Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | ||
Sep. 30, 2013 | Oct. 31, 2013 | Oct. 31, 2013 | |
Common Class A | Common Class B | ||
Document Information | ' | ' | ' |
Entity Registrant Name | 'CRAWFORD & CO | ' | ' |
Entity Central Index Key | '0000025475 | ' | ' |
Document Type | '10-Q | ' | ' |
Document Period End Date | 30-Sep-13 | ' | ' |
Amendment Flag | 'false | ' | ' |
Document Fiscal Year Focus | '2013 | ' | ' |
Document Fiscal Period Focus | 'Q3 | ' | ' |
Current Fiscal Year End Date | '--12-31 | ' | ' |
Entity Well-known Seasoned Issuer | 'No | ' | ' |
Entity Voluntary Filers | 'No | ' | ' |
Entity Current Reporting Status | 'Yes | ' | ' |
Entity Filer Category | 'Accelerated Filer | ' | ' |
Entity Common Stock, Shares Outstanding | ' | 29,928,041 | 24,690,172 |
Condensed_Consolidated_Stateme
Condensed Consolidated Statements of Income (Unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Revenues: | ' | ' | ' | ' |
Revenues before reimbursements | $293,338 | $302,136 | $878,566 | $863,736 |
Reimbursements | 20,118 | 22,110 | 68,144 | 66,872 |
Total Revenues | 313,456 | 324,246 | 946,710 | 930,608 |
Costs and Expenses: | ' | ' | ' | ' |
Costs of services provided, before reimbursements | 212,375 | 212,479 | 638,049 | 625,001 |
Reimbursements | 20,118 | 22,110 | 68,144 | 66,872 |
Total costs of services | 232,493 | 234,589 | 706,193 | 691,873 |
Selling, general, and administrative expenses | 56,702 | 59,211 | 174,077 | 173,967 |
Corporate interest expense, net of interest income of $232 and $282 for three months and $585 and $826 for nine months ended September 30, 2013 and 2012, respectively | 1,519 | 2,229 | 4,762 | 6,785 |
Special charges | 0 | 333 | 0 | 2,794 |
Total Costs and Expenses | 290,714 | 296,362 | 885,032 | 875,419 |
Other Income | 187 | 890 | 2,800 | 1,473 |
Income Before Income Taxes | 22,929 | 28,774 | 64,478 | 56,662 |
Provision for Income Taxes | 9,221 | 10,237 | 24,221 | 21,213 |
Net Income | 13,708 | 18,537 | 40,257 | 35,449 |
Less: Net Income Attributable to Noncontrolling Interests | 303 | 322 | 105 | 744 |
Net Income Attributable to Shareholders of Crawford & Company | $13,405 | $18,215 | $40,152 | $34,705 |
Common Class A | ' | ' | ' | ' |
Earnings Per Share - Basic: | ' | ' | ' | ' |
Earnings Per Share - Basic | $0.25 | $0.34 | $0.75 | $0.65 |
Earnings Per Share - Diluted: | ' | ' | ' | ' |
Earnings Per Share - Diluted | $0.25 | $0.33 | $0.74 | $0.65 |
Weighted-Average Shares Used to Compute Basic Earnings Per Share: | ' | ' | ' | ' |
Weighted Average Shares Used to Compute Basic Earnings Per Share | 30,033 | 29,690 | 29,838 | 29,508 |
Weighted-Average Shares Used to Compute Diluted Earnings Per Share: | ' | ' | ' | ' |
Weighted Average Shares Used to Compute Diluted Earnings Per Share | 30,872 | 30,472 | 30,690 | 30,162 |
Cash Dividends Per Share: | ' | ' | ' | ' |
Cash Dividends Per Share | $0.05 | $0.04 | $0.13 | $0.10 |
Common Class B | ' | ' | ' | ' |
Earnings Per Share - Basic: | ' | ' | ' | ' |
Earnings Per Share - Basic | $0.24 | $0.33 | $0.72 | $0.62 |
Earnings Per Share - Diluted: | ' | ' | ' | ' |
Earnings Per Share - Diluted | $0.24 | $0.33 | $0.71 | $0.62 |
Weighted-Average Shares Used to Compute Basic Earnings Per Share: | ' | ' | ' | ' |
Weighted Average Shares Used to Compute Basic Earnings Per Share | 24,690 | 24,690 | 24,690 | 24,695 |
Weighted-Average Shares Used to Compute Diluted Earnings Per Share: | ' | ' | ' | ' |
Weighted Average Shares Used to Compute Diluted Earnings Per Share | 24,690 | 24,690 | 24,690 | 24,695 |
Cash Dividends Per Share: | ' | ' | ' | ' |
Cash Dividends Per Share | $0.04 | $0.03 | $0.10 | $0.07 |
Condensed_Consolidated_Stateme1
Condensed Consolidated Statements of Income (Parentheticals) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Income Statement [Abstract] | ' | ' | ' | ' |
Interest income | $232 | $282 | $585 | $826 |
Condensed_Consolidated_Stateme2
Condensed Consolidated Statements of Comprehensive Income (Unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Comprehensive Income (Loss), Net of Tax, Including Portion Attributable to Noncontrolling Interest [Abstract] | ' | ' | ' | ' |
Net Income | $13,708 | $18,537 | $40,257 | $35,449 |
Other Comprehensive Loss: | ' | ' | ' | ' |
Net foreign currency translation loss | -8,292 | -3,899 | -10,684 | -5,062 |
Interest rate swap agreement loss reclassified into income, net of tax of $0 and $82 for three months and $0 and $253 for nine months ended September 30, 2013 and 2012, respectively | 0 | 134 | 0 | 414 |
Amortization of actuarial losses for retirement plans included in net periodic pension cost, net of tax of $976 and $822 for three months and $3,086 and $2,468 for nine months ended September 30, 2013 and 2012, respectively | 2,249 | 1,494 | 6,591 | 4,481 |
Other Comprehensive Loss | -6,043 | -2,271 | -4,093 | -167 |
Comprehensive Income | 7,665 | 16,266 | 36,164 | 35,282 |
Less: Comprehensive (loss) income attributable to noncontrolling interests | 60 | 342 | -69 | 658 |
Comprehensive Income Attributable to Shareholders of Crawford & Company | $7,605 | $15,924 | $36,233 | $34,624 |
Condensed_Consolidated_Stateme3
Condensed Consolidated Statements of Comprehensive Income (Parentheticals) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Statement of Comprehensive Income [Abstract] | ' | ' | ' | ' |
OCI, Tax on interest rate swap agreement loss reclassified into income | $0 | $82 | $0 | $253 |
OCI, Tax on amortization of actuarial losses on retirement plans included in net periodic pension cost | $976 | $822 | $3,086 | $2,468 |
Condensed_Consolidated_Balance
Condensed Consolidated Balance Sheets (Unaudited) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | |
In Thousands, unless otherwise specified | |||
Current Assets: | ' | ' | |
Cash and cash equivalents | $51,141 | $71,157 | [1] |
Accounts receivable, less allowance for doubtful accounts of $10,976 and $10,584, respectively | 201,880 | 164,708 | [1] |
Unbilled revenues, at estimated billable amounts | 122,340 | 124,881 | [1] |
Prepaid expenses and other current assets | 26,114 | 26,019 | [1] |
Total Current Assets | 401,475 | 386,765 | [1] |
Property and Equipment: | ' | ' | |
Property and equipment | 150,087 | 155,359 | [1] |
Less accumulated depreciation | -107,864 | -109,312 | [1] |
Net Property and Equipment | 42,223 | 46,047 | [1] |
Other Assets: | ' | ' | |
Goodwill | 132,400 | 131,995 | [1] |
Intangible assets arising from business acquisitions, net | 83,489 | 89,027 | [1] |
Capitalized software costs, net | 70,197 | 67,299 | [1] |
Deferred income tax assets | 93,643 | 99,288 | [1] |
Other noncurrent assets | 22,679 | 24,402 | [1] |
Total Other Assets | 402,408 | 412,011 | [1] |
TOTAL ASSETS | 846,106 | 844,823 | [1] |
Current Liabilities: | ' | ' | |
Short-term borrowings | 32,717 | 13,275 | [1] |
Accounts payable | 46,462 | 54,975 | [1] |
Accrued compensation and related costs | 80,871 | 103,552 | [1] |
Self-insured risks | 12,911 | 14,120 | [1] |
Income taxes payable | 13,483 | 4,357 | [1] |
Deferred income taxes | 15,003 | 16,267 | [1] |
Deferred rent | 16,270 | 16,946 | [1] |
Other accrued liabilities | 39,197 | 37,465 | [1] |
Deferred revenues | 55,186 | 56,379 | [1] |
Current mandatory contributions due to pension plan | 17,700 | 18,862 | [1] |
Current installments of long-term debt and capital leases | 884 | 838 | [1] |
Total Current Liabilities | 330,684 | 337,036 | [1] |
Noncurrent Liabilities: | ' | ' | |
Long-term debt and capital leases, less current installments | 151,931 | 152,293 | [1] |
Deferred revenues | 26,933 | 26,438 | [1] |
Self-insured risks | 13,821 | 13,893 | [1] |
Accrued pension liabilities, less current mandatory contributions | 123,833 | 146,762 | [1] |
Other noncurrent liabilities | 23,944 | 26,602 | [1] |
Total Noncurrent Liabilities | 340,462 | 365,988 | [1] |
Shareholdersb Investment: | ' | ' | |
Additional paid-in capital | 37,858 | 35,550 | [1] |
Retained earnings | 278,310 | 246,105 | [1] |
Accumulated other comprehensive loss | -203,400 | -199,481 | [1] |
Shareholders' Investment Attributable to Shareholders of Crawford & Company | 167,457 | 136,199 | [1] |
Noncontrolling interests | 7,503 | 5,600 | [1] |
Total Shareholdersb Investment | 174,960 | 141,799 | [1] |
TOTAL LIABILITIES AND SHAREHOLDERSb INVESTMENT | 846,106 | 844,823 | [1] |
Common Class A | ' | ' | |
Shareholdersb Investment: | ' | ' | |
Class A common stock, $1.00 par value; 50,000 shares authorized; 29,999 and 29,335 shares issued and outstanding at September 30, 2013 and December 2012, respectively. Class B common stock, $1.00 par value; 50,000 shares authorized; 24,690 shares issued and outstanding | 29,999 | 29,335 | [1] |
Common Class B | ' | ' | |
Shareholdersb Investment: | ' | ' | |
Class A common stock, $1.00 par value; 50,000 shares authorized; 29,999 and 29,335 shares issued and outstanding at September 30, 2013 and December 2012, respectively. Class B common stock, $1.00 par value; 50,000 shares authorized; 24,690 shares issued and outstanding | $24,690 | $24,690 | [1] |
[1] | Derived from the audited Consolidated Balance Sheet |
Condensed_Consolidated_Balance1
Condensed Consolidated Balance Sheets (Parentheticals) (USD $) | Sep. 30, 2013 | Dec. 31, 2012 | |
In Thousands, except Per Share data, unless otherwise specified | |||
Current Assets | ' | ' | |
Allowance for doubtful accounts | $10,976 | $10,584 | [1] |
Common Class A | ' | ' | |
Shareholdersb Investment: | ' | ' | |
Par or stated value per share (usd per share) | $1 | $1 | [1] |
Shares authorized | 50,000 | 50,000 | [1] |
Shares issued | 29,999 | 29,335 | [1] |
Shares outstanding | 29,999 | 29,335 | [1] |
Common Class B | ' | ' | |
Shareholdersb Investment: | ' | ' | |
Par or stated value per share (usd per share) | $1 | $1 | [1] |
Shares authorized | 50,000 | 50,000 | [1] |
Shares issued | 24,690 | 24,690 | [1] |
Shares outstanding | 24,690 | 24,690 | [1] |
[1] | derived from the audited Consolidated Balance Sheet. |
Condensed_Consolidated_Stateme4
Condensed Consolidated Statements of Cash Flows (Unaudited) (USD $) | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | |
Cash Flows From Operating Activities: | ' | ' | |
Net Income | $40,257 | $35,449 | |
Reconciliation of net income to net cash (used in) provided by operating activities: | ' | ' | |
Depreciation and amortization | 24,977 | 24,510 | |
Stock-based compensation | 2,464 | 2,267 | |
Changes in operating assets and liabilities, net of effects of acquisitions and dispositions: | ' | ' | |
Accounts receivable, net | -40,189 | -17,764 | |
Unbilled revenues, net | -1,238 | -29,867 | |
Accrued or prepaid income taxes | 10,091 | 12,107 | |
Accounts payable and accrued liabilities | -31,735 | -2,713 | |
Deferred revenues | -358 | 3,888 | |
Accrued retirement costs | -17,057 | -16,064 | |
Prepaid expenses and other operating activities | 3,296 | -1,486 | |
Net cash (used in) provided by operating activities | -9,492 | 10,327 | |
Cash Flows From Investing Activities: | ' | ' | |
Acquisitions of property and equipment | -8,300 | -10,524 | |
Proceeds from disposals of property and equipment | 0 | 47 | |
Capitalization of computer software costs | -11,790 | -12,408 | |
Payments for business acquisitions, net of cash acquired | -2,515 | 0 | |
Net cash used in investing activities | -22,605 | -22,885 | |
Cash Flows From Financing Activities: | ' | ' | |
Cash dividends paid | -6,358 | -4,693 | |
Payments related to shares received for withholding taxes under stock-based compensation plans | -880 | -896 | |
Proceeds from shares purchased under employee stock-based compensation plans | 1,712 | 493 | |
Repurchases of common stock | -1,913 | -567 | |
Increases in short-term borrowings | 79,160 | 48,345 | |
Payments on short-term borrowings | -57,200 | -32,182 | |
Payments on capital lease obligations and long-term debt | -607 | -6,496 | |
Other financing activities | -227 | -466 | |
Net cash provided by financing activities | 13,687 | 3,538 | |
Effects of exchange rate changes on cash and cash equivalents | -1,606 | -2,204 | |
Decrease in cash and cash equivalents | -20,016 | -11,224 | |
Cash and cash equivalents at beginning of year | 71,157 | [1] | 77,613 |
Cash and cash equivalents at end of period | $51,141 | $66,389 | |
[1] | Derived from the audited Consolidated Balance Sheet |
Condensed_Consolidated_Stateme5
Condensed Consolidated Statements of Shareholders' Investment (Unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||||||||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Jun. 30, 2013 | Mar. 31, 2013 | Sep. 30, 2012 | Jun. 30, 2012 | Mar. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ||
Beginning Balance | $169,920 | $150,362 | $141,799 | [1] | $154,797 | $141,087 | $138,288 | $141,799 | [1] | $138,288 |
