Hill International (HIL) 10-Q/A 15 Nov 16 2016 Q3 Quarterly report (amended) Financial data

Document and Entity Information

Document and Entity Information - shares	9 Months Ended
	Sep. 30, 2016	Nov. 01, 2016
Document and Entity Information
Entity Registrant Name	Hill International, Inc.
Entity Central Index Key	1,287,808
Document Type	10-Q/A
Document Period End Date	Sep. 30, 2016
Amendment Flag	false
Current Fiscal Year End Date	--12-31
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		51,767,114
Document Fiscal Year Focus	2,016
Document Fiscal Period Focus	Q3

CONSOLIDATED BALANCE SHEETS

CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Assets
Cash and cash equivalents	$ 21,219	$ 24,089
Cash - restricted	3,710	4,435
Accounts receivable, less allowance for doubtful accounts of $72,262 and $63,748	229,892	243,417
Accounts receivable - affiliate	10,870	5,205
Prepaid expenses and other current assets	11,507	10,299
Income taxes receivable	5,035	4,146
Total current assets	282,233	291,591
Property and equipment, net	22,307	23,751
Cash - restricted, net of current portion	1,175	259
Retainage receivable	17,221	2,638
Acquired intangibles, net	11,560	14,659
Goodwill	75,899	74,893
Investments	4,738	8,386
Deferred income tax assets	19,274	19,724
Other assets	5,136	6,662
Total assets	439,543	442,563
Liabilities and Stockholders' Equity
Current maturities of notes payable	7,316	4,357
Accounts payable and accrued expenses	105,825	112,457
Income taxes payable	5,287	9,064
Deferred revenue	8,697	11,310
Other current liabilities	9,665	5,860
Total current liabilities	136,790	143,048
Notes payable, net of current maturities	146,639	140,626
Retainage payable	870	1,929
Deferred income taxes	16,472	16,341
Deferred revenue	15,254	11,919
Other liabilities	11,084	10,661
Total liabilities	327,109	324,524
Commitments and contingencies
Stockholders' equity:
Preferred stock, $0.0001 par value; 1,000 shares authorized, none issued
Common stock, $.0001 par value; 100,000 shares authorized, 58,726 shares and 58,335 shares issued at September 30, 2016 and December 31, 2015, respectively	6	6
Additional paid-in capital	189,049	188,869
Retained earnings (deficit)	(2,721)	1,205
Accumulated other comprehensive loss	(46,662)	(46,866)
Shareholders' equity before treasury stocks and noncontrolling interest	139,672	143,214
Less treasury stock of 6,959 shares and 6,743 shares at September 30, 2016 and December 31, 2015, at cost	(29,974)	(29,245)
Hill International, Inc. share of equity	109,698	113,969
Noncontrolling interests	2,736	4,070
Total equity	112,434	118,039
Total liabilities and stockholders' equity	$ 439,543	$ 442,563

CONSOLIDATED BALANCE SHEETS (Pa

CONSOLIDATED BALANCE SHEETS (Parenthetical) - USD ($) shares in Thousands, $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
CONSOLIDATED BALANCE SHEETS
Accounts receivable, allowance for doubtful accounts (in dollars)	$ 72,262	$ 63,748
Preferred stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Preferred stock, shares authorized	1,000	1,000
Preferred stock, shares issued	0	0
Common stock, par value (in dollars per share)	$ 0.0001	$ 0.0001
Common stock, shares authorized	100,000	100,000
Common stock, shares issued	58,726	58,335
Treasury stock, shares	6,959	6,743

CONSOLIDATED STATEMENTS OF EARN

CONSOLIDATED STATEMENTS OF EARNINGS - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
CONSOLIDATED STATEMENTS OF EARNINGS
Consulting fee revenue	$ 147,993	$ 158,579	$ 457,912	$ 469,458
Reimbursable expenses	19,960	20,356	61,851	61,393
Total revenue	167,953	178,935	519,763	530,851
Cost of services	81,241	89,345	265,052	268,174
Reimbursable expenses	19,960	20,356	61,851	61,393
Total direct expenses	101,201	109,701	326,903	329,567
Gross profit	66,752	69,234	192,860	201,284
Selling, general and administrative expenses	67,247	57,527	179,614	173,101
Share of loss of equity method affiliates	12	14	28	231
Operating profit	(507)	11,693	13,218	27,952
Interest expense and related financing fees, net	3,368	4,147	10,103	11,252
(Loss) earnings before income tax expense	(3,875)	7,546	3,115	16,700
Income tax expense	2,880	4,210	6,939	7,980
Net (loss) earnings	(6,755)	3,336	(3,824)	8,720
Less: net earnings - noncontrolling interests	111	388	102	675
Net (loss) earnings attributable to Hill International	$ (6,866)	$ 2,948	$ (3,926)	$ 8,045
Basic (loss) earnings per common share - Hill International, Inc.	$ (0.13)	$ 0.06	$ (0.08)	$ 0.16
Basic weighted average common shares outstanding (in shares)	51,753	51,119	51,704	50,661
Diluted (loss) earnings per common share - Hill International, Inc.	$ (0.13)	$ 0.06	$ (0.08)	$ 0.16
Diluted weighted average common shares outstanding (in shares)	51,753	51,803	51,704	51,274

CONSOLIDATED STATEMENTS OF COMP

CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
CONSOLIDATED STATEMENTS OF COMPREHENSIVE LOSS
Net (loss) earnings	$ (6,755)	$ 3,336	$ (3,824)	$ 8,720
Foreign currency translation adjustment, net of tax	(1,638)	(8,630)	(1,257)	(15,910)
Other, net	79	(78)	135	(213)
Comprehensive loss	(8,314)	(5,372)	(4,946)	(7,403)
Comprehensive earnings (loss) attributable to noncontrolling interests	132	(2,992)	(1,223)	(6,728)
Comprehensive loss attributable to Hill International, Inc.	$ (8,446)	$ (2,380)	$ (3,723)	$ (675)

CONSOLIDATED STATEMENTS OF CASH

CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Cash flows from operating activities:
Net (loss) earnings	$ (3,824)	$ 8,720
Adjustments to reconcile net earnings to net cash used in operating activities:
Depreciation and amortization	7,705	8,286
Provision for bad debts	11,879	2,540
Amortization of deferred loan fees	1,334	1,333
Deferred tax expense (benefit)	663	(1,585)
Share based compensation	1,838	2,360
Changes in operating assets and liabilities, net:
Restricted cash	(69)	10,658
Accounts receivable	2,652	(57,690)
Accounts receivable - affiliate	(5,665)	(2,830)
Prepaid expenses and other current assets	(1,001)	(4,556)
Income taxes receivable	(756)	25
Retainage receivable	(14,583)	150
Other assets	5,191	1,009
Accounts payable and accrued expenses	(8,582)	15,194
Income taxes payable	(3,951)	1,455
Deferred revenue	124	589
Other current liabilities	2,639	7,398
Retainage payable	(1,308)	474
Other liabilities	385	2,878
Net cash used in operating activities	(5,329)	(3,592)
Cash flows from investing activities:
Purchase of business, net of cash acquired		(4,384)
Payments for purchase of property and equipment	(2,584)	(11,447)
Net cash used in investing activities	(2,584)	(15,831)
Cash flows from financing activities:
Payments on term loans	(900)	(900)
Net borrowings on revolving loans	8,950	15,152
Proceeds from Philadelphia Industrial Development Corporation loan		750
Payments on Philadelphia Industrial Development Corporation loan	(41)	(27)
Deferred acquisition price payments	(1,531)
Dividends paid to noncontrolling interest	(111)	(130)
Proceeds from stock issued under employee stock purchase plan	65	57
Proceeds from exercise of stock options	220	137
Net cash provided by financing activities	6,652	15,039
Effect of exchange rate changes on cash	(1,609)	(1,839)
Net decrease in cash and cash equivalents	(2,870)	(6,223)
Cash and cash equivalents - beginning of period	24,089	30,124
Cash and cash equivalents - end of period	$ 21,219	$ 23,901

The Company

The Company	9 Months Ended
	Sep. 30, 2016
The Company
The Company	Note 1 - The Company Hill International, Inc. (“Hill” or the “Company”) is a professional services firm that provides program management, project management, construction management, construction claims and other consulting services primarily to the buildings, transportation, environmental, energy and industrial markets worldwide. Hill’s clients include the U.S. federal government, U.S. state and local governments, foreign governments and the private sector. The Company is organized into two key operating divisions: the Project Management Group and the Construction Claims Group.

Basis of Presentation

Basis of Presentation	9 Months Ended
	Sep. 30, 2016
Basis of Presentation
Basis of Presentation	Note 2 — Basis of Presentation The accompanying unaudited interim consolidated financial statements were prepared in accordance with the rules and regulations of the Securities and Exchange Commission pertaining to reports on Form 10-Q and should be read in conjunction with the consolidated financial statements and accompanying notes included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2015. Accordingly, they do not include all of the information and footnotes required by accounting principles generally accepted in the United States (“GAAP”) for complete financial statements. In the opinion of management, these statements include all adjustments (consisting only of normal, recurring adjustments) necessary for a fair presentation of the consolidated financial statements. The consolidated financial statements include the accounts of Hill and its wholly- and majority-owned subsidiaries. All intercompany balances and transactions have been eliminated in consolidation. The preparation of financial statements in conformity with 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 financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The interim operating results are not necessarily indicative of the results for a full year.

Liquidity

Liquidity	9 Months Ended
	Sep. 30, 2016
Liquidity
Liquidity	Note 3 — Liquidity The amount of consulting fee revenue (“CFR”) attributable to operations in the Middle East and Africa has grown from approximately 32% in 2011 to approximately 49% of total consolidated CFR during the first nine months of 2016. There has been significant political upheaval and civil unrest in these regions during this period. The Company continues to experience a slowdown in its collections from its clients in the Middle East primarily due to the recent drop in oil prices. This has put a considerable strain on the Company’s liquidity. As a result, the Company has had to rely heavily on debt and equity transactions to fund its operations. See Note 4 for a further discussion of issues related to our liquidity.

Accounts Receivable

Accounts Receivable	9 Months Ended
	Sep. 30, 2016
Accounts Receivable
Accounts Receivable	Note 4 — Accounts Receivable The components of accounts receivable are as follows (in thousands): September 30, 2016 December 31, 2015 Billed $ $ Retainage, current portion Unbilled Allowance for doubtful accounts ) ) $ $ Included in billed and unbilled accounts receivable are $14,926,000 and $4,827,000, respectively, related to change orders, claims and disputes at September 30, 2016. In 2012, the Company commenced operations on the Muscat International Airport (the “Oman Airport”) project with the Ministry of Transportation and Communications (the “MOTC”) in Oman. The original contract term expired in November 2014. In October 2014, the Company applied for a twelve-month extension of time amendment (the “first extension”) which was subsequently approved in March 2016 and the Company continued to work on the Oman Airport project. The Company began to experience some delays in payment during the second quarter of 2015 when MOTC commenced its formal review and certification of the Company’s invoices. In December 2015, the Company began discussions with the MOTC on a second extension of time amendment (the “second extension”) and has since commenced additional work, which management expects to last approximately 18 months. When the MOTC resumed payments in 2016, the Company received approximately $15,000,000 in March, approximately $1,800,000 in April, approximately $14,100,000 in June, approximately $3,200,000 in October and approximately $7,900,000 in November. At September 30, 2016, accounts receivable from Oman totaled approximately $29,500,000. After receipt of the October and November payments, approximately $7,900,000 was past due based on contractual terms. In addition, there is approximately $16,100,000 included in non-current Retainage Receivable in the consolidated balance sheet at September 30, 2016. Of that amount, approximately $8,000,000 relates to retention and approximately $8,100,000 relates to a Defect and Liability Period (“DLP”). Retention represents five percent of each monthly invoice which is retained by MOTC. Fifty percent of the retention will be released one year from the commencement of the DLP and the balance will be release upon the issuance of final Completion Certificates. DLP represents the period by which the contractor must address any defect issues. This period commences upon the issuance of a “Taking Over Certificate” (by MOTC) to contractors for up to a period of 24 months and then final certificate closing the project. The delays in payments from MOTC and other foreign governments have had a negative impact on the Company’s liquidity, financial covenants, financial position and results of operations.

