Current Report


 

 

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 8-K

CURRENT REPORT

Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported): July 18, 2008

MANPOWER INC.

(Exact name of registrant as specified in its charter)

 

Wisconsin   1-10686   39-1672779

(State or other jurisdiction

of incorporation)

 

(Commission

File Number)

 

(IRS Employer

Identification No.)

 

100 Manpower Place
Milwaukee, Wisconsin
  53212
(Address of principal executive offices)   (Zip Code)

Registrant’s telephone number, including area code: (414) 961-1000

Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

 

¨ Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)

 

¨ Soliciting material pursuant to Rule 14a-12 under the Securities Act (17 CFR 240.14a-12)

 

¨ Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))

 

¨ Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))

 

 

 


Item 2.02 Results of Operations and Financial Condition

On July 18, 2008, we issued a press release announcing our results of operations for the three- and six- month periods ended June 30, 2008. A copy of the press release is attached hereto as Exhibit 99.1 and is incorporated herein by reference.

 

Item 9.01. Exhibits.

 

Exhibit No.

  

Description

99.1    Press Release dated July 18, 2008
99.2    Presentation materials for July 18, 2008 conference call


SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this Report to be signed on its behalf by the undersigned hereunto duly authorized.

 

    MANPOWER INC.
Dated: July 18, 2008     By:   /s/ Michael J. Van Handel
        Michael J. Van Handel
       

Executive Vice President and

Chief Financial Officer


EXHIBIT INDEX

 

Exhibit No.

  

Description

99.1    Press Release dated July 18, 2008
99.2    Presentation materials for July 18, 2008 conference call

Exhibit 99.1

LOGO

 

FOR IMMEDIATE RELEASE    Contact:
  

Mike Van Handel

Manpower Inc.

+1.414.906.6305

michael.vanhandel@manpower.com

Manpower Reports 2 ND Quarter and First Half 2008 Results

MILWAUKEE, WI, USA, July 18, 2008 – Manpower Inc. (NYSE: MAN) today reported that earnings per diluted share for the three months ended June 30, 2008 were $1.34 compared to $1.86 in the prior year period. Net earnings in the quarter were $107.4 million compared to $160.4 million a year earlier. Revenues for the second quarter were $5.9 billion, an increase of 17 percent from the year earlier period.

Second quarter 2008 results include a net charge of $14.8 million after tax, or 18 cents per diluted share. This net charge is comprised of income of $35.2 million after tax, or 44 cents per diluted share, related to recoverable 2005 payroll taxes in France, offset by a charge of $50.0 million after tax, or 62 cents per diluted share, related to an increase in our legal reserve pertaining to allegations by the French Competition Council. Second quarter results were also favorably impacted by 21 cents per diluted share as foreign currencies were relatively stronger compared to the second quarter of 2007. On a constant currency basis, revenues increased 5% over the prior year period.

Second quarter 2007 results were favorably impacted $57.2 million after tax, or 66 cents per diluted share, as a result of a change in the calculation of French payroll taxes for 2006 and the first half of 2007.

Jeffrey A. Joerres, Manpower Inc. Chairman and Chief Executive Officer, said, “Despite a more difficult economic environment, the Manpower team performed well in the second quarter, supported by our geographically balanced portfolio of services. We were able to increase our revenues to record levels, contributed primarily by many of our major European countries. At the same time, we have experienced some stabilization in the U.S. operations. Right Management, our career transition and organizational consulting business, is doing well and continues to add strategic value to our clients. Although the economic environment has softened, we are confident that we are well-positioned and well-equipped to maximize the opportunities that typically come with economic downturns.


“We are anticipating the third quarter of 2008 diluted earnings per share to be in the range of $1.45 to $1.49, which includes an estimated favorable currency impact of 17 cents,” Joerres stated.

Earnings per diluted share for the six months ended June 30, 2008 were $2.27 compared to $2.54 per diluted share in 2007. Net earnings were $182.9 million compared to $219.9 million in the prior year. Revenues for the six-month period were $11.3 billion, an increase of 18 percent from the prior year or 6 percent in constant currency. Foreign currency exchange rates had a favorable impact of 36 cents for the six-month period.

In conjunction with its second quarter earnings release, Manpower will broadcast its conference call live over the Internet on July 18, 2008 at 7:30 a.m. CDT (8:30 a.m. EDT). Interested parties are invited to listen to the webcast and view the presentation by logging on to http://investor.manpower.com.

