		137
Unrealized gains (losses) on available-for-sale securities, net of taxes of $9								41		-		41		43		-		43
Foreign currency translation adjustment, net of taxes of ($184), and $1,873, respectively								220		7		227		(3,478)		(191)		(3,669)
Comprehensive income							$	4,362	$	88	$	4,450	$	8,681	$	172	$	8,853

							Three Months Ended June 30, 2014						Nine Months Ended June 30, 2014
	Three Months Ended June 30, 2014						(As Restated)						(As Restated)
(Dollars in Thousands)	Landauer, Inc.		Noncontrolling Interest		Total		Landauer, Inc.		Noncontrolling Interest		Total		Landauer, Inc.		Noncontrolling Interest		Total
Net (loss) income	$	(36,626)	$	309	$	(36,317)	$	(36,335)	$	301	$	(36,034)	$	(28,000)	$	471	$	(27,529)
Other comprehensive income:
Defined benefit pension and postretirement plans activity, net of tax		46		-		46
Foreign currency translation adjustment		(314)		20		(294)
Defined benefit pension and postretirement plans activity, net of taxes of $0								46		-		46		137		-		137
Unrealized gains (losses) on available-for-sale securities, net of taxes of $0								48		-		48		(6)		-		(6)
Foreign currency translation adjustment, net of taxes of $0								(314)		20		(294)		(161)		(29)		(190)
Comprehensive (loss) income	$	(36,894)	$	329	$	(36,565)	$	(36,555)	$	321	$	(36,234)	$	(28,030)	$	442	$	(27,588)

	Three Months Ended June 30, 2013
(Dollars in Thousands)	Landauer, Inc.		Noncontrolling Interest		Total
Net (loss) income	$	(13,753)	$	154	$	(13,599)
Other comprehensive income:
Defined benefit pension and postretirement plans activity, net of tax		68		-		68
Foreign currency translation adjustment		(610)		(44)		(654)
Comprehensive (loss) income	$	(14,295)	$	110	$	(14,185)

	Nine Months Ended June 30, 2014
(Dollars in Thousands)	Landauer, Inc.		Noncontrolling Interest		Total
Net (loss) income	$	(28,578)	$	471	$	(28,107)
Other comprehensive income:
Defined benefit pension and postretirement plans activity, net of tax		257		-		257
Foreign currency translation adjustment		(161)		(29)		(190)
Comprehensive (loss) income	$	(28,482)	$	442	$	(28,040)

	Nine Months Ended June 30, 2013
(Dollars in Thousands)	Landauer, Inc.		Noncontrolling Interest		Total
Net (loss) income	$	(3,723)	$	400	$	(3,323)
Other comprehensive income:
Defined benefit pension and postretirement plans activity, net of tax		204		-		204
Foreign currency translation adjustment		(2,798)		(35)		(2,833)
Comprehensive (loss) income	$	(6,317)	$	365	$	(5,952)

The accompanying notes are an integral part of theseconsolidated financial ~~statements.~~statements.


	Landauer, Inc. Stockholders' Equity														Landauer, Inc. Stockholders' Equity
(Dollars in Thousands)	Common Stock Shares		Common Stock		Addi- tional Paid in Capital		Accumulated Other Compre-hensive (Loss) Income		(Accumulated Deficit) Retained Earnings		Non- Controlling Interest		Total Stock- holders' Equity		Common Stock Shares		Common Stock		Addi- tional Paid in Capital		Accumulated Other Compre-hensive (Loss) Income		(Accumulated Deficit) Retained Earnings		Non- Controlling Interest		Total Stock- holders' Equity
Balance September 30, 2013		9,575,926	$	958	$	39,465	$	(4,456)	$	32,012	$	1,642	$	69,621
September 30, 2014																9,577,874	$	958	$	40,317	$	(10,148)	$	(18,873)	$	1,480	$	13,734
Stock-based compensation arrangements		40,653		4		927		-		-		-		931		85,657		8		1,239		-		-		-		1,247
Dividends		-		-		-		-		(15,733)		(396)		(16,129)		-		-		-		-		(10,624)		(475)		(11,099)
Net (loss) income		-		-		-		-		(28,578)		471		(28,107)
Foreign currency translation adjustment		-		-		-		(161)		-		(29)		(190)
Net income																-		-		-		-		11,979		363		12,342
Foreign currency translation adjustment, net of tax																-		-		-		(3,478)		-		(191)		(3,669)
Unrealized gains (losses) on available-for-sale securities, net of tax																-		-		-		43		-		-		43
Defined benefit pension and postretirement plans activity, net of tax		-		-		-		257		-		-		257		-		-		-		137		-		-		137
Balance June 30, 2014		9,616,579	$	962	$	40,392	$	(4,360)	$	(12,299)	$	1,688	$	26,383

June 30, 2015																9,663,531	$	966	$	41,556	$	(13,446)	$	(17,518)	$	1,177	$	12,735

The accompanying notes are an integral part of theseconsolidated financial ~~statements.~~statements.



	Nine Months Ended June 30,					Nine Months Ended June 30,
(Dollars in Thousands)		2014		2013		2015		2014 (As Restated)
Cash flows from operating activities:
Net loss		$	(28,107)	$	(3,323)
Adjustments to reconcile net income to net cash provided by operating activities:
Net income (loss)						$	12,342	$	(27,529)
Adjustments to reconcile net income (loss) to net cash provided by operating activities:
Depreciation and amortization			11,607		10,860		9,274		11,419
Goodwill and other intangible impairment charge			62,188		22,700
Goodwill and other intangible assets impairment charge							-		62,188
Equity in income of joint ventures			(1,364)		(2,555)		(1,804)		(2,072)
Dividends from joint ventures			1,340		1,891		1,144		1,340
Stock-based compensation and related net tax benefits			1,066		2,293		1,422		1,066
Current and long-term deferred taxes, net			(21,973)		(5,531)		769		(21,829)
Gain on sale, disposal and abandonment of fixed assets			(35)		-
Loss (gain) on sale, disposal and abandonment of fixed assets							142		(35)
Gain on investments			(369)		(118)		(159)		(505)
Changes in operating assets and liabilities:
Decrease in accounts receivable, net			3,815		305		4,393		3,901
Increase in prepaid taxes			(3,247)		(1,349)		(606)		(2,224)
Increase in other operating assets, net			(227)		(3,479)		(594)		(73)
Increase (decrease) in accounts payable and other accrued liabilities			1,379		(1,157)
Increase (decrease) in other operating liabilities, net			608		(1,073)
(Decrease) increase in accounts payable and other accrued liabilities							(3,366)		296
(Decrease) increase in other operating liabilities, net							(1,246)		608
Net cash provided by operating activities			26,681		19,464		21,711		26,551
Cash flows used by investing activities:

Cash flows from investing activities:
Acquisition of property, plant and equipment			(3,056)		(8,135)		(6,224)		(3,056)
Acquisition of joint ventures and businesses, net of cash acquired			(1,800)		-		-		(1,800)
Other investing activities, net			(1,037)		(1,855)		(467)		(855)
Net cash used by investing activities			(5,893)		(9,990)		(6,691)		(5,711)
Cash flows (used) provided by financing activities:

Cash flows from financing activities:
Net borrowings on revolving credit facility			(51)		-		-		(51)
Long-term borrowings - loan			27,500		19,600		26,300		27,500
Long-term borrowings - repayment			(32,000)		(21,387)		(25,500)		(32,000)
Dividends paid to stockholders			(15,771)		(15,658)		(13,237)		(15,771)
Other financing activities, net			(500)		(460)		(462)		(500)
Net cash used by financing activities			(20,822)		(17,905)		(12,899)		(20,822)

Effects of foreign currency translation			4		(205)		(441)		(52)
Net decrease in cash and cash equivalents			(30)		(8,636)
Net increase (decrease) in cash and cash equivalents							1,680		(34)
Opening balance - cash and cash equivalents			11,184		17,633		6,761		8,672
Ending balance - cash and cash equivalents		$	11,154	$	8,997	$	8,441	$	8,638

Accrued capital spending included in accounts payable and other accrued liabilities		$	308	$	291	$	993	$	308

The accompanying notes are an integral part of theseconsolidated financial statements.

As used herein, the ~~“Company” or “Landauer” refers~~terms “Company,” “Landauer,” “we,” “us,” and “our” refer collectively to Landauer, Inc. and its ~~subsidiaries.~~subsidiaries through which its various businesses are conducted.

The consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S. GAAP”) for interim financial information and the instructions to Rule 10-01 of Regulation S-X. Accordingly, they do not include all of the information and footnotes required by U.S. GAAP for complete financial statements.

The consolidated financial statements include the accounts of the Company, its subsidiaries and variable interest entities in which the Company has a controlling financial interest. All intercompany balances and transactions have been eliminated in consolidation. Entities in which the Company does not have a controlling financial interest, but is considered to have significant influence, are accounted for on the equity method.

The preparation of the interim consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the interim consolidated financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

We believe that we have included all normal recurring adjustments necessary for a fair presentation of the results for the interim period. Operating results for the quarter and nine months ended June 30, 2015 are not necessarily indicative of the results that may be expected for the fiscal year ending September 30, 2015.

These unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s Annual Report on Form ~~10-K/A~~10-K for the fiscal year ended September 30, ~~2013~~2014 (the “Form 10-K”) and other financial information filed with the Securities and Exchange Commission (the “SEC”).

The accounting policies followed by the Company are set forth in the Company’s Annual Report on Form 10-K/A for the fiscal year ended September 30, 2013. There have been no changes to the accounting policies for the nine month period ended June 30, 2014.

~~The results of operations for the three and nine month periods ended June 30, 2014 are not necessarily indicative of the results to be expected for the full fiscal year.~~ The September 30, ~~2013~~2014 balance sheet data was derived from audited financial statements, but does not include all disclosures required by ~~accounting principles generally accepted in the United States of America.~~U.S. GAAP.

The ~~three and nine month periods ended June 30, 2014 include~~accounting policies followed by the ~~correction of certain errors relating to prior periods. The~~ Company ~~recorded adjustments to correct the timing of revenue recognition in accordance with contractually established terms and conditions. The amounts recorded out-of-period include an increase~~are set forth in the ~~pre-tax loss of $1.3 million~~Form 10-K, and there have been no changes to the accounting policies for the ~~third fiscal quarter ended June 30, 2014 and an increase in the pre-tax loss of $0.9 million for~~ nine month period ended June 30, ~~2014. The Company does not believe these corrections to be material to any current or prior interim or annual periods.~~2015.

In the opinion of management, the accompanying unaudited consolidated financial statements include all adjustments necessary for a fair statement of such financial statements. Certain reclassifications have been made in the financial statements for comparative purposes. These reclassifications have no effect on the results of operations or financial position of the Company.

In connection with the preparation of the consolidated financial statements for the ~~second quarter of~~ fiscal year ended September 30, 2014, the Company identified an error in the treatment of accrued additions for property, plant and equipment in the Consolidated Statements of Cash Flows. This error resulted in an understatement of net cash provided by operating activities and net cash used in investing activities in the third quarter of fiscal 2013 and the first quarter of fiscal 2014. In addition, the Company identified an errorerrors in its Consolidated Statement of Cash Flows which affected the third quarter of fiscal 2013. This error related to the classification of debt financing fees and resulted in an understatement of net cash provided by operating activities and net cash used by financing activities. In connection with the preparation of the consolidatedpreviously issued financial statements for the third quarter of fiscal 2014, the Company identified an error related to the classification of unrealized gains or losses on investments in the Consolidated Statements of Cash Flows. This error resulted in an overstatement of net cash provided by operating activities and net cash used in investing activities in each of the quarters of fiscal 2014 and the third fiscal quarter of 2013, as well as the year-end consolidated financial statements for the fiscal yearsinterim periods ended ~~September~~June 30, ~~2013 and 2012.~~2014. In accordance with accounting guidance presented in ASC 250-10 and SEC Staff Accounting ~~Bulletin~~Bulletin: No. 99 – Materiality ~~the Company~~(“SAB 99”), management assessed the materiality of these errors and concluded that they were ~~not~~ material to ~~any of~~ the Company’s ~~previously issued~~ financial ~~statements.~~statements for the three and nine months ended June 30, 2014. The Company ~~will revise~~restated its ~~previously issued~~ financial statements for the three and nine month periods ended June 30, 2014 to correct for these errors. ~~These revisions did not impact~~Following is a description of the corrections:

Income taxes – The Company did not properly allocate income between taxing jurisdictions for certain items. This resulted in the ~~Company’s Consolidated Statements~~misstatement of ~~Operations or Consolidated Balance Sheets for any of these periods.~~income tax expense (benefit), prepaid taxes, current and deferred tax assets and liabilities, other accrued expenses and accumulated other comprehensive income.