Intangible Assets

Intangible Assets	9 Months Ended
	Sep. 30, 2016
Intangible Assets
Intangible Assets	Note 5 — Intangible Assets The following table summarizes the Company’s acquired intangible assets (in thousands): September 30, 2016 December 31, 2015 Gross Gross Carrying Accumulated Carrying Accumulated Amount Amortization Amount Amortization Client relationships $ $ $ Acquired contract rights Trade names Total $ $ $ $ Intangible assets, net $ $ Amortization expense related to intangible assets was as follows (in thousands): Three Months Ended Nine Months Ended 2016 2015 2016 2015 $ $ $ $ The following table presents the estimated amortization expense based on our present intangible assets for the next five years (in thousands): Estimated Amortization Year Ending December 31, Expense 2016 (remaining 3 months) $ 2017 2018 2019 2020

Goodwill

Goodwill	9 Months Ended
	Sep. 30, 2016
Goodwill
Goodwill	Note 6 — Goodwill The Company performs its annual goodwill impairment testing, by reporting unit, in the third quarter, or more frequently if events or changes in circumstances indicate that goodwill may be impaired. Application of the goodwill impairment test requires significant judgments including estimation of future cash flows, which is dependent on internal forecasts, estimation of the long-term rate of growth for the businesses, the useful life over which cash flows will occur, and determination of the Company’s weighted average cost of capital. Changes in these estimates and assumptions could materially affect the determination of fair value and/or conclusions on goodwill impairment for each reporting unit. The Company performed its annual impairment test effective July 1, 2016. Based on a preliminary valuation, the fair value of the Project Management unit and the Construction Claims unit significantly exceeded their carrying values. The following table summarizes the changes in the Company’s carrying value of goodwill during 2016 (in thousands): Project Construction Total Management Claims Goodwill Balance, December 31, 2015 $ $ $ Additions — — — Translation adjustments ) Balance, September 30, 2016 $ $ $

Accounts Payable and Accrued Ex

Accounts Payable and Accrued Expenses	9 Months Ended
	Sep. 30, 2016
Accounts Payable and Accrued Expenses
Accounts Payable and Accrued Expenses	Note 7 — Accounts Payable and Accrued Expenses Below are the components of accounts payable and accrued expenses (in thousands): September 30, 2016 December 31, 2015 Accounts payable $ $ Accrued payroll Accrued subcontractor fees Accrued agency fees Accrued legal and professional fees Other accrued expenses $ $

Notes Payable and Long-Term Deb

Notes Payable and Long-Term Debt	9 Months Ended
	Sep. 30, 2016
Notes Payable and Long-Term Debt
Notes Payable and Long-Term Debt	Note 8 — Notes Payable and Long-Term Debt Outstanding debt obligations are as follows (in thousands): September 30, 2016 December 31, 2015 Term Loan Facility $ $ U.S. Revolving Credit Facility International Revolving Credit Facility Borrowings under revolving credit facilities with a consortium of banks in Spain Borrowing under revolving credit facility with the National Bank of Abu Dhabi — Borrowing from Philadelphia Industrial Development Corporation Other notes payable — Less current maturities Notes payable and long-term debt, net of current maturities $ $ The Company and its subsidiary Hill International N.V. (the “Subsidiary”) are parties to a credit agreement with Société Générale (the “Agent”), TD Bank, N.A. and HSBC Bank USA, N.A. (collectively, the “U.S. Lenders”) consisting of a term loan facility of $120,000,000 (the “Term Loan Facility”) and a $30,000,000 U.S. dollar-denominated facility available to the Company (the “U.S. Revolver,” together with the Term Loan Facility, the “U.S. Credit Facilities”) and a credit agreement with the Agent (the “International Lender”) providing a €11,765,000 ($15,000,000 at closing and $13,199,000 at September 30, 2016) credit facility which is available to the Subsidiary (the “International Revolver” and together with the U.S. Revolver, the “Revolving Credit Facilities” and, together with the U.S. Credit Facilities, the “Secured Credit Facilities”). The U.S. Revolver and the International Revolver include sub-limits for letters of credit amounting to $25,000,000 and $10,000,000, respectively. The Secured Credit Facilities contain customary default provisions, representations and warranties, and affirmative and negative covenants, and require the Company to comply with certain financial and reporting covenants. The financial covenants consist of a Consolidated Net Leverage Ratio and an Excess Account Concentration requirement. The Consolidated Net Leverage Ratio is the ratio of (a) consolidated total debt (minus cash of up to $10,000,000 held in the aggregate) to consolidated earnings before interest, taxes, depreciation, amortization, share-based compensation and other non-cash charges, including bad debt expense, for the trailing twelve months. In the event of a default, the U.S. Lenders and the International Lender may increase the interest rates by 2.0%. At September 30, 2016, the Company’s Consolidated Net Leverage Ratio was 3.19 to 1.00 which exceeded the 2.75 to 1.00 limit imposed by the Secured Credit Facilities and constituted a default. The Excess Account Concentration covenant permits the U. S. Lenders and the International Lender to increase the interest rates by 2.0% if, as of the last day of any fiscal quarter, either (a) the total of accounts receivable from all clients within any country not listed as a Permitted Country as defined in the Secured Credit Facilities (other than the United Arab Emirates) that are more than 120 days old (relative to the invoice date) constitute more than 10% of the total outstanding accounts receivable or (b) the total of accounts receivable from all clients located in the United Arab Emirates that are more than 120 days old (relative to the invoice date) constitute more than 14% of the total outstanding accounts receivable. The interest rate would be reset as soon as the accounts receivable over 120 days decline below the 10% or 14% levels. At September 30, 2016, the accounts receivable from Oman exceeded the limit described above, however, due to a payment received on October 6, 2016, the accounts receivable declined below the established limit. In anticipation of the event of default upon delivery of the quarterly compliance certificate, the Company requested a waiver from the Agent. On November 1, 2016, the Company obtained the waiver of the Excess Account Concentration covenant violation, the Consolidated Net Leverage Ratio default and the contractual 2% increase in the interest rate. In connection with the waiver, the Company incurred a consent fee amounting to approximately $168,000 which will be charged to interest expense in the fourth quarter of 2016. The U.S. Credit Facilities are guaranteed by certain U.S. subsidiaries of the Company, and the International Revolver is guaranteed by the Company and certain of the Company’s U.S. and non-U.S. subsidiaries. Term Loan Facility The interest rate on the Term Loan Facility will be, at the Company’s option, either: · the London Inter-Bank Offered Rate (“LIBOR”) for the relevant interest period plus 6.75% per annum, provided that such LIBOR shall not be lower than 1.00% per annum; or · the Base Rate (as described below) plus 5.75% per annum. The “Base Rate” is a per annum rate equal to the highest of (A) the prime rate, (B) the federal funds effective rate plus 0.50%, or (C) the LIBOR for an interest period of one month plus 1.0% per annum. Upon a default, the applicable rate of interest under the Secured Credit Facilities may increase by 2.0%. The LIBOR on the Term Loan Facilities (including when determining the Base Rate) shall in no event be less than 1.0% per annum. At September 30, 2016, the interest rate on the Term Loan was 7.75%. The Company has the right to prepay the Term Loan Facility in full or in part at any time without premium or penalty. The Company is required to make mandatory prepayments of the Term Loan Facility, without premium or penalty, (i) with net proceeds of any issuance or incurrence of indebtedness (other than that permitted under the Term Loan Facility) by the Company, (ii) with net proceeds from certain asset sales outside the ordinary course of business, and (iii) with 50% of the excess cash flow (as defined in the agreement) for each fiscal year of the Borrowers (which percentage would be reduced to 25% if the Consolidated Net Leverage Ratio is equal to or less than 2.25 to 1.00 or reduced to 0% if the Consolidated Net Leverage Ratio is equal to or less than 1.50 to 1.00). The Term Loan Facility is generally secured by a first-priority security interest in substantially all assets of the Company and certain of the Company’s U.S. subsidiaries other than accounts receivable, cash proceeds thereof and certain bank accounts, as to which the Term Loan Facility is secured by a second-priority security interest. The Term Loan Facility has a term of six years, requires repayment of 0.25% of the original principal amount on a quarterly basis through September 30, 2020, the maturity date. Any amounts repaid on the Term Loan Facility will not be available to be re-borrowed. The Company incurred fees and expenses related to the Term Loan Facility aggregating $7,066,000 which have been deferred. The deferred fees are being amortized on a straight-line basis, which approximates the effective interest method, to interest and related financing fees, net over a six-year period which ends on September 30, 2020. Unamortized balances of $4,710,000 and $5,594,000 are included as an offset against the Term Loan balances in the consolidated balance sheets at September 30, 2016 and December 31, 2015, respectively. Revolving Credit Facilities The interest rate on borrowings under the U.S. Revolver will be, at the Company’s option from time to time, either the LIBOR for the relevant interest period plus 3.75% per annum or the Base Rate plus 2.75% per annum. At September 30, 2016, the interest rate was 6.25%. The interest rate on borrowings under the International Revolver will be the European Inter-Bank Offered Rate (“EURIBOR”) for the relevant interest period (or at a substitute rate to be determined to the extent EURIBOR is not available) plus 4.00% per annum. At September 30, 2016, the interest rate was 3.63%. The Company will pay a commitment fee calculated at 0.50% annually on the average daily unused portion of the U.S. Revolver, and the Subsidiary will pay a commitment fee calculated at 0.75% annually on the average daily unused portion of the International Revolver. The ability to borrow under each of the U.S. Revolver and the International Revolver is subject to a “borrowing base,” calculated using a formula based upon approximately 85% of receivables that meet or satisfy certain criteria (“Eligible Receivables”) and that are subject to a perfected security interest held by either the U.S. Lenders or the International Lender, plus, in the case of the International Revolver only, 10% of Eligible Receivables that are not subject to a perfected security interest held by the International Lender, subject to certain exceptions and restrictions. The Company or the Subsidiary, as applicable, will be required to make mandatory prepayments under their respective Revolving Credit Facilities to the extent that the aggregate outstanding amount thereunder exceeds the then-applicable borrowing base, which payments will be made without penalty or premium. At September 30, 2016, the domestic borrowing base was $30,000,000 and the international borrowing base was €11,765,000 (approximately $13,199,000 at September 30, 2016). Generally, the obligations of the Company under the U.S. Revolver are secured by a first-priority security interest in the above-referenced accounts receivable, cash proceeds and bank accounts of the Company and certain of the Company’s U.S. subsidiaries, and a second-priority security interest in substantially all other assets of the Company and such subsidiaries. The obligations of the Subsidiary under the International Revolver would generally be secured by a first-priority security interest in substantially all accounts receivable, cash proceeds thereof and certain bank accounts of the Subsidiary and certain of the Company’s non-U.S. subsidiaries, and a second-priority security interest in substantially all other assets of the Company and certain of the Company’s U.S. and non-U.S. subsidiaries. The Revolving Credit Facilities have a term of five years and require payment of interest only during the term. Under the Revolving Credit Facilities, outstanding loans may be repaid in whole or in part at any time, without premium or penalty, subject to certain customary limitations, and will be available to be re-borrowed from time to time through expiration on September 30, 2019. The Company incurred fees and expenses related to the Revolving Credit Facilities aggregating $3,000,000 which has been deferred. The deferred fees are being amortized on a straight-line basis, which approximates the effective interest method, to interest expense and related financing fees, net over a five-year period which ends on September 30, 2019. Unamortized balances of $1,800,000 and $2,250,000 are included in other assets in the consolidated balance sheet at September 30, 2016 and December 31, 2015, respectively. At September 30, 2016 the Company had $5,006,000 of outstanding letters of credit under the U.S. Revolver. Due to the default, the Company was precluded from utilizing any of the $2,494,000 of available borrowing capacity under the U.S. Revolver until the waiver was received on November 1, 2016, at which time the entire amount was available to be borrowed without violating the Consolidated Net Leverage Ratio. At September 30, 2016, the Company had $1,008,000 of outstanding letters of credit and $1,218,000 of available borrowing capacity under the International Revolver and its other foreign credit agreements (See “Other Debt Arrangements” below for more information). Other Debt Arrangements In connection with the move of its corporate headquarters to Philadelphia, Pennsylvania, the Company received a loan from the Philadelphia Industrial Development Corporation in the amount of $750,000 which bears interest at 2.75%, is repayable in 144 equal monthly installments of $6,121 and matures on May 1, 2027. The Company’s subsidiary, Hill International (Spain) S.A. (“Hill Spain”), maintains a revolving credit facility with six banks (the “Financing Entities”) in Spain which initially provided for total borrowings of up to €5,640,000 with interest at 6.50% on outstanding borrowings. At December 31, 2015, total availability under this facility was reduced to 50.0% of the initial limit. At September 30, 2016, the total facility was approximately €2,670,000 (approximately $2,996,000) and borrowings outstanding were €2,669,000 (approximately $2,995,000). The amount being financed (“Credit Contracts”) by each Financing Entity is between €189,000 (approximately $213,000) and €769,000 (approximately $863,000). To guarantee Hill Spain’s obligations resulting from the Credit Contracts, Hill Spain provided a guarantee in favor of each one of the Financing Entities, which, additionally, and solely in the case of unremedied failure to make payment, and at the request of each of the Financing Entities, shall grant a first ranking pledge over a given percentage of corporate shares of Hill International Brasil Participacoes Ltda. for the principal, interest, fees, expenses or any other amount owed by virtue of the Credit Contracts, coinciding with the percentage of credit of each Financing Entity with respect to the total outstanding borrowings under this facility. The facility expires on December 17, 2016 at which time the Company expects to pay off and terminate the facility. Hill Spain also maintains an Instituto de Credito Oficial (“ICO”) loan with Bankia Bank in Spain for €60,000 (approximately $67,000) at September 30, 2016. The availability is reduced by €15,000 on a quarterly basis. At September 30, 2016, total borrowings outstanding were €60,000 (approximately $67,000). The interest rate at September 30, 2016 was 6.50%. The ICO loan expires on August 10, 2017. The Company maintains a credit facility with the National Bank of Abu Dhabi which provides for total borrowings of up to AED 11,500,000 (approximately $3,131,000 at September 30, 2016) collateralized by certain overseas receivables. Borrowings outstanding were AED 11,012,000 (approximately $2,998,000 at September 30, 2016). The interest rate is the one-month Emirate Interbank Offered Rate plus 3.00% (which would be 4.41% at September 30, 2016) but, in any event, no less than 5.50%. This facility also allows for Letters of Guarantee of up to AED 200,000,000 (approximately $54,452,000 at September 30, 2016) of which AED 135,080,000 (approximately $36,777,000) was outstanding at September 30, 2016. The credit facility is subject to periodic review by the bank. Engineering S.A. maintains four unsecured revolving credit facilities with two banks in Brazil aggregating 2,380,000 Brazilian Reais (BRL) (approximately $730,000 at September 30, 2016), with a weighted average interest rate of 5.09% per month at September 30, 2016. There were no borrowings outstanding on any of these facilities which are renewed automatically every three months. The Company also maintains relationships with other foreign banks for the issuance of letters of credit, letters of guarantee and performance bonds in a variety of foreign currencies. At September 30, 2016, the maximum U.S. dollar equivalent of the commitments was $89,237,000 of which $40,362,000 is outstanding.

