Bright Horizons Family Solutions 8-K Bright Horizons Family Solutions Reports Fourth Quarter 2006 Financial Results

EXHIBIT 99.1

For Immediate Release

INVESTOR CONTACT:
Elizabeth Boland:	617-673-8000
MEDIA CONTACT:
Ilene Serpa:	617-673-8000

BRIGHT HORIZONS FAMILY SOLUTIONS REPORTS
FOURTH QUARTER 2006 FINANCIAL RESULTS

BOSTON, MA — (February 15, 2007) — Bright Horizons Family Solutions, Inc. (Nasdaq: BFAM) today announced financial results for the fourth quarter ended December 31, 2006.

Earnings per diluted share of $0.41 in the quarter ended December 31, 2006 increased 17% from $0.35 per diluted share for the quarter ended December 31, 2005. Revenue for the fourth quarter of 2006 increased 11% to $181.3 million from $163.1 million for the same quarter last year. Net income for the fourth quarter of 2006 increased 11% to $11.0 million from $9.8 million in the fourth quarter of 2005.

Earnings per diluted share of $1.52 for the year ended December 31, 2006 increased 18% from $1.29 per diluted share for the year ended December 31, 2005. Revenue for the full year 2006 increased 12% to $697.9 million from $625.3 million for the same period last year. Net income for the year increased 14% to $41.7 million from $36.7 million in 2005.

In conjunction with the January 1, 2006 adoption of Statement of Financial Accounting Standard No. 123R, which resulted in the expensing of stock-based compensation costs, earnings per diluted share decreased by approximately $0.02 and $0.07 respectively for the fourth quarter and year-to-date 2006.

“We again delivered strong operating and financial results in 2006,” commented David Lissy, Chief Executive Officer. Bright Horizons added 15 new centers in the fourth quarter of 2006. New additions in the quarter included second centers for Procter & Gamble and the FDIC, along with new centers for Norfolk Southern, the Francis Institute at Penn Valley Community College, and Becker+Becker, as well as eight new consortium models to its network in the U.S. and the UK. The Company closed two centers in the quarter and, as of December 31, 2006, operated 642 early education and family centers with the capacity to serve more than 69,000 children and families.

“With our continued growth we have also delivered on our goal of achieving consistent improvement in our financial results, which in turn enables us to enhance the quality of the education and service we deliver to the children, families, and clients we serve,” continued Lissy. “This is all made possible by the talent, passion, and dedication of the

thousands of members of the Bright Horizons family throughout our network who shape our reputation every day in our centers, schools, and work sites around the world. I am very proud that this past January, Bright Horizons was again selected as one of FORTUNE magazine’s ‘100 Best Companies to Work for’ in America for the eighth time, and was named earlier in 2006 for the first time as one of the 50 ‘2006 Best Workplaces in the UK’ by the Financial Times.”

“In addition to expanding our family of centers, in 2006 we added valuable breadth and depth to our suite of service offerings to employer clients with two strategic moves,” said Lissy. “In July, we launched our new Back-Up Care Advantage program, providing employers and working families with access to a high-quality network of back-up services for both center-based and in-home child care and elder care. This past September we acquired College Coach — expanding the scope of our employer-based services to include solutions to address the complicated process of college admissions and counseling. Together, these new services position us well for the future to leverage our standing as the partner of choice for employers who aim to help their working families be more productive by fostering a healthy integration between work and life.”

Bright Horizons Family Solutions will host an investor conference call today at 4:30 p.m. ET. The public is invited to listen to the conference call by dialing 913-981-5523 and entering conference ID# 7354961. Replays of the entire call will be available through Friday, March 2, 2007 at 719-457-0820, PIN# 7354961. The conference call will also be webcast and can be accessed through the Investor Relations section of the Bright Horizons Web site, www.brighthorizons.com. A copy of this press release is available on the Web site.

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Bright Horizons Family Solutions is the world’s leading provider of employer-sponsored child care, early education and work/life consulting services, managing more than 600 early care and family centers in the United States, the United Kingdom, Ireland and Canada. Bright Horizons serves more than 700 clients, including more than 95 FORTUNE 500 companies and 70 of the “100 Best Companies” as recognized byWorking Mothermagazine. Bright Horizons is one of FORTUNE magazine’s “100 Best Companies to Work For.”