Revenue and accounts receivable – The Company identified the following ~~tables present the effect of this correction~~errors related to revenue recognition and its accounting for receivables:

Dosimetry devices – The Company did not properly account for certain dosimetry devices, based on the ~~Company’s Consolidated Statements~~expected useful life of ~~Cash Flows for:~~the devices as determined by the wear period of the related badges. This resulted in a misstatement of cost of sales and dosimetry devices, net of accumulated depreciation.

Long-term investments – The Company recorded fixed income mutual fund investments held by one of its foreign subsidiaries as cash, instead of properly classifying them as available-for-sale securities. As a result, both realized and unrealized gains were incorrectly recorded as interest income. This resulted in the misstatement of interest expense, net, other income (expense), net, net income attributed to noncontrolling interest, comprehensive income, cash, other assets, accumulated other comprehensive income, and noncontrolling interest.

Sales taxes – The Company did not collect and remit sales taxes to the proper taxing jurisdictions. This resulted in the misstatement of selling, general and administrative expenses and other accrued expenses.

Intangible assets – The Company’s intangible assets include purchased customer lists, licenses, patents, trademarks and tradenames. These assets are recorded at fair value and assigned estimated useful lives at the time of acquisition. The Company did not properly amortize certain customer lists and trademarks based on their assigned useful lives and, therefore, did not record amortization expense in the proper periods. This resulted in a misstatement of selling, general and administrative expenses and intangible assets, net of accumulated amortization.

Equity in joint ventures – The Company identified the following errors related to accounting for its joint ventures:

Nine Months Ended
June 30, 2013
(Dollars in Thousands)

As Previously Reported

Adjustment

As Revised
Cash flows from operating activities:

(Gain) loss on investments

$
-

$
(118)

$
(118)
(Increase) decrease in other operating assets, net

(3,679)

200

(3,479)
(Decrease) increase in accounts payable and other accrued liabilities

(4,006)

2,849

(1,157)
Net cash provided by operating activities

16,533

2,931

19,464
Cash flows used by investing activities:

Acquisition of property, plant and equipment

(5,286)

(2,849)

(8,135)
Other investing activities, net

(1,973)

118

(1,855)
Net cash used by investing activities

(7,259)

(2,731)

(9,990)
Cash flows used by financing activities:

Other financing activities, net

(260)

(200)

(460)
Net cash used by financing activities

(17,705)

(200)

(17,905)

During fiscal 2012 and 2013, the Company did not properly record its share of equity income from certain joint ventures in the proper periods.

The following table summarizes the impact of the restatement on net income (loss) and diluted net income (loss) per share attributed to Landauer, Inc. for the three and nine months ended June 30, 2014:

Year Ended
September 30, 2012
(Dollars in Thousands)

As Previously Reported

Adjustment

As Revised
Cash flows from operating activities:

(Gain) loss on investments

$
-

$
(317)

$
(317)
Net cash provided by operating activities

36,840

(317)

36,523
Cash flows used by investing activities:

Other investing activities, net

(880)

317

(563)
Net cash used by investing activities

(125,456)

317

(125,139)



	Three Months Ended June 30, 2014 (Unaudited)				Nine Months Ended June 30, 2014 (Unaudited)
(Dollars in Thousands, Except per Share)	Net Income (Loss)		Diluted Net Income (Loss) Per Share		Net Income (Loss)		Diluted Net Income (Loss) Per Share
As previously reported	$	(36,626)	$	(3.86)	$	(28,578)	$	(3.02)
Revenue and accounts receivable		1,138				890
Dosimetry devices		13				38
Long-term investments		(48)				6
Sales taxes		(15)				(47)
Intangible assets		-				150
Equity in joint ventures		-				708
Total adjustments		1,088		0.11		1,745		0.18
Income tax expense (benefit)		805		0.08		1,167		0.12
Less amounts attributed to noncontrolling interest		(8)		-		-		-
Net impact of adjustments		291		0.03		578		0.06
As restated	$	(36,335)	$	(3.83)	$	(28,000)	$	(2.96)

The effect of the restatement on the previously issued Consolidated Statement of Operations for the three and nine months ended June 30, 2014 is as follows:



	Three Months Ended June 30, 2014 (Unaudited)				Nine Months Ended June 30, 2014 (Unaudited)
(Dollars in Thousands, Except per Share)	Previously Reported		As Restated		Previously Reported		As Restated
Service revenues	$	31,013	$	31,800	$	95,890	$	96,415
Product revenues		3,753		4,068		16,135		16,654
Net revenues		34,766		35,868		112,025		113,069
Costs and expenses:
Service costs		16,149		16,109		46,393		46,274
Product costs		1,830		1,821		8,138		8,373
Total cost of sales		17,979		17,930		54,531		54,647
Gross profit		16,787		17,938		57,494		58,422
Selling, general, and administrative		13,805		13,819		41,902		41,795
Goodwill and other intangible assets impairment charge		62,188		62,188		62,188		62,188
Acquisition, reorganization and nonrecurring costs		1,558		1,558		1,778		1,778
Operating loss		(60,764)		(59,627)		(48,374)		(47,339)
Equity in income of joint ventures		256		256		1,364		2,072
Interest expense, net		(817)		(867)		(2,684)		(2,818)
Other income (expense), net		(22)		(21)		7		143
Loss before taxes		(61,347)		(60,259)		(49,687)		(47,942)
Income tax benefit		(25,030)		(24,225)		(21,580)		(20,413)
Net loss		(36,317)		(36,034)		(28,107)		(27,529)
Less: Net income attributed to noncontrolling interest		309		301		471		471
Net loss attributed to Landauer, Inc.	$	(36,626)	$	(36,335)	$	(28,578)	$	(28,000)
Net loss per share attributed to Landauer, Inc. shareholders:
Basic	$	(3.86)	$	(3.83)	$	(3.02)	$	(2.96)
Weighted average basic shares outstanding		9,482		9,482		9,466		9,466
Diluted	$	(3.86)	$	(3.83)	$	(3.02)	$	(2.96)
Weighted average diluted shares outstanding		9,482		9,482		9,466		9,466

The effect of the restatement on the previously issued Consolidated Statement of Cash Flows for the nine months ended June 30, 2014 is as follows:



	Nine Months Ended June 30, 2014 (Unaudited)
(Dollars in Thousands)	Previously Reported		As Restated
Cash flows from operating activities:
Net loss	$	(28,107)	$	(27,529)
Adjustments to reconcile net loss to net cash provided by operating activities:
Depreciation and amortization		11,607		11,419
Goodwill and other intangible assets impairment charge		62,188		62,188
Gain on sale, disposal and abandonment of assets		(35)		(35)
Gain on investments		(369)		(505)
Equity in income of joint ventures		(1,364)		(2,072)
Dividends from joint ventures		1,340		1,340
Stock-based compensation and related net tax benefits		1,066		1,066
Current and long-term deferred taxes, net		(21,973)		(21,829)
Changes in operating assets and liabilities:
Decrease in accounts receivable, net		3,815		3,901
Increase in prepaid taxes		(3,247)		(2,224)
Increase in other operating assets, net		(227)		(73)
Increase in accounts payable and other accrued liabilities		1,379		296
Increase in other operating liabilities, net		608		608
Net cash provided by operating activities		26,681		26,551

Cash flows from investing activities:
Acquisition of property, plant & equipment		(3,056)		(3,056)
Acquisition of joint ventures and businesses, net of cash acquired		(1,800)		(1,800)
Other investing activities, net		(1,037)		(855)
Net cash used by investing activities		(5,893)		(5,711)

Cash flows from financing activities:
Net borrowings on revolving credit facility		(51)		(51)
Long-term borrowings – loan		27,500		27,500
Long-term borrowings – repayment		(32,000)		(32,000)
Dividends paid to stockholders		(15,771)		(15,771)
Other financing activities, net		(500)		(500)
Net cash used by financing activities		(20,822)		(20,822)

Effects of foreign currency translation		4		(52)
Net decrease in cash and cash equivalents		(30)		(34)
Opening balance – cash and cash equivalents		11,184		8,672
Ending balance – cash and cash equivalents	$	11,154	$	8,638

In connection with the preparation of the consolidated financial statements for the interim periods ended March 31, 2015, the Company identified errors in its previously issued financial statements for the interim periods ended June 30, 2014. The Company did not properly report sales to related parties in its Related Party Transactions footnote. As a result of these errors, the Company understated sales to Aquila by $1 and $2,361 for the three and nine months ended June 30, 2014, respectively, and understated sales to Nagase by $80 and $179 for the three and nine months ended June 30, 2014, respectively. In accordance with accounting guidance presented in SAB 99, management assessed the materiality of these errors and concluded that they were not material to the Company’s financial statements for the three and nine months ended June 30, 2014. The Company is revising its footnotes to the financial statements for the three and nine month periods ended June 30, 2014 to correct for these errors.

~~In February 2013, the FASB issued new guidance on the presentation~~Adoption of comprehensive income. This guidance requires reclassification adjustments from other comprehensive income to be presented either in the financial statements or in the notes to the financial statements. The standard would not change the current requirements for reporting net income or other comprehensive income in financial statements. However, the guidance would require an entity to provide enhanced disclosures to present separately by component reclassifications out of accumulated other comprehensive income. This guidance was adopted by the Company in the first quarter of fiscal 2014. The adoption did not have a material impact on its consolidated financial statements. Accounting Standards Updates

In ~~March 2013,~~April 2014, the ~~FASB~~Financial Accounting Standards Board (“FASB”) issued an accounting update that clarifies the applicable guidance for the release of the cumulative translation adjustment when an entity ceases to have a controlling financial interest in a subsidiary or a group of assets that is a business within a foreign entity. The guidance outlines the events when cumulative translation adjustments should be released into net income and is intended by FASB to eliminate some disparity in current accounting practice. This guidance was adopted by the Company in the first quarter of fiscal 2014. The adoption did not have a material impact on its consolidated financial statements.

~~In July 2013, the FASB issued new~~revised guidance to reduce the diversity in presentation of an unrecognized tax benefit when a net operating loss carryforward, a similar tax loss or a tax credit carryforward exists. This requires an unrecognized tax benefit to be presented in the financial statements as a reduction to a deferred tax asset for a net operating loss carryforward, a similar tax loss, or a tax credit carryforward, with certain exceptions listed in the guidance. This guidance ~~is effective for~~was adopted by the Company in the first quarter of fiscal 2015. The ~~Company does not expect the~~ adoption of this guidance todid not have a material impact on ~~its consolidated~~the Company’s results of operations, financial ~~statements.~~position and liquidity.

In ~~April~~November 2014, the FASB issued new guidance ~~related to~~on accounting for pushdown accounting in the ~~definition~~event of a ~~discontinued operation and requires new disclosure~~business combination. This update provides an acquired entity with an option to apply pushdown accounting in its separate financial statements upon occurrence of ~~both discontinued operations and certain other disposals that do not meet~~an event in which an acquirer obtains control of the ~~definition of a discontinued operation.~~acquired entity. This ~~new~~ guidance ~~is effective for annual periods beginning on or after December 15, 2014 and interim periods within those years. Beginning~~was adopted by the Company in the first quarter of fiscal ~~2016 the Company will apply the new guidance, as applicable, to future discontinued operations and certain other disposals that do not meet the definition of a discontinued operation.~~2015. The ~~Company does not expect the~~ adoption of this guidance todid not have a material impact on ~~its consolidated~~the Company’s results of operations, financial ~~statements.~~position and liquidity.

In May 2014, the FASB issued new guidance for recognizing revenue from contracts with customers, which provides a single comprehensive model for entities to use in accounting for revenue arising from contracts with customers and will supersede most current revenue recognition guidance. In July 2015, the FASB deferred the effective date of the new revenue standard by one year. Public companies would now be required to adopt the new guidance for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2017. The FASB decided to allow earlier adoption of the new revenue standard, but not earlier than the original effective date. This guidance is effective for the Company in the first quarter of fiscal ~~2017. Early~~2019. The Company is currently evaluating the impact that adoption ~~is not permitted. The effects~~ of this guidance will have on ~~our financial position,~~its results of operations, financial position and ~~cash flows are not yet known.~~liquidity.

