Loss from Discontinued Operations

6 Months Ended

Jun. 30, 2013

Discontinued Operations and Disposal Groups [Abstract]

Income from discontinued operations [Text Block]

Note 11 – Loss from discontinued operations

			Three Months		Six Months
			Ended June 30,		Ended June 30,
(In millions)			2013	2012	2013	2012
Discontinued European operations(a):
	Loss from operations(b)	$	(4.3)	(4.9)	(23.4)	(10.1)
	Loss from sale		(0.2)	-	(0.7)	-
Adjustments to contingencies of former operations			1.2	-	1.2	0.1
Loss from discontinued operations before income taxes			(3.3)	(4.9)	(22.9)	(10.0)
Provision (benefit) for income taxes			1.2	(1.0)	0.9	(1.4)
Loss from discontinued operations, net of tax		$	(4.5)	(3.9)	(23.8)	(8.6)

• Discontinued operations include cash-in-transit operations in Germany,Poland, and Turkey, and guarding operations in France, Morocco, and Germany. Revenues from these European operations were $21.7million in the three months and $45.8million in the six months ended June 30, 2013, and $31.6million in the three months and $62.9million in the six months ended June 30, 2012.No interest expense was included in discontinued operations in the first six months ended June 30, 2013 and 2012.
• As of June 30, 2013, loss from operations includes $16.2million of severance expenses which will be required to be paid to terminate certain employees of the German cash-in-transit operations after the sale of the business is completed.  We intend to contribute a portion of the cost to fund the severance payments to the business prior to the execution of the sale transaction.

Discontinued European Operations

In 2012, we agreed to sell our cash-in-transit operations in Germany and Poland as well as event security operations in France.  The divestiture in France closed in January 2013 (no loss on sale for the six months ended June 30, 2013), the divestiture in Poland closed in March 2013 ($0.3million loss on sale for the six months ended June 30, 2013), and the divestiture of the cash-in-transit operations in Germany is expected to be completed in the third quarter of 2013.  We completed the divestiture of guarding operations in Morocco in December 2012 and recognized a loss on the sale of $0.6million ($0.3million in the fourth quarter of 2012 and $0.3million in the second quarter of 2013).

In July 2013, we completed the sale of our aviation security services business in Germany. In addition, we completed the shutdown of our cash-in-transit operations in Turkey in June 2013.

The results of these operations in Germany, Poland, France, Turkey, and Morocco have been excluded from continuing operations and are reported as discontinued operations for the current and prior periods.

The table below shows revenues and losses from operations before tax for the cash-in-transit operation in Germany to be sold in 2013:

			Three Months		Six Months
			Ended June 30,		Ended June 30,
(In millions)			2013	2012	2013	2012
German CIT Operation:
	Revenues	$	15.8	13.9	30.8	27.9
	Losses from operations before tax		3.4	2.9	21.6	5.8