Supplemental financial information referenced in the conference call can be found at http://investor.manpower.com.

About Manpower Inc.

Manpower Inc. (NYSE: MAN) is a world leader in the employment services industry; creating and delivering services that enable its clients to win in the changing world of work. Celebrating its 60th anniversary in 2008, the $21 billion company offers employers a range of services for the entire employment and business cycle including permanent, temporary and contract recruitment; employee assessment and selection; training; outplacement; outsourcing and consulting. Manpower’s worldwide network of 4,500 offices in 80 countries and territories enables the company to meet the needs of its 400,000 clients per year, including small and medium size enterprises in all industry sectors, as well as the world’s largest multinational corporations. The focus of Manpower’s work is on raising productivity through improved quality, efficiency and cost-reduction across their total workforce, enabling clients to concentrate on their core business activities. Manpower Inc. operates under five brands: Manpower, Manpower Professional, Elan, Jefferson Wells and Right Management. More information on Manpower Inc. is available at www.manpower.com .

Forward-Looking Statements

This news release contains statements, including earnings projections, that are forward-looking in nature and, accordingly, are subject to risks and uncertainties regarding the Company’s expected future results. The Company’s actual results may differ materially from those described or contemplated in the forward-looking statements. Factors that may cause the Company’s actual results to differ materially from those contained in the forward-looking statements can be found in the Company’s reports filed with the SEC, including the information under the heading ‘Risk Factors’ in its Annual Report on Form 10-K for the year ended December 31, 2007, which information is incorporated herein by reference.

- ### -


Manpower Inc.

Results of Operations

(In millions, except per share data)

 

     Three Months Ended June 30  
               % Variance  
               Amount     Constant  
     2008    2007    Reported     Currency  
     (Unaudited)  

Revenues from services (a)

   $ 5,904.9    $ 5,034.4    17.3 %   5.4 %

Cost of services

     4,751.3      4,010.3    18.5 %  
                  

Gross profit

     1,153.6      1,024.1    12.6 %   1.3 %

Selling and administrative expenses

     946.3      747.1    26.7 %   14.7 %
                  

Operating profit

     207.3      277.0    -25.2 %   -34.9 %

Interest and other expenses

     13.9      7.7    77.4 %  
                  

Earnings before income taxes

     193.4      269.3    -28.2 %   -38.3 %

Provision for income taxes

     86.0      108.9    -21.0 %  
                  

Net earnings

   $ 107.4    $ 160.4    -33.0 %   -42.5 %
                  

Net earnings per share - basic

   $ 1.36    $ 1.90    -28.4 %  
                  

Net earnings per share - diluted

   $ 1.34    $ 1.86    -28.0 %   -38.2 %
                  

Weighted average shares - basic

     79.2      84.4    -6.2 %  
                  

Weighted average shares - diluted

     80.3      86.2    -6.8 %  
                  

 

(a) Revenues from services include fees received from our franchise offices of $8.3 million and $9.0 million for the three months ended June 30, 2008 and 2007, respectively. These fees are primarily based on revenues generated by the franchise offices which were $325.4 million and $361.8 million for the three months ended ended June 30, 2008 and 2007, respectively.


Manpower Inc.

Operating Unit Results

(In millions)

 

     Three Months Ended June 30  
                % Variance  
                Amount     Constant  
     2008     2007    Reported     Currency  
     (Unaudited)  

Revenues from Services:

         

United States (a)

   $ 491.6     $ 488.6    0.6 %   0.6 %

France

     1,958.1       1,784.9    9.7 %   -5.4 %

Other EMEA

     2,050.7       1,582.0    29.6 %   17.6 %

Italy

     441.4       353.8    24.8 %   7.6 %

Jefferson Wells

     75.8       83.8    -9.6 %   -9.6 %

Right Management

     115.7       105.8    9.4 %   4.1 %

Other Operations

     771.6       635.5    21.5 %   9.9 %
                   
   $ 5,904.9     $ 5,034.4    17.3 %   5.4 %
                   

Operating Unit Profit:

         

United States

   $ 14.8     $ 26.1    -43.3 %   -43.3 %

France

     69.8       163.7    -57.3 %   -63.2 %

Other EMEA

     85.1       55.7    53.0 %   36.0 %

Italy

     37.6       29.1    29.3 %   11.6 %

Jefferson Wells

     (1.6 )     1.1    N/A     N/A  

Right Management

     13.3       11.0    21.3 %   15.5 %

Other Operations

     16.6       15.0    9.4 %   -4.5 %
                   
     235.6       301.7     

Corporate expenses

     25.0       21.4     

Amortization of intangible assets

     3.3       3.3     
                   

Operating profit

     207.3       277.0    -25.2 %   -34.9 %

Interest and other expenses (b)

