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| ($ in thousands) Appendix IV —GAAP Reconciliation to Adjusted EBITDA (Historical) 23 Note: The Company defines adjusted earnings before interest, taxes, depreciation and amortization (“Adjusted EBITDA”) as net income (loss) including noncontrolling interests, excluding discontinued operations, income taxes, other (income) expense, net, changes in the fair value of contingent earn-out obligations, interest (income) expense, net, loss (gain) on sale of assets, goodwill impairment and depreciation and amortization. Other companies may define Adjusted EBITDA differently. Adjusted EBITDA is presented because it is a financial measure that is frequently requested by third parties. However, Adjusted EBITDA is not considered under generally accepted accounting principles as a primary measure of an entity’s financial results, and accordingly, Adjusted EBITDA should not be considered an alternative to operating income (loss), net income (loss), or cash flows as determined under generally accepted accounting principles and as reported by the Company. 2007 2008 2009 2010 2011 2012 2013 Net Income (Loss) Including Noncontrolling Interests 32,466 $ 49,690 $ 34,182 $ 14,740 $ ($36,492) $11,849 $28,556 Discontinued Operations (266) 107 (1,282) 5,824 4,018 (355) 76 Income Taxes 19,894 30,855 20,307 11,193 (5,463) 10,045 18,148 Other (Income) Expense, net (5) (68) (17) (247) (934) (145) (204) Changes in the Fair Value of Contingent Earn-out Obligations - - - (1,574) (5,528) (662) (1,646) Interest (Income) Expense, net (2,670) (1,154) 622 1,506 1,758 1,571 1,328 Loss (Gain) on Sale of Assets 31 (290) (106) (527) (236) (491) (589) Goodwill Impairment - - - - 57,354 - - Depreciation and Amortization 6,787 12,325 12,635 16,718 18,982 20,569 18,554 Adjusted EBITDA 56,237 $ 91,465 $ 66,341 $ 47,633 $ 33,459 $ 42,381 $ 64,223 $ Year Ended December 31, |