In June 2014, the FASB issued new guidance on accounting for share-based payments requiring a specific performance target to be achieved in order for employees to become eligible to vest in the awards when that performance target may be achieved after the requisite service period for the award. This update further clarifies that compensation cost should be recognized in the period in which it becomes probable that the performance target will be achieved and should represent the compensation cost attributable to the period for which the requisite service has already been rendered. This guidance is effective for the Company in the first quarter of fiscal ~~2016.~~2017. Early adoption is permitted. The Company is currently evaluating the impact that adoption of this guidance will have on its ~~consolidated~~results of operations, financial ~~statements.~~position and liquidity.

In August 2014, the FASB issued new guidance on determining when and how to disclose going-concern uncertainties in the financial statements. The new standard requires management to perform interim and annual assessments of an entity’s ability to continue as a going concern within one year of doubt about the entity’s ability to continue as a going concern. An entity must provide certain disclosures if conditions or events raise substantial doubt about the entity’s ability to continue as a going concern. This guidance is effective for the Company in the first quarter of fiscal 2017, with early adoption permitted. The Company does not expect the adoption of this guidance to have a material impact on its results of operations, financial position and liquidity.

In January 2015, the FASB issued new guidance on accounting for unusual and infrequently occurring items, which eliminates the concept of extraordinary items. An unusual and infrequently occurring item will no longer be classified as an extraordinary item and segregated from ordinary operations in the income statement, but will be shown as a component of income from continuing operations or separately disclosed in notes to the financial statements. This guidance is effective for the Company in the first quarter of fiscal 2017, with early adoption permitted. The Company does not expect the adoption of this guidance to have a material impact on its results of operations, financial position and liquidity.

In February 2015, the FASB issued amended guidance on the model used to evaluate whether certain legal entities should be consolidated. This guidance is effective for the Company in the first quarter of fiscal 2017. Early adoption is permitted. The Company is currently evaluating the impact that adoption of this guidance will have on its results of operations, financial position and liquidity.

~~Fair~~The Company estimates the fair value ~~is defined as~~of assets and liabilities in accordance with the ~~price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at~~framework established by the ~~measurement date in a principal or most advantageous market. Fair~~authoritative guidance for fair value measurements. The framework is ~~a market-based measurement that is determined~~ based on ~~inputs, which refer broadly to assumptions that market participants use in pricing assets or liabilities. A fair value hierarchy with three tiers has been established to prioritize~~ the inputs toused in valuation, ~~techniques used~~gives the highest priority to ~~measure fair value. The hierarchy requires entities to maximize the use of observable inputs and minimize the use of unobservable inputs. Level 1 inputs include~~ quoted prices in active markets ~~for identical assets~~ and ~~liabilities. Level 2 inputs consist of~~requires that observable inputs ~~other than~~be used in the valuations when available. The disclosure of fair value estimates in the fair value accounting guidance hierarchy is based on whether the significant inputs into the valuation are observable. In determining the level of the hierarchy in which the estimate is disclosed, the highest priority is given to unadjusted quoted prices in active markets ~~or indirectly observable through corroboration with observable~~and the lowest priority to unobservable inputs that reflect the Company’s significant market ~~data. Level 3 inputs are not observable~~assumptions. The level in the ~~market and include management’s own judgments about~~fair value hierarchy within which the ~~assumptions market participants would use in pricing the asset or liability~~fair value measurement is reported is based on the ~~best information available~~lowest level input that is significant to the measurement in its entirety. The three levels of the ~~circumstances.~~hierarchy are as follows:

Financial assets measured ~~and recorded~~ at fair value on a recurring basis are summarized below:



	Fair Value Measurements at June 30, 2015
(Dollars in Thousands)	Level 1		Level 2		Level 3
Asset Category
Cash equivalents	$	94	$	-	$	-
Mutual funds		3,672		-		-
Available-for-sale securities		-		1,899		-
Total financial assets at fair value	$	3,766	$	1,899	$	-

	Fair Value Measurements at September 30, 2014
(Dollars in Thousands)	Level 1		Level 2		Level 3
Asset Category
Cash equivalents	$	105	$	-	$	-
Mutual funds		3,629		-		-
Available-for-sale securities		-		2,382		-
Total financial assets at fair value	$	3,734	$	2,382	$	-

Following is a description of each category in the fair value hierarchy and the financial assets and liabilities of the Company that were included in each category at June 30, 2015 and September 30, 2014, measured on a recurring basis.

The Level 1 financial assets were comprised of investments in trading securities, which are reported in other long-term assets. The investments are held in a Rabbi trust for benefits under the Company’s deferred compensation plan. Under the plan, participants designate investment options to serve as the basis for measurement of the notional value of their accounts. The investments include a money market fund and mutual funds that are publicly traded. The fair values of the shares or underlying securities of these funds are based on quoted market ~~prices~~prices.

The Level 2 financial assets are long-term investments consisting primarily of fixed income mutual funds, classified as available-for-sale securities. These are reported in other long-term assets. The investments in fixed income mutual funds are valued based on the net asset value of the underlying securities as provided by the investment account manager. The investments are not restricted or subject to a lockup and ~~therefore, are categorized~~may be redeemed on demand. Notice within a certain period of time prior to redemption is not required.

The Company’s long-term debt is classified as Level ~~1 in the fair value hierarchy.~~

~~Financial assets measured at fair value on a recurring basis are summarized below:~~



	~~Fair Value Measurements at June 30, 2014 Using~~
	~~Quoted Prices in Active Markets for Identical Assets~~ ~~(Level 1)~~		~~Significant Other Observable Inputs (Level 2)~~		~~Significant Unobservable Inputs~~ ~~(Level 3)~~
~~Asset Category~~
~~Cash equivalents~~	$	~~110~~	$	-	$	-
~~Mutual funds~~		~~3,673~~		-		-
~~Total financial assets at fair value~~	$	~~3,783~~	$	-	$	-

	~~Fair Value Measurements at September 30, 2013 Using~~
	~~Quoted Prices in Active Markets for Identical Assets~~ ~~(Level 1)~~		~~Significant Other Observable Inputs (Level 2)~~		~~Significant Unobservable Inputs~~ ~~(Level 3)~~
~~Asset Category~~
~~Cash equivalents~~	$	55	$	-	$	-
~~Mutual funds~~		~~2,922~~		-		-
~~Total financial assets at fair value~~	$	~~2,977~~	$	-	$	-

~~As of June 30, 2014, the~~2. The carrying amount of the Company’s long-term debt ~~which is categorized as Level 2 in the fair value hierarchy,~~ approximated fair value as the stated interest rates were variable in relation to prevailing market rates.

The Company recorded a liability for contingent consideration during the second quarter of fiscal 2014 related to the acquisition of ilumark GmbH and the launch of its new medical products. The liability was recorded at fair value, which was determined using a discounted cash flow model based on assumptions and projections relevant to revenues. A discount rate of 11% was used and payments are projected to occur in fiscal 2016 and 2017. The fair value of the contingent consideration was $798 as of June 30, 2015 and is reported in other accrued expenses and other non-current liabilities at $137 and $661, respectively. The contingent consideration liability is classified as Level 3.

The Company had no material assets or liabilities that were measured at fair value on a non-recurring basis during the nine months ended June 30, 2015 or fiscal year ended September 30, 2014. There were no transfers between fair value hierarchy levels during these periods.

As discussed in Note 6, the Company recorded impairment charges related to the IZI Medical Products reporting unit during the third quarter of fiscal 2014. Intangible assets related to customer lists, tradenames and patents were written down to their fair value of $3,000 as of June 30, 2014, resulting in a non-cash pre-tax impairment charge of $20,820.The fair values of the intangible assets are based on forecasted revenues associated with the customer lists, tradenames and patents. In addition, the Company recorded a $41,368 non-cash pretax charge to reduce the carrying value of goodwill in the IZI Medical Products reporting unit to an implied fair value of $0 as of June 30, 2014. Level 3 inputs were used to estimate these nonrecurring fair value measurements. The fair values were determined using discounted cash flow models based on assumptions and projections of revenues and expenses. Key assumptions included a terminal growth rate of 3% and discount rates ranging from 11.5% to 12.5%.

Basic net ~~loss~~income (loss) per share was computed by dividing net ~~loss~~income (loss) available to common stockholders for the period by the weighted average number of shares of common stock outstanding during the period. Diluted net ~~loss~~income (loss) per share was computed by dividing net ~~loss~~income (loss) available to common stockholders for the period by the weighted average number of shares of common stock that would have been outstanding assuming dilution from stock-based compensation awards during the period. ~~As the Company had a net loss in each of the periods presented, basic and diluted net loss per common share are the same.~~

The following table sets forth the computation of net ~~loss~~income (loss) per share:



	Three Months Ended June 30,				Nine Months Ended June 30,
(Dollars in Thousands, Except per Share)	2015		2014 (As Restated)		2015		2014 (As Restated)
Basic Net Income (Loss) per Share:
Net income (loss) attributed to Landauer, Inc.	$	4,055	$	(36,335)	$	11,979	$	(28,000)
Less: Income allocated to unvested restricted stock		20		-		67		-
Net income (loss) available to common stockholders	$	4,035	$	(36,335)	$	11,912	$	(28,000)
Basic weighted average shares outstanding		9,509		9,482		9,476		9,466
Net income (loss) per share - Basic	$	0.42	$	(3.83)	$	1.26	$	(2.96)

Diluted Net Income (Loss) per Share:
Net income (loss) attributed to Landauer, Inc.	$	4,055	$	(36,335)	$	11,979	$	(28,000)
Less: Income allocated to unvested restricted stock		20		-		67		-
Net income (loss) available to common stockholders	$	4,035	$	(36,335)	$	11,912	$	(28,000)
Basic weighted average shares outstanding		9,509		9,482		9,476		9,466
Effect of dilutive securities		25		-		27		-
Diluted weighted averages shares outstanding		9,534		9,482		9,503		9,466
Net income (loss) per share - Diluted	$	0.42	$	(3.83)	$	1.25	$	(2.96)

Dividends paid per share	$	0.275	$	0.55	$	1.10	$	1.65

In periods where losses are recorded, inclusion of potentially dilutive securities in the calculation would decrease the loss per common share and, therefore, these securities are not added to the weighted average number of shares outstanding. The computations of diluted net loss per common share for the ~~periods~~three and nine months ended June 30, 2014 ~~and 2013~~ did not include the following outstanding shares of restricted stock as well as the effects of options to acquire common stock as the inclusion of these securities would have been antidilutive:

The components of net periodic benefit cost for pension and other benefits were as follows:



Pension Benefits	Three Months Ended June 30,				Nine Months Ended June 30,				Three Months Ended June 30,				Nine Months Ended June 30,
	2014		2013		2014		2013
(Dollars in Thousands)									2015		2014		2015		2014
Interest cost	$	375	$	340	$	1,125	$	1,020	$	364	$	375	$	1,092	$	1,125
Expected return on plan assets		(377)		(365)		(1,131)		(1,095)		(396)		(377)		(1,188)		(1,131)
Amortization of net loss		48		109		145		325		85		48		253		145
Net periodic benefit cost	$	46	$	84	$	139	$	250	$	53	$	46	$	157	$	139

Other Benefits	Three Months Ended June 30,				Nine Months Ended June 30,				Three Months Ended June 30,				Nine Months Ended June 30,
	2014		2013		2014		2013
(Dollars in Thousands)									2015		2014		2015		2014
Service cost	$	15	$	18	$	46	$	52	$	13	$	15	$	38	$	46
Interest cost		13		11		38		34		8		13		24		38
Amortization of net gain		(2)		-		(8)		-		(12)		(2)		(36)		(8)
Net periodic benefit cost	$	26	$	29	$	76	$	86	$	9	$	26	$	26	$	76

The Company, under the IRS minimum funding standards, has no required contributions to make to its defined benefit pension plan during fiscal ~~2014.~~2015.

The Company maintains 401(k) Retirement Savings Plans for certain employees, which may provide for employer matching contributions, and a supplemental defined contribution plan for certain executives, which provides for employer contributions at the discretion of the Company. Amounts expensed for Company contributions under these plans during the three months ended June 30, 2015 and 2014 were $500 and ~~2013 were~~ $495, ~~and $349,~~ respectively. Amounts expensed during the nine months ended June 30, 2015 and 2014 were $1,349 and ~~2013 were~~ $1,354, ~~and $1,150,~~ respectively.

