SEGMENT INFORMATION

6 Months Ended

Jun. 30, 2014

SEGMENT INFORMATION [ABSTRACT]

SEGMENT INFORMATION

(3)SEGMENT INFORMATION

The Company reports the following four segments:

• the CMS segment includes the customer experience delivery solutions which integrate innovative technology with highly-trained customer experience professionals to optimize the customer experience across all channels and all stages of the customer lifecycle from an onshore, offshore or work-from-home environment;
• the CGS segment provides technology-enabled sales and marketing solutions that support revenue generation across the customer lifecycle, including sales advisory, search engine optimization, digital demand generation, lead qualification, and acquisition sales, growth and retention services;

• the CTS segment includes operational and design consulting, systems integration, and cloud and on-premise managed services, the requirements needed to design, deliver and maintain best-in-class multichannel customer engagement platforms; and
• the CSS segment provides professional services in customer experience strategy, customer intelligence analytics, system and operational process optimization, and culture development and knowledge management.

The Company allocates to each segment its portion of corporate operating expenses. All intercompany transactions between the reported segments for the periods presented have been eliminated.

The following tables present certain financial data by segment (in thousands):

Three Months Ended June 30, 2014
			Gross Revenue		Intersegment Sales		Net Revenue		Depreciation & Amortization		Income (Loss) from Operations
Customer Management Services		$	218,683	$	-	$	218,683	$	10,169	$	16,493
Customer Growth Services			28,875		-		28,875		1,468		1,831
Customer Technology Services			35,753		(16)		35,737		2,008		1,616
Customer Strategy Services			12,195		-		12,195		444		727
	Total	$	295,506	$	(16)	$	295,490	$	14,089	$	20,667
Three Months Ended June 30, 2013
			Gross Revenue		Intersegment Sales		Net Revenue		Depreciation & Amortization		Income (Loss) from Operations
Customer Management Services		$	220,965	$	(324)	$	220,641	$	8,532	$	16,465
Customer Growth Services			22,399		-		22,399		777		(620)
Customer Technology Services			36,717		(73)		36,644		1,489		5,819
Customer Strategy Services			10,256		(248)		10,008		465		(1,989)
	Total	$	290,337	$	(645)	$	289,692	$	11,263	$	19,675
Six Months Ended June 30, 2014
			Gross Revenue		Intersegment Sales		Net Revenue		Depreciation & Amortization		Income (Loss) from Operations
Customer Management Services		$	446,607	$	-	$	446,607	$	19,634	$	37,316
Customer Growth Services			57,780		-		57,780		3,024		3,601
Customer Technology Services			68,532		(19)		68,513		3,723		1,927
Customer Strategy Services			24,811		-		24,811		878		2,180
	Total	$	597,730	$	(19)	$	597,711	$	27,259	$	45,024
Six Months Ended June 30, 2013
			Gross Revenue		Intersegment Sales		Net Revenue		Depreciation & Amortization		Income (Loss) from Operations
Customer Management Services		$	443,854	$	(631)	$	443,223	$	16,394	$	37,196
Customer Growth Services			45,255		-		45,255		1,474		656
Customer Technology Services			70,363		(157)		70,206		3,005		8,717
Customer Strategy Services			20,186		(795)		19,391		945		(3,896)
	Total	$	579,658	$	(1,583)	$	578,075	$	21,818	$	42,673

			Three Months Ended June 30,				Six Months Ended June 30,
			2014		2013		2014		2013
Capital Expenditures
	Customer Management Services		$	14,587	$	8,110	$	24,499	$	10,396
	Customer Growth Services			1,289		435		1,669		751
	Customer Technology Services			3,407		960		8,038		2,288
	Customer Strategy Services			105		50		277		225
		Total	$	19,388	$	9,555	$	34,483	$	13,660
			June 30, 2014		December 31, 2013
Total Assets
	Customer Management Services		$	531,926	$	554,015
	Customer Growth Services			84,058		86,416
	Customer Technology Services			153,552		157,040
	Customer Strategy Services			47,101		44,871
		Total	$	816,637	$	842,342
			June 30, 2014		December 31, 2013
Goodwill
	Customer Management Services		$	27,240	$	19,819
	Customer Growth Services			30,395		30,128
	Customer Technology Services			42,709		42,709
	Customer Strategy Services			10,437		10,087
		Total	$	110,781	$	102,743

The following table presents revenue based upon the geographic location where the services are provided (in thousands):

			Three Months Ended June 30,				Six Months Ended June 30,
			2014		2013		2014		2013
Revenue
	United States		$	137,596	$	132,341	$	284,065	$	264,088
	Philippines			85,541		88,049		172,207		174,158
	Latin America			43,258		44,303		85,304		89,331
	Europe / Middle East / Africa			22,267		16,638		41,484		33,621
	Asia Pacific			5,358		4,359		11,758		8,585
	Canada			1,470		4,002		2,893		8,292
		Total	$	295,490	$	289,692	$	597,711	$	578,075