     13.9       7.7     
                   

Earnings before income taxes

   $ 193.4     $ 269.3     
                   

 

(a) In the United States, revenues from services include fees received from our franchise offices of $4.7 million and $6.5 million for the three months ended June 30, 2008 and 2007, respectively. These fees are primarily based on revenues generated by the franchise offices, which were $214.6 million and $278.5 million for the three months ended June 30, 2008 and 2007, respectively.

 

(b) The components of interest and other expenses were:

 

     2008     2007  

Interest expense

   $ 17.1     $ 13.1  

Interest income

     (6.0 )     (6.2 )

Foreign exchange losses

     0.4       0.1  

Miscellaneous expenses, net

     2.4       0.7  
                
   $ 13.9     $ 7.7  
                


Manpower Inc.

Results of Operations

(In millions, except per share data)

 

     Six Months Ended June 30  
               % Variance  
               Amount     Constant  
     2008    2007    Reported     Currency  
     (Unaudited)  

Revenues from services (a)

   $ 11,291.5    $ 9,570.0    18.0 %   6.4 %

Cost of services

     9,170.2      7,745.9    18.4 %  
                  

Gross profit

     2,121.3      1,824.1    16.3 %   5.0 %

Selling and administrative expenses

     1,782.0      1,443.8    23.4 %   12.3 %
                  

Operating profit

     339.3      380.3    -10.8 %   -22.5 %

Interest and other expenses

     25.2      17.3    44.8 %  
                  

Earnings before income taxes

     314.1      363.0    -13.5 %   -25.9 %

Provision for income taxes

     131.2      143.1    -8.3 %  
                  

Net earnings

   $ 182.9    $ 219.9    -16.8 %   -28.8 %
                  

Net earnings per share - basic

   $ 2.31    $ 2.60    -11.2 %  
                  

Net earnings per share - diluted

   $ 2.27    $ 2.54    -10.6 %   -23.2 %
                  

Weighted average shares - basic

     79.3      84.6    -6.3 %  
                  

Weighted average shares - diluted

     80.4      86.5    -7.0 %  
                  

 

(a) Revenues from services include fees received from our franchise offices of $15.6 million and $17.4 million for the six months ended June 30, 2008 and 2007. These fees are primarily based on revenues generated by the franchise offices, which were $629.4 million and $724.2 million for the six months ended June 30, 2008 and 2007, respectively.


Manpower Inc.

Operating Unit Results

(In millions)

 

     Six Months Ended June 30  
                % Variance  
                Amount     Constant  
     2008     2007    Reported     Currency  
     (Unaudited)  

Revenues from Services:

         

United States (a)

   $ 963.1     $ 972.2    -0.9 %   -0.9 %

France

     3,692.1       3,277.9    12.6 %   -2.2 %

Other EMEA

     3,904.4       3,058.4    27.7 %   16.1 %

Italy

     842.6       658.6    27.9 %   11.0 %

Jefferson Wells

     153.2       165.1    -7.2 %   -7.2 %

Right Management

     219.0       199.7    9.7 %   4.3 %

Other Operations

     1,517.1       1,238.1    22.5 %   10.8 %
                   
   $ 11,291.5     $ 9,570.0    18.0 %   6.4 %
                   

Operating Unit Profit:

         

United States

   $ 22.0     $ 37.6    -41.6 %   -41.6 %

France

     123.8       207.6    -40.3 %   -48.3 %

Other EMEA

     132.8       92.4    43.8 %   28.5 %

Italy

     66.7       45.5    46.5 %   27.1 %

Jefferson Wells

     (4.2 )     2.1    N/A     N/A  

Right Management

     20.0       17.1    16.8 %   13.3 %

Other Operations

     37.9       27.8    36.1 %   20.1 %
                   
     399.0       430.1     

Corporate expenses

     53.2       43.3     

Amortization of intangible assets

     6.5       6.5     
                   

Operating profit

     339.3       380.3    -10.8 %   -22.5 %

Interest and other expenses (b)

     25.2       17.3     
                   

Earnings before income taxes

   $ 314.1     $ 363.0     
                   

 

(a) In the United States, revenues from services include fees received from our franchise offices of $9.3 million and $11.8 million for the six months ended June 30, 2008 and 2007, respectively. These fees are primarily based on revenues generated by the franchise offices, which were $427.3 million and $547.6 million for the six months ended June 30, 2008 and 2007, respectively.