During the third quarter of fiscal 2014, it became apparent that anticipated revenue and profitability trends in our IZI Medical Products reporting unit were not being achieved to the extent forecasted. Early budget reviews also indicated future sales growth and margins may be less than expected. We updated the forecast for our Medical Products segment based on the most recent financial results and our best estimates of future operations. The updated forecast reflects slower growth in revenues and lower margins for the Medical Products segment primarily due to anticipated continued competitive pricing pressure. As a result, for the quarter ended June 30, 2014, the Company performed an impairment analysis with respect to the carrying value of the intangible assets and goodwill in the IZI Medical Products reporting unit. Based on the testing performed, the Company recorded a non-cash impairment charge of $62,188, of which $41,368 related to goodwill and $20,820 related to intangible assets.

In accordance with FASB ASC 360-10, Impairment and Disposal of Long-Lived Assets, the Company evaluated the recoverability of its long-lived assets in the IZI Medical Products reporting unit. Based upon this evaluation, the Company determined that its intangible assets related to customer lists, tradenames and patents were impaired. As a result, the Company recognized a non-cash pre-tax intangible asset impairment charge of $20,820. The tax benefit associated with this charge was $8,399.

In accordance with FASB ASC 350, Intangibles – Goodwill and Other, the Company aggregates its business components into reporting units and tests for goodwill impairment. The Medical Products segment is comprised of two reporting units – IZI Medical Products and Ilumark. The Company tested goodwill at the IZI Medical Products reporting unit for the quarter ended June 30, 2014. Goodwill impairment is determined using a two-step process. The first step of the goodwill impairment test is to identify potential impairment by comparing the fair value of a segment with its net book value (or carrying amount), including goodwill. If the fair value of a segment exceeds its carrying amount, goodwill of the segment is considered not to be impaired and the second step of the impairment test is unnecessary. If the carrying amount of the segment exceeds its fair value, the second step of the goodwill impairment test is performed to measure the amount of the impairment loss, if any. The second step of the goodwill impairment test compares the implied fair value of the segment’s goodwill with the carrying amount of that goodwill. If the carrying amount of the segment’s goodwill exceeds the implied fair value of that goodwill, an impairment loss is recognized in an amount equal to that excess. The implied fair value of goodwill is determined in the same manner as the amount of goodwill recognized in a business combination. That is, the fair value of the segment is allocated to all of the assets and liabilities of that segment (including any unrecognized intangible assets) as if the segment had been acquired in a business combination and the fair value of the segment was the purchase price paid to acquire the segment.

Based on the result of the first step of the goodwill impairment analysis, the Company determined that the fair value of the IZI Medical Products reporting unit was less than its carrying value as of June 30, 2014 and, as such, the Company applied the second step of the goodwill impairment test to this segment. Based on the result of the second step of the goodwill impairment analysis, the Company recorded a $41,368 non-cash pretax charge to reduce the carrying value of goodwill in the IZI Medical Products reporting unit. The tax benefit associated with this charge was $16,692. The impairment charge is non-cash in nature and does not affect the Company’s liquidity. As a result of the impairment charge in our IZI Medical Products reporting unit recognized during the third quarter of fiscal 2014 and the effects of foreign currency in the Radiation Measurement segment, the carrying amount of goodwill was reduced to $44,645 as of June 30, 2014 from $84,436 as of September 30, 2013.

During the third quarter of fiscal 2013, the Company performed an impairment analysis with respect to the carrying value of the goodwill in the IZI Medical Products reporting unit. Based on the testing performed, the Company recorded a non-cash goodwill impairment charge of $22,700. The tax benefit associated with this charge was $4,900.

Changes in the carrying amount of goodwill by reportable segment for the nine months ended June 30, ~~2014~~2015 were as follows:

Radiation Measurement

Medical
Physics

Medical
Products

Total
Balance as of September 30, 2013

$
20,456

$
22,611

$
41,369

$
84,436
Increase related to acquisitions

-

-

1,781

1,781
Effects of foreign currency

(199)

-

(5)

(204)
Goodwill impairment charges

(41,368)

(41,368)
Goodwill, net as of June 30, 2014

$
20,257

$
22,611

$
1,777

$
44,645



(Dollars in Thousands)	Radiation Measurement		Medical Physics		Medical Products		Total
Balance as of September 30, 2014
Goodwill	$	18,961	$	22,611	$	65,714	$	107,286
Accumulated impairment losses		-		-		(64,068)		(64,068)
Balance as of September 30, 2014	$	18,961	$	22,611	$	1,646	$	43,218
Effects of foreign currency		(2,162)		-		(206)		(2,368)
Balance as of June 30, 2015
Goodwill	$	16,799	$	22,611	$	65,508	$	104,918
Accumulated impairment losses		-		-		(64,068)		(64,068)
Balance as of June 30, 2015	$	16,799	$	22,611	$	1,440	$	40,850

On December 23, 2013, the Company acquired a small German distributor. The preliminary purchase price allocation indicates an increase in customer lists of $768, an increase in goodwill of $1,781 and an earn-out liability of $885.

Intangible assets ~~were as follows for~~consisted of the ~~periods ended:~~following:

Identifiable intangible assets with finite lives are amortized over their estimated useful lives. Intangible ~~assets~~asset amortization ~~expenses (not including impairment) were~~expense was $560 and $1,681 for the three and nine months ended June 30, 2015 and $897 and $3,119 for the three and nine months ended June 30, ~~2014 and $834 and $2,533 for the three and nine months ended June 30, 2013.~~2014.

Accumulated elements of other comprehensive ~~(loss) income (“AOCI”),~~loss, net of tax, are included in the stockholders’ equity section of the condensed consolidated balance sheets. Changes in each component ~~of AOCI~~for the nine months ended June 30 are as follows:

Foreign Currency Translation Adjustments

Pension and Postretirement Plans, net of tax

Comprehensive (Loss) Income
Balance at September 30, 2013
$
(178)

$
(4,278)

$
(4,456)
Other comprehensive income before reclassifications

(161)

-

(161)
Amounts reclassified from accumulated other comprehensive income

-

257

257
Net current period other comprehensive income

(161)

257

96
Balance at June 30, 2014
$
(339)

$
(4,021)

$
(4,360)



(Dollars in Thousands)	Foreign Currency Translation Adjustments		Unrealized Gains and Losses on Available-for-Sale Securities		Pension and Postretirement Plans		Comprehensive (Loss) Income
Balance at September 30, 2014	$	(2,493)	$	166	$	(7,821)	$	(10,148)
Other comprehensive (loss) income before reclassifications		(3,478)		151		-		(3,327)
Amounts reclassified from accumulated other comprehensive (loss) income		-		(108)		137		29
Net current period other comprehensive (loss) income		(3,478)		43		137		(3,298)
Balance at June 30, 2015	$	(5,971)	$	209	$	(7,684)	$	(13,446)

The tables below present the impact on net income of significant amounts reclassified out of each component of accumulated other comprehensive ~~(loss) income~~loss:

(1)These accumulated other comprehensive loss components are included in the computation of net periodic benefit costs (refer to Note 5 of the Notes to Consolidated Financial Statements for additional details regarding employee benefit plans) ~~were as follows:~~

Pension and Postretirement Plans
Three Months Ended
June 30,

Nine Months Ended
June 30,

2014

2013

2014

2013
Amortization of net loss
$
46

$
109

$
137

$
325
Provision for income taxes

-

-

120

-
Total net of tax
$
46

$
109

$
257

$
325



Unrealized Gains and Losses on Available-for-Sale Securities	Three Months Ended June 30,				Nine Months Ended June 30,
(Dollars in Thousands)	2015		2014 (As Restated)		2015		2014 (As Restated)
Realized gains on available-for-sale securities into earnings (1)	$	-	$	(1)	$	(99)	$	(136)
Total before tax		-		(1)		(99)		(136)
Provision for income taxes (2)		9		-		9		-
Total net of tax	$	9	$	(1)	$	(108)	$	(136)

(1)This amount is reported in Interest expense, net on the Consolidated Statements of Operations

(2)This amount is reported in Income tax expense (benefit) on the Consolidated Statements of Operations

OnThe effective tax rates for the three months ended June 30, 2015 and 2014 were 10.4% and 40.2%, respectively. The decrease in the ~~Company and its subsidiaries Global Physics Solutions, Inc. and IZI Medical Products, LLC (collectively,~~effective tax rate was primarily due to the ~~“Borrowers”), entered into a First Amendment to Amended and Restated Credit Agreement (the “Amendment”)~~mix of earnings between jurisdictions with ~~BMO Harris Bank N.A., as administrative agent (the “Administrative Agent”),~~differing tax rates and the ~~lenders that are party thereto (collectively,~~realization of an unrecognized tax benefit. The effective tax rates for the ~~“Lenders”).~~nine months ended June 30, 2015 and 2014 were 21.0% and 42.6%, respectively. The ~~Amendment amended~~decrease in the ~~Amended~~effective tax rate was primarily due to the enactment of the research and ~~Restated Credit Agreement entered into among~~development credit for calendar year 2014 in the ~~Borrowers,~~first fiscal quarter of 2015, the ~~Administrative Agent~~mix of earnings between jurisdictions with differing tax rates and the ~~Lenders on August 2, 2013 (the “Credit Agreement”).~~

~~The Amendment amended, among other things, (i) the definition~~realization of Capital Expenditures and EBITDA and (ii) kept the fixed charge coverage ratio covenant and the leverage ratio covenant constant (1.10 to 1.00 and 3.50 to 1.00, respectively) through the remainder of the term of the Credit Agreement instead of tightening to 1.15 to 1.00 and 3.25 to 1.00, respectively, at September 30, 2015.an unrecognized tax benefit. The Company ~~was~~believes it is reasonably possible that $592 of unrecognized tax benefits will be realized in ~~compliance with all covenants as of June 30, 2014. In connection with the~~ ~~Amendment, the Company paid certain amendment fees to the Lenders~~ ~~and certain other fees and expenses to the Administrative Agent~~. fiscal year 2016.

~~During the first fiscal quarter of 2014, the~~The Company changed the presentation of its reporting segments to separately disclose certain ‘corporate expenses’ that had previously been reported within the Radiation Measurement segment. As a result, the current segment disclosures will reflectis organized into three reportable business segments: Radiation Measurement, Medical Physics and Medical ~~Products~~Products. These segments reflect the manner in which the Company’s businesses are currently managed and ~~one functional group: Corporate.~~ represent an aggregation of services and products based on type of customer and how the businesses are marketed. For more information regarding the nature of the Company’s services and products, see Note 17 of the Notes to Consolidated Financial Statements in the Form 10-K.

The following tables summarize financial information for each reportable segment:



	Three Months Ended June 30,				Nine Months Ended June 30,				Three Months Ended June 30,				Nine Months Ended June 30,
	2014		2013		2014		2013
(Dollars in Thousands)									2015		2014 (As Restated)		2015		2014 (As Restated)
Revenues by segment:
Radiation Measurement	$	24,218	$	26,383	$	81,143	$	80,035	$	24,143	$	25,320	$	77,880	$	82,187
Medical Physics		8,175		7,903		23,943		23,090		8,926		8,175		25,971		23,943
Medical Products		2,373		2,294		6,939		7,218		2,398		2,373		7,302		6,939
Consolidated revenues	$	34,766	$	36,580	$	112,025	$	110,343	$	35,467	$	35,868	$	111,153	$	113,069

	Three Months Ended June 30,				Nine Months Ended June 30,				Three Months Ended June 30,				Nine Months Ended June 30,
	2014		2013		2014		2013
(Dollars in Thousands)									2015		2014 (As Restated)		2015		2014 (As Restated)
Operating income (loss) by segment:
Radiation Measurement	$	6,329	$	8,715	$	25,209	$	28,289	$	7,604	$	7,466	$	26,402	$	26,095
Medical Physics		435		1,056		1,468		2,580		1,143		435		2,082		1,467
Medical Products		(62,429)		(22,591)		(63,041)		(21,617)		375		(62,429)		953		(62,891)
Corporate		(5,099)		(3,956)		(12,010)		(12,147)		(4,011)		(5,099)		(12,555)		(12,010)
Consolidated operating loss	$	(60,764)	$	(16,776)	$	(48,374)	$	(2,895)
Consolidated operating income (loss)									$	5,111	$	(59,627)	$	16,882	$	(47,339)

~~As discussed in Note 6, the Company recorded impairment charges in the Medical Products segment during the fiscal third quarters of 2014 and 2013.~~

The Company has a minority interest in Yamasato, Fujiwara, Higa & Associates, Inc. doing business as Aquila. The Company provides dosimetry parts to Aquila for its military contract. Certain amounts reported in the tables below for the three and nine months ended June 30, 2014 have been corrected for an error discussed in Note 1. The sales to and purchases from Aquila ~~are the following~~were as follows for the periods ended:

The Company has a 50% equity interest in Nagase-Landauer, Ltd. (“Nagase”), a radiation measurement company in Japan. The sales to and purchases from Nagase ~~are the following~~were as follows for the periods ended:

Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations

The following discussion and analysis of the Company’s unaudited consolidated financial condition and results of operations should be read in conjunction with the annual audited consolidated financial statements and related notes thereto. The following discussion includes forward-looking statements that involve certain risks and uncertainties. For additional information regarding forward-looking statements and risk factors, see “Forward-Looking Statements” herein and Item ~~1A.~~1A “Risk Factors” in the Company’s Annual Report on Form ~~10-K/A~~10-K for the fiscal year ended September 30, ~~2013.~~2014.