Net income (loss) | 13,708 | 16,868 | 9,681 | 18,537 | 10,692 | 6,220 | 40,257 | 35,449 | ||
Other comprehensive income (loss) | -6,043 | 759 | 1,191 | -2,271 | 3,667 | -1,563 | -4,093 | -167 | ||
Cash dividends paid | -2,490 | -1,943 | -1,925 | -1,930 | -1,383 | -1,380 | ' | ' | ||
Stock-based compensation | 632 | 1,244 | 588 | 928 | 935 | 404 | ' | ' | ||
Increase in value of noncontrolling interest due to the acquisition of a controlling interest | ' | 2,188 | ' | ' | ' | ' | ' | ' | ||
Common stock activity, net | -551 | 442 | -972 | 113 | -201 | -882 | ' | ' | ||
Dividends paid to noncontrolling interests | -216 | ' | ' | -313 | ' | ' | ' | ' | ||
Ending Balance | 174,960 | 169,920 | 150,362 | 169,861 | 154,797 | 141,087 | 174,960 | 169,861 | ||
Noncontrolling Interest [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ||
Beginning Balance | 7,659 | 5,500 | 5,600 | 5,132 | 4,818 | 4,816 | 5,600 | 4,816 | ||
Net income (loss) | 303 | -140 | -58 | 322 | 267 | 155 | ' | ' | ||
Other comprehensive income (loss) | -243 | 111 | -42 | 20 | 47 | -153 | ' | ' | ||
Cash dividends paid | 0 | 0 | 0 | 0 | 0 | 0 | ' | ' | ||
Stock-based compensation | 0 | 0 | 0 | 0 | 0 | 0 | ' | ' | ||
Increase in value of noncontrolling interest due to the acquisition of a controlling interest | ' | 2,188 | ' | ' | ' | ' | ' | ' | ||
Common stock activity, net | 0 | 0 | 0 | 0 | 0 | 0 | ' | ' | ||
Dividends paid to noncontrolling interests | -216 | ' | ' | -313 | ' | ' | ' | ' | ||
Ending Balance | 7,503 | 7,659 | 5,500 | 5,161 | 5,132 | 4,818 | 7,503 | 5,161 | ||
Shareholders' Investment Attributable to Shareholders of Crawford & Company [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ||
Beginning Balance | 162,261 | 144,862 | 136,199 | 149,665 | 136,269 | 133,472 | 136,199 | 133,472 | ||
Net income (loss) | 13,405 | 17,008 | 9,739 | 18,215 | 10,425 | 6,065 | ' | ' | ||
Other comprehensive income (loss) | -5,800 | 648 | 1,233 | -2,291 | 3,620 | -1,410 | ' | ' | ||
Cash dividends paid | -2,490 | -1,943 | -1,925 | -1,930 | -1,383 | -1,380 | ' | ' | ||
Stock-based compensation | 632 | 1,244 | 588 | 928 | 935 | 404 | ' | ' | ||
Increase in value of noncontrolling interest due to the acquisition of a controlling interest | ' | 0 | ' | ' | ' | ' | ' | ' | ||
Common stock activity, net | -551 | 442 | -972 | 113 | -201 | -882 | ' | ' | ||
Dividends paid to noncontrolling interests | 0 | ' | ' | 0 | ' | ' | ' | ' | ||
Ending Balance | 167,457 | 162,261 | 144,862 | 164,700 | 149,665 | 136,269 | 167,457 | 164,700 | ||
Common Class A | ' | ' | ' | ' | ' | ' | ' | ' | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ||
Beginning Balance | 29,983 | 29,613 | 29,335 | 29,568 | 29,560 | 29,086 | 29,335 | 29,086 | ||
Net income (loss) | 0 | 0 | 0 | 0 | 0 | 0 | ' | ' | ||
Other comprehensive income (loss) | 0 | 0 | 0 | 0 | 0 | 0 | ' | ' | ||
Cash dividends paid | 0 | 0 | 0 | 0 | 0 | 0 | ' | ' | ||
Stock-based compensation | 0 | 0 | 0 | 0 | 0 | 0 | ' | ' | ||
Increase in value of noncontrolling interest due to the acquisition of a controlling interest | ' | 0 | ' | ' | ' | ' | ' | ' | ||
Common stock activity, net | 16 | 370 | 278 | 155 | 8 | 474 | ' | ' | ||
Dividends paid to noncontrolling interests | 0 | ' | ' | 0 | ' | ' | ' | ' | ||
Ending Balance | 29,999 | 29,983 | 29,613 | 29,723 | 29,568 | 29,560 | 29,999 | 29,723 | ||
Common Class B | ' | ' | ' | ' | ' | ' | ' | ' | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ||
Beginning Balance | 24,690 | 24,690 | 24,690 | 24,690 | 24,697 | 24,697 | 24,690 | 24,697 | ||
Net income (loss) | 0 | 0 | 0 | 0 | 0 | 0 | ' | ' | ||
Other comprehensive income (loss) | 0 | 0 | 0 | 0 | 0 | 0 | ' | ' | ||
Cash dividends paid | 0 | 0 | 0 | 0 | 0 | 0 | ' | ' | ||
Stock-based compensation | 0 | 0 | 0 | 0 | 0 | 0 | ' | ' | ||
Increase in value of noncontrolling interest due to the acquisition of a controlling interest | ' | 0 | ' | ' | ' | ' | ' | ' | ||
Common stock activity, net | 0 | 0 | 0 | 0 | -7 | 0 | ' | ' | ||
Dividends paid to noncontrolling interests | 0 | ' | ' | 0 | ' | ' | ' | ' | ||
Ending Balance | 24,690 | 24,690 | 24,690 | 24,690 | 24,690 | 24,697 | 24,690 | 24,690 | ||
Additional Paid-in Capital [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ||
Beginning Balance | 36,839 | 35,006 | 35,550 | 33,899 | 33,017 | 33,969 | 35,550 | 33,969 | ||
Net income (loss) | 0 | 0 | 0 | 0 | 0 | 0 | ' | ' | ||
Other comprehensive income (loss) | 0 | 0 | 0 | 0 | 0 | 0 | ' | ' | ||
Cash dividends paid | 0 | 0 | 0 | 0 | 0 | 0 | ' | ' | ||
Stock-based compensation | 632 | 1,244 | 588 | 928 | 935 | 404 | ' | ' | ||
Increase in value of noncontrolling interest due to the acquisition of a controlling interest | ' | 0 | ' | ' | ' | ' | ' | ' | ||
Common stock activity, net | 387 | 589 | -1,132 | 233 | -53 | -1,356 | ' | ' | ||
Dividends paid to noncontrolling interests | 0 | ' | ' | 0 | ' | ' | ' | ' | ||
Ending Balance | 37,858 | 36,839 | 35,006 | 35,060 | 33,899 | 33,017 | 37,858 | 35,060 | ||
Retained Earnings [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ||
Beginning Balance | 268,349 | 253,801 | 246,105 | 222,901 | 214,008 | 209,323 | 246,105 | 209,323 | ||
Net income (loss) | 13,405 | 17,008 | 9,739 | 18,215 | 10,425 | 6,065 | ' | ' | ||
Other comprehensive income (loss) | 0 | 0 | 0 | 0 | 0 | 0 | ' | ' | ||
Cash dividends paid | -2,490 | -1,943 | -1,925 | -1,930 | -1,383 | -1,380 | ' | ' | ||
Stock-based compensation | 0 | 0 | 0 | 0 | 0 | 0 | ' | ' | ||
Increase in value of noncontrolling interest due to the acquisition of a controlling interest | ' | 0 | ' | ' | ' | ' | ' | ' | ||
Common stock activity, net | -954 | -517 | -118 | -275 | -149 | 0 | ' | ' | ||
Dividends paid to noncontrolling interests | 0 | ' | ' | 0 | ' | ' | ' | ' | ||
Ending Balance | 278,310 | 268,349 | 253,801 | 238,911 | 222,901 | 214,008 | 278,310 | 238,911 | ||
Accumulated Other Comprehensive Loss [Member] | ' | ' | ' | ' | ' | ' | ' | ' | ||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' | ||
Beginning Balance | -197,600 | -198,248 | -199,481 | -161,393 | -165,013 | -163,603 | -199,481 | -163,603 | ||
Net income (loss) | 0 | 0 | 0 | 0 | 0 | 0 | ' | ' | ||
Other comprehensive income (loss) | -5,800 | 648 | 1,233 | -2,291 | 3,620 | -1,410 | ' | ' | ||
Cash dividends paid | ' | 0 | 0 | 0 | 0 | 0 | ' | ' | ||
Stock-based compensation | 0 | 0 | 0 | 0 | 0 | 0 | ' | ' | ||
Increase in value of noncontrolling interest due to the acquisition of a controlling interest | ' | 0 | ' | ' | ' | ' | ' | ' | ||
Common stock activity, net | 0 | 0 | 0 | 0 | 0 | 0 | ' | ' | ||
Dividends paid to noncontrolling interests | 0 | ' | ' | 0 | ' | ' | ' | ' | ||
Ending Balance | ($203,400) | ($197,600) | ($198,248) | ($163,684) | ($161,393) | ($165,013) | ($203,400) | ($163,684) | ||
[1] | Derived from the audited Consolidated Balance Sheet |
Basis_of_Presentation
Basis of Presentation | 9 Months Ended |
Sep. 30, 2013 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Basis of presentation | ' |
Basis of Presentation | |
The accompanying unaudited condensed consolidated financial statements of the Company have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X promulgated by the United States Securities and Exchange Commission (the “SEC”). Accordingly, these unaudited condensed consolidated financial statements do not include all of the information and footnotes required by GAAP for complete financial statements. Operating results for the three months and nine months ended, and our financial position as of, September 30, 2013 are not necessarily indicative of the results or financial position that may be expected for the year ending December 31, 2013 or for other future periods. The financial results of the Company's international subsidiaries, other than those in Canada and the Caribbean, are included in the accompanying unaudited condensed consolidated financial statements on a two-month delayed basis (fiscal year-end of October 31) as permitted by GAAP in order to provide sufficient time for accumulation of their results. | |
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, 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. In the opinion of management, all adjustments (consisting only of normal recurring accruals and adjustments) considered necessary for a fair presentation have been included. There have been no material changes to our significant accounting policies and estimates from those disclosed in our Annual Report on Form 10-K for the year ended December 31, 2012. | |
Certain prior period amounts have been reclassified to conform to the current presentation. Significant intercompany transactions have been eliminated in consolidation. | |
The Condensed Consolidated Balance Sheet information presented herein as of December 31, 2012 has been derived from the audited consolidated financial statements as of that date, but does not include all of the information and footnotes required by GAAP for complete financial statements. For further information, refer to the consolidated financial statements and footnotes thereto included in the Company's Annual Report on Form 10-K for the year ended December 31, 2012. | |
The Company consolidates the liabilities of its deferred compensation plan and the related assets, which are held in a rabbi trust and considered a variable interest entity ("VIE") of the Company. The rabbi trust was created to fund the liabilities of the Company's deferred compensation plan. The Company is considered the primary beneficiary of the rabbi trust because the Company directs the activities of the trust and can use the assets of the trust to satisfy the liabilities of the Company's deferred compensation plan. At September 30, 2013 and December 31, 2012, the liabilities of the deferred compensation plan were $10,411,000 and $10,327,000, respectively, which represented obligations of the Company rather than of the rabbi trust, and the values of the assets held in the related rabbi trust were $15,254,000 and $14,741,000, respectively. These liabilities and assets are included in "Other noncurrent liabilities" and "Other noncurrent assets," respectively, on the Company's unaudited Condensed Consolidated Balance Sheets. |
Adoption_of_New_Accounting_Sta
Adoption of New Accounting Standards | 9 Months Ended |
Sep. 30, 2013 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | ' |
Adoption of new accounting standards | ' |
Adoption of New Accounting Standards | |
Amounts Reclassified Out of Other Comprehensive Income | |
In February 2013, the Financial Accounting Standards Board ("FASB") issued Accounting Standards Update ("ASU") 2013-02, "Reporting of Amounts Reclassified Out of Accumulated Other Comprehensive Income ("AOCI")" ("ASU 2013-02"). Under ASU 2013-02, an entity is required to provide information about the amounts reclassified out of AOCI by component. In addition, an entity is required to present, either on the face of the financial statements or in the notes, significant amounts reclassified out of AOCI by the respective line items of net income, but only if the amount reclassified is required to be reclassified in its entirety in the same reporting period. For amounts that are not required to be reclassified in their entirety to net income, an entity is required to cross-reference to other disclosures that provide additional details about those amounts. ASU 2013-02 did not change the current requirements for reporting net income or other comprehensive income in the financial statements. ASU 2013-02 was effective for the Company on January 1, 2013. Since ASU 2013-02 is a disclosure-only standard, its adoption did not affect the Company's results of operations, financial condition, or cash flows. | |
Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists | |
In July 2013, the FASB issued ASU 2013-11, "Presentation of an Unrecognized Tax Benefit When a Net Operating Loss Carryforward, a Similar Tax Loss, or a Tax Credit Carryforward Exists." Under ASU 2013-11, an entity is required to present unrecognized tax benefits ("UTBs") as a decrease in a net operating loss, similar tax loss or tax credit carryforward if certain criteria are met. The determination of whether a deferred tax asset is available is based on the unrecognized tax benefit and the deferred tax asset that exists at the reporting date and presumes disallowance of the tax position at the reporting date. ASU 2013-11 eliminates the diversity in practice in the presentation of unrecognized tax benefits does not alter the way in which entities assess deferred tax assets for realizability. ASU 2013-11 is effective for the Company on January 1, 2014 with early adoption permitted. The Company adopted this guidance in 2013. The adoption of this standard did not have a material effect on the Company's results of operations, financial condition or cash flows. |
