Slide 1: Manpower Inc. 2009 4th Quarter Results
Helping Clients and Candidates Win for Over Six Decades 2010 February MANPOWER INC. 2009 4 th Quarter Results Exhibit 99.2
Slide 2: Forward-Looking Statement
2 Manpower Inc. 2009 4 th Quarter Results This presentation includes forward-looking statements, including earnings projections and the timing, completion and results of the proposed transaction, which are subject to risks and uncertainties. Actual results might differ materially from those projecte
Slide 3: Q4 Highlights: Consolidated Financial Highlights
3 Manpower Inc. 2009 4 th Quarter Results (1) Excludes non-recurring items for 2009 and 2008 as set forth on page 15. 90% CC 4% 12% CC bps Operating Profit $43M OP Margin 1.0% Revenue $4.4B Gross Margin 17.1% EPS $.37 bps 62% 71% 75% CC Q4 Highlights Throughout this presentation, the difference betw
Slide 4: Consolidated Gross Margin Change
4 Manpower Inc. 2009 4 th Quarter Results Consolidated Gross Margin Change Impact of Non-recurring Items = - 1.4%
Slide 5: Americas Segment Q4 Financial Highlights
5 Manpower Inc. 2009 4 th Quarter Results 1% CC (1) Included in these amounts is the US, which had revenue of $436M (-6%) and OUP of $(5M). (2) Excludes the impact of the reorganization charges of $1.3M in 2009 and $3.0M in 2008. 1% CC 0% Excluding Non -recurring Items Americas Segment (16% of Reven
Slide 6: Americas - Q4 Revenue Growth YoY
6 Manpower Inc. 2009 4 th Quarter Results Americas - Q4 Revenue Growth YoY Revenue Growth - CC Revenue Growth % of Segment Revenue 61% 14% 8% 17% (1) (1) On an organic basis, US revenue decreased 8% in USD.
Slide 7: France Segment Q4 Financial Highlights
7 Manpower Inc. 2009 4 th Quarter Results France Segment (29% of Revenue) Q4 Financial Highlights OUP Margin 0.4% Revenue $1.3B OUP $5M 3% 14% CC bps 80% 82% CC (1) Excludes the impact of $4.7M of reorganization charges in 2009, and the business tax refund of $48.2M, the payroll tax adjustment of $1
Slide 8: EMEA Segment Q4 Financial Highlights
8 Manpower Inc. 2009 4 th Quarter Results Excluding Non -recurring Items EMEA Segment (40% of Revenue) Q4 Financial Highlights OUP Margin 2.1% Revenue $1.7B OUP $36M 7% 15% CC bps 48% 54% CC As Reported 7% 15% CC bps 41% 47% CC (2) (1) Included in these amounts is Italy, which had revenue of $269M (
Slide 9: EMEA - Q4 Revenue Growth YoY
9 Manpower Inc. 2009 4 th Quarter Results EMEA - Q4 Revenue Growth YoY Revenue Growth - CC Revenue Growth % of Segment Revenue 15% 14% 13% 11% 10% 6% 22% 9%
Slide 10: Asia Pacific Segment Q4 Financial Highlights
10 Manpower Inc. 2009 4 th Quarter Results 4% 6% CC (1) Excludes the impact of the reorganization charges of $0.4M in 2009 and $0.8M in 2008. Excluding Non -recurring Items Asia Pacific Segment (11% of Revenue) Q4 Financial Highlights OUP Margin 1.5% Revenue $469M OUP $7M bps As Reported 4% 6% CC bp
Slide 11: Asia Pacific - Q4 Revenue Growth YoY
11 Manpower Inc. 2009 4 th Quarter Results Asia Pacific - Q4 Revenue Growth YoY Revenue Growth - CC Revenue Growth % of Segment Revenue 55% 22% 23%
Slide 12: Right Management Segment Q4 Financial Highlights
12 Manpower Inc. 2009 4 th Quarter Results Right Management Segment (3% of Revenue) Q4 Financial Highlights OUP Margin 16.0% Revenue $130M OUP $21M 5% 1% CC bps 12% 6% CC (1) Excludes the impact of the reorganization charges of $1.5M in 2008. As Reported 5% 1% CC bps 22% 16% CC (1) Excluding Non -re
Slide 13: Jefferson Wells Segment Q4 Financial Highlights
13 Manpower Inc. 2009 4 th Quarter Results Excluding Non -recurring Items Jefferson Wells Segment (1% of Revenue) Q4 Financial Highlights OUP Margin - 8.6% Revenue $43M OUP $(4M) 32% bps N/A As Reported 32% 1300 bps N/A (1) (1) Excludes the impact of the reorganization charges of $7.8M in 2008.