The preparation of the interim consolidated financial statements in conformity with U.S. GAAP requires ~~that~~ management to make ~~assumptions~~estimates and ~~estimates~~assumptions that affect the ~~results of operations and the~~reported amounts of assets and liabilities ~~reported in~~and disclosure of contingent assets and liabilities at the date of the interim consolidated financial statements ~~as well as related disclosures.~~ and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Critical accounting policies are those that are most important to the portrayal of a company’s financial condition and results of operations, and that require management’s most difficult, subjective or complex judgments, often as a result of the need to make estimates about the effect of matters that are inherently uncertain. The Company bases its estimates, judgments and assumptions on historical experience and other relevant factors that are believed to be reasonable under the circumstances. In any given reporting period, the Company’s actual results may differ from the estimates, judgments and assumptions used in preparing the consolidated financial statements.

During the third quarter of fiscal 2014, it became apparent that anticipated revenue and profitability trends in our IZI Medical Products reporting unit were not being achieved to the extent forecasted. Early budget reviews also indicated future sales growth and margins may be less than expected. We updated the forecast for our Medical Products segment based on the most recent financial results and our best estimates of future operations. The updated forecast reflects slower growth in revenues and lower margins for the Medical Products segment primarily due to anticipated continued pricing pressures from certain competitors. As a result, in connection with the preparation of the financial statements for the quarter ended June 30, 2014, the Company performed an impairment analysis with respect to the carrying value of the intangible assets and goodwill in the IZI Medical Products reporting unit. Based on the testing performed, the Company recorded a non-cash impairment charge of $62,188 of which $41,368 related to goodwill and $20,820 related to intangible assets.

In accordance with FASB ASC 350, Intangibles – Goodwill and Other, the Company aggregates its business components into reporting units and tests for goodwill impairment. The Medical Products segment is comprised of two reporting units – IZI Medical Products and Ilumark. The Company tested goodwill at the IZI Medical Products reporting unit for the quarter ended June 30, 2014. Goodwill impairment is determined using a two-step process. The first step of the goodwill impairment test is to identify potential impairment by comparing the fair value of a reporting unit with its net book value (or carrying amount), including goodwill. If the fair value of a reporting unit exceeds its carrying amount, goodwill of the reporting unit is considered not to be impaired and the second step of the impairment test is unnecessary. If the carrying amount of the reporting unit exceeds its fair value, the second step of the goodwill impairment test is performed to measure the amount of the impairment loss, if any. The second step of the goodwill impairment test compares the implied fair value of the reporting unit’s goodwill with the carrying amount of that goodwill. If the carrying amount of the reporting unit’s goodwill exceeds the implied fair value of that goodwill, an impairment loss is recognized in an amount equal to that excess. The implied fair value of goodwill is determined in the same manner as the amount of goodwill

recognized in a business combination. That is, the fair value of the reporting unit is allocated to all of the assets and liabilities of that reporting unit (including any unrecognized intangible assets) as if the reporting unit had been acquired in a business combination and the fair value of the reporting unit was the purchase price paid to acquire the reporting unit.

Based on the result of the first step of the goodwill impairment analysis, the Company determined that the fair value of the IZI Medical Products reporting unit was less than its carrying value as of June 30, 2014 and, as such, the Company applied the second step of the goodwill impairment test to this reporting unit. Based on the result of the second step of the goodwill impairment analysis, the Company recorded a $41,368 non-cash pretax charge to reduce the carrying value of goodwill in the IZI Medical Products reporting unit. The tax benefit associated with this charge was $16,692. The impairment charge is non-cash in nature and does not affect the Company’s liquidity. As a result of the impairment charge in our IZI Medical Products reporting unit recognized during the third quarter of fiscal 2014 and the effects of foreign currency in the Radiation Measurement segment, the carrying amount of goodwill was reduced to $44,645 as of June 30, 2014 from $84,436 as of September 30, 2013.

~~Changes in the carrying amount of goodwill by reportable segment for the nine months ended June 30, 2014 were as follows:~~

For a detailed discussion of the Company’s critical accounting policies, see Item 7 “Management’s Discussion and Analysis of Financial Condition and Results of Operations – Critical Accounting Policies” in the Annual Report on Form 10-K/A for the year ended September 30, 2013.

Comparison of the third fiscal quarter ended June 30, ~~2014~~2015 and the third fiscal quarter ended June 30, ~~2013~~2014

Revenues for the third fiscal quarter of ~~2014~~2015 were ~~$34.8~~$35.5 million, a decrease of ~~$1.8~~$0.4 million, or ~~4.9%~~1.1%, compared ~~with~~to revenues of ~~$36.6~~$35.9 million for the third fiscal quarter of ~~2013. The~~2014. Revenues in the Radiation Measurement segment ~~experienced a decrease~~decreased $1.2 million, which was primarily due to an unfavorable foreign currency impact of ~~$2.2~~$1.5 million, due primarily to the timing of Radwatch sales. In addition, the Company recorded a $0.9 million adjustment to correct the timing of revenue recognition related to dosimeter wear periods and a $0.5 million adjustment to correct revenue recorded in the second fiscal quarter of 2014. The decrease in Radiation Measurement revenues was partially offset by ~~increased~~an increase in domestic revenues of $0.3 million. Revenues in the Medical Physics segment ~~of $0.3 million.~~ increased $0.7 million, due to increased imaging services. Revenues in the Medical Products segment were flat.

~~Cost of sales were essentially flat at $18.0 million~~Gross margin was 52.6% for the third fiscal quarter of ~~2014 and 2013. The gross margin rate decreased from 50.9%~~2015, compared with 50.0% for the third fiscal quarter of ~~2013 to 48.3%~~2014. Gross margin in the Radiation Measurement segment increased by 4.1% for the third fiscal quarter of 2015 as compared to the third fiscal quarter of 2014 due to an improved mix of higher margin service revenues versus lower margin product revenues. Gross margins in the Medical Physics segment increased by 2.7% for the third fiscal quarter of 2015 as ~~a result~~compared to the third fiscal quarter of 2014 due to improved utilization of personnel supporting contracts in the ~~decrease in revenues of our Radiation Measurement products.~~imaging and therapy divisions.

Selling, general and administrative expenses for the third fiscal quarter of ~~2014~~2015 were ~~$13.8~~$13.5 million, ~~an increase~~a decrease of ~~$1.2~~$0.3 million, or ~~9.5%~~2.2%, compared with ~~operating expenses of $12.6~~$13.8 million for the third fiscal quarter of ~~2013. The increase in selling, general and administrative expenses resulted primarily from increased bad debt~~2014. Amortization expense ~~of $0.7 million and professional fees of $0.5 million. The increase~~ in the ~~bad debt expense was driven by~~Medical Products segment decreased $0.5 million as a ~~provision~~result of adjustments recorded ~~for three customers~~ during the third fiscal quarter of ~~2014.~~

~~Operating loss for~~2014 to reduce the ~~third fiscal quarter~~carrying value of ~~2014 was $60.8~~intangible assets, and operating expenses in the Medical Physics segment decreased $0.3 million ~~compared with an operating loss of $16.8~~primarily due to reduced administrative staffing. Selling and marketing expenses increased $0.5 million for the third fiscal quarter of ~~2013.~~2015. The ~~increase~~Company added sales and marketing personnel to grow market share in the operating loss was driven by a $62.2 million goodwill and intangible assets impairment charge recorded in the third fiscal quarter of 2014. The Company recorded a $22.7 million goodwill impairment charge in the same period in fiscal 2013.

Equity in income of joint ventures for the third fiscal quarter of 2014 was $0.3 million, a decrease of $0.2 million, or 40.0%, from the prior year third fiscal quarter amount of $0.5 million, due primarily to the timing of military orders.

The effective tax rate for the third fiscal quarter of 2014 and 2013 was 40.8% and 21.6%, respectively. The increase in the effective tax rate was driven by the effect of certain permanent items having a greater impact on our effective tax rate due to a lower level of book income.

Net loss attributable to Landauer for the third fiscal quarter of 2014 was $36.6 million, compared with a net loss of $13.8 million in the third fiscal quarter of 2013. The larger net loss was primarily related to the higher impairment chargesprofessional office market and to ~~$1.6 million of reorganization expenses, partially offset by a larger tax benefit.~~

During the first fiscal quarter of 2014, the Company changed the presentation of its reporting segments to separately disclose certain ‘corporate expenses’ that had previously been reported within the Radiation Measurement segment. As a result, the current segment disclosures will reflect three reporting segments: Radiation Measurement, Medical Physics and Medical Products, and one functional group: Corporate.

Radiation Measurement revenues for the third fiscal quarter of 2014 were $24.2 million, a decrease of $2.2 million, or 8.3%, from the third fiscal quarter of 2013 of $26.4 million. The decrease in revenues was due primarily to lower Radwatch revenues of $1.3 million, driven by the timing of military orders. In addition, the Company recorded an adjustment to revenue of $0.9 million in the third fiscal quarter of 2014 to correct the dosimeter wear periods used to compute service revenue. Operating income for the third fiscal quarter of 2014 was $6.3 million, a decrease of $2.4 million, or 27.6%, compared to operating income of $8.7 million for the third fiscal quarter of 2013. The decrease in operating income was due to a $1.4 million decrease in gross margin resulting from the decrease in revenues as well as a $1.1 million increase in selling, general and administrative expenses due to higher bad debt expense and professional fees.

Medical Physics revenues for the third fiscal quarter of 2014 were $8.2 million, an increase of $0.3 million, or 3.8%, as compared to $7.9 million for the third fiscal quarter of 2013. The increase in revenue is primarily attributable to increased imaging services. Medical Physics operating income for the third fiscal quarter of 2014 was $0.4 million as compared to $1.0 million in the third fiscal quarter of 2013. The decrease in operating income was primarily due to increased staffing expenses of $0.7 million

~~to support additional contracts in the imaging division and to support the continued advancement of the segment’s system-sell initiatives.~~

Medical Products revenues of $2.4 million for the third fiscal quarter of 2014 were relatively flat compared to $2.3 million for the third fiscal quarter of 2013. Operating loss for the third fiscal quarter of 2014 was $62.4 million as compared to $22.6 million in the third fiscal quarter of 2013. The Company recorded a $62.2 million goodwill and intangible assets impairment charge for the third fiscal quarter of 2014 compared to a $22.7 million goodwill impairment charge in the same period in fiscal 2013.

Corporate selling, general and administrative expenses reflect costs associated with supporting the entire Company, including executive management and administrative functions such as accounting, treasury, legal, human resources, and information technology management, as well as other costs required to support the Company. Corporate expenses for the third fiscal quarter of 2014 were $5.1 million, an increase of $1.2 million as compared to $3.9 million in the third fiscal quarter of 2013. The increase was due primarily to reorganization costs, primarily severance, recorded during the third fiscal quarter of 2014.

~~Comparison of the nine months ended June 30, 2014 and the nine months ended June 30, 2013~~

Revenues for the first nine months of fiscal 2014 were $112.0 million, an increase of $1.7 million, or 1.4%, compared with revenues of $110.3 million for the first nine months of fiscal 2013. The Radiation Measurement segment experienced an increase of $1.1 million, due primarily to an increase in revenue from international operations, partially offset by a $0.9 million adjustment to correct the timing of revenue recognition related to dosimeter wear periods. Medical Physics segment revenues increased by $0.8 million due primarily to increased imaging services, offset by decreased Medical Products revenue of $0.3 million as a result of decreased Spherz pricing and shipments.

Cost of sales for the first nine months of fiscal 2014 were $54.5 million, an increase of $2.9 million, or 5.6%, compared with cost of sales of $51.6 million for the first nine months of fiscal 2013. The cost of sales increase was due primarily to increased labor to support additional contracts in the Medical Physics imaging division. In addition, cost of sales increased in the Medical Products segment due to an increase in the volume of surgical accessory sales.

