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PAREXEL Reports First Quarter Fiscal Year 2011 Financial Results
Date:11/1/2010

ons resulted in lower than anticipated revenue.  New business wins in the quarter were healthy, and we are pleased with the ongoing development of our strategic partnerships, and the sustained success of our product and service offering.  A notable highlight was our continued growth in the Asia/Pacific region, where we remain a market leader."

Mr. von Rickenbach continued, "A number of leading biopharmaceutical companies have made a fundamental shift in the way they work with us, and now more than ever, PAREXEL plays an important role in their success.  However, one of the characteristics of this new strategic partnership model appears to be that revenue runs off more slowly than has been typical with projects.  Additionally, in the first quarter we experienced an elevated level of project delays and cancellations, including two large projects which were cancelled by clients near the end of the quarter.  These factors have caused us to update our forward-looking financial guidance.  Given our recent new business wins, existing backlog, current proposal pipeline and prospects for additional partnership opportunities, however, we believe our outlook for the future remains very bright.  I feel that the foundation of our Company has never been stronger, and that we continue to be very well positioned to achieve future revenue and earnings per share growth in Fiscal Year 2011 and beyond."

During the first quarter of Fiscal Year 2011, the Company implemented a new project accounting and billing system, which caused delays in client billing.  As a consequence, the first quarter's days sales outstanding (DSO) increased to 82 days.  The issues with the new billing system have now been largely resolved, and the Company anticipates that DSO will be in the range of 55 days to 65 days at the end of December, with further decreases expected thereafter.

The Company issued forward-looking guidance for the second qua
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SOURCE PAREXEL International Corporation
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