 

(b) The components of interest and other expenses were:

 

     2008     2007  

Interest expense

   $ 32.7     $ 25.1  

Interest income

     (11.1 )     (11.2 )

Foreign exchange (gain) loss

     (1.5 )     0.2  

Miscellaneous expenses, net

     5.1       3.2  
                
   $ 25.2     $ 17.3  
                


Manpower Inc.

Consolidated Balance Sheets

(In millions)

 

     Jun. 30
2008
    Dec. 31
2007
 
     (Unaudited)  

ASSETS

    

Current assets:

    

Cash and cash equivalents

   $ 561.3     $ 537.5  

Accounts receivable, net

     4,857.6       4,478.8  

Prepaid expenses and other assets

     150.4       122.2  

Future income tax benefits

     76.7       76.3  
                

Total current assets

     5,646.0       5,214.8  

Other assets:

    

Goodwill and other intangible assets, net

     1,602.3       1,410.7  

Other assets

     398.2       377.7  
                

Total other assets

     2,000.5       1,788.4  

Property and equipment:

    

Land, buildings, leasehold improvements and equipment

     842.7       760.8  

Less: accumulated depreciation and amortization

     601.7       539.6  
                

Net property and equipment

     241.0       221.2  
                

Total assets

   $ 7,887.5     $ 7,224.4  
                

LIABILITIES AND SHAREHOLDERS’ EQUITY

    

Current liabilities:

    

Accounts payable

   $ 1,208.3     $ 1,014.4  

Employee compensation payable

     217.7       213.6  

Accrued liabilities

     726.1       679.4  

Accrued payroll taxes and insurance

     739.1       724.7  

Value added taxes payable

     630.1       583.7  

Short-term borrowings and current maturities of long-term debt

     69.3       39.7  
                

Total current liabilities

     3,590.6       3,255.5  

Other liabilities:

    

Long-term debt

     944.5       874.8  

Other long-term liabilities

     448.3       424.8  
                

Total other liabilities

     1,392.8       1,299.6  

Shareholders’ equity:

    

Common stock

     1.0       1.0  

Capital in excess of par value

     2,505.7       2,481.8  

Retained earnings

     1,194.0       1,040.3  

Accumulated other comprehensive income

     356.8       257.6  

Treasury stock, at cost

     (1,153.4 )     (1,111.4 )
                

Total shareholders’ equity

     2,904.1       2,669.3  
                

Total liabilities and shareholders’ equity

   $ 7,887.5     $ 7,224.4  
                


Manpower Inc.

Consolidated Statements of Cash Flows

(In millions)

 

     Six Months Ended
Jun. 30
 
     2008     2007  
     (Unaudited)  

Cash Flows from Operating Activities:

    

Net earnings

   $ 182.9     $ 219.9  

Adjustments to reconcile net earnings to net cash provided by operating activities:

    

Depreciation and amortization

     53.4       44.1  

Deferred income taxes

     8.7       41.8  

Provision for doubtful accounts

     8.4       8.8  

Share-based compensation

     14.3       11.8  

Excess tax benefit on exercise of stock options

     (0.1 )     (5.4 )

Changes in operating assets and liabilities, excluding the impact of acquisitions:

    

Accounts receivable

     (75.8 )     (296.2 )

Other assets

     (6.1 )     (42.9 )

Other liabilities

     78.3       159.4  
                

Cash provided by operating activities

     264.0       141.3  
                

Cash Flows from Investing Activities:

    

Capital expenditures

     (51.4 )     (41.8 )

Acquisitions of businesses, net of cash acquired

     (193.7 )     (18.1 )

Proceeds from the sale of property and equipment

     4.4       5.0  
                

Cash used by investing activities

     (240.7 )     (54.9 )
                

Cash Flows from Financing Activities:

    

Net borrowings of short-term facilities and long-term debt

     26.0       3.0  

Proceeds from stock option and purchase plans

     11.1       31.7  

Excess tax benefit on exercise of stock options

     0.1       5.4  

Repurchases of common stock

     (52.7 )     (89.0 )