Accumulated_Other_Comprehenisv
Accumulated Other Comprehenisve Loss | 9 Months Ended | |||||||||||||||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||||||||||||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | ' | |||||||||||||||||||||||||||||||
Accumulated other comprehensive loss | ' | |||||||||||||||||||||||||||||||
Accumulated Other Comprehensive Loss | ||||||||||||||||||||||||||||||||
Comprehensive income (loss) for the Company consists of the total of net income, foreign currency translation adjustments, the effective portion of the Company’s interest rate hedges (if any), and accrued pension and retiree medical liability adjustments. The changes in components of "Accumulated other comprehensive loss" ("AOCL"), net of taxes and noncontrolling interests, included in the Company’s unaudited condensed consolidated financial statements were as follows: | ||||||||||||||||||||||||||||||||
Three months ended September 30, 2013 | Nine months ended September 30, 2013 | |||||||||||||||||||||||||||||||
(in thousands) | Foreign currency translation adjustments | Retirement liabilities (1) | AOCL attributable to shareholders of Crawford & Company | Foreign currency translation adjustments | Retirement liabilities (1) | AOCL attributable to shareholders of Crawford & Company | ||||||||||||||||||||||||||
Beginning balance | $ | 5,317 | $ | (202,917 | ) | $ | (197,600 | ) | $ | 7,778 | $ | (207,259 | ) | $ | (199,481 | ) | ||||||||||||||||
Other comprehensive loss before reclassifications | (8,049 | ) | — | (8,049 | ) | (10,510 | ) | — | (10,510 | ) | ||||||||||||||||||||||
Amounts reclassified from accumulated other comprehensive income | — | 2,249 | 2,249 | — | 6,591 | 6,591 | ||||||||||||||||||||||||||
Net current period other comprehensive loss | (8,049 | ) | 2,249 | (5,800 | ) | (10,510 | ) | 6,591 | (3,919 | ) | ||||||||||||||||||||||
Ending balance | $ | (2,732 | ) | $ | (200,668 | ) | $ | (203,400 | ) | $ | (2,732 | ) | $ | (200,668 | ) | $ | (203,400 | ) | ||||||||||||||
Three months ended September 30, 2012 | Nine months ended September 30, 2012 | |||||||||||||||||||||||||||||||
(in thousands) | Foreign currency translation adjustments | Interest rate swap (2) | Retirement liabilities (1) | AOCL attributable to shareholders of Crawford & Company | Foreign currency translation adjustments | Interest rate swap (2) | Retirement liabilities (1) | AOCL attributable to shareholders of Crawford & Company | ||||||||||||||||||||||||
Beginning balance | $ | 9,419 | $ | (134 | ) | $ | (170,678 | ) | $ | (161,393 | ) | $ | 10,476 | $ | (414 | ) | $ | (173,665 | ) | $ | (163,603 | ) | ||||||||||
Other comprehensive loss before reclassifications | (3,919 | ) | — | — | (3,919 | ) | (4,976 | ) | — | — | (4,976 | ) | ||||||||||||||||||||
Amounts reclassified from accumulated other comprehensive income | — | 134 | 1,494 | 1,628 | — | 414 | 4,481 | 4,895 | ||||||||||||||||||||||||
Net current period other comprehensive loss | (3,919 | ) | 134 | 1,494 | (2,291 | ) | (4,976 | ) | 414 | 4,481 | (81 | ) | ||||||||||||||||||||
Ending balance | $ | 5,500 | $ | — | $ | (169,184 | ) | $ | (163,684 | ) | $ | 5,500 | $ | — | $ | (169,184 | ) | $ | (163,684 | ) | ||||||||||||
________________________________________________ | ||||||||||||||||||||||||||||||||
(1) | Retirement liabilities reclassified to net income are related to the amortization of actuarial losses and are included in "Selling, general, and administrative expenses" in the Company's unaudited Condensed Consolidated Statements of Income. See Note 7, "Defined Benefit Pension Plans" for additional details. | |||||||||||||||||||||||||||||||
(2) | Interest rate swap agreement loss reclassified to net income is related to the reclassification of interest expense as the hedged transaction occurred and is included in "Corporate interest expense, net" in the Company's unaudited Condensed Consolidated Statements of Income. See Note 5, "Derivative Instruments" for additional details. | |||||||||||||||||||||||||||||||
The other comprehensive income (loss) amounts attributable to noncontrolling interests shown in the Company's unaudited Condensed Consolidated Statements of Shareholders' Investment are foreign currency translation adjustments. |
Net_Income_Attributable_to_Sha
Net Income Attributable to Shareholders of Crawford & Company per Common Share | 9 Months Ended | |||||||||||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||||||||||||||||||
Net income attributable to shareholders of Crawford & Company per common share | ' | |||||||||||||||||||||||||||
Net Income Attributable to Shareholders of Crawford & Company per Common Share | ||||||||||||||||||||||||||||
We compute earnings per share of our Class A Common Stock ("CRDA") and Class B Common Stock ("CRDB") using the two-class method, which allocates the undistributed earnings in each period to each class on a proportionate basis. The Company's Board of Directors has the right, but not the obligation, to declare higher dividends on the non-voting CRDA shares than on the voting CRDB shares, subject to certain limitations. In periods when the dividend is the same for CRDA and CRDB or when no dividends are declared or paid to either class, the two-class method generally will yield the same earnings per share for CRDA and CRDB. During the first three quarters of 2013 and 2012 the Board of Directors declared a higher dividend on CRDA than on CRDB. | ||||||||||||||||||||||||||||
The computations of basic net income attributable to shareholders of Crawford & Company per common share were as follows: | ||||||||||||||||||||||||||||
Three months ended | Nine months ended | |||||||||||||||||||||||||||
September 30, | September 30, | September 30, | September 30, | |||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||
(in thousands, except earnings per share) | CRDA | CRDB | CRDA | CRDB | CRDA | CRDB | CRDA | CRDB | ||||||||||||||||||||
Earnings per share - basic: | ||||||||||||||||||||||||||||
Numerator: | ||||||||||||||||||||||||||||
Allocation of undistributed earnings | $ | 5,990 | $ | 4,925 | $ | 8,891 | $ | 7,394 | $ | 18,492 | $ | 15,302 | $ | 16,339 | $ | 13,673 | ||||||||||||
Dividends paid | 1,502 | 988 | 1,190 | 740 | 3,889 | 2,469 | 2,965 | 1,728 | ||||||||||||||||||||
Net income available to common shareholders, basic | 7,492 | 5,913 | 10,081 | 8,134 | 22,381 | 17,771 | 19,304 | 15,401 | ||||||||||||||||||||
Denominator: | ||||||||||||||||||||||||||||
Weighted-average common shares outstanding, basic | 30,033 | 24,690 | 29,690 | 24,690 | 29,838 | 24,690 | 29,508 | 24,695 | ||||||||||||||||||||
Earnings per share - basic | $ | 0.25 | $ | 0.24 | $ | 0.34 | $ | 0.33 | $ | 0.75 | $ | 0.72 | $ | 0.65 | $ | 0.62 | ||||||||||||
The computations of diluted net income attributable to shareholders of Crawford & Company per common share were as follows: | ||||||||||||||||||||||||||||
Three months ended | Nine months ended | |||||||||||||||||||||||||||
September 30, | September 30, | September 30, | September 30, | |||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||
(in thousands, except earnings per share) | CRDA | CRDB | CRDA | CRDB | CRDA | CRDB | CRDA | CRDB | ||||||||||||||||||||
Earnings per share - diluted: | ||||||||||||||||||||||||||||
Numerator: | ||||||||||||||||||||||||||||
Allocation of undistributed earnings | $ | 6,065 | $ | 4,850 | $ | 8,996 | $ | 7,289 | $ | 18,728 | $ | 15,066 | $ | 16,501 | $ | 13,511 | ||||||||||||
Dividends paid | 1,502 | 988 | 1,190 | 740 | 3,889 | 2,469 | 2,965 | 1,728 | ||||||||||||||||||||
Net income available to common shareholders, diluted | 7,567 | 5,838 | 10,186 | 8,029 | 22,617 | 17,535 | 19,466 | 15,239 | ||||||||||||||||||||
Denominator: | ||||||||||||||||||||||||||||
Weighted-average common shares outstanding, basic | 30,033 | 24,690 | 29,690 | 24,690 | 29,838 | 24,690 | 29,508 | 24,695 | ||||||||||||||||||||
Weighted-average number of dilutive securities | 839 | — | 782 | — | 852 | — | 654 | — | ||||||||||||||||||||
30,872 | 24,690 | 30,472 | 24,690 | 30,690 | 24,690 | 30,162 | 24,695 | |||||||||||||||||||||
Earnings per share - diluted | $ | 0.25 | $ | 0.24 | $ | 0.33 | $ | 0.33 | $ | 0.74 | $ | 0.71 | $ | 0.65 | $ | 0.62 | ||||||||||||
Listed below are the securities excluded from the denominator in the above computation of diluted earnings per share for CRDA because their inclusion would have been antidilutive: | ||||||||||||||||||||||||||||
Three months ended | Nine months ended | |||||||||||||||||||||||||||
(in thousands) | September 30, | September 30, | September 30, | September 30, | ||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||
Shares underlying stock options excluded due to the options' respective exercise prices being greater than the average stock price during the period | 1,244 | 1,135 | 1,175 | 1,164 | ||||||||||||||||||||||||
Performance stock grants excluded because performance conditions had not been met (1) | 2,084 | 1,019 | 2,084 | 1,019 | ||||||||||||||||||||||||
________________________________________________ | ||||||||||||||||||||||||||||
(1) | Compensation cost is recognized for these performance stock grants based on expected achievement rates; however, no consideration is given for these performance stock grants when calculating earnings per share until the performance measurements have actually been achieved. The performance measurements for approximately 455,000 of the Company's outstanding performance stock grants as of September 30, 2013 are expected to be achieved by December 31, 2013. | |||||||||||||||||||||||||||
The following table details shares issued during the three months and nine months ended September 30, 2013 and September 30, 2012. These shares are included from their dates of issuance in the weighted-average common shares used to compute basic earnings per share for CRDA in the table above. | ||||||||||||||||||||||||||||
Three months ended | Nine months ended | |||||||||||||||||||||||||||
(in thousands) | September 30, | September 30, | September 30, | September 30, | ||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||
CRDA issued under non-employee director stock plan | 6 | 96 | 64 | 154 | ||||||||||||||||||||||||
CRDA issued under the Employee Stock Purchase Plan | 147 | 148 | 147 | 148 | ||||||||||||||||||||||||
CRDA issued under the U.K. ShareSave Scheme | 5 | — | 490 | 8 | ||||||||||||||||||||||||
CRDA issued under International Plan | 11 | — | 11 | — | ||||||||||||||||||||||||
CRDA issued under Executive Stock Bonus Plan | 20 | — | 265 | 467 | ||||||||||||||||||||||||
CRDA issued from stock option plan exercises | — | — | 12 | — | ||||||||||||||||||||||||
In May 2012, the Board of Directors authorized a share repurchase program under which the Company may repurchase up to 2,000,000 shares of its common stock (either CRDA or CRDB or both) until May 2015. Under the repurchase program, repurchases may be made in open market or privately negotiated transactions at such times and for such prices as management deems appropriate, subject to applicable regulatory guidelines. During the three months and nine months ended September 30, 2013, the Company repurchased 172,752 and 325,372 shares of CRDA, respectively, at an average cost of $6.53 and $5.88 per share, respectively. During the three months and nine months ended September 30, 2012, the Company repurchased 86,306 and 136,306 shares, respectively, of CRDA at an average cost of $4.16 and $3.95 per share, respectively. During the nine months ended September 30, 2012, the Company also repurchased 7,000 shares of CRDB at an average cost of $3.83 per share. |
Derivative_Instruments
Derivative Instruments | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | |||||||||||||||
Derivative Instruments | ' | |||||||||||||||
Derivative Instruments | ||||||||||||||||
From time to time the Company may attempt to manage a portion of its exposure to the impact of interest rate changes by entering into interest rate swap agreements. The Company had a forward-starting interest rate swap agreement with a notional amount of $85,000,000, which expired September 30, 2012. As a result of entering into a new credit facility in December 2011, this interest rate swap was discontinued as a cash flow hedge of exposure to changes in interest rates. Because it was still probable that the forecasted transactions that were hedged would occur, the amount in AOCL related to the interest rate swap agreement at the date the cash flow hedge was discontinued was reclassified into earnings as an increase to interest expense over the remaining life of the interest rate swap agreement as the forecasted transactions occurred. Changes to the fair value of this swap agreement were recorded by the Company as an interest expense adjustment rather than a component of the Company's AOCL. Such amount was insignificant for the three months and nine months ended September 30, 2012. | ||||||||||||||||
