440000000
300000000
0.115
110000000
0.130
350946000
20500000
26777
122303
4.6
26777
472709
4.6
1
19000000
7.9
0.185
3900000
0.185
890000000
7900000
7900000
7900000
750500000
7900000
7900000
790000000
300000000
100000000
2018
790000000
2020
0.010
0.010
0.020
0.030
0.030
0.020
890000000
110000000
890000000
1500000
150000
45000000
17100000
0.630
29900000
0.37
3400000
700000
9400000
17100000
0.63
4600000
39500000
85.0
425000
85000000
1500000
110800000
110761000
6004000
65843000
123663000
2880000
1720000
341000
12902000
3006000
2872000
45723000
7520000
656000
2800000
2200000
800000
23400000
51551000
475000000
7412000
25000000
7843000
372603000
-20638000
226290000
41345000
105097000
1509000
-445908000
1975350000
146277000
96735000
99932000
8438000
1975350000
64605609
65000
131266000
987779000
13361000
1185297000
767887000
424627000
788025000
11338000
0.001
346044000
7900000
26582000
64605609
57535000
1500000
3446000
206953000
1248691000
9800000
0.001
759987000
0.040
0.001
2600000
782210000
241337000
22715000
131266000
555893000
788000000
9.57
20138000
1000000
795900000
100000
100000000
2018
790000000
7900000
7900000
7900000
750500000
7900000
5900000
788000000
788025000
0.010
0.020
0.030
0.020
2300000
500000
5600000
0.80
64605609
65000
-445908000
1248691000
-20638000
808710000
158253000
20816000
1.9704
1500000
150000
183290000
183290000
54000
36000
18000
2994000
893000
2101000
369555000
130337000
239218000
5000000
1300000
27100000
1675000
14360000
-59961000
0.070
100000
0.040
6011496
6000
-174641000
-103000
123335000
-8558000
1315003
1316146
633452000
1691000
4420000
15438000
887895000
-135333000
0.048
0.075
6021984
6000
-250597000
-125000
125740000
-10357000
700000
1317053
1318442
699533000
23719
200000
7100000
900000
1443000
1300000
463000
5407000
6387000
11050000
1777000
6344
14500000
1514000
47950000
15088000
7933000
898000000
10656000
15527000
371246000
-14161000
193672000
22572000
177629000
183800000
90845000
1814000
-318680000
1771164000
156144000
4932000
30448000
237157000
3984000
89033000
14313000
71009000
-143801000
2087000
163316000
330069000
33828000
7500000
994000
1317581
1771164000
6024395
6000
101977000
29678000
947371000
8980000
3203000
1189243000
165397000
799257000
453117000
10529000
1438000
5947000
125000
237157000
4814000
18580000
12916000
6018051
60656000
1116000
1111000
500000
1500000
241000
3878000
124205000
126932000
825000000
16027000
1318970
0.001
92912000
7492000
794443000
0.001
772422000
3100000
-206028000
269269000
22526000
7850000
63985000
714000
2272000
462000
9048000
0.0595
1000000
471000
23248000
9991000
6257000
2606000
1273000
3657000
1007000
24255000
10583000
326000
9502000
525000
84000
10580000
146000
3000
300000000
174055000
0
0.055
350946000
0.056
0.043
100000
6024395
6000
-318680000
-125000
126932000
-14161000
0
19.76
715321
4.93
105925
800000
1317581
1318970
772422000
90.00
23191
23191
198468000
38689000
4200000
4200000
54000
29000
25000
1798000
516000
1282000
365194000
97232000
267962000
27600000
17533000
17063000
6159000
62917000
57228000
9966000
2135000
14500000
1627000
52344000
13629000
7412000
973000000
2189000
8012000
8126000
373728000
191060000
-8816000
800000
201893000
27827000
21600000
172293000
183800000
90563000
1603000
-395165000
1913632000
146404000
6579000
34109000
340376000
5270000
97207000
13867000
116157000
-133434000
80963000
0.185
213000
158426000
43533000
24000000
466286000
38859000
9659000
933000
1327115
1900000
26500000
1913632000
6062653
6000
124964000
50882000
993397000
12087000
4124000
87800000
55204000
1305292000
206328000
906643000
432580000
4500000
22100000
928284000
11367000
2015000
342125000
58750000
6354000
410000000
340376000
2036000
24944000
61335000
13674000
6062653
6600000
62714000
2085000
1341000
475000
0.63
1500000
850000
1430000
3727000
136017000
459896000
150088000
927000000
22500000
12200000
18969000
1327115
0.001
125910000
8481000
904607000
0.085
0.001
854101000
2600000
2036000
-253887000
248764000
23717000
50014000
6319000
92919000
124964000
557544000
840474000
4060000
2336000
18
386000
2
9160000
21641000
1000000
1300000
1750000
2300000
0
0.015
1000000
1000000
100000
737000
27493000
12806000
1918000
9641000
1018000
2410000
1037000
28530000
11411000
430000
10095000
679000
207000
11366000
45000
300000000
197810000
87800000
75000000
0
0.005
346111000
0.043
0.042
0.005
0.04
0.03
430474000
84363000
0.053
0.005
0.0425
0.0325
500000
100000
5600000
6062653
6000
-395165000
150088000
-8816000
300000
500000
0
0.0215
813357000
159215000
20825000
1400000
500000
5600000
12.00
533641
5300000
12.00
557464
896523
185915
12.00
1900000
4.93
20924
400000
22.00
600000
800000
32100000
511.51
116834
30700000
405
511.51
122077
27923
1327115
40704
1327115
511.51
854101000
10700000
90.00
4581
3100000
774.30
126658
0.815
230807000
109569000
183816000
183816000
54000
33000
21000
3147000
883000
2264000
370527000
124048000
246479000
35.1955
35.1955
475000000
25000000
35.1955
4800000
5000000
144461
31628
233300000
1600000
11600000
233300000
11600000
35.0
P5Y
P7Y
27
2018-05-28
2018-11-28
0.035
0.045
330800000
790000000
433000000
213300000
2000000
2020-01-30
2013-03-30
-63000000
0.5075
5000000
64
P4Y
P10Y
20
4900000
P5Y
P9Y
20
600000
0.5075
12.00
413953
711389
511.51
90630
P2Y
-2258000
447000
-258000
53320000
1078000
-987000
-20300000
100000
3656000
6387000
-2244000
-9994000
-45904000
28000
2738000
51000
-19321000
-1500000
-22000
8592000
-1799000
-20308000
62111000
65962000
2354000
-1516000
27631000
983000
1078000
1277000
68663000
900000
2354000
-1799000
-13570000
-9994000
6968000
300000
2500000
111000
6143000
-23497000
18392000
89000
179895000
300000
-77756000
2068000
-2241000
878159000
2800000
-1927000
83601000
-10314000
360000
-1723000
39522000
258000
312000
1400000
-75957000
27631000
3576000
231000
25700000
-497000
2400000
-2419000
52100000
174000
-11793000
400000
1800000
88999000
-11793000
-1391000
-7108000
5791000
5000
-11213000
70119000
698264000
3300000
-151000
-13890000
2300000
P4Y
P9Y
10488
65962000
-9994000
-22000
51000
2354000
-1799000
64712000
1251000
25324000
46770000
769235000
2057000
21141000
99086000
250000
752000
9838000
-12.64
P3Y8M9D
6006960
1123
-75957000
0.0140
0.820
4.34
0.000
9.99
49.21
208000
89000
1315153
246
64712000
65962000
2296
404.37
770848000
107311000
919581000
-9136000
100000
800000
1262000
-641000
27321000
-4980000
55451000
250000
-166000
1614000
-18500000
800000
4933000
57326000
-614000
4762000
-94992000
824000
3062000
12000
3973000
-1220000
71000
7937000
-5343000
5587000
-1539000
400000
54706000
72842000
1158000
-1043000
-3620000
27427000
342000
15010000
1517000
86836000
500000
1158000
P7Y
-5872000
4759000
1487000
62917000
100000
22000
-1536000
2500000
6330000
-23281000
20902000
-5018000
207201000
100000
-71887000
557000
-2063000
-259000
973701000
2900000
4392000
17063000
-1599000
236000
835000
92938000
825000
-287000
3000
13303000
42517000
59000
93000
800000
1436000
-68083000
27427000
6574000
7120000
28000000
636000
1200000
523000
57600000
-418000
-581000
800000
1800000
82908000
955000
1502000
-3804000
1956000
2968000
4851000
-1292000
133570000
766500000
3400000
4166000
-5749000
1539000
600000
2411
72842000
4759000
12000
1158000
22000
-3804000
71568000
1274000
25178000
58950000
844595000
1947000
28669000
114502000
302000
-783000
14604000
-11.32
P3Y5M19D
6016733
0
-68083000
0.0120
0.820
10.40
0.000
17.77
54.33
47000
1317273
71568000
72842000
528
472.70
843645000
130056000
P2Y10M24D
P5Y
P8Y10M24D
P15Y
1016125000
4804000
-500000
28000000
992247000
100000
7115000
1100000
200000
P10M24D
700000
P6Y9M18D
694000
-67000
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>15.    EMPLOYEE BENEFIT
PLANS</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company maintains a
401(k) Retirement Savings Plan (the “401(k) Plan”)
for all eligible employees. To be eligible for the 401(k) Plan, an
employee must be at least 20.5 years of age and have completed
their eligibility period of 60 days and 160 hours of
service from date of hire. If they do not meet the 160 hours
of service requirement, they may be eligible at 12 months
provided they have reached 1,000 hours of service from date of
hire. The 401(k) Plan is funded by elective employee contributions
of up to 50% of their compensation, subject to certain limitations.
Under the 401(k) Plan, the Company matches 25% of employee
contributions for each participant up to 8% of the employee’s
compensation after one year of service. Expense under the plan,
consisting of Company contributions and plan administrative
expenses paid by the Company, totaled approximately
$1.8 million for each of the years ended December 31,
2010 and 2011, and totaled $2.0 million for the year ended
December 31, 2012.</font></p>
</div>
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>13.    EARNINGS PER SHARE</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">As the Company has both
Class L and Class A common stock outstanding and the Class L
common stock has a preference with respect to all liquidation
distributions, net (loss) earnings per share is calculated using
the two-class method, which requires the allocation of earnings to
each class of common stock.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The numerator in
calculating Class L basic and diluted earnings per share is the
Class L preference amount accrued during the year presented plus,
if positive, a pro rata share of an amount equal to consolidated
net income less the Class L preference amount.</font></p>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The numerator in
calculating Class A basic and diluted earnings per share is an
amount equal to consolidated net income less the Class L preference
amount and Class L pro rata share amount, if any.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The weighted average
number of common shares in the common diluted earnings per share
calculation excludes all Class L shares and stock options
outstanding during the respective periods, as they would not be
dilutive. The weighted average number of Class L shares in the
earnings per share calculation excludes all Class L stock options
outstanding during the respective periods as they would not be
dilutive. The computation of basic and diluted earnings per common
share is as follows (in thousands, except share and per share
amounts):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="67%"></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="10" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Years ended December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2010</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Net (loss) income—basic and
diluted</b></font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(9,994</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,759</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">8,162</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accretion of Class L
preference</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">64,712</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">71,568</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">79,211</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accretion of Class L preference for
vested options</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,251</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,274</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">5,436</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Net (loss) available to common
shareholders</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(75,957</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(68,083</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(76,485</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
<tr>
<td height="8"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Allocation of net (loss) income to
common stockholders—basic and diluted:</b></font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Class L</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">64,712</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">71,568</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">79,211</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Class A</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(75,957</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(68,083</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(76,485</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr>
<td height="8"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Weighted average number of common
shares—basic and diluted:</b></font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Class L</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,315,153</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,317,273</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,326,206</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Class A</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,006,960</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,016,733</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,058,512</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td height="8"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Earnings (loss) per common
share—basic and diluted:</b></font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Class L</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">49.21</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">54.33</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">59.73</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Class A</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(12.64</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(11.32</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(12.62</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">As of December 31,
2010, 2011, and 2012, there were options outstanding to purchase
Class A common stock of 0.7 million shares,
0.8 million shares and 0.6 million shares that may be
dilutive in the future. As of December 31, 2010, 2011 and
2012, there were options outstanding to purchase 23,719 shares,
23,191 shares and 126,658 shares of Class L common stock that may
be dilutive in the future.</font></p>
</div>
-218000
-1153000
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The following pro forma
summary presents consolidated information as if the business
combinations had occurred on January 1, 2010 (in
thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="76%"></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>    Pro forma (Unaudited)    </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Years ended December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>      2010      </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>      2011      </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">919,581</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">992,247</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Net (loss) income attributable to
Bright Horizons Family Solutions Inc.</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(9,136</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7,115</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
</table>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2">The following pro forma summary
presents consolidated information as if the business combination
had occurred on January 1, 2011 (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="76%"></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Pro forma (Unaudited)</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Years ended December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,016,125</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,088,378</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Net income attributable to Bright
Horizons Family Solutions Inc.</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,804</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">10,329</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
</table>
</div>
61348000
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Leases and Accrued
Rent</b>—The Company leases space for certain of its centers
and corporate offices. Leases are evaluated and classified as
operating or capital for financial reporting purposes. The Company
recognizes rent expense from operating leases with periods of free
rent, tenant allowances and scheduled rent increases on a
straight-line basis over the applicable lease term. The difference
between rents paid and straight-line rent expense is recorded as
accrued rent.</font></p>
</div>
-22000
2512000
4870000
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Concentrations of
Credit Risk</b>—Financial instruments that potentially expose
the Company to concentrations of credit risk consist mainly of cash
and cash equivalents and accounts receivable. The Company mitigates
its exposure by maintaining its cash and cash equivalents in
financial institutions of high credit standing. The Company’s
accounts receivable, which are derived primarily from the services
it provides, are dispersed across many clients in various
industries with no single client accounting for more than 10% of
the Company’s net revenue or accounts receivable. The Company
believes that no significant credit risk exists at
December 31, 2011 and 2012.</font></p>
</div>
300000
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>12.    STOCKHOLDERS’ EQUITY AND
STOCK-BASED COMPENSATION</b></font></p>
<p style="MARGIN-TOP: 6px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b><i>Equity Incentive
Plan</i></b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company has an
incentive compensation plan (the “Plan”) under which it
was authorized to grant options to acquire 0.8 million shares
of Class A common stock to employees and directors, as well as
to consultants and advisors to the Company. On March 9, 2012
the stockholders of the Company voted to increase the number of
shares available to be issued in respect of awards granted under
the Plan to 150,000 shares of Class L common stock and
1.5 million shares of Class A common stock.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Stock options granted
under the Plan are subject to either a service condition or a
service condition and a performance condition, and expire at the
earlier of ten years from date of grant or termination of the
holder’s employment with the Company, unless such termination
was due to death, disability or retirement, unless otherwise
determined by the Administrator of the Plan. The majority of the
options have a requisite service period of five years, with 40% of
the options vesting on the second anniversary of the date of grant
and 20% vesting on each of the third, fourth and fifth
anniversaries. Certain options have a requisite service period of
three to four years, with 33% of the options vesting on the first
or second anniversary of the date of grant and 33% vesting on each
of the following anniversaries until fully vested. The performance
based options additionally require the occurrence of a Change in
Control, as defined in the Plan, or the closing of an initial
public offering. For stock options granted with a service condition
only, stock-compensation expense is recognized on a straight-line
basis over the requisite service period of each separately vesting
tranche. For stock options granted with a service and performance
condition, stock-compensation expense will be recognized upon the
Change in Control, as defined in the Plan, or the closing of an
initial public offering, to the extent that the requisite service
period is already fulfilled.</font></p>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">On March 9, 2012,
the Board of Directors approved the exchange of existing stock
options to acquire Class A common stock for options to acquire
a combination of shares of Class A and Class L common stock
(the “stock option exchange”). Options to purchase a
total of 711,389 shares of Class A common stock were exchanged
as of May 2, 2012 for options to acquire 90,630 shares of
Class L common stock and 413,953 shares of Class A common
stock, based on an exchange ratio of options to purchase
approximately 7.9 shares of Class A common stock for a new
option to purchase one share of Class L common stock and 4.6 shares
of Class A common stock. The exercise price for each new award
was $511.51 per share of Class L common stock and $12.00 per share
of Class A common stock. All option holders were subject to
the exchange. This transaction was accounted for as a modification.
The Company expects to incur total incremental stock compensation
expense of approximately $19.0 million related to the stock option
exchange, of which approximately $13.4 million was recognized in
the year ended December 31, 2012 related to the requisite
service period already fulfilled. The remaining incremental expense
for stock options granted with a service condition will be
recognized on a straight-line basis over the remaining requisite
service period of each separately vesting tranche of approximately
2 years. The incremental expense for stock options granted with a
service condition and a performance condition of approximately $5.0
million will be recognized upon the closing of the initial public
offering in January 2013, related to the requisite service period
already fulfilled.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">As of December 31,
2012, there were approximately 27,923 shares of Class L common
stock and 896,523 shares of Class A common stock available for
grant.</font></p>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b><i>Treasury
Stock</i></b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">During the years ended
December 31, 2010 and 2012, the Company repurchased a total of
1,123 shares and 41,454 shares of Class A common stock,
respectively. There were no stock repurchases during the year ended
December 31, 2011. The Company accounts for treasury stock
under the cost method. On September 21, 2012, the Company
retired all of its treasury stock, resulting in a $0.6 million
reduction in common treasury stock and additional paid-in
capital.</font></p>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b><i>Common Stock</i></b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company’s
charter authorizes the issuance of two classes of common stock,
Class L and Class A. The rights of the holders of Class L and
Class A shares are identical, except with respect to priority
in the event of a liquidation distribution, as defined in the
Company’s charter. The Class L common stock is entitled
to a preference with respect to all liquidation distributions by
the Company until the holders of Class L common stock have
received an amount equal to the Class L base amount of $405
per share. Thereafter, the Class L shares and the Class A
shares will receive any liquidation distributions made by the
Company pro rata based on the number of outstanding Class A
shares (treating each Class L share as one outstanding Class A
share, subject to appropriate adjustment in the event of any stock
split, stock dividend or similar event affecting the Class A
shares). In the event of a change of control or an initial public
offering of the Company, each outstanding share of Class L
common stock is convertible into a number of shares of Class A
common stock equal to one (subject to appropriate adjustment in the
event of any stock split, stock dividend or similar event affecting
the Class A shares) plus a number of additional shares of
Class A common stock determined by dividing the accreted
preference (which is equal to the Class L base amount of $405 per
share plus an amount sufficient to generate an internal rate of
return of 10% per annum on the Class L base amount) by
the applicable per share price (as defined in the Company’s
charter). Class L common stock is classified outside of permanent
equity in the consolidated balance sheets at its preferential
distribution amount, as the timing of the distribution event is
outside of the control of the Company. The Class L preferred return
of 10% per annum, compounded quarterly, is added to the Class
L preferential distribution amount each period and recorded as an
increase to accumulated deficit.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Repurchases of Class L
common stock are recorded under the cost method as reductions to
Class L common stock. During the years ended December 31, 2010
and 2012, respectively, the Company repurchased a total of 246
shares and 9,076 shares, respectively, of Class L common stock.
There were no stock repurchases during the year ended
December 31, 2011. All shares of Class L common stock
repurchased were retired in 2012.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The following table
reflects the changes in Class L common stock for the years ended
December 31, 2010, 2011, and 2012 (in thousands, except share
data):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="66%"></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Shares<br />
Issued</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Shares<br />
Outstanding</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Amount</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Class L common stock, balance at
December 31, 2009</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,316,146</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,315,003</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">633,452</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Issuance of Class L common
stock</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,296</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,296</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">208</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Repurchase of Class L common
stock</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(246</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(89</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Accretion of Class L preferred
return</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">65,962</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Class L common stock, balance at
December 31, 2010</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,318,442</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,317,053</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">699,533</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Issuance of Class L common
stock</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">528</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">528</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">47</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Accretion of Class L preferred
return</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">72,842</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Class L common stock, balance at
December 31, 2011</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,318,970</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,317,581</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">772,422</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Issuance of Class L common
stock</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">18,610</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">18,610</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,675</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Repurchase of Class L common
stock</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(9,076</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(4,643</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Retirement of treasury
stock</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(10,465</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Accretion of Class L preferred
return</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">84,647</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Class L common stock, balance at
December 31, 2012</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,327,115</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,327,115</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">854,101</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>Stock-Based
Compensation</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company recognized
the impact of stock-based compensation in its consolidated
statements of operations for the years ended December 31,
2010, 2011, and 2012 and did not capitalize any amounts on the
consolidated balance sheets. In the years ended December 31,
2010, 2011, and 2012, the Company recorded stock compensation
expense of $2.4 million, $1.2 million, and $17.6 million,
respectively, in selling, general and administrative expenses in
the consolidated statements of operations, which generated an
income tax benefit of $0.9 million, $0.5 million and $7.1 million,
respectively. The stock compensation expense for the year ended
December 31, 2012 includes $13.4 million related to
the stock option exchange, $3.5 million related primarily to
the vested portion of option awards granted during the period, with
the remaining $0.7 million related to option awards granted in
prior years.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">There were no share-based
liabilities paid during the period.</font></p>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b><i>Stock
Options</i></b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">In conjunction with the
Merger, various members of management rolled over certain vested
and unexercised options in the Predecessor as investments in the
Company; these rolled over options were substituted for
continuation options to acquire a combination of shares in the
Company in a ratio of 4.6 shares of Class A common stock for
every one share of Class L common stock. A total of 472,709
pre-Merger options were rolled over, and substituted for 26,777
options to acquire an aggregate of 26,777 shares of Class L
common stock and 122,303 shares of Class A common
stock.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">These continuation
options had been fully expensed by the Predecessor as of the date
of the Merger, and, therefore, there is no expense for these
options in the accompanying consolidated statements of
operations.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">On January 11, 2013,
the options to purchase shares of Class L common stock were
converted into options to purchase common stock based on a
conversion factor of 35.1955 and a corresponding adjustment to the
exercise price.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The following table
reflects stock option activity for the continuation options for the
year ended December 31, 2012:</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="44%"></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Weighted<br />
Average<br />
Remaining<br />
Contractual<br />
Life in Years</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Number of<br />
Options on<br />
Class L<br />
Shares</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Class L<br />
Weighted<br />
Average<br />
Exercise<br />
Price</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Number of<br />
Options on<br />
Class A<br />
Shares</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Class A<br />
Weighted<br />
Average<br />
Exercise<br />
Price</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Outstanding at January 1,
2012</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">0.9</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">23,191</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">90.00</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">105,925</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4.93</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Exercised</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(18,610</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">90.00</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(85,001</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4.93</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Outstanding and Exercisable at
December 31, 2012</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">0.5</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,581</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">90.00</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">20,924</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4.93</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The aggregate intrinsic
value (pre-tax) was $3.1 million for the Company’s
outstanding and exercisable continuation options on Class L shares
at December 31, 2012 based on the fair value of the
continuation options Class L shares of $774.30. The aggregate
intrinsic value (pre-tax) was $0.4 million for the Company’s
outstanding and exercisable continuation options on Class A
shares at December 31, 2012 based on the fair value of the
continuation options Class A shares of $22.00 at
December 31, 2012. The aggregate intrinsic value represents
the net amount that would have been received by the option holders
had they exercised all of their outstanding options and those which
were fully vested on that date.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The total aggregate
intrinsic value of exercised continuation options was $0.8 million,
$0.2 million and $8.4 million for the years ended December 31,
2010, 2011 and 2012, respectively, based on the fair value of Class
L common shares of $404.37, $472.70 and $511.51, respectively, and
based on the fair value of Class A common shares of $9.99,
$17.77, and $12.00, respectively.</font></p>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The fair value of each
stock option of Class A and Class L shares granted was
estimated on the date of grant using the Black-Scholes option
pricing model using the following weighted average
assumptions:</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="69%"></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="14" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Years ended December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2010</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Class A<br />
Shares</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Class A<br />
Shares</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Class L<br />
Shares</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Class A<br />
Shares</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Expected dividend yield</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">0.0</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">% </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">0.0</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">% </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">0.0</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">% </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">0.0</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">% </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Expected stock price
volatility</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">82.0</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">% </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">82.0</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">% </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">79.2</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">% </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">79.2</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">% </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Risk free interest rate</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1.4</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">% </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1.2</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">% </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">0.68</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">% </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">0.68</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">% </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Expected life of options
(years)</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3.69</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3.47</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4.16</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4.16</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Weighted average fair value per share
of options granted during the period</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4.34</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">10.40</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">291.83</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6.84</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The expected stock price
volatility is based upon the historical volatility of the
Predecessor’s stock price over the expected life of the
options, as well as the historical volatility of the stock price
over the expected life of the options of similar companies that are
publicly traded.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The table below reflects
stock option activity under the Company’s equity plan for the
year ended December 31, 2012.</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="51%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="2%"></td>
<td></td>
<td></td>
<td valign="bottom" width="2%"></td>
</tr>
<tr>
<td valign="bottom" rowspan="2"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" rowspan="2" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Weighted<br />
Average<br />
Remaining<br />
Contractual<br />
Life in<br />
Years</b></font></td>
<td valign="bottom" rowspan="2"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Class L Shares</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Class A Shares</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Number<br />
of<br />
Options</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Weighted<br />
Average<br />
Exercise<br />
Price</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Number<br />
of<br />
Options</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Weighted<br />
Average<br />
Exercise<br />
Price</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Outstanding at January 1,
2012</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7.0</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">715,321</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">19.76</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Exercised</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,065</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">19.70</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Forfeited</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(2,867</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">19.70</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Cancellations(1)</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(711,389</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">19.76</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Option exchange(1)</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">90,630</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">511.51</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">413,953</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">12.00</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Granted</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">32,556</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">511.51</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">148,699</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">12.00</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Forfeited or expired</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,109</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">511.51</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(5,188</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">12.00</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Outstanding at December 31,
2012</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6.8</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">122,077</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">511.51</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">557,464</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">12.00</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Exercisable at December 31,
2012</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6.0</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">40,704</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">511.51</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">185,915</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">12.00</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Vested and expected to vest at
December 31, 2012</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6.8</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">116,834</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">511.51</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">533,641</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">12.00</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="BORDER-BOTTOM: #000000 0.5pt solid; LINE-HEIGHT: 8px; MARGIN-TOP: 0px; WIDTH: 10%; MARGIN-BOTTOM: 2px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%">
<tr>
<td valign="top" width="5%" align="left"><font style="FONT-FAMILY: ARIAL" size="2">(1)</font></td>
<td valign="top" align="left"><font style="FONT-FAMILY: ARIAL" size="2">Represents option exchange consummated on May 2,
2012.</font></td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">At December 31,
2012, the Company’s outstanding, exercisable, vested and
expected to vest options to purchase Class L shares had an
aggregate intrinsic value of $32.1 million, $10.7 million and $30.7
million, respectively.</font></p>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">At December 31,
2012, the Company’s outstanding, exercisable, vested and
expected to vest options to purchase Class A shares had an
aggregate intrinsic value of $5.6 million, $1.9 million and $5.3
million, respectively.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Options to purchase
Class A shares exercised in 2012 did not have an intrinsic
value as the exercise price exceeded their fair value at the date
of exercise.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The fair value of pre-tax
options that vested during 2012 was $4.2 million for options on
Class L common stock and $0.7 million for options on Class A
common stock. The fair value (pre-tax) of options that vested
during the years ended December 31, 2010 and 2011 were $1.4
million and $0.8 million, respectively.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">As of December 31,
2012, there was $12.2 million of total unrecognized compensation
expense related to unvested share-based compensation arrangements
granted under the Plan. That expense is expected to be recognized
over the remaining requisite service period for options with a
service condition, and upon a change in control, as defined in the
Plan, or the closing of an initial public offering, to the extent
that the requisite service period is already fulfilled for options
with a service and performance condition. The weighted average
remaining requisite service period was approximately two years at
December 31, 2012.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Cash received by the
Company from the exercise of stock options for the years ended
December 31, 2010, 2011 and 2012 was $0.3 million, $0.1
million and $2.1 million, respectively. The actual tax benefits
realized for the tax deductions from option exercises were $0.3
million, $0.1 million and $3.4 million in the years ended
December 31, 2010, 2011, and 2012, respectively. The Company
realizes a tax deduction upon the exercise of non-qualified stock
options due to the recognition of compensation expense in the
calculation of its taxable income. The amount of the compensation
recognized for tax purposes is based on the difference between the
market value of the common stock and the option price at the date
the options are exercised. Tax benefits related to the exercise of
the continuation options were credited to goodwill as they had been
previously expensed by the Predecessor.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Options to purchase
31,628 shares Class L common stock and 144,461 shares of
Class A common stock vested upon the effectiveness of the
Offering on January 24, 2013, which resulted in a compensation
charge in the amount of $5.0 million.</font></p>
</div>
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>17.    TRANSACTIONS WITH RELATED
PARTIES</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company has a
management agreement with a significant stockholder. The management
agreement has a ten year term which commenced May 28, 2008.