Selling, general and administrative expenses for the first nine months of fiscal 2014 were $41.9 million, an increase of $3.4 million, or 8.8%, compared with operating expenses of $38.5 million for the first nine months of fiscal 2013. The selling, general and administrative expense increase was due primarily to increased research and development expenses of $2.1 million related topromote the Company’s ~~next generation dosimetry platform. In addition, the increase was due to higher bad debt expense of $0.8 million~~solutions for The Joint Commission’s new Diagnostic Imaging requirements that became effective for hospitals and ~~higher professional fees and outside services of $0.7 million.~~

In the first nine months of fiscal 2014, we incurred $1.5 million of reorganization costs and $0.3 million of acquisition and other related expenses, as compared to $0.4 million in the first nine months of fiscal 2013, primarily due to acquisitions in the Medical Products segment.

Operating loss for the first nine months of fiscal 2014 was $48.4 million compared with an operating loss of $2.9 million for the first nine months of fiscal 2013. The higher loss was due primarily to an increase in goodwill and intangible asset impairments as well as reorganization costs.ambulatory care centers on July 1, 2015.

The Company recorded a pretax charge of $41.4 million to reduce the carrying amount of goodwill and a pretax charge of $20.8 million to reduce the carrying amount of intangible assets during the third quarter of 2014. The charges resulted from an impairment analysis the Company performed in the IZI Medical Products reporting unit, which indicated that the carrying amounts of these assets exceeded their fair values. The impairment charges were non-cash in nature.

Operating income for the third fiscal quarter of 2015 was $5.1 million, compared with an operating loss of $59.6 million for the third fiscal quarter of 2014. The increase in operating income was driven by the $62.2 million goodwill and other intangible assets impairment charge and $1.6 million in reorganization expenses recorded during the third fiscal quarter of 2014 that were not present in the third fiscal quarter of 2015.

Equity in income of joint ventures for the ~~first nine months~~third fiscal quarter of 2015 was $0.4 million compared with $0.3 million for the third fiscal ~~2014~~quarter of 2014. The increase was ~~$1.4 million, a decrease of $1.2 million from the prior fiscal year’s first nine months amount of $2.6 million,~~primarily due ~~primarily~~ to the timing of military ~~orders.~~product sales by our joint venture.

The effective tax ~~rate was an expense of 43.4% and a benefit of (4.6%)~~rates for the ~~first nine~~three months ~~of fiscal~~ended June 30, 2015 and 2014 were 10.4% and ~~2013,~~40.2%, respectively. The ~~increase~~decrease in the effective tax rate was ~~driven by the effect of certain permanent items having a greater impact on our effective tax rate~~primarily due to ~~a lower level~~the mix of ~~book income.~~earnings between jurisdictions with differing tax rates and therealization of an unrecognized tax benefit.

Net ~~loss attributable~~income attributed to Landauer for the ~~first nine months~~third fiscal quarter of ~~fiscal 2014~~2015 was ~~$28.6~~$4.1 million, compared with a net loss of ~~$3.7~~$36.3 million in the ~~first nine months~~third fiscal quarter of ~~fiscal 2013.~~2014. The ~~larger~~increase in net ~~loss~~income was ~~primarily related to~~driven by the ~~higher~~ impairment charges and ~~to $1.8 million of~~ reorganization ~~expenses,~~costs, partially offset by a ~~larger~~corresponding large tax ~~benefit.~~benefit recorded in the third fiscal quarter of 2014 that were not present in the third fiscal quarter of 2015.

Radiation Measurement revenues for the ~~first nine months~~third fiscal quarter of ~~fiscal 2014~~2015 were ~~$81.1~~$24.1 million, ~~an increase~~a decrease of ~~$1.1~~$1.2 million, or ~~1.4%~~4.7%, ~~from~~compared with $25.3 million for the ~~first nine months~~third fiscal quarter of ~~fiscal 2013 of $80.0 million.~~2014. The ~~increase was due primarily to increases~~decrease in revenues ~~at international subsidiaries~~was primarily due to the unfavorable impact of ~~$2.9~~changes in foreign currency exchange rates of $1.5 million, partially offset by ~~a decrease~~an increase in ~~Radwatch~~domestic revenues of $1.0 million, driven by the timing of military orders. In addition, the Company recorded an adjustment to revenue of $0.9 million to correct the dosimeter wear periods used to compute service revenue. $0.3 million.

Operating income for the ~~first nine months~~third fiscal quarter of ~~fiscal 2014~~2015 was ~~$25.2~~$7.6 million, ~~a decrease of $3.1 million, or 11.0%,~~essentially flat compared towith operating income of ~~$28.3~~$7.5 million for the ~~first nine months~~third fiscal quarter of fiscal 2013. The decrease in operating income was due to increased research and development expenses of $2.1 million for the advancement of the Company’s next generation dosimeter, as well as higher bad debt expenses and professional fees.2014.

Medical Physics revenues for the ~~first nine months~~third fiscal quarter of ~~fiscal 2014~~2015 were ~~$23.9~~$8.9 million, an increase of ~~$0.8~~$0.7 million, or ~~3.5%~~8.5%, as compared ~~to $23.1~~with $8.2 million for the ~~first nine months~~third fiscal quarter of 2014. Imaging services revenue increased by $0.6 million, or 33%, driven by higher demand for the Company’s solutions for The Joint Commission’s new Diagnostic Imaging requirements that became effective for hospitals and ambulatory care centers on July 1, 2015.

Operating income for the third fiscal ~~2013.~~quarter of 2015 was $1.1 million, compared to $0.4 million for the third fiscal quarter of 2014. The increase in ~~revenue is primarily attributable to increased imaging services. Medical Physics~~ operating income ~~for the first nine months of fiscal 2014 was $1.5 million as compared to $2.6 million in the first nine months of fiscal 2013. The decrease in operating income was~~is primarily due to increased gross profit of $0.4 million resulting from higher imaging services revenues as well as a reduction in administrative staffing ~~expenses of $0.7 million to support additional contracts in the imaging division and to support the continued advancement of the segment’s system-sell initiatives.~~expenses.

Medical Products revenues ~~for the first nine months of fiscal 2014~~ were ~~$6.9~~$2.4 million a decrease of $0.3 million, or 4.2%, compared to $7.2 million for the first nine months of fiscal 2013. The decrease in revenues of $0.3 million is due primarily to the decline in the Spherz selling price and shipments. Operating loss for the first nine months of fiscal 2014 was $63.0 million as compared to operating loss of $21.6 million for the first nine months of fiscal 2013. The Company recorded a $62.2 million goodwill and intangible assets impairment charge for the third fiscal ~~quarter~~quarters of ~~2014 compared to a $22.7 million goodwill impairment charge in~~2015 and 2014. Revenue increases driven by volume growth were offset by the ~~same period in 2013.~~

Corporate selling, general and administrative expenses reflect costs associated with supporting the entire Company, including executive management and administrative functions such as accounting, treasury, legal, human resources, and information technology management, as well as other costs required to support the Company. Corporate expenses were essentially flat at $12.1 million for the first nine monthsimpact of ~~fiscal 2014 and 2013.~~continued pressure on Spherz product pricing.

~~Fiscal 2014 Revised Outlook~~Medical Products had operating income of $0.4 million for the third fiscal quarter of 2015 versus an operating loss of $62.4 million for the third fiscal quarter of 2014. The Company recorded a pretax charge of $41.4 million to reduce the carrying amount of goodwill and a pretax charge of $20.8 million to reduce the carrying amount of intangible assets during the third quarter of 2014.

~~Landauer’s business plan~~Corporate Selling, General and Administrative Expenses

Corporate selling, general and administrative expenses for the third fiscal quarter of 2015 were $4.0 million, a decrease of $1.1 million, or 21.6%, compared to $5.1 million for the third fiscal quarter of 2014. The decrease was due to lower reorganization expenses of $1.5 million, partially offset by a $0.5 million increase in professional fees incurred to remediate internal controls deficiencies identified during fiscal 2014.

Comparison of the nine months ended June 30, 2015 and the nine months ended June 30, 2014

Revenues for the first nine months of fiscal 2015 were $111.2 million, a decrease of $1.9 million, or 1.7%, compared to revenues of $113.1 million for the first nine months of fiscal 2014. Revenues in the Radiation Measurement segment decreased $4.3 million, which was primarily due to an unfavorable foreign currency impact of $3.7 million and a decrease in product sales in Europe of $1.0 million. Revenues in the Medical Physics segment increased $2.1 million, primarily driven by increased imaging services of $1.6 million. Revenues in the Medical Products segment increased $0.4 million primarily due to the full-period impact of a modest acquisition in December 2013.

Gross margin was 52.2% for the first nine months of fiscal 2015, compared with 51.7% for the first nine months of fiscal 2014. Gross margin in the Radiation Measurement segment increased by 2.4% for the first nine months of fiscal 2015 as compared to the first nine months of fiscal 2014, ~~currently anticipates aggregate~~due to an improved mix of higher margin service revenues versus lower margin product revenues. Gross margin in the Medical Physics segment decreased by 1.0% for the ~~year~~first nine months of fiscal 2015 as compared to bethe first nine months of fiscal 2014, due to the timing of personnel added to support additional contracts in the ~~range~~imaging and therapy divisions. Gross margin in the Medical Products segment decreased by 2.3% for the first nine months of ~~$150.0~~fiscal 2015 as compared to ~~$160.0 million, and reflects~~ the ~~uncertainty~~first nine months of ~~government funding during~~ fiscal 2014, ~~related~~due to continued Spherz pricing pressure.

Selling, general and administrative expenses for the first nine months of fiscal 2015 were $41.1 million, a decrease of $0.7 million, or 1.7%, compared with $41.8 million for the first nine months of fiscal 2014 due to lower amortization expense and lower research and development expenses, partially offset by higher professional fees. Amortization expense decreased $1.6 million as a result of impairments recorded during the third fiscal quarter of 2014 to reduce the carrying value of intangible assets in the Medical Products segment. Research and development expenses decreased $1.2 million due to early-stage design services incurred in the first nine months of fiscal 2014 for the Verifii next generation dosimetry platform that were not present in the first nine months of fiscal 2015. Audit, legal and other professional fees increased $2.0 million as a result of the fiscal 2014 Form 10-K restatement and the fees incurred to remediate the internal controls deficiencies.

Operating income for the first nine months of fiscal 2015 was $16.9 million, compared with an operating loss of $47.3 million for the first nine months of fiscal 2014. The increase in operating income was due to the ~~military equipment sales opportunities~~$62.2 million goodwill and other intangible assets impairment charge and $1.8 million in acquisition and reorganization expenses recorded in the ~~Company has developed.~~first nine months of 2014 that were not present in the first nine months of fiscal 2015.

Equity in income of joint ventures for the first nine months of fiscal 2015 was $1.8 million compared with $2.1 million for the first nine months of fiscal 2014. The ~~Company also anticipates that~~decrease was primarily due to the foreign currency impact on equity earnings from our joint venture in Japan.

The effective tax rates for the nine months of fiscal 2015 and 2014 were 21.0% and 42.6%, respectively. The decrease in the effective tax rate was primarily due to the enactment of the research and development credit for calendar year 2014 in the first fiscal quarter of fiscal 2015, the mix of earnings between jurisdictions with differing tax rates and the realization of an unrecognized tax benefit.

Net income attributed to Landauer for the ~~full~~first nine months of fiscal ~~year will now be within~~2015 was $12.0 million, compared with a ~~range~~net loss of ~~42%~~$28.0 million in the first nine months of fiscal 2014. The increase in net income was driven by the impairment charges and reorganization costs, partially offset by a corresponding large tax benefit recorded in the first nine months of fiscal 2014 that were not present in the first nine months of fiscal 2015.

Radiation Measurement revenues for the first nine months of fiscal 2015 were $77.9 million, a decrease of $4.3 million, or 5.2%, compared with $82.2 million for the first nine months of fiscal 2014. The decrease in revenues was primarily due to ~~45%.~~the unfavorable impact of changes in foreign currency exchange rates of $3.7 million and a decrease in product sales in Europe of $1.0 million, partially offset by an increase in military product sales of $0.3 million.

Operating income for the first nine months of fiscal 2015 was $26.4 million, an increase of $0.3 million, or 1.1%, compared with operating income of $26.1 million for the first nine months of fiscal 2014. The increase in operating income was due to lower research and development expenses of $1.3 million, partially offset by the net impact of unfavorable foreign currency exchange rates on revenues and operating expenses of $0.8 million.

