Enters into new Three Year Credit Facility with TD Bank, N.A.
BASKING RIDGE, N.J., March 13 /PRNewswire-FirstCall/ -- Hooper Holmes (Amex: HH) today announced financial results for the fourth quarter and year ended December 31, 2008.
For the three months ended December 31, 2008, total revenues decreased 7.7% to $47.4 million compared to $51.4 million in the fourth quarter of 2007. The Company recorded net income of $1.2 million for the fourth quarter of 2008, or $0.02 per share compared to net income of $6.9 million, or $0.10 per share in 2007. The fourth quarter 2008 results include $1.4 million of income from continuing operations, or $0.02 per share, compared to a loss from continuing operations of $2.3 million, or $(0.03) per share in the prior year. Net income for the fourth quarter of 2008 includes a loss of $0.2 million from discontinued operations. The net income for the fourth quarter of 2007 included income from discontinued operations of $9.2 million, related to the gain on sale of the Company's UK subsidiary, Medicals Direct Group.
The fourth quarter 2008 revenue decline is partially due to the impact of the economic downturn on the Company's life insurance customers. As a result of this revenue decline in the fourth quarter, annual incentive targets were not met. The Company therefore reversed approximately $1.6 million of incentive accruals recorded during the first nine months of the year, reducing its fourth quarter SG&A as compared to the prior year.
On March 9, 2009, the Company entered into a three year Loan and Security Agreement with TD Bank, N.A. which provides a revolving line of credit of up to $15 million. Currently, there are no borrowings outstanding under the facility.
For the twelve months ended December 31, 2008, total revenues were $198.2 m
|SOURCE Hooper Holmes|
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