Fees of $2.5 million per year have been paid to the significant
stockholder in each of the years ended December 31, 2010, 2011
and 2012. These fees are included in selling, general and
administrative expenses in the consolidated statements of
operations.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">In connection with the
Offering, the Company and its significant stockholder agreed to
terminate the management agreement, which resulted in a payment of
$7.5 million by the Company to the Sponsor in 2013.</font></p>
</div>
5472000
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The following is a
reconciliation of the U.S. Federal statutory rate to the effective
rate on pretax (loss) income (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="74%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="10" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Years ended December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2010</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Federal tax (benefit) expense
computed at statutory rate</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(7,108</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,956</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,113</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">State tax (benefit) expense, net of
federal tax</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,391</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,502</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">416</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Valuation allowance, net</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">89</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(5,018</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">23</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Permanent differences and other,
net</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,927</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">236</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">551</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Change in tax rate</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,599</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">12</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Change to uncertain tax positions,
net</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(151</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,166</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(869</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Foreign rate differential</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">174</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(418</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,003</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Income tax (benefit)
expense</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(10,314</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">825</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,243</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
111825000
2180000
8509000
-180890000
152000
2700000
12823000
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The following table
reflects the changes in Class L common stock for the years ended
December 31, 2010, 2011, and 2012 (in thousands, except share
data):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="66%"></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Shares<br />
Issued</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Shares<br />
Outstanding</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Amount</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Class L common stock, balance at
December 31, 2009</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,316,146</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,315,003</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">633,452</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Issuance of Class L common
stock</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,296</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,296</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">208</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Repurchase of Class L common
stock</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(246</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(89</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Accretion of Class L preferred
return</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">65,962</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Class L common stock, balance at
December 31, 2010</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,318,442</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,317,053</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">699,533</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Issuance of Class L common
stock</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">528</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">528</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">47</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Accretion of Class L preferred
return</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">72,842</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Class L common stock, balance at
December 31, 2011</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,318,970</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,317,581</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">772,422</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Issuance of Class L common
stock</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">18,610</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">18,610</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,675</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Repurchase of Class L common
stock</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(9,076</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(4,643</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Retirement of treasury
stock</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(10,465</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Accretion of Class L preferred
return</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">84,647</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Class L common stock, balance at
December 31, 2012</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,327,115</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,327,115</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">854,101</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
440000
P2Y
-7994000
6882000
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>11.    INCOME
TAXES</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">(Loss) income before
income taxes consists of the following (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="74%"></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="10" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Years ended December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2010</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">United States</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(19,321</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,973</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,882</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Foreign</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(987</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,614</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,870</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Total</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(20,308</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">5,587</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">11,752</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Income tax (benefit)
expense consists of the following (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="73%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="10" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Years ended December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2010</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Current tax (benefit)
expense</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Federal</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,068</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(2,063</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">8,102</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">State</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,277</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,517</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,361</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Foreign</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">231</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7,120</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,434</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,576</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,574</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">14,897</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Deferred tax (benefit)
expense</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Federal</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(11,213</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,292</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(9,048</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">State</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(2,419</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">523</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,453</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Foreign</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(258</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(4,980</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,153</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(13,890</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(5,749</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(11,654</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Income tax (benefit)
expense</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(10,314</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">825</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,243</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The following is a
reconciliation of the U.S. Federal statutory rate to the effective
rate on pretax (loss) income (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="74%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="10" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Years ended December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2010</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Federal tax (benefit) expense
computed at statutory rate</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(7,108</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,956</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,113</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">State tax (benefit) expense, net of
federal tax</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,391</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,502</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">416</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Valuation allowance, net</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">89</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(5,018</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">23</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Permanent differences and other,
net</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,927</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">236</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">551</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Change in tax rate</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,599</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">12</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Change to uncertain tax positions,
net</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(151</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,166</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(869</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Foreign rate differential</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">174</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(418</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,003</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Income tax (benefit)
expense</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(10,314</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">825</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,243</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Significant components of
the Company’s net deferred tax liability are as follows (in
thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="78%"></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Deferred tax assets:</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Current deferred tax
assets:</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Reserve on assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">525</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">679</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Liabilities not yet
deductible</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">9,502</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">10,095</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Deferred revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">326</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">430</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Depreciation</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">84</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">207</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Other</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">146</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">10,583</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">11,411</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Valuation allowance</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(3</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(45</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Net current deferred tax
assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">10,580</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">11,366</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Non-current deferred tax
assets:</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Net operating loss and credit
carryforwards</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,257</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,918</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Liabilities not yet
deductible</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">9,991</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">12,806</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Deferred revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">471</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">737</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Stock-based compensation</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,606</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">9,641</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Deferred financing costs</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,273</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,018</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Other</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,657</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,410</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">24,255</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">28,530</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Valuation allowance</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,007</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,037</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Net non-current deferred tax
assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">23,248</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">27,493</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 7em"><font style="FONT-FAMILY: ARIAL" size="2">Total net deferred tax
assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">33,828</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">38,859</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Deferred tax liabilities:</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Intangible assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(163,316</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(158,426</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Depreciation</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(14,313</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(13,867</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 5em"><font style="FONT-FAMILY: ARIAL" size="2">Total deferred tax
liabilities</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(177,629</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(172,293</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Net deferred tax liability</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(143,801</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(133,434</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">During 2012, the overall
deferred tax liability has decreased, mostly due to the book to tax
difference in the treatment of amortization of intangible assets,
stock-based compensation and use of net operating losses and
credits.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">At December 31,
2012, the Company had a deferred tax asset of $1.9 million,
representing the tax effect of net operating losses and tax credit
carry-forwards. The components of this deferred tax asset are $0.5
million related to net operating losses in a number of states which
have expiration dates through 2031 and $1.4 million of foreign net
operating losses that will begin to expire in 2031 or can be
carried forward indefinitely.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company has recorded
valuation allowances on certain foreign net operating losses where
it has not had a history of profitability.</font></p>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company does not
provide for U.S. income taxes on the portion of undistributed
earnings of foreign subsidiaries that is intended to be permanently
reinvested. These earnings may become taxable in the United States
upon the sale or liquidation of these foreign subsidiaries or upon
the remittance of dividends. At this time, it is not practicable to
estimate the amount of deferred tax liability on such
earnings.</font></p>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b><i>Uncertain Tax
Positions</i></b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company follows the
authoritative guidance relating to the accounting for uncertainty
in income taxes. The Company may recognize the tax benefit from an
uncertain tax position only if it is more likely than not that the
tax position will be sustained on examination by the taxing
authorities, based on the technical merits of the position. The tax
benefits recognized in the consolidated financial statements from
such a position should be measured based on the largest benefit
that has a greater than fifty percent likelihood of being realized
upon ultimate settlement.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">A reconciliation of the
beginning and ending amounts of unrecognized tax benefits is as
follows (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="76%"></td>
<td valign="bottom" width="8%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="8%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Years ended December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>        2011        </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>        2012        </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Beginning balance</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,420</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7,933</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Additions for tax positions of prior
years</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,392</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">474</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Additions for tax positions of
current year</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">557</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">879</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Settlements</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,436</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(474</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Reductions for tax positions of prior
years</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(845</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Lapses of statutes of
limitations</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(778</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Effect of foreign currency
adjustments</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">223</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Ending balance</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7,933</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7,412</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company recognizes
accrued interest and penalties related to unrecognized tax benefits
in income tax expense. The Company’s current provision for
income tax expense for the years ended December 31, 2010,
2011, and 2012 included $0.4 million, $0.8 million and $0.3
million, respectively, of interest and penalties related to tax
positions of the Company. The liability for total interest and
penalties at December 31, 2011 and 2012 was $3.1 million and
$2.6 million, respectively, and is included in other long-term
liabilities. During the fourth quarter of 2012, the Company
partially reduced its reserve for uncertain tax positions due to
the lapse in the statute of limitations for prior tax filings.
Additionally, the Company received correspondence from a government
representative of a foreign jurisdiction which accepted certain tax
positions which had been taken in previous filings, thereby
indicating that no change to the tax filings would be required; as
a result, the uncertain tax benefit related to this matter was
reduced in the fourth quarter.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The total amount of
unrecognized tax benefits that if recognized would affect the
Company’s effective tax rate is $6.6 million. The
Company expects the unrecognized tax benefits to change over the
next 12 months if certain tax matters ultimately settle with the
applicable taxing jurisdiction during this time frame, or if
applicable statutes of limitations lapse. The impact of the amount
of such changes to previously recorded uncertain tax positions
could range from $0.5 million to $5.6 million.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company and its
domestic subsidiaries are subject to U.S. Federal income tax as
well as multiple state jurisdictions. U.S. Federal income tax
returns are typically subject to examination by the Internal
Revenue Service (IRS) and the statute of limitations for Federal
income tax returns is three years. The Company’s filings for
2009 through 2012 are subject to audit based upon the Federal
statute of limitations.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">State income tax returns
are generally subject to examination for a period of three to
five years after filing of the respective return. The state
impact of any Federal changes remains subject to examination by
various states for a period of up to one year after formal
notification to the states. There were no significant settlements
of state audits during 2012. As of December 31, 2012, there
were not any state income tax audits in process.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company is also
subject to corporate income tax at its subsidiaries located in the
United Kingdom, the Netherlands, India, Canada, Ireland, and
Puerto Rico. The tax returns for the Company’s subsidiaries
located in foreign jurisdictions are subject to examination for
periods ranging from one to seven years.</font></p>
</div>
3
<div>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">(Loss) income before
income taxes consists of the following (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="74%"></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="10" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Years ended December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2010</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">United States</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(19,321</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,973</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,882</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Foreign</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(987</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,614</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,870</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Total</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(20,308</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">5,587</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">11,752</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
<div>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Long-term debt consists
of the following (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="80%"></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Tranche B term loans</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">350,946</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">346,111</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Series C new term loans</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">84,363</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Senior subordinated notes</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">300,000</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">300,000</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Senior notes</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">174,055</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">197,810</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Original issue discount</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(10,656</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(8,012</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Deferred financing costs</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(15,088</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(13,629</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Total debt</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">799,257</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">906,643</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Less current maturities</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,814</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,036</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Long-term debt</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">794,443</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">904,607</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
-621000
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>10.    REDEEMABLE NONCONTROLLING
INTEREST</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">In July 2011 the Company
acquired a 63% ownership interest of a company in the Netherlands,
and in November 2012, acquired a further 18.5% ownership interest,
for an aggregate ownership of 81.5% as of December 31, 2012.
See Note 2, “Acquisitions”, for additional information
regarding the 2011 acquisition.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The company’s
operating results are included in the Company’s consolidated
results of operations from the date of acquisition and the minority
ownership interest retained by the previous owners is presented as
redeemable noncontrolling interest on the Company’s
consolidated balance sheets.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The redeemable
noncontrolling interest was measured at fair value at the date of
acquisition and is reviewed at each subsequent reporting period and
adjusted, as needed, to reflect its then redemption value. No
adjustments have been recorded to date. The redeemable
noncontrolling interest of 63% was recorded at a fair value of
$17.1 million at the date of acquisition, which was determined
based upon standard valuation techniques using unobservable inputs
of discounted cash flow analysis and an industry peer comparable
analysis.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The acquisition of the
additional 18.5% by the Company in exchange for $3.9 million on
November 23, 2012 was treated as an equity transaction and the
difference between the acquisition price and carrying value of the
redeemable non-controlling interest was recorded as an adjustment
to additional paid in capital. The accumulated other comprehensive
income associated with the additional acquired interest was also
recorded as equity of the Company.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The following is a
reconciliation of the changes in the redeemable noncontrolling
interest for the years ended December 31, 2011 and 2012 (in
thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="76%"></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Years ended December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>        2011        </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>        2012        </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Balance at beginning of the
period</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">15,527</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Fair value at acquisition</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">17,063</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Sale of 18.5% of interest to
BHFS</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(7,994</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Net income attributable to
noncontrolling interest</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">347</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Effect of foreign currency
translation</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,539</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">246</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Balance at end of period</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">15,527</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">8,126</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
P6Y
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The assets and
liabilities of the Company are managed centrally and are reported
internally in the same manner as the consolidated financial
statements; thus, no additional information is produced or included
herein.</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="55%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" nowrap="nowrap" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Full service<br />
center-based<br />
care</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" nowrap="nowrap" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Back-up<br />
dependent<br />
care</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" nowrap="nowrap" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Other<br />
educational<br />
advisory<br />
services</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" nowrap="nowrap" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Total</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="14" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>(In thousands)</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Year ended December 31,
2010</b></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">769,235</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">99,086</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">9,838</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">878,159</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Amortization of
intangibles</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">25,324</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,057</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">250</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">27,631</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Income from operations</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">46,770</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">21,141</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">752</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">68,663</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td height="8"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Year ended December 31,
2011</b></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">844,595</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">114,502</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">14,604</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">973,701</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Amortization of
intangibles</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">25,178</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,947</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">302</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">27,427</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Income from operations</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">58,950</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">28,669</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(783</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">86,836</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td height="8"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Year ended December 31,
2012</b></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">922,214</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">130,082</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">18,642</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,070,938</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Amortization of
intangibles</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">25,906</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">725</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">302</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">26,933</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Income from operations</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">60,154</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">33,863</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,447</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">95,464</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
</table>
</div>
2506000
-497000
-1694000
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Accounts
Receivable</b>—The Company generates accounts receivable from
fees charged to parents and employer sponsors and, to a lesser
degree, government agencies. The Company monitors collections and
payments and maintains a provision for estimated losses based on
historical trends, in addition to provisions established for
specific collection issues that have been identified. Accounts
receivable are stated net of this allowance for doubtful
accounts.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Activity in the allowance
for doubtful accounts is as follows (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="76%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="10" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Years ended December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2010</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Beginning balance</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,675</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,691</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,514</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Provision</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,516</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,043</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">734</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Write offs and adjustments</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,500</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,220</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(621</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Ending balance</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,691</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,514</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,627</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
5591000
11752000
246000
<div>
<p style="margin-top:12px;margin-bottom:0px; text-indent:5%">
<font style="font-family:ARIAL" size="2"><b>Principles of
Consolidation</b>—The consolidated financial statements
include the accounts of the Company and its subsidiaries.
Intercompany balances and transactions have been eliminated in
consolidation.</font></p>
</div>
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>18.    QUARTERLY RESULTS
(UNAUDITED)</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">In the opinion of the
Company’s management, the accompanying unaudited interim
consolidated financial statements contain all adjustments which are
necessary for a fair presentation of the quarters presented. The
operating results for any quarter are not necessarily indicative of
the results of any future quarter.</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="48%"></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>March 31, 2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>June 30, 2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>September 30,<br />
2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31,<br />
2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="14" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>(In thousands)</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">232,922</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">248,017</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">243,877</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">248,885</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Gross profit</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">49,296</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">55,322</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">49,183</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">53,400</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Income from operations</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">20,226</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">25,535</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">18,293</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">22,782</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Net income (loss)</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,263</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,519</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(364</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,870</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Net income (loss) attributable to
Bright Horizons Family Solutions Inc</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,263</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,519</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(456</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,959</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Allocation of net (loss) income to
common stockholders—basic and diluted:</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Class L</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">16,995</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">17,608</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">18,253</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">18,712</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Class A</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(18,564</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(15,406</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(19,030</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(15,083</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Earnings (loss) per share:</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Class L—basic and
diluted</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">12.90</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">13.37</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">13.86</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">14.20</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Class A—basic and
diluted</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(3.09</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(2.56</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(3.16</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(2.51</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
</table>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="48%"></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>March 31, 2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>June 30, 2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>September 30,<br />
2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31,<br />
2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="14" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>(In thousands)</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">258,122</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">271,463</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">267,927</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">273,426</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Gross profit</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">58,020</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">64,553</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">60,092</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">63,105</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Income from operations</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">26,104</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">16,061</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">25,355</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">27,944</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Net income (loss)</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,590</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,914</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,606</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,227</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Net income (loss) attributable to
Bright Horizons Family Solutions Inc</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,509</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,967</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,446</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,174</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Allocation of net (loss) income to
common stockholders—basic and diluted:</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Class L</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">18,513</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">19,590</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">20,298</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">20,810</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Class A</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(15,070</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(25,482</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(18,521</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(17,412</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Earnings (loss) per share:</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Class L—basic and
diluted</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">13.99</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">14.76</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">15.30</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">15.68</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Class A—basic and
diluted</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(2.49</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(4.20</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(3.06</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(2.87</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
</table>
</div>
400000
<div>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Future minimum payments
as of December 31, 2012 of long-term debt, prior to our debt
refinancing in January 2013, are as follows for the years ending
December 31 (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="89%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2013</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,036</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2014</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,500</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2015</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">342,125</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2016</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">850</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2017</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">80,963</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Thereafter</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">410,000</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Total future principal
payments</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">840,474</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
<div>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>1.    ORGANIZATION AND SIGNIFICANT
ACCOUNTING POLICIES</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Organization</b>—Bright Horizons Family Solutions Inc.
(“Bright Horizons” or the “Company”)
provides workplace services for employers and families throughout
the United States, Puerto Rico, Canada, the United Kingdom,
Ireland, the Netherlands, and India. Workplace services include
center-based child care, education and enrichment programs,
elementary school education, back-up dependent care (for children
and elders), before and after school care, college preparation and
admissions counseling, tuition reimbursement program management,
and other family support services.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company operates its
child care and early education centers under various types of
arrangements, which generally can be classified into two
categories: (i) the management or cost plus (“Cost
Plus”) model, where Bright Horizons manages a work-site child
care and early education center under a cost-plus arrangement with
an employer sponsor, and (ii) the profit and loss (P&L)
model, where the Company assumes the financial risk of the child
care and early education center’s operations. The P&L
model may be operated under either (a) the sponsor model,
where Bright Horizons provides child care and early educational
services on a priority enrollment basis for employees of an
employer sponsor, or (b) the lease/consortium model, where the
Company provides priority child care and early education to the
employees of multiple employers located within a real estate
developer’s property or the community at large. Under each
model type the Company retains responsibility for all aspects of
operating the child care and early education center, including the
hiring and paying of employees, contracting with vendors,
purchasing supplies, and collecting tuition and related accounts
receivable.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>2013 Initial Public
Offering</b>—On January 30, 2013, the Company completed
an initial public offering (“the Offering”) and, after
the exercise of the overallotment option on February 21, 2013,
issued a total of 11.6 million shares of common stock in
exchange for $233.3 million, net of offering costs. The Company
used the proceeds of the Offering, as well as certain amounts from
the 2013 refinancing discussed below, to repay the principal and
accumulated interest under its senior notes outstanding on
January 30, 2013.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">On January 11, 2013,
the Company effected a 1–for–1.9704 reverse split of
its Class A common stock. All previously reported Class A
per share and Class A share amounts in the accompanying
financial statements and related notes have been retroactively
adjusted to reflect the reverse stock split.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">In addition, the Company
converted each share of its Class L common stock into 35.1955
shares of Class A common stock, and, immediately following the
conversion of its Class L common stock, reclassified the
Class A common stock into common stock, for which
475 million shares were authorized. The Company also
authorized 25 million shares of undesignated preferred stock
for issuance.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>2013
Refinancing</b>—On January 30, 2013, the Company entered
into new $890.0 million senior secured credit facilities to
refinance all of the existing indebtedness under the senior credit
facilities and the senior subordinated notes and to modify certain
provisions of the senior credit facilities. Significant terms of
the refinancing are as follows:</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 6px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%">
<tr>
<td width="5%"><font size="1"> </font></td>
<td valign="top" width="1%" align="left"><font style="FONT-FAMILY: ARIAL" size="2"><font style="FONT-FAMILY: WINGDINGS" color="#000000" size="2">Ÿ</font></font></td>
<td valign="top" width="1%"><font size="1"> </font></td>
<td valign="top" align="left">
<p align="left"><font style="FONT-FAMILY: ARIAL" size="2">$790.0
million term loan facility with a maturity date in 2020;</font></p>
</td>
</tr>
</table>
<p style="MARGIN-TOP: 6px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%">
<tr>
<td width="5%"><font size="1"> </font></td>
<td valign="top" width="1%" align="left"><font style="FONT-FAMILY: ARIAL" size="2"><font style="FONT-FAMILY: WINGDINGS" color="#000000" size="2">Ÿ</font></font></td>
<td valign="top" width="1%"><font size="1"> </font></td>
<td valign="top" align="left">
<p align="left"><font style="FONT-FAMILY: ARIAL" size="2">$100.0
million revolving credit facility with a maturity date in
2018;</font></p>
</td>
</tr>
</table>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 6px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%">
<tr>
<td width="5%"><font size="1"> </font></td>
<td valign="top" width="1%" align="left"><font style="FONT-FAMILY: ARIAL" size="2"><font style="FONT-FAMILY: WINGDINGS" color="#000000" size="2">Ÿ</font></font></td>
<td valign="top" width="1%"><font size="1"> </font></td>
<td valign="top" align="left">
<p align="left"><font style="FONT-FAMILY: ARIAL" size="2">The
applicable margin percentages for the loan facilities are
2.0% per annum for base rate loans and 3.0% per annum for
LIBOR rate loans provided that the base rate for the term loan may
not be lower than 2.0% and LIBOR may not be lower than
1.0%.</font></p>
</td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The refinancing, which
reduced the Company’s overall weighted average interest rate,
resulted in a loss on extinguishment of debt of approximately $63.0
million, including redemption premiums on the senior notes, the
senior subordinated notes and the Series C new term loans, and the
write-off of deferred financing costs associated with this
indebtedness, which we recorded in the first quarter of 2013. See
Note 9, “Credit Arrangements and Debt
Obligations”, for additional information regarding long-term
debt.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Basis of
Presentation</b>—On May 28, 2008, Bright Horizons Family
Solutions, Inc. (the “Predecessor”) completed a
transaction (the “Merger”) with investment funds
affiliated with Bain Capital Partners, LLC (the
“Sponsor”), pursuant to which a wholly-owned merger
subsidiary was merged with and into the Predecessor, which
converted to a single member limited liability corporation (LLC),
Bright Horizons Family Solutions LLC, and continued as the
surviving corporation. Bright Horizons Family Solutions LLC is
a wholly-owned subsidiary of Bright Horizons Capital Corp.,
which is in turn a wholly- owned subsidiary of Bright Horizons
Family Solutions Inc., which is controlled by investment funds
affiliated with the Sponsor. In July 2012, Bright Horizons Family
Solutions Inc. changed its name from Bright Horizons Solutions
Corp.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">As part of the Merger, a
new basis of accounting was established and the purchase price was
allocated to the assets acquired and liabilities assumed based on
their fair values.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Principles of
Consolidation</b>—The consolidated financial statements
include the accounts of the Company and its subsidiaries.
