-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, FBQKJY6L4rxL+faVsYrNUtslaN6fI6xhJGLe3b7jB3pl+HSN1AC2J7UfF2Echx42 9eb6FQ+HJhuMQbHM/z7oPw== 0001089473-10-000027.txt : 20100601 0001089473-10-000027.hdr.sgml : 20100531 20100601143217 ACCESSION NUMBER: 0001089473-10-000027 CONFORMED SUBMISSION TYPE: 8-K PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 20100601 ITEM INFORMATION: Regulation FD Disclosure ITEM INFORMATION: Financial Statements and Exhibits FILED AS OF DATE: 20100601 DATE AS OF CHANGE: 20100601 FILER: COMPANY DATA: COMPANY CONFORMED NAME: INVENTIV HEALTH INC CENTRAL INDEX KEY: 0001089473 STANDARD INDUSTRIAL CLASSIFICATION: SERVICES-MANAGEMENT CONSULTING SERVICES [8742] IRS NUMBER: 522181734 STATE OF INCORPORATION: DE FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 8-K SEC ACT: 1934 Act SEC FILE NUMBER: 000-30318 FILM NUMBER: 10869159 BUSINESS ADDRESS: STREET 1: 200 COTTONTAIL LANE STREET 2: VANTAGE COURT NORTH CITY: SOMERSET STATE: NJ ZIP: 08873 BUSINESS PHONE: 732-537-4800 MAIL ADDRESS: STREET 1: 200 COTTONTAIL LANE STREET 2: VANTAGE COURT NORTH CITY: SOMERSET STATE: NJ ZIP: 08873 FORMER COMPANY: FORMER CONFORMED NAME: VENTIV HEALTH INC DATE OF NAME CHANGE: 19990810 FORMER COMPANY: FORMER CONFORMED NAME: SNYDER HEALTHCARE SERVICES INC DATE OF NAME CHANGE: 19990624 8-K 1 form8kteaser.htm FORM 8-K TEASER form8kteaser.htm
 
 
 

SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549

FORM 8-K

CURRENT REPORT PURSUANT
TO SECTION 13 OR 15(D) OF THE
SECURITIES EXCHANGE ACT OF 1934

Date of Report (Date of Earliest Event Reported): June 1, 2010

INVENTIV HEALTH, INC.

(Exact Name of Registrant as Specified in its Charter)

DELAWARE
(State or Other Jurisdiction of Incorporation)

                            0-30318                                     ;                                                          52-2181734
                         (Commission File Number)                                             0;                                             (I.R.S. Employer Identification No.)

500 ATRIUM DRIVE
SOMERSET, NEW JERSEY 08873
(Address of Principal Executive offices) (Zip Code)

(800) 416-0555
(Registrant's Telephone Number, Including Area Code

N/A
(Former Name or Former Address, if changed Since Last Report)


 
 
 

INVENTIV HEALTH, INC.
CURRENT REPORT ON FORM 8-K


Item 7.01. Regulation FD Disclosure.

 
Beginning on June 1, 2010, representatives of the Company intend to make certain disclosures on the Company's forums, which may include investor conferences, presentations to analysts and presentations to bankers.  Such disclosures may include the information contained in Exhibit 99.1 attached to this Current Report on Form 8-K. The Company is furnishing the information contained in Exhibit 99.1 pursuant to Regulation FD.
 
 
The information contained in Exhibit 99.1 is summary information that is intended to be considered in the context of the Company's Securities and Exchange Commission (“SEC”) filings and other public announcements that the Company may make, by press release or otherwise, from time to time. The Company undertakes no duty or obligation to publicly update or revise the information contained in Exhibit 99.1, although it may do so from time to time as its management believes is warranted. Any such updating may be made through the filing of other reports or documents with the SEC, through press releases or through other public disclosure. By furnishing the information in this Item 7.01 and in Exhibit 99.1, the Company makes no admission as to the materiality of any information contained herein or therein.
 

Item 9.01. Financial Statements and Exhibits.
 
(d) Exhibits.
 
Exhibit 99.1    Company Information

The information in this Current Report on Form 8-K, including the exhibits hereto, shall not be deemed to be "filed" for the purposes of Section 18 of the Securities Exchange Act of 1934, as amended, or otherwise subject to the liability of that section. Furthermore, the information in this Current Report on Form 8-K shall not be deemed to be incorporated by reference into the filings of the Company under the Securities Act of 1933, as amended, except as set forth with respect thereto in any such filing.

SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

INVENTIV HEALTH, INC.

June 1, 2010
by           /s/ David Bassin                                                                                     
Name:  David Bassin
Title:  Chief Financial Officer and Secretary


 
 
 



EXHIBIT INDEX

Exhibit Number
  
Description of Exhibit
  
99.1
  
Company Information
  





 
 
 

EX-99.1 2 exhibit99-1.htm COMPANY INFORMATION 6-1-10 exhibit99-1.htm


 
EXHIBIT 99.1- COMPANY INFORMATION
 
 
SUMMARY HISTORICAL FINANCIAL DATA;  NON – GAAP RECONCILIATIONS
 

($ in millions)
Fiscal Year Ended December 31,
  
Three Months Ended (1)
  
LTM (1)
 
2007
2008
2009
  
3/31/2009
3/31/2010
  
3/31/2010
                 
Total Revenues:
                
Clinical
$186.9
$216.9
$209.5
  
51.2
53.9
  
$212.3
Communications
289.1
341.9
309.9
  
70.9
88.1
  
327.1
Commercial
400.8
435.1
413.3
  
107.0
96.6
  
417.0
Patient Outcomes
100.5
125.9
139.2
  
28.6
30.7
  
127.3
Total Revenues
$977.3
$1,119.8
$1,072.0
  
$257.7
$269.4
  
$1,083.7
% growth
N/C
14.6%
(4.3%)
  
N/C
4.5%
  
N/C
                 
Total Net Revenues
$796.7
$951.7
$927.9
  
$221.0
$229.6
  
$936.5
% growth
N/C
19.5%
(2.5%)
  
N/C
3.9%
  
N/C
                 
Gross Profit:
                
Clinical
59.4
67.4
55.7
  
12.6
13.6
  
56.7
Communications
113.3
142.7
140.3
  
32.1
35.8
  
144.1
Commercial
83.1
87.5
86.5
  
18.4
21.9
  
89.9
Patient Outcomes
39.9
49.8
59.8
  
13.3
13.9
  
60.3
Total Gross Profit
$295.7
$347.4
$342.3
  
$76.5
$85.2
  
$351.0
% of Net Revenues
37.1%
36.5%
36.9%
  
34.6%
37.1%
  
37.5%
                 
SG&A:
                
Clinical
45.2
50.6
45.3
  
11.1
11.9
  
46.1
Communications
71.3
99.2
93.8
  
22.2
25.2
  
96.9
Commercial
45.5
43.3
45.3
  
11.4
11.0
  
44.9
Patient Outcomes
21.6
26.9
30.8
  
7.4
7.8
  
31.1
Other
17.3
21.7
26.6
  
5.1
7.5
  
29.0
Total SG&A
$200.9
$241.7
$241.8
  
$57.2
$63.4
  
$248.0
                 
Impairment of Goodwill and Other Intangible Assets
                    -
             267.8
                    -
  
                    -
                    -
  
                    -
EBIT
$94.8
($162.2)
$100.6
  
$19.3
$21.7
  
$103.0
                 
Net Interest Expense
17.7
23.5
22.9
  
5.7
7.5
  
24.7
Earnings before Taxes
$77.1
($185.6)
$77.6
  
$13.6
$14.2
  
$78.3
                 
Tax Expense / (Benefit)
               29.4
              (58.2)
               29.9
  
                 5.8
                 3.9
  
               28.0
(Income) / Loss from Equity Investments
                (0.6)
                 0.1
                 0.1
  
