ManpowerGroup 2003 Annual Report Download

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N MARTINO BUON A
MENIE, NE THERLANDS EL D
ARGENTINA AN DOVER, UK PIT
SARONNO, ITALY CH ATHA
ANDS MAROOCHY DO
USA CAMPECHE, MEXIC O ALES
BAREUIL, FRANCE CERNAY, FRANC
ANDS MONTIGNY-LE-BRETONNEUX,
LY ANT WERPEN, BELGIUM BEAVERCREEK,
L CAEN VAU CELLES, FRANCE VILLIERS-LE-BEL, FRAN
CHAUX-DE-FONDS, S WITZERLAND AUE, GERMANY CHATEAUBOURG, FR
NCE MANJIMUP, AU STRALIA CERGY, FRANCE ENGHIEN LES BA INS, F
OMTE, FRANCE COL UMBUS, USA ILLKIRCH-GRAFFENSTADEN, FRANCE S
N CAEN CHÂTEAU, FRA NCE CARTAGENA, COLOMBIA APPLETON, USA VAL
ELLEVOETSLUIS, NETHERLANDS REDHILL, UK CHARLEROI, BELGIUM AR
LY NOYON, FRANCE SANT CUGAT DEL VALLÈS, SPAIN M
N-YVE LI NES, FRANCE FUKUOKA, JAPAN TANDÍL, ARGENT
W INDSOR, ONTARIO, CANADA VIENNA, AUSTRIA
RANC E OKAYAMA, JAPAN COVINGTON, USA MANTA,
ERMANY AL GECIRAS, SPAIN HAMMERSMITH, UK RUMIL
UK SED AN, FRA N CE ALBI, FRANCE PALAISEAU, FRANC
/MAIN, GERMAN Y VAL LADOLID, SPA IN
WORM S, GERMA NY REIMS, FRANCE LIV
LES DURANCE, FR ANCE THIENE, ITALY BEAU
TOURNUS, FRANCE HARROGATE, UK P
D SAINT-MEEN-LE-GRAND, FRANCE Z
X, FRANCE AJKA, HUNGARY ALTAM IR
RANCE DINAN, FRANCE BRANDEN
UDE, FRANCE MAUREPAS, FRANC
ILLE ESCARBOTIN, FRANCE MAN
WEDEN PEMBROKE, UK SAIN
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ALTON, USA DONCAS
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MANY BAUME LES
DA MES, FR
ANCE RAM OS
MEJI A, ARGE NTINA C HAR
LOT TE, U SA EVRY, F RANCE CARVIN, FRANC
E A BBEVILLE, FRANCE PERISTERI, GREECE KIN
GSTON, ONTARIO, CANADA OLDENBURG, GE
RMANY CERDANYOLA, SPAIN ISBERGUES, FRANCE EAU
CLAIRE, USA BRUMATH, FRANCE VESOUL, FRANCE CASTRES,
FRANCE LUGO, SPAIN SANTA CRUZ DE TENERIFE, SPAIN TAKASA
KI, JAPAN AUBURN, USA CHAUNY, FRANCE PUSAN, KOREA SAINT-CH
AMOND, FRANCE SAINT-MAUR-DES-FOSSES, FRANCE BINGHAMTON,
USA VIMERCATE, ITALY PONT-SAINTE-MAXENCE, FRANCE SENDAI, JAP AN RO
STOCK, GERMANY DEFIANCE, USA BOGOTÁ, COLOMBIA UITHOORN, NE THERLAND S
MONTREUIL, FRANCE CREPY-EN-VALOIS, FRANCE OLTEN, SWITZERLAND KOLIN, CZECH REPUBL
IC EPINAL, FRANCE RIVAROLO CANAVESE, ITALY MOLSHEIM CEDEX, FRANCE CHAMPIGNY-SUR-MARNE, FR
ANCE SHERBROOKE, QUEBEC, CANADA CASALE MONFERRATO, ITALY CAUDRY, FRANCE REMIREMONT, F
RANCE MONACO, MONACO CASABLANCA, MOROCCO KASSEL, GERMANY ELKHART, USA MURET, FRAN
CE TOYAMA, JAPAN WAKEFIELD, UK CASSINO, ITALY WATERFORD, IRELAND LEIDSCHENDAM, NETHE
RLANDS MUNICH SCHWABING, GERMANY ETAMPES, FRANCE VENISSIEUX, FRANCE KRAYOT, ISR
AEL KAISERSLAUTERN, GERMANY CHAMBLY, FRANCE MONTLUCON, FRANCE CHATEAUBRIA
NT, FRANCE TOURS, FRANCE RAON-L'ETAPE, FRANCE MIRANDOLA, ITALY SUNDSVALL, SW
EDEN FRANKFURT/MAIN CITY, GERMANY PONT-DE-CHERUY, FRANCE BERLIN-NEUKÖL
LN, GERMANY HONFLEUR CEDEX, FRANCE PLAISIR, FRANCE MONTPELLIER, FRANC
E CLICHY, FRANCE ANGERS, FRANCE TASSIN-LA-DEMI-LUNE, FRANCE HILVERS
UM, NETHERLANDS POZA RICA, MEXICO LAUSANNE, SWITZERLAND BAR
BERÀ DEL VALLÈS, SPAIN NOISY-LE-GRAND, FRANCE CONCORDIA, AR
GENTINA BRAINE-L'ALLEUD, BELGIUM CANCÚN, MEXICO TEGUCIGA
LPA, HONDURAS ELANCOURT, FRANCE BENTONVILLE, USA MÁLAG
A, SPAIN SAUMUR, FRANCE FOSSANO, ITALY DIGOIN, FRANCE CH
ENGDU, CHINA BELLIGNAT, FRANCE TELFORD, UK PONT-
A-MOUSSON, FRANCE CHELTENHAM, UK MERIGNAC,
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TOWN,