Intercompany balances and transactions have been eliminated in
consolidation.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Reclassifications</b>
—Certain reclassifications have been made to the prior year
balances to conform to the current year’s presentation, with
no impact on prior year earnings or shareholders’
equity.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Use of
Estimates</b>—The preparation of the consolidated financial
statements in conformity with accounting principles generally
accepted in the United States of America requires management to
make estimates and assumptions that affect the reported amounts of
assets and liabilities and the disclosure of contingent assets and
liabilities at the date of the consolidated financial statements,
as well as the reported amounts of revenue and expenses during the
reporting period. The Company’s significant accounting
policies in the preparation of the consolidated financial
statements relate to revenue recognition, goodwill and other
intangibles, income taxes and common stock valuation and
stock-based compensation. Actual results may differ from
management’s estimates.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Foreign
Operations</b>—The functional currency of the Company’s
foreign subsidiaries is their local currency. The assets and
liabilities of the Company’s foreign subsidiaries are
translated into U.S. dollars at exchange rates in effect at the
balance sheet date. Income and expense items are translated at the
average exchange rates prevailing during the period. The cumulative
translation effect for subsidiaries using a functional currency
other than the U.S. dollar is included in accumulated other
comprehensive income or loss as a separate component of
stockholders’ equity.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company’s
intercompany accounts are denominated in the functional currency of
the foreign subsidiary. Gains and losses resulting from the
remeasurement of intercompany receivables that the Company
considers to be of a long-term investment nature are recorded as a
cumulative translation adjustment in accumulated other
comprehensive income or loss as a separate component of
stockholders’ equity, while gains and losses resulting from
the remeasurement of intercompany receivables from those foreign
subsidiaries for which the Company anticipates settlement in the
foreseeable future are recorded in the consolidated statement of
operations. The net gains and losses recorded in the consolidated
statements of operations for the years ended December 31, 2010
and 2012 were not significant. The Company recorded a net foreign
currency gain of $0.8 million in the consolidated statement of
operations for the year ended December 31, 2011 as a result of
the settlement of an intercompany note during the year. There were
no settlements of intercompany notes during the year ended
December 31, 2012.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Fair Value of
Financial Instruments</b>—The Company estimates fair value
for certain assets and liabilities and categorizes them based upon
the level of judgment associated with the inputs used to measure
their fair value and the level of market price
observability.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company also develops
internal estimates of fair value when the volume and level of
activity for the asset or liability has significantly decreased or
in those circumstances that indicate when a transaction is not
orderly.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Financial instruments
measured and reported at fair value are classified in one of the
following categories:</font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Level 1—Quoted
prices are available in active markets for identical investments as
of the reporting date.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Level 2—Quoted
prices for similar instruments in active markets; quoted prices for
identical or similar instruments in markets that are not active;
and model-derived valuations in which all significant inputs and
significant value drivers are observable in active
markets.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Level 3—Valuations
derived from valuation techniques in which one or more significant
inputs or significant value drivers are unobservable.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The hierarchy requires
the use of observable market data when available. The Company
considers relevant and observable market prices in its valuations
where possible.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Fair value measurements,
including those categorized as Level 3, are prepared and reviewed
at each reporting period.</font></p>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company’s
financial instruments consist primarily of cash and cash
equivalents, accounts receivable, accounts payable, and short and
long-term debt. The fair value of the Company’s financial
instruments approximates their carrying value. The following table
shows the carrying value and the fair value of the Company’s
long-term debt at December 31, 2011 and 2012 (in
millions):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="68%"></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31, 2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31, 2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Carrying<br />
Value</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Fair<br />
Value</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Carrying<br />
Value</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Fair<br />
Value</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Long-term debt</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">825</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">898</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">927</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">973</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The fair value of the
Company’s long-term debt was based on quoted market prices
when available. When quoted market prices were not available, the
fair value of long-term debt was based on quoted market prices of
comparable instruments adjusted for differences between the quoted
instruments and the instruments being valued, or was estimated
using discounted cash flow analyses, based on current incremental
borrowing rates for similar types of borrowing arrangements. The
Company based its determination of fair value on quoted market
prices for the Company’s Tranche B and Series C term loans,
which are classified within Level 1 of the fair value hierarchy.
The Company based its determination of fair value on current
incremental borrowing rates for similar debt for the senior notes
and senior subordinated notes, which are classified within Level 2
of the fair value hierarchy. Significant increases/decreases in
yields and borrowing rates could result in significantly higher
(lower) fair value measurements. The Company’s interest rate
cap for its Tranche B term loans is carried at fair value and is
included in other assets on the consolidated balance sheets. The
interest rate cap was valued at less than $0.1 million at
December 31, 2011 and 2012. The fair value of the
Company’s interest rate cap is based on model-derived
valuations that use observable inputs and market data, which are
classified as Level 2 of the fair value hierarchy. Gains and losses
associated with changes in the fair value of the interest rate cap
are included in interest expense on the consolidated statements of
operations.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">See Note 9,
“Credit Arrangements and Debt Obligations”, for
additional information regarding long-term debt and the interest
rate cap.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company’s
policy with respect to transfers between levels of the fair value
hierarchy is to recognize transfers into and out of each level as
of the end of the reporting period. There have been no transfers
between levels during the years ending December 31, 2010, 2011
and 2012.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Concentrations of
Credit Risk</b>—Financial instruments that potentially expose
the Company to concentrations of credit risk consist mainly of cash
and cash equivalents and accounts receivable. The Company mitigates
its exposure by maintaining its cash and cash equivalents in
financial institutions of high credit standing. The Company’s
accounts receivable, which are derived primarily from the services
it provides, are dispersed across many clients in various
industries with no single client accounting for more than 10% of
the Company’s net revenue or accounts receivable. The Company
believes that no significant credit risk exists at
December 31, 2011 and 2012.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Cash and Cash
Equivalents</b>—The Company considers all highly liquid
investments with maturities when purchased of three months or less
to be cash equivalents. Cash equivalents consist primarily of
institutional money market accounts.</font></p>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company’s cash
management system provides for the funding of the main bank
disbursement accounts on a daily basis as checks are presented for
payment. Under this system, outstanding checks may be in excess of
the cash balances at certain banks, creating book overdrafts. There
were no book overdrafts at December 31, 2011 and
2012.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Accounts
Receivable</b>—The Company generates accounts receivable from
fees charged to parents and employer sponsors and, to a lesser
degree, government agencies. The Company monitors collections and
payments and maintains a provision for estimated losses based on
historical trends, in addition to provisions established for
specific collection issues that have been identified. Accounts
receivable are stated net of this allowance for doubtful
accounts.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Activity in the allowance
for doubtful accounts is as follows (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="76%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="10" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Years ended December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2010</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Beginning balance</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,675</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,691</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,514</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Provision</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,516</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,043</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">734</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Write offs and adjustments</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,500</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,220</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(621</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Ending balance</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,691</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,514</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,627</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Fixed
Assets</b>—Property and equipment, including leasehold
improvements, are carried at cost less accumulated depreciation or
amortization. Depreciation is calculated on a straight-line basis
over the estimated useful lives of the assets. Leasehold
improvements are amortized on a straight-line basis over the
shorter of the lease term or their estimated useful lives. The cost
and accumulated depreciation of assets sold or otherwise disposed
of are removed from the consolidated balance sheet and the
resulting gain or loss is reflected in the consolidated statements
of operations.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Expenditures for
maintenance and repairs are expensed as incurred, whereas
expenditures for improvements and replacements are capitalized.
Depreciation is included in cost of services and selling, general
and administrative expenses depending on the nature of the
expenditure.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Goodwill and
Intangible Assets</b>—Goodwill represents the excess of cost
over the fair value of the net tangible and identifiable intangible
assets acquired in a business combination. The Company’s
intangible assets principally consist of various customer
relationships and contractual rights, and trade names.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Goodwill and intangible
assets with indefinite lives are not subject to amortization, but
are tested annually for impairment or more frequently if there are
indicators of impairment. The Company tests goodwill for impairment
by comparing the fair value of each reporting unit to its carrying
value. The Company performs its annual impairment test as of
December 31. The first step of the goodwill impairment test
compares the fair value of the reporting unit with its carrying
amount, including goodwill. Fair value for each reporting unit is
determined by estimating the present value of expected future cash
flows, which are forecasted for each of the next ten years,
applying a long-term growth rate to the final year, discounted
using the Company’s estimated discount rate. If the fair
value of the Company’s reporting unit exceeds its carrying
amount, the goodwill of the reporting unit is considered not
impaired. If the carrying amount of the Company’s reporting
unit exceeds its fair value, the second step of the goodwill
impairment test is performed to measure the amount of impairment
loss, if any. The second step of the goodwill impairment test, used
to measure the amount of impairment loss, compares the implied fair
value of the affected reporting unit’s goodwill with the
carrying value of that goodwill. No goodwill impairment losses were
recorded in the years ended December 31, 2010, 2011, or
2012.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">We test certain
trademarks that are included in our indefinite-lived intangible
assets, by comparing the fair value of the trademarks with their
carrying value. We estimate the fair value first by estimating the
total revenue attributable to the trademarks and then by applying a
royalty rate determined by an analysis of empirical, market-derived
royalty rates for guideline intangible assets, consistent with the
initial valuation and then comparing the estimated fair value of
our trademarks with the carrying value. This approach takes into
effect level 3 and unobservable inputs. Impairment losses of $0.4
million were recorded in the years ended December 31, 2011 and
2012 in relation to certain trade names with indefinite lives,
which have been included in selling, general and administrative
expenses. No impairment losses were recorded in the year ended
December 31, 2010 in relation to intangible assets.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Intangible assets that
are separable from goodwill and have determinable useful lives are
valued separately and are amortized over the estimated period
benefited, ranging from four to seventeen years. Intangible assets
related to parent relationships are amortized using the double
declining balance method over their useful lives. All other
intangible assets are amortized on a straight line basis over their
useful lives.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Impairment of
Long-Lived Assets</b>—The Company reviews long-lived assets
for possible impairment whenever events or changes in circumstances
indicate that the carrying amount of such assets may not be
recoverable. Impairment is assessed by comparing the carrying
amount of the asset to the estimated undiscounted future cash flows
over the asset’s remaining life. If the estimated cash flows
are less than the carrying amount of the asset, an impairment loss
is recognized to reduce the carrying amount of the asset to its
estimated fair value less any disposal costs. Fair value can be
determined using discounted cash flows and quoted market prices
based on level 3 inputs. The Company recorded fixed asset
impairment losses of $0.1 million, $0.8 million and $0.3 million in
the years ended December 31, 2010, 2011 and 2012,
respectively, which have been included in cost of sales.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Deferred
Revenue</b>—The Company records deferred revenue for prepaid
tuition and management fees and amounts received from consulting
projects in advance of services being performed. The Company is
also a party to agreements where the performance of services
extends beyond the current operating cycle. In these circumstances,
the Company records a long-term obligation and recognizes revenue
over the period of the agreement as the services are
rendered.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Leases and Accrued
Rent</b>—The Company leases space for certain of its centers
and corporate offices. Leases are evaluated and classified as
operating or capital for financial reporting purposes. The Company
recognizes rent expense from operating leases with periods of free
rent, tenant allowances and scheduled rent increases on a
straight-line basis over the applicable lease term. The difference
between rents paid and straight-line rent expense is recorded as
accrued rent.</font></p>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Discount on Long-Term
Debt</b>—Original issue discounts on the Company’s debt
are recorded as a reduction of long-term debt and are amortized
over the life of the related debt instrument in accordance with the
effective interest method. Amortization expense is included in
interest expense in the consolidated statements of
operations.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Deferred Financing
Costs</b>—Deferred financing costs are recorded as a
reduction of long-term debt and are amortized over the life of the
related debt instrument in accordance with the effective interest
method. Amortization of this expense is included in interest
expense in the consolidated statements of operations.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Other Long-Term
Liabilities</b>—Other long-term liabilities consist primarily
of amounts payable to clients, pursuant to terms of operating
agreements or for deposits held by the Company, and obligations for
uncertain tax positions.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Income
Taxes</b>—The Company accounts for income taxes using the
asset and liability method. Under the asset and liability method,
deferred tax assets and liabilities are recognized for the future
tax consequences attributable to temporary differences between the
financial statement carrying amounts of existing assets and
liabilities and their respective tax bases and for tax
carryforwards, such as net operating losses. Deferred tax assets
and liabilities are measured using enacted tax rates expected to
apply to taxable income in the years in which those temporary
differences are expected to be recovered or settled. The effect on
deferred tax assets and liabilities of a change in tax rates is
recognized in the provision for income taxes in the period that
includes the enactment date. The Company records a valuation
allowance to reduce the carrying amount of deferred tax assets if
it is more likely than not that such asset will not be realized.
Additional income tax expense is recognized as a result of
recording valuation allowances. The Company does not recognize a
tax benefit on losses in foreign operations where it does not have
a history of profitability. The Company records penalties and
interest on income tax related items as a component of tax
expense.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Obligations for uncertain
tax positions are recorded based on an assessment of whether the
position is more likely than not to be sustained by the taxing
authorities. The Company recognizes accrued interest and penalties
related to unrecognized tax benefits in income tax
expense.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Noncontrolling
Interest</b>—The Company recorded the redeemable
noncontrolling interest from its initial acquisition of a 63%
ownership interest of a company in the Netherlands at fair value at
the date of acquisition. The difference between the acquisition
price and carrying value of the redeemable non-controlling interest
of any additional interest acquired is recorded as an adjustment to
additional paid in capital. Any accumulated other comprehensive
income (loss) associated with the additional acquired interest is
recorded as other comprehensive income (loss) of the
Company.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">In connection with the
initial acquisition, the Company entered into put and call option
agreements with the minority shareholders for the purchase of the
noncontrolling interest at a future date at a value based on a
contractually determined formula. As a result of the option
agreements, the noncontrolling interest is considered redeemable
and is classified as temporary equity on the Company’s
consolidated balance sheet.</font></p>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The noncontrolling
interest is reviewed at each subsequent reporting period and
adjusted, as needed, to reflect its then redemption
value.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Revenue
Recognition</b>—The Company recognizes revenue when
persuasive evidence of an arrangement exists, delivery has occurred
or services have been rendered, the fee is fixed and determinable,
and collectability is reasonably assured.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Center-based care
revenues consist primarily of tuition, which consists of amounts
paid by parents, supplemented in some cases by payments from
employer sponsors and, to a lesser extent, by payments from
government agencies. Revenue may also include management fees,
operating subsidies paid either in lieu of or to supplement parent
tuition, and fees for other services. Revenue for center-based care
is recognized as the services are performed.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company enters into
contracts with its employer sponsors to manage and operate their
child care and early education centers and/or for the provision of
back-up dependent care and other educational advisory services
under various terms. The Company’s contracts to operate child
care and early education centers are generally three to ten years
in length with varying renewal options. The Company’s
contracts for back-up dependent care and other educational advisory
services are generally one to three years in length with varying
renewal options. Revenue for these services is recognized as they
are performed.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Common Stock Valuation
and Stock-Based Compensation</b>—The Company accounts for
stock-based compensation using a fair value method. Stock-based
compensation expense is recognized in the consolidated financial
statements based on the grant-date fair value of the awards that
are expected to vest. This expense is recognized on a straight-line
basis over the requisite service period, which generally represents
the vesting period, of each separately vesting tranche. The Company
calculates the fair value of stock options using the Black-Scholes
option-pricing model.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The key assumption in
determining the fair value of stock-based awards on the date of
grant is the fair value of the underlying Class L and Class A
shares of common stock (collectively referred to herein as
“common stock”). The fair value of the underlying
common stock is determined using valuation models that rely
primarily on a discounted cash flow approach to determine the
enterprise value and the probability weighted expected return
method to allocate the value of the invested capital to the two
classes of stock.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Comprehensive (Loss)
Income</b>—Comprehensive (loss) income is comprised of net
(loss) income and foreign currency translation adjustments, and is
reported in the consolidated statements of comprehensive (loss)
income net of taxes for all periods presented. The Company does not
provide for U.S. income taxes on the portion of undistributed
earnings of foreign subsidiaries that is intended to be permanently
reinvested. Therefore, taxes are not provided for the related
currency translation adjustments.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Earnings (Loss) Per
Share</b>—Net earnings (loss) per share is calculated using
the two-class method, which is an earnings allocation formula that
determines net income (loss) per share for the holders of the
Company’s Class L and Class A shares. The Class L
shares contain participation rights in any dividend paid by the
Company or upon liquidation of the Company. Net income available to
Class A common shareholders includes the effects of any Class
L preference amounts. Net income available to shareholders is
allocated on a pro rata basis to each share as if all of the
earnings for the period had been distributed. Diluted net income
(loss) per share is calculated using the treasury stock method for
all outstanding stock options and the as-converted method for the
Class L shares.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Subsequent
Events</b>— Subsequent events have been evaluated up through
the date that these consolidated financial statements were
filed.</font></p>
</div>
51974000
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>6.    ACCOUNTS
PAYABLE AND ACCRUED EXPENSES</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Accounts payable and
accrued expenses consist of the following (in
thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="82%"></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accounts payable</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7,850</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,319</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accrued payroll and employee
benefits</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">47,950</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">52,344</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accrued insurance</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">12,916</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">13,674</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accrued interest</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">241</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,430</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accrued occupancy costs</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,272</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,336</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accrued professional fees</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,777</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,135</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Other accrued expenses</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">16,027</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">18,969</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">89,033</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">97,207</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The computation of basic
and diluted earnings per common share is as follows (in thousands,
except share and per share amounts):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="67%"></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="10" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Years ended December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2010</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Net (loss) income—basic and
diluted</b></font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(9,994</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,759</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">8,162</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accretion of Class L
preference</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">64,712</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">71,568</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">79,211</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accretion of Class L preference for
vested options</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,251</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,274</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">5,436</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Net (loss) available to common
shareholders</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(75,957</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(68,083</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(76,485</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
<tr>
<td height="8"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Allocation of net (loss) income to
common stockholders—basic and diluted:</b></font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Class L</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">64,712</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">71,568</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">79,211</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Class A</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(75,957</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(68,083</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(76,485</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr>
<td height="8"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Weighted average number of common
shares—basic and diluted:</b></font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Class L</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,315,153</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,317,273</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,326,206</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Class A</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,006,960</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,016,733</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,058,512</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td height="8"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Earnings (loss) per common
share—basic and diluted:</b></font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Class L</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">49.21</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">54.33</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">59.73</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Class A</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(12.64</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(11.32</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(12.62</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
</table>
</div>
84647000
17596000
-734000
2831000
26933000
319000
3661000
<div>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The preliminary purchase
price for this acquisition has been allocated based on the
estimated fair values of the acquired assets and assumed
liabilities at the date of acquisition as follows (in
thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="89%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Cash</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,872</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accounts receivable</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">341</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Prepaids and other current
assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,880</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Fixed assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">65,843</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Intangible assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,004</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Goodwill</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">45,723</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Total assets acquired</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">123,663</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accounts payable and accrued
expenses</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(7,520</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Taxes payable</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(656</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Deferred revenue and parent
deposits</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(3,006</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Deferred taxes</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,720</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Total liabilities assumed</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(12,902</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Purchase price</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">110,761</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
Shorter of the lease term or the estimated useful life
0.25
2361000
<div>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The operating results for
any quarter are not necessarily indicative of the results of any
future quarter.</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="48%"></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>March 31, 2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>June 30, 2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>September 30,<br />
2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31,<br />
2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="14" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>(In thousands)</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">232,922</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">248,017</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">243,877</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">248,885</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Gross profit</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">49,296</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">55,322</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">49,183</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">53,400</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Income from operations</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">20,226</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">25,535</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">18,293</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">22,782</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Net income (loss)</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,263</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,519</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(364</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,870</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Net income (loss) attributable to
Bright Horizons Family Solutions Inc</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,263</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,519</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(456</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,959</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Allocation of net (loss) income to
common stockholders—basic and diluted:</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Class L</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">16,995</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">17,608</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">18,253</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">18,712</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Class A</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(18,564</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(15,406</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(19,030</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(15,083</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Earnings (loss) per share:</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Class L—basic and
diluted</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">12.90</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">13.37</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">13.86</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">14.20</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Class A—basic and
diluted</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(3.09</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(2.56</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(3.16</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(2.51</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
</table>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="48%"></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>March 31, 2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>June 30, 2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>September 30,<br />
2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31,<br />
2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="14" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>(In thousands)</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">258,122</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">271,463</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">267,927</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">273,426</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Gross profit</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">58,020</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">64,553</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">60,092</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">63,105</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Income from operations</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">26,104</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">16,061</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">25,355</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">27,944</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Net income (loss)</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,590</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,914</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,606</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,227</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Net income (loss) attributable to
Bright Horizons Family Solutions Inc</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,509</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,967</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,446</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,174</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Allocation of net (loss) income to
common stockholders—basic and diluted:</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Class L</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">18,513</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">19,590</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">20,298</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">20,810</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Class A</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(15,070</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(25,482</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(18,521</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(17,412</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Earnings (loss) per share:</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Class L—basic and
diluted</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">13.99</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">14.76</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">15.30</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">15.68</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Class A—basic and
diluted</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(2.49</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(4.20</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(3.06</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(2.87</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
</table>
</div>
<div>
<p style="margin-top:12px;margin-bottom:0px; text-indent:5%">
<font style="font-family:ARIAL" size="2"><b>Deferred Financing
Costs</b>—Deferred financing costs are recorded as a
reduction of long-term debt and are amortized over the life of the
related debt instrument in accordance with the effective interest
method. Amortization of this expense is included in interest
expense in the consolidated statements of operations.</font></p>
</div>
95464000
7100000
17596000
<div>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Fixed assets consist of
the following (dollars in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="51%"></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom" rowspan="2"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" rowspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Estimated useful lives</b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>(Years)</b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Buildings</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">20 – 40</font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">71,009</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">116,157</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Furniture and equipment</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">3 – 10</font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">63,985</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">92,919</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Leasehold improvements</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">Shorter of the lease term<br />
or the estimated useful life</font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">165,397</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">206,328</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Land</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">—</font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">29,678</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">50,882</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Total fixed assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">330,069</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">466,286</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accumulated depreciation and
amortization</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(92,912</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(125,910</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Fixed assets, net</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">237,157</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">340,376</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>4.    FIXED
ASSETS</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Fixed assets consist of
the following (dollars in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="51%"></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom" rowspan="2"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" rowspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Estimated useful lives</b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>(Years)</b></font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="2"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" colspan="2"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Buildings</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">20 – 40</font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">71,009</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">116,157</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Furniture and equipment</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">3 – 10</font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">63,985</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">92,919</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Leasehold improvements</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">Shorter of the lease term<br />
or the estimated useful life</font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">165,397</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">206,328</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Land</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">—</font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">29,678</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">50,882</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Total fixed assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">330,069</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">466,286</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accumulated depreciation and
amortization</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(92,912</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(125,910</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Fixed assets, net</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">237,157</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">340,376</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company recorded
depreciation expense of $25.7 million, $28.0 million and
$34.4 million for the years ended December 31, 2010, 2011, and
2012, respectively.</font></p>
</div>
<div>
<p style="margin-top:12px;margin-bottom:0px; text-indent:5%">
<font style="font-family:ARIAL" size="2"><b>Discount on Long-Term
Debt</b>—Original issue discounts on the Company’s debt
are recorded as a reduction of long-term debt and are amortized
over the life of the related debt instrument in accordance with the
effective interest method. Amortization expense is included in
interest expense in the consolidated statements of
operations.</font></p>
</div>
P6Y9M18D
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>9.    CREDIT
ARRANGEMENTS AND DEBT OBLIGATIONS</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Long-term debt consists
of the following (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="80%"></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Tranche B term loans</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">350,946</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">346,111</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Series C new term loans</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">84,363</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Senior subordinated notes</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">300,000</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">300,000</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Senior notes</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">174,055</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">197,810</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Original issue discount</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(10,656</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(8,012</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Deferred financing costs</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(15,088</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(13,629</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Total debt</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">799,257</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">906,643</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Less current maturities</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,814</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,036</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Long-term debt</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">794,443</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">904,607</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b><i>Long-Term Debt in Place at
December 31, 2012</i></b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">In 2008, in conjunction
with the Merger, Bright Horizons Family Solutions LLC (“BHFS
LLC”) entered into agreements with lenders consisting of a
Credit and Guaranty Agreement (the “Credit Agreement”)
in an aggregate principal amount not to exceed $440.0 million
and a Note Purchase Agreement and Indenture for the issuance of
$300.0 million of senior subordinated notes. In addition,
Bright Horizons Capital Corp. (“Capital Corp.”) entered
into a Note Purchase Agreement and Indenture for the issuance of
$110.0 million of senior notes. In July of 2011, certain terms and
provisions of the Credit Agreement and the Indentures were amended
in order to permit the acquisition of a 63% ownership interest in a
company in the Netherlands and a subsequent follow-on acquisition
of the remaining minority equity interests, and to make certain
other investment-related changes.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">In May of 2012, certain
terms and provisions of the Credit Agreement were further amended
to permit the acquisition of the outstanding shares of Huntyard
Limited, to increase the size of the incremental facility provided
under the Credit Agreement by an additional $35.0 million, to $85.0
million, to eliminate the mandatory prepayment provision relating
to the issuance of equity interests, and to make other changes to
certain other covenants. The full amount of the amended incremental
facility under the Credit Agreement was subsequently borrowed by
BHFS LLC as Series C new term loans.</font></p>
<p style="MARGIN-TOP: 18px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b><i>Credit and Guaranty
Agreement</i></b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Credit and Guaranty
Agreement consists of three facilities:</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 6px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%">
<tr>
<td width="5%"><font size="1"> </font></td>
<td valign="top" width="1%" align="left"><font style="FONT-FAMILY: ARIAL" size="2"><font style="FONT-FAMILY: WINGDINGS" color="#000000" size="2">Ÿ</font></font></td>
<td valign="top" width="1%"><font size="1"> </font></td>
<td valign="top" align="left">
<p align="left"><font style="FONT-FAMILY: ARIAL" size="2"><b>$75 million Revolver</b>—BHFS LLC may borrow and
repay under the revolving credit facility for a term of six years,
terminating on May 28, 2014, with any amounts outstanding at
that date payable in full. The net proceeds of the borrowings under
the revolving credit facility may be used for general corporate
purposes, including, subject to certain sub-limits and covenant
requirements, to fund acquisitions and invest in foreign
subsidiaries. At BHFS LLC’s option, advances under the
revolving credit facility will bear interest at either i) the
greater of the Federal Funds Rate plus 0.5% or Prime (the Base
Rate) plus a spread based on BHFS LLC’s leverage ratio, or
ii) LIBOR (the Eurodollar Rate) plus a spread based on BHFS
LLC’s leverage ratio. Commitment fees on the unused portion
of the line are payable at a rate ranging from 0.375% to
0.500% per annum based on BHFS LLC’s leverage ratio. No
amounts were outstanding at December 31, 2011 and 2012 under
the revolving credit facility. The weighted average interest rate
for the years ended December 31, 2010 and 2011 was 4.8% and
5.5%, respectively. There were no borrowings during the year ended
December 31, 2012.</font></p>
</td>
</tr>
</table>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 6px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%">
<tr>
<td width="5%"><font size="1"> </font></td>
<td valign="top" width="1%" align="left"><font style="FONT-FAMILY: ARIAL" size="2"><font style="FONT-FAMILY: WINGDINGS" color="#000000" size="2">Ÿ</font></font></td>
<td valign="top" width="1%"><font size="1"> </font></td>
<td valign="top" align="left">
<p align="left"><font style="FONT-FAMILY: ARIAL" size="2"><b>$365 million Tranche B Term Loans</b>—The
total available amount of $365.0 million in aggregate principal was
borrowed in 2008 as of the date of the Merger. Principal repayments
of $912,500 are due quarterly and commenced September 30,
2008, with the final payment due on May 28, 2015. As a result
of the calculation of Consolidated Excess Cash Flow for 2010, the
Company prepaid $4.9 million of principal in March 2011, satisfying
all four quarterly principal payments required in 2011 and a
portion of the payments required in 2012. As a result of the
calculation of Consolidated Excess Cash Flow for 2011, the Company
prepaid $4.8 million of principal in March 2012, satisfying the
remaining quarterly principal payments required in 2012 and a
portion of the payments required in 2013. At BHFS LLC’s
option, the term loans bear interest at either i) the greater
of the Federal Funds Rate plus 0.5% or Prime (the Base Rate) plus
3.0%, or ii) LIBOR (the Eurodollar Rate) plus 4.0%. Prior to
May 28, 2011, the third anniversary of the agreement, both the
Base Rate and Eurodollar Rate were subject to floors of 4.5% and
3.5%, respectively. At December 31, 2011 and 2012, $350.9
million and $346.1 million were outstanding in term loans,
respectively. The interest rate on the outstanding term loans was
4.3% at December 31, 2011 and 4.2% at December 31, 2012.