The effective portion of the pretax loss on the Company’s interest-rate swap agreement is shown below. The losses reclassified from AOCL into income (effective portion) are reported in "Corporate interest expense, net" in the Company’s unaudited Condensed Consolidated Statements of Income. | ||||||||||||||||
Three months ended | Nine months ended | |||||||||||||||
(in thousands) | September 30, | September 30, | September 30, | September 30, | ||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Loss reclassified from AOCL into income - effective portion | $ | — | $ | 216 | $ | — | $ | 667 | ||||||||
The balances and changes in AOCL related to the effective portions of the Company’s interest rate hedge for the three-month and nine-month periods ended September 30, 2013 and 2012 were as follows: | ||||||||||||||||
Three months ended | Nine months ended | |||||||||||||||
(in thousands) | September 30, | September 30, | September 30, | September 30, | ||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Amount in AOCL at beginning of period for effective portion of interest rate hedge, net of tax | $ | — | $ | (134 | ) | $ | — | $ | (414 | ) | ||||||
Loss reclassified into income, net of tax | — | 134 | — | 414 | ||||||||||||
Amount in AOCL at end of period for effective portion of interest rate hedge, net of tax | $ | — | $ | — | $ | — | $ | — | ||||||||
In February 2011, the Company entered into a U.S. dollar and Canadian dollar ("CAD") cross currency basis swap with an initial notional amount of CAD34,749,000 as an economic hedge to an intercompany note payable to the U.S. parent by our Canadian subsidiary. The cross currency basis swap requires the Canadian subsidiary to deliver quarterly payments of CAD589,000 to the counterparty and entitles the U.S. parent to receive quarterly payments of U.S. $593,000. The Canadian subsidiary also makes interest payments to the counterparty based on 3-month Canada Bankers Acceptances plus a spread, and the U.S. parent receives payments based on U.S. 3-month LIBOR. The cross currency basis swap expires on September 30, 2025. We have elected to not designate this swap as a hedge of the intercompany note from our Canadian subsidiary. Accordingly, changes in the fair value of this swap, as well as changes in the value of the intercompany note, are recorded as gains or losses in "Selling, general and administrative expenses" in the Company’s unaudited Condensed Consolidated Statements of Income over the term of the swap and are expected to substantially offset one another. The changes in the fair value of the cross currency basis swap will not exactly offset changes in the value of the intercompany note, as the fair value of this swap is determined based on forward rates while the value of the intercompany note is determined based on end of period spot rates. The fair value of the cross currency basis swap was a net asset of $206,000 at September 30, 2013 and a net liability of $752,000 at December 31, 2012. | ||||||||||||||||
The Company’s swap agreement contains a provision providing that if the Company is in default under its credit facility, the Company may also be deemed to be in default under its swap agreement. If there were such a default, the Company could be required to contemporaneously settle some or all of the obligation under the swap agreement at values determined at the time of default. At September 30, 2013, no such default existed, and the Company had no assets posted as collateral under its swap agreement. |
Fair_Value_Measurements
Fair Value Measurements | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||
Fair value measurements | ' | |||||||||||||||
Fair Value Measurements | ||||||||||||||||
The following table presents the Company’s assets and liabilities that are measured at fair value on a recurring basis and are categorized using the fair value hierarchy: | ||||||||||||||||
Fair Value Measurements at September 30, 2013 | ||||||||||||||||
Significant Other | Significant | |||||||||||||||
Quoted Prices in | Observable | Unobservable | ||||||||||||||
Active Markets | Inputs | Inputs | ||||||||||||||
(in thousands) | Total | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Assets: | ||||||||||||||||
Money market funds (1) | $ | 47 | $ | 47 | $ | — | $ | — | ||||||||
Derivative not designated as hedging instrument: | ||||||||||||||||
Cross currency basis swap (2) | 206 | — | 206 | — | ||||||||||||
________________________________________________ | ||||||||||||||||
(1) | The fair values of the money market funds were based on recently quoted market prices and reported transactions in an active marketplace. Money market funds are reported on the Company’s unaudited Condensed Consolidated Balance Sheets as "Cash and cash equivalents." | |||||||||||||||
(2) | The fair value of the cross currency basis swap was derived from a discounted cash flow analysis based on the terms of the contract and the forward curves for interest rates adjusted for the Company’s credit risk. At September 30, 2013, the fair value of the cross currency basis swap is included in "Other noncurrent assets" on the Company’s unaudited Condensed Consolidated Balance Sheets, based upon the term of the cross currency basis swap. | |||||||||||||||
Fair Value Disclosures | ||||||||||||||||
There were no transfers between fair value levels during the three months or nine months ended September 30, 2013. | ||||||||||||||||
The fair values of accounts receivable, unbilled revenues, accounts payable and short-term borrowings approximate their respective carrying values due to the short-term maturities of the instruments. The interest rate on the Company's variable rate long-term debt resets at least every 90 days; therefore, the carrying value approximates fair value. |
Defined_Benefit_Pension_Plans
Defined Benefit Pension Plans | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract] | ' | |||||||||||||||
Defined benefit pension plans | ' | |||||||||||||||
Defined Benefit Pension Plans | ||||||||||||||||
Net periodic benefit cost related to the Company’s defined benefit pension plans for the three months and nine months ended September 30, 2013 and 2012 included the following components: | ||||||||||||||||
Three months ended | Nine months ended | |||||||||||||||
(in thousands) | September 30, | September 30, | September 30, | September 30, | ||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Service cost | $ | 703 | $ | 521 | $ | 2,073 | $ | 1,596 | ||||||||
Interest cost | 8,237 | 8,641 | 24,555 | 26,032 | ||||||||||||
Expected return on assets | (10,659 | ) | (10,458 | ) | (31,685 | ) | (31,513 | ) | ||||||||
Amortization of actuarial loss | 3,210 | 2,387 | 9,760 | 7,176 | ||||||||||||
Net periodic benefit cost | $ | 1,491 | $ | 1,091 | $ | 4,703 | $ | 3,291 | ||||||||
For the nine-month period ended September 30, 2013, the Company made contributions of $15,350,000 and $4,759,000, respectively, to its underfunded U.S. and U.K. defined benefit pension plans, compared with contributions of $13,476,000 and $4,984,000, respectively, for the comparable period in 2012. The Company is required to make contributions to its U.S. defined benefit pension plan of $2,600,000 for the fourth quarter of 2013. There are no required contributions to the U.K. plans for the remainder of 2013; however, the Company expects to make additional contributions of approximately $1,700,000 to these U.K. plans during the fourth quarter of 2013. |
Income_Taxes
Income Taxes | 9 Months Ended |
Sep. 30, 2013 | |
Income Tax Disclosure [Abstract] | ' |
Income taxes | ' |
Income Taxes | |
The Company’s consolidated effective income tax rate may change periodically due to changes in enacted tax rates, fluctuations in the mix of income earned from the Company’s various domestic and international operations, which are subject to income taxes at different rates, the Company’s ability to utilize net operating loss and tax credit carryforwards, and amounts related to uncertain income tax positions. At September 30, 2013, the Company estimates that its effective annual income tax rate for 2013 will be approximately 38% before considering any discrete items. | |
The U.K. Finance Bill 2013 was enacted during the reporting period ended September 30, 2013. This bill includes a change in the main U.K. corporation tax rate from its current 23% rate to 21% effective April 1, 2014 and to 20% effective April 1, 2015. This tax rate change resulted in a discrete tax expense of approximately $1,300,000 for the three months and nine months ended September 30, 2013. This increase in taxes was offset by other discrete items recorded during the year. |
Segment_Information
Segment Information | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||
Segment information | ' | |||||||||||||||
Segment Information | ||||||||||||||||
Financial information for the three months and nine months ended September 30, 2013 and 2012 related to the Company’s reportable segments, including a reconciliation from segment operating earnings (loss) to income before income taxes, the most directly comparable GAAP financial measure, is presented below. Certain marketing functions that were previously included in each segment are now included in our corporate administrative costs and allocated back to the segments. The results of prior periods have been revised to conform to the current presentation. | ||||||||||||||||
Three months ended | Nine months ended | |||||||||||||||
(in thousands) | September 30, | September 30, | September 30, | September 30, | ||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Revenues: | ||||||||||||||||
Americas | $ | 95,879 | $ | 85,879 | $ | 262,757 | $ | 240,978 | ||||||||
Europe, Middle East, Africa and Asia-Pacific ("EMEA/AP") | 84,007 | 95,876 | 259,189 | 271,486 | ||||||||||||
Broadspire | 63,323 | 59,759 | 186,888 | 180,112 | ||||||||||||
Legal Settlement Administration | 50,129 | 60,622 | 169,732 | 171,160 | ||||||||||||
Total segment revenues before reimbursements | 293,338 | 302,136 | 878,566 | 863,736 | ||||||||||||
Reimbursements | 20,118 | 22,110 | 68,144 | 66,872 | ||||||||||||
Total revenues | $ | 313,456 | $ | 324,246 | $ | 946,710 | $ | 930,608 | ||||||||
Operating Earnings (Loss): | ||||||||||||||||
Americas | $ | 9,718 | $ | 6,534 | $ | 17,355 | $ | 7,429 | ||||||||
EMEA/AP | 4,272 | 12,954 | 19,486 | 30,267 | ||||||||||||
Broadspire | 1,884 | (202 | ) | 4,475 | (573 | ) | ||||||||||
Legal Settlement Administration | 10,171 | 15,639 | 38,714 | 42,114 | ||||||||||||
Total segment operating earnings | 26,045 | 34,925 | 80,030 | 79,237 | ||||||||||||
Deduct (Add): | ||||||||||||||||
Unallocated corporate and shared costs and credits, net | 275 | (1,966 | ) | (5,355 | ) | (7,930 | ) | |||||||||
Net corporate interest expense | (1,519 | ) | (2,229 | ) | (4,762 | ) | (6,785 | ) | ||||||||
Stock option expense | (279 | ) | (77 | ) | (652 | ) | (322 | ) | ||||||||
Amortization of customer-relationship intangible assets | (1,593 | ) | (1,546 | ) | (4,783 | ) | (4,744 | ) | ||||||||
Special charges | — | (333 | ) | — | (2,794 | ) | ||||||||||
Income before income taxes | $ | 22,929 | $ | 28,774 | $ | 64,478 | $ | 56,662 | ||||||||
Intersegment transactions are not material for any period presented. | ||||||||||||||||
Operating earnings is the primary financial performance measure used by the Company’s senior management and chief operating decision maker ("CODM") to evaluate the financial performance of the Company’s four operating segments and make resource allocation decisions. The Company believes this measure is useful to others in that it allows them to evaluate segment operating performance using the same criteria used by the Company’s senior management and CODM. Operating earnings will differ from net income computed in accordance with GAAP since operating earnings represent segment earnings (loss) before certain unallocated corporate and shared costs, net corporate interest expense, stock option expense, amortization of customer-relationship intangible assets, special charges and credits, income taxes, and net income or loss attributable to noncontrolling interests. | ||||||||||||||||
Segment operating earnings (loss) includes allocations of certain corporate and shared costs. If the Company changes its allocation methods or changes the types of costs that are allocated to its four operating segments, prior period amounts presented in the current period financial statements are adjusted to conform to the current allocation process. | ||||||||||||||||