Table of contents

  • Page 1
    ... E OKAYAMA, JAPAN COVINGTON, USA MANTA, AL GECIRAS, SPAIN HAMMERSMITH, UK RUMIL N CE ALBI, FRANCE PALAISEAU, LADOLID, SPA NY REIMS, FRANCE LIV ANCE THIENE, ITALY BEAU FRANC IN N-YVE LI NES, FRANCE FUKUOKA, JAPAN TANDÍL, AROU N D T H E WO R L D . W UK SED AN, FRA S, GERMA /MAIN, GERMAN Y VAL...

  • Page 2
    ...ITALY SAN MAR L, GERMANY DELAWARE, USA SAN SALVADOR, EL SAL TÍN, AR VADOR KAWAG OE, MEXICO PONTIVY, FRANCE CARACAS, VENEZUELA CAGUAS, PUERTO RICO VERNEUIL-SUR-AVRE GENTINA JEREZ DE LA FRONTERA, SPAIN EISENACH, GERMANY MITRY-MORY CEDEX, FRANCE PARI OETHEPLATZ, GERMANY LATINA, ITALY LESQUIN, FRANCE...

  • Page 3

  • Page 4

  • Page 5
    ...of our 4,300 local offices, each day brings a new story. Whether it's providing hundreds of temporary workers to a large global corporation, helping a small business owner find one permanent employee, enabling a group of individuals to transition their careers after job loss, or providing employment...

  • Page 6
    ... local Manpower offices to hire language translators. Today, as a result of Jefferson Wells' audit findings and recommendations, our customer is successfully implementing a proven internal audit methodology that has improved their internal controls and developed effective risk management processes...

  • Page 7
    S A N TA C L A R A , CA L I F O R N I A , U S A S E R V I C E S P R OV I D E D T H R O U G H O U R P R O F E S S I O N A L S E R V I C E S S U B S I D I A RY, J E F F E R S O N W E L LS I N T E R N AT I O N A L , H E L P O U R C U STO M E R S TO I M P R OV E O P E R AT I N G E F F I C I E N CY BY C...

  • Page 8
    R H Ã" N E S - A L P E S , AU V E R G N E A N D B U R G U N DY R E G I O N S O F F R A N C E R A P I D R E S P O N S E TO A C U STO M E R ' S F L U CT UAT I N G WO R K F O R C E R E Q U I R E M E N TS IS A KEY COM PON E NT I N H E LPI NG TH E M TO C O M P E T E E F F E CT I V E LY I N A N E V E R ...

  • Page 9
    ... their customers' business operations are minimal. In just 72 hours, we were able to provide Neyrial with 65 temporary IT technicians in seven different cities to help get the job done. At some of the work sites, the staff - including technical managers - was comprised entirely of Manpower personnel...

  • Page 10
    ... supply workers who would be qualified to conduct Internet research as he developed content for his Web site. Initially, we supplied him with two people. Within a few months, the assignment had grown to include up to 30 researchers, depending on our customer's business demands. Manpower's industry...