The weighted average interest rate for the years ended
December 31, 2010, 2011 and 2012 was 7.5%, 5.6% and 4.3%,
respectively. In 2009, BHFS LLC entered into an interest rate cap
agreement with a bank to hedge changes in LIBOR over the term of
the agreement such that the maximum interest BHFS LLC would be
subject to would be 7.0% plus the spread of 4.0%. The agreement
expires June 30, 2014. The interest rate cap is carried at
fair value and is included in other assets on the consolidated
balance sheets. The interest rate cap, which had an original cost
of $1.0 million, had a fair value of less than $0.1 million at
December 31, 2011 and 2012. Changes in the fair value of the
interest rate cap are recorded in interest expense, which were an
increase to interest expense of $2.3 million,
$0.6 million, and $0.1 million in the years ended
December 31, 2010, 2011 and 2012, respectively.</font></p>
</td>
</tr>
</table>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 6px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%">
<tr>
<td width="5%"><font size="1"> </font></td>
<td valign="top" width="1%" align="left"><font style="FONT-FAMILY: ARIAL" size="2"><font style="FONT-FAMILY: WINGDINGS" color="#000000" size="2">Ÿ</font></font></td>
<td valign="top" width="1%"><font size="1"> </font></td>
<td valign="top" align="left">
<p align="left"><font style="FONT-FAMILY: ARIAL" size="2"><b>$85
million Series C New Term Loans</b>—The entire $85.0 million
available under the incremental facility was borrowed in May 2012.
Principal repayments of $212,500 are due quarterly and commenced
June 30, 2012, with the final payment due on May 23,
2017. At BHFS LLC’s option, the new term loans bear interest
at either i) the greater of the Federal Funds Rate plus 0.5%
or Prime (the Base Rate) plus 3.25%, or ii) LIBOR (the Eurodollar
Rate) plus 4.25%. Both the Base Rate and Eurodollar Rate are
subject to floors of 2.0% and 1.0%, respectively. At
December 31, 2012, $84.4 million of Series C new term loans
were outstanding and the interest rate on the outstanding loans was
5.3%.</font></p>
</td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Debt outstanding under
the Credit and Guaranty Agreement is secured by substantially all
of the assets of the Company’s subsidiaries located in the
United States, and is guaranteed by all of the Company’s
wholly-owned U.S.-based subsidiaries. The Credit and Guaranty
Agreement requires that the Company maintain compliance with
specified financial ratios and other covenants, including a minimum
interest coverage ratio, a maximum total leverage ratio, a maximum
capital expenditures requirement, and certain limitations on
additional indebtedness, and the acquisitions and dispositions of
assets. Amounts outstanding under the Credit and Guaranty Agreement
are also subject to mandatory prepayment provisions based on cash
flow generation, certain asset sales, or additional
debt.</font></p>
<p style="MARGIN-TOP: 18px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b><i>Original Issue
Discount</i></b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The revolving credit
facility and the Tranche B term loans were issued with original
issue discount (OID) of $20.5 million; the Series C new term
loans issued in May 2012 were issued with OID of $425,000. The OID
is amortized over the stated term of each facility with amounts
amortized in each period included in interest expense. For the
years ended December 31, 2010, 2011, and 2012, the total
amount of amortized OID included in interest expense was $2.8
million, $2.9 million and $3.1 million, respectively.</font></p>
<p style="MARGIN-TOP: 18px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b><i>Note Purchase
Agreements and Indentures</i></b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Note Purchase
Agreements and respective Indentures consist of:</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 6px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%">
<tr>
<td width="5%"><font size="1"> </font></td>
<td valign="top" width="1%" align="left"><font style="FONT-FAMILY: ARIAL" size="2"><font style="FONT-FAMILY: WINGDINGS" color="#000000" size="2">Ÿ</font></font></td>
<td valign="top" width="1%"><font size="1"> </font></td>
<td valign="top" align="left">
<p align="left"><font style="FONT-FAMILY: ARIAL" size="2"><b>$300
million of Senior Subordinated Notes:</b> The senior subordinated
notes were issued by BHFS LLC on May 28, 2008, bearing a fixed
annual interest rate of 11.5% computed on the basis of a 360-day
year and twelve 30-day months. Interest is payable quarterly and
the senior subordinated notes mature and are payable in full on
May 28, 2018. The senior subordinated notes are guaranteed by
all of the Company’s wholly-owned US-based
subsidiaries.</font></p>
</td>
</tr>
</table>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 6px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%">
<tr>
<td width="5%"><font size="1"> </font></td>
<td valign="top" width="1%" align="left"><font style="FONT-FAMILY: ARIAL" size="2"><font style="FONT-FAMILY: WINGDINGS" color="#000000" size="2">Ÿ</font></font></td>
<td valign="top" width="1%"><font size="1"> </font></td>
<td valign="top" align="left">
<p align="left"><font style="FONT-FAMILY: ARIAL" size="2"><b>$110
million of Senior Notes:</b> The senior notes were issued by
Capital Corp. on May 28, 2008, bearing a fixed annual interest
rate of 13.0% computed on the basis of a 360-day year and twelve
30-day months. Interest is payable quarterly in arrears and the
senior notes mature and are payable in full on November 28,
2018. At Capital Corp.’s option, interest due on or before
May 28, 2013, is payable in cash or by such interest being
added to the principal. At December 31, 2012, the Company had
$197.8 million of aggregate principal amount of the senior notes
outstanding, which includes the interest that has been added to the
principal. The senior notes are not guaranteed by any of the
Company’s subsidiaries. Accumulated interest in the amount of
$87.8 million added to the principal was due in 2013; however,
since the Company used a portion of the proceeds from its initial
public offering in 2013 to repay that liability, the amount is
presented as a long-term liability at December 31,
2012.</font></p>
</td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Indentures and the
Note Purchase Agreements do not contain any financial maintenance
covenants.</font></p>
<p style="MARGIN-TOP: 18px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b><i>Deferred Financing
Fees</i></b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">BHFS LLC and Capital
Corp. incurred financing fees of $27.1 million in connection
with the 2008 debt agreements and BHFS LLC incurred an additional
$2.3 million related to the 2012 Series C new term loans. These
fees are being amortized over the terms of the related debt
instruments and such amortization is included in interest expense
in the consolidated statements of operations. Amortization expense
relating to these deferred financing costs for the years ended
December 31, 2010, 2011, and 2012, was $3.3 million, $3.4
million and $3.7 million, respectively.</font></p>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b><i>Overdraft
Facilities</i></b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company’s
subsidiaries in the United Kingdom maintain an overdraft facility
with a U.K. bank to support local short-term working capital
requirements. The overdraft facility is repayable upon demand from
the U.K. bank. The facility provides maximum borrowings of
£0.3 million (approximately $0.5 million at
December 31, 2012) and is secured by a cross guarantee by and
among the Company’s subsidiaries in the United Kingdom and a
right of offset against all accounts maintained by the subsidiaries
at the lending bank. The overdraft facility bears interest at the
U.K. bank’s base rate plus 2.15%. At December 31, 2011
and 2012, there were no amounts outstanding under the overdraft
facility.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company’s
majority-owned subsidiary in the Netherlands, acquired in 2011,
maintains a revolving credit facility with a Dutch bank consisting
of a <font style="FONT-FAMILY: SANS-SERIF" color="#000000" size="2">€</font>1.0 million (approximately $1.3 million at
December 31, 2012) general facility to support working capital
and letter of credit requirements, and a <font style="FONT-FAMILY: SANS-SERIF" color="#000000" size="2">€</font>
1.75 million (approximately $2.3 million at December 31,
2012) current account facility to support the construction and fit
out of new child care centers. The current account facility is
reduced by <font style="FONT-FAMILY: SANS-SERIF" color="#000000" size="2">€</font>  0.25 million quarterly through
January 1, 2014, its termination date. Both facilities are
repayable upon demand from the Dutch bank and are secured by a
right of offset against all accounts maintained by the Company at
the lending bank. The current account facility is secured by an
additional pledge of equipment. Both facilities bear interest at
the bank’s Euro base rate plus 1.5%. At December 31,
2011 and 2012, there were no amounts outstanding under the
facility. The weighted average interest rate for the year ended
December 31, 2011 was 5.95%. There were no borrowings during
the year ended December 31, 2012.</font></p>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b><i>2013 Debt Refinancing
Transactions</i></b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>$110 million of Senior
Notes</b>—On January 30, 2013, the Company used the net
proceeds of its initial public offering and certain proceeds from
the issuance of a $790.0 million senior secured term loan to redeem
the senior notes in full for $213.3 million, including the
redemption premium.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b><i>New Credit
Facility</i></b>—On January 30, 2013, the Company also
entered into new $890.0 million senior secured credit
facilities to refinance all of the existing indebtedness under the
senior credit facilities and the senior subordinated notes and to
reflect modifications to certain provisions of the senior credit
facilities. Significant terms of the refinancing are as
follows:</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 6px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%">
<tr>
<td width="5%"><font size="1"> </font></td>
<td valign="top" width="1%" align="left"><font style="FONT-FAMILY: ARIAL" size="2"><font style="FONT-FAMILY: WINGDINGS" color="#000000" size="2">Ÿ</font></font></td>
<td valign="top" width="1%"><font size="1"> </font></td>
<td valign="top" align="left">
<p align="left"><font style="FONT-FAMILY: ARIAL" size="2">$790.0
million term loan facility with a maturity date in 2020;</font></p>
</td>
</tr>
</table>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 6px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%">
<tr>
<td width="5%"><font size="1"> </font></td>
<td valign="top" width="1%" align="left"><font style="FONT-FAMILY: ARIAL" size="2"><font style="FONT-FAMILY: WINGDINGS" color="#000000" size="2">Ÿ</font></font></td>
<td valign="top" width="1%"><font size="1"> </font></td>
<td valign="top" align="left">
<p align="left"><font style="FONT-FAMILY: ARIAL" size="2">$100.0
million revolving credit facility with a maturity date in
2018;</font></p>
</td>
</tr>
</table>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 6px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%">
<tr>
<td width="5%"><font size="1"> </font></td>
<td valign="top" width="1%" align="left"><font style="FONT-FAMILY: ARIAL" size="2"><font style="FONT-FAMILY: WINGDINGS" color="#000000" size="2">Ÿ</font></font></td>
<td valign="top" width="1%"><font size="1"> </font></td>
<td valign="top" align="left">
<p align="left"><font style="FONT-FAMILY: ARIAL" size="2">The
applicable margin percentages for the loan facilities are
2.0% per annum for base rate loans and 3.0% per annum for
LIBOR rate loans provided that the base rate for the term loan may
not be lower than 2.0% and LIBOR may not be lower than
1.0%.</font></p>
</td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Principal payments of
$2.0 million are due quarterly and commence March 30, 2013,
with the final payment due on January 30, 2020.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Tranche B term loans
and the Series C new term loans were redeemed for an aggregate
$433.0 million, including the redemption premium on the Series C
new term loans, and the $300.0 million senior subordinated notes
were redeemed in full for an aggregate $330.8 million, including
the redemption premium.</font></p>
</div>
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Subsequent
Events</b>— Subsequent events have been evaluated up through
the date that these consolidated financial statements were
filed.</font></p>
</div>
-12045000
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Future minimum payments
as of December 31, 2012 under non-cancelable operating leases
are as follows for the years ending December 31 (in
thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="89%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2013</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">61,335</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2014</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">58,750</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2015</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">55,204</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2016</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">50,014</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2017</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">43,533</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Thereafter</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">191,060</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Total future minimum lease
payments</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">459,896</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
8162000
1580000
45723000
3400000
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Revenue
Recognition</b>—The Company recognizes revenue when
persuasive evidence of an arrangement exists, delivery has occurred
or services have been rendered, the fee is fixed and determinable,
and collectability is reasonably assured.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Center-based care
revenues consist primarily of tuition, which consists of amounts
paid by parents, supplemented in some cases by payments from
employer sponsors and, to a lesser extent, by payments from
government agencies. Revenue may also include management fees,
operating subsidies paid either in lieu of or to supplement parent
tuition, and fees for other services. Revenue for center-based care
is recognized as the services are performed.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company enters into
contracts with its employer sponsors to manage and operate their
child care and early education centers and/or for the provision of
back-up dependent care and other educational advisory services
under various terms. The Company’s contracts to operate child
care and early education centers are generally three to ten years
in length with varying renewal options. The Company’s
contracts for back-up dependent care and other educational advisory
services are generally one to three years in length with varying
renewal options. Revenue for these services is recognized as they
are performed.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Common Stock Valuation
and Stock-Based Compensation</b>—The Company accounts for
stock-based compensation using a fair value method. Stock-based
compensation expense is recognized in the consolidated financial
statements based on the grant-date fair value of the awards that
are expected to vest. This expense is recognized on a straight-line
basis over the requisite service period, which generally represents
the vesting period, of each separately vesting tranche. The Company
calculates the fair value of stock options using the Black-Scholes
option-pricing model.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The key assumption in
determining the fair value of stock-based awards on the date of
grant is the fair value of the underlying Class L and Class A
shares of common stock (collectively referred to herein as
“common stock”). The fair value of the underlying
common stock is determined using valuation models that rely
primarily on a discounted cash flow approach to determine the
enterprise value and the probability weighted expected return
method to allocate the value of the invested capital to the two
classes of stock.</font></p>
</div>
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The following is a
reconciliation of the changes in the redeemable noncontrolling
interest for the years ended December 31, 2011 and 2012 (in
thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="76%"></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Years ended December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>        2011        </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>        2012        </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Balance at beginning of the
period</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">15,527</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Fair value at acquisition</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">17,063</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Sale of 18.5% of interest to
BHFS</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(7,994</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Net income attributable to
noncontrolling interest</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">347</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Effect of foreign currency
translation</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,539</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">246</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Balance at end of period</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">15,527</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">8,126</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
874000
593000
4162000
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Revenue and long-lived
assets by geographic region are as follows (in
thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="68%"></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="10" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Years ended December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2010</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Revenue</b></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">North America</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">770,848</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">843,645</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">901,210</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Europe and other</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">107,311</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">130,056</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">169,728</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Total Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">878,159</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">973,701</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,070,938</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
</table>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="80%"></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Long-lived assets</b></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">North America</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">198,468</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">230,807</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Europe and other</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">38,689</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">109,569</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Total long-lived assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">237,157</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">340,376</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
</table>
</div>
2500000
845000
0.08
5140000
6783000
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Impairment of
Long-Lived Assets</b>—The Company reviews long-lived assets
for possible impairment whenever events or changes in circumstances
indicate that the carrying amount of such assets may not be
recoverable. Impairment is assessed by comparing the carrying
amount of the asset to the estimated undiscounted future cash flows
over the asset’s remaining life. If the estimated cash flows
are less than the carrying amount of the asset, an impairment loss
is recognized to reduce the carrying amount of the asset to its
estimated fair value less any disposal costs. Fair value can be
determined using discounted cash flows and quoted market prices
based on level 3 inputs. The Company recorded fixed asset
impairment losses of $0.1 million, $0.8 million and $0.3 million in
the years ended December 31, 2010, 2011 and 2012,
respectively, which have been included in cost of sales.</font></p>
</div>
77205000
<div>
<p style="margin-top:12px;margin-bottom:0px; text-indent:5%">
<font style="font-family:ARIAL" size="2"><b>Comprehensive (Loss)
Income</b>—Comprehensive (loss) income is comprised of net
(loss) income and foreign currency translation adjustments, and is
reported in the consolidated statements of comprehensive (loss)
income net of taxes for all periods presented. The Company does not
provide for U.S. income taxes on the portion of undistributed
earnings of foreign subsidiaries that is intended to be permanently
reinvested. Therefore, taxes are not provided for the related
currency translation adjustments.</font></p>
</div>
23754000
23000
245770000
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Deferred
Revenue</b>—The Company records deferred revenue for prepaid
tuition and management fees and amounts received from consulting
projects in advance of services being performed. The Company is
also a party to agreements where the performance of services
extends beyond the current operating cycle. In these circumstances,
the Company records a long-term obligation and recognizes revenue
over the period of the agreement as the services are
rendered.</font></p>
</div>
2100000
-71140000
879000
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Income tax (benefit)
expense consists of the following (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="73%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="10" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Years ended December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2010</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Current tax (benefit)
expense</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Federal</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,068</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(2,063</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">8,102</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">State</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,277</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,517</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,361</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Foreign</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">231</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7,120</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,434</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,576</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,574</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">14,897</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Deferred tax (benefit)
expense</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Federal</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(11,213</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,292</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(9,048</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">State</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(2,419</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">523</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,453</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Foreign</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(258</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(4,980</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,153</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(13,890</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(5,749</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(11,654</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Income tax (benefit)
expense</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(10,314</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">825</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,243</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
778000
8102000
4110000
<div>
<p style="margin-top:12px;margin-bottom:0px; text-indent:5%">
<font style="font-family:ARIAL" size="2"><b>Income
Taxes</b>—The Company accounts for income taxes using the
asset and liability method. Under the asset and liability method,
deferred tax assets and liabilities are recognized for the future
tax consequences attributable to temporary differences between the
financial statement carrying amounts of existing assets and
liabilities and their respective tax bases and for tax
carryforwards, such as net operating losses. Deferred tax assets
and liabilities are measured using enacted tax rates expected to
apply to taxable income in the years in which those temporary
differences are expected to be recovered or settled. The effect on
deferred tax assets and liabilities of a change in tax rates is
recognized in the provision for income taxes in the period that
includes the enactment date. The Company records a valuation
allowance to reduce the carrying amount of deferred tax assets if
it is more likely than not that such asset will not be realized.
Additional income tax expense is recognized as a result of
recording valuation allowances. The Company does not recognize a
tax benefit on losses in foreign operations where it does not have
a history of profitability. The Company records penalties and
interest on income tax related items as a component of tax
expense.</font></p>
<p style="margin-top:12px;margin-bottom:0px; text-indent:5%">
<font style="font-family:ARIAL" size="2">Obligations for uncertain
tax positions are recorded based on an assessment of whether the
position is more likely than not to be sustained by the taxing
authorities. The Company recognizes accrued interest and penalties
related to unrecognized tax benefits in income tax
expense.</font></p>
</div>
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>3.    PREPAID
EXPENSES AND OTHER CURRENT ASSETS</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Prepaid expenses and
other current assets consist of the following (in
thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="82%"></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Prepaid workers compensation
insurance</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">9,048</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">9,160</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Prepaid rent and other occupancy
costs</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">5,947</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,354</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Prepaid income taxes</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,087</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">213</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Reimbursable costs</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">714</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,060</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Favorable leases</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">462</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">386</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Prepaid insurance</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,111</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,341</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Deferred initial public offering
costs</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,189</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Other prepaid expenses and current
assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,203</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,124</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">22,572</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">27,827</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Under the terms of the
Company’s workers compensation policy, the Company is
required to make advances to its insurance carrier pertaining to
anticipated claims for all open plan years.</font></p>
</div>
1070938000
3100000
474000
12000
551000
123373000
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>8.    OTHER
LONG-TERM LIABILITIES</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Other long-term
liabilities consist of the following (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="82%"></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Customer amounts on
deposit</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7,492</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">8,481</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Liability for uncertain tax
positions</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">11,050</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">9,966</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Other miscellaneous
liabilities</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,984</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">5,270</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">22,526</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">23,717</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
3243000
364000
<div>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Accounts payable and
accrued expenses consist of the following (in
thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="82%"></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accounts payable</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7,850</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,319</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accrued payroll and employee
benefits</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">47,950</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">52,344</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accrued insurance</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">12,916</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">13,674</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accrued interest</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">241</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,430</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accrued occupancy costs</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,272</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,336</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accrued professional fees</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,777</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,135</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Other accrued expenses</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">16,027</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">18,969</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">89,033</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">97,207</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
347000
223000
1155000
69086000
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>5.    GOODWILL
AND INTANGIBLE ASSETS</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The changes in the
carrying amount of goodwill are as follows (in
thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="78%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Years ended December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>      2011      </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>      2012      </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Beginning balance</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">887,895</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">947,371</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Goodwill additions during the
period</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">62,917</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">45,723</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Adjustments to prior year
acquisitions</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">250</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(22</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Tax benefit from the exercise of
continuation options</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(71</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(2,506</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Effect of foreign currency
translation</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(3,620</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,831</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Ending balance</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">947,371</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">993,397</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Goodwill associated with
full service center-based care, back-up dependent care and other
educational advisory services amounted to $813.4 million, $159.2
million, and $20.8 million, respectively, at December 31,
2012. Substantially all activity associated with goodwill in
2011 and 2012 related to full service center-based care.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The following tables
reflect intangible assets that are subject to amortization (in
thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="52%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Weighted
average<br />
amortization period</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Cost</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Accumulated<br />
amortization</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Net carrying<br />
amount</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>December 31,
2011:</b></font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Contractual rights and customer
relationships</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">15.0 years</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">365,194</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(97,232</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">267,962</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Trade names</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">8.9 years</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,798</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(516</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,282</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Non-compete agreements</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">5 years</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">54</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(29</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">25</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Other</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">2.9 years</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,200</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(4,200</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">371,246</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(101,977</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">269,269</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="52%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Weighted
average<br />
amortization period</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Cost</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Accumulated<br />
amortization</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Net carrying<br />
amount</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>December 31,
2012:</b></font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Contractual rights and customer
relationships</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">14.9 years</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">370,527</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(124,048</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">246,479</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Trade names</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">9.1 years</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,147</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(883</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,264</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Non-compete agreements</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">5 years</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">54</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(33</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">21</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">373,728</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(124,964</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">248,764</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company also has
trade names with net carrying values of $183.8 million at
December 31, 2011 and 2012, which were determined to have
indefinite useful lives and are not subject to amortization. On an
annual basis, these trade names are subject to an evaluation of the
remaining useful life to determine whether events and circumstances
continue to support an indefinite useful life, as well as testing
for impairment.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company recorded
amortization expense of $27.6 million, $27.4 million and
$26.9 million in the years ended December 31, 2010, 2011, and
2012, respectively.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company estimates
that it will record amortization expense related to intangible
assets existing as of December 31, 2012 as follows over the
next five years (in millions):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="87%"></td>
<td valign="bottom" width="9%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Estimated<br />
amortization<br />
expense</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2013</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">26.5</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2014</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">24.0</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2015</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">22.5</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2016</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">22.1</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2017</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">21.6</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
</table>
</div>
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>14.    COMMITMENTS AND
CONTINGENCIES</b></font></p>
<p style="MARGIN-TOP: 6px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b><i>Leases</i></b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company leases
various office equipment, child care and early education center
facilities and office space under non-cancelable operating leases.
Most of the leases expire within ten years and many contain renewal
options for various periods. Rent expense for the years ended
December 31, 2010, 2011, and 2012 totaled $52.1 million,
$57.6 million and $62.8 million, respectively.</font></p>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Future minimum payments
as of December 31, 2012 under non-cancelable operating leases
are as follows for the years ending December 31 (in
thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="89%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2013</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">61,335</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2014</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">58,750</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2015</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">55,204</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2016</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">50,014</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2017</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">43,533</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Thereafter</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">191,060</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Total future minimum lease
payments</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">459,896</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>Long-Term Debt</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Future minimum payments
as of December 31, 2012 of long-term debt, prior to our debt
refinancing in January 2013, are as follows for the years ending
December 31 (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="89%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2013</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,036</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2014</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,500</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2015</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">342,125</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2016</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">850</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2017</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">80,963</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Thereafter</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">410,000</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Total future principal
payments</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">840,474</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">In addition to these
obligations, amounts due in 2013 exclude $87.8 million of
accumulated interest on the senior notes as of December 31,
2012, which has been added to the principal balance, and that was
repaid in 2013 from the proceeds of the Offering as discussed in
Note 9, “Credit Arrangements and Debt
Obligations”.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The future minimum
payments under the new $790.0 million term loans obtained on
January 30, 2013 are as follows for each of the following
years: $7.9 million in 2013, $7.9 million in 2014, $7.9
million in 2015, $7.9 million in 2016, $7.9 million in 2017, with
$750.5 million due thereafter.</font></p>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b><i>Letters of
Credit</i></b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company has eighteen
letters of credit outstanding used to guarantee certain rent
payments for up to $0.8 million. No amounts have been drawn against
these letters of credit.</font></p>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b><i>Litigation</i></b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company is a
defendant in certain legal matters in the ordinary course of
business. Management believes the resolution of such legal matters
will not have a material effect on the Company’s financial
condition, results of operations or cash flows.</font></p>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b><i>Insurance and
Regulatory</i></b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company self-insures
a portion of its medical insurance plans and has a high deductible
workers’ compensation plan. While management believes that
the amounts accrued for these obligations are sufficient, any
significant increase in the number of claims or costs associated
with claims made under these plans could have a material adverse
effect on the Company’s financial position, results of
operations or cash flows.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company’s child
care and early education centers are subject to numerous federal,
state and local regulations and licensing requirements. Failure of
a center to comply with applicable regulations can subject it to
governmental sanctions, which could require expenditures by the
Company to bring its child care and early education centers into
compliance.</font></p>
</div>
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>16.    SEGMENT
AND GEOGRAPHIC INFORMATION</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Bright Horizons work/life
services are primarily comprised of full service center-based child
care, back-up dependent care, elementary education, college
preparation and admissions counseling, and tuition assistance,
counseling and management services. The Company has identified
three reporting segments consisting of full service center-based
care, back-up dependent care, and other educational advisory
services. Full service center-based care includes the traditional
center-based child care, preschool, and elementary education, which
have similar operating characteristics and meet the criteria for
aggregation under ASC 280, <i>Segment Reporting</i>. Full service
center-based care derives its revenues primarily from contractual
arrangements with corporate clients and from tuition. The
Company’s back-up dependent care services consist of
center-based back-up child care, in-home care, mildly ill care, and
adult/elder care. The Company’s other education advisory
services consists of the remaining services, including college
preparation and admissions counseling and tuition assistance,
counseling and management services, which do not meet the
quantitative thresholds for separate disclosure and are not
material for segment reporting individually or in the aggregate.