Revenues by major service line in the U.S. and by area for other regions in the Americas segment and by major service line for the Broadspire segment are shown in the following table. It is not practicable to provide revenues by service line for the EMEA/AP segment. The Company considers all of Legal Settlement Administration revenues to be derived from one service line. | ||||||||||||||||
Three months ended | Nine months ended | |||||||||||||||
(in thousands) | September 30, | September 30, | September 30, | September 30, | ||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Americas | ||||||||||||||||
U.S. Claims Field Operations | $ | 27,253 | $ | 26,839 | $ | 79,055 | $ | 80,435 | ||||||||
U.S. Technical Services | 6,657 | 7,084 | 21,073 | 21,359 | ||||||||||||
U.S. Catastrophe Services | 13,932 | 9,573 | 31,031 | 18,731 | ||||||||||||
Subtotal U.S. Claims Services | 47,842 | 43,496 | 131,159 | 120,525 | ||||||||||||
Contractor Connection | 9,137 | 8,175 | 26,696 | 20,781 | ||||||||||||
Subtotal U.S. Property & Casualty | 56,979 | 51,671 | 157,855 | 141,306 | ||||||||||||
Canada--all service lines | 34,480 | 31,491 | 92,815 | 90,396 | ||||||||||||
Latin America/Caribbean--all service lines | 4,420 | 2,717 | 12,087 | 9,276 | ||||||||||||
Total Americas | $ | 95,879 | $ | 85,879 | $ | 262,757 | $ | 240,978 | ||||||||
Broadspire | ||||||||||||||||
Workers' Compensation and Liability Claims Management | $ | 26,922 | $ | 25,277 | $ | 79,595 | $ | 75,394 | ||||||||
Medical Management | 32,588 | 30,518 | 95,581 | 92,723 | ||||||||||||
Risk Management Information Services | 3,813 | 3,964 | 11,712 | 11,995 | ||||||||||||
Total Broadspire | $ | 63,323 | $ | 59,759 | $ | 186,888 | $ | 180,112 | ||||||||
Commitments_and_Contingencies
Commitments and Contingencies | 9 Months Ended |
Sep. 30, 2013 | |
Commitments and Contingencies Disclosure [Abstract] | ' |
Commitments and contingencies | ' |
Commitments and Contingencies | |
The Company has entered into one additional significant operating lease since the disclosure in our Annual Report on Form 10-K for the year ended December 31, 2012. In January 2013, the Company entered into a 10-year operating lease agreement for approximately 24,000 square feet of office space in Berkeley Heights, NJ, primarily for our Broadspire segment. The lease began July 1, 2013. Total lease payments over the 10-year term are approximately $6,900,000. Additionally, the Company is responsible for certain related real estate taxes and operating expenses. | |
As part of the Company’s credit facility, the Company maintains a letter of credit facility to satisfy certain of its own contractual requirements. At September 30, 2013, the aggregate committed amount of letters of credit outstanding under the credit facility was $17,837,000. | |
In the normal course of the claims administration services business, the Company is sometimes named as a defendant in suits by insureds or claimants contesting decisions made by the Company or its clients with respect to the settlement of claims. Additionally, certain clients of the Company have in the past brought, and may in the future bring, actions for indemnification on the basis of alleged negligence by the Company, its agents, or its employees in rendering services to clients. The majority of these claims are of the type covered by insurance maintained by the Company. However, the Company is responsible for the deductibles and self-insured retentions under various insurance coverages. In the opinion of Company management, adequate provisions have been made for such known and foreseeable risks. | |
The Company is subject to numerous federal, state, and foreign employment laws, and from time to time the Company faces claims by its employees and former employees under such laws. Such claims or litigation involving the Company or any of the Company’s current or former employees could divert management’s time and attention from the Company’s business operations and could potentially result in substantial costs of defense, settlement or other disposition, which could have a material adverse effect on the Company’s results of operations, financial position, and cash flows. In the opinion of Company management, adequate provisions have been made for such known and foreseeable risks. |
Special_Charges_and_Other_Inco
Special Charges and Other Income | 9 Months Ended | |||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||
Special Charges and Other Income [Abstract] | ' | |||||||||||||||||||
Special charges and other income | ' | |||||||||||||||||||
Special Charges and Other Income | ||||||||||||||||||||
Special Charges | ||||||||||||||||||||
There were no special charges during the three months or nine months ended September 30, 2013. Special charges of $333,000 and $2,794,000 were incurred during the three months and nine months ended September 30, 2012, respectively, for severance costs, stay bonuses and certain other expenses related to a project to outsource certain aspects of its technology infrastructure to a third-party provider. The transition was completed by September 30, 2012. | ||||||||||||||||||||
As of September 30, 2013, the following liabilities remained on the Company's unaudited Condensed Consolidated Balance Sheets related to the special charges recorded in 2012. The rollforwards of these costs for the three months and nine months ended September 30, 2013 follow: | ||||||||||||||||||||
Three months ended September 30, 2013 | ||||||||||||||||||||
(in thousands) | Deferred rent | Accrued compensation and related costs | Other accrued liabilities | Other noncurrent liabilities | Total | |||||||||||||||
Beginning balance, June 30, 2013 | $ | 2,732 | $ | 876 | $ | 1,381 | $ | 1,099 | $ | 6,088 | ||||||||||
Cash payments | — | (181 | ) | — | (48 | ) | (229 | ) | ||||||||||||
Ending balance, September 30, 2013 | $ | 2,732 | $ | 695 | $ | 1,381 | $ | 1,051 | $ | 5,859 | ||||||||||
Nine months ended September 30, 2013 | ||||||||||||||||||||
(in thousands) | Deferred rent | Accrued compensation and related costs | Other accrued liabilities | Other noncurrent liabilities | Total | |||||||||||||||
Beginning balance, January 1, 2013 | $ | 2,148 | $ | 2,303 | $ | 1,509 | $ | 1,253 | $ | 7,213 | ||||||||||
Adjustments to accruals | 584 | — | (128 | ) | 99 | 555 | ||||||||||||||
Cash payments | — | (1,608 | ) | — | (301 | ) | (1,909 | ) | ||||||||||||
Ending balance, September 30, 2013 | $ | 2,732 | $ | 695 | $ | 1,381 | $ | 1,051 | $ | 5,859 | ||||||||||
During the nine months ended September 30, 2013, the Company adjusted the estimated loss on a leased facility the Company no longer uses by $555,000. This loss was recorded in "Selling, general, and administrative expenses" in the accompanying unaudited Condensed Consolidated Statements of Income. | ||||||||||||||||||||
Other Income | ||||||||||||||||||||
Other income includes dividend income from our unconsolidated subsidiaries and miscellaneous other income. Included in "Other income" for the nine months ended September 30, 2013 was a $2,286,000 gain from the sale of the rights to a customer contract in Latin America in the first quarter of 2013. All of these amounts are included in the Americas segment operating earnings. |
Basis_of_Presentation_Consolid
Basis of Presentation (Consolidation of VIE) (Policies) | 9 Months Ended |
Sep. 30, 2013 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | ' |
Consolidation, variable interest entity, policy | ' |
The Company consolidates the liabilities of its deferred compensation plan and the related assets, which are held in a rabbi trust and considered a variable interest entity ("VIE") of the Company. The rabbi trust was created to fund the liabilities of the Company's deferred compensation plan. The Company is considered the primary beneficiary of the rabbi trust because the Company directs the activities of the trust and can use the assets of the trust to satisfy the liabilities of the Company's deferred compensation plan. |
Net_Income_Attributable_to_Sha1
Net Income Attributable to Shareholders of Crawford & Company per Common Share (Policies) | 9 Months Ended |
Sep. 30, 2013 | |
Earnings Per Share [Abstract] | ' |
Earnings per share, policy | ' |
We compute earnings per share of our Class A Common Stock ("CRDA") and Class B Common Stock ("CRDB") using the two-class method, which allocates the undistributed earnings in each period to each class on a proportionate basis. |
Accumulated_Other_Comprehensiv
Accumulated Other Comprehensive Loss Schedule of Accumulated Other Comprehensive Loss (Tables) | 9 Months Ended | |||||||||||||||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||||||||||||||
Schedule of Accumulated Other Comprehensive Loss [Abstract] | ' | |||||||||||||||||||||||||||||||
Schedule of accumulated other comprehensive income (loss) | ' | |||||||||||||||||||||||||||||||
The changes in components of "Accumulated other comprehensive loss" ("AOCL"), net of taxes and noncontrolling interests, included in the Company’s unaudited condensed consolidated financial statements were as follows: | ||||||||||||||||||||||||||||||||
Three months ended September 30, 2013 | Nine months ended September 30, 2013 | |||||||||||||||||||||||||||||||
(in thousands) | Foreign currency translation adjustments | Retirement liabilities (1) | AOCL attributable to shareholders of Crawford & Company | Foreign currency translation adjustments | Retirement liabilities (1) | AOCL attributable to shareholders of Crawford & Company | ||||||||||||||||||||||||||
Beginning balance | $ | 5,317 | $ | (202,917 | ) | $ | (197,600 | ) | $ | 7,778 | $ | (207,259 | ) | $ | (199,481 | ) | ||||||||||||||||
Other comprehensive loss before reclassifications | (8,049 | ) | — | (8,049 | ) | (10,510 | ) | — | (10,510 | ) | ||||||||||||||||||||||
Amounts reclassified from accumulated other comprehensive income | — | 2,249 | 2,249 | — | 6,591 | 6,591 | ||||||||||||||||||||||||||
Net current period other comprehensive loss | (8,049 | ) | 2,249 | (5,800 | ) | (10,510 | ) | 6,591 | (3,919 | ) | ||||||||||||||||||||||
Ending balance | $ | (2,732 | ) | $ | (200,668 | ) | $ | (203,400 | ) | $ | (2,732 | ) | $ | (200,668 | ) | $ | (203,400 | ) | ||||||||||||||
Three months ended September 30, 2012 | Nine months ended September 30, 2012 | |||||||||||||||||||||||||||||||
(in thousands) | Foreign currency translation adjustments | Interest rate swap (2) | Retirement liabilities (1) | AOCL attributable to shareholders of Crawford & Company | Foreign currency translation adjustments | Interest rate swap (2) | Retirement liabilities (1) | AOCL attributable to shareholders of Crawford & Company | ||||||||||||||||||||||||
Beginning balance | $ | 9,419 | $ | (134 | ) | $ | (170,678 | ) | $ | (161,393 | ) | $ | 10,476 | $ | (414 | ) | $ | (173,665 | ) | $ | (163,603 | ) | ||||||||||
Other comprehensive loss before reclassifications | (3,919 | ) | — | — | (3,919 | ) | (4,976 | ) | — | — | (4,976 | ) | ||||||||||||||||||||
Amounts reclassified from accumulated other comprehensive income | — | 134 | 1,494 | 1,628 | — | 414 | 4,481 | 4,895 | ||||||||||||||||||||||||
Net current period other comprehensive loss | (3,919 | ) | 134 | 1,494 | (2,291 | ) | (4,976 | ) | 414 | 4,481 | (81 | ) | ||||||||||||||||||||
Ending balance | $ | 5,500 | $ | — | $ | (169,184 | ) | $ | (163,684 | ) | $ | 5,500 | $ | — | $ | (169,184 | ) | $ | (163,684 | ) | ||||||||||||
________________________________________________ | ||||||||||||||||||||||||||||||||
(1) | Retirement liabilities reclassified to net income are related to the amortization of actuarial losses and are included in "Selling, general, and administrative expenses" in the Company's unaudited Condensed Consolidated Statements of Income. See Note 7, "Defined Benefit Pension Plans" for additional details. | |||||||||||||||||||||||||||||||
(2) | Interest rate swap agreement loss reclassified to net income is related to the reclassification of interest expense as the hedged transaction occurred and is included in "Corporate interest expense, net" in the Company's unaudited Condensed Consolidated Statements of Income. See Note 5, "Derivative Instruments" for additional details. | |||||||||||||||||||||||||||||||
The other comprehensive income (loss) amounts attributable to noncontrolling interests shown in the Company's unaudited Condensed Consolidated Statements of Shareholders' Investment are foreign currency translation adjustments. |
Net_Income_Attributable_to_Sha2
Net Income Attributable to Shareholders of Crawford & Company per Common Share (Tables) | 9 Months Ended | |||||||||||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||||||||||
