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Discontinued Operations and Divestitures
 3 Months Ended
Mar. 31, 2013
Discontinued Operations and Divestitures [Abstract]  
Discontinued Operations and Divestitures
13.   Discontinued Operations and Divestitures

CBIZ will divest (through sale or closure) business operations that do not contribute to the Company’s long-term objectives for growth, or that are not complementary to its target service offerings and markets. Divestitures are classified as discontinued operations provided they meet the criteria as provided in FASB ASC 205 “Presentation of Financial Statements – Discontinued Operations – Other Presentation Matters.”

Discontinued Operations

Gains from the sale of discontinued operations are recorded as “Gain on disposal of discontinued operations, net of tax”, in the accompanying consolidated statements of comprehensive income. In addition, proceeds that are contingent upon a divested operation’s actual future performance are recorded as “Gain on disposal of discontinued operations, net of tax” in the period they are earned. During the first quarters of 2013 and 2012, CBIZ did not discontinue the operations of any of its businesses and did not sell any operations. Gains recorded in the first quarters of 2013 and 2012 related to contingent proceeds on sales of discontinued operations that occurred in prior periods.

Revenue and results from operations of discontinued operations for the three months ended March 31, 2013 and 2012 are separately reported as “Loss from operations of discontinued operations, net of tax” in the consolidated statements of comprehensive income and were as follows (in thousands):

 

                 
    Three Months Ended
March 31,		  
    2013     2012  

Revenue

   $ —       $ —    
   

 

 

    

 

 

  

Loss from operations of discontinued operations, before income tax benefit

   $ (5 )    $ (6 ) 

Income tax benefit

     2       2  
   

 

 

    

 

 

  

Loss from operations of discontinued operations, net of tax

   $ (3 )    $ (4 ) 
   

 

 

    

 

 

  

 

For the three months ended March 31, 2013 and 2012, gain on the disposal of discontinued operations was as follows (in thousands):

 

                 
    Three Months Ended
March 31,		  
    2013     2012  

Gain on disposal of discontinued operations, before income tax expense

   $ 36     $ 35  

Income tax expense

     13       13  
   

 

 

    

 

 

  

Gain on disposal of discontinued operations, net of tax

   $ 23     $ 22  
   

 

 

    

 

 

  

At March 31, 2013 and December 31, 2012, the assets and liabilities of businesses classified as discontinued operations consisted of the following (in thousands):

 

                 
    March 31,     December 31,  
    2013     2012  

Assets:

                

Other current assets

   $ 240     $ 267  

Liabilities:

                

Other current liabilities

   $ 170     $ 173  

Divestitures

Gains and losses from divested operations and assets that do not qualify for treatment as discontinued operations are recorded as “Gain on sale of operations, net” in the consolidated statements of comprehensive income. During the first quarter of 2012, CBIZ recognized a contingent gain of $2.5 million from the 2011 sale of its individual wealth management business and gains of $0.1 million from the sales of client lists. Cash proceeds from the sales totaled approximately $1.0 million.