The Company and its chief operating decision makers evaluate
performance based on revenues and income from
operations.</font></p>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The assets and
liabilities of the Company are managed centrally and are reported
internally in the same manner as the consolidated financial
statements; thus, no additional information is produced or included
herein.</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="55%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" nowrap="nowrap" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Full service<br />
center-based<br />
care</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" nowrap="nowrap" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Back-up<br />
dependent<br />
care</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" nowrap="nowrap" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Other<br />
educational<br />
advisory<br />
services</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" nowrap="nowrap" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Total</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="14" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>(In thousands)</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Year ended December 31,
2010</b></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">769,235</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">99,086</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">9,838</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">878,159</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Amortization of
intangibles</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">25,324</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,057</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">250</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">27,631</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Income from operations</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">46,770</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">21,141</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">752</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">68,663</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td height="8"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Year ended December 31,
2011</b></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">844,595</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">114,502</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">14,604</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">973,701</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Amortization of
intangibles</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">25,178</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,947</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">302</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">27,427</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Income from operations</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">58,950</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">28,669</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(783</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">86,836</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td height="8"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Year ended December 31,
2012</b></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">922,214</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">130,082</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">18,642</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,070,938</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Amortization of
intangibles</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">25,906</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">725</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">302</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">26,933</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Income from operations</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">60,154</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">33,863</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,447</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">95,464</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Revenue and long-lived
assets by geographic region are as follows (in
thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="68%"></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="10" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Years ended December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2010</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Revenue</b></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">North America</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">770,848</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">843,645</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">901,210</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Europe and other</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">107,311</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">130,056</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">169,728</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Total Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">878,159</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">973,701</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,070,938</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
</table>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="80%"></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Long-lived assets</b></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">North America</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">198,468</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">230,807</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Europe and other</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">38,689</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">109,569</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Total long-lived assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">237,157</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">340,376</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The classification
“North America” is comprised of the Company’s
United States, Canada and Puerto Rico operations and the
classification “Europe and other” includes the
Company’s United Kingdom, Netherlands, Ireland, and
India operations.</font></p>
</div>
2115000
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company estimates
that it will record amortization expense related to intangible
assets existing as of December 31, 2012 as follows over the
next five years (in millions):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="87%"></td>
<td valign="bottom" width="9%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Estimated<br />
amortization<br />
expense</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2013</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">26.5</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2014</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">24.0</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2015</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">22.5</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2016</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">22.1</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2017</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">21.6</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
</table>
</div>
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Fair Value of
Financial Instruments</b>—The Company estimates fair value
for certain assets and liabilities and categorizes them based upon
the level of judgment associated with the inputs used to measure
their fair value and the level of market price
observability.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company also develops
internal estimates of fair value when the volume and level of
activity for the asset or liability has significantly decreased or
in those circumstances that indicate when a transaction is not
orderly.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Financial instruments
measured and reported at fair value are classified in one of the
following categories:</font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Level 1—Quoted
prices are available in active markets for identical investments as
of the reporting date.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Level 2—Quoted
prices for similar instruments in active markets; quoted prices for
identical or similar instruments in markets that are not active;
and model-derived valuations in which all significant inputs and
significant value drivers are observable in active
markets.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Level 3—Valuations
derived from valuation techniques in which one or more significant
inputs or significant value drivers are unobservable.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The hierarchy requires
the use of observable market data when available. The Company
considers relevant and observable market prices in its valuations
where possible.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Fair value measurements,
including those categorized as Level 3, are prepared and reviewed
at each reporting period.</font></p>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company’s
financial instruments consist primarily of cash and cash
equivalents, accounts receivable, accounts payable, and short and
long-term debt. The fair value of the Company’s financial
instruments approximates their carrying value. The following table
shows the carrying value and the fair value of the Company’s
long-term debt at December 31, 2011 and 2012 (in
millions):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="68%"></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31, 2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31, 2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Carrying<br />
Value</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Fair<br />
Value</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Carrying<br />
Value</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Fair<br />
Value</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Long-term debt</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">825</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">898</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">927</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">973</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The fair value of the
Company’s long-term debt was based on quoted market prices
when available. When quoted market prices were not available, the
fair value of long-term debt was based on quoted market prices of
comparable instruments adjusted for differences between the quoted
instruments and the instruments being valued, or was estimated
using discounted cash flow analyses, based on current incremental
borrowing rates for similar types of borrowing arrangements. The
Company based its determination of fair value on quoted market
prices for the Company’s Tranche B and Series C term loans,
which are classified within Level 1 of the fair value hierarchy.
The Company based its determination of fair value on current
incremental borrowing rates for similar debt for the senior notes
and senior subordinated notes, which are classified within Level 2
of the fair value hierarchy. Significant increases/decreases in
yields and borrowing rates could result in significantly higher
(lower) fair value measurements. The Company’s interest rate
cap for its Tranche B term loans is carried at fair value and is
included in other assets on the consolidated balance sheets. The
interest rate cap was valued at less than $0.1 million at
December 31, 2011 and 2012. The fair value of the
Company’s interest rate cap is based on model-derived
valuations that use observable inputs and market data, which are
classified as Level 2 of the fair value hierarchy. Gains and losses
associated with changes in the fair value of the interest rate cap
are included in interest expense on the consolidated statements of
operations.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">See Note 9,
“Credit Arrangements and Debt Obligations”, for
additional information regarding long-term debt and the interest
rate cap.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company’s
policy with respect to transfers between levels of the fair value
hierarchy is to recognize transfers into and out of each level as
of the end of the reporting period. There have been no transfers
between levels during the years ending December 31, 2010, 2011
and 2012.</font></p>
</div>
82321000
3381000
474000
-76485000
26933000
<div>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Prepaid expenses and
other current assets consist of the following (in
thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="82%"></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Prepaid workers compensation
insurance</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">9,048</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">9,160</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Prepaid rent and other occupancy
costs</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">5,947</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,354</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Prepaid income taxes</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,087</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">213</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Reimbursable costs</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">714</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,060</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Favorable leases</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">462</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">386</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Prepaid insurance</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,111</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,341</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Deferred initial public offering
costs</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,189</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Other prepaid expenses and current
assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,203</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,124</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">22,572</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">27,827</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
14897000
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Significant components of
the Company’s net deferred tax liability are as follows (in
thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="78%"></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Deferred tax assets:</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Current deferred tax
assets:</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Reserve on assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">525</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">679</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Liabilities not yet
deductible</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">9,502</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">10,095</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Deferred revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">326</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">430</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Depreciation</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">84</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">207</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Other</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">146</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">10,583</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">11,411</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Valuation allowance</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(3</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(45</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Net current deferred tax
assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">10,580</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">11,366</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Non-current deferred tax
assets:</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Net operating loss and credit
carryforwards</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,257</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,918</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Liabilities not yet
deductible</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">9,991</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">12,806</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Deferred revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">471</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">737</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Stock-based compensation</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,606</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">9,641</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Deferred financing costs</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,273</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,018</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Other</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,657</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,410</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">24,255</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">28,530</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Valuation allowance</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,007</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,037</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Net non-current deferred tax
assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">23,248</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">27,493</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 7em"><font style="FONT-FAMILY: ARIAL" size="2">Total net deferred tax
assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">33,828</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">38,859</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Deferred tax liabilities:</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Intangible assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(163,316</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(158,426</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Depreciation</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(14,313</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(13,867</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 5em"><font style="FONT-FAMILY: ARIAL" size="2">Total deferred tax
liabilities</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(177,629</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(172,293</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Net deferred tax liability</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(143,801</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(133,434</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
4434000
34400000
-437000
17600000
-1453000
62800000
-1003000
14100000
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Earnings (Loss) Per
Share</b>—Net earnings (loss) per share is calculated using
the two-class method, which is an earnings allocation formula that
determines net income (loss) per share for the holders of the
Company’s Class L and Class A shares. The Class L
shares contain participation rights in any dividend paid by the
Company or upon liquidation of the Company. Net income available to
Class A common shareholders includes the effects of any Class
L preference amounts. Net income available to shareholders is
allocated on a pro rata basis to each share as if all of the
earnings for the period had been distributed. Diluted net income
(loss) per share is calculated using the treasury stock method for
all outstanding stock options and the as-converted method for the
Class L shares.</font></p>
</div>
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The fair value of each
stock option of Class A and Class L shares granted was
estimated on the date of grant using the Black-Scholes option
pricing model using the following weighted average
assumptions:</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="69%"></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="14" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Years ended December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2010</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Class A<br />
Shares</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Class A<br />
Shares</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Class L<br />
Shares</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Class A<br />
Shares</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Expected dividend yield</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">0.0</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">% </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">0.0</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">% </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">0.0</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">% </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">0.0</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">% </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Expected stock price
volatility</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">82.0</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">% </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">82.0</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">% </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">79.2</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">% </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">79.2</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">% </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Risk free interest rate</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1.4</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">% </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1.2</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">% </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">0.68</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">% </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">0.68</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">% </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Expected life of options
(years)</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3.69</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3.47</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4.16</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4.16</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Weighted average fair value per share
of options granted during the period</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4.34</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">10.40</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">291.83</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6.84</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
</table>
</div>
300000
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Goodwill and
Intangible Assets</b>—Goodwill represents the excess of cost
over the fair value of the net tangible and identifiable intangible
assets acquired in a business combination. The Company’s
intangible assets principally consist of various customer
relationships and contractual rights, and trade names.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Goodwill and intangible
assets with indefinite lives are not subject to amortization, but
are tested annually for impairment or more frequently if there are
indicators of impairment. The Company tests goodwill for impairment
by comparing the fair value of each reporting unit to its carrying
value. The Company performs its annual impairment test as of
December 31. The first step of the goodwill impairment test
compares the fair value of the reporting unit with its carrying
amount, including goodwill. Fair value for each reporting unit is
determined by estimating the present value of expected future cash
flows, which are forecasted for each of the next ten years,
applying a long-term growth rate to the final year, discounted
using the Company’s estimated discount rate. If the fair
value of the Company’s reporting unit exceeds its carrying
amount, the goodwill of the reporting unit is considered not
impaired. If the carrying amount of the Company’s reporting
unit exceeds its fair value, the second step of the goodwill
impairment test is performed to measure the amount of impairment
loss, if any. The second step of the goodwill impairment test, used
to measure the amount of impairment loss, compares the implied fair
value of the affected reporting unit’s goodwill with the
carrying value of that goodwill. No goodwill impairment losses were
recorded in the years ended December 31, 2010, 2011, or
2012.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">We test certain
trademarks that are included in our indefinite-lived intangible
assets, by comparing the fair value of the trademarks with their
carrying value. We estimate the fair value first by estimating the
total revenue attributable to the trademarks and then by applying a
royalty rate determined by an analysis of empirical, market-derived
royalty rates for guideline intangible assets, consistent with the
initial valuation and then comparing the estimated fair value of
our trademarks with the carrying value. This approach takes into
effect level 3 and unobservable inputs. Impairment losses of $0.4
million were recorded in the years ended December 31, 2011 and
2012 in relation to certain trade names with indefinite lives,
which have been included in selling, general and administrative
expenses. No impairment losses were recorded in the year ended
December 31, 2010 in relation to intangible assets.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Intangible assets that
are separable from goodwill and have determinable useful lives are
valued separately and are amortized over the estimated period
benefited, ranging from four to seventeen years. Intangible assets
related to parent relationships are amortized using the double
declining balance method over their useful lives. All other
intangible assets are amortized on a straight line basis over their
useful lives.</font></p>
</div>
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Activity in the allowance
for doubtful accounts is as follows (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="76%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="10" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Years ended December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2010</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Beginning balance</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,675</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,691</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,514</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Provision</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,516</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,043</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">734</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Write offs and adjustments</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,500</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,220</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(621</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Ending balance</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,691</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,514</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,627</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
2000000
83864000
13507000
416000
6051000
<div>
<p style="margin-top:12px;margin-bottom:0px; text-indent:5%">
<font style="font-family:ARIAL" size="2"><b>Fixed
Assets</b>—Property and equipment, including leasehold
improvements, are carried at cost less accumulated depreciation or
amortization. Depreciation is calculated on a straight-line basis
over the estimated useful lives of the assets. Leasehold
improvements are amortized on a straight-line basis over the
shorter of the lease term or their estimated useful lives. The cost
and accumulated depreciation of assets sold or otherwise disposed
of are removed from the consolidated balance sheet and the
resulting gain or loss is reflected in the consolidated statements
of operations.</font></p>
<p style="margin-top:12px;margin-bottom:0px; text-indent:5%">
<font style="font-family:ARIAL" size="2">Expenditures for
maintenance and repairs are expensed as incurred, whereas
expenditures for improvements and replacements are
capitalized.</font></p>
</div>
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Cash and Cash
Equivalents</b>—The Company considers all highly liquid
investments with maturities when purchased of three months or less
to be cash equivalents. Cash equivalents consist primarily of
institutional money market accounts.</font></p>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company’s cash
management system provides for the funding of the main bank
disbursement accounts on a daily basis as checks are presented for
payment. Under this system, outstanding checks may be in excess of
the cash balances at certain banks, creating book overdrafts. There
were no book overdrafts at December 31, 2011 and
2012</font></p>
</div>
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>2.    ACQUISITIONS</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">As part of the
Company’s growth strategy to expand through strategic
acquisitions, the Company has made the following acquisitions in
the years ended December 31, 2010, 2011, and 2012.</font></p>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b><i>2010
Acquisitions</i></b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">In November 2010, the
Company acquired all of the outstanding stock of a child care and
early education center in the United States. In December 2010, the
Company acquired the assets of a child care and early education
center in the United Kingdom and of a provider of tuition
management solutions in the United States, which complements the
Company’s educational advisory services. The aggregate cash
consideration for the acquisitions was $7.1 million. The
purchase price for these acquisitions has been allocated based on
the estimated fair value of the acquired assets and assumed
liabilities at the date of acquisition.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company acquired
total tangible assets of $1.3 million and assumed liabilities
of $0.5 million. In conjunction with these acquisitions, the
Company recorded goodwill of $5.4 million and other intangible
assets of $0.9 million, consisting of customer relationships
and trade names. The identified intangible assets will be amortized
over periods of four to nine years. The acquired intangible assets
include trade names of $0.2 million that were determined to
have indefinite lives.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The fair value of the
assets acquired in business combinations in the year ended
December 31, 2010 is as follows (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="91%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Cash paid, net of cash
acquired</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,387</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Liabilities assumed</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">463</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Goodwill recognized</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(5,407</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Fair value of assets
acquired</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,443</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The operating results of
the acquired businesses have been included in the Company’s
consolidated results of operations from the respective dates of
acquisition. The goodwill associated with the asset acquisitions in
the United States and the United Kingdom is deductible for tax
purposes. The Company incurred deal costs of $0.1 million related
to these acquisitions, which have been expensed and are included in
selling, general and administrative expenses in the consolidated
statements of operations.</font></p>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b><i>2011
Acquisitions</i></b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">In March 2011, the
Company acquired the assets of 20 child care and early education
centers in the United States. Additionally, the Company acquired
the assets of a child care and early education center in the United
States in November 2011 and of a child care and early education
center in the United Kingdom in December 2011. The aggregate cash
consideration for the acquisitions was $27.6 million, which
related primarily to the March 2011 acquisition. The purchase price
for these acquisitions has been allocated based on the estimated
fair value of the acquired assets and assumed liabilities at the
date of acquisition.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company acquired
total tangible assets of $2.2 million and assumed liabilities
of $0.8 million. In conjunction with these acquisitions, the
Company recorded goodwill of $23.4 million and other
intangible assets of $2.8 million, consisting primarily of
customer relationships. The identified intangible assets will be
amortized over periods of five to nine years.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">In July 2011, the Company
acquired 63% of a company in the Netherlands that operates 20 child
care and early education centers for cash consideration of $29.9
million. As a result, this company became a majority-owned
subsidiary of the Company, with its operating results included in
the Company’s consolidated results of operations and the 37%
of ownership interest retained by the previous owners presented as
noncontrolling interest on the Company’s consolidated balance
sheet. In connection with this transaction, the Company entered
into put and call option agreements with the minority shareholders
for the purchase of the noncontrolling interest at a future date at
a value based on a contractually determined formula. As a result of
the option agreements, the noncontrolling interest is considered
redeemable and is classified as temporary equity on the
Company’s consolidated balance sheet.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The purchase price for
this transaction has been allocated based on the estimated fair
value of the acquired assets and assumed liabilities at the date of
acquisition. The Company acquired total tangible assets of $9.4
million and assumed liabilities of $4.6 million, and recorded
noncontrolling interest of $17.1 million. Additionally, the Company
recorded goodwill of $39.5 million; other intangible assets of $3.4
million, consisting of customer relationships and trade name; and
deferred tax liabilities of $0.7 million related to intangible
assets subject to amortization that are not deductible for tax
purposes. The identified intangible assets will be amortized over
periods of four to ten years.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The fair value of the
assets acquired in business combinations in the year ended
December 31, 2011 is as follows (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="90%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Cash paid, net of cash
acquired</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">57,228</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Liabilities assumed</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,159</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Noncontrolling interest</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">17,063</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Goodwill recognized</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(62,917</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Fair value of assets
acquired</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">17,533</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The goodwill associated
with the acquisitions in the United States and the United Kingdom
is deductible for tax purposes. The goodwill for the acquisition in
the Netherlands is not deductible for tax purposes. The Company
incurred deal costs of $1.1 million related to these acquisitions,
which have been expensed and are included in selling, general and
administrative expenses in the consolidated statements of
operations.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">In the year ended
December 31, 2011, the Company also paid approximately $0.1
million related to prior year acquisitions.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The operating results of
the acquired businesses have been included in the Company’s
consolidated results of operations from the respective dates of
acquisition. The operating results for the acquired businesses are
included in the Company’s consolidated results of operations
beginning March 14, 2011 for the acquisition of 20 centers in
the United States and beginning July 20, 2011 for the
acquisition in the Netherlands. The acquired businesses contributed
revenues of $28.0 million and net loss of $0.5 million for the year
ended December 31, 2011. The following pro forma summary
presents consolidated information as if the business combinations
had occurred on January 1, 2010 (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="76%"></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>    Pro forma (Unaudited)    </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Years ended December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>      2010      </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>      2011      </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">919,581</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">992,247</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Net (loss) income attributable to
Bright Horizons Family Solutions Inc.</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(9,136</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7,115</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
</table>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b><i>2012
Acquisitions</i></b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">In May 2012, the Company
acquired the outstanding shares of Huntyard Limited, a company that
operates 27 child care and early education centers in the United
Kingdom, for cash consideration of $110.8 million. The
preliminary purchase price for this acquisition has been allocated
based on the estimated fair values of the acquired assets and
assumed liabilities at the date of acquisition as follows (in
thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="89%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Cash</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,872</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accounts receivable</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">341</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Prepaids and other current
assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,880</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Fixed assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">65,843</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Intangible assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,004</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Goodwill</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">45,723</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Total assets acquired</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">123,663</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accounts payable and accrued
expenses</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(7,520</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Taxes payable</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(656</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Deferred revenue and parent
deposits</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(3,006</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Deferred taxes</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,720</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Total liabilities assumed</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(12,902</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Purchase price</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">110,761</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company recorded
goodwill of $45.7 million, which will not be deductible for
tax purposes. Goodwill related to this acquisition is reported
within the full service center-based care segment.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Intangible assets of
$6.0 million consist of customer relationships and trade names
that will be amortized over five and seven years, respectively. A
deferred tax liability of $1.5 million was recorded related to the
intangible assets for which the amortization is not deductible for
tax purposes.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company incurred deal
costs of $0.5 million related to this acquisition, which have been
expensed and are included in selling, general and administrative
expenses in the consolidated statements of operations. The
allocation of the purchase price consideration was based on
preliminary valuation and the estimates and assumptions are subject
to change within the measurement period (up to one year from the
acquisition date). The primary areas of the preliminary purchase
price allocation that are not yet finalized are amounts related to
the fair value of fixed assets and for income tax assets and
liabilities, pending the finalization of estimates and assumptions
in respect of certain tax aspects of the transaction and residual
goodwill.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The operating results for
this acquisition are included in the consolidated results of
operations from the date of acquisition. The acquired business
contributed revenues of $26.3 million and net income of
$1.1 million in the year ended December 31, 2012. The
following pro forma summary presents consolidated information as if
the business combination had occurred on January 1, 2011 (in
thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="76%"></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Pro forma (Unaudited)</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Years ended December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,016,125</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,088,378</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Net income attributable to Bright
Horizons Family Solutions Inc.</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,804</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">10,329</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
</table>
</div>
4113000
6273000
21000
-9048000
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">A reconciliation of the
beginning and ending amounts of unrecognized tax benefits is as
follows (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="76%"></td>
<td valign="bottom" width="8%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="8%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Years ended December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>        2011        </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>        2012        </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Beginning balance</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,420</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7,933</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Additions for tax positions of prior
years</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,392</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">474</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Additions for tax positions of
current year</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">557</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">879</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Settlements</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,436</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(474</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Reductions for tax positions of prior
years</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(845</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Lapses of statutes of
limitations</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(778</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Effect of foreign currency
adjustments</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">223</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Ending balance</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7,933</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7,412</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
<div>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The changes in the
carrying amount of goodwill are as follows (in
thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="78%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Years ended December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>      2011      </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>      2012      </b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Beginning balance</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">887,895</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">947,371</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Goodwill additions during the
period</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">62,917</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">45,723</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Adjustments to prior year
acquisitions</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">250</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(22</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Tax benefit from the exercise of
continuation options</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(71</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(2,506</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Effect of foreign currency
translation</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(3,620</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,831</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Ending balance</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">947,371</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">993,397</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
106982000
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The fair value of the
assets acquired in business combinations in the year ended
December 31, 2010 is as follows (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="91%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Cash paid, net of cash
acquired</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,387</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Liabilities assumed</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">463</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Goodwill recognized</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(5,407</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Fair value of assets
acquired</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,443</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The fair value of the
assets acquired in business combinations in the year ended
December 31, 2011 is as follows (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="90%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Cash paid, net of cash
acquired</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">57,228</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Liabilities assumed</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,159</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Noncontrolling interest</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">17,063</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Goodwill recognized</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(62,917</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Fair value of assets
acquired</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">17,533</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>7.    OTHER
CURRENT LIABILITIES</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Other current liabilities
consist of the following (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="83%"></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Customer amounts on
deposit</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,932</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,579</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accrued rent and other occupancy
costs</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,116</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,085</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Unfavorable leases</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">500</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">475</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Income taxes payable</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">994</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">933</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Other miscellaneous
liabilities</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,438</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,015</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">8,980</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">12,087</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
825168000
3700000
-869000
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Noncontrolling
Interest</b>—The Company recorded the redeemable
noncontrolling interest from its initial acquisition of a 63%
ownership interest of a company in the Netherlands at fair value at
the date of acquisition.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">In connection with the
initial acquisition, the Company entered into put and call option
agreements with the minority shareholders for the purchase of the
noncontrolling interest at a future date at a value based on a
contractually determined formula. As a result of the option
agreements, the noncontrolling interest is considered redeemable
and is classified as temporary equity on the Company’s
consolidated balance sheet.</font></p>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The noncontrolling
interest is reviewed at each subsequent reporting period and
adjusted, as needed, to reflect its then redemption
value.</font></p>
</div>
P10Y
<div>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Organization</b>—Bright Horizons Family Solutions Inc.