Supplemental Cash Flow Informat

Supplemental Cash Flow Information	9 Months Ended
	Sep. 30, 2016
Supplemental Cash Flow Information
Supplemental Cash Flow Information	Note 9 — Supplemental Cash Flow Information The following table provides additional cash flow information (in thousands): Nine Months Ended September 30, 2016 2015 Interest and related financing fees paid $ $ Income taxes paid $ $ Increase in other current liabilities and decrease in additional paid-in capital related to ESA Put Options $ — Reduction of noncontrolling interest in connection with acquisition of an additional interest in Engineering S.A. $ — $ ) Increase in property and equipment from a tenant improvement allowance related to the relocation of the corporate headquarters $ — $ Increase in additional paid in capital from issuance of shares of common stock related to purchase of CPI $ — $ Increase in additional paid in capital from issuance of shares of common stock through cashless exercise of stock options $ $

Earnings per Share

Earnings per Share	9 Months Ended
	Sep. 30, 2016
Earnings per Share
Earnings per Share	Note 10 — Earnings per Share Basic earnings per common share has been computed using the weighted-average number of shares of common stock outstanding during the period. Diluted earnings per common share incorporates the incremental shares issuable upon the assumed exercise of stock options using the treasury stock method, if dilutive. Options to purchase 6,480,000 shares and 6,478,000 shares were excluded from the calculation of diluted earnings per common share for the three and nine months ended September 30, 2016, respectively, because they were antidilutive. Dilutive stock options increased the average common shares outstanding by approximately 684,000 shares for the three months ended September 30, 2015 and by approximately 613,000 shares for the nine months ended September 30, 2015. Options to purchase 3,208,000 shares and 3,773,000 shares were excluded from the calculation of diluted earnings per common share for the three and nine months ended September 30, 2015 because they were antidilutive.

Share-Based Compensation

Share-Based Compensation	9 Months Ended
	Sep. 30, 2016
Share-Based Compensation
Share-Based Compensation	Note 11 — Share-Based Compensation At September 30, 2016, the Company had approximately 6,932,000 options outstanding with a weighted average exercise price of $4.10. During the nine months ended September 30, 2016, the Company granted 765,000 options which vest over a five-year period and 10,101 options which vested immediately. The options have a weighted-average exercise price of $4.30 and a weighted average contractual life of 6.97 years. The aggregate fair value of the options was $1,075,000 calculated using the Black-Scholes valuation model. The weighted average assumptions used to calculate fair value were: expected life — 4.97 years; volatility — 57.4% and risk-free interest rate — 1.24%. During the first nine months of 2016, options for approximately 369,000 shares with a weighted average exercise price of $2.62 were exercised, options for approximately 1,104,000 shares with a weighted average exercise price of $6.86 lapsed and options for 82,000 shares with a weighted average exercise price of $4.24 were forfeited. During the nine months ended September 30, 2016, employees purchased approximately 19,000 common shares, for an aggregate purchase price of $65,000, pursuant to the Company’s 2008 Employee Stock Purchase Plan. The Company recognized share-based compensation expense in selling, general and administrative expenses in the consolidated statement of operations totaling $581,000 and $899,000 for the three months ended September 30, 2016 and 2015, respectively, and $1,838,000 and $2,360,000 for the nine months ended September 30, 2016 and 2015, respectively.

Stockholders' Equity

Stockholders' Equity	9 Months Ended
	Sep. 30, 2016
Stockholders' Equity
Stockholders' Equity	Note 12 — Stockholders’ Equity The following table summarizes the changes in stockholders’ equity during the nine months ended September 30, 2016 (in thousands): Hill International, Noncontrolling Total Inc. Stockholders Interests Stockholders’ equity, December 31, 2015 $ $ $ Net (loss) earnings ) ) Other comprehensive (loss) ) ) Comprehensive earnings (loss) ) ) ) Additional paid in capital — Cashless exercise of stock options ) ) — Adjustment related to ESA Put Options ) ) Dividends paid to noncontrolling interest ) — ) Stockholders’ equity, September 30, 2016 $ $ $ During March 2016, certain officers exercised an aggregate of 297,489 options with an exercise price of $2.45 through the Company on a cashless basis. The Company withheld 215,158 shares as payment for the options and placed those shares in treasury. The officers received a total of 112,331 shares from this transaction. During the nine months ended September 30, 2016, the Company received $220,000 in cash from the exercise of stock options.

Income Taxes

Income Taxes	9 Months Ended
	Sep. 30, 2016
Income Taxes
Income Taxes	Note 13 — Income Taxes The effective tax rates for the three months ended September 30, 2016 and 2015 were (74.3)% and 55.8%, respectively, and 222.8% and 47.8% for the nine months ended September 30, 2016 and 2015, respectively. The Company’s effective tax rate represents the Company’s estimated tax rate for the year based on projected income and mix of income among the various foreign tax jurisdictions, adjusted for discrete transactions occurring during the period. There was no change in the reserve for uncertain tax positions for the three months ended September 30, 2016 and 2015. For the nine months ended September 30, 2016 and 2015, the Company recognized an income tax (benefit) expense related to an increase in the reserve for uncertain tax positions amounting to $(14,000) and $245,000, respectively. In addition, the Company recognized an income tax expense (benefit) resulting from adjustments to agree the prior year’s book amounts to the actual amounts per the tax returns totaling $0 and ($37,000) for the three months ended September 30, 2016 and 2015, respectively, and $535,000 and ($37,000) for the nine months ended September 30, 2016 and 2015, respectively. The Company’s effective tax rate in both years is higher than it otherwise would be primarily as a result of not recording an income tax benefit related to the U.S. net operating loss and various foreign withholding taxes. The components of earnings (loss) before income taxes and the related income tax expense by United States and foreign jurisdictions were as follows (in thousands): Three Months Ended September 30, 2016 Three Months Ended September 30, 2015 U.S. Foreign Total U.S. Foreign Total Earnings (loss) before income taxes $ ) $ $ ) $ ) $ $ Income tax expense, net $ — $ $ $ — $ $ Nine Months Ended September 30, 2016 Nine Months Ended September 30, 2015 U.S. Foreign Total U.S. Foreign Total Earnings (loss) before income taxes $ ) $ $ $ ) $ $ Income tax expense, net $ — $ $ $ — $ $ The reserve for uncertain tax positions amounted to $ 939,000 and $1,220,000 at September 30, 2016 and December 31, 2015, respectively, and is included in “Other liabilities” in the consolidated balance sheets at those dates. The Company’s policy is to record income tax related interest and penalties in income tax expense. At both September 30, 2016 and December 31, 2015, potential interest and penalties related to uncertain tax positions amounted to $500,000 and was included in the balance above. In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred tax liabilities and projected future taxable income in making this assessment. Management evaluates the need for valuation allowances on the deferred tax assets according to the provisions of ASC740, Income Taxes . They consider both positive and negative evidence. In making this determination, management assesses all of the evidence available at the time including recent earnings, internally-prepared income projections, and historical financial performance.

