EX-99.1 3 dex991.htm PRO FORMA FINANCIAL STATEMENTS PRO FORMA FINANCIAL STATEMENTS

Exhibit 99.1

 

RURAL/METRO CORPORATION

PROFORMA STATEMENT OF OPERATIONS (UNAUDITED)

FOR THE YEAR ENDED JUNE 30, 2003

 

     Rural/Metro
Corporation


    Discontinued
Operations


    Adjustments (1)

   Pro forma
Combined


 

NET REVENUE

   $ 520,477     $ (14,677 )   $ —      $ 505,800  
    


 


 

  


OPERATING EXPENSES

                               

Payroll and employee benefits

     284,021       (6,751 )            277,270  

Provision for doubtful accounts

     85,046       (2,806 )            82,240  

Depreciation and amortization

     13,289       (188 )            13,101  

Other operating expenses

     113,535       (2,716 )            110,819  

Restructuring charge and other

     (1,421 )     —                (1,421 )
    


 


 

  


Total operating expenses

     494,470       (12,461 )     —        482,009  
    


 


 

  


OPERATING INCOME

     26,007       (2,216 )     —        23,791  

Interest expense

     (28,012 )     —                (28,012 )

Interest income

     197       (1 )     —        196  

Other income, net

     146       —                146  
    


 


 

  


LOSS BEFORE INCOME TAXES

     (1,662 )     (2,217 )     —        (3,879 )

INCOME TAX EXPENSE

     (197 )     —                (197 )

MINORITY INTEREST

     (1,507 )     —         —        (1,507 )
    


 


 

  


LOSS FROM CONTINUING OPERATIONS

   $ (3,366 )   $ (2,217 )   $ —      $ (5,583 )
    


 


 

  



(1) - The pro forma statement of operations gives effect to the disposition of the two domestic medical transportation service areas as if the dispositions occurred on July 1, 2000. The results of the two domestic medical transportation service areas have been removed from the pro forma statement of operations.


RURAL/METRO CORPORATION

PRO FORMA STATEMENT OF OPERATIONS (UNAUDITED)

FOR THE YEAR ENDED JUNE 30, 2002

 

     Rural/Metro
Corporation


    Discontinued
Operations


    Adjustments (1)

   Pro forma
Combined


 

NET REVENUE

   $ 488,980     $ (15,030 )   $ —      $ 473,950  
    


 


 

  


OPERATING EXPENSES

                               

Payroll and employee benefits

     269,123       (7,670 )            261,453  

Provision for doubtful accounts

     77,725       (2,362 )            75,363  

Depreciation and amortization

     16,267       (1,181 )            15,086  

Other operating expenses

     103,280       (3,174 )            100,106  

Contract termination costs and related asset impairment charges

     (107 )     —                (107 )

Restructuring charge and other

     (718 )     171              (547 )
    


 


 

  


Total operating expenses

     465,570       (14,216 )     —        451,354  
    


 


 

  


OPERATING INCOME

     23,410       (814 )     —        22,596  

Interest expense

     (25,462 )     —                (25,462 )

Interest income

     644       —                644  

Other income, net

     8       (8 )            —    
    


 


 

  


LOSS BEFORE INCOME TAXES

     (1,400 )     (822 )     —        (2,222 )

INCOME TAX BENEFIT

     2,520       —                2,520  

MINORITY INTEREST

     (750 )     —                (750 )
    


 


 

  


INCOME (LOSS) FROM CONTINUING OPERATIONS

   $ 370     $ (822 )   $ —      $ (452 )
    


 


 

  



(1) - The pro forma statement of operations gives effect to the disposition of the two domestic medical transportation service areas as if the dispositions occurred on July 1, 2000. The results of the two domestic medical transportation service areas have been removed from the pro forma statement of operations.


RURAL/METRO CORPORATION

PRO FORMA STATEMENT OF OPERATIONS (UNAUDITED)

FOR THE YEAR ENDED JUNE 30, 2001

 

     Rural/Metro
Corporation


    Discontinued
Operations


    Adjustments (1)

   Pro forma
Combined


 

NET REVENUE

   $ 479,414     $ (16,828 )   $ —      $ 462,586  
    


 


 

  


OPERATING EXPENSES

                               

Payroll and employee benefits

     271,976       (9,084 )            262,892  

Provision for doubtful accounts

     86,876       (5,232 )            81,644  

Depreciation and amortization

     25,741       (1,413 )            24,328  

Other operating expenses

     131,889       (4,363 )            127,526  

Asset impairment charges

     48,050       (15,711 )            32,339  

Contract termination costs and related asset impairment charges

     9,256       —                9,256  

Restructuring charge and other

     9,091       (29 )            9,062  
    


 


 

  


Total operating expenses

     582,879       (35,832 )     —        547,047  
    


 


 

  


OPERATING LOSS

     (103,465 )     19,004       —        (84,461 )

Interest expense

     (30,624 )     —                (30,624 )

Interest income

     642                      642  

Other expense, net

     (4,053 )     4,053              —    
    


 


 

  


LOSS BEFORE INCOME TAXES

     (137,500 )     23,057       —        (114,443 )

INCOME TAX PROVISION

     (1,137 )     —                (1,137 )

MINORITY INTEREST

     705       1,585              2,290  
    


 


 

  


LOSS FROM CONTINUING OPERATIONS

   $ (137,932 )   $ 24,642     $ —      $ (113,290 )
    


 


 

  



(1) - The pro forma statement of operations gives effect to the disposition of the two domestic medical transportation service areas as if the dispositions occurred on July 1, 2000. The results of the two domestic medical transportation service areas have been removed from the pro forma statement of operations.