(“Bright Horizons” or the “Company”)
provides workplace services for employers and families throughout
the United States, Puerto Rico, Canada, the United Kingdom,
Ireland, the Netherlands, and India. Workplace services include
center-based child care, education and enrichment programs,
elementary school education, back-up dependent care (for children
and elders), before and after school care, college preparation and
admissions counseling, tuition reimbursement program management,
and other family support services.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company operates its
child care and early education centers under various types of
arrangements, which generally can be classified into two
categories: (i) the management or cost plus (“Cost
Plus”) model, where Bright Horizons manages a work-site child
care and early education center under a cost-plus arrangement with
an employer sponsor, and (ii) the profit and loss (P&L)
model, where the Company assumes the financial risk of the child
care and early education center’s operations. The P&L
model may be operated under either (a) the sponsor model,
where Bright Horizons provides child care and early educational
services on a priority enrollment basis for employees of an
employer sponsor, or (b) the lease/consortium model, where the
Company provides priority child care and early education to the
employees of multiple employers located within a real estate
developer’s property or the community at large. Under each
model type the Company retains responsibility for all aspects of
operating the child care and early education center, including the
hiring and paying of employees, contracting with vendors,
purchasing supplies, and collecting tuition and related accounts
receivable.</font></p>
</div>
<div>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Other current liabilities
consist of the following (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="83%"></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Customer amounts on
deposit</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,932</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,579</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accrued rent and other occupancy
costs</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,116</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,085</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Unfavorable leases</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">500</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">475</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Income taxes payable</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">994</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">933</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Other miscellaneous
liabilities</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,438</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,015</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">8,980</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">12,087</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
-11654000
<div>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Other long-term
liabilities consist of the following (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="82%"></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Customer amounts on
deposit</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7,492</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">8,481</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Liability for uncertain tax
positions</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">11,050</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">9,966</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Other miscellaneous
liabilities</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,984</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">5,270</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">22,526</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">23,717</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
20.5
0.50
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The following tables
reflect intangible assets that are subject to amortization (in
thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="52%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Weighted
average<br />
amortization period</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Cost</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Accumulated<br />
amortization</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Net carrying<br />
amount</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>December 31,
2011:</b></font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Contractual rights and customer
relationships</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">15.0 years</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">365,194</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(97,232</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">267,962</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Trade names</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">8.9 years</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,798</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(516</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,282</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Non-compete agreements</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">5 years</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">54</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(29</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">25</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Other</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">2.9 years</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,200</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(4,200</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">371,246</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(101,977</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">269,269</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="52%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Weighted
average<br />
amortization period</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Cost</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Accumulated<br />
amortization</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Net carrying<br />
amount</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>December 31,
2012:</b></font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Contractual rights and customer
relationships</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">14.9 years</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">370,527</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(124,048</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">246,479</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Trade names</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">9.1 years</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,147</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(883</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,264</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Non-compete agreements</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">5 years</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">54</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(33</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">21</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">373,728</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(124,964</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">248,764</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The following table shows
the carrying value and the fair value of the Company’s
long-term debt at December 31, 2011 and 2012 (in
millions):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="68%"></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31, 2011</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31, 2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Carrying<br />
Value</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Fair<br />
Value</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Carrying<br />
Value</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Fair<br />
Value</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Long-term debt</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">825</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">898</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">927</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">973</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
</table>
</div>
<div>
<p style="margin-top:12px;margin-bottom:0px; text-indent:5%">
<font style="font-family:ARIAL" size="2"><b>Other Long-Term
Liabilities</b>—Other long-term liabilities consist primarily
of amounts payable to clients, pursuant to terms of operating
agreements or for deposits held by the Company, and obligations for
uncertain tax positions.</font></p>
</div>
-246000
P10Y
0.50
250000
2014-01-01
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The table below reflects
stock option activity under the Company’s equity plan for the
year ended December 31, 2012.</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="51%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="2%"></td>
<td></td>
<td></td>
<td valign="bottom" width="2%"></td>
</tr>
<tr>
<td valign="bottom" rowspan="2"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" rowspan="2" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Weighted<br />
Average<br />
Remaining<br />
Contractual<br />
Life in<br />
Years</b></font></td>
<td valign="bottom" rowspan="2"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Class L Shares</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Class A Shares</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Number<br />
of<br />
Options</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Weighted<br />
Average<br />
Exercise<br />
Price</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Number<br />
of<br />
Options</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Weighted<br />
Average<br />
Exercise<br />
Price</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Outstanding at January 1,
2012</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7.0</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">715,321</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">19.76</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Exercised</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,065</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">19.70</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Forfeited</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(2,867</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">19.70</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Cancellations(1)</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(711,389</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">19.76</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Option exchange(1)</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">90,630</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">511.51</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">413,953</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">12.00</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Granted</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">32,556</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">511.51</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">148,699</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">12.00</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Forfeited or expired</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,109</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">511.51</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(5,188</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">12.00</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Outstanding at December 31,
2012</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6.8</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">122,077</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">511.51</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">557,464</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">12.00</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Exercisable at December 31,
2012</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6.0</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">40,704</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">511.51</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">185,915</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">12.00</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Vested and expected to vest at
December 31, 2012</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6.8</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">116,834</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">511.51</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">533,641</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">12.00</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The following table
reflects stock option activity for the continuation options for the
year ended December 31, 2012:</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="44%"></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="6%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td valign="bottom" width="3%"></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Weighted<br />
Average<br />
Remaining<br />
Contractual<br />
Life in Years</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Number of<br />
Options on<br />
Class L<br />
Shares</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Class L<br />
Weighted<br />
Average<br />
Exercise<br />
Price</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Number of<br />
Options on<br />
Class A<br />
Shares</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Class A<br />
Weighted<br />
Average<br />
Exercise<br />
Price</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Outstanding at January 1,
2012</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">0.9</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">23,191</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">90.00</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">105,925</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4.93</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Exercised</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(18,610</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">90.00</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(85,001</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4.93</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Outstanding and Exercisable at
December 31, 2012</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">0.5</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,581</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">90.00</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">20,924</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4.93</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
100000
P20Y
P40Y
P3Y
P10Y
2014-05-28
P6Y
0.00375
0.00500
912500
2015-05-28
2008-09-30
212500
2017-05-23
0.010
0.020
P4Y
P1Y
P3Y
P3Y
P17Y
P10Y
P7Y
P5Y
P4Y
7500000
86066
47808
84647000
8162000
-497000
-622000
440000
17596000
874000
4868000
622000
-706000
6051000
PT160H
P60D
PT1000H
P12M
79211000
5436000
P3Y
P10Y
P1Y
P3Y
25906000
60154000
922214000
725000
33863000
130082000
302000
1447000
18642000
Begin to expire in 2031
Expiration dates through 2031
0
P1Y
1065
-12.62
19.70
148699
711389
P4Y1M28D
6058512
12.00
41454
19.70
-76485000
0.0068
12.00
5188
0.792
700000
19.76
2867
6.84
0.000
12.00
413953
85001
4.93
12.00
59.73
32556
1675000
P4Y1M28D
4643000
1326206
511.51
9076
79211000
0.0068
84647000
511.51
1109
0.792
18610
10465
4200000
291.83
0.000
0.10
511.51
90630
18610
90.00
511.51
901210000
169728000
P5Y
P9Y1M6D
P14Y10M24D
1088378000
10329000
1100000
26300000
500000
P6M
8400000
P5Y
0.40
0.20
0.20
0.20
0.33
0.33
13400000
3500000
700000
-1263000
20226000
-1263000
49296000
232922000
-3.09
-18564000
12.90
16995000
S-1
2013-03-31
0001437578
BFAM
BRIGHT HORIZONS FAMILY SOLUTIONS INC.
false
Non-accelerated Filer
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>5.    EARNINGS
(LOSS) PER SHARE</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Net earnings (loss) per
share is calculated using the two-class method, which is an
earnings allocation formula that determines net income (loss) per
share for the holders of the Company’s common stock and the
holders of Class L common stock. Holders of Class L shares
contained participation rights in any dividend paid by the Company
or upon liquidation of the Company and were entitled to a minimum
preferred return of 10% per annum, compounded
quarterly.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Net income available to
Class A common shareholders includes the effects of any Class
L preference amounts. Net income available to shareholders is
allocated on a pro rata basis to each share as if all of the
earnings for the period had been distributed. Diluted net income
(loss) per share is calculated using the treasury stock method for
all outstanding stock options and the as-converted method for the
Class L shares.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The numerator in
calculating Class L basic and diluted earnings per share represents
changes in the redemption value of the Class L shares during each
period.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The weighted average
number of Class L shares in the Class L earnings per share
calculation represents the weighted average from the beginning of
the period up through the date of conversion of the Class L shares
into common shares.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The weighted average
number of common shares in the common diluted earnings per share
calculation excludes all Class L shares and stock options
outstanding during the respective periods, as they would not be
dilutive. The weighted average number of Class L shares in the
earnings per share calculation excludes all Class L stock options
outstanding during the respective periods as they would not be
dilutive. The computation of basic and diluted earnings per common
share is as follows (in thousands, except share and per share
amounts):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="74%"></td>
<td valign="bottom" width="7%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="7%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Three months ended<br />
March 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2013</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Net (loss) income—basic and
diluted</b></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(50,743</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,509</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accretion of Class L
preference</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">18,513</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accretion of Class L preference for
vested options</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">66</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Net loss available to common
shareholders</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(50,743</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(15,070</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
<tr>
<td height="8"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Allocation of net (loss) income to
common stockholders—basic and diluted:</b></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Class L</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">18,513</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Common stock</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(50,743</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(15,070</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr>
<td height="8"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Weighted average number of common
shares—basic and diluted:</b></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Class L</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,327,115</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,323,479</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Common stock</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">55,797,534</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,046,056</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td height="8"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Earnings (loss) per common
share—basic and diluted:</b></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Class L</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">13.99</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Common stock</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(0.91</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(2.49</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">As of March 31, 2013
and 2012, there were options outstanding to purchase common stock
of 5.2 million shares and 0.7 million shares,
respectively, that may be dilutive in the future.</font></p>
</div>
16948000
1815000
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>13.    TRANSACTIONS WITH RELATED
PARTIES</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company had a
management agreement with Bain Capital Partners LLC (the
“Sponsor”), which provided for annual payments of $2.5
million through May 2018. As of March 31, 2013, investment
funds affiliated with the Sponsor hold approximately 80% of our
common stock. In connection with the Offering, the Company and the
Sponsor terminated the management agreement in exchange for a $7.5
million payment from the Company to the Sponsor, which is included
in selling, general and administrative expenses in the accompanying
statement of operations for the three months ended March 31,
2013.</font></p>
</div>
1975000
-1157000
-50781000
-22192000
21000
20640000
4327000
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>14.    SUBSEQUENT EVENTS</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">On April 10, 2013,
the Company entered into a share purchase agreement with Lloyds
Development Capital (Holdings) Limited and Kidsunlimited Group
Limited pursuant to which it acquired kidsunlimited, an operator of
64 nurseries throughout the United Kingdom for an aggregate cash
purchase price of £45.0 million, subject to certain
adjustments. The purchase price was financed with available cash on
hand. The Company has incurred acquisition costs of approximately
$1.5 million through March 31, 2013, which are included in
selling, general and administrative expenses.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Given the proximity of
the acquisition to the date of this filing, the Company has not
completed the detailed valuation analysis necessary to finalize the
associated purchase accounting. As a result, the Company has not
provided additional disclosures related to the acquisition,
including the allocation of the purchase price as well as the
required pro forma information since it is impracticable to do
so.</font></p>
</div>
234944000
1672000
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>7.    INCOME
TAXES</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">As of March 31, 2013
and December 31, 2012, the Company had approximately $7.4
million of unrecognized income tax benefits and $2.6 million of
accrued interest and penalties.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company expects the
unrecognized tax benefits to change over the next 12 months if
certain tax matters settle with the applicable taxing jurisdiction
during this time frame, or, if applicable, statutes of limitations
lapse. The impact of the amount of such changes to previously
recorded uncertain tax positions could range from $0.5 million to
$5.6 million, exclusive of interest and penalties.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">As of March 31 2013,
there were not any federal or state income tax audits in process.
One of the Company’s subsidiaries in the United Kingdom has
an ongoing enquiry for the years 2009 through 2011. The Company is
also subject to corporate income tax at its subsidiaries located in
the Netherlands, India, Canada, Ireland, and Puerto Rico. The tax
returns for the Company’s subsidiaries located in foreign
jurisdictions are subject to examination for periods ranging from
one to seven years.</font></p>
</div>
<div>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Outstanding borrowings
were as follows at March 31, 2013 and December 31, 2012
(in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="78%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>March 31,<br />
2013</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31,<br />
2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Term loans</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">788,025</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Tranche B and Series C new term
loans</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">430,474</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Senior subordinated notes</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">300,000</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Senior notes</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">197,810</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Total</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">788,025</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">928,284</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Deferred financing costs and original
issue discount</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(20,138</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(21,641</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Total debt</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">767,887</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">906,643</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Less current maturities</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7,900</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,036</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Long-term debt</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">759,987</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">904,607</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Basis of
Presentation</b>—The accompanying unaudited consolidated
balance sheet as of March 31, 2013 and the consolidated
statements of operations, comprehensive income (loss), statement of
changes in stockholders’ equity and consolidated statements
of cash flows for the interim periods ended March 31, 2013 and
2012 have been prepared by the Company, in accordance with U.S.
generally accepted accounting principles for interim financial
information and pursuant to the rules and regulations of the
Securities and Exchange Commission. Accordingly, they do not
include all of the information and footnotes required for complete
financial statements by generally accepted accounting principles
and should be read in conjunction with the audited financial
statements included in the Company’s Annual Report on Form
10-K for the year ended December 31, 2012.</font></p>
</div>
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>11.    FAIR
VALUE OF FINANCIAL INSTRUMENTS</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company defines fair
value as the price that would be received to sell an asset or be
paid to transfer a liability in an orderly transaction between
market participants at the measurement date and applies the
following fair value hierarchy, which prioritizes the inputs used
to measure fair value into three levels and bases the
categorization within the hierarchy upon the lowest level of input
that is available and significant to the fair value measurement.
The hierarchy gives the highest priority to observable inputs such
as unadjusted quoted prices in active markets for identical assets
or liabilities (Level 1 measurements) and the lowest priority
to unobservable inputs (Level 3 measurements). The Company
uses observable inputs where relevant and whenever
possible.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Level 1—Quoted
prices are available in active markets for identical investments as
of the reporting date.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Level 2—Quoted
prices for similar instruments in active markets; quoted prices for
identical or similar instruments in markets that are not active;
and model-derived valuations in which all significant inputs and
significant value drivers are observable in active
markets.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Level 3—Valuations
derived from valuation techniques in which one or more significant
inputs or significant value drivers are unobservable.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company has an
interest rate cap, which is carried at fair value, and is included
in other assets on the consolidated balance sheets. The interest
rate cap, which had an original cost of $1.0 million, had a
fair value of less than $0.1 million (based on level two inputs) at
December 31, 2012 and March 31, 2013. Changes in the fair
value of the interest rate cap are recorded in interest expense and
were immaterial for each of the periods presented.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company’s
financial instruments consist primarily of cash and cash
equivalents, accounts receivable, accounts payable, and long-term
debt. The fair value of the Company’s financial instruments
approximates their carrying value. As of March 31, 2013, the
Company’s long-term debt had a carrying value of $788.0
million and a fair value of $795.9 million, determined using quoted
market prices (level 1 inputs).</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Financial instruments
that potentially expose the Company to concentrations of credit
risk consist mainly of cash and cash equivalents and accounts
receivable. The Company mitigates its exposure by maintaining its
cash and cash equivalents in financial institutions of high credit
standing. The Company’s accounts receivable, which are
derived primarily from the services it provides, are dispersed
across many clients in various industries with no single client
accounting for more than 10% of the Company’s net revenue or
accounts receivable. The Company believes that no significant
credit risk exists at March 31, 2013.</font></p>
</div>
P6Y6M
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The assets and
liabilities of the Company are managed centrally and are reported
internally in the same manner as the consolidated financial
statements; thus, no additional information is produced or included
herein.</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="56%"></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Full service<br />
center-based<br />
care</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Back-up<br />
dependent<br />
care</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Other<br />
educational<br />
advisory<br />
services</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Total</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="14" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>(In thousands)</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Three months ended March 31,
2013</b></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">242,250</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">33,161</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,712</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">280,123</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Amortization of
intangibles</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,491</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">181</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">76</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,748</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Income (loss) from
operations(1)</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">8,872</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7,467</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(902</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">15,437</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td height="8"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Three months ended March 31,
2012</b></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">224,040</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">30,112</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,970</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">258,122</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Amortization of
intangibles</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,292</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">181</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">76</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,549</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Income from operations</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">17,176</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">8,807</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">121</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">26,104</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
</table>
<p style="BORDER-BOTTOM: #000000 0.5pt solid; LINE-HEIGHT: 8px; MARGIN-TOP: 0px; WIDTH: 10%; MARGIN-BOTTOM: 2px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%">
<tr>
<td valign="top" width="5%" align="left"><font style="FONT-FAMILY: ARIAL" size="2">(1)</font></td>
<td valign="top" align="left"><font style="FONT-FAMILY: ARIAL" size="2">For the quarter ended March 31, 2013, income from
operations includes expenses incurred in connection with the
Offering, including a $7.5 million fee for the termination of the
management agreement with Bain Capital Partners LLC, and $5.0
million for certain stock options that vested upon completion of
the Offering, allocated on a proportionate basis to each segment
($9.8 million to full service center-based care, $1.9 million to
back-up dependent care, and $0.8 million to other educational
advisory services).</font></td>
</tr>
</table>
</div>
411000
14704000
-12068000
-61513000
245000
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Principles of
Consolidation</b>—The consolidated financial statements
include the accounts of the Company and its subsidiaries.
Intercompany balances and transactions have been eliminated in
consolidation. The functional currency of the Company’s
foreign subsidiaries is their local currency. The assets and
liabilities of the Company’s foreign subsidiaries are
translated into U.S. dollars at exchange rates in effect at the
balance sheet date. Income and expense items are translated at the
average exchange rates prevailing during the period. The cumulative
translation effect for subsidiaries using a functional currency
other than the U.S. dollar is included in accumulated other
comprehensive income or loss as a separate component of
stockholders’ equity.</font></p>
</div>
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The future principal
payments under the new term loan arrangements at March 31,
2013 are as follows (in millions):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="92%"></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Remainder of 2013</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">5.9</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2014</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7.9</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2015</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7.9</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2016</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7.9</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2017</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7.9</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Thereafter</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">750.5</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">788.0</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
9806000
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The computation of basic
and diluted earnings per common share is as follows (in thousands,
except share and per share amounts):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="74%"></td>
<td valign="bottom" width="7%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="7%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="6" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Three months ended<br />
March 31,</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2013</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Net (loss) income—basic and
diluted</b></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(50,743</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,509</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accretion of Class L
preference</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">18,513</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accretion of Class L preference for
vested options</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">66</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Net loss available to common
shareholders</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(50,743</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(15,070</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
<tr>
<td height="8"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Allocation of net (loss) income to
common stockholders—basic and diluted:</b></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Class L</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">18,513</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Common stock</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(50,743</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(15,070</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr>
<td height="8"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Weighted average number of common
shares—basic and diluted:</b></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Class L</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,327,115</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">1,323,479</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Common stock</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">55,797,534</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,046,056</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td height="8"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Earnings (loss) per common
share—basic and diluted:</b></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Class L</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">13.99</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Common stock</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(0.91</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(2.49</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
</table>
</div>
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>4.    STOCKHOLDERS’
EQUITY</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">On January 11, 2013,
the Company effected a 1–for–1.9704 reverse split of
its Class A common stock. All previously reported Class A
per share and Class A share amounts in the accompanying
financial statements and related notes have been retroactively
adjusted to reflect the reverse stock split.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company’s Class
L common stock was classified outside of permanent equity as the
timing of the conversion or redemption event was outside of the
control of the Company. In December 2012, the Company’s
controlling shareholder effectively fixed the conversion ratio and
the Class L common stock was re-measured to its final redemption
amount using the fixed conversion ratio and the estimated fair
value at that time.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">In connection with the
1–for–1.9704 reverse split of its Class A common
stock and as determined by its holders, the Company converted each
share of its Class L common stock into 35.1955 shares of
Class A common stock, and, immediately following the
conversion of its Class L common stock, reclassified those shares
as well as all outstanding shares of Class A common stock,
into common stock. As a result of the reclassification of
Class A common stock to common stock, all references to
“Class A common stock” have been changed to
“common stock” for all periods presented.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">On January 30, 2013,
the Company completed its Offering and, after the exercise of the
overallotment option on February 21, 2013, issued a total of
11.6 million shares of common stock.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company also
authorized 25 million shares of undesignated preferred stock
for issuance, of which none was issued as of March 31,
2013.</font></p>
</div>
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>6.    STOCK-BASED
COMPENSATION</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company has the 2012
Omnibus Long-Term Incentive Plan, which became effective on
January 24, 2013, and allows for the issuance of equity awards
with respect to up to 5 million shares of common stock, which
are fully reserved for. For the three months ended March 31,
2013, the Company granted options to purchase 394,772 shares of
common stock at a weighted average price of $23.04 per share that
vest over three to five years.</font></p>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The weighted average fair
value of options granted during the quarter was $9.57 per share.
The fair value of each stock option to purchase common stock was
estimated on the date of grant using the Black-Scholes option
pricing model using the following weighted average assumptions:
expected dividend yield of 0%; expected volatility of 40%; risk
free interest rate of 1.25%; and expected life of options of 6.5
years.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company also had an
incentive compensation plan (the “2008 Equity Incentive
Plan”) which, as amended in March 2012, was authorized to
issue 150,000 shares of Class L common stock and 1.5 million
shares of Class A common stock. As discussed in Note 4, the
Company effected a 1–for–1.9704 reverse split of its
Class A common stock and therefore all previously reported
options to purchase Class A shares and Class A share
exercise prices in the accompanying financial statements and
related notes have been retroactively adjusted to reflect the
reverse stock split. No additional options will be granted under
the 2008 Equity Incentive Plan. However, all outstanding options
continue to be governed by their existing terms.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">In addition, on
January 11, 2013, the Company converted each share of its
Class L common stock into 35.1955 shares of Class A common
stock, and, immediately following the conversion of its Class L
common stock, reclassified those shares as well as all outstanding
shares of Class A common stock into common stock. All
outstanding options to purchase Class L common stock have been
converted into options to acquire common stock using the 35.1955
conversion ratio with the exercise price adjusted similarly for the
conversion ratio.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company recorded
stock-based compensation expense of $6.6 million in selling,
general and administrative expenses during the first quarter of
2013, which included approximately $5.0 million associated with
options to purchase 1.3 million shares of common stock that
had been issued under the 2008 Equity Incentive plan, which vested
upon the effectiveness of the Offering on January 24,
2013.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">At March 31, 2013,
there was $9.8 million of total unrecognized compensation expense
related to unvested share-based compensation arrangements granted
under the plans, which is expected to be recognized over the
remaining requisite service period.</font></p>
</div>
6620000
-5207000
6748000
80000
62626000
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The purchase price for
this acquisition has been allocated based on the estimated fair
values of the acquired assets and assumed liabilities at the date
of acquisition as follows (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="89%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Cash</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,872</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accounts receivable</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">341</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Prepaids and other current
assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,880</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Fixed assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">65,843</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Intangible assets, primarily customer
relationships</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,004</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Goodwill (non-deductible)</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">45,723</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Total assets acquired</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">123,663</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accounts payable and accrued
expenses</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(7,520</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Taxes payable</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(656</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Deferred revenue and parent
deposits</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(3,006</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Deferred taxes</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,720</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Total liabilities assumed</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(12,902</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Purchase price</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">110,761</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
15437000
6620000
63700000
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>3.    BORROWING
ARRANGEMENTS</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Outstanding borrowings
were as follows at March 31, 2013 and December 31, 2012
(in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="78%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>March 31,<br />
2013</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>December 31,<br />
2012</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Term loans</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">788,025</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Tranche B and Series C new term
loans</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">430,474</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Senior subordinated notes</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">300,000</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Senior notes</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">197,810</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Total</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">788,025</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">928,284</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Deferred financing costs and original
issue discount</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(20,138</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(21,641</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Total debt</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">767,887</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">906,643</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Less current maturities</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7,900</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,036</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Long-term debt</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">759,987</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">904,607</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">On January 30, 2013,
the Company entered into new $890.0 million senior secured
credit facilities to refinance all of the existing indebtedness
under the senior credit facilities and the senior subordinated
notes and to reflect modifications to certain provisions of the
senior credit facilities. Significant terms of the refinancing are
as follows:</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 6px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%">
<tr>
<td width="5%"><font size="1"> </font></td>
<td valign="top" width="1%" align="left"><font style="FONT-FAMILY: ARIAL" size="2"><font style="FONT-FAMILY: WINGDINGS" color="#000000" size="2">Ÿ</font></font></td>
<td valign="top" width="1%"><font size="1"> </font></td>
<td valign="top" align="left">
<p align="left"><font style="FONT-FAMILY: ARIAL" size="2">$790.0
million term loan facility with quarterly principal payments of
$2.0 million, which commenced March 31, 2013, and a final
payment due on January 30, 2020.</font></p>
</td>
</tr>
</table>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 6px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%">
<tr>
<td width="5%"><font size="1"> </font></td>
<td valign="top" width="1%" align="left"><font style="FONT-FAMILY: ARIAL" size="2"><font style="FONT-FAMILY: WINGDINGS" color="#000000" size="2">Ÿ</font></font></td>
<td valign="top" width="1%"><font size="1"> </font></td>
<td valign="top" align="left">
<p align="left"><font style="FONT-FAMILY: ARIAL" size="2">$100.0
million revolving credit facility with a maturity date in 2018, of
which there were no borrowings outstanding at March 31,
2013.</font></p>
</td>
</tr>
</table>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 6px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%">
<tr>
<td width="5%"><font size="1"> </font></td>
<td valign="top" width="1%" align="left"><font style="FONT-FAMILY: ARIAL" size="2"><font style="FONT-FAMILY: WINGDINGS" color="#000000" size="2">Ÿ</font></font></td>
<td valign="top" width="1%"><font size="1"> </font></td>
<td valign="top" align="left">
<p align="left"><font style="FONT-FAMILY: ARIAL" size="2">The
applicable margin percentages for the loan facilities are
2.0% per annum for base rate loans and 3.0% per annum for
LIBOR rate loans provided that the base rate for the term loan may
not be lower than 2.0% and LIBOR may not be lower than
1.0%.</font></p>
</td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The existing term loans
(Tranche B and Series C term loans) were redeemed for an aggregate
$431.0 million, including the redemption premium on the Series C
term loans, and the $300.0 million senior subordinated notes were
redeemed in full for an aggregate $328.2 million, including the
redemption premium. The Company used the net proceeds of its
initial public offering and certain proceeds from the issuance of
the $790.0 million senior secured term loan to redeem the senior
notes in full for $213.3 million, including the redemption
premium.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The refinancing, which
reduced the Company’s overall weighted average interest rate
from approximately 8.5% as of December 31, 2012 to 4.0% as of
March 31, 2013, resulted in a loss on extinguishment of debt
of $63.7 million, which included the redemption premiums and the
write-off of existing deferred financing costs.</font></p>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The future principal
payments under the new term loan arrangements at March 31,
2013 are as follows (in millions):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="92%"></td>
<td valign="bottom" width="3%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Remainder of 2013</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">5.9</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2014</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7.9</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2015</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7.9</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2016</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7.9</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">2017</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7.9</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Thereafter</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">750.5</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">788.0</font></td>
</tr>
</table>
</div>
-70000
-50743000
-5015000
0.0125
1325000
283000
33269000
2143000
0.40
65790000
-62566000
14595000
280123000
37000
43605000
-10732000
-721000
-38000
3498000
5000000
234944000
22192000
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>2.    GOODWILL
AND INTANGIBLE ASSETS</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The changes in the
carrying amount of goodwill for the three months ended
March 31, 2013 are as follows (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="61%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Full service<br />
center-<br />
based<br />
care</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Back-up<br />
dependent<br />
care</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Other<br />
educational<br />
advisory<br />
services</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Total</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Beginning balance at
December 31, 2012</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">813,357</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">159,215</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">20,825</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">993,397</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Tax benefit from the exercise of
continuation options</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(333</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(69</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(9</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(411</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Effect of foreign currency
translation</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(4,314</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(893</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(5,207</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Balance at March 31,
2013</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">808,710</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">158,253</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">20,816</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">987,779</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company also has
intangible assets, which consist of the following at March 31,
2013 and December 31, 2012 (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="54%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Weighted average<br />
amortization period</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Cost</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Accumulated<br />
amortization</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Net carrying<br />
amount</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>March 31,
2013:</b></font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Definite-lived
intangibles:</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Contractual rights and customer
relationships</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">14.9 years</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">369,555</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(130,337</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">239,218</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Trade names</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">9.1 years</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,994</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(893</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,101</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Non-compete agreements</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">5 years</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">54</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(36</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">18</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">372,603</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(131,266</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">241,337</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Indefinite-lived
intangibles:</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 5em"><font style="FONT-FAMILY: ARIAL" size="2">Trade names</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">N/A</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">183,290</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">183,290</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">555,893</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(131,266</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">424,627</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="54%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Weighted
average<br />
amortization period</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Cost</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Accumulated<br />
amortization</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Net carrying<br />
amount</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>December 31,
2012:</b></font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Definite-lived
intangibles:</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Contractual rights and customer
relationships</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">14.9 years</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">370,527</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(124,048</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">246,479</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Trade names</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">9.1 years</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,147</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(883</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,264</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Non-compete agreements</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">5 years</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">54</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(33</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">21</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">373,728</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(124,964</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">248,764</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Indefinite-lived
intangibles:</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 5em"><font style="FONT-FAMILY: ARIAL" size="2">Trade names</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">N/A</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">183,816</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">183,816</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">557,544</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(124,964</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">432,580</font></td>
</tr>
</table>
</div>
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>10.    COMMITMENTS AND
CONTINGENCIES</b></font></p>
<p style="MARGIN-TOP: 6px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b><i>Leases</i></b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company leases
various office equipment, child care and early education center
facilities and office space under non-cancelable operating leases.
