Walker Innovation (WLKR) 8-K GlobalOptions Group Announces First Quarter Results

	PR Contact	IR Contact
	Adam Handelsman	Jody Burfening
	Lippert/Heilshorn & Associates	Lippert/Heilshorn & Associates
	ahandelsman@lhai.com	jburfening@lhai.com
	(212) 838-3777	(212) 838-3777

FOR IMMEDIATE RELEASE

GlobalOptions Group Announces First Quarter Results

NEW YORK, May 11, 2010 - GlobalOptions Group, Inc. (NASDAQ: GLOI), a leading provider of domestic and international risk management services, today announced results for the first quarter ended March 31, 2010.

Revenue for the first quarter of 2010 was $25.2 million compared to $25.5 million for the same period in 2009. EBITDA (earnings before interest, taxes, depreciation and amortization) for the first quarter of 2010 was $(0.6) million compared to $(0.5) million last year, and EBITDAS (EBITDA before stock based compensation) was slightly positive compared to $0.1 million last year. Operating loss for the first quarter of 2010 was $1.5 million compared to an operating loss of $1.4 million for the first quarter of last year. Net loss for the first quarter of 2010 was $1.7 million, or $0.12 per share, compared to a net loss of $1.6 million, or $0.15 per share for the first quarter of 2009.

On April 30, 2010, the company completed the sale of its SafirRosetti unit for approximately $5.25 million. Needham & Company, LLC served as financial advisor to GlobalOptions on this transaction and continues to serve the company as part of its work in assessing strategic and financial alternatives for maximizing shareholder value.  SafirRosetti provided security consulting and design services under our Security Consulting and Investigations segment.  The Bode Technology Group, the DNA provider within this business segment, will remain with the company and the business segment will be renamed Forensic DNA Solutions and Products.   Bode provides DNA analysis, proprietary DNA collection products and consulting services to law enforcement agencies, federal and state governments, crime laboratories and disaster management organizations.  Adjusting for the sale of SafirRosetti, consolidated revenue for the first quarter of 2010 was $22.1 million, compared to $22.4 million for the first quarter last year.

"Our first quarter performance masked the contribution from our Bode unit.  Although consolidated revenue was flat with last year, revenue for our Bode unit grew 31% from the first quarter of 2009 to the first quarter of 2010.  This revenue growth was offset by quarter-over-quarter softness in our Preparedness Services segment, as we had a big 2009 first quarter completing disaster recovery projects in Texas, Iowa and Indiana,” said Dr. Harvey Schiller, Chairman and CEO of GlobalOptions Group.

“The sale of SafirRosetti allows us to reveal the outstanding and improving financial results contributed by our Forensic DNA Solutions and Products unit since we acquired the business in 2007,” added Schiller. "Against an industry that has been growing in the low single digits, this unit posted 33% revenue growth for the twelve month period ending December 31, 2009.  We have also seen Bode drive increasing profitability as it has expanded its case work for DNA collection analysis, signed new contracts with municipal crime labs and renewed contracts with existing customers.  As the gold standard private DNA lab in the United States, this unit is leveraging its reputation and has expanded its offerings to now include end-to-end solutions that encompass DNA collection analysis, lab services, consulting and training and to extend its reach in overseas markets.”

Financial Measures

In addition to the results presented in accordance with generally accepted accounting principles, or GAAP, in this press release, the Company presents EBITDA and EBITDAS which are non-GAAP measures. EBITDA is determined by taking the net loss and adding back amortization of intangible assets, depreciation and amortization of property and equipment, interest expense (income), net, and income tax provision. EBITDAS is determined by taking EBITDA and then adding back stock based compensation expense. In addition, the Company has presented the breakout of the revenue and operating profit of each of the two businesses  representing the Security Consulting and Investigations reporting segment, in order to disclose the effect of discontinued operations.  The Company believes that these non-GAAP measures, viewed in addition to and not in lieu of the Company's reported GAAP results, provides useful information to investors because these metrics provide a more focused measure of operating results. These metrics are an integral part of the Company's internal reporting to measure operations of the company and the performance of senior management. A reconciliation to comparable GAAP measures is available in the accompanying schedule. The non-GAAP measures presented herein may not be comparable to similarly titled measures presented by other companies.

Conference Call

GlobalOptions Group will host an earnings conference call at 10:00 a.m. Eastern on May 11, 2010 for the first quarter ended March 31, 2010. During the call, Dr. Harvey Schiller, Chairman and Chief Executive Officer, and Jeff Nyweide, Chief Financial Officer, will discuss the company's quarterly performance and financial results. The telephone number for the conference call is 888-634-9408. A live webcast of the call will also be available on the company's website, www.GlobalOptions.com.

The webcast will be archived on the site, and investors will be able to access an encore recording of the conference call for one week by calling 800-642-1687, conference ID # 73240347. The encore recording will be available two hours after the conference call has concluded.

GlobalOptions Group

GlobalOptions, with headquarters in New York City and offices in 11 cities, is an integrated provider of risk mitigation and management services to government entities, FORTUNE 1000 corporations and high net-worth and high-profile individuals throughout the world. We enable clients to identify, assess and prevent natural and man-made threats to the well-being of individuals and the operations of governments and corporations. In addition, we assist our clients in recovering from the damages or losses resulting from the occurrence of acts of terror, natural disasters, fraud and other risks. We deliver risk mitigation and management services through three business segments: Preparedness Services; Fraud and Special Investigations Unit Services; and Forensic DNA Solutions and Products. Additional information can be found at www.GlobalOptions.com.

Statements in this press release regarding the Company's business that are not historical facts are "forward-looking statements" that involve risks and uncertainties. The Company wishes to caution readers not to place undue reliance on such forward-looking statements, which statements are made pursuant to the Private Securities Litigation Reform Act of 1995, and as such, speak only as of the date made. To the extent the content of this press release includes forward-looking statements, they involve various risks and uncertainties, including the successful integration of acquired businesses, projected financial information and the continued successful implementation of the Company's business strategy.

Certain of these risks and uncertainties will be described in greater detail in GlobalOptions Group's filings with the Securities and Exchange Commission. GlobalOptions Group is under no obligation to (and expressly disclaims any such obligation to) update or alter its forward-looking statements whether as a result of new information, future events or otherwise.

GLOBALOPTIONS GROUP, INC. AND SUBSIDIARIES

Condensed Consolidated Balance Sheets

(dollars in thousands, except per share amounts)

ASSETS	March 31,			December 31,
	2010			2009
	(unaudited)
Current assets:
Cash and cash equivalents	$	2,669		$	3,221
Accounts receivable, net		23,960			19,632
Inventories, net		3,435			3,354
Prepaid expenses and other current assets		802			840
Total current assets		30,866			27,047
Property and equipment, net		7,801			6,994
Intangible assets, net		3,967			4,268
Goodwill		19,968			19,968
Security deposits and other assets		544			537
Total assets	$	63,146		$	58,814
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Line of credit	$	4,106		$	2,163
Accounts payable		4,601			3,565
Deferred revenues		483			590
Accrued compensation and related benefits		5,460			3,643
Other current liabilities		2,324			1,730
Total current liabilities		16,974			11,691
Long-term liabilities:
Deferred tax obligation		602			511
Other long-term obligations		781			789
Total long-term liabilities		1,383			1,300
Total liabilities		18,357			12,991
Commitments and contingencies
Stockholders'  equity:
Preferred stock, $0.001 par value, 14,900,000 shares authorized, no shares issued or outstanding		-			-
Series D convertible preferred stock, non-voting, $0.001 par value, 100,000 shares authorized,
0 shares issued and outstanding		-			-
Common stock, $0.001 par value; 100,000,000 shares authorized;
14,485,424 shares issued and 14,361,530 shares outstanding at March 31, 2010, and
14,472,363 shares issued and 14,348,469 shares outstanding at December 31, 2009		14			14
Additional paid-in capital		112,567			111,909
Accumulated deficit		(67,549	)		(65,857	)
Treasury stock; at cost, 123,894 and 123,894 at March 31, 2010 and December 31, 2009, respectively		(243	)		(243	)
Total stockholders' equity		44,789			45,823
Total liabilities and stockholders' equity	$	63,146		$	58,814

