CDI records heavy losses

Wed, 24 Feb 2010

International provider of engineering and IT outsourcing solutions and professional staffing CDI has recorded heavy losses in its Q4 results for the year ended 31 December 2009.

CDI recorded a net loss of $6.9m (£4.4m) in Q4, a Q4 operating loss of $6.4m and a net loss of $19.9m.

Operating losses include a $4.3m charge associated with a claim under the federal False Claims Act that CDI received from the Civil Division of the US Department of Justice (DOJ) in August 2009 along with related costs.

CDI president and chief executive Roger H Ballou says: “Although CDI’s markets remained challenging in the fourth quarter, we saw some signs that a modest recovery is underway in sectors of our business.

“Our IT Solutions business experienced year-over-year revenue growth of 13% due to successful business development efforts and increased spending across most industry segments, while our Management Recruiters International division saw a moderation in royalty revenue decline versus the prior year which resulted in sequential royalty growth.

“We continued to see softness at AndersElite driven by the weak UK construction industry.”