Dividends paid

     (29.2 )     (27.1 )
                

Cash used by financing activities

     (44.7 )     (76.0 )
                

Effect of exchange rate changes on cash

     45.2       12.5  
                

Change in cash and cash equivalents

     23.8       22.9  

Cash and cash equivalents, beginning of period

     537.5       687.9  
                

Cash and cash equivalents, end of period

   $ 561.3     $ 710.8  
                
MANPOWER INC.
2008 2
QUARTER RESULTS
JULY 18, 2008
Exhibit 99.2
nd


2
Manpower Inc. 2008 2    Quarter Results
nd
Forward Looking Statement
This
presentation
includes
forward-looking
statements
which
are
subject
to
risks
and
uncertainties.
Actual
results
might
differ
materially
from
those
projected
in
the
forward-looking
statements.
Forward-looking
statements
can
be
identified
by
words
such
as
“expect,”
“plan,”
“may,”
“will,”
and
similar
expressions.
Additional
information
concerning
factors
that
could
cause
actual
results
to
materially
differ
from
those
in
the
forward-looking
statements
is
contained
in
the
Company’s
Annual
Report
on
Form
10-K
dated
December
31,
2007,
which
information
is
incorporated
herein
by
reference,
and
such
other
factors
as
may
be
described
from
time
to
time
in
the
Company’s
SEC
filings.


3
Manpower Inc. 2008 2    Quarter Results
nd
38% CC
Operating Profit
$207M
OP Margin
3.5%
Revenue
$5.9B
Gross Margin
19.5%
EPS $1.34
17%
5% CC
80 bps
200 bps
28%
25%
35% CC
Q2 Highlights
Throughout this presentation, the difference between reported variances and Constant Currency (CC) variances
represents the impact of currency on our financial results. Constant Currency is further explained on our Web site.
Consolidated Financial Highlights
(1)
Excludes the impact of the French payroll tax change from both years, and the French legal
reserve in 2008.
As
Reported
9% CC
17%
5% CC
55 bps
0 bps
27%
17%
2% CC
Excluding
Non-recurring
Items
(1)


4
Manpower Inc. 2008 2    Quarter Results
nd
19.54%
20.34%
15%
17%
19%
21%
Q2 2007
Decrease in
Impact of
Payroll Tax
Changes
Temporary
Recruitment
Permanent
Recruitment
Mix -
Specialty
Q2 2008
- 0.20%
+ 0.47%
+ 0.28%
- 1.35%
Consolidated Gross Profit Margin Change


5
Manpower Inc. 2008 2    Quarter Results
nd
United States Segment
(8% of Revenue)
Q2 Financial Highlights
1%
OUP Margin
3.0%
230 bps
Revenue
$492M
OUP
$15M
43%
Operating
Unit
Profit
(OUP)
is
the
measure
that
we
use
to
evaluate
segment
performance.
OUP
is
equal
to
segment
revenues
less
direct
costs
and
branch
and
national
headquarters
operating
costs.
(1)
The results above include the impact of acquisitions.  On an organic basis, revenue decreased 9%.
(1)


6
Manpower Inc. 2008 2    Quarter Results
nd
France Segment
(33% of Revenue)
Q2 Financial Highlights
OUP Margin
3.6%
Revenue
$2.0B
OUP
$70M
10%
5% CC
0 bps
9%
6% CC
(1)
Excludes the impact of the French payroll tax change from both years, and the French legal reserve in
2008.
As
Reported
10%
5% CC
560 bps
57%
63% CC
(1)
Excluding
Non-recurring
Items


7
Manpower Inc. 2008 2    Quarter Results
nd
Other EMEA Segment
(35% of Revenue)
Q2 Financial Highlights
OUP Margin
4.2%
Revenue
$2.1B
OUP
$85M
30%
18% CC
70 bps
53%
36% CC
(1)
(1)
The results above include the results of Vitae, which was acquired in April 2008.  On an organic basis,
revenue increased 27% in USD (15% in CC).
(1)


8
Manpower Inc. 2008 2    Quarter Results
nd
38%
25%
22%
-14%
31%
19%
10%
7%
42%
9%
0%
37%
52%
46%
Other
Spain
Netherlands
Germany
UK - Manpower
Elan
Nordics
Other EMEA –
Q2 Revenue Growth YoY
Revenue
Growth
-
CC
Revenue Growth
% of Segment
Revenue
20%
17%
13%
11%
10%
6%
23%
(1)
(1)
The
Netherlands
results
include
the
results
of
Vitae,
which
was
acquired
in
April
2008.
On
an
organic
basis,
revenue
increased
22%
in
USD
(5%
in
CC).