GLOBALOPTIONS GROUP, INC. AND SUBSIDIARIES

Condensed Consolidated Statements of Operations

(dollars in thousands, except per share amounts)

(unaudited)

	For the Three Months Ended March 31,
	2010			2009
Revenues	$	25,234		$	25,514
Cost of revenues		13,826			14,755
Gross profit		11,408			10,759
Operating expenses:
Selling and marketing		3,228			3,056
General and administrative		9,698			9,148
Total operating expenses		12,926			12,204
Loss from operations		(1,518	)		(1,445	)
Other income (expense):
Interest income		1			1
Interest (expense)		(84	)		(191	)
Other expense, net		(83	)		(190	)
Loss before income taxes	$	(1,601	)	$	(1,635	)
Income tax provision		91			-
Net loss	$	(1,692	)	$	(1,635	)
Basic and diluted net loss per share	$	(0.12	)	$	(0.15	)
Weighted average number of common shares
outstanding - basic and diluted		13,882,454			11,110,969

GLOBALOPTIONS GROUP, INC. AND SUBSIDIARIES

Reconciliation of Non-GAAP Information

(dollars in thousands)

(unaudited)

	For the Three Months Ended March 31,
	2010			2009
EBITDA, EBITDAS
Net Loss (GAAP)	$	(1,692	)	$	(1,635	)
Add back the items:
Depreciation and amortization of property and equipment		567			370
Amortization of intangible assets		321			617
Interest (income) expense, net		83			190
Income tax provision		91			-
EBITDA	$	(630	)	$	(458	)
Add back:
Stock-based compensation expense		642			586
EBITDAS	$	12		$	128
EBITDA, EBITDAS - Before one-time charges
Net Loss (GAAP)	$	(1,692	)	$	(1,635	)
One-Time Charges:
Strategic expenses		494			-
Restructuring expenses		3			-
Net Income (Loss) Before one-time charges	$	(1,195	)	$	(1,635	)
Add back the items:
Depreciation and amortization of property and equipment		567			370
Amortization of intangible assets		321			617
Interest (income) expense, net		83			190
Income tax provision		91			-
EBITDA - Before one-time charges	$	(133	)	$	(458	)
Add back:
Stock-based compensation expense		642			586
EBITDAS - Before one-time charges	$	509		$	128

GLOBALOPTIONS GROUP, INC. AND SUBSIDIARIES

Reconciliation of Non-GAAP Information

(dollars in thousands)

(unaudited)

The following breaks out of the results of the

Security Consulting and Investigations Segment the

results of the SafirRosetti business as discontinued operations

	For the three months ended March 31,						For the year ended December 31,
	2010			2009			2009			2008			2007
As reported:													(Note 1)
Revenues for the Security Consulting and Investigations Segment, as reported	$	9,048		$	7,657		$	33,534		$	33,682		$	31,815
Loss from Operations for the Security Consulting and Investigations Segment, as reported	$	(726	)	$	(1,021	)	$	(1,815	)	$	(4,828	)	$	(7,112	)
SafirRosetti
Revenues of the SafirRosetti unit on a pro forma basis	$	3,093		$	3,113		$	12,376		$	17,794		$	17,570
Loss from Operations of the SafirRosetti unit on a pro forma basis	$	(740	)	$	(600	)	$	(2,379	)	$	(1,695	)	$	(3,100	)
Pro forma for the segment without SafirRosetti, representing solely the Bode Technology Group unit
Revenues of  Bode Technology Group	$	5,955		$	4,544		$	21,158		$	15,888		$	14,245
Income (Loss) from Operations of Bode Technology Group	$	14		$	(421	)	$	564		$	(3,133	)	$	(4,012	)

Note 1 - Includes the results of Bode from March 1, 2007, following the acquisition by GlobalOptions