Dec 23 2009
URS Corporation (NYSE: URS) today announced that, consistent with its past practice on acquisitions, it will rebrand and integrate its EG&G and Washington divisions under the URS Corporation brand. Following the change, which will take effect on January 1, 2010, URS will present a single brand to clients and the marketplace.
Martin M. Koffel, Chairman and Chief Executive Officer, stated, “This branding initiative reflects our long-standing practice of fully integrating acquisitions, leveraging the significant top-line synergies among our businesses, and building a premier brand in the engineering and construction market. With URS divisions marketing under a single, powerful brand, all of our clients will have a clearer understanding of the full range of services URS can bring to bear on their most critical and complex projects.”
For financial reporting purposes, URS will continue to report results for three segments: Infrastructure and Environment (formerly the URS Division); Federal Services (formerly the EG&G Division); and Energy and Construction (formerly the Washington Division).
URS intends to record an after tax, non-cash charge of approximately $20.5 million, or $0.25 per share, in the fourth quarter 2009 for the write-down of intangible assets related to the discontinuation of the Washington Division brand and the transition to a single URS brand. The estimated charge is subject to finalization, which the Company will complete prior to reporting its fourth quarter and fiscal 2009 financial results in March 2010. The charge does not affect the Company's business operations, cash balances or operating cash flows. There is no similar intangible asset related to the EG&G Division that would be impaired as a result of the branding change.
As a result of the estimated charge, URS now expects that GAAP EPS for fiscal 2009 will be in the range of $3.07 to $3.17, on a diluted basis. Excluding the estimated charge and the previously reported gain from the sale of its equity interest in MIBRAG mbH (“MIBRAG”), a German mining and power business, URS expects that fiscal 2009 EPS will continue to be between $2.95 to $3.05, on a diluted basis. A table reconciling EPS, excluding the estimated charge and the gain from the sale of MIBRAG, to GAAP EPS is attached to this release.
Source: http://www.urscorp.com/