                (0.0)
                 0.1
  
                 0.2
Gains on Disposals of Discontinued Operations
                (0.3)
                (0.7)
                    -
  
                    -
                    -
  
                    -
Net Income / (Loss) Attributable to Noncontrolling Interest
                 1.1
                 1.1
                 0.8
  
                (0.1)
                 0.2
  
                 1.1
Net Income (Loss) Attributable to inVentiv
$47.5
($128.0)
$46.9
  
$7.9
$10.1
  
$49.1
                 
EBITDA Reconciliations:
                
Plus: Tax Expense / (Benefit)
               29.4
              (58.2)
               29.9
  
                 5.8
                 3.9
  
               28.0
Plus: Net Interest Expense
               17.7
               23.5
               22.9
  
                 5.7
                 7.5
  
               24.7
Plus: Depreciation
               18.2
               20.9
               20.9
  
                 5.4
                 5.7
  
               21.3
Plus: Amortization
               10.9
               15.1
               12.4
  
                 3.2
                 3.2
  
               12.4
EBITDA
$123.7
($126.8)
$133.0
  
$27.9
$30.4
  
$135.4
Less: Gains on Disposals of Discontinued Operations
                (0.3)
                (0.7)
                    -
  
                    -
                    -
  
                    -
Plus: Impairment of Goodwill and Other Intangible Assets
                    -
             267.8
                    -
  
                    -
                    -
  
                    -
Plus: Receivables Reserve
                 8.1
                    -
                    -
  
                    -
                    -
  
                    -
Less: Acquisition-related Incentive
                (1.5)
                    -
                    -
  
                    -
                    -
  
                    -
Plus: Impairment Loss / (Gain) on Marketable Securities
                 0.8
                 2.6
                (0.4)
  
                    -
                    -
  
                (0.4)
Adjusted EBITDA
$130.9
$143.0
$132.6
  
$27.9
$30.4
  
$135.1
% of Net Revenues
16.4%
15.0%
14.3%
  
12.6%
13.2%
  
14.4%
% growth
N/C
9.3%
(7.3%)
  
N/C
8.6%
  
N/C
                 
Stock-Based Compensation - Non-Cash
9.7
10.6
8.9
  
2.6
2.2
  
8.6
Adjusted EBITDA excluding Stock-Based Compensation
$140.6
$153.6
$141.5
  
$30.5
$32.5
  
$143.7
% of Net Revenues
17.6%
16.1%
15.3%
  
13.8%
14.2%
  
15.3%
% growth
N/C
9.2%
(7.8%)
  
N/C
6.6%
  
N/C
                 
Capital Expenditures (2)
10.4
17.4
25.4
  
4.7
3.1
  
23.8
% of Net Revenues
1.3%
1.8%
2.7%
  
2.1%
1.3%
  
2.5%

* N/C: Not Calculated
    
(1)   Includes a reclassification of TTI results from Patient Outcomes to Commercial.
(2)   Disclosed on Statement of Cash Flows as Purchase of Property & Equipment.
 
    
     




 
PRO FORMA LTM 3/31/2010 ADJUSTED EBITDA RECONCILIATION
The following information reflects certain results of operation of the Company for the twelve month  period ending March 31, 2010.   The Pro Forma LTM Adjusted EBITDA Reconciliation reflects the Adjusted EBITDA of the Company for such period, further adjusted to reflect certain potential cost savings and other adjustments described below assuming the transactions contemplated by the Agreement and Plan of Merger, dated May 6, 2010, as it may be amended from time to time, providing for the acquisition of the Company by Papillon Holdings, Inc. an entity owned by certain affiliates of Thomas H. Lee Partners, L.P. had been consummated on April 1, 2009.  The adjustments are not intended to reflect all of the cost savings that may be realized following consummation of such transactions and the results of operation of the company following such transaction may be more positive or less positive than the results reflected below:

