Crawford reports increased net income for fourth quarter

Crawford & Company has reported a 2008 Q4 net income of US$8.3 million, more than 150% over the US$3.3 million in 2007 Q4.
Net income in 2008 Q4 included a US$25.5 million non-taxable gain on the sale of the company’s Holland subsidiary and restructuring costs in some of its operations which totalled US$2.2 million, after related income taxes, the company reported in a release.
Net income for 2008 was US$32.3 million, up 100% over 2007’s net income of $16.1 million.
 “We were pleased with our results for 2008, especially as the global economy entered into one of the most challenging economic periods in over half a century,” Jeffrey T. Bowman, CEO of Crawford & Company, said in the release.
“Our operating plans for 2009 anticipate continued progress being made in our business units as we build on 2008’s strong results.  However, the immediate effect of severe stock market declines and economic slowing has been to negatively affect the asset values in our defined benefit pension plans during the latter half of fiscal 2008. 
“As a consequence, despite anticipated improvement in operating performance, our guidance for fiscal 2009 includes a substantial increase in defined benefit pension expense that materially affects our net earnings outlook.”