  • Page 11
    ...ST RY- L E A D I N G S K I L LS AS S E S S M E N T TO O LS A R E E S S E N T I A L I N I D E N T I F Y I N G Q UA L I F I E D CA N D I DAT E S W H O W I L L P R O D U C E R E S U LTS F O R O U R C U STO M E R S , E V E N I N U N U S UA L AS S I G N M E N TS S U C H AS R ESEARCH E R S FOR A WE B SITE...

  • Page 12
    ...D I T S S P E C I A LT Y B R A N D S , S U C H AS E L A N , D E V E LO P A N D I M P L E M E N T M A N AG E D S E R V I C E S O L U T I O N S T H AT E N A B L E O U R C U STO M E R S TO R E C R U I T P E R S O N N E L E F F I C I E N T LY A N D AC H I E V E S I G N I F I CA N T C O ST S AV I N G S .

  • Page 13
    ... selected Elan and Manpower to help them remove the fixed costs of their in-house recruitment function and roll out a standardized process across all 39 of their UK companies. Our customized solution allows Thales to leverage their full buying power in the market, as well as improve control of their...

  • Page 14
    ...such as induction and training, payroll management, benefits and compensation, performance management, and career development. Today, thanks to our incentive programs, MMI's contact center staff is happy, productive and motivated. In fact, the projected total annual attrition rate is 15% (5% for non...

  • Page 15
    SI NGAPOR E W E H AV E A P R OV E N T R AC K R E C O R D O F LO CAT I N G A N D R E C R U I T I N G WO R K E R S I N M A R K E TS W I T H S K I L LS S H O R TAG E S S O T H AT O U R C U STO M E R S CA N C O N T I N U E TO M E E T T H E D E M A N D S OF TH E I R B USI N ESSES.

  • Page 16
    M A N P OW E R I N C . 4 , 3 0 0 O F F I C E S I N 67 C O U N T R I E S & T E R R I TO R I E S J E FFR EY JOE R R ES CHAI R MAN, CEO & PR ESI DE NT

  • Page 17
    ... able to accomplish this by consistently demonstrating our local market expertise to customers, whether they are in France, Japan, Germany, the U.S. or any of the very different local markets in which we operate.In addition,we continued to strengthen our balance sheet.We were able to reduce our debt...

  • Page 18
    ... communities where we live and work each day. In short, we are much better positioned than ever before.We have reduced our transaction cost, improved our network footprint with the addition of strategic office locations, balanced our business mix with the acquisition of Right Management Consultants...

  • Page 19
    ... through the turbulent times in the employment and business cycles. Our leading position in the marketplace throughout the entire world is based on a simple principle:local passion and global efficiency. As you can see from this year's annual report, Manpower is engaged on several levels to...

  • Page 20
    ... development to help unemployed and disabled people improve their skills and find jobs in which they can succeed. The Manpower brand must,and does,live locally. The Manpower brand must also transcend borders.The promise of integrity in our business practices,the highest standards in our service...

  • Page 21
    ... the past few years in building our higher margin permanent placement and professional staffing services is attributed to the strength of our local R&D incubators. We can only execute our global/local strategy by having the best team of employees throughout the world - a team that is passionate and...

  • Page 22
    ... life cycle.We are raising the bar on what is required to be able to work with companies - large,medium,or small - in fulfilling their needs from recruitment of permanent, contract and temporary employees, to assessing their skills, providing comprehensive training and career transitioning services...

  • Page 23
    ... TO S H A R E H O L D E R S we can provide to customers as they call on us for assistance in designing their workforce to match their business needs. All these factors lead to a bright future for Manpower and its group of companies to affect the market and raise the bar within the industry,which is...

  • Page 24
    ...-Packard Japan, Ltd. on a program called SEED Center, which provides job training and paid work experiences for people with disabilities, increasing their likelihood of securing a good job.Manpower provides software-based support for the program through our SkillWare® training program,free of...

  • Page 25
    ...,Spain, Hong Kong, Belgium, Colombia, and Australia, and our employees are developing new programs and partnerships to benefit the disabled in many other countries around the world every day. Through the end of 2003, nearly 150 individuals have found sustainable long-term employment through...

  • Page 26
    ... partnership, Manpower provides assistance to government-sponsored One-Stop Career Centers, providing training, education, and employment services to the unemployed.This partnership has already shown great promise in helping to connect people with new skills and sustainable jobs. Manpower Canada, in...

  • Page 27
    ... the company's products, services and corporate policies. At the end of the program, graