Exhibit 99.2

 

 

Link to searchable text of slide shown above

 


 

 

Link to searchable text of slide shown above

 


 

 

Link to searchable text of slide shown above

 


 

 

Link to searchable text of slide shown above

 


 

 

Link to searchable text of slide shown above

 


 

 

Link to searchable text of slide shown above

 


 

 

Link to searchable text of slide shown above

 


 

 

Link to searchable text of slide shown above

 


 

 

Link to searchable text of slide shown above

 


 

 

Link to searchable text of slide shown above

 


 

 

Link to searchable text of slide shown above

 


 

 

Link to searchable text of slide shown above

 


 

Searchable text section of graphics shown above

 



 

[LOGO]

 

[LOGO]

 

CLP Resources, Inc.
Background Information

 

Labor Ready, Inc. (NYSE: LRW) to Acquire
CLP on May 27, 2005

 

1



 

Safe Harbor Statement

 

Cautionary Note about Forward-Looking Statements

 

Certain statements made by us in this presentation that are not historical facts or that relate to future plans, events or performances are forward-looking statements within the meaning of the federal securities laws. Our actual results may differ materially from those expressed in any forward-looking statements made by us. Forward-looking statements involve a number of risks and uncertainties including, but not limited to, the risks described in the Company’s press release which is also filed with these slides on a Form 8-K dated May 26, 2005 and the most recent 10-K and 10-Q filings. All forward-looking statements are qualified by those risk factors.

 

2



 

Company Overview

 

The premier platform to build the leading national player in the skilled trades staffing industry.

 

[LOGO]

 

 

Diversified
Revenue Base

 

Large Network of
Tradespeople

 

Experienced
Management Team

 

Significant Growth
Opportunities

 

3



 

Market Leader

 

CLP is one of the largest companies to focus exclusively on skilled trades staffing.

 

                  Pioneered the skilled trades staffing industry in 1987

 

                  50 branches in 20 states across the U.S.

 

                  4,500 active customers(1)

 

                  10,000 active Tradespeople(2)

 

CLP Geographic Reach

 

[GRAPHIC]

 


(1)                               Approximate number of customers served in 2004.

(2)                               Approximate number of Tradespeople employed in 2004.

 

4



 

Revenue Breakdown

 

CLP’s diversified client base helps mitigate downturns in any particular end-market.

 

Revenue by End Markets YTD September 2004

 

[CHART]

 

5



 

Customers

 

CLP provides skilled trades to commercial, high-end residential and industrial contractors, and facilities management companies.

 

                  4,500 active customers

 

                  No single customer accounts for more than 2% of revenue

 

                  Target customer: small to mid-sized contractors (10 to 250 employees)

 

                  Lack in-house staffing capabilities

 

                  Place a premium on skill quality

 

                  Experience fluctuations in project volume

 

                  Satisfied Clients: Over 37% of customers have at least four years of tenure with CLP

 

6



 

Recruiting and Workforce

 

CLP recruits talented skilled Tradespeople.

 

                  Valuable Proprietary Database – 40,000 Tradespeople tracked in recruiting database. More than 10,000 employed by CLP in 2004

 

                  Loyal Workforce – On average, almost 30% of Tradespeople have in excess of two years and over 50% have in excess of one year tenure with CLP

 

                  Skilled Tradespeople – Average wage rate of approximately $18.50 per hour

 

                  Semi-Skilled Labor – 33% of revenues with $12 per hour wage rates

 

Average Hourly Wages

 

[CHART]

 

7



 

Technology

 

CLP’s proprietary system enables management to monitor the business on a real-time basis.

 

                  Customer and worker contact history

 

                  Customer setup and approval

 

                  Job orders and worker assignments

 

                  Billing and payroll

 

                  Safety management

 

                  Customer service and satisfaction tracking

 

TempNet System

 

Contact History

Customer Setup

Job Orders

 

CSAT

Worker Assignments

Billing/Payroll

 

8



 

Experienced Management Team

 

CLP is led by a veteran management team with extensive experience in the staffing and construction industries.

 

Senior Management Team

 

Position

 

Functional
Experience
(years)

 

Tenure with
Company
(years)

 

Chief Executive Officer

 

37

 

6

 

Chief Financial Officer

 

29

 

5

 

VP of Sales and Marketing

 

30

 

5

 

VP of Human Resources

 

35

 

1

 

VP of New Markets

 

12

 

12

 

Division VP - Northwest

 

12

 

12

 

Division VP - Southwest

 

18

 

3

 

Division VP - East

 

16

 

1

 

 

9



 

Significant Growth Opportunities

 

CLP management is executing a strategy to build the dominant national player in the fragmented temporary skilled trades staffing industry.

 

Teaming up with Labor Ready

 

 

 

Diversification of
skilled trades
offerings

 

Expansion into
New Markets
where Labor
Ready already
has a presence

 

Cross-selling
Opportunities
with Labor
Ready’s 100,000
Construction
Customers

 

Recruiting
Potential of
Labor Ready’s
800+ Branch
Network and
600,000
Employees

 

 

 

 

 

 

 

 

 

 

 

Attractive
Industry

 

Construction is expected to be the only U.S. goods-producing industry with employment growth during the next 10 years (Bureau of Labor Statistics, 2012 Projections)

 

 

Attractive Industry Dynamics

 

10



 

Labor Ready and CLP – A Powerful Combination

 

[LOGO]

 

[LOGO]

 

Leading Supplier of Temporary Construction Labor

 

                  Turnkey Skilled Trades Staffing Leader – CLP’s strong brand and national footprint will position LRW to lead the temporary skilled trades staffing industry

 

                  Broadest Service Offering – Similar target customer profile creates opportunity to promote skilled trades and day labor to broader customer base

 

                  Dramatic Growth Potential – Labor Ready’s broad footprint will allow CLP to accelerate its U.S. growth plan and expand internationally

 

                  Recruiting Powerhouse – Equipped with proper screening tools, Labor Ready’s huge network of branch offices will be an invaluable source of Tradespeople for CLP

 

11



 

CLP’s 2005 Financial Impact

 

CLP’s results are expected to be accretive to Labor Ready’s earnings per share for 2005.

 

      CLP’s 2004 Audited Results

      Revenues: $114 Million

      Income from Operations: $6.7 Million

      Depreciation and Amortization: $0.8 Million

      EBITDA(2): $7.5 Million

 

      CLP’s 2005 Estimated Results (7 months: June – December) (1)

      Revenues: $80 Million

      Income from Operations: $4.0 Million

      Depreciation and Amortization: $2.0 Million

      EBITDA(2): $6.0 Million

 


(1) Preliminary and subject to change.

(2) EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) is a non-GAAP (Generally Accepted Accounting Principles) measure; our estimated EBITDA was derived by adding back depreciation and amortization to the line item Income from Operations that is presented in our financial statements that are prepared in accordance with GAAP.

 

12