Century Business Services, Inc., Announces Five New Acquisitions Plus
Two Tuck-In Acquisitions, Including Six Accounting and Tax Services
Firms, Adding More Than $20 Million in Revenue
CENTURY ALSO CLOSES A PREVIOUSLY ANNOUNCED ACQUISITION
CLEVELAND, July 27 /PRNewswire/ -- Century Business Services, Inc. (Nasdaq: CBIZ - news; ''Century''), the nation's
fastest emerging outsourced business services company, today announced the acquisition of seven business services firms,
including six accounting, tax and business consulting firms and one benefits consulting firm. The acquisitions include the
accounting, tax and consulting firms of Bertram, Vallez, Kaplan & Talbot, Ltd., based in Minneapolis, Minnesota;
Daniel/Pappadakis & Company, based in Atlanta, Georgia; Rhode, Scripter & Associates (RSA), based in Boulder,
Colorado; Regan, Russell, Schickner & Shah, P.A., based in Columbia, Maryland, and Alexandria, Virginia; and two tuck-in
acquisitions: Sayler, Soetebier, Lane & Whitmore, based in Emporia, Kansas, and Poore, Dameron & Associates, Chartered,
based in Wichita, Kansas. Adding to its benefits consulting services capability, Century announced the acquisition of
Cornerstone Broker Services Agency, LLC, and its related business, Southern Ohio Benefits Agency, based in Cincinnati and
Dayton, Ohio.
The proposed acquisitions, if and when completed, will add more than $20 million to Century's annualized revenue and will
bring Century's annualized revenue run rate to more than $360 million. The acquisitions, which are expected to close in the
third quarter, are subject to further due diligence and definitive agreements.
Commenting on the acquisitions, Michael G. DeGroote, Century's Chairman and Chief Executive Officer, stated, ''As we
continue implementing our acquisition strategy, we are pleased to add to our business services network such high caliber firms.
By continuing to consolidate successful companies, companies that are renown for client retention and satisfaction, we are
shaping Century into the premier business services firm in the nation.''
The acquisition of Bertram, Vallez, Kaplan & Talbot (BVK&T) significantly strengthens Century's presence in the Twin Cities
of Minneapolis and St. Paul. BVK&T has developed an outstanding reputation in the business community for professionalism
and attentive customer service. BVK&T provides a wide array of services including tax preparation, management consulting,
computer services, and financial statement preparation.
Robert Bertram, CPA and a founding principal of BVK&T, commented, ''We are excited to join an organization that shares
our desire for growth and dedication to quality and customer service. Century's network of service providers and menu of
offerings will allow us to assist our clients more than ever while exposing us to a vast client base. We are looking forward to
working with the other Century firms already in the Twin Cities marketplace.''
Daniel/Pappadakis & Company, which offers accounting, tax, and business advisory services to a distinguished group of
high-profile clients, enhances Century's presence in the Atlanta, Georgia market. Daniel/Pappadakis serves firms from a variety
of industries, and specializes in the wholesale distribution, professional service, restaurant, and construction sectors. Known for
its strong customer focus, Daniel/Pappadakis' reputation for quality facilitates Century's ability to cross-service its entire menu
of outsourced business services.
Tony Pappadakis, senior partner of Daniel/Pappadakis & Company, stated, ''Our decision to join Century was based on our
goal to grow our practice by offering our clients additional high-quality services. We are confident that the Century group of
firms offers the means for us to achieve our goals.''
Century enters the Boulder, Colorado market for outsourced accounting services with the acquisition of Rhode, Scripter &
Associates, a premier certified public accounting and consulting firm operating primarily in the Boulder metropolitan area.
Founded more than 30 years ago, RSA provides a full range of accounting, tax and consulting services, including business
management advisory services, information systems consulting, business valuation, tax consultation, tax return preparation, and
data processing to small and mid-sized business clients. RSA prides itself on the firm's reputation for excellence and
professionalism and places a premium on objectivity, creativity, and timeliness.
Rudy Rudolph, a senior partner of Rhode, Scripter and Associates, commented, ''Our merger with Century will broaden our
access to some of the most sophisticated accounting, technology and business networks and services available. Not only will
this give us an advantage in providing added value to our clients, it will help guide our clients to long-term success.''
The addition of Regan, Russell, Schickner & Shah, P. A., to Century's base of accounting firms further supplements Century's
strength as a national provider of outsourced business services. Headquartered in Columbia, Maryland, and Alexandria,
Virginia, Regan, Russell, which specializes in the construction industry, serves clients throughout Maryland, Virginia, and
Washington, D.C. Regan, Russell's capabilities extend far beyond accounting services to include tax preparation services,
litigation support, information systems consulting, valuation services, and financial and management consulting.
''Regan, Russell, Schickner & Shah has always known the value of acting as a business partner rather than simply as an
accounting firm,'' commented Lawrence Regan, a managing partner of Russell, Regan, Schickner & Shah. ''Since our founding
in 1986, one of our primary objectives has been to help our clients succeed. With Century's resources behind us, we are in a
much better position to achieve this.''
Century's two ''tuck-in'' acquisitions of Emporia, Kansas-based Sayler, Soetebier, Lane & Whitmore, and Wichita,
Kansas-based Poore, Dameron, & Associates, Chartered, fortify the Company's accounting, tax, and consulting service
capabilities in the Midwest.
Cincinnati, Ohio-based Cornerstone Broker Insurance Services Agency, LLC, and its related business, Southern Ohio
Benefits Agency, act as a multi- carrier, full-service, group health insurance brokerage firm. Cornerstone meets the group
health insurance distribution needs of insurance carriers in the Southern Ohio region, and is one of the largest wholesalers of
group insurance in the country. A general benefits agency for four of the five largest carriers in the region, Cornerstone handles
a variety of tasks for clients, including proposal, billing, commission, and other value-added services.
Additionally, the Company announced the closing of the accounting, tax and consulting firm of MRC with offices in Dayton and
Columbus, Ohio.
Century Business Services, Inc. is a leading provider of outsourced business services to small and medium sized companies
throughout the United States. The Company provides integrated services in the following areas: accounting systems, advisory
and tax; benefits design and administration; human resources; information technology systems; payroll administration; specialty
insurance; valuation; and workers' compensation. These services are provided throughout a network of more than 110
Company offices in 29 states, as well as through its subsidiary, Century Small Business Solutions, a franchisor of accounting
services with 650 franchisee offices in 47 states. The Company services approximately 102,000 clients, of which
approximately 54,000 are serviced through the Century Small Business Solutions franchisee network. Management estimates
that its clients employ over one million employees including 400,000 employed by clients of the Century Small Business
Solutions network.
Forward-looking statements in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation
Reform Act of 1995. Such forward-looking statements are subject to certain risks and uncertainties that could cause actual
results to differ materially from those projected. Such risks and uncertainties include, but are not limited to, the Company's
ability to integrate its newly acquired operations effectively with its existing businesses; the Company's ability to locate and
acquire other businesses in furtherance of its aggressive growth strategy; the Company's ability to adequately estimate its
liability reserves for its insurance businesses; the lack of market reverses in its investment portfolios; competitive pricing
pressures; general business and economic conditions; and changes in governmental regulation affecting its insurance business or
tax law changes affecting its business services operations, which are described in further detail in the Company's filings with the
Securities and Exchange Commission.
For further information regarding Century Business Services, Inc., call its Investor Relations Office at 216-447-9000.
SOURCE: Century Business Services, Inc.
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