Slide 14: Financial Highlights
14 Manpower Inc. 2009 4 th Quarter Results Financial Highlights
Slide 15: Q4 Non-recurring Items
15 Manpower Inc. 2009 4 th Quarter Results Q4 Non-recurring Items ($ in millions, except per share amounts)
Slide 16: Full Year Non-recurring Items
16 Manpower Inc. 2009 4 th Quarter Results Full Year Non-recurring Items ($ in millions, except per share amounts) (1) Reorganization expense was $6.9M pretax in Q1($0.06 per share), $13.0M in Q2 ($0.11 per share), $0.9M in Q3 ($0.01 per share) and $12.7M in Q4 ($0.11 per share). (1)
Slide 17: Cash Flow Summary - Full Year
17 Manpower Inc. 2009 4 th Quarter Results Other (26) Change in Cash (39) Cash Flow Summary - Full Year 2009 2008 Cash from Operations Capital Expenditures (35) (93) Free Cash Flow Share Repurchases - (125) Change in Debt (22) ($ in millions) Effect of Exchange Rate Changes (35) Acquisitions of Busi
Slide 18: Balance Sheet Highlights
18 Manpower Inc. 2009 4 th Quarter Results 2009 Balance Sheet Highlights Total Debt ($ in millions) Total Debt to Total Capitalization Total Debt Net Debt 2009
Slide 19: Credit Facilities as of December 31, 2009
19 Manpower Inc. 2009 4 th Quarter Results Credit Facilities as of December 31, 2009 ($ in millions) (a) (a) Effective October 16, 2009, we amended our Revolving Credit Agreement. The amendment reduces the size of the facility from $625M to $400M and revises covenant levels and pricing. The amended
Slide 20: First Quarter Outlook
20 Manpower Inc. 2009 4 th Quarter Results First Quarter Outlook Revenue Up 9-11% (Up 0-2% CC) Total Gross Profit Margin 16.8-17.0% Operating Profit Margin (0.2) - 0.2% Tax Rate 40% EPS Loss of $0.05-$0.15 (Pos. $.03 Currency) Americas Up 17-19% France Up 13-15% (Up 5-7% CC) Up 8-10% Asia Pacific (D
Slide 21: COMSYS Acquisition
COMSYS Acquisition 2010 February MANPOWER INC.
Slide 22: COMSYS Acquisition - Strategic Rationale
22 Manpower Inc. - COMSYS Acquisition Strategic Rationale • Increased capability to service clients’ IT requirements • Stronger platform in higher growth market • Enhances business mix, with over 20% of company revenue now coming from specialty services • Good cultural fit
Slide 23: COMSYS Business Overview
23 Manpower Inc. - COMSYS Acquisition COMSYS Business Overview • Third largest IT staffing and managed solutions company in the U.S. with $650 million in revenue – Project Management – Business Analysis – Network Infrastructure – Business Intelligence • National footprint with 52 branches • Diversif
Slide 24: Combined Business
24 Manpower Inc. - COMSYS Acquisition Combined Business • Combined revenue of Manpower Professional and COMSYS will be over $2.5 billion • Combined number of contractors on assignment daily will be over 25,000 • Combined footprint will be 400 offices • Combined MSP offering will be total flow throug
Slide 25: COMSYS Acquisition - Forecast
25 Manpower Inc. - COMSYS Acquisition (1) Forecast based upon management guidance issued January 6, 2010. (2) Excludes one-time items. (1) (1) (6.0%) (6.3%) (6.8%) (6.0%) (4.0%) (2)
Slide 26: Acquisition Summary: Price and Equity Value
26 Manpower Inc. - COMSYS Acquisition Acquisition Summary • Purchase Price: $17.65 per share • Equity Value: $378 million, including net settlement of stock options, restricted stock and warrants • Debt Retired: $53 million, net debt outstanding as of January 31, 2010
Slide 27: Acquisition Summary: Consideration and Timing
27 Manpower Inc. - COMSYS Acquisition Acquisition Summary • Consideration: 50% stock / 50% cash, with option to pay all cash • Tender Offer: Expected to commence March 2010 • Expected Closing: April 2010 • Approvals: Normal regulatory
Slide 28: Acquisition Summary: Synergies and EPS Accretion
28 Manpower Inc. - COMSYS Acquisition Acquisition Summary • Synergies: $20 million (3% of revenue) by 2011 • Tax NOL: $35 million (NPV) tax shelter utilized over next 10 years • Integration Costs: $18 million • EPS Accretive: 10 cents accretive in 2010 excluding intangible amortization
Slide 29: Questions? Answers
Manpower Inc. Questions? Answers