ChoicePoint Acquires Pinkerton's Employee Screening Business
As a part of the agreement, Pinkerton has secured a five-year contract for ChoicePoint's pre-employment screening services. Additionally, Pinkerton will offer ChoicePoint products and services to customers and collaborate with ChoicePoint in the development of new assessment and screening services.
"When you hear the name Pinkerton, you think of a company with a long history of providing products to help make our world more secure," said Doug Curling, ChoicePoint chief operating officer. "Combining the experience and unique offerings of Pinkerton with the depth and breadth of ChoicePoint's data and products will be of tremendous value for our customers who need to make the right hiring decisions. We're especially pleased to have Pinkerton and Securitas as a customer and product development partner."
"Our partnership with ChoicePoint is in line with our strategic focus of creating centers of excellence regarding risk mitigation and investigation services," said Don Walker, chairman and chief executive officer of Pinkerton's. "Thanks to our relationship with ChoicePoint, we can sharpen our focus on our core security consulting services while maintaining the high quality pre-employment services we and our customers demand. We're very pleased to have formed a partnership with a company with a dedication to excellence like ChoicePoint and believe its investments in technology and new product development will provide even greater opportunities for our customers."
As part of the transaction, ChoicePoint will acquire all of the assets of Pinkerton Service Corporation's drug testing and pre-employment screening services, as well as two proprietary products -- Esteem(SM), a contributory database of retail employees who have admitted to workplace theft, and Stanton(R), an employee psychological testing product.
The transaction, to be accounted for as a purchase, is not expected to have a material impact on ChoicePoint's financial results and ChoicePoint does not expect the acquisition to be dilutive to earnings.
Since going public in 1997, ChoicePoint's share price has increased by more than 300% on a stock-split adjusted basis. Year 2000 annual revenue was $593.5 million with EBITDA, excluding merger costs, totaling $172.6 million. EPS, excluding merger costs and unusual items, were $1.02 in 2000 restated to reflect a 2001 stock split.
About Pinkerton
Pinkerton(R) was America's first private investigation firm, founded in 1850, and is the leading provider of security solutions, including uniformed security officers, consulting and investigations, business intelligence, security systems integration and employee selection services. The company lists more than 80 percent of the Fortune 1000 as its clients and has its U.S. headquarters in Chicago.
Pinkerton is a member of the Securitas Group, which is listed on the Swedish Stock Exchange. Securitas is a world leader in security with operations mainly in Europe and the USA. Securitas has annual revenues exceeding $6 billion USD and more than 210,000 employees.
About ChoicePoint
ChoicePoint is the leading provider of credential verification and identification services for making smarter decisions in today's fast-paced world. The Company serves the information needs of insurance, business, government and individual customers, including Fortune 1000 corporations, asset-based lenders and professional service providers, and federal, state and local governments. ChoicePoint is committed to the responsible use of information and the protection of personal privacy as fundamental planks of the Company's business model. For more information about ChoicePoint visit the Company's web site at www.choicepoint.net .
ChoicePoint is a registered trademark of ChoicePoint Asset Company. Pinkerton is a registered service mark and Esteem is a service mark of Pinkerton Service Corporation. Stanton is a registered trademark of Stanton Corporation.
SOURCE ChoicePoint Inc.