Net Income (Loss) Attributable to inVentiv
$49.1
Plus:  Tax Expense
28.0
Plus:  Net Interest Expense
24.7
Plus:  Depreciation
21.3
Plus : Amortization
12.4
EBITDA $135.4
Plus : Impairment Gain on Marketable Securities
(0.4)
Adjusted EBITDA
$135.1
Stock-Based Compensation (Non-Cash)
8.6
Adjusted EBITDA excluding Stock-Based Compensation
$143.7
Severance (1)
2.9
Legal Reserve (2)
1.5
Tax Reclassifications(3)
4.2
Estimated Public Company Cost Reductions (4)
0.9
Pro Forma Impact of Acquisitions (5)
2.0
Net Income Attributable to Non-Controlling Interests
1.1
Pro Forma Adjusted EBITDA
$156.3
 
(1) Non-recurring employee severance costs.
(2) Legal reserve related to customer dispute.
(3) Reclassification of non-cash tax expense from SG&A to tax provisions related to certain pre-acquisition tax contingencies.
(4) Estimate of public company cost reductions post Transaction.
(5) Pro forma impact of the Company’s acquisition of Paragon RX in December 2009 and Essential Group in February 2010.
 
 
  

 
 
Segment-Adjusted EBITDA(1); Non GAAP Reconciliations
 
 
The following information reflects a reconciliation of the operating income of the Company on a segment basis for the twelve month period ending March 31, 2010 to Segment-Adjusted EBITDA for such period.

 
inVentiv Clinical
inVentiv Commercial
inVentiv Communications
inVentiv Patient Outcomes
Corporate
Total
(in millions)
LTM 3/31/2010*
LTM 3/31/2010*
LTM 3/31/2010*
LTM 3/31/2010*
LTM 3/31/2010*
LTM 3/31/2010*
             
Operating income
$10.5
$45.1
$47.3
$29.2
($29.0)
$103.0
Add: Depreciation
3.1
13.0
3.9
1.4
0.0
21.3
Add: Amortization
1.1
1.3
6.8
3.2
0.0
12.4
Less: Gain on Marketable Securities
0.0
0.0
0.0
0.0
(0.4)
(0.4)
Less:  Income Attributable to Noncontrolling Interest
0.0
0.0
(1.1)
0.0
0.0
(1.1)
Less:  Loss from Equity Investments
0.0
0.0
(0.1)
0.0
0.0
(0.1)
Segment-Adjusted EBITDA
$14.7
$59.4
$56.7
$33.8
($29.4)
$135.1
Add: Stock Compensation Expense
1.1
1.7
1.8
0.6
3.4
8.6
Segment-Adjusted EBITDA excluding stock compensation expense
$15.8
$61.1
$58.5
$34.4
($26.0)
$143.7
* Last Twelve Months ended March 31, 2010

 
(1)  We define “Segment-Adjusted EBITDA” as segment operating income after the adjustments shown in the table above.  We are not able to reconcile Segment-Adjusted EBITDA to net income because we do not record net income by segment.  Segment-Adjusted EBITDA is not equivalent to “Adjusted EBITDA” as presented in the prior tables because we have not allocated net interest expense and tax expense on a division basis.

Note:  This Exhibit contains the non-GAAP financial measures “EBIT,” “EBITDA,” “Adjusted EBITDA” and “Segment-Adjusted EBITDA.”  These non-GAAP measures are not in accordance with, or an alternative for, generally accepted accounting principles and may be different from non-GAAP measures used by other companies.  In addition, these non-GAAP measures are not based on any comprehensive set of accounting rules or principles.  Non-GAAP measures have limitations in that they do not reflect all of the amounts associated with our results of operations as determined in accordance with GAAP.  Management believes that the non-GAAP financial measures included in this exhibit, w hen shown in conjunction with the corresponding GAAP measures, is useful to investors for the reason discussed above.  Management uses these non-GAAP financial measures in assessing the performance of our operations on a consistent basis from period to period.




 
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