Earnings Per Share [Abstract] | ' | |||||||||||||||||||||||||||
Schedule of earnings per share, basic | ' | |||||||||||||||||||||||||||
The computations of basic net income attributable to shareholders of Crawford & Company per common share were as follows: | ||||||||||||||||||||||||||||
Three months ended | Nine months ended | |||||||||||||||||||||||||||
September 30, | September 30, | September 30, | September 30, | |||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||
(in thousands, except earnings per share) | CRDA | CRDB | CRDA | CRDB | CRDA | CRDB | CRDA | CRDB | ||||||||||||||||||||
Earnings per share - basic: | ||||||||||||||||||||||||||||
Numerator: | ||||||||||||||||||||||||||||
Allocation of undistributed earnings | $ | 5,990 | $ | 4,925 | $ | 8,891 | $ | 7,394 | $ | 18,492 | $ | 15,302 | $ | 16,339 | $ | 13,673 | ||||||||||||
Dividends paid | 1,502 | 988 | 1,190 | 740 | 3,889 | 2,469 | 2,965 | 1,728 | ||||||||||||||||||||
Net income available to common shareholders, basic | 7,492 | 5,913 | 10,081 | 8,134 | 22,381 | 17,771 | 19,304 | 15,401 | ||||||||||||||||||||
Denominator: | ||||||||||||||||||||||||||||
Weighted-average common shares outstanding, basic | 30,033 | 24,690 | 29,690 | 24,690 | 29,838 | 24,690 | 29,508 | 24,695 | ||||||||||||||||||||
Earnings per share - basic | $ | 0.25 | $ | 0.24 | $ | 0.34 | $ | 0.33 | $ | 0.75 | $ | 0.72 | $ | 0.65 | $ | 0.62 | ||||||||||||
Schedule of earnings per share, diluted | ' | |||||||||||||||||||||||||||
The computations of diluted net income attributable to shareholders of Crawford & Company per common share were as follows: | ||||||||||||||||||||||||||||
Three months ended | Nine months ended | |||||||||||||||||||||||||||
September 30, | September 30, | September 30, | September 30, | |||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||
(in thousands, except earnings per share) | CRDA | CRDB | CRDA | CRDB | CRDA | CRDB | CRDA | CRDB | ||||||||||||||||||||
Earnings per share - diluted: | ||||||||||||||||||||||||||||
Numerator: | ||||||||||||||||||||||||||||
Allocation of undistributed earnings | $ | 6,065 | $ | 4,850 | $ | 8,996 | $ | 7,289 | $ | 18,728 | $ | 15,066 | $ | 16,501 | $ | 13,511 | ||||||||||||
Dividends paid | 1,502 | 988 | 1,190 | 740 | 3,889 | 2,469 | 2,965 | 1,728 | ||||||||||||||||||||
Net income available to common shareholders, diluted | 7,567 | 5,838 | 10,186 | 8,029 | 22,617 | 17,535 | 19,466 | 15,239 | ||||||||||||||||||||
Denominator: | ||||||||||||||||||||||||||||
Weighted-average common shares outstanding, basic | 30,033 | 24,690 | 29,690 | 24,690 | 29,838 | 24,690 | 29,508 | 24,695 | ||||||||||||||||||||
Weighted-average number of dilutive securities | 839 | — | 782 | — | 852 | — | 654 | — | ||||||||||||||||||||
30,872 | 24,690 | 30,472 | 24,690 | 30,690 | 24,690 | 30,162 | 24,695 | |||||||||||||||||||||
Earnings per share - diluted | $ | 0.25 | $ | 0.24 | $ | 0.33 | $ | 0.33 | $ | 0.74 | $ | 0.71 | $ | 0.65 | $ | 0.62 | ||||||||||||
Schedule of antidilutive securities excluded from computation of earnings per share | ' | |||||||||||||||||||||||||||
Listed below are the securities excluded from the denominator in the above computation of diluted earnings per share for CRDA because their inclusion would have been antidilutive: | ||||||||||||||||||||||||||||
Three months ended | Nine months ended | |||||||||||||||||||||||||||
(in thousands) | September 30, | September 30, | September 30, | September 30, | ||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||
Shares underlying stock options excluded due to the options' respective exercise prices being greater than the average stock price during the period | 1,244 | 1,135 | 1,175 | 1,164 | ||||||||||||||||||||||||
Performance stock grants excluded because performance conditions had not been met (1) | 2,084 | 1,019 | 2,084 | 1,019 | ||||||||||||||||||||||||
________________________________________________ | ||||||||||||||||||||||||||||
(1) | Compensation cost is recognized for these performance stock grants based on expected achievement rates; however, no consideration is given for these performance stock grants when calculating earnings per share until the performance measurements have actually been achieved. The performance measurements for approximately 455,000 of the Company's outstanding performance stock grants as of September 30, 2013 are expected to be achieved by December 31, 2013. | |||||||||||||||||||||||||||
Schedule of shares issued under stock plans used in weighted average calc | ' | |||||||||||||||||||||||||||
The following table details shares issued during the three months and nine months ended September 30, 2013 and September 30, 2012. These shares are included from their dates of issuance in the weighted-average common shares used to compute basic earnings per share for CRDA in the table above. | ||||||||||||||||||||||||||||
Three months ended | Nine months ended | |||||||||||||||||||||||||||
(in thousands) | September 30, | September 30, | September 30, | September 30, | ||||||||||||||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||||||||||||||
CRDA issued under non-employee director stock plan | 6 | 96 | 64 | 154 | ||||||||||||||||||||||||
CRDA issued under the Employee Stock Purchase Plan | 147 | 148 | 147 | 148 | ||||||||||||||||||||||||
CRDA issued under the U.K. ShareSave Scheme | 5 | — | 490 | 8 | ||||||||||||||||||||||||
CRDA issued under International Plan | 11 | — | 11 | — | ||||||||||||||||||||||||
CRDA issued under Executive Stock Bonus Plan | 20 | — | 265 | 467 | ||||||||||||||||||||||||
CRDA issued from stock option plan exercises | — | — | 12 | — | ||||||||||||||||||||||||
Derivative_Instruments_Tables
Derivative Instruments (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ' | |||||||||||||||
Schedule of derivative instruments, gain (loss) in statement of financial performance | ' | |||||||||||||||
The effective portion of the pretax loss on the Company’s interest-rate swap agreement is shown below. The losses reclassified from AOCL into income (effective portion) are reported in "Corporate interest expense, net" in the Company’s unaudited Condensed Consolidated Statements of Income. | ||||||||||||||||
Three months ended | Nine months ended | |||||||||||||||
(in thousands) | September 30, | September 30, | September 30, | September 30, | ||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Loss reclassified from AOCL into income - effective portion | $ | — | $ | 216 | $ | — | $ | 667 | ||||||||
Schedule of cash flow hedges included in accumulated other comprehensive income (loss) | ' | |||||||||||||||
The balances and changes in AOCL related to the effective portions of the Company’s interest rate hedge for the three-month and nine-month periods ended September 30, 2013 and 2012 were as follows: | ||||||||||||||||
Three months ended | Nine months ended | |||||||||||||||
(in thousands) | September 30, | September 30, | September 30, | September 30, | ||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Amount in AOCL at beginning of period for effective portion of interest rate hedge, net of tax | $ | — | $ | (134 | ) | $ | — | $ | (414 | ) | ||||||
Loss reclassified into income, net of tax | — | 134 | — | 414 | ||||||||||||
Amount in AOCL at end of period for effective portion of interest rate hedge, net of tax | $ | — | $ | — | $ | — | $ | — | ||||||||
Fair_Value_Measurements_Tables
Fair Value Measurements (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Fair Value Disclosures [Abstract] | ' | |||||||||||||||
Schedule of fair value, assets and liabilities measured on recurring basis | ' | |||||||||||||||
The following table presents the Company’s assets and liabilities that are measured at fair value on a recurring basis and are categorized using the fair value hierarchy: | ||||||||||||||||
Fair Value Measurements at September 30, 2013 | ||||||||||||||||
Significant Other | Significant | |||||||||||||||
Quoted Prices in | Observable | Unobservable | ||||||||||||||
Active Markets | Inputs | Inputs | ||||||||||||||
(in thousands) | Total | (Level 1) | (Level 2) | (Level 3) | ||||||||||||
Assets: | ||||||||||||||||
Money market funds (1) | $ | 47 | $ | 47 | $ | — | $ | — | ||||||||
Derivative not designated as hedging instrument: | ||||||||||||||||
Cross currency basis swap (2) | 206 | — | 206 | — | ||||||||||||
________________________________________________ | ||||||||||||||||
(1) | The fair values of the money market funds were based on recently quoted market prices and reported transactions in an active marketplace. Money market funds are reported on the Company’s unaudited Condensed Consolidated Balance Sheets as "Cash and cash equivalents." | |||||||||||||||
(2) | The fair value of the cross currency basis swap was derived from a discounted cash flow analysis based on the terms of the contract and the forward curves for interest rates adjusted for the Company’s credit risk. At September 30, 2013, the fair value of the cross currency basis swap is included in "Other noncurrent assets" on the Company’s unaudited Condensed Consolidated Balance Sheets, based upon the term of the cross currency basis swap. |
Defined_Benefit_Pension_Plans_
Defined Benefit Pension Plans (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Defined Benefit Pension Plans and Defined Benefit Postretirement Plans Disclosure [Abstract] | ' | |||||||||||||||
Schedule of defined benefit plans disclosures | ' | |||||||||||||||
Net periodic benefit cost related to the Company’s defined benefit pension plans for the three months and nine months ended September 30, 2013 and 2012 included the following components: | ||||||||||||||||
Three months ended | Nine months ended | |||||||||||||||
(in thousands) | September 30, | September 30, | September 30, | September 30, | ||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Service cost | $ | 703 | $ | 521 | $ | 2,073 | $ | 1,596 | ||||||||
Interest cost | 8,237 | 8,641 | 24,555 | 26,032 | ||||||||||||
Expected return on assets | (10,659 | ) | (10,458 | ) | (31,685 | ) | (31,513 | ) | ||||||||
Amortization of actuarial loss | 3,210 | 2,387 | 9,760 | 7,176 | ||||||||||||
Net periodic benefit cost | $ | 1,491 | $ | 1,091 | $ | 4,703 | $ | 3,291 | ||||||||
Segment_Information_Tables
Segment Information (Tables) | 9 Months Ended | |||||||||||||||
Sep. 30, 2013 | ||||||||||||||||
Segment Reporting [Abstract] | ' | |||||||||||||||
Schedule of segment reporting information, by segment | ' | |||||||||||||||
Financial information for the three months and nine months ended September 30, 2013 and 2012 related to the Company’s reportable segments, including a reconciliation from segment operating earnings (loss) to income before income taxes, the most directly comparable GAAP financial measure, is presented below. Certain marketing functions that were previously included in each segment are now included in our corporate administrative costs and allocated back to the segments. The results of prior periods have been revised to conform to the current presentation. | ||||||||||||||||
Three months ended | Nine months ended | |||||||||||||||
(in thousands) | September 30, | September 30, | September 30, | September 30, | ||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Revenues: | ||||||||||||||||
Americas | $ | 95,879 | $ | 85,879 | $ | 262,757 | $ | 240,978 | ||||||||
Europe, Middle East, Africa and Asia-Pacific ("EMEA/AP") | 84,007 | 95,876 | 259,189 | 271,486 | ||||||||||||
Broadspire | 63,323 | 59,759 | 186,888 | 180,112 | ||||||||||||
Legal Settlement Administration | 50,129 | 60,622 | 169,732 | 171,160 | ||||||||||||
Total segment revenues before reimbursements | 293,338 | 302,136 | 878,566 | 863,736 | ||||||||||||
Reimbursements | 20,118 | 22,110 | 68,144 | 66,872 | ||||||||||||
Total revenues | $ | 313,456 | $ | 324,246 | $ | 946,710 | $ | 930,608 | ||||||||
Operating Earnings (Loss): | ||||||||||||||||
Americas | $ | 9,718 | $ | 6,534 | $ | 17,355 | $ | 7,429 | ||||||||
EMEA/AP | 4,272 | 12,954 | 19,486 | 30,267 | ||||||||||||
Broadspire | 1,884 | (202 | ) | 4,475 | (573 | ) | ||||||||||
Legal Settlement Administration | 10,171 | 15,639 | 38,714 | 42,114 | ||||||||||||
Total segment operating earnings | 26,045 | 34,925 | 80,030 | 79,237 | ||||||||||||
Deduct (Add): | ||||||||||||||||
Unallocated corporate and shared costs and credits, net | 275 | (1,966 | ) | (5,355 | ) | (7,930 | ) | |||||||||
Net corporate interest expense | (1,519 | ) | (2,229 | ) | (4,762 | ) | (6,785 | ) | ||||||||
Stock option expense | (279 | ) | (77 | ) | (652 | ) | (322 | ) | ||||||||
Amortization of customer-relationship intangible assets | (1,593 | ) | (1,546 | ) | (4,783 | ) | (4,744 | ) | ||||||||
Special charges | — | (333 | ) | — | (2,794 | ) | ||||||||||
