(23)QUARTERLY FINANCIAL DATA (UNAUDITED)

The following tables present certain quarterly financial data for the year ended December 31, 2016 (in thousands except per share amounts).


	First		Second		Third		Fourth
	Quarter		Quarter		Quarter		Quarter

Revenue	$	312,410	$	305,105	$	312,796	$	344,947
Cost of services		231,340		226,768		233,541		249,943
Selling, general and administrative		45,500		44,774		40,628		44,895
Depreciation and amortization		17,729		17,221		16,811		16,914
Restructuring charges, net		88		114		3,688		502
Impairment losses		—		—		5,602		26,448
Income from operations		17,753		16,228		12,526		6,245
Other income (expense)		(1,320)		(734)		(690)		290
(Provision for) benefit from income taxes		(4,528)		(2,952)		813		(6,196)
Non-controlling interest		(680)		(926)		(1,198)		(953)
Net income (loss) attributable to TeleTech stockholders	$	11,225	$	11,616	$	11,451	$	(614)

Weighted average shares outstanding
Basic		48,368		47,873		47,081		46,386
Diluted		48,746		48,221		47,315		46,677

Net income per share attributable to TeleTech stockholders
Basic	$	0.23	$	0.24	$	0.24	$	(0.01)
Diluted	$	0.23	$	0.24	$	0.24	$	(0.01)

Included in Other income (expense) in the third quarter is $4.3 million benefit related to fair value adjustments to the contingent consideration related to revised estimates of the performance against the targets for one of the Company’s acquisitions.

Included in Other income (expense) in the third quarter is a $5.3 million expense related to the determination that two business units would be divested and are being reported as Assets Held for Sale.

Included in the Provision for Income Taxes is a $1.3 million benefit in the third quarter and a $0.2 million benefit in the fourth quarter related to restructuring charges. Also included are a $0.1 million of benefit in the first quarter, $1.0 milliion of expense in the second quarter, and $0.4 million of benefit in the fourth quarter related to changes in valuation allowances. Also included are $0.7 million of expense recorded in the second quarter, $0.6 million of expense recorded in the third quarter and $0.4 million of expnse recorded in the fourth quarter related to return to provision adjustments. Additionally, in the fourth quarter there was $1.1 million of expense related to a transfer pricing adjustment for a prior period. Also included are a $0.5 million expense in the fourth quarter related to tax rate changes. Finally, there was a $1.5 million benefit in the third quarter and a $8.3 million benefit in the fourth quarter related to impairments and assets held for sale.

The following tables present certain quarterly financial data for the year ended December 31, 2015 (in thousands except per share amounts).


	First		Second		Third		Fourth
	Quarter		Quarter		Quarter		Quarter

Revenue	$	325,521	$	310,223	$	309,195	$	341,816
Cost of services		232,984		223,617		225,978		245,668
Selling, general and administrative		50,237		47,376		48,418		48,575
Depreciation and amortization		15,363		15,680		15,486		17,279
Restructuring charges, net		809		198		622		185
Impairment losses		—		—		3,066		5,034
Income from operations		26,128		23,352		15,625		25,075
Other income (expense)		(1,688)		(18)		(1,995)		(590)
Provision for income taxes		(4,405)		(7,841)		(1,192)		(6,566)
Non-controlling interest		(1,263)		(797)		(1,243)		(916)
Net income attributable to TeleTech stockholders	$	18,772	$	14,696	$	11,195	$	17,003

Weighted average shares outstanding
Basic		48,370		48,325		48,345		48,439
Diluted		49,158		49,064		48,936		48,853

Net income per share attributable to TeleTech stockholders
Basic	$	0.39	$	0.30	$	0.23	$	0.35
Diluted	$	0.38	$	0.30	$	0.23	$	0.35

Included in the fourth quarter is an additional $2.9 million expense related to the correction of an error in goodwill impairment annual assessment that should have been recorded in the fourth quarter of 2014 and the third quarter of 2015. See Note 1 for further information.

Included in Other income (expense) in the second, the third and the fourth quarters are a $0.5 million benefit, a $0.8 million expense and a $0.3 million benefit related to fair value adjustments to the contingent consideration related to revised estimates of the performance against the targets for two of the Company’s acquisitions.

Included in the Provision for Income Taxes is a $0.3 million benefit in the first quarter, a $0.1 million benefit in the second quarter, a $0.2 million benefit in the third quarter and a $0.1 million benefit in the fourth quarter related to restructuring charges. Also included are a $0.3 million of benefit in the first quarter, $0.2 million of expense in the second quarter and $1.2 million of expense in the fourth quarter related to changes in valuation allowances. Additionally, in the second quarter there was $1.5 million of expense related to the recording of an uncertain tax position. Finally, there was a $0.5 million benefit in the first quarter related to tax rate changes, a $1.3 million benefit in the third quarter and a $1.3 million benefit in the fourth quarter related to impairments and $1.3 million of expense in the fourth quarter related to various state NOL’s.

Included in the second quarter is a $1.75 million additional estimated tax liability that should have been recorded in prior periods related to ongoing discussions with relevant government authorities related to site compliance with tax advantaged status. See Note 1 for further information.