Business Segment Information

Business Segment Information	9 Months Ended
	Sep. 30, 2016
Business Segment Information
Business Segment Information	Note 14 — Business Segment Information The Company’s business segments reflect how executive management makes resource decisions and assesses its performance. The Company bases these decisions on the type of services provided (Project Management and Construction Claims) and secondarily by their geography (U.S./Canada, Latin America, Europe, the Middle East, Africa and Asia/Pacific). The Project Management business segment provides extensive construction and project management services to construction owners worldwide. Such services include program management, project management, construction management, project management oversight, troubled project turnaround, staff augmentation, project labor agreement consulting, commissioning, estimating and cost management, labor compliance and facilities management services. The Construction Claims business segment provides such services as claims consulting, management consulting, litigation support, expert witness testimony, cost/damages assessment, delay/disruption analysis, adjudication, lender advisory, risk management, forensic accounting, fraud investigation, Project Neutral and international arbitration services to clients worldwide. The Company evaluates the performance of its segments primarily on operating profit before corporate overhead allocations and income taxes. The following tables reflect the required disclosures for the Company’s reportable segments (in thousands): Consulting Fee Revenue (“CFR”) Three Months Ended September 30, 2016 2015 Project Management $ % $ % Construction Claims Total $ % $ % Total Revenue Three Months Ended September 30, 2016 2015 Project Management $ % $ % Construction Claims Total $ % $ % Operating Profit (Loss) by Geographic Region: Three Months Ended September 30, 2016 2015 U.S./Canada $ $ Latin America ) Europe Middle East Africa ) Asia/Pacific ) ) Corporate ) ) Total $ ) $ U.S $ $ Non - U.S. Corporate ) ) Total $ ) $ Depreciation and Amortization Expense: Three Months Ended September 30, 2016 2015 Project Management $ $ Construction Claims Subtotal segments Corporate Total $ $ Consulting Fee Revenue by Geographic Region: Three Months Ended September 30, 2016 2015 U.S./Canada $ % $ % Latin America Europe Middle East Africa Asia/Pacific Total $ % $ % U.S. $ % $ % Non-U.S. Total $ % $ % During the third quarter ended September 30, 2016, consulting fee revenue for the United Arab Emirates amounted to $25,016,000 representing 16.9% of the total. No other country other than the United States accounted for 10% or more of consolidated consulting fee revenue. During the third quarter ended September 30, 2015, consulting fee revenue for the United Arab Emirates amounted to $29,642,000 representing 18.7% of the total. No other country other than the United States accounted for 10% or more of consolidated consulting fee revenue. Total Revenue by Geographic Region: Three Months Ended September 30, 2016 2015 U.S./Canada $ % $ % Latin America Europe Middle East Africa Asia/Pacific Total $ % $ % U.S. $ % $ % Non-U.S. Total $ % $ % During the third quarter ended September 30, 2016, total revenue for the United Arab Emirates amounted to $26,359,000 representing 15.7% of the total. No other country except for the United States accounted for 10% or more of consolidated total revenue. During the third quarter ended September 30, 2015, total revenue for the United Arab Emirates amounted to $30,910,000 representing 17.3% of the total. No other country except for the United States accounted for 10% or more of consolidated total revenue. Consulting Fee Revenue By Client Type: Three Months Ended September 30, 2016 2015 U.S. federal government $ % $ % U.S. state, regional and local governments Foreign governments Private sector Total $ % $ % Total Revenue By Client Type: Three Months Ended September 30, 2016 2015 U.S. federal government $ % $ % U.S. state, regional and local governments Foreign governments Private sector Total $ % $ % Property, Plant and Equipment, Net by Geographic Location: September 30, 2016 December 31, 2015 U.S./Canada $ $ Latin America Europe Middle East Africa Asia/Pacific Total $ $ U.S. $ $ Non-U.S. Total $ $ Consulting Fee Revenue (“CFR”) Nine Months Ended September 30, 2016 2015 Project Management $ % $ % Construction Claims Total $ % $ % Total Revenue Nine Months Ended September 30, 2016 2015 Project Management $ % $ % Construction Claims Total $ % $ % Operating Profit (Loss) by Geographic Region: Nine Months Ended September 30, 2016 2015 U.S. / Canada $ $ Latin America ) Europe Middle East Africa ) Asia/Pacific ) ) Corporate ) ) Total $ $ U.S. $ $ Non - U.S. Corporate ) ) Total $ $ Depreciation and Amortization Expense: Nine Months Ended September 30, 2016 2015 Project Management $ $ Construction Claims Subtotal segments Corporate Total $ $ Consulting Fee Revenue by Geographic Region: Nine Months Ended September 30, 2016 2015 U.S./Canada $ % $ % Latin America Europe Middle East Africa Asia/Pacific Total $ % $ % U.S. $ % $ % Non-U.S. Total $ % $ % During the nine months ended September 30, 2016, consulting fee revenue for the United Arab Emirates amounted to $86,596,000 representing 18.9% of the total. No other country except the United States accounted for 10% or more of consolidated consulting fee revenue. During the nine months ended September 30, 2015, consulting fee revenue for the United Arab Emirates amounted to $83,613,000 representing 17.8% of the total. No other country except the United States accounted for 10% or more of consolidated consulting fee revenue. Total Revenue by Geographic Region: Nine Months Ended September 30, 2016 2015 U.S./Canada $ % $ % Latin America Europe Middle East Africa Asia/Pacific Total $ % $ % U.S. $ % $ % Non-U.S. Total $ % $ % During the nine months ended September 30, 2016, total revenue for the United Arab Emirates amounted to $91,082,000 representing 17.5% of the total. No other country except for the United States accounted for 10% or more of consolidated total revenue. During the nine months ended September 30, 2015, total revenue for the United Arab Emirates amounted to $85,898,000 representing 16.2% of the total. No other country except for the United States accounted for 10% or more of consolidated total revenue. Consulting Fee Revenue By Client Type: Nine Months Ended September 30, 2016 2015 U.S. federal government $ % $ % U.S. state, regional and local governments Foreign governments Private sector Total $ % $ % Total Revenue By Client Type: Nine Months Ended September 30, 2016 2015 U.S. federal government $ % $ % U.S. state, regional and local governments Foreign governments Private sector Total $ % $ %

Commitments and Contingencies

Commitments and Contingencies	9 Months Ended
	Sep. 30, 2016
Commitments and Contingencies
Commitments and Contingencies	Note 15 — Commitments and Contingencies General Litigation From time to time, the Company is a defendant or plaintiff in various legal actions which arise in the normal course of business. As such the Company is required to assess the likelihood of any adverse outcomes to these matters as well as potential ranges of probable losses. A determination of the amount of the provision required for these commitments and contingencies, if any, which would be charged to earnings, is made after careful analysis of each matter. The provision may change in the future due to new developments or changes in circumstances. Changes in the provision could increase or decrease the Company’s earnings in the period the changes are made. It is the opinion of management, after consultation with legal counsel, that the ultimate resolution of these matters will not have a material adverse effect on the Company’s financial condition, results of operations or cash flows. Acquisition-Related Contingencies As of September 30, 2016, our subsidiary, Hill International (Spain), S.A. (“Hill Spain”), owned an indirect 91% interest in Engineering S.A. (“ESA”), a firm located in Brazil. ESA’s shareholders entered into an agreement whereby the minority shareholders have a right to compel (“ESA Put Option”) Hill Spain to purchase any or all of their shares during the period from February 28, 2014 to February 28, 2021. Hill Spain also has the right to compel (“ESA Call Option”) the minority shareholders to sell any or all of their shares during the same time period. The purchase price for such shares shall be seven times the earnings before interest and taxes for ESA’s most recently ended fiscal year, net of any financial debt plus excess cash multiplied by a percentage which the shares to be purchased bear to the total number of shares outstanding at the time of purchase, but in the event the ESA Call Option is exercised by Hill Spain, the purchase price shall be increased by five percent. The ESA Put Option and the ESA Call Option must be made within three months after the audited financial statements of ESA have been completed. On June 17, 2016, the three remaining minority shareholders exercised their ESA Put Option claiming a value of BRL 8,656,000 (approximately $2,655,000 at September 30, 2016). The Company accrued the liability which is included in other current liabilities and as an adjustment to additional paid-in capital in the consolidated balance sheet at September 30, 2016. The amount is subject to negotiation and any difference will be recorded upon completion of the transaction. On October 31, 2014, our subsidiary Hill International (UK) Ltd. acquired all of the outstanding common stock of Angus Octan Scotland Ltd., which included its subsidiary companies Cadogan Consultants Ltd., Cadogan Consult Ltd. and Cadogan International Ltd. (collectively, “Cadogans”). The sellers of Cadogans are entitled to an earn-out based upon the average earnings before interest, taxes, depreciation and amortization for the two-year period ending on October 31, 2016 (which amount shall not be less than £0 or more than £200,000). The Company accrued the potential additional consideration of £200,000 ($259,000) which is included in other current liabilities in the consolidated balance sheet at September 30, 2016. Two of the selling shareholders of Cadogans may receive an earn-out in annual installments of up to £100,000 ($130,000) at September 30, 2016), which will be charged to earnings, provided that Cadogans’ EBITDA for each of the years ending October 31, 2016, 2017, 2018 and 2019 is greater than £396,000 ($513,000). Based upon preliminary results, it appears that the two shareholders will receive an earnout amounting to £100,000 ($130,000) of which £92,000 ($120,000) has been accrued and charged to earnings for the three and nine months ended September 30, 2016. In connection with the acquisition of IMS Proje Yonetimi ve Danismanlik A.S. (“IMS”) on April 15, 2015, the Company had accrued approximately TRY 1,700,000 for a potential earn out which would be payable if earnings before interest, income taxes, depreciation and amortization for the twelve month period subsequent to the closing date (“EBITDA”) exceeded TRY 3,500,000. A lesser amount would have been payable if EBITDA was between TRY 3,200,000 and TRY 3,500,000. IMS’s EBITDA through the one-year anniversary of the acquisition date was not sufficient to earn any of the Additional Purchase Price and the liability was eliminated by a credit of approximately $673,000 to selling, general and administrative expenses for the nine month period ended September 30, 2016.