Income before income taxes | $ | 22,929 | $ | 28,774 | $ | 64,478 | $ | 56,662 | ||||||||
Schedule of revenues by major service line | ' | |||||||||||||||
Revenues by major service line in the U.S. and by area for other regions in the Americas segment and by major service line for the Broadspire segment are shown in the following table. It is not practicable to provide revenues by service line for the EMEA/AP segment. The Company considers all of Legal Settlement Administration revenues to be derived from one service line. | ||||||||||||||||
Three months ended | Nine months ended | |||||||||||||||
(in thousands) | September 30, | September 30, | September 30, | September 30, | ||||||||||||
2013 | 2012 | 2013 | 2012 | |||||||||||||
Americas | ||||||||||||||||
U.S. Claims Field Operations | $ | 27,253 | $ | 26,839 | $ | 79,055 | $ | 80,435 | ||||||||
U.S. Technical Services | 6,657 | 7,084 | 21,073 | 21,359 | ||||||||||||
U.S. Catastrophe Services | 13,932 | 9,573 | 31,031 | 18,731 | ||||||||||||
Subtotal U.S. Claims Services | 47,842 | 43,496 | 131,159 | 120,525 | ||||||||||||
Contractor Connection | 9,137 | 8,175 | 26,696 | 20,781 | ||||||||||||
Subtotal U.S. Property & Casualty | 56,979 | 51,671 | 157,855 | 141,306 | ||||||||||||
Canada--all service lines | 34,480 | 31,491 | 92,815 | 90,396 | ||||||||||||
Latin America/Caribbean--all service lines | 4,420 | 2,717 | 12,087 | 9,276 | ||||||||||||
Total Americas | $ | 95,879 | $ | 85,879 | $ | 262,757 | $ | 240,978 | ||||||||
Broadspire | ||||||||||||||||
Workers' Compensation and Liability Claims Management | $ | 26,922 | $ | 25,277 | $ | 79,595 | $ | 75,394 | ||||||||
Medical Management | 32,588 | 30,518 | 95,581 | 92,723 | ||||||||||||
Risk Management Information Services | 3,813 | 3,964 | 11,712 | 11,995 | ||||||||||||
Total Broadspire | $ | 63,323 | $ | 59,759 | $ | 186,888 | $ | 180,112 | ||||||||
Special_Charges_and_Other_Inco1
Special Charges and Other Income Rollforward of Accrued Liabilities (Tables) | 9 Months Ended | |||||||||||||||||||
Sep. 30, 2013 | ||||||||||||||||||||
Restructuring and Related Activities [Abstract] | ' | |||||||||||||||||||
Rollforward of accrued liabilities | ' | |||||||||||||||||||
The rollforwards of these costs for the three months and nine months ended September 30, 2013 follow: | ||||||||||||||||||||
Three months ended September 30, 2013 | ||||||||||||||||||||
(in thousands) | Deferred rent | Accrued compensation and related costs | Other accrued liabilities | Other noncurrent liabilities | Total | |||||||||||||||
Beginning balance, June 30, 2013 | $ | 2,732 | $ | 876 | $ | 1,381 | $ | 1,099 | $ | 6,088 | ||||||||||
Cash payments | — | (181 | ) | — | (48 | ) | (229 | ) | ||||||||||||
Ending balance, September 30, 2013 | $ | 2,732 | $ | 695 | $ | 1,381 | $ | 1,051 | $ | 5,859 | ||||||||||
Nine months ended September 30, 2013 | ||||||||||||||||||||
(in thousands) | Deferred rent | Accrued compensation and related costs | Other accrued liabilities | Other noncurrent liabilities | Total | |||||||||||||||
Beginning balance, January 1, 2013 | $ | 2,148 | $ | 2,303 | $ | 1,509 | $ | 1,253 | $ | 7,213 | ||||||||||
Adjustments to accruals | 584 | — | (128 | ) | 99 | 555 | ||||||||||||||
Cash payments | — | (1,608 | ) | — | (301 | ) | (1,909 | ) | ||||||||||||
Ending balance, September 30, 2013 | $ | 2,732 | $ | 695 | $ | 1,381 | $ | 1,051 | $ | 5,859 | ||||||||||
Basis_of_Presentation_Details
Basis of Presentation (Details) (Primary beneficiary, USD $) | Sep. 30, 2013 | Dec. 31, 2012 |
In Thousands, unless otherwise specified | ||
Primary beneficiary | ' | ' |
Variable Interest Entity | ' | ' |
Liabilities of the deferred compensation plan | $10,411 | $10,327 |
Assets held in the related rabbi trust | $15,254 | $14,741 |
Accumulated_Other_Comprehensiv1
Accumulated Other Comprehensive Loss Rollforward of Accumulated Other comprehensive Loss (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | ||||
Schedule of Accumulated Other Comprehensive Loss | ' | ' | ' | ' | ||||
Accumulated other comprehensive loss | ($197,600) | ($161,393) | ($199,481) | [1] | ($163,603) | |||
Other comprehensive loss before reclassifications | -8,049 | -3,919 | -10,510 | -4,976 | ||||
Amounts reclassified from accumulated other comprehensive income | 2,249 | 1,628 | 6,591 | 4,895 | ||||
Net current period other comprehensive (loss) income | -5,800 | -2,291 | -3,919 | -81 | ||||
Accumulated other comprehensive loss | -203,400 | -163,684 | -203,400 | -163,684 | ||||
Foreign currency translation adjustments | ' | ' | ' | ' | ||||
Schedule of Accumulated Other Comprehensive Loss | ' | ' | ' | ' | ||||
Accumulated other comprehensive loss | 5,317 | 9,419 | 7,778 | 10,476 | ||||
Other comprehensive loss before reclassifications | -8,049 | -3,919 | -10,510 | -4,976 | ||||
Amounts reclassified from accumulated other comprehensive income | 0 | 0 | 0 | 0 | ||||
Net current period other comprehensive (loss) income | -8,049 | -3,919 | -10,510 | -4,976 | ||||
Accumulated other comprehensive loss | -2,732 | 5,500 | -2,732 | 5,500 | ||||
Interest rate swap | ' | ' | ' | ' | ||||
Schedule of Accumulated Other Comprehensive Loss | ' | ' | ' | ' | ||||
Accumulated other comprehensive loss | ' | -134 | ' | -414 | ||||
Other comprehensive loss before reclassifications | ' | 0 | ' | 0 | ||||
Amounts reclassified from accumulated other comprehensive income | ' | 134 | ' | 414 | ||||
Net current period other comprehensive (loss) income | ' | 134 | [2] | ' | 414 | [2] | ||
Accumulated other comprehensive loss | ' | 0 | ' | 0 | ||||
Retirement liabilities | ' | ' | ' | ' | ||||
Schedule of Accumulated Other Comprehensive Loss | ' | ' | ' | ' | ||||
Accumulated other comprehensive loss | -202,917 | -170,678 | -207,259 | -173,665 | ||||
Other comprehensive loss before reclassifications | 0 | 0 | 0 | 0 | ||||
Amounts reclassified from accumulated other comprehensive income | 2,249 | 1,494 | 6,591 | 4,481 | ||||
Net current period other comprehensive (loss) income | 2,249 | [3] | 1,494 | [3] | 6,591 | [3] | 4,481 | [3] |
Accumulated other comprehensive loss | ($200,668) | [3] | ($169,184) | [3] | ($200,668) | [3] | ($169,184) | [3] |
[1] | Derived from the audited Consolidated Balance Sheet | |||||||
[2] | Interest rate swap agreement loss reclassified to net income is related to the reclassification of interest expense as the hedged transaction occurred and is included in "Corporate interest expense, net" in the Company's unaudited Condensed Consolidated Statements of Income. See Note 5, "Derivative Instruments" for additional details. | |||||||
[3] | Retirement liabilities reclassified to net income are related to the amortization of actuarial losses and are included in "Selling, general, and administrative expenses" in the Company's unaudited Condensed Consolidated Statements of Income. See Note 7, "Defined Benefit Pension Plans" for additional details. |
Net_Income_Attributable_to_Sha3
Net Income Attributable to Shareholders of Crawford & Company per Common Share Schedule of Earnings Per Share, Basic (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Common Class A | ' | ' | ' | ' |
Numerator | ' | ' | ' | ' |
Allocation of undistributed earnings | $5,990 | $8,891 | $18,492 | $16,339 |
Dividends paid | 1,502 | 1,190 | 3,889 | 2,965 |
Net income available to common shareholders, basic | 7,492 | 10,081 | 22,381 | 19,304 |
Denominator | ' | ' | ' | ' |
Weighted-average common shares outstanding, basic | 30,033 | 29,690 | 29,838 | 29,508 |
Earnings per share - basic | $0.25 | $0.34 | $0.75 | $0.65 |
Common Class B | ' | ' | ' | ' |
Numerator | ' | ' | ' | ' |
Allocation of undistributed earnings | 4,925 | 7,394 | 15,302 | 13,673 |
Dividends paid | 988 | 740 | 2,469 | 1,728 |
Net income available to common shareholders, basic | $5,913 | $8,134 | $17,771 | $15,401 |
Denominator | ' | ' | ' | ' |
Weighted-average common shares outstanding, basic | 24,690 | 24,690 | 24,690 | 24,695 |
Earnings per share - basic | $0.24 | $0.33 | $0.72 | $0.62 |
Net_Income_Attributable_to_Sha4
Net Income Attributable to Shareholders of Crawford & Company per Common Share Schedule of Earnings Per Share, Diluted (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Common Class A | ' | ' | ' | ' |
Numerator | ' | ' | ' | ' |
Allocation of undistributed earnings | $6,065 | $8,996 | $18,728 | $16,501 |
Dividends paid | 1,502 | 1,190 | 3,889 | 2,965 |
Net income available to common shareholders, diluted | 7,567 | 10,186 | 22,617 | 19,466 |
Denominator | ' | ' | ' | ' |
Weighted-average common shares outstanding, basic | 30,033 | 29,690 | 29,838 | 29,508 |
Weighted-average number of dilutive securities | 839 | 782 | 852 | 654 |
Weighted-average number of shares outstanding, diluted | 30,872 | 30,472 | 30,690 | 30,162 |
Earnings per share - diluted | $0.25 | $0.33 | $0.74 | $0.65 |
Common Class B | ' | ' | ' | ' |
Numerator | ' | ' | ' | ' |
Allocation of undistributed earnings | 4,850 | 7,289 | 15,066 | 13,511 |
Dividends paid | 988 | 740 | 2,469 | 1,728 |
Net income available to common shareholders, diluted | $5,838 | $8,029 | $17,535 | $15,239 |
Denominator | ' | ' | ' | ' |
Weighted-average common shares outstanding, basic | 24,690 | 24,690 | 24,690 | 24,695 |
Weighted-average number of dilutive securities | 0 | 0 | 0 | 0 |
Weighted-average number of shares outstanding, diluted | 24,690 | 24,690 | 24,690 | 24,695 |
Earnings per share - diluted | $0.24 | $0.33 | $0.71 | $0.62 |
Net_Income_Attributable_to_Sha5
Net Income Attributable to Shareholders of Crawford & Company per Common Share (Antidilutive Securities) (Details) | 3 Months Ended | 9 Months Ended | ||||||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | ||||
Shares underlying stock options excluded due to the options' respective exercise prices being greater than the average stock price during the period | ' | ' | ' | ' | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share | ' | ' | ' | ' | ||||
Shares excluded from diluted earnings per share | 1,244 | 1,135 | 1,175 | 1,164 | ||||
Performance stock grants excluded because performance conditions had not been met | ' | ' | ' | ' | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share | ' | ' | ' | ' | ||||
Shares excluded from diluted earnings per share | 2,084 | [1] | 1,019 | [1] | 2,084 | [1] | 1,019 | [1] |
Performance stock grants expected to be issued by end of year | 455 | ' | 455 | ' | ||||
[1] | Compensation cost is recognized for these performance stock grants based on expected achievement rates; however, no consideration is given for these performance stock grants when calculating earnings per share until the performance measurements have actually been achieved. The performance measurements for approximately 455,000 of the Company's outstanding performance stock grants as of September 30, 2013 are expected to be achieved by DecemberB 31, 2013. |
Net_Income_Attributable_to_Sha6
Net Income Attributable to Shareholders of Crawford & Company per Common Share (Weighted Average Shares Issued) (Details) (Common Class A) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
CRDA issued under non-employee director stock plan | ' | ' | ' | ' |
Stock issued during period (shares) | 6 | 96 | 64 | 154 |
CRDA issued under the Employee Stock Purchase Plan | ' | ' | ' | ' |
Stock issued during period (shares) | 147 | 148 | 147 | 148 |
CRDA issued under the U.K. ShareSave Scheme | ' | ' | ' | ' |
Stock issued during period (shares) | 5 | 0 | 490 | 8 |
CRDA issued under International Plan | ' | ' | ' | ' |
Stock issued during period (shares) | 11 | 0 | 11 | 0 |
CRDA issued under Executive Stock Bonus Plan | ' | ' | ' | ' |
Stock issued during period (shares) | 20 | 0 | 265 | 467 |
CRDA issued from stock option plan exercises | ' | ' | ' | ' |
Stock issued during period (shares) | 0 | 0 | 12 | 0 |
Net_Income_Attributable_to_Sha7
Net Income Attributable to Shareholders of Crawford & Company per Common Share Narrative (Details) (USD $) | 31-May-12 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2012 |
Common Stock | Common Class A | Common Class A | Common Class A | Common Class A | Common Class B | |
Equity, Class of Treasury Stock | ' | ' | ' | ' | ' | ' |
Number of shares authorized to be repurchased | 2,000,000 | ' | ' | ' | ' | ' |
Shares repurchased | ' | 172,752 | 86,306 | 325,372 | 136,306 | 7,000 |
Average cost (usd per share) | ' | $6.53 | $4.16 | $5.88 | $3.95 | $3.83 |
Derivative_Instruments_Narrati
Derivative Instruments (Narrative) (Details) | Mar. 31, 2012 | Sep. 30, 2013 | Sep. 30, 2013 | Feb. 28, 2011 | Sep. 30, 2013 | Dec. 31, 2012 |
Interest rate swap | Cross currency basis swap | Cross currency basis swap | Cross currency basis swap | Level 2 | Level 2 | |