Most of the leases expire within ten years and many contain renewal
options for various periods.</font></p>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b><i>Litigation</i></b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company is a
defendant in certain legal matters in the ordinary course of
business. Management believes the resolution of such legal matters
will not have a material effect on the Company’s financial
condition, results of operations or cash flows.</font></p>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b><i>Insurance and
Regulatory</i></b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company self-insures
a portion of its medical insurance plans and has a high deductible
workers’ compensation plan. While management believes that
the amounts accrued for these obligations are sufficient, any
significant increase in the number of claims or costs associated
with claims made under these plans could have a material adverse
effect on the Company’s financial position, results of
operations or cash flows.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company’s child
care and early education centers are subject to numerous federal,
state and local regulations and licensing requirements. Failure of
a center to comply with applicable regulations can subject it to
governmental sanctions, which could require expenditures by the
Company to bring its child care and early education centers into
compliance.</font></p>
</div>
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>12.    SEGMENT
INFORMATION</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Bright Horizons work/life
services are primarily comprised of full service center-based child
care, back-up dependent care, and other educational advisory
services. Full service center-based care includes the traditional
center-based child care, preschool, and elementary education, which
have similar operating characteristics and meet the criteria for
aggregation. Full service center-based care derives its revenues
primarily from contractual arrangements with corporate clients and
from tuition. The Company’s back-up dependent care services
consist of center-based back-up child care, in-home care, mildly
ill care, and adult/elder care. The Company’s other
educational advisory services consists of the remaining services,
including college preparation and admissions counseling and tuition
assistance, counseling and management services, which do not meet
the quantitative thresholds for separate disclosure and are not
material for segment reporting individually or in the aggregate.
The Company and its chief operating decision makers evaluate
performance based on revenues and income from
operations.</font></p>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The assets and
liabilities of the Company are managed centrally and are reported
internally in the same manner as the consolidated financial
statements; thus, no additional information is produced or included
herein.</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="56%"></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="5%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Full service<br />
center-based<br />
care</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Back-up<br />
dependent<br />
care</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Other<br />
educational<br />
advisory<br />
services</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Total</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom" colspan="14" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>(In thousands)</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Three months ended March 31,
2013</b></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">242,250</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">33,161</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">4,712</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">280,123</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Amortization of
intangibles</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,491</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">181</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">76</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,748</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Income (loss) from
operations(1)</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">8,872</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">7,467</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(902</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">15,437</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td height="8"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
<td height="8" colspan="4"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>Three months ended March 31,
2012</b></font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Revenue</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">224,040</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">30,112</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,970</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">258,122</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Amortization of
intangibles</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,292</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">181</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">76</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,549</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Income from operations</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">17,176</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">8,807</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">121</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">26,104</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
</table>
<p style="BORDER-BOTTOM: #000000 0.5pt solid; LINE-HEIGHT: 8px; MARGIN-TOP: 0px; WIDTH: 10%; MARGIN-BOTTOM: 2px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%">
<tr>
<td valign="top" width="5%" align="left"><font style="FONT-FAMILY: ARIAL" size="2">(1)</font></td>
<td valign="top" align="left"><font style="FONT-FAMILY: ARIAL" size="2">For the quarter ended March 31, 2013, income from
operations includes expenses incurred in connection with the
Offering, including a $7.5 million fee for the termination of the
management agreement with Bain Capital Partners LLC, and $5.0
million for certain stock options that vested upon completion of
the Offering, allocated on a proportionate basis to each segment
($9.8 million to full service center-based care, $1.9 million to
back-up dependent care, and $0.8 million to other educational
advisory services).</font></td>
</tr>
</table>
</div>
1672000
769360000
1736000
-50743000
-471000
6600000
-62849000
<div>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>1.    ORGANIZATION AND BASIS OF
PRESENTATION</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Organization</b>—Bright Horizons Family Solutions Inc.
(“Bright Horizons” or the “Company”)
provides workplace services for employers and families throughout
the United States, Puerto Rico, Canada, the United Kingdom,
Ireland, the Netherlands, and India. Workplace services include
center-based child care, education and enrichment programs,
elementary school education, back-up dependent care (for children
and elders), before and after school care, college preparation and
admissions counseling, tuition reimbursement program management,
and other family support services.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company operates its
child care and early education centers under various types of
arrangements, which generally can be classified into two
categories: (i) the management or cost plus (“Cost
Plus”) model, where Bright Horizons manages a work-site child
care and early education center under a cost-plus arrangement with
an employer sponsor, and (ii) the profit and loss (P&L)
model, where the Company assumes the financial risk of the child
care and early education center’s operations. The P&L
model may be operated under either (a) the sponsored model,
where Bright Horizons provides child care and early educational
services on a priority enrollment basis for employees of an
employer sponsor, or (b) the lease/consortium model, where the
Company provides priority child care and early education to the
employees of multiple employers located within a real estate
developer’s property or the community at large. Under each
model type the Company retains responsibility for all aspects of
operating the child care and early education center, including the
hiring and paying of employees, contracting with vendors,
purchasing supplies, and collecting tuition and related accounts
receivable.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Principles of
Consolidation</b>—The consolidated financial statements
include the accounts of the Company and its subsidiaries.
Intercompany balances and transactions have been eliminated in
consolidation. The functional currency of the Company’s
foreign subsidiaries is their local currency. The assets and
liabilities of the Company’s foreign subsidiaries are
translated into U.S. dollars at exchange rates in effect at the
balance sheet date. Income and expense items are translated at the
average exchange rates prevailing during the period. The cumulative
translation effect for subsidiaries using a functional currency
other than the U.S. dollar is included in accumulated other
comprehensive income or loss as a separate component of
stockholders’ equity.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Initial Public
Offering</b>—On January 30, 2013, the Company completed
an initial public offering (the “Offering”) and, after
the exercise of the overallotment option on February 21, 2013,
issued a total of 11.6 million shares of common stock in
exchange for $233.3 million, net of offering costs including $1.6
million expensed in 2012 through the statement of operations. The
Company used the proceeds of the Offering, as well as certain
amounts from the 2013 refinancing discussed in Note 3, to repay the
principal and accumulated interest under its senior notes
outstanding on January 30, 2013.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Basis of
Presentation</b>—The accompanying unaudited consolidated
balance sheet as of March 31, 2013 and the consolidated
statements of operations, comprehensive income (loss), statement of
changes in stockholders’ equity and consolidated statements
of cash flows for the interim periods ended March 31, 2013 and
2012 have been prepared by the Company, in accordance with U.S.
generally accepted accounting principles for interim financial
information and pursuant to the rules and regulations of the
Securities and Exchange Commission. Accordingly, they do not
include all of the information and footnotes required for complete
financial statements by generally accepted accounting principles
and should be read in conjunction with the audited financial
statements included in the Company’s Annual Report on Form
10-K for the year ended December 31, 2012.</font></p>
<p style="MARGIN-TOP: 12px; MARGIN-BOTTOM: 0px; FONT-SIZE: 1px">
 </p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Management’s
Opinion</b>—In the opinion of the Company’s management,
the Company’s unaudited consolidated balance sheet as of
March 31, 2013 and the results of its consolidated operations
and consolidated cash flows for the interim periods ended
March 31, 2013 and 2012, reflect all adjustments (consisting
only of normal and recurring adjustments) necessary to present
fairly the results of the interim periods presented. The operating
results for the interim periods presented are not necessarily
indicative of the results expected for the full year.</font></p>
</div>
13289000
854101000
-62566000
-63682000
-11822000
0.00
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>8.    2012
ACQUISITION</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">In May 2012, the Company
acquired the outstanding shares of Huntyard Limited, a company that
operates 27 child care and early education centers in the United
Kingdom, for cash consideration of $110.8 million. The Company
also incurred deal costs of $0.5 million during the second and
third quarters of 2012.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The purchase price for
this acquisition has been allocated based on the estimated fair
values of the acquired assets and assumed liabilities at the date
of acquisition as follows (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="89%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Cash</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,872</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accounts receivable</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">341</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Prepaids and other current
assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,880</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Fixed assets</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">65,843</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Intangible assets, primarily customer
relationships</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">6,004</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Goodwill (non-deductible)</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">45,723</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Total assets acquired</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">123,663</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Accounts payable and accrued
expenses</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(7,520</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Taxes payable</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(656</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Deferred revenue and parent
deposits</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(3,006</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Deferred taxes</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(1,720</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Total liabilities assumed</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(12,902</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Purchase price</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">110,761</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The allocation of the
purchase price consideration was based on preliminary valuation and
the estimates and assumptions are subject to change within the
measurement period (up to one year from the acquisition date). The
primary areas of the preliminary purchase price allocation that are
not yet finalized are amounts related to the fair value of fixed
assets and for income tax assets and liabilities, pending the
finalization of estimates and assumptions in respect of certain tax
aspects of the transaction and residual goodwill.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The operating results for
this acquisition are included in the consolidated results of
operations from the date of acquisition. If the acquisition had
occurred on January 1, 2012, consolidated revenues and net
income attributable to Bright Horizons Family Solutions Inc. for
the three months ended March 31, 2012 would have been
approximately $268.9 million and $4.1 million,
respectively.</font></p>
</div>
1780000
<div>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The changes in the
carrying amount of goodwill for the three months ended
March 31, 2013 are as follows (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="61%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1">  </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Full service<br />
center-<br />
based<br />
care</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Back-up<br />
dependent<br />
care</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Other<br />
educational<br />
advisory<br />
services</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Total</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Beginning balance at
December 31, 2012</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">813,357</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">159,215</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">20,825</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">993,397</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Tax benefit from the exercise of
continuation options</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(333</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(69</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(9</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(411</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Effect of foreign currency
translation</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(4,314</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(893</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(5,207</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Balance at March 31,
2013</font></p>
</td>
<td valign="bottom"><font size="1">  </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">808,710</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">158,253</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">20,816</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">987,779</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom">  </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
52270000
<div>
<p style="MARGIN-TOP: 18px; MARGIN-BOTTOM: 0px"><font style="FONT-FAMILY: ARIAL" size="2"><b>9.    COMPREHENSIVE (LOSS)
INCOME</b></font></p>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">Comprehensive (loss)
income is comprised of net (loss) income and foreign currency
translation adjustments, and is reported in the consolidated
statements of comprehensive (loss) income net of taxes for all
periods presented. The Company does not provide for U.S. income
taxes on the portion of undistributed earnings of foreign
subsidiaries that is intended to be permanently reinvested outside
of the U.S. Therefore, taxes are not provided for the related
currency translation adjustments.</font></p>
</div>
214333000
<div>
<p style="MARGIN-TOP: 6px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Organization</b>—Bright Horizons Family Solutions Inc.
(“Bright Horizons” or the “Company”)
provides workplace services for employers and families throughout
the United States, Puerto Rico, Canada, the United Kingdom,
Ireland, the Netherlands, and India. Workplace services include
center-based child care, education and enrichment programs,
elementary school education, back-up dependent care (for children
and elders), before and after school care, college preparation and
admissions counseling, tuition reimbursement program management,
and other family support services.</font></p>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company operates its
child care and early education centers under various types of
arrangements, which generally can be classified into two
categories: (i) the management or cost plus (“Cost
Plus”) model, where Bright Horizons manages a work-site child
care and early education center under a cost-plus arrangement with
an employer sponsor, and (ii) the profit and loss (P&L)
model, where the Company assumes the financial risk of the child
care and early education center’s operations. The P&L
model may be operated under either (a) the sponsored model,
where Bright Horizons provides child care and early educational
services on a priority enrollment basis for employees of an
employer sponsor, or (b) the lease/consortium model, where the
Company provides priority child care and early education to the
employees of multiple employers located within a real estate
developer’s property or the community at large. Under each
model type the Company retains responsibility for all aspects of
operating the child care and early education center, including the
hiring and paying of employees, contracting with vendors,
purchasing supplies, and collecting tuition and related accounts
receivable.</font></p>
</div>
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Management’s
Opinion</b>—In the opinion of the Company’s management,
the Company’s unaudited consolidated balance sheet as of
March 31, 2013 and the results of its consolidated operations
and consolidated cash flows for the interim periods ended
March 31, 2013 and 2012, reflect all adjustments (consisting
only of normal and recurring adjustments) necessary to present
fairly the results of the interim periods presented. The operating
results for the interim periods presented are not necessarily
indicative of the results expected for the full year.</font></p>
</div>
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2"><b>Initial Public
Offering</b>—On January 30, 2013, the Company completed
an initial public offering (the “Offering”) and, after
the exercise of the overallotment option on February 21, 2013,
issued a total of 11.6 million shares of common stock in
exchange for $233.3 million, net of offering costs including $1.6
million expensed in 2012 through the statement of operations. The
Company used the proceeds of the Offering, as well as certain
amounts from the 2013 refinancing discussed in Note 3, to repay the
principal and accumulated interest under its senior notes
outstanding on January 30, 2013.</font></p>
</div>
<div>
<p style="MARGIN-TOP: 12px; TEXT-INDENT: 5%; MARGIN-BOTTOM: 0px">
<font style="FONT-FAMILY: ARIAL" size="2">The Company also has
intangible assets, which consist of the following at March 31,
2013 and December 31, 2012 (in thousands):</font></p>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="54%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Weighted average<br />
amortization period</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Cost</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Accumulated<br />
amortization</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Net carrying<br />
amount</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>March 31,
2013:</b></font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Definite-lived
intangibles:</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Contractual rights and customer
relationships</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">14.9 years</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">369,555</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(130,337</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">239,218</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Trade names</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">9.1 years</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,994</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(893</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,101</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Non-compete agreements</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">5 years</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">54</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(36</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">18</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">372,603</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(131,266</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">241,337</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Indefinite-lived
intangibles:</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 5em"><font style="FONT-FAMILY: ARIAL" size="2">Trade names</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">N/A</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">183,290</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">183,290</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">555,893</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(131,266</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">424,627</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
<p style="MARGIN-TOP: 0px; MARGIN-BOTTOM: 0px; FONT-SIZE: 12px">
 </p>
<table style="BORDER-COLLAPSE: collapse" border="0" cellspacing="0" cellpadding="0" width="100%" align="center">
<tr>
<td width="54%"></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
<td valign="bottom" width="4%"></td>
<td></td>
<td></td>
<td></td>
</tr>
<tr>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Weighted
average<br />
amortization period</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Cost</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Accumulated<br />
amortization</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td style="BORDER-BOTTOM: #000000 1px solid" valign="bottom" colspan="2" align="center"><font style="FONT-FAMILY: ARIAL" size="1"><b>Net carrying<br />
amount</b></font></td>
<td valign="bottom"><font size="1"> </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2"><b>December 31,
2012:</b></font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Definite-lived
intangibles:</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Contractual rights and customer
relationships</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">14.9 years</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">370,527</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(124,048</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">246,479</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Trade names</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">9.1 years</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">3,147</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(883</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">2,264</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 3em"><font style="FONT-FAMILY: ARIAL" size="2">Non-compete agreements</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">5 years</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">54</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(33</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">21</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">373,728</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(124,964</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">248,764</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 1em"><font style="FONT-FAMILY: ARIAL" size="2">Indefinite-lived
intangibles:</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
<td valign="bottom"></td>
</tr>
<tr bgcolor="#CCEEFF">
<td valign="top">
<p style="TEXT-INDENT: -1em; MARGIN-LEFT: 5em"><font style="FONT-FAMILY: ARIAL" size="2">Trade names</font></p>
</td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom" align="center"><font style="FONT-FAMILY: ARIAL" size="2">N/A</font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">183,816</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">-</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2"> </font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">183,816</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 1px solid"> </p>
</td>
<td> </td>
</tr>
<tr>
<td valign="top"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">557,544</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">(124,964</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">) </font></td>
<td valign="bottom"><font size="1"> </font></td>
<td valign="bottom"><font style="FONT-FAMILY: ARIAL" size="2">$</font></td>
<td valign="bottom" align="right"><font style="FONT-FAMILY: ARIAL" size="2">432,580</font></td>
<td valign="bottom" nowrap="nowrap"><font style="FONT-FAMILY: ARIAL" size="2">  </font></td>
</tr>
<tr style="FONT-SIZE: 1px">
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom"></td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
<td valign="bottom"> </td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td valign="bottom">