Accounts Receivable (Tables)

Accounts Receivable (Tables)	9 Months Ended
	Sep. 30, 2016
Accounts Receivable
Components of accounts receivable	The components of accounts receivable are as follows (in thousands): September 30, 2016 December 31, 2015 Billed $ $ Retainage, current portion Unbilled Allowance for doubtful accounts ) ) $ $

Intangible Assets (Tables)

Intangible Assets (Tables)	9 Months Ended
	Sep. 30, 2016
Intangible Assets
Summary of acquired intangible assets	The following table summarizes the Company’s acquired intangible assets (in thousands): September 30, 2016 December 31, 2015 Gross Gross Carrying Accumulated Carrying Accumulated Amount Amortization Amount Amortization Client relationships $ $ $ Acquired contract rights Trade names Total $ $ $ $ Intangible assets, net $ $
Summary of amortization expense related to intangible assets	Amortization expense related to intangible assets was as follows (in thousands): Three Months Ended Nine Months Ended 2016 2015 2016 2015 $ $ $ $
Estimated amortization expense of intangible assets for the next five years	The following table presents the estimated amortization expense based on our present intangible assets for the next five years (in thousands): Estimated Amortization Year Ending December 31, Expense 2016 (remaining 3 months) $ 2017 2018 2019 2020

Goodwill (Tables)

Goodwill (Tables)	9 Months Ended
	Sep. 30, 2016
Goodwill
Summary of changes in the Company's carrying value of goodwill	The following table summarizes the changes in the Company’s carrying value of goodwill during 2016 (in thousands): Project Construction Total Management Claims Goodwill Balance, December 31, 2015 $ $ $ Additions — — — Translation adjustments ) Balance, September 30, 2016 $ $ $

Accounts Payable and Accrued 25

Accounts Payable and Accrued Expenses (Tables)	9 Months Ended
	Sep. 30, 2016
Accounts Payable and Accrued Expenses
Components of accounts payable and accrued expenses	Below are the components of accounts payable and accrued expenses (in thousands): September 30, 2016 December 31, 2015 Accounts payable $ $ Accrued payroll Accrued subcontractor fees Accrued agency fees Accrued legal and professional fees Other accrued expenses $ $

Notes Payable and Long-Term D26

Notes Payable and Long-Term Debt (Tables)	9 Months Ended
	Sep. 30, 2016
Notes Payable and Long-Term Debt
Summary of outstanding debt obligations	Outstanding debt obligations are as follows (in thousands): September 30, 2016 December 31, 2015 Term Loan Facility $ $ U.S. Revolving Credit Facility International Revolving Credit Facility Borrowings under revolving credit facilities with a consortium of banks in Spain Borrowing under revolving credit facility with the National Bank of Abu Dhabi — Borrowing from Philadelphia Industrial Development Corporation Other notes payable — Less current maturities Notes payable and long-term debt, net of current maturities $ $

Supplemental Cash Flow Inform27

Supplemental Cash Flow Information (Tables)	9 Months Ended
	Sep. 30, 2016
Supplemental Cash Flow Information
Schedule of additional cash flow information	The following table provides additional cash flow information (in thousands): Nine Months Ended September 30, 2016 2015 Interest and related financing fees paid $ $ Income taxes paid $ $ Increase in other current liabilities and decrease in additional paid-in capital related to ESA Put Options $ — Reduction of noncontrolling interest in connection with acquisition of an additional interest in Engineering S.A. $ — $ ) Increase in property and equipment from a tenant improvement allowance related to the relocation of the corporate headquarters $ — $ Increase in additional paid in capital from issuance of shares of common stock related to purchase of CPI $ — $ Increase in additional paid in capital from issuance of shares of common stock through cashless exercise of stock options $ $

Stockholders' Equity (Tables)

Stockholders' Equity (Tables)	9 Months Ended
	Sep. 30, 2016
Stockholders' Equity
Summary of changes in stockholders' equity	The following table summarizes the changes in stockholders’ equity during the nine months ended September 30, 2016 (in thousands): Hill International, Noncontrolling Total Inc. Stockholders Interests Stockholders’ equity, December 31, 2015 $ $ $ Net (loss) earnings ) ) Other comprehensive (loss) ) ) Comprehensive earnings (loss) ) ) ) Additional paid in capital — Cashless exercise of stock options ) ) — Adjustment related to ESA Put Options ) ) Dividends paid to noncontrolling interest ) — ) Stockholders’ equity, September 30, 2016 $ $ $

Income Taxes (Tables)

Income Taxes (Tables)	9 Months Ended
	Sep. 30, 2016
Income Taxes
Schedule of components of earnings (loss) before income taxes and the related income tax expense by United States and foreign jurisdictions	The components of earnings (loss) before income taxes and the related income tax expense by United States and foreign jurisdictions were as follows (in thousands): Three Months Ended September 30, 2016 Three Months Ended September 30, 2015 U.S. Foreign Total U.S. Foreign Total Earnings (loss) before income taxes $ ) $ $ ) $ ) $ $ Income tax expense, net $ — $ $ $ — $ $ Nine Months Ended September 30, 2016 Nine Months Ended September 30, 2015 U.S. Foreign Total U.S. Foreign Total Earnings (loss) before income taxes $ ) $ $ $ ) $ $ Income tax expense, net $ — $ $ $ — $ $

Business Segment Information (T

Business Segment Information (Tables)	9 Months Ended
	Sep. 30, 2016
Business Segment Information
Consulting Fee Revenue and Total Revenue	The following tables reflect the required disclosures for the Company’s reportable segments (in thousands): Consulting Fee Revenue (“CFR”) Three Months Ended September 30, 2016 2015 Project Management $ % $ % Construction Claims Total $ % $ % Total Revenue Three Months Ended September 30, 2016 2015 Project Management $ % $ % Construction Claims Total $ % $ % Consulting Fee Revenue (“CFR”) Nine Months Ended September 30, 2016 2015 Project Management $ % $ % Construction Claims Total $ % $ % Total Revenue Nine Months Ended September 30, 2016 2015 Project Management $ % $ % Construction Claims Total $ % $ %
Operating Profit	The following tables reflect the required disclosures for the Company’s reportable segments (in thousands): Operating Profit (Loss) by Geographic Region: Three Months Ended September 30, 2016 2015 U.S./Canada $ $ Latin America ) Europe Middle East Africa ) Asia/Pacific ) ) Corporate ) ) Total $ ) $ U.S $ $ Non - U.S. Corporate ) ) Total $ ) $ Operating Profit (Loss) by Geographic Region: Nine Months Ended September 30, 2016 2015 U.S. / Canada $ $ Latin America ) Europe Middle East Africa ) Asia/Pacific ) ) Corporate ) ) Total $ $ U.S. $ $ Non - U.S. Corporate ) ) Total $ $
Depreciation and Amortization Expense	The following tables reflect the required disclosures for the Company’s reportable segments (in thousands): Depreciation and Amortization Expense: Three Months Ended September 30, 2016 2015 Project Management $ $ Construction Claims Subtotal segments Corporate Total $ $ Depreciation and Amortization Expense: Nine Months Ended September 30, 2016 2015 Project Management $ $ Construction Claims Subtotal segments Corporate Total $ $
Consulting Fee Revenue and Total Revenue by Geographic Region	The following tables reflect the required disclosures for the Company’s reportable segments (in thousands): Consulting Fee Revenue by Geographic Region: Three Months Ended September 30, 2016 2015 U.S./Canada $ % $ % Latin America Europe Middle East Africa Asia/Pacific Total $ % $ % U.S. $ % $ % Non-U.S. Total $ % $ % Total Revenue by Geographic Region: Three Months Ended September 30, 2016 2015 U.S./Canada $ % $ % Latin America Europe Middle East Africa Asia/Pacific Total $ % $ % U.S. $ % $ % Non-U.S. Total $ % $ % Consulting Fee Revenue by Geographic Region: Nine Months Ended September 30, 2016 2015 U.S./Canada $ % $ % Latin America Europe Middle East Africa Asia/Pacific Total $ % $ % U.S. $ % $ % Non-U.S. Total $ % $ % Total Revenue by Geographic Region: Nine Months Ended September 30, 2016 2015 U.S./Canada $ % $ % Latin America Europe Middle East Africa Asia/Pacific Total $ % $ % U.S. $ % $ % Non-U.S. Total $ % $ %
Consulting Fee Revenue and Total Revenue By Client Type	The following tables reflect the required disclosures for the Company’s reportable segments (in thousands): Consulting Fee Revenue By Client Type: Three Months Ended September 30, 2016 2015 U.S. federal government $ % $ % U.S. state, regional and local governments Foreign governments Private sector Total $ % $ % Total Revenue By Client Type: Three Months Ended September 30, 2016 2015 U.S. federal government $ % $ % U.S. state, regional and local governments Foreign governments Private sector Total $ % $ % Consulting Fee Revenue By Client Type: Nine Months Ended September 30, 2016 2015 U.S. federal government $ % $ % U.S. state, regional and local governments Foreign governments Private sector Total $ % $ % Total Revenue By Client Type: Nine Months Ended September 30, 2016 2015 U.S. federal government $ % $ % U.S. state, regional and local governments Foreign governments Private sector Total $ % $ %
Property, Plant and Equipment, Net by Geographic Location	The following tables reflect the required disclosures for the Company’s reportable segments (in thousands): Property, Plant and Equipment, Net by Geographic Location: September 30, 2016 December 31, 2015 U.S./Canada $ $ Latin America Europe Middle East Africa Asia/Pacific Total $ $ U.S. $ $ Non-U.S. Total $ $

The Company (Details)

The Company (Details)	9 Months Ended
	Sep. 30, 2016division
The Company
Number of key operating divisions	2

Liquidity (Details)

Liquidity (Details)	3 Months Ended		9 Months Ended		12 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2011
Consulting fee revenue (as a percent)	100.00%	100.00%	100.00%	100.00%
Middle East and Africa
Consulting fee revenue (as a percent)			49.00%		32.00%

Accounts Receivable - Component

Accounts Receivable - Components of Accounts Receivable (Details) - USD ($)	Sep. 30, 2016	Dec. 31, 2015
Components of accounts receivable
Billed	$ 256,840,000	$ 267,592,000
Retainage, current portion	9,763,000	13,660,000
Unbilled	35,551,000	25,913,000
Accounts receivable, gross	302,154,000	307,165,000
Allowance for doubtful accounts	(72,262,000)	(63,748,000)
Total	229,892,000	$ 243,417,000
Billed change orders, claims and disputes	14,926,000
Unbilled change orders, claims and disputes	$ 4,827,000

Accounts Receivable - General (

Accounts Receivable - General (Details) - USD ($)	1 Months Ended							9 Months Ended
	Nov. 30, 2016	Oct. 31, 2016	Jun. 30, 2016	Apr. 30, 2016	Mar. 31, 2016	Dec. 31, 2015	Oct. 31, 2014	Sep. 30, 2016	Sep. 30, 2015
Accounts Receivable
Reserve for bad debts								$ 11,879,000	$ 2,540,000
MOTC
Accounts Receivable
Extension period for the completion of the project						18 months	12 months
Collection amount applied to receivables	$ 7,900,000	$ 3,200,000	$ 14,100,000	$ 1,800,000	$ 15,000,000
Accounts receivable								29,500,000
Accounts receivable, past due	$ 7,900,000
Retainage receivable included in non-current Retainage Receivable								16,100,000
Retention amount								8,000,000
Amount of retainage receivable relating to Defect and Liability Period								$ 8,100,000
Percentage of monthly invoice retained								5.00%
Percentage of retention released after one year from commencement of DLP								50.00%
Period after commencement of DLP for release of retention								1 year
Maximum period of DLP								24 months