Medical Physics revenues for the first nine months of fiscal 2015 were $26.0 million, an increase of $2.1 million, or 8.8%, compared with $23.9 million for the first nine months of fiscal 2014. Imaging services revenue increased by $1.6 million, driven by higher demand for the Company’s solutions for The Joint Commission’s new Diagnostic Imaging requirements that became effective for hospitals and ambulatory care centers on July 1, 2015.

Operating income for the first nine months of fiscal 2015 was $2.1 million, compared to $1.5 million for the first nine months of fiscal 2014. The increase in operating income is primarily due to increased imaging services revenue.

Medical Products revenues were $7.3 million for the first nine months of fiscal 2015, compared to $6.9 million for the first nine months of fiscal 2014. Revenue increased $0.4 million due to the full-period impact of a modest acquisition in December 2013.

Medical Products had operating income of $0.9 million for the first nine months of fiscal 2015 versus an operating loss of $62.9 million for the first nine months of fiscal 2014. The increase in operating income was due to the $62.2 million goodwill and other intangible assets impairment charge recorded during the first nine months of fiscal 2014 that was not present in the first nine months of fiscal 2015.

Corporate selling, general and administrative expenses for the first nine months of fiscal 2015 were $12.6 million, an increase of $0.6 million, or 5.0%, compared to $12.0 million for the first nine months of fiscal 2014. The increase was primarily due to higher legal, audit and other professional fees of $2.0 million, partially offset by the acquisition and reorganization expenses recorded during the first nine months of fiscal 2014 that were not present in the first nine months of fiscal 2015.

The Company’s principal source of liquidity is operating cash flows supplemented by borrowings ~~for major acquisitions and other significant transactions.~~under its credit facility. The Company’s cash-generating capability is one of its fundamental strengths and provides it with substantial financial flexibility in meeting operating and investing needs.

Cash provided by operating activities for the first nine months of fiscal ~~2014~~2015 was ~~$26.7~~$21.7 million, ~~an increase~~a decrease of ~~$7.2~~$4.8 million over the same fiscal period in ~~2013.~~2014. The ~~increase~~decrease was primarily due to ~~lower levels~~$2.3 million of ~~core working capital (significantly trade receivables~~severance payments and ~~deferred income), partially offset by higher operating expenses.~~a $1.2 million increase in income tax payments.

Cash used by investing activities for the first nine months of fiscal ~~2014~~2015 was ~~$5.9~~$6.7 million, ~~compared to $10.0~~an increase of $1.0 million inover the same fiscal period of ~~2013.~~2014. The ~~primary~~ difference was primarily due to a ~~reduction~~$3.2 million increase in ~~capital~~the acquisition of property, plant and equipment in the current year, primarily due to IT spending for the Verifii next-generation dosimetry platform, partially offset by the acquisition of a small German distributor for $1.8 ~~million.~~ million in the first fiscal quarter of 2014.

Cash used by financing activities for the first nine months of fiscal ~~2014~~2015 was $12.9 million, as compared to $20.8 million ~~compared to $17.9 million in~~over the same fiscal period of ~~2013.~~2014. The ~~increase~~decrease was primarily due to lower repayments ~~on long-term borrowings.~~of debt primarily due to the $4.8 million decrease in the operating cash flows. As of June 30, ~~2014,~~2015, the Company had ~~$36.7~~$40.6 million of unused availability under its current $175.0 million credit facility, which the Company believes provides adequate liquidity to meet its current and anticipated obligations. During the first nine months of fiscal ~~2014~~2015 and ~~2013,~~2014, the Company paid cash dividends of $13.2 million and $15.8 million, ~~and $15.7 million,~~ respectively. The Company reduced its dividend payment from $0.55 per share in the previous quarters to $0.275 per share during the third fiscal quarter of 2015.

The Company expects to meet short-term liquidity requirements (including capital expenditures) through net cash from operating activities and cash on hand. As of June 30, ~~2014,~~2015, long-term liquidity requirements consist primarily of obligations under the long-term debt obligations. The Company does not have any required debt repayments until August 2, 2018, when the debt facility expires. On June 30, 2014 the Company entered into a First Amendment to Amended and Restated Credit Agreement with BMO Harris Bank N.A., as administrative agent and the lenders that are party thereto. The Amendment amends the Credit Agreement entered into among the Borrowers, the Administrative Agent and the Lenders on August 2, 2013.

This Amendment amended, among other things, (i) the definition of Capital Expenditures and EBITDA and (ii) kept the fixed charge coverage ratio covenant and the leverage ratio covenant constant (1.10 to 1.00 and 3.50 to 1.00, respectively) through the remainder of the term of the Credit Agreement instead of tightening to 1.15 to 1.00 and 3.25 to 1.00, respectively, at September 30, 2015. The Company was in compliance with all covenants as of June 30, ~~2014.~~2015.

See Note 2 to the Consolidated Financial Statements in Item 1 of Part I of this Form 10-Q.

There have been no material changes, outside of the ordinary course of business, in the Company’s outstanding contractual obligations since the end of fiscal year ~~2013~~2014 through June 30, ~~2014.~~2015.

Certain matters contained in this report ~~including the information contained under the heading “Fiscal 2014 Outlook,”~~ constitute forward-looking statements that are based on certain assumptions and involve certain risks and uncertainties. These include the following, without limitation: assumptions, risks and uncertainties associated with the Company’s future performance, the Company’s development and introduction of new technologies in general; the ability to protect and utilize the Company’s intellectual property; events or circumstances which result in an impairment of assets, including but not limited to, goodwill and identifiable intangible assets; continued customer acceptance of the InLight technology; the adaptability of optically stimulated luminescence (“OSL”) technology to new platforms and formats; military and other government funding for the purchase of certain of the Company’s equipment and services; the impact on sales and pricing of certain customer group purchasing arrangements; changes in spending or reimbursement for medical products or services; the costs associated with the Company’s research and business development efforts; the usefulness of older technologies and related licenses and intellectual property; the effectiveness of and costs associated with the Company’s IT platform enhancements; the anticipated results of operations of the Company and its subsidiaries or joint ventures; valuation of the Company’s long-lived assets or business units relative to future cash flows; changes in pricing of services and products; changes in postal and delivery practices; the Company’s business plans; anticipated revenue and cost growth; the ability to integrate the operations of acquired businesses and to realize the expected benefits of acquisitions; the risks associated with conducting business internationally; costs incurred for potential acquisitions or similar transactions; other anticipated financial events; the effects of changing economic and competitive conditions, including instability in capital markets which could impact availability of short and long-term financing; the timing and extent of changes in interest rates; the level of borrowings; foreign exchange rates; government regulations; accreditation requirements; changes in the trading market that affect the costs of obligations under the Company’s benefit plans; and pending accounting pronouncements. These assumptions may not materialize to the extent assumed, and risks and uncertainties may cause actual results to be different from what is anticipated today. These risks and uncertainties also may result in changes to the Company’s business plans and prospects, and could create the need from time to time to write down the value of assets or otherwise cause the Company to incur unanticipated expenses. Additional information

may be obtained by reviewing the information set forth in Item 1A “Risk Factors” and Item 7A “Quantitative and Qualitative Disclosures about Market Risk” ~~and information contained in~~of the ~~Company's~~Company’s Annual Report on Form ~~10-K/A~~10-K for the year ended September 30, ~~2013~~2014 and information contained in other reports filed by the Company, from time to time, with the SEC. The Company does not undertake, and expressly disclaims, any duty to update any forward-looking statement whether as a result of new information, future events or changes in the Company’s expectations, except as required by law.

The Company is exposed to market risk, including changes in foreign currency exchange ~~rates.~~rates and is subject to interest rate risk related to borrowings under its existing credit facility. These risks are set forth in Item 7A “Quantitative and Qualitative Disclosures about Market Risk” of the Company’s Annual Report on Form ~~10-K/A~~10-K for the fiscal year ended September 30, ~~2013.~~2014. The Company believes there have been no material changes in the information provided from the end of the preceding fiscal year through June 30, ~~2014.~~2015.

As of June 30, ~~2014,~~2015, an evaluation was performed under the supervision and with the participation of our management, including our Chief Executive Officer (“CEO”) and Chief Financial Officer (“CFO”) (the Company’s principal executive officer and principal financial officer, respectively), of the effectiveness of the design and operation of the Company’s “disclosure controls and procedures” as defined in Rules 13a-15(e) and 15d-15(e) under the Securities and Exchange Act of 1934, as amended.

Based upon that evaluation, our CEO and CFO concluded that the Company’s disclosure controls and procedures were not effective as a result of the material weaknesses that existed in our internal control over financial reporting described below.

A material weakness is a deficiency, or a combination of deficiencies, in internal control over financial reporting, such that there is a reasonable possibility that a material misstatement of our annual or interim financial statements will not be prevented or detected on a timely basis. ~~The two material weaknesses are as follows:~~

Because of its inherent limitations, internal control over financial reporting may not prevent or detect misstatements. Also, projections of any evaluation of effectiveness to future periods are subject to the risk that controls may become inadequate because of changes in conditions, or that the degree of compliance with the policies or procedures may deteriorate.

We previously identified and reported the following material weaknesses in the Company’s internal control over financial reporting, which still exist as of June 30, 2015:

Control Environment - We did not maintain an effective control environment as we did not maintain a sufficient complement of personnel with an appropriate level of knowledge of accounting, experience and training commensurate with our financial reporting requirements. Additionally, we did not consistently establish appropriate authorities and responsibilities in pursuit of our financial reporting objectives. These material weaknesses contributed to the following control deficiencies, each of which is considered to be a material weakness:

We have improved our process over the preparation and review of our Consolidated Statement of Cash Flows to ensure completeness and accuracy over the transactions reported. We created new templates and supporting schedules that facilitate the preparation of our Consolidated Statement of Cash Flows. We also enhanced our cash flow checklist to identify the most common elements of operating, investing and financing activities, including nonrecurring transactions and adjustments.

We have improved our IT general controls and segregation of duties. We have adopted a new global IT general controls framework, and we have begun to implement this new framework in our domestic and European entities. We have removed access to financial application programs and data beyond that needed for certain personnel to perform their individual job responsibilities.

Risk Assessment - We did not design and implement effective risk assessment with regard to our processes and procedures commensurate with our financial reporting requirements. Specifically, we did not design and implement controls in response to risks of misstatement of the financial statements. This material weakness contributed to the following control deficiencies, each of which is considered to be a material weakness:

We have improved our controls to ensure the accurate and timely reporting of revenue and the related receivables, including the following:

We have commenced a formal risk assessment to assess risks and identify, design, implement, and re-evaluate our control activities. We have completed the quantitative phase of the risk assessment and expect to complete the qualitative phase of the risk assessment by September 30, 2015.

The risk assessment and revenue material weaknesses also resulted in revisions to second and third quarter fiscal 2014, annual fiscal 2014 and first quarter fiscal 2015 financial statement disclosures related to sales to its equity investees. Management has determined that these revisions, first disclosed in the second quarter of fiscal 2015, are additional effects of the material weaknesses related to risk assessment and revenue described above.

We have implemented controls to evaluate the classification of cash and investments held by foreign affiliates. We also designed processes to monitor the establishment of new cash and investment accounts.

Notwithstanding the identified material ~~weakness,~~weaknesses, management believes the consolidated financial statements included in this Quarterly Report on Form 10-Q fairly state in all material respects our financial condition, results of operations and cash flows at and for the periods presented in accordance with U.S. GAAP.

In response to the identified material weaknesses, ~~described above,~~ our management, with ~~the~~ oversight from our ~~Audit Committee of~~audit committee, has dedicated significant resources and efforts to improve our control environment and risk assessment and to remedy the ~~Board of Directors, has taken steps and plans to take additional measures to remediate the underlying causes of the~~identified material weaknesses. ~~Our remediation plans related to~~We believe that the ~~preparation and review~~actions identified above will support the improvement of the Consolidated Statements of Cash Flows include enhancements to increase the effectiveness of review over nonrecurring transactions and adjustments pertaining to purchases of property, plant, and equipment. In addition, our remediation plans related to the accounting for revenue contracts include certain enhancements to the processes described below to ensure appropriate revenue recognition in accordance with contractual terms. We can provide no assurance at this time that management will be able to report that our internal control over financial ~~reporting is effective as of September 30, 2014. Until the remediation steps set forth below are fully implemented for a sufficient period of time, the material weaknesses described above~~reporting. We will continue to ~~exist.~~

~~In response~~devote significant time and attention to the material weakness identified related to the preparation and review of the Consolidated Statements of Cash Flows, we are taking the following actions to improve the design of our internal control in order to remediate this weakness:

In response to the material weakness identified related to the accounting for revenue contracts, we intend to take the following actions to improve the design of our internal control in order to remediate this weakness:

~~We believe~~ these ~~additional internal controls will be effective in remediating the material weaknesses described above.~~remediation efforts. As we continue to evaluate and work to improve our internal control over financial reporting, management may determine to take additional measures to address the material weaknesses or determine to modify the ~~remediation plan~~actions described above. Until the actions set forth above, including the efforts to implement and test the necessary control activities we identify, are fully completed, the material weaknesses described above will continue to exist.