Not designated as hedging instrument | Not designated as hedging instrument | Not designated as hedging instrument | Not designated as hedging instrument | Cross currency basis swap | Cross currency basis swap | |
USD ($) | USD ($) | CAD | CAD | Fair value, measurements, recurring | Fair value, measurements, recurring | |
USD ($) | USD ($) | |||||
Derivatives, Fair Value | ' | ' | ' | ' | ' | ' |
Notional amount of interest rate derivatives | $85,000,000 | ' | ' | 34,749,000 | ' | ' |
Derivative instrument, periodic payment | ' | ' | 589,000 | ' | ' | ' |
Derivative instruments, periodic receivable | ' | 593,000 | ' | ' | ' | ' |
Derivative instruments not designated as hedging instruments, asset, at fair value | ' | ' | ' | ' | 206,000 | ' |
Derivative financial instruments, liabilities, fair value disclosure | ' | ' | ' | ' | ' | $752,000 |
Derivative_Instruments_Derivat
Derivative Instruments (Derivative Instruments Activities) (Details) (Discontinued as a cash flow hedge, Interest rate swap, Interest expense, USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Discontinued as a cash flow hedge | Interest rate swap | Interest expense | ' | ' | ' | ' |
Derivative Instruments, Loss | ' | ' | ' | ' |
Loss reclassified from AOCL into income - effective portion | $0 | $216 | $0 | $667 |
Derivative_Instruments_Changes
Derivative Instruments (Changes in Accumulated OCL) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||||||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 | Jun. 30, 2013 | Dec. 31, 2012 | Jun. 30, 2012 | Dec. 31, 2011 |
Changes in Accumulated Other Comprehensive Income Loss [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' |
Loss reclassified into income, net of tax | $2,249 | $1,628 | $6,591 | $4,895 | ' | ' | ' | ' |
Interest rate swap | ' | ' | ' | ' | ' | ' | ' | ' |
Changes in Accumulated Other Comprehensive Income Loss [Roll Forward] | ' | ' | ' | ' | ' | ' | ' | ' |
Amount in AOCL at beginning or end of period for effective portion of interest rate hedge, net of tax | 0 | 0 | 0 | 0 | 0 | 0 | -134 | -414 |
Loss reclassified into income, net of tax | $0 | $134 | $0 | $414 | ' | ' | ' | ' |
Fair_Value_Measurements_Detail
Fair Value Measurements (Details) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2013 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | |
Debt instrument, variable interest rate duration between resets | '90 days | |
Cash and cash equivalents | Measured on a recurring basis | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | |
Money market funds | 47 | [1] |
Other accrued liabilities | Measured on a recurring basis | Cross currency basis swap | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | |
Derivative instruments not designated as hedging instruments, asset, at fair value | 206 | [2] |
Level 1 | Cash and cash equivalents | Measured on a recurring basis | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | |
Money market funds | 47 | |
Level 2 | Measured on a recurring basis | Cross currency basis swap | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | |
Derivative instruments not designated as hedging instruments, asset, at fair value | 206 | |
Level 2 | Not designated as hedging instrument | Other accrued liabilities | Measured on a recurring basis | Cross currency basis swap | ' | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis | ' | |
Derivative instruments not designated as hedging instruments, asset, at fair value | 206 | |
[1] | The fair values of the money market funds were based on recently quoted market prices and reported transactions in an active marketplace. Money market funds are reported on the Companybs unaudited Condensed Consolidated Balance Sheets as "Cash and cash equivalents." | |
[2] | The fair value of the cross currency basis swap was derived from a discounted cash flow analysis based on the terms of the contract and the forward curves for interest rates adjusted for the Companybs credit risk. At September 30, 2013, the fair value of the cross currency basis swap is included in "Other noncurrent assets" on the Companybs unaudited Condensed Consolidated Balance Sheets, based upon the term of the cross currency basis swap. |
Defined_Benefit_Pension_Plans_1
Defined Benefit Pension Plans (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Defined Benefit Plan Disclosure | ' | ' | ' | ' |
Service cost | $703 | $521 | $2,073 | $1,596 |
Interest cost | 8,237 | 8,641 | 24,555 | 26,032 |
Expected return on assets | -10,659 | -10,458 | -31,685 | -31,513 |
Amortization of actuarial loss | 3,210 | 2,387 | 9,760 | 7,176 |
Net periodic benefit cost | $1,491 | $1,091 | $4,703 | $3,291 |
Defined_Benefit_Pension_Plans_2
Defined Benefit Pension Plans (Narrative) (Details) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 |
U.S. pension plan | ' | ' |
Defined Benefit Plan Disclosure | ' | ' |
Contributions by employer | $15,350 | $13,476 |
Defined benefit plan, estimated future employer contributions | 2,600 | ' |
U.K. pension plans | ' | ' |
Defined Benefit Plan Disclosure | ' | ' |
Contributions by employer | 4,759 | 4,984 |
Defined benefit plan, estimated future employer contributions | $1,700 | ' |
Income_Taxes_Details
Income Taxes (Details) | 9 Months Ended |
Sep. 30, 2013 | |
Income Tax Disclosure [Abstract] | ' |
Effective annual income tax rate (percent) | 38.00% |
Income_Taxes_UK_Tax_Rate_Chang
Income Taxes U.K. Tax Rate Changes (Details) (United Kingdom, USD $) | 3 Months Ended | 9 Months Ended | 12 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2013 | Mar. 31, 2016 | Mar. 31, 2015 |
United Kingdom | ' | ' | ' | ' |
Schedule of Future Tax Rates | ' | ' | ' | ' |
Statutory tax rate (percent) | ' | 23.00% | 20.00% | 21.00% |
Discrete tax expense related to U.K. rate change | $1,300 | $1,300 | ' | ' |
Segment_Information_Details
Segment Information (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
segments | ||||
Segment Reporting [Abstract] | ' | ' | ' | ' |
Number of operating segments | ' | ' | 4 | ' |
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated | ' | ' | ' | ' |
Revenues before reimbursements | $293,338 | $302,136 | $878,566 | $863,736 |
Reimbursements | 20,118 | 22,110 | 68,144 | 66,872 |
Total revenues | 313,456 | 324,246 | 946,710 | 930,608 |
Segment operating earnings | 26,045 | 34,925 | 80,030 | 79,237 |
Unallocated corporate and shared costs and credits, net | 275 | -1,966 | -5,355 | -7,930 |
Net corporate interest expense | -1,519 | -2,229 | -4,762 | -6,785 |
Stock option expense | -279 | -77 | -652 | -322 |
Amortization of customer-relationship intangible assets | -1,593 | -1,546 | -4,783 | -4,744 |
Special charges | 0 | -333 | 0 | -2,794 |
Income before income taxes | 22,929 | 28,774 | 64,478 | 56,662 |
Americas | ' | ' | ' | ' |
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated | ' | ' | ' | ' |
Revenues before reimbursements | 95,879 | 85,879 | 262,757 | 240,978 |
Segment operating earnings | 9,718 | 6,534 | 17,355 | 7,429 |
Europe, Middle East, Africa and Asia-Pacific (EMEA/AP) | ' | ' | ' | ' |
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated | ' | ' | ' | ' |
Revenues before reimbursements | 84,007 | 95,876 | 259,189 | 271,486 |
Segment operating earnings | 4,272 | 12,954 | 19,486 | 30,267 |
Broadspire | ' | ' | ' | ' |
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated | ' | ' | ' | ' |
Revenues before reimbursements | 63,323 | 59,759 | 186,888 | 180,112 |
Segment operating earnings | 1,884 | -202 | 4,475 | -573 |
Legal Settlement Administration | ' | ' | ' | ' |
Segment Reporting, Reconciling Item for Operating Profit (Loss) from Segment to Consolidated | ' | ' | ' | ' |
Revenues before reimbursements | 50,129 | 60,622 | 169,732 | 171,160 |
Segment operating earnings | $10,171 | $15,639 | $38,714 | $42,114 |
Segment_Information_Revenues_b
Segment Information (Revenues by major service line) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Segment Reporting Information | ' | ' | ' | ' |
Revenues before reimbursements | $293,338 | $302,136 | $878,566 | $863,736 |
Americas | ' | ' | ' | ' |
Segment Reporting Information | ' | ' | ' | ' |
Revenues before reimbursements | 95,879 | 85,879 | 262,757 | 240,978 |
Americas | U.S. Property and Casualty | ' | ' | ' | ' |
Segment Reporting Information | ' | ' | ' | ' |
Revenues before reimbursements | 56,979 | 51,671 | 157,855 | 141,306 |
Americas | Canada | ' | ' | ' | ' |
Segment Reporting Information | ' | ' | ' | ' |
Revenues before reimbursements | 34,480 | 31,491 | 92,815 | 90,396 |
Americas | Latin America Caribbean | ' | ' | ' | ' |
Segment Reporting Information | ' | ' | ' | ' |
Revenues before reimbursements | 4,420 | 2,717 | 12,087 | 9,276 |
Americas | U.S. Claims Field Operations | U.S. Property and Casualty | ' | ' | ' | ' |
Segment Reporting Information | ' | ' | ' | ' |
Revenues before reimbursements | 27,253 | 26,839 | 79,055 | 80,435 |
Americas | U.S. Technical Services | U.S. Property and Casualty | ' | ' | ' | ' |
Segment Reporting Information | ' | ' | ' | ' |
Revenues before reimbursements | 6,657 | 7,084 | 21,073 | 21,359 |
Americas | U.S. Catastrophe Services | U.S. Property and Casualty | ' | ' | ' | ' |
Segment Reporting Information | ' | ' | ' | ' |
Revenues before reimbursements | 13,932 | 9,573 | 31,031 | 18,731 |
Americas | Subtotal U.S. Claims Services | U.S. Property and Casualty | ' | ' | ' | ' |
Segment Reporting Information | ' | ' | ' | ' |
Revenues before reimbursements | 47,842 | 43,496 | 131,159 | 120,525 |
Americas | Contractor Connection | U.S. Property and Casualty | ' | ' | ' | ' |
Segment Reporting Information | ' | ' | ' | ' |
Revenues before reimbursements | 9,137 | 8,175 | 26,696 | 20,781 |
Europe, Middle East, Africa and Asia-Pacific (EMEA/AP) | ' | ' | ' | ' |
Segment Reporting Information | ' | ' | ' | ' |
Revenues before reimbursements | 84,007 | 95,876 | 259,189 | 271,486 |
Broadspire | ' | ' | ' | ' |
Segment Reporting Information | ' | ' | ' | ' |
Revenues before reimbursements | 63,323 | 59,759 | 186,888 | 180,112 |
Broadspire | Workers' Compensation and Liability Claims Management | ' | ' | ' | ' |
Segment Reporting Information | ' | ' | ' | ' |
Revenues before reimbursements | 26,922 | 25,277 | 79,595 | 75,394 |
Broadspire | Medical Management | ' | ' | ' | ' |
Segment Reporting Information | ' | ' | ' | ' |
Revenues before reimbursements | 32,588 | 30,518 | 95,581 | 92,723 |
Broadspire | Risk Management Information Services | ' | ' | ' | ' |
Segment Reporting Information | ' | ' | ' | ' |
Revenues before reimbursements | 3,813 | 3,964 | 11,712 | 11,995 |
Legal Settlement Administration | ' | ' | ' | ' |
Segment Reporting Information | ' | ' | ' | ' |
Revenues before reimbursements | $50,129 | $60,622 | $169,732 | $171,160 |
Commitments_and_Contingencies_
Commitments and Contingencies (Details) (USD $) | Sep. 30, 2013 | Jan. 15, 2013 |
In Thousands, unless otherwise specified | sqft | |
Commitments and Contingencies Disclosure [Abstract] | ' | ' |
Operating lease obligations, term of lease | ' | '10 years |
Area of real estate property | ' | 24,000 |
Operating leases, future minimum payments due | ' | $6,900 |
Letters of credit outstanding amount | $17,837 | ' |
Special_Charges_and_Other_Inco2
Special Charges and Other Income Rollforward of accrued liabilities (Details) (USD $) | 3 Months Ended | 9 Months Ended |
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2013 |
Restructuring Cost and Reserve | ' | ' |
Beginning balance | $6,088 | $7,213 |
Adjustments to accruals | ' | 555 |
Cash payments | -229 | -1,909 |
Ending balance | 5,859 | 5,859 |
Deferred rent | ' | ' |
Restructuring Cost and Reserve | ' | ' |
Beginning balance | 2,732 | 2,148 |
Adjustments to accruals | ' | 584 |
Cash payments | 0 | 0 |
Ending balance | 2,732 | 2,732 |
Accrued compensation and related costs | ' | ' |
Restructuring Cost and Reserve | ' | ' |
Beginning balance | 876 | 2,303 |
Adjustments to accruals | ' | 0 |
Cash payments | -181 | -1,608 |
Ending balance | 695 | 695 |
Other accrued liabilities | ' | ' |
Restructuring Cost and Reserve | ' | ' |
Beginning balance | 1,381 | 1,509 |
Adjustments to accruals | ' | -128 |
Cash payments | 0 | 0 |
Ending balance | 1,381 | 1,381 |
Other noncurrent liabilities | ' | ' |
Restructuring Cost and Reserve | ' | ' |
Beginning balance | 1,099 | 1,253 |
Adjustments to accruals | ' | 99 |
Cash payments | -48 | -301 |
Ending balance | $1,051 | $1,051 |
Special_Charges_and_Other_Inco3
Special Charges and Other Income (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2013 | Sep. 30, 2012 | Sep. 30, 2013 | Sep. 30, 2012 |
Restructuring and Related Activities [Abstract] | ' | ' | ' | ' |
Special charges | $0 | $333 | $0 | $2,794 |
Adjustments to accruals | ' | ' | 555 | ' |
Gain from the sale of a customer contract in Latin America | ' | ' | $2,286 | ' |