9
Manpower Inc. 2008 2    Quarter Results
nd
Italy Segment
(8% of Revenue)
Q2 Financial Highlights
OUP Margin
8.5%
Revenue
$441M
OUP
$38M
25%
8% CC
30 bps
29%
12% CC


10
Manpower Inc. 2008 2    Quarter Results
nd
Jefferson Wells Segment
(1% of Revenue)
Q2 Financial Highlights
OUP Margin
-
2.2%
Revenue
$76M
OUP
$(2M)
350 bps
10%
N/A


11
Manpower Inc. 2008 2    Quarter Results
nd
21%
16% CC
Right Management Segment
(2% of Revenue)
Q2 Financial Highlights
OUP Margin
11.5%
Revenue
$116M
OUP
$13M
9%
4% CC
110 bps


12
Manpower Inc. 2008 2    Quarter Results
nd
Other Operations Segment
(13% of Revenue)
Q2 Financial Highlights
OUP Margin
2.1%
Revenue
$772M
OUP
$17M
21%
10% CC
30 bps
9%
5% CC


13
Manpower Inc. 2008 2    Quarter Results
nd
29%
19%
10%
-1%
5%
15%
21%
12%
Other
Mexico
Australia/NZ
Japan
Other Operations –
Q2 Revenue Growth YoY
Revenue
Growth
-
CC
Revenue Growth
% of Segment
Revenue
34%
15%
14%
37%


14
Manpower Inc. 2008 2    Quarter Results
nd
Financial Highlights


15
Manpower Inc. 2008 2    Quarter Results
nd
2007
French
French
Payroll Tax
French
Payroll Tax
Change -
Legal
Change -
2005
Reserve
Total
2006-2007
Gross profit
53.7
$     
53.7
$     
114.0
$   
S&A expenses
(54.1)
      
(54.1)
      
14.7
       
Operating profit
53.7
       
(54.1)
      
(0.4)
        
99.3
       
Net earnings
35.2
       
(50.0)
      
(14.8)
      
57.2
       
Net earnings
per share - diluted
0.44
$     
(0.62)
$    
(0.18)
$    
0.66
$     
2008
Q2 Non-recurring Items
($ in millions, except per share amounts)


16
Manpower Inc. 2008 2    Quarter Results
nd
29%
26%
25%
26%
26%
26%
0%
10%
20%
30%
2004
2005
2006
2007
Q1 2008
Q2 2008
358
377
453
370
280
135
902
735
823
915
999
1,014
0
300
600
900
1,200
2004
2005
2006
2007
Q1 2008
Q2 2008
Balance Sheet Highlights
Total Debt
($ in millions)
Total Debt to
Total Capitalization
Total Debt
Net Debt


17
Manpower Inc. 2008 2    Quarter Results
nd
Other
21
Change in Cash
24
23
(10)
* 752,300 shares in 2008 and 1,214,800 shares in 2007. $11.5M of cash
paid in 2008 was for shares repurchased in 2007.
Cash Flow Summary –
First Half
2008
2007
Cash from Operations
264
141
Capital Expenditures
(51)
(41)
Free Cash Flow
213
100
Share Repurchases *
(53)
(89)
Change in Debt
(194)
3
($ in millions)
Proceeds from Equity Plans
11
37
Acquisitions of Businesses,
net of cash acquired
(18)  
26


18
Manpower Inc. 2008 2    Quarter Results
nd
Third Quarter Outlook
Revenue
U.S.
Up 7-9%
France
Up
4-6%
(Down 7-9% CC)
Up
21-23%
Italy
(Up 6-8% CC)
Jefferson Wells
Right Management
Up 8-10%
(Up 3-5% CC)
Other
Up 17-19%
(Up 5-7% CC)
Total
Up 13-15%
(Up 2-4% CC)
Gross Profit Margin
18.3-18.5%
Operating Profit Margin
3.2-3.4%
Tax Rate
36.0%
EPS
$1.45-$1.49
(Pos.
$.17
Currency)
Down 9-11%
Other EMEA
(Up 11-13% CC)
Up
22-24%


Manpower Inc.
2008 2
nd
Quarter Results
Questions?
Answers
July 18, 2008