This press release contains forward-looking statements which involve a number of risks and uncertainties. Bright Horizons Family Solutions’ actual results may vary significantly from the results anticipated in these forward-looking statements as a result of certain factors. These include the ability of the Company to 1) execute contracts relating to new commitments, 2) enroll families in new as well as existing centers, and 3) open new centers and integrate acquisitions, as well as other factors that are discussed in detail in the Company’s filings with the Securities and Exchange Commission.

Bright Horizons Family Solutions
Selected Financial Information
(Unaudited)
(in thousands except per share data)

	Three months ended
	12/31/2006					12/31/2005
Revenue	$	181,295		100.0	%	$	163,059		100.0	%
Cost of services		144,529		79.7	%		131,254		80.5	%
Gross profit		36,766		20.3	%		31,805		19.5	%
Selling, general and administrative expenses		16,948		9.4	%		14,727		9.0	%
Amortization		1,158		0.6	%		714		0.5	%
Income from operations		18,660		10.3	%		16,364		10.0	%
Net interest (expense) income		(436	)	-0.2	%		133		0.1	%
Income before income taxes		18,224		10.1	%		16,497		10.1	%
Income tax provision		(7,265	)	-4.1	%		(6,654	)	-4.1	%
Net income	$	10,959		6.0	%	$	9,843		6.0	%
Per share data:
Net income per share — basic	$	0.42				$	0.36
Weighted average number of common shares outstanding		26,037					27,256
Net income per share — diluted	$	0.41				$	0.35
Weighted average number of common and common equivalent shares		27,027					28,429
Supplemental Information:
Earnings before interest, taxes, depreciation and amortization (EBITDA)(a)	$	24,017				$	20,497
Reconciliation of net income to EBITDA:
Net income, as reported	$	10,959				$	9,843
Add back income tax provision		7,265					6,654
Add back net interest expense (income)		436					(133	)
Income from operations		18,660					16,364
Add back depreciation		4,199					3,419
Add back amortization		1,158					714
EBITDA	$	24,017				$	20,497

(a) EBITDA is used as a financial performance indicator within the child care industry and is presented for informational purposes only. EBITDA is not a financial measure under generally accepted accounting principles and may be subject to varying methods of calculation and may not be comparable to other similarly titled measures by other companies.

Bright Horizons Family Solutions
Selected Financial Information
(Unaudited)
(in thousands except per share data)

	Twelve months ended
	12/31/2006					12/31/2005
Revenue	$	697,865		100.0	%	$	625,259		100.0	%
Cost of services		559,591		80.2	%		509,970		81.6	%
Gross profit		138,274		19.8	%		115,289		18.4	%
Selling, general and administrative expenses		63,235		9.1	%		52,717		8.4	%
Amortization		3,376		0.4	%		1,916		0.3	%
Income from operations		71,663		10.3	%		60,656		9.7	%
Net interest (expense) income		(396	)	-0.1	%		1,286		0.2	%
Income before income taxes		71,267		10.2	%		61,942		9.9	%
Income tax provision		(29,544	)	-4.2	%		(25,241	)	-4.0	%
Net income	$	41,723		6.0	%	$	36,701		5.9	%
Per share data:
Net income per share — basic	$	1.58				$	1.35
Weighted average number of common shares outstanding		26,338					27,123
Net income per share — diluted	$	1.52				$	1.29
Weighted average number of common and common equivalent shares		27,391					28,392
Supplemental Information:
Earnings before interest, taxes, depreciation and amortization (EBITDA)(a)	$	90,514				$	75,166
Reconciliation of net income to EBITDA:
Net income, as reported	$	41,723				$	36,701
Add back income tax provision		29,544					25,241
Add back net interest expense (income)		396					(1,286	)
Income from operations		71,663					60,656
Add back depreciation		15,475					12,594
Add back amortization		3,376					1,916
EBITDA	$	90,514				$	75,166

(a) EBITDA is used as a financial performance indicator within the child care industry and is presented for informational purposes only. EBITDA is not a financial measure under generally accepted accounting principles and may be subject to varying methods of calculation and may not be comparable to other similarly titled measures by other companies.