Accounts Receivable - Retainage

Accounts Receivable - Retainage Receivable (Details) - USD ($)	1 Months Ended							9 Months Ended
	Nov. 30, 2016	Oct. 31, 2016	Jun. 30, 2016	Apr. 30, 2016	Mar. 31, 2016	Dec. 31, 2015	Oct. 31, 2014	Sep. 30, 2016	Sep. 30, 2015
Accounts Receivable
Reserve for bad debts								$ 11,879,000	$ 2,540,000
MOTC
Accounts Receivable
Extension period for the completion of the project						18 months	12 months
Collection amount applied to receivables	$ 7,900,000	$ 3,200,000	$ 14,100,000	$ 1,800,000	$ 15,000,000
Accounts receivable								$ 29,500,000
Accounts receivable, past due	$ 7,900,000

Intangible Assets - Acquired (D

Intangible Assets - Acquired (Details) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Summary of acquired intangible assets
Gross Carrying Amount	$ 39,168	$ 49,851
Accumulated Amortization	27,608	35,192
Intangible assets, net	11,560	14,659
Client relationships
Summary of acquired intangible assets
Gross Carrying Amount	34,116	34,891
Accumulated Amortization	24,147	22,668
Acquired contract rights
Summary of acquired intangible assets
Gross Carrying Amount	2,278	12,256
Accumulated Amortization	2,011	11,287
Trade names
Summary of acquired intangible assets
Gross Carrying Amount	2,774	2,704
Accumulated Amortization	$ 1,450	$ 1,237

Intangible Assets - Amortizatio

Intangible Assets - Amortization Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Intangible Assets
Amortization expense related to intangible assets	$ 1,013	$ 1,578	$ 3,450	$ 4,609
Estimated amortization expense of intangible assets for the next five years
2016 (remaining 3 months)	903		903
2,017	3,144		3,144
2,018	2,051		2,051
2,019	1,782		1,782
2,020	$ 1,286		$ 1,286

Goodwill (Details)

Goodwill (Details) $ in Thousands	9 Months Ended
	Sep. 30, 2016USD ($)
Summary of changes in carrying value of goodwill during 2016
Balance at the beginning of the period	$ 74,893
Translation adjustments	1,006
Balance at the end of the period	75,899
Project Management
Summary of changes in carrying value of goodwill during 2016
Balance at the beginning of the period	49,739
Translation adjustments	2,578
Balance at the end of the period	52,317
Construction Claims
Summary of changes in carrying value of goodwill during 2016
Balance at the beginning of the period	25,154
Translation adjustments	(1,572)
Balance at the end of the period	$ 23,582

Accounts Payable and Accrued 39

Accounts Payable and Accrued Expenses (Details) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Components of accounts payable and accrued expenses
Accounts payable	$ 36,884	$ 44,200
Accrued payroll	48,379	50,724
Accrued subcontractor fees	7,831	5,905
Accrued agency fees	2,285	6,564
Accrued legal and professional fees	5,336	1,186
Other accrued expenses	5,110	3,878
Accounts payable and accrued expenses, net	$ 105,825	$ 112,457

Notes Payable and Long-Term D40

Notes Payable and Long-Term Debt - Summary of Outstanding Debt Obligations (Details) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Summary of outstanding debt obligations
Long-term Debt, Total	$ 153,955	$ 144,983
Less current maturities	7,316	4,357
Notes payable and long-term debt, net of current maturities	146,639	140,626
Term loan
Summary of outstanding debt obligations
Long-term Debt, Total	112,890	112,906
Term loan | Philadelphia Industrial Development Corporation
Summary of outstanding debt obligations
Long-term Debt, Total	669	710
Revolving credit facility | U.S. Revolving Credit Facility
Summary of outstanding debt obligations
Long-term Debt, Total	22,500	17,500
Revolving credit facility | International Revolving Credit Facility
Summary of outstanding debt obligations
Long-term Debt, Total	11,836	10,715
Revolving credit facility | Consortium of banks in Spain
Summary of outstanding debt obligations
Long-term Debt, Total	3,062	3,013
Revolving credit facility | National Bank of Abu Dhabi
Summary of outstanding debt obligations
Long-term Debt, Total	$ 2,998
Other notes payable
Summary of outstanding debt obligations
Long-term Debt, Total		$ 139

Notes Payable and Long-Term D41

Notes Payable and Long-Term Debt - Term Loan Facilities and Revolving Credit Facilities (Details)	Sep. 26, 2014EUR (€)	Dec. 31, 2016USD ($)	Sep. 30, 2016EUR (€)	Nov. 01, 2016	Sep. 30, 2016USD ($)	Dec. 31, 2015USD ($)	Sep. 26, 2014USD ($)
Other Foreign Banks
Notes Payable and Long-Term Debt
Maximum borrowing capacity					$ 89,237,000
US Dollar Revolver
Notes Payable and Long-Term Debt
Effective interest rate (as a percent)			6.25%
US Dollar Revolver | LIBOR
Notes Payable and Long-Term Debt
Basis of effective interest rate (as a percent)	3.75%
US Dollar Revolver | Base Rate
Notes Payable and Long-Term Debt
Basis of effective interest rate (as a percent)	2.75%
International Revolver
Notes Payable and Long-Term Debt
Effective interest rate (as a percent)			3.63%
International Revolver | EURIBOR
Notes Payable and Long-Term Debt
Basis of effective interest rate (as a percent)	4.00%
Secured Credit Facilities
Notes Payable and Long-Term Debt
Cash excluded from consolidated net leverage ratio							$ 10,000,000
Debt instrument increase in applicable interest rate for exceeding the consolidated net leverage ratio, as a percent	2.00%
Debt instrument increase in applicable interest rate for past due account receivable limit exceeded	2.00%						2.00%
Actual net consolidated leverage ratio			3.19
Consolidated net leverage ratio limit			2.75
Waiver of increase in applicable interest rate for past due account receivable limit exceeded				2.00%
Increase in applicable interest rate upon default (as a percent)	2.00%
Secured Credit Facilities | Forecast
Notes Payable and Long-Term Debt
Consent fee for default and increase in interest rate of debt		$ 168,000
Term loan
Notes Payable and Long-Term Debt
Aggregate principal amount							$ 120,000,000
Effective interest rate (as a percent)			7.75%
Mandatory prepayment percentage of the excess cash flow for each fiscal year with the first full fiscal year upon the achievement and maintenance of certain metrics	50.00%
Mandatory prepayment percentage of the excess cash flow for each fiscal year with the first full fiscal year upon the achievement net leverage ration is equal to or less than 2.25	25.00%
Consolidated net leverage limit for mandatory prepayment percentage of 25%	2.25
Mandatory prepayment percentage of the excess cash flow for each fiscal year with the first full fiscal year upon the achievement net leverage ration is equal to or less than 1.50	0.00%
Consolidated net leverage limit for mandatory prepayment percentage of 0%	1.50
Term of debt	6 years
Quarterly principal payment, percentage	0.25%						0.25%
Deferred financing fees							$ 7,066,000
Debt issuance costs amortization term	6 years
Unamortized balances of expenses and fees					4,710,000	$ 5,594,000
Term loan | LIBOR
Notes Payable and Long-Term Debt
Basis of effective interest rate (as a percent)	6.75%
Term loan | LIBOR | Minimum
Notes Payable and Long-Term Debt
Interest rate (as a percent)	1.00%						1.00%
Term loan | One Month LIBOR
Notes Payable and Long-Term Debt
Basis of effective interest rate (as a percent)	1.00%
Term loan | One Month LIBOR | Minimum
Notes Payable and Long-Term Debt
Interest rate (as a percent)	1.00%						1.00%
Term loan | Base Rate
Notes Payable and Long-Term Debt
Basis of effective interest rate (as a percent)	5.75%
Term loan | Federal Funds effective rate
Notes Payable and Long-Term Debt
Basis of effective interest rate (as a percent)	0.50%
Revolving credit facility
Notes Payable and Long-Term Debt
Term of debt	5 years
Deferred financing fees							$ 3,000,000
Debt issuance costs amortization term	5 years
Revolving credit facility | US Dollar Revolver
Notes Payable and Long-Term Debt
Maximum borrowing capacity					30,000,000		30,000,000
Unused facility commitment fees percentage	0.50%
Percentage of eligible receivables that are subject to a perfected security interest which are used in calculation of borrowing base	85.00%
Revolving credit facility | International Revolver
Notes Payable and Long-Term Debt
Maximum borrowing capacity	€ 11,765,000		€ 11,765,000		13,199,000		15,000,000
Unused facility commitment fees percentage	0.75%
Percentage of eligible receivables that are subject to a perfected security interest which are used in calculation of borrowing base	85.00%
Percentage of eligible receivables that are not subject to a perfected security interest which are used in calculation of borrowing base	10.00%
Revolving credit facility | International Revolver | Other Foreign Banks | Foreign credit agreements
Notes Payable and Long-Term Debt
Amounts outstanding					1,008,000
Available borrowing capacity					1,218,000
Revolving credit facility | Other Assets
Notes Payable and Long-Term Debt
Unamortized balances of expenses and fees					1,800,000	$ 2,250,000
Letters of credit | US Dollar Revolver
Notes Payable and Long-Term Debt
Maximum borrowing capacity							25,000,000
Amounts outstanding					5,006,000
Available borrowing capacity					$ 2,494,000
Letters of credit | International Revolver
Notes Payable and Long-Term Debt
Maximum borrowing capacity							$ 10,000,000
Non Permitted Country | Secured Credit Facilities | Maximum
Notes Payable and Long-Term Debt
Percentage of receivables more than 120 days old	10.00%						10.00%
United Arab Emirates | Secured Credit Facilities | Maximum
Notes Payable and Long-Term Debt
Percentage of receivables more than 120 days old	14.00%						14.00%

Notes Payable and Long-Term D42

Notes Payable and Long-Term Debt - Hill Spain (Details)	9 Months Ended
	Sep. 30, 2016USD ($)item	Sep. 30, 2016EUR (€)installment	Sep. 30, 2016USD ($)installment	Dec. 31, 2015EUR (€)	Dec. 31, 2015USD ($)	Sep. 26, 2014USD ($)
Description of terms of credit agreement
Total debt			$ 153,955,000		$ 144,983,000
Revolving credit facility | Consortium of banks in Spain
Description of terms of credit agreement
Total debt			3,062,000		3,013,000
Term loan
Description of terms of credit agreement
Aggregate principal amount						$ 120,000,000
Total debt			112,890,000		112,906,000
Term loan | Philadelphia Industrial Development Corporation
Description of terms of credit agreement
Aggregate principal amount			$ 750,000
Interest rate (as a percent)		2.75%	2.75%
Number of installments | installment		144	144
Amount payable in each installment	$ 6,121
Total debt			$ 669,000		$ 710,000
Hill Spain | Revolving credit facility | Consortium of banks in Spain
Description of terms of credit agreement
Number of banks involved in revolving credit facility | item	6
Interest rate (as a percent)		6.50%	6.50%
Reduction in maximum available amount percentage				50.00%	50.00%
Borrowing capacity		€ 2,670,000	$ 2,996,000	€ 5,640,000
Total debt		2,669,000	2,995,000
Hill Spain | Revolving credit facility | Consortium of banks in Spain | Minimum
Description of terms of credit agreement
Total amount being financed by Financing Entity		189,000	213,000
Hill Spain | Revolving credit facility | Consortium of banks in Spain | Maximum
Description of terms of credit agreement
Total amount being financed by Financing Entity		€ 769,000	$ 863,000