There ~~have~~has been no ~~changes~~change in ~~our~~the Company’s internal control over financial reporting that occurred during the third quarter ~~ended June 30, 2014~~of 2015 that ~~have~~has materially affected, or ~~are~~is reasonably likely to materially affect, ~~our~~the Company’s internal control over financial ~~reporting .~~

The Company is a party, from time to time, to various legal proceedings, lawsuits and other claims arising in the ordinary course of its business. The Company does not believe that any such litigation pending as of June 30, ~~2014,~~2015, if adversely determined, would have a material effect on its business, financial position, results of operations, or cash flows.

Information regarding risk factors ~~are~~is set forth in Item 1A “Risk Factors” of the Company’s Annual Report on Form ~~10-K/A~~10-K for the fiscal year ended September 30, ~~2013.~~2014. The Company believes there have been no material changes in the information provided from the end of the preceding fiscal year through June 30, ~~2014, other than the following new risk factor:~~2015.

~~We have identified two material weaknesses in our internal control over financial reporting which could, if not remediated, result in material misstatements in our financial statements.~~

The Company has concluded that there are two material weaknesses in internal control over financial reporting, as we did not maintain effective internal controls over the preparation and review of the Consolidated Statements of Cash Flows, and we did not maintain effective controls over accounting for revenue contracts. Management has determined that the disclosure controls and procedures and internal control over financial reporting were not effective as of June 30, 2014.

Under standards established by the Public Company Accounting Oversight Board, a material weakness is a deficiency, or combination of deficiencies, in internal control over financial reporting, such that there is a reasonable possibility that a material misstatement of our annual or interim financial statements will not be prevented or detected and corrected on a timely basis. The existence of these issues could adversely affect the Company. As described in Part I, Item 4 “Controls and Procedures—Plan for Remediation of the Material Weaknesses” in this Form 10-Q, there are plans to take measures to remediate the underlying causes of the material weaknesses primarily by enhancing processes to increase the effectiveness of review over nonrecurring transactions and adjustments pertaining to purchases of property, plant and equipment as well as our procedures to ensure the proper communication, approval and accounting review of sales contracts.

The Company believes these additional internal controls will be effective in remediating the material weaknesses related to the preparation and review of the Consolidated Statements of Cash Flows and accounting for revenue contracts. As the Company continues to evaluate and work to improve our internal control over financial reporting, management may determine to take additional measures to address the material weaknesses or determine to modify the remediation plans. If the Company is unable to successfully remediate these material weaknesses and if we are unable to produce accurate and timely financial statements, our stock price may be adversely affected and the Company may be unable to maintain compliance with applicable stock exchange listing requirements.

The Company’s purchases of its equity securities from the end of the preceding fiscal year through June 30, ~~2014~~2015 includes the deemed surrender of existing shares of Landauer common stock to the Company by stock-based compensation plan participants to satisfy the exercise price or tax liability of employee stock awards at the time of exercise or vesting. These surrendered shares are not part of any publicly announced share repurchase program.

Period
Total
Number of Shares
Purchased

Average
Price Paid
per Share

Total Number of
Shares Purchased
as Part of
Publicly
Announced
Plans
or Programs

Maximum
Number of
Shares that May
Yet be
Purchased
Under the Plans
or Programs
October 1 - October 31, 2013
105

$
51.26

-

-
November 1 - November 30, 2013
1,426

47.80

-

-
December 1 - December 31, 2013
3,260

52.16

-

-
Quarter ended December 31, 2013
4,791

$
50.84

-

-
January 1 - January 31, 2014
541

$
52.56

-

-
February 1 - February 28, 2014
-

-

-

-
March 1 - March 31, 2014
-

-

-

-
Quarter ended March 31, 2014
541

$
52.56

-

-
April 1 - April 30, 2014
-

$
-

-

-
May 1 - May 31, 2014
2,001

45.19

-

-
June 1 - June 30, 2014
2,561

43.86

-

-
Quarter ended June 30, 2014
4,562

$
44.44

-

-



Period	Total Number of Shares Purchased	Average Price Paid per Share		Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs	Maximum Number of Shares that May Yet be Purchased Under the Plans or Programs
October 1 - October 31, 2014	490	$	32.74	-	-
November 1 - November 30, 2014	-		-	-	-
December 1 - December 31, 2014	-		-	-	-
Quarter ended December 31, 2014	490	$	32.74	-	-
January 1 - January 31, 2015	-	$	-	-	-
February 1 - February 28, 2015	-		-	-	-
March 1 - March 31, 2015	-		-	-	-
Quarter ended March 31, 2015	-	$	-	-	-
April 1 - April 30, 2015	750	$	35.75	-	-
May 1 - May 31, 2015	-		-	-	-
June 1 - June 30, 2015	341		35.60	-	-
Quarter ended June 30, 2015	1,091	$	35.70	-	-

10.1*		~~First Amendment~~Cer
10.1		Promotion Letter with Daniel J. Fujii dated April 15, 2015 is incorporated by reference to ~~Amended and Restated Credit Agreement among Landauer, Inc., Global Physics Solutions, Inc. and IZI Medical Products, LLC (collectively,~~Exhibit 10.1 to the ~~“Borrowers”) with BMO Harris Bank N.A., as administrative agent (the “Administrative Agent”), and the lenders that are party thereto (collectively, the “Lenders”)~~Current Report on Form 8-K dated April 21, 2015.

10.2		~~Offer~~Promotion Letter ~~between the Company and Mark Zorko,~~with Kara B. Venegas dated ~~as of June 17, 2014, incorporated by reference to Exhibit 10.1 to the Current Report on Form 8-K dated June 23, 2014~~

~~10.3~~		~~Separation Agreement between the Company and Michael K. Burke, dated as of June 17, 2014,~~April 15, 2015 is incorporated by reference to Exhibit 10.2 to the Current Report on Form 8-K dated ~~June 23, 2014~~April 21, 2015.

31.1*		Certification of ~~William E. Saxelby,~~Michael T. Leatherman, President and Chief Executive Officer, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

31.2*		Certification of ~~Mark A. Zorko, Interim~~Daniel J. Fujii, Chief Financial Officer, as adopted pursuant to Section 302 of the Sarbanes-Oxley Act of 2002

32.1*		Certification of ~~William E. Saxelby,~~Michael T. Leatherman, President and Chief Executive Officer, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

32.2*		Certification of ~~Mark A. Zorko, Interim~~Daniel J. Fujii, Chief Financial Officer, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002

101.INS**		XBRL INSTANCE FILE

101.SCH**		XBRL SCHEMA FILE

101.CAL**		XBRL CALCULATION FILE

101.DEF**		XBRL DEFINITION FILE

101.LAB**		XBRL LABEL FILE

101.PRE**		XBRL PRESENTATION FILE

		Exhibits 10.1 and 10.2 listed above are management contracts and compensatory plans or arrangements.

	*	Filed herewith

	**	Furnished with the Company’s Quarterly Report on Form 10-Q for the fiscal quarter ended June 30, ~~2014~~2015.

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.



	Six Months Ended March 31, 2014
(Dollars in Thousands)	As Previously Reported		Adjustment		As Revised
Cash flows from operating activities:
(Gain) loss on investments	$	-	$	(203)	$	(203)
Net cash provided by operating activities		20,164		(203)		19,961
Cash flows used by investing activities:
Other investing activities, net		(840)		203		(637)
Net cash used by investing activities		(5,055)		203		(4,852)



	Three Months Ended December 31, 2013
(Dollars in Thousands)	As Previously Reported		Adjustment		As Revised
Cash flows from operating activities:
(Gain) loss on investments	$	-	$	(146)	$	(146)
(Decrease) increase in accounts payable and other accrued liabilities		(3,502)		174		(3,328)
Net cash provided by operating activities		9,954		28		9,982
Cash flows used by investing activities:
Acquisition of property, plant and equipment		(1,071)		(174)		(1,245)
Other investing activities, net		(719)		146		(573)
Net cash used by investing activities		(3,590)		(28)		(3,618)



	Year Ended September 30, 2013
(Dollars in Thousands)	As Previously Reported		Adjustment		As Revised
Cash flows from operating activities:
(Gain) loss on investments	$	-	$	(282)	$	(282)
Net cash provided by operating activities		25,750		(282)		25,468
Cash flows used by investing activities:
Other investing activities, net		(2,151)		282		(1,869)
Net cash used by investing activities		(11,296)		282		(11,014)



	June 30, 2015
(Dollars in Thousands)	Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Accumulated Intangibles Impairment Charge
Customer lists	$	43,090	$	33,307	$	9,783	$	18,657
Trademarks and tradenames		2,183		2,051		132		1,498
Licenses and patents		5,508		2,262		3,246		665
Other intangibles		577		557		20		-
Intangible assets	$	51,358	$	38,177	$	13,181	$	20,820


		June 30, 2014						September 30, 2013
	Gross Carrying Amount		Accumulated Amortization		Intangibles Impairment Charge		Gross Carrying Amount		Accumulated Amortization		September 30, 2014
(Dollars in Thousands)											Gross Carrying Amount		Accumulated Amortization		Net Carrying Amount		Accumulated Intangibles Impairment Charge
Customer lists	$	44,794	$	32,961	$	18,657	$	43,954	$	11,639	$	44,138	$	32,934	$	11,204	$	18,657
Trademarks and tradenames		2,176		2,051		1,498		2,154		400		2,176		2,051		125		1,498
Licenses and patents		4,659		1,974		665		4,080		1,008		4,765		2,037		2,728		665
Other intangibles		577		557		-		577		557		577		557		20		-
Intangible assets	$	52,206	$	37,543	$	20,820	$	50,765	$	13,604	$	51,656	$	37,579	$	14,077	$	20,820



	Year Ended September 30, 2012
(Dollars in Thousands)	As Previously Reported		Adjustment		As Revised
Cash flows from operating activities:
(Gain) loss on investments	$	-	$	(317)	$	(317)
Net cash provided by operating activities		36,840		(317)		36,523
Cash flows used by investing activities:
Other investing activities, net		(880)		317		(563)
Net cash used by investing activities		(125,456)		317		(125,139)



	Foreign Currency Translation Adjustments		Pension and Postretirement Plans, net of tax		Comprehensive (Loss) Income
Balance at September 30, 2013	$	(178)	$	(4,278)	$	(4,456)
Other comprehensive income before reclassifications		(161)		-		(161)
Amounts reclassified from accumulated other comprehensive income		-		257		257
Net current period other comprehensive income		(161)		257		96
Balance at June 30, 2014	$	(339)	$	(4,021)	$	(4,360)



Pension and Postretirement Plans (1)	Three Months Ended June 30,				Nine Months Ended June 30,
(Dollars in Thousands)	2015		2014 (As Restated)		2015		2014 (As Restated)
Amortization of net loss	$	73	$	46	$	217	$	137
Total before tax		73		46		217		137
Provision for income taxes		27		-		80		-
Total net of tax	$	46	$	46	$	137	$	137



	Nine Months Ended June 30,				Nine Months Ended June 30,
	2014		2013
(Dollars in Thousands)					2015		2014 (As Restated)
Net cash provided by (used by):
Operating activities	$	26,681	$	19,464	$	21,711	$	26,551
Investing activities		(5,893)		(9,990)		(6,691)		(5,711)
Financing activities		(20,822)		(17,905)		(12,899)		(20,822)
Effects of foreign currency translation		4		(205)
Net decrease in cash and cash equivalents	$	(30)	$	(8,636)
Effect of foreign currency translation						(441)		(52)
Net increase (decrease) in cash and cash equivalents					$	1,680	$	(34)

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		LANDAUER, INC.

~~Date: August 11, 2014~~		~~/s/ Mark A. Zorko~~(Registrant)
		~~Mark A. Zorko~~
Date: August 10, 2015		/s/ Daniel J. Fujii
		~~Interim~~ Daniel J. Fujii
		Chief Financial Officer ~~(Principal Financial Officer)~~