<p style="BORDER-TOP: #000000 3px double"> </p>
</td>
<td> </td>
</tr>
</table>
</div>
972468000
0.10
0
0.10
0
5000000
328200000
213300000
2000000
2020-01-30
431000000
P1Y
P3Y
P10Y
P7Y
P5Y
2500000
7500000
219490
11615000
12000
46708466
47000
-50743000
1672000
6620000
1325000
234932000
854054000
-11822000
333000
-4314000
6491000
8872000
242250000
9800000
69000
-893000
181000
7467000
33161000
1900000
9000
76000
-902000
4712000
800000
1500000
-0.91
55797534
-50743000
5200000
1327115
0.10
P5Y
P9Y1M6D
P14Y10M24D
23.04
394772
2519000
25535000
2519000
55322000
248017000
-2.56
-15406000
13.37
17608000
400000
-44000
16069000
-951000
4835000
160000
3590000
-12920000
12000
1591000
5402000
3169000
6233000
12586000
225000
268900000
6549000
80000
21103000
4100000
26104000
-2957000
3509000
-12630000
-564000
5140000
-4354000
5657000
58020000
-12384000
-455000
258122000
34000
25367000
2643000
262000
81000
-3532000
12920000
2115000
3506000
-15070000
-155000
6759000
19883000
6195000
1202000
38115000
200102000
18513000
66000
6292000
17176000
224040000
181000
8807000
30112000
76000
121000
3970000
-2.49
6046056
-15070000
13.99
1323479
18513000
-1914000
16061000
-1967000
64553000
271463000
-4.20
-25482000
14.76
19590000
500000
-364000
18293000
-456000
49183000
243877000
-3.16
-19030000
13.86
18253000
2606000
25355000
2446000
60092000
267927000
-3.06
-18521000
15.30
20298000
500000
3870000
22782000
3959000
53400000
248885000
-2.51
-15083000
14.20
18712000
4227000
27944000
4174000
63105000
273426000
-2.87
-17412000
15.68
20810000
0001437578
bfam:CommonClassLMember
2012-10-01
2012-12-31
0001437578
us-gaap:CommonClassAMember
2012-10-01
2012-12-31
0001437578
2012-10-01
2012-12-31
0001437578
bfam:CommonClassLMember
2011-10-01
2011-12-31
0001437578
us-gaap:CommonClassAMember
2011-10-01
2011-12-31
0001437578
2011-10-01
2011-12-31
0001437578
bfam:HuntyardLimitedMembercountry:GB
2012-07-01
2012-09-30
0001437578
bfam:CommonClassLMember
2012-07-01
2012-09-30
0001437578
us-gaap:CommonClassAMember
2012-07-01
2012-09-30
0001437578
2012-07-01
2012-09-30
0001437578
bfam:CommonClassLMember
2011-07-01
2011-09-30
0001437578
us-gaap:CommonClassAMember
2011-07-01
2011-09-30
0001437578
2011-07-01
2011-09-30
0001437578
bfam:HuntyardLimitedMembercountry:GB
2012-04-01
2012-06-30
0001437578
bfam:CommonClassLMember
2012-04-01
2012-06-30
0001437578
us-gaap:CommonClassAMember
2012-04-01
2012-06-30
0001437578
2012-04-01
2012-06-30
0001437578
bfam:CommonClassLMember
2012-01-01
2012-03-31
0001437578
us-gaap:CommonClassAMember
2012-01-01
2012-03-31
0001437578
bfam:OtherEducationalAdvisoryServicesMember
2012-01-01
2012-03-31
0001437578
bfam:BackupDependentCareMember
2012-01-01
2012-03-31
0001437578
bfam:FullServiceCenterBasedCareMember
2012-01-01
2012-03-31
0001437578
bfam:CommonClassLMemberbfam:VestedMember
2012-01-01
2012-03-31
0001437578
bfam:CommonClassLMemberbfam:NonvestedMember
2012-01-01
2012-03-31
0001437578
2012-01-01
2012-03-31
0001437578
bfam:CommonClassLMember
2011-04-01
2011-06-30
0001437578
us-gaap:CommonClassAMember
2011-04-01
2011-06-30
0001437578
2011-04-01
2011-06-30
0001437578
bfam:OmnibusIncentivePlanMember
2013-01-01
2013-03-31
0001437578
bfam:CustomerContractsAndCustomerRelationshipsMember
2013-01-01
2013-03-31
0001437578
us-gaap:TradeNamesMember
2013-01-01
2013-03-31
0001437578
us-gaap:NoncompeteAgreementsMember
2013-01-01
2013-03-31
0001437578
bfam:TradeNameIndefiniteLifeMember
2013-01-01
2013-03-31
0001437578
bfam:CommonClassLMember
2013-01-01
2013-03-31
0001437578
us-gaap:CommonClassAMember
2013-01-01
2013-03-31
0001437578
country:GBus-gaap:SubsequentEventMember
2013-01-01
2013-03-31
0001437578
bfam:OtherEducationalAdvisoryServicesMember
2013-01-01
2013-03-31
0001437578
bfam:BackupDependentCareMember
2013-01-01
2013-03-31
0001437578
bfam:FullServiceCenterBasedCareMember
2013-01-01
2013-03-31
0001437578
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2013-01-01
2013-03-31
0001437578
us-gaap:AdditionalPaidInCapitalMember
2013-01-01
2013-03-31
0001437578
us-gaap:RetainedEarningsMember
2013-01-01
2013-03-31
0001437578
us-gaap:CommonStockMember
2013-01-01
2013-03-31
0001437578
us-gaap:AffiliatedEntityMember
2013-01-01
2013-03-31
0001437578
bfam:OmnibusIncentivePlanMemberus-gaap:MaximumMember
2013-01-01
2013-03-31
0001437578
us-gaap:ForeignCountryMemberus-gaap:MaximumMember
2013-01-01
2013-03-31
0001437578
us-gaap:MaximumMember
2013-01-01
2013-03-31
0001437578
bfam:OmnibusIncentivePlanMemberus-gaap:MinimumMember
2013-01-01
2013-03-31
0001437578
us-gaap:ForeignCountryMemberus-gaap:MinimumMember
2013-01-01
2013-03-31
0001437578
bfam:TrancheAndSeriesNewTermLoanMember
2013-01-01
2013-03-31
0001437578
bfam:TermLoanFacilityMember
2013-01-01
2013-03-31
0001437578
us-gaap:SeniorNotesMember
2013-01-01
2013-03-31
0001437578
us-gaap:SeniorSubordinatedNotesMember
2013-01-01
2013-03-31
0001437578
bfam:TwoThousandEightEquityIncentivePlanMemberus-gaap:StockOptionMember
2013-01-01
2013-03-31
0001437578
bfam:RevenueMember
2013-01-01
2013-03-31
0001437578
us-gaap:AccountsReceivableMember
2013-01-01
2013-03-31
0001437578
2013-01-01
2013-03-31
0001437578
bfam:CommonClassLMember
2011-01-01
2011-03-31
0001437578
us-gaap:CommonClassAMember
2011-01-01
2011-03-31
0001437578
2011-01-01
2011-03-31
0001437578
bfam:StockOptionsGrantedMember
2012-01-01
2012-12-31
0001437578
bfam:VestedStockOptionsMember
2012-01-01
2012-12-31
0001437578
bfam:StockOptionExchangeProgramMember
2012-01-01
2012-12-31
0001437578
bfam:FirstOrSecondAnniversaryMemberbfam:ThreeToFourYearServicePeriodBasedStockOptionMember
2012-01-01
2012-12-31
0001437578
bfam:AnnuallyUntilFullyVestedMemberbfam:ThreeToFourYearServicePeriodBasedStockOptionMember
2012-01-01
2012-12-31
0001437578
bfam:FourthAnniversaryMemberbfam:FiveYearServicePeriodBasedStockOptionMember
2012-01-01
2012-12-31
0001437578
bfam:FifthAnniversaryMemberbfam:FiveYearServicePeriodBasedStockOptionMember
2012-01-01
2012-12-31
0001437578
bfam:ThirdAnniversaryMemberbfam:FiveYearServicePeriodBasedStockOptionMember
2012-01-01
2012-12-31
0001437578
bfam:SecondAnniversaryMemberbfam:FiveYearServicePeriodBasedStockOptionMember
2012-01-01
2012-12-31
0001437578
bfam:FiveYearServicePeriodBasedStockOptionMember
2012-01-01
2012-12-31
0001437578
bfam:ContinuationOptionsMember
2012-01-01
2012-12-31
0001437578
bfam:HuntyardLimitedMember
2012-01-01
2012-12-31
0001437578
bfam:TwoThousandTwelveAcquisitionsMember
2012-01-01
2012-12-31
0001437578
bfam:CustomerContractsAndCustomerRelationshipsMember
2012-01-01
2012-12-31
0001437578
us-gaap:TradeNamesMember
2012-01-01
2012-12-31
0001437578
us-gaap:NoncompeteAgreementsMember
2012-01-01
2012-12-31
0001437578
bfam:TradeNameIndefiniteLifeMember
2012-01-01
2012-12-31
0001437578
bfam:EuropeAndOtherMember
2012-01-01
2012-12-31
0001437578
bfam:NorthAmericaMember
2012-01-01
2012-12-31
0001437578
bfam:ContinuationOptionsMemberbfam:CommonClassLMember
2012-01-01
2012-12-31
0001437578
bfam:CommonClassLMember
2012-01-01
2012-12-31
0001437578
bfam:ContinuationOptionsMemberus-gaap:CommonClassAMember
2012-01-01
2012-12-31
0001437578
us-gaap:CommonClassAMember
2012-01-01
2012-12-31
0001437578
bfam:ScenarioOneMemberus-gaap:StateAndLocalJurisdictionMember
2012-01-01
2012-12-31
0001437578
us-gaap:StateAndLocalJurisdictionMember
2012-01-01
2012-12-31
0001437578
us-gaap:ForeignCountryMember
2012-01-01
2012-12-31
0001437578
bfam:OtherEducationalAdvisoryServicesMember
2012-01-01
2012-12-31
0001437578
bfam:BackupDependentCareMember
2012-01-01
2012-12-31
0001437578
bfam:FullServiceCenterBasedCareMember
2012-01-01
2012-12-31
0001437578
bfam:BackupDependentCareAndOtherEducationalAdvisoryServicesMember
2012-01-01
2012-12-31
0001437578
bfam:OperateChildCareAndEarlyEducationCentersMember
2012-01-01
2012-12-31
0001437578
bfam:CommonClassLMemberbfam:VestedMember
2012-01-01
2012-12-31
0001437578
bfam:CommonClassLMemberbfam:NonvestedMember
2012-01-01
2012-12-31
0001437578
bfam:ScenarioTwoMember
2012-01-01
2012-12-31
0001437578
bfam:ScenarioOneMember
2012-01-01
2012-12-31
0001437578
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2012-01-01
2012-12-31
0001437578
us-gaap:AdditionalPaidInCapitalMember
2012-01-01
2012-12-31
0001437578
us-gaap:TreasuryStockMember
2012-01-01
2012-12-31
0001437578
us-gaap:RetainedEarningsMember
2012-01-01
2012-12-31
0001437578
us-gaap:CommonStockMember
2012-01-01
2012-12-31
0001437578
us-gaap:AffiliatedEntityMember
2012-01-01
2012-12-31
0001437578
bfam:ThreeToFourYearServicePeriodBasedStockOptionMemberus-gaap:MaximumMember
2012-01-01
2012-12-31
0001437578
us-gaap:StateAndLocalJurisdictionMemberus-gaap:MaximumMember
2012-01-01
2012-12-31
0001437578
us-gaap:ForeignCountryMemberus-gaap:MaximumMember
2012-01-01
2012-12-31
0001437578
us-gaap:MaximumMember
2012-01-01
2012-12-31
0001437578
bfam:ThreeToFourYearServicePeriodBasedStockOptionMemberus-gaap:MinimumMember
2012-01-01
2012-12-31
0001437578
us-gaap:StateAndLocalJurisdictionMemberus-gaap:MinimumMember
2012-01-01
2012-12-31
0001437578
us-gaap:ForeignCountryMemberus-gaap:MinimumMember
2012-01-01
2012-12-31
0001437578
us-gaap:MinimumMember
2012-01-01
2012-12-31
0001437578
bfam:TermLoanCMemberbfam:PrimeRateMember
2012-01-01
2012-12-31
0001437578
bfam:TermLoanCMemberbfam:LondonInterbankOfferedRateMember
2012-01-01
2012-12-31
0001437578
bfam:TermLoanCMember
2012-01-01
2012-12-31
0001437578
bfam:TrancheBTermLoanFacilityMember
2012-01-01
2012-12-31
0001437578
us-gaap:RevolvingCreditFacilityMemberus-gaap:MaximumMember
2012-01-01
2012-12-31
0001437578
us-gaap:RevolvingCreditFacilityMemberus-gaap:MinimumMember
2012-01-01
2012-12-31
0001437578
us-gaap:RevolvingCreditFacilityMember
2012-01-01
2012-12-31
0001437578
bfam:FurnitureAndEquipmentMemberus-gaap:MaximumMember
2012-01-01
2012-12-31
0001437578
bfam:FurnitureAndEquipmentMemberus-gaap:MinimumMember
2012-01-01
2012-12-31
0001437578
us-gaap:BuildingMemberus-gaap:MaximumMember
2012-01-01
2012-12-31
0001437578
us-gaap:BuildingMemberus-gaap:MinimumMember
2012-01-01
2012-12-31
0001437578
bfam:TrancheBTermLoanFacilityMemberus-gaap:InterestRateCapMember
2012-01-01
2012-12-31
0001437578
bfam:ContinuationOptionsMember
2012-01-01
2012-12-31
0001437578
bfam:EquityPlanMember
2012-01-01
2012-12-31
0001437578
bfam:SubsidiaryMemberus-gaap:RevolvingCreditFacilityMembercountry:NL
2012-01-01
2012-12-31
0001437578
2012-01-01
2012-12-31
0001437578
us-gaap:CommonClassAMember
2011-04-01
2012-03-31
0001437578
bfam:ContinuationOptionsMember
2011-01-01
2011-12-31
0001437578
bfam:TwoThousandElevenAcquisitionsMember
2011-01-01
2011-12-31
0001437578
bfam:TwoThousandTwelveAcquisitionsMember
2011-01-01
2011-12-31
0001437578
bfam:CustomerContractsAndCustomerRelationshipsMember
2011-01-01
2011-12-31
0001437578
us-gaap:TradeNamesMember
2011-01-01
2011-12-31
0001437578
us-gaap:NoncompeteAgreementsMember
2011-01-01
2011-12-31
0001437578
us-gaap:OtherIntangibleAssetsMember
2011-01-01
2011-12-31
0001437578
bfam:EuropeAndOtherMember
2011-01-01
2011-12-31
0001437578
bfam:NorthAmericaMember
2011-01-01
2011-12-31
0001437578
bfam:ContinuationOptionsMemberbfam:CommonClassLMember
2011-01-01
2011-12-31
0001437578
bfam:CommonClassLMember
2011-01-01
2011-12-31
0001437578
bfam:ContinuationOptionsMemberus-gaap:CommonClassAMember
2011-01-01
2011-12-31
0001437578
us-gaap:CommonClassAMember
2011-01-01
2011-12-31
0001437578
bfam:OtherEducationalAdvisoryServicesMember
2011-01-01
2011-12-31
0001437578
bfam:BackupDependentCareMember
2011-01-01
2011-12-31
0001437578
bfam:FullServiceCenterBasedCareMember
2011-01-01
2011-12-31
0001437578
bfam:CommonClassLMemberbfam:VestedMember
2011-01-01
2011-12-31
0001437578
bfam:CommonClassLMemberbfam:NonvestedMember
2011-01-01
2011-12-31
0001437578
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2011-01-01
2011-12-31
0001437578
us-gaap:AdditionalPaidInCapitalMember
2011-01-01
2011-12-31
0001437578
us-gaap:RetainedEarningsMember
2011-01-01
2011-12-31
0001437578
us-gaap:CommonStockMember
2011-01-01
2011-12-31
0001437578
bfam:TrancheBTermLoanFacilityMemberus-gaap:InterestRateCapMember
2011-01-01
2011-12-31
0001437578
2011-01-01
2011-12-31
0001437578
bfam:ContinuationOptionsMember
2010-01-01
2010-12-31
0001437578
bfam:TwoThousandTenAcquisitionsMember
2010-01-01
2010-12-31
0001437578
bfam:TwoThousandElevenAcquisitionsMember
2010-01-01
2010-12-31
0001437578
bfam:EuropeAndOtherMember
2010-01-01
2010-12-31
0001437578
bfam:NorthAmericaMember
2010-01-01
2010-12-31
0001437578
bfam:ContinuationOptionsMemberbfam:CommonClassLMember
2010-01-01
2010-12-31
0001437578
bfam:CommonClassLMember
2010-01-01
2010-12-31
0001437578
bfam:ContinuationOptionsMemberus-gaap:CommonClassAMember
2010-01-01
2010-12-31
0001437578
us-gaap:CommonClassAMember
2010-01-01
2010-12-31
0001437578
bfam:OtherEducationalAdvisoryServicesMember
2010-01-01
2010-12-31
0001437578
bfam:BackupDependentCareMember
2010-01-01
2010-12-31
0001437578
bfam:FullServiceCenterBasedCareMember
2010-01-01
2010-12-31
0001437578
bfam:CommonClassLMemberbfam:VestedMember
2010-01-01
2010-12-31
0001437578
bfam:CommonClassLMemberbfam:NonvestedMember
2010-01-01
2010-12-31
0001437578
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2010-01-01
2010-12-31
0001437578
us-gaap:AdditionalPaidInCapitalMember
2010-01-01
2010-12-31
0001437578
us-gaap:TreasuryStockMember
2010-01-01
2010-12-31
0001437578
us-gaap:RetainedEarningsMember
2010-01-01
2010-12-31
0001437578
us-gaap:CommonStockMember
2010-01-01
2010-12-31
0001437578
bfam:TwoThousandTenAcquisitionsMemberus-gaap:MaximumMember
2010-01-01
2010-12-31
0001437578
bfam:TwoThousandTenAcquisitionsMemberus-gaap:MinimumMember
2010-01-01
2010-12-31
0001437578
bfam:TrancheBTermLoanFacilityMemberus-gaap:InterestRateCapMember
2010-01-01
2010-12-31
0001437578
2010-01-01
2010-12-31
0001437578
bfam:StockOptionExchangeProgramMember
2012-04-01
2012-05-02
0001437578
bfam:CommonClassLMember
2012-04-01
2012-05-02
0001437578
bfam:StockOptionExchangeProgramMemberus-gaap:CommonClassAMember
2012-04-01
2012-05-02
0001437578
us-gaap:CommonClassAMember
2012-04-01
2012-05-02
0001437578
us-gaap:CommonClassAMember
2012-12-12
2013-01-11
0001437578
us-gaap:CommonClassAMember
2012-08-22
2012-09-21
0001437578
bfam:TwoThousandElevenAcquisitionsMember
2011-03-01
2011-03-31
0001437578
bfam:TwoThousandElevenAcquisitionsMemberus-gaap:MaximumMember
2011-03-01
2011-03-31
0001437578
bfam:TwoThousandElevenAcquisitionsMemberus-gaap:MinimumMember
2011-03-01
2011-03-31
0001437578
bfam:TrancheBTermLoanFacilityMember
2011-03-01
2011-03-31
0001437578
bfam:TwoThousandElevenAcquisitionsMembercountry:NL
2011-07-01
2011-07-31
0001437578
bfam:TwoThousandElevenAcquisitionsMemberus-gaap:MaximumMembercountry:NL
2011-07-01
2011-07-31
0001437578
bfam:TwoThousandElevenAcquisitionsMemberus-gaap:MinimumMembercountry:NL
2011-07-01
2011-07-31
0001437578
country:GBus-gaap:SubsequentEventMember
2013-03-11
2013-04-10
0001437578
bfam:StockOptionExchangeProgramMember
2013-01-01
2013-01-31
0001437578
us-gaap:CommonClassAMemberus-gaap:SubsequentEventMember
2013-01-01
2013-01-31
0001437578
us-gaap:SubsequentEventMember
2013-01-01
2013-01-31
0001437578
bfam:SeniorNoteMemberus-gaap:SubsequentEventMember
2013-01-01
2013-01-31
0001437578
bfam:TrancheAndSeriesNewTermLoanMemberus-gaap:SubsequentEventMember
2013-01-01
2013-01-31
0001437578
bfam:SeniorSecuredCreditFacilitiesMemberus-gaap:SubsequentEventMember
2013-01-01
2013-01-31
0001437578
us-gaap:SeniorSubordinatedNotesMemberus-gaap:SubsequentEventMember
2013-01-01
2013-01-31
0001437578
bfam:TrancheBTermLoanFacilityMemberbfam:PrimeRateMember
2011-04-29
2011-05-28
0001437578
bfam:TrancheBTermLoanFacilityMemberbfam:LondonInterbankOfferedRateMember
2011-04-29
2011-05-28
0001437578
us-gaap:SeniorNotesMember
2008-04-29
2008-05-28
0001437578
us-gaap:SeniorSubordinatedNotesMember
2008-04-29
2008-05-28
0001437578
bfam:HuntyardLimitedMembercountry:GB
2012-05-03
2012-05-31
0001437578
bfam:HuntyardLimitedMemberus-gaap:MaximumMember
2012-05-03
2012-05-31
0001437578
bfam:HuntyardLimitedMemberus-gaap:MinimumMember
2012-05-03
2012-05-31
0001437578
bfam:HuntyardLimitedMember
2012-05-03
2012-05-31
0001437578
us-gaap:SubsequentEventMember
2013-01-25
2013-02-21
0001437578
2013-01-25
2013-02-21
0001437578
bfam:CommonClassLMember
2013-01-01
2013-01-24
0001437578
us-gaap:CommonClassAMember
2013-01-01
2013-01-24
0001437578
us-gaap:StockOptionMember
2013-01-01
2013-01-24
0001437578
bfam:TrancheBTermLoanFacilityMember
2012-03-10
2012-03-31
0001437578
us-gaap:SubsequentEventMember
2013-01-11
0001437578
2013-01-11
0001437578
bfam:CustomerContractsAndCustomerRelationshipsMember
2012-12-31
0001437578
us-gaap:TradeNamesMember
2012-12-31
0001437578
us-gaap:NoncompeteAgreementsMember
2012-12-31
0001437578
bfam:TradeNameIndefiniteLifeMember
2012-12-31
0001437578
bfam:EuropeAndOtherMember
2012-12-31
0001437578
bfam:NorthAmericaMember
2012-12-31
0001437578
country:NL
2012-12-31
0001437578
bfam:DilutiveStockOptionsMemberbfam:CommonClassLMember
2012-12-31
0001437578
bfam:ContinuationOptionsMemberbfam:CommonClassLMember
2012-12-31
0001437578
bfam:CommonClassLMember
2012-12-31
0001437578
bfam:TwoThousandEightEquityIncentivePlanMemberus-gaap:CommonClassAMember
2012-12-31
0001437578
bfam:DilutiveStockOptionsMemberus-gaap:CommonClassAMember
2012-12-31
0001437578
bfam:ContinuationOptionsMemberus-gaap:CommonClassAMember
2012-12-31
0001437578
us-gaap:CommonClassAMember
2012-12-31
0001437578
us-gaap:StateAndLocalJurisdictionMember
2012-12-31
0001437578
us-gaap:ForeignCountryMember
2012-12-31
0001437578
bfam:OtherEducationalAdvisoryServicesMember
2012-12-31
0001437578
bfam:BackupDependentCareMember
2012-12-31
0001437578
bfam:FullServiceCenterBasedCareMember
2012-12-31
0001437578
bfam:OverdraftFacilityMemberbfam:BankBaseRateMember
2012-12-31
0001437578
bfam:OverdraftFacilityMember
2012-12-31
0001437578
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2012-12-31
0001437578
us-gaap:AdditionalPaidInCapitalMember
2012-12-31
0001437578
us-gaap:RetainedEarningsMember
2012-12-31
0001437578
us-gaap:CommonStockMember
2012-12-31
0001437578
us-gaap:MaximumMember
2012-12-31
0001437578
us-gaap:MinimumMember
2012-12-31
0001437578
bfam:TermLoanCMemberbfam:PrimeRateMember
2012-12-31
0001437578
bfam:TermLoanCMemberbfam:LondonInterbankOfferedRateMember
2012-12-31
0001437578
bfam:TermLoanCMemberbfam:FederalFundsRateMember
2012-12-31
0001437578
bfam:TermLoanCMember
2012-12-31
0001437578
bfam:TrancheAndSeriesNewTermLoanMember
2012-12-31
0001437578
bfam:TrancheBTermLoanFacilityMemberbfam:PrimeRateMember
2012-12-31
0001437578
bfam:TrancheBTermLoanFacilityMemberbfam:LondonInterbankOfferedRateMember
2012-12-31
0001437578
bfam:TrancheBTermLoanFacilityMemberbfam:FederalFundsRateMember
2012-12-31
0001437578
bfam:TrancheBTermLoanFacilityMember
2012-12-31
0001437578
us-gaap:RevolvingCreditFacilityMemberbfam:FederalFundsRateMember
2012-12-31
0001437578
us-gaap:RevolvingCreditFacilityMember
2012-12-31
0001437578
us-gaap:SeniorNotesMember
2012-12-31
0001437578
us-gaap:SeniorSubordinatedNotesMember
2012-12-31
0001437578
bfam:CurrentAssetsMember
2012-12-31
0001437578
bfam:NonCurrentAssetsMember
2012-12-31
0001437578
us-gaap:FairValueInputsLevel2Memberus-gaap:MaximumMember
2012-12-31
0001437578
bfam:InitialMember
2012-12-31
0001437578
bfam:TrancheBTermLoanFacilityMemberus-gaap:InterestRateCapMemberbfam:LondonInterbankOfferedRateMember
2012-12-31
0001437578
bfam:SubsidiaryMemberus-gaap:RevolvingCreditFacilityMemberbfam:BankBaseRateMembercountry:NL
2012-12-31
0001437578
bfam:SubsidiaryMemberus-gaap:RevolvingCreditFacilityMembercountry:NL
2012-12-31
0001437578
bfam:SubsidiaryMemberus-gaap:RevolvingCreditFacilityMemberbfam:ConstructionClaimsMembercountry:NL
2012-12-31
0001437578
bfam:SubsidiaryMemberus-gaap:RevolvingCreditFacilityMemberbfam:GeneralCreditFacilityMembercountry:NL
2012-12-31
0001437578
2012-12-31
0001437578
bfam:TwoThousandElevenAcquisitionsMember
2011-12-31
0001437578
bfam:CustomerContractsAndCustomerRelationshipsMember
2011-12-31
0001437578
us-gaap:TradeNamesMember
2011-12-31
0001437578
us-gaap:NoncompeteAgreementsMember
2011-12-31
0001437578
us-gaap:OtherIntangibleAssetsMember
2011-12-31
0001437578
bfam:EuropeAndOtherMember
2011-12-31
0001437578
bfam:NorthAmericaMember
2011-12-31
0001437578
bfam:DilutiveStockOptionsMemberbfam:CommonClassLMember
2011-12-31
0001437578
bfam:ContinuationOptionsMemberbfam:CommonClassLMember
2011-12-31
0001437578
bfam:CommonClassLMember
2011-12-31
0001437578
bfam:DilutiveStockOptionsMemberus-gaap:CommonClassAMember
2011-12-31
0001437578
bfam:ContinuationOptionsMemberus-gaap:CommonClassAMember
2011-12-31
0001437578
us-gaap:CommonClassAMember
2011-12-31
0001437578
bfam:OverdraftFacilityMember
2011-12-31
0001437578
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2011-12-31
0001437578
us-gaap:AdditionalPaidInCapitalMember
2011-12-31
0001437578
us-gaap:TreasuryStockMember
2011-12-31
0001437578
us-gaap:RetainedEarningsMember
2011-12-31
0001437578
us-gaap:CommonStockMember
2011-12-31
0001437578
us-gaap:MaximumMember
2011-12-31
0001437578
bfam:TrancheBTermLoanFacilityMember
2011-12-31
0001437578
us-gaap:RevolvingCreditFacilityMember
2011-12-31
0001437578
us-gaap:SeniorNotesMember
2011-12-31
0001437578
us-gaap:SeniorSubordinatedNotesMember
2011-12-31
0001437578
bfam:CurrentAssetsMember
2011-12-31
0001437578
bfam:NonCurrentAssetsMember
2011-12-31
0001437578
bfam:TrancheBTermLoanFacilityMemberus-gaap:InterestRateCapMemberbfam:LondonInterbankOfferedRateMember
2011-12-31
0001437578
bfam:SubsidiaryMemberus-gaap:RevolvingCreditFacilityMembercountry:NL
2011-12-31
0001437578
2011-12-31
0001437578
bfam:TwoThousandTenAcquisitionsMember
2010-12-31
0001437578
bfam:TwoThousandTenAcquisitionsMemberus-gaap:TradeNamesMember
2010-12-31
0001437578
bfam:DilutiveStockOptionsMemberbfam:CommonClassLMember
2010-12-31
0001437578
bfam:CommonClassLMember
2010-12-31
0001437578
bfam:DilutiveStockOptionsMemberus-gaap:CommonClassAMember
2010-12-31
0001437578
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2010-12-31
0001437578
us-gaap:AdditionalPaidInCapitalMember
2010-12-31
0001437578
us-gaap:TreasuryStockMember
2010-12-31
0001437578
us-gaap:RetainedEarningsMember
2010-12-31
0001437578
us-gaap:CommonStockMember
2010-12-31
0001437578
bfam:TrancheBTermLoanFacilityMember
2010-12-31
0001437578
us-gaap:RevolvingCreditFacilityMember
2010-12-31
0001437578
2010-12-31
0001437578
bfam:CommonClassLMember
2009-12-31
0001437578
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2009-12-31
0001437578
us-gaap:AdditionalPaidInCapitalMember
2009-12-31
0001437578
us-gaap:TreasuryStockMember
2009-12-31
0001437578
us-gaap:RetainedEarningsMember
2009-12-31
0001437578
us-gaap:CommonStockMember
2009-12-31
0001437578
bfam:TrancheBTermLoanFacilityMemberus-gaap:InterestRateCapMemberbfam:LondonInterbankOfferedRateMember
2009-12-31
0001437578
2009-12-31
0001437578
bfam:DebtAgreementMember
2008-12-31
0001437578
bfam:TwoThousandEightEquityIncentivePlanMember
2013-03-31
0001437578
bfam:OmnibusIncentivePlanMember
2013-03-31
0001437578
bfam:CustomerContractsAndCustomerRelationshipsMember
2013-03-31
0001437578
us-gaap:TradeNamesMember
2013-03-31
0001437578
us-gaap:NoncompeteAgreementsMember
2013-03-31
0001437578
bfam:TradeNameIndefiniteLifeMember
2013-03-31
0001437578
bfam:TwoThousandEightEquityIncentivePlanMemberbfam:CommonClassLMember
2013-03-31
0001437578
bfam:TwoThousandEightEquityIncentivePlanMemberus-gaap:CommonClassAMember
2013-03-31
0001437578
us-gaap:CommonClassAMember
2013-03-31
0001437578
bfam:OtherEducationalAdvisoryServicesMember
2013-03-31
0001437578
bfam:BackupDependentCareMember
2013-03-31
0001437578
bfam:FullServiceCenterBasedCareMember
2013-03-31
0001437578
us-gaap:AccumulatedOtherComprehensiveIncomeMember
2013-03-31
0001437578
us-gaap:AdditionalPaidInCapitalMember
2013-03-31
0001437578
us-gaap:RetainedEarningsMember
2013-03-31
0001437578
us-gaap:CommonStockMember
2013-03-31
0001437578
us-gaap:AffiliatedEntityMember
2013-03-31
0001437578
us-gaap:MaximumMember
2013-03-31
0001437578
us-gaap:MinimumMember
2013-03-31
0001437578
bfam:TermLoanCMember
2013-03-31
0001437578
bfam:TermLoansMemberbfam:BaseRateLoansMember
2013-03-31
0001437578
bfam:TermLoansMemberbfam:PrimeRateMember
2013-03-31
0001437578
bfam:TermLoansMemberbfam:BaseRateLoansMemberus-gaap:MinimumMember
2013-03-31
0001437578
bfam:TermLoansMemberbfam:PrimeRateMemberus-gaap:MinimumMember
2013-03-31
0001437578
bfam:TermLoanMember
2013-03-31
0001437578
bfam:TermLoanFacilityMember
2013-03-31
0001437578
us-gaap:RevolvingCreditFacilityMember
2013-03-31
0001437578
us-gaap:FairValueInputsLevel2Memberus-gaap:MaximumMember
2013-03-31
0001437578
us-gaap:FairValueInputsLevel1Member
2013-03-31
0001437578
bfam:InitialMember
2013-03-31
0001437578
2013-03-31
0001437578
2012-03-31
0001437578
bfam:TwoThousandElevenAcquisitionsMember
2011-03-31
0001437578
bfam:HuntyardLimitedMember
2012-05-31
0001437578
bfam:HuntyardLimitedMembercountry:GB
2012-05-31
0001437578
bfam:HuntyardLimitedMemberbfam:NonTaxDeductibleMember
2012-05-31
0001437578
bfam:TermLoanCMember
2012-05-31
0001437578
bfam:HuntyardLimitedMember
2012-05-31
0001437578
bfam:TwoThousandElevenAcquisitionsMembercountry:NL
2011-07-31
0001437578
country:NL
2011-07-31
0001437578
country:GBus-gaap:SubsequentEventMember
2013-04-10
0001437578
bfam:TwoThousandEightEquityIncentivePlanMemberbfam:CommonClassLMember
2012-03-09
0001437578
bfam:TwoThousandEightEquityIncentivePlanMemberus-gaap:CommonClassAMember
2012-03-09
0001437578
us-gaap:SubsequentEventMember
2013-01-31
0001437578
bfam:SeniorNoteMemberus-gaap:SubsequentEventMember
2013-01-31
0001437578
bfam:SeniorSecuredCreditFacilitiesMemberus-gaap:SubsequentEventMember
2013-01-31
0001437578
bfam:TermLoansMemberbfam:BaseRateLoansMemberus-gaap:SubsequentEventMember
2013-01-31
0001437578
bfam:TermLoansMemberbfam:PrimeRateMemberus-gaap:SubsequentEventMember
2013-01-31
0001437578
bfam:TermLoansMemberbfam:LiborRateMemberus-gaap:SubsequentEventMember
2013-01-31
0001437578
bfam:TermLoansMemberbfam:BaseRateLoansMemberus-gaap:MinimumMemberus-gaap:SubsequentEventMember
2013-01-31
0001437578
bfam:TermLoansMemberbfam:PrimeRateMemberus-gaap:MinimumMemberus-gaap:SubsequentEventMember
2013-01-31
0001437578
bfam:TermLoansMemberbfam:LiborRateMemberus-gaap:MinimumMemberus-gaap:SubsequentEventMember
2013-01-31
0001437578
bfam:TermLoanFacilityMemberus-gaap:SubsequentEventMember
2013-01-31
0001437578
us-gaap:RevolvingCreditFacilityMemberus-gaap:SubsequentEventMember
2013-01-31
0001437578
us-gaap:SeniorSubordinatedNotesMemberus-gaap:SubsequentEventMember
2013-01-31
0001437578
bfam:TermLoanFacilityMember
2013-01-30
0001437578
bfam:SeniorSecuredCreditFacilitiesMember
2013-01-30
0001437578
country:NL
2012-11-30
0001437578
2012-11-30
0001437578
bfam:StockOptionExchangeProgramMember
2012-05-02
0001437578
bfam:StockOptionExchangeProgramMemberbfam:CommonClassLMember
2012-05-02
0001437578
bfam:StockOptionExchangeProgramMemberus-gaap:CommonClassAMember
2012-05-02
0001437578
bfam:MergerOptionsMember
2008-05-28
0001437578
bfam:ContinuationOptionsMemberbfam:CommonClassLMember
2008-05-28
0001437578
bfam:ContinuationOptionsMemberus-gaap:CommonClassAMember
2008-05-28
0001437578
bfam:TermLoanBAndRevolvingCreditFacilityMember
2008-05-28
0001437578
bfam:TrancheBTermLoanFacilityMember
2008-05-28
0001437578
us-gaap:SeniorNotesMember
2008-05-28
0001437578
us-gaap:SeniorSubordinatedNotesMember
2008-05-28
0001437578
2008-05-28
iso4217:USD
pure
shares
iso4217:GBP
iso4217:USD
shares
bfam:LetterOfCredit
iso4217:EUR
bfam:Ratio
bfam:Center
bfam:Unit
bfam:Segment
utr:Y
bfam:Item
bfam:Customer
Represents option exchange consummated on May 2, 2012.
(1) For the quarter ended March 31, 2013, income from operations includes expenses incurred in connection with the Offering, including a $7.5 million fee for the termination of the management agreement with Bain Capital Partners LLC, and $5.0 million for certain stock options that vested upon completion of the Offering, allocated on a proportionate basis to each segment ($9.8 million to full service center-based care, $1.9 million to back-up dependent care, and $0.8 million to other educational advisory services).