Notes Payable and Long-Term D43

Notes Payable and Long-Term Debt - Other Debt Arrangements (Details)	Sep. 26, 2014	Sep. 30, 2016AEDitemloanfacility	Sep. 30, 2016BRL	Sep. 30, 2016EUR (€)	Sep. 30, 2016USD ($)
Other Foreign Banks
Description of terms of credit agreement
Maximum borrowing capacity					$ 89,237,000
Letters of credit outstanding					40,362,000
Revolving credit facility
Description of terms of credit agreement
Term of debt	5 years
Line of credit | National Bank of Abu Dhabi
Description of terms of credit agreement
Maximum borrowing capacity		AED 11,500,000			3,131,000
Amounts outstanding		AED 11,012,000			$ 2,998,000
Line of credit | National Bank of Abu Dhabi | Emirates InterBank Offered Rate
Description of terms of credit agreement
Reference rate		one-month Emirate Interbank Offered Rate
Basis of effective interest rate (as a percent)		3.00%
Effective interest rate (as a percent)		4.41%
Line of credit | National Bank of Abu Dhabi | Emirates InterBank Offered Rate | Minimum
Description of terms of credit agreement
Interest rate (as a percent)		5.50%	5.50%	5.50%	5.50%
Letters of credit | National Bank of Abu Dhabi
Description of terms of credit agreement
Maximum borrowing capacity		AED 200,000,000			$ 54,452,000
Amounts outstanding		AED 135,080,000			36,777,000
Hill Spain | ICO loan | Bankia Bank
Description of terms of credit agreement
Maximum borrowing capacity				€ 60,000	67,000
Decrease in amount on quarterly basis | €				15,000
Amounts outstanding				€ 60,000	$ 67,000
Interest rate (as a percent)		6.50%	6.50%	6.50%	6.50%
Engineering S.A. | Revolving credit facility
Description of terms of credit agreement
Maximum borrowing capacity			BRL 2,380,000		$ 730,000
Amounts outstanding					$ 0
Number of revolving credit lines maintained by Engineering S.A. | item		4
Number of banks involved in revolving credit facility | loanfacility		2
Weighted average interest rate (as a percent)		5.09%	5.09%	5.09%	5.09%
Period of automatic renewal		3 months

Supplemental Cash Flow Inform44

Supplemental Cash Flow Information (Details) - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015
Summary of additional cash flow information
Interest and related financing fees paid	$ 8,915	$ 9,067
Income taxes paid	9,435	4,242
Increase in property and equipment from a tenant improvement allowance related to the relocation of the corporate headquarters		3,894
Increase in additional paid in capital from issuance of shares of common stock through cashless exercise of stock options	729
Additional Paid in Capital
Summary of additional cash flow information
Increase in additional paid in capital from issuance of shares of common stock through cashless exercise of stock options	729	361
Engineering S.A.
Summary of additional cash flow information
Reduction of noncontrolling interest in connection with acquisition of an additional interest in Engineering S.A.		(4,374)
Engineering S.A. | Additional Paid in Capital
Summary of additional cash flow information
Increase in other current liabilities and decrease in additional paid-in capital related to ESA Put Options	$ 2,670
CPI | Additional Paid in Capital
Summary of additional cash flow information
Increase in additional paid in capital from issuance of shares of common stock related to purchase of CPI		$ 530

Earnings per Share (Details)

Earnings per Share (Details) - shares	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Earnings per Share
Dilutive stock options (in shares)		684,000		613,000
Total number of shares excluded from diluted earnings per common share	6,480,000	3,208,000	6,478,000	3,773,000

Share-Based Compensation (Detai

Share-Based Compensation (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Share-Based Compensation
Aggregate fair value of options granted (in dollars)			$ 1,075,000
Share-based compensation expense recognized (in dollars)	$ 581,000	$ 899,000	$ 1,838,000	$ 2,360,000
Weighted average assumptions used to estimate the fair value of options granted
Average expected life			4 years 11 months 19 days
Volatility (as a percent)			57.40%
Weighted average risk-free interest rate (as a percent)			1.24%
Weighted average exercise price of $4.10
Share-Based Compensation
Options outstanding (in shares)	6,932,000		6,932,000
Weighted average exercise price of outstanding options (in dollars per share)	$ 4.10		$ 4.10
Weighted average exercise price of $4.30
Share-Based Compensation
Weighted average exercise price of options granted (in dollars per share)			$ 4.30
Weighted-average contractual life of options granted			6 years 11 months 19 days
Weighted average exercise price of $2.62
Share-Based Compensation
Options exercised (in shares)			369,000
Weighted average exercise price of options exercised (in dollars per share)			$ 2.62
Weighted average exercise price of $6.86
Share-Based Compensation
Options lapsed (in shares)			1,104,000
Weighted average exercise price of options lapsed (in dollars per share)			$ 6.86
Weighted average exercise price of $4.24
Share-Based Compensation
Options forfeited (in shares)			82,000
Weighted average exercise price of options forfeited (in dollars per share)			$ 4.24
2008 Employee Stock Purchase Plan
Share-Based Compensation
Shares purchased			19,000
Aggregate purchase price			$ 65,000
Options vesting over a five-year period | Weighted average exercise price of $4.30
Share-Based Compensation
Options granted (in shares)			765,000
Award vesting period			5 years
Options vested immediately | Weighted average exercise price of $4.30
Share-Based Compensation
Options granted (in shares)			10,101

Stockholders' Equity (Details)

Stockholders' Equity (Details) - USD ($)	1 Months Ended	3 Months Ended		9 Months Ended
	Mar. 31, 2016	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Increase (decrease) in stockholders' equity
Balance at the beginning of the period				$ 118,039,000
Net (loss) earnings		$ (6,755,000)	$ 3,336,000	(3,824,000)	$ 8,720,000
Other comprehensive (loss)				(1,122,000)
Comprehensive earnings (loss)				(4,946,000)
Additional paid in capital				2,851,000
Cashless exercise of stock options				(729,000)
Adjustment related to ESA Put Options				(2,670,000)
Dividends paid to noncontrolling interest				(111,000)	$ (130,000)
Balance at the end of period		112,434,000		112,434,000
Other disclosures
Cash proceeds from the exercise of stock options				220,000
Hill International, Inc. Stockholders
Increase (decrease) in stockholders' equity
Balance at the beginning of the period				113,969,000
Net (loss) earnings				(3,926,000)
Other comprehensive (loss)				203,000
Comprehensive earnings (loss)				(3,723,000)
Additional paid in capital				2,851,000
Cashless exercise of stock options				(729,000)
Adjustment related to ESA Put Options				(2,670,000)
Balance at the end of period		109,698,000		109,698,000
Noncontrolling Interests
Increase (decrease) in stockholders' equity
Balance at the beginning of the period				4,070,000
Net (loss) earnings				102,000
Other comprehensive (loss)				(1,325,000)
Comprehensive earnings (loss)				(1,223,000)
Dividends paid to noncontrolling interest				(111,000)
Balance at the end of period		$ 2,736,000		$ 2,736,000
Officers
Increase (decrease) in stockholders' equity
Cashless exercise of stock options	297,489
Other disclosures
Options exercised (in shares)	297,489
Weighted average exercise price of options exercised (in dollars per share)	$ 2.45
Withheld shares as payment for the options (in shares)	215,158
Shares received from transaction	112,331

Income Taxes (Details)

Income Taxes (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015	Dec. 31, 2015
Income Taxes
Effective income tax rate (as a percent)	(74.30%)	55.80%	222.80%	47.80%
Increase in reserve for uncertain tax positions	$ 0	$ 0	$ 14,000
Decrease in reserve for uncertain tax positions				$ 245,000
Decrease in reserve due to tax positions taken in foreign jurisdictions				(245,000)
Income tax expense (benefit) resulting from adjustments	0	(37,000)	535,000	(37,000)
Components of earnings (loss) before income taxes
Earnings (loss) before income taxes	(3,875,000)	7,546,000	3,115,000	16,700,000
Income tax expense, net	2,880,000	4,210,000	6,939,000	7,980,000
Potential interest and penalties related to uncertain tax positions	500,000		500,000		$ 500,000
Other liabilities
Components of earnings (loss) before income taxes
Reserve for uncertain tax positions	939,000		939,000		$ 1,220,000
U.S.
Components of earnings (loss) before income taxes
Earnings (loss) before income taxes	(7,316,000)	(2,541,000)	(20,805,000)	(22,529,000)
Foreign
Components of earnings (loss) before income taxes
Earnings (loss) before income taxes	3,441,000	10,087,000	23,920,000	39,229,000
Income tax expense, net	$ 2,880,000	$ 4,210,000	$ 6,939,000	$ 7,980,000

Business Segment Information -

Business Segment Information - Revenue (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Revenue
Consulting Fee Revenue	$ 147,993	$ 158,579	$ 457,912	$ 469,458
Consulting fee revenue (as a percent)	100.00%	100.00%	100.00%	100.00%
Total Revenue	$ 167,953	$ 178,935	$ 519,763	$ 530,851
Total revenue (as a percent)	100.00%	100.00%	100.00%	100.00%
Project Management
Revenue
Consulting Fee Revenue	$ 106,868	$ 116,541	$ 333,573	$ 345,122
Consulting fee revenue (as a percent)	72.20%	73.50%	72.80%	73.50%
Total Revenue	$ 125,872	$ 135,539	$ 392,087	$ 402,586
Total revenue (as a percent)	74.90%	75.70%	75.40%	75.80%
Construction Claims
Revenue
Consulting Fee Revenue	$ 41,125	$ 42,038	$ 124,339	$ 124,336
Consulting fee revenue (as a percent)	27.80%	26.50%	27.20%	26.50%
Total Revenue	$ 42,081	$ 43,396	$ 127,676	$ 128,265
Total revenue (as a percent)	25.10%	24.30%	24.60%	24.20%

Business Segment Information 50

Business Segment Information - Operating Profit (Loss) by Geographic Region (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Operating Profit (Loss) by Geographic Region:
Operating profit	$ (507)	$ 11,693	$ 13,218	$ 27,952
U.S./Canada
Operating Profit (Loss) by Geographic Region:
Operating profit	6,546	5,939	16,266	13,158
Latin America
Operating Profit (Loss) by Geographic Region:
Operating profit	(238)	531	(769)	262
Europe
Operating Profit (Loss) by Geographic Region:
Operating profit	13	2,105	1,987	1,028
Middle East
Operating Profit (Loss) by Geographic Region:
Operating profit	4,165	11,935	23,201	41,130
Africa
Operating Profit (Loss) by Geographic Region:
Operating profit	1,023	(398)	1,910	(158)
Asia/Pacific
Operating Profit (Loss) by Geographic Region:
Operating profit	(1,466)	(105)	(1,515)	(830)
U.S.
Operating Profit (Loss) by Geographic Region:
Operating profit	6,297	5,686	15,603	12,336
Non - U.S.
Operating Profit (Loss) by Geographic Region:
Operating profit	3,746	14,321	25,477	42,254
Corporate
Operating Profit (Loss) by Geographic Region:
Operating profit	$ (10,550)	$ (8,314)	$ (27,862)	$ (26,638)

Business Segment Information 51

Business Segment Information - Depreciation and Amortization Expense (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Depreciation and Amortization Expense:
Depreciation and amortization expense	$ 2,505	$ 2,863	$ 7,705	$ 8,286
Operating segment
Depreciation and Amortization Expense:
Depreciation and amortization expense	2,351	2,711	7,242	7,986
Operating segment | Project Management
Depreciation and Amortization Expense:
Depreciation and amortization expense	1,646	1,924	5,038	5,637
Operating segment | Construction Claims
Depreciation and Amortization Expense:
Depreciation and amortization expense	705	787	2,204	2,349
Corporate
Depreciation and Amortization Expense:
Depreciation and amortization expense	$ 154	$ 152	$ 463	$ 300

Business Segment Information 52

Business Segment Information - Revenue by Geographic Region (Details) - USD ($)	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Consulting Fee Revenue and Total Revenue by Geographic Region:
Consulting Fee Revenue	$ 147,993,000	$ 158,579,000	$ 457,912,000	$ 469,458,000
Consulting fee revenue (as a percent)	100.00%	100.00%	100.00%	100.00%
Total Revenue	$ 167,953,000	$ 178,935,000	$ 519,763,000	$ 530,851,000
Total revenue (as a percent)	100.00%	100.00%	100.00%	100.00%
U.S./Canada
Consulting Fee Revenue and Total Revenue by Geographic Region:
Consulting Fee Revenue	$ 42,756,000	$ 38,569,000	$ 123,416,000	$ 113,735,000
Consulting fee revenue (as a percent)	28.90%	24.30%	27.00%	24.20%
Total Revenue	$ 57,687,000	$ 53,554,000	$ 170,027,000	$ 159,169,000
Total revenue (as a percent)	34.30%	29.90%	32.70%	30.00%
Latin America
Consulting Fee Revenue and Total Revenue by Geographic Region:
Consulting Fee Revenue	$ 5,832,000	$ 8,347,000	$ 17,728,000	$ 23,011,000
Consulting fee revenue (as a percent)	3.90%	5.30%	3.90%	4.90%
Total Revenue	$ 5,867,000	$ 8,398,000	$ 17,831,000	$ 23,092,000
Total revenue (as a percent)	3.50%	4.70%	3.40%	4.30%
Europe
Consulting Fee Revenue and Total Revenue by Geographic Region:
Consulting Fee Revenue	$ 20,953,000	$ 23,476,000	$ 64,555,000	$ 64,905,000
Consulting fee revenue (as a percent)	14.20%	14.80%	14.10%	13.80%
Total Revenue	$ 21,978,000	$ 24,814,000	$ 67,347,000	$ 68,534,000
Total revenue (as a percent)	13.10%	13.90%	13.00%	12.90%
Middle East
Consulting Fee Revenue and Total Revenue by Geographic Region:
Consulting Fee Revenue	$ 62,609,000	$ 72,441,000	$ 205,385,000	$ 222,572,000
Consulting fee revenue (as a percent)	42.30%	45.70%	44.90%	47.50%
Total Revenue	$ 65,617,000	$ 75,320,000	$ 214,750,000	$ 231,314,000
Total revenue (as a percent)	39.10%	42.10%	41.30%	43.60%
Africa
Consulting Fee Revenue and Total Revenue by Geographic Region:
Consulting Fee Revenue	$ 7,201,000	$ 7,225,000	$ 20,950,000	$ 21,329,000
Consulting fee revenue (as a percent)	4.90%	4.50%	4.60%	4.50%
Total Revenue	$ 8,076,000	$ 8,205,000	$ 23,706,000	$ 24,444,000
Total revenue (as a percent)	4.80%	4.60%	4.60%	4.60%
Asia/Pacific
Consulting Fee Revenue and Total Revenue by Geographic Region:
Consulting Fee Revenue	$ 8,642,000	$ 8,521,000	$ 25,878,000	$ 23,906,000
Consulting fee revenue (as a percent)	5.80%	5.40%	5.50%	5.10%
Total Revenue	$ 8,728,000	$ 8,644,000	$ 26,102,000	$ 24,298,000
Total revenue (as a percent)	5.20%	4.80%	5.00%	4.60%
U.S.
Consulting Fee Revenue and Total Revenue by Geographic Region:
Consulting Fee Revenue	$ 42,000,000	$ 37,854,000	$ 121,287,000	$ 111,436,000
Consulting fee revenue (as a percent)	28.40%	23.90%	26.50%	23.70%
Total Revenue	$ 56,920,000	$ 52,774,000	$ 167,819,000	$ 156,715,000
Total revenue (as a percent)	33.90%	29.50%	32.30%	29.50%
Non - U.S.
Consulting Fee Revenue and Total Revenue by Geographic Region:
Consulting Fee Revenue	$ 105,993,000	$ 120,725,000	$ 336,625,000	$ 358,022,000
Consulting fee revenue (as a percent)	71.60%	76.10%	73.50%	76.30%
Total Revenue	$ 111,033,000	$ 126,161,000	$ 351,944,000	$ 374,136,000
Total revenue (as a percent)	66.10%	70.50%	67.70%	70.50%
United Arab Emirates
Consulting Fee Revenue and Total Revenue by Geographic Region:
Consulting Fee Revenue	$ 25,016,000	$ 29,642,000	$ 86,596,000	$ 83,613,000
Consulting fee revenue (as a percent)	16.90%	18.70%	18.90%	17.80%
Total Revenue	$ 26,359,000	$ 30,910,000	$ 91,082,000	$ 85,898,000
Total revenue (as a percent)	15.70%	17.30%	17.50%	16.20%

Business Segment Information 53

Business Segment Information - Revenue by Client Type (Details) - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2016	Sep. 30, 2015	Sep. 30, 2016	Sep. 30, 2015
Consulting Fee Revenue and Total Revenue By Client Type:
Consulting Fee Revenue	$ 147,993	$ 158,579	$ 457,912	$ 469,458
Consulting fee revenue (as a percent)	100.00%	100.00%	100.00%	100.00%
Total Revenue	$ 167,953	$ 178,935	$ 519,763	$ 530,851
Total revenue (as a percent)	100.00%	100.00%	100.00%	100.00%
U.S. federal government
Consulting Fee Revenue and Total Revenue By Client Type:
Consulting Fee Revenue	$ 2,382	$ 2,295	$ 7,252	$ 7,061
Consulting fee revenue (as a percent)	1.60%	1.40%	1.60%	1.50%
Total Revenue	$ 3,088	$ 2,802	$ 8,809	$ 8,651
Total revenue (as a percent)	1.80%	1.60%	1.70%	1.60%
U.S. state, regional and local governments
Consulting Fee Revenue and Total Revenue By Client Type:
Consulting Fee Revenue	$ 26,540	$ 21,630	$ 74,663	$ 63,921
Consulting fee revenue (as a percent)	17.90%	13.60%	16.30%	13.60%
Total Revenue	$ 41,553	$ 34,793	$ 117,369	$ 101,402
Total revenue (as a percent)	24.70%	19.40%	22.60%	19.10%
Foreign governments
Consulting Fee Revenue and Total Revenue By Client Type:
Consulting Fee Revenue	$ 41,971	$ 51,136	$ 139,499	$ 160,694
Consulting fee revenue (as a percent)	28.40%	32.30%	30.50%	34.20%
Total Revenue	$ 45,450	$ 54,578	$ 150,010	$ 171,615
Total revenue (as a percent)	27.10%	30.50%	28.90%	32.40%
Private sector
Consulting Fee Revenue and Total Revenue By Client Type:
Consulting Fee Revenue	$ 77,100	$ 83,518	$ 236,498	$ 237,782
Consulting fee revenue (as a percent)	52.10%	52.70%	51.60%	50.70%
Total Revenue	$ 77,862	$ 86,762	$ 243,575	$ 249,183
Total revenue (as a percent)	46.40%	48.50%	46.80%	46.90%

Business Segment Information 54

Business Segment Information - Property, Plant and Equipment, Net by Geographic Location (Details) - USD ($) $ in Thousands	Sep. 30, 2016	Dec. 31, 2015
Property, Plant and Equipment, Net by Geographic Location:
Property, Plant and Equipment, Net by Geographic Location	$ 22,307	$ 23,751
U.S./Canada
Property, Plant and Equipment, Net by Geographic Location:
Property, Plant and Equipment, Net by Geographic Location	13,388	13,581
Latin America
Property, Plant and Equipment, Net by Geographic Location:
Property, Plant and Equipment, Net by Geographic Location	991	1,031
Europe
Property, Plant and Equipment, Net by Geographic Location:
Property, Plant and Equipment, Net by Geographic Location	2,943	3,084
Middle East
Property, Plant and Equipment, Net by Geographic Location:
Property, Plant and Equipment, Net by Geographic Location	3,394	3,980
Africa
Property, Plant and Equipment, Net by Geographic Location:
Property, Plant and Equipment, Net by Geographic Location	848	1,120
Asia/Pacific
Property, Plant and Equipment, Net by Geographic Location:
Property, Plant and Equipment, Net by Geographic Location	743	955
U.S.
Property, Plant and Equipment, Net by Geographic Location:
Property, Plant and Equipment, Net by Geographic Location	13,388	13,581
Non - U.S.
Property, Plant and Equipment, Net by Geographic Location:
Property, Plant and Equipment, Net by Geographic Location	$ 8,919	$ 10,170

Commitments and Contingencies (

Commitments and Contingencies (Details)	Jun. 17, 2016BRLshareholder	Apr. 15, 2015TRY	Oct. 31, 2014GBP (£)	Sep. 30, 2016GBP (£)	Sep. 30, 2016USD ($)	Sep. 30, 2016GBP (£)shareholder	Sep. 30, 2016USD ($)shareholder	Sep. 30, 2016USD ($)
ESA
Acquisition-Related Contingencies
Number of minority shareholders who exercised Put Option | shareholder	3
Value of shares purchased on exercise of put options	BRL 8,656,000							$ 2,655,000
IMS
Acquisition-Related Contingencies
Contingent consideration arrangement, evaluation period		12 months
Increase (decrease) in the contingent consideration | $							$ (673,000)
IMS | EBITDA Target 1
Acquisition-Related Contingencies
Contingent consideration		TRY 1,700,000
IMS | Minimum | EBITDA Target 1
Acquisition-Related Contingencies
EBITDA Target		3,500,000
IMS | Minimum | EBITDA Target 2
Acquisition-Related Contingencies
EBITDA Target		3,200,000
IMS | Maximum | EBITDA Target 2
Acquisition-Related Contingencies
EBITDA Target		TRY 3,500,000
Hill Spain | ESA
Acquisition-Related Contingencies
Ownership interest acquired (as a percent)				91.00%		91.00%		91.00%
Multiple of earnings for determining purchase price of minority shares				7		7		7
Call option Purchase price premium if exercised by Gerens Hill (as a percent)						5.00%	5.00%
Call/put option exercise period after audited financial statements						3 months	3 months
Hill International (UK) Ltd | Cadogans
Acquisition-Related Contingencies
Contingent consideration arrangement, evaluation period			2 years
Contingent consideration, minimum | £			£ 0
Contingent consideration | £			£ 200,000
Acquisition consideration payable						£ 200,000	$ 259,000
Number of selling shareholders | shareholder						2	2
Maximum annual earn-out installment						£ 100,000	$ 130,000
EBITDA Target				£ 396,000		396,000		$ 513,000
Maximum annual earn-out installment accrued and charged to earnings				£ 92,000	$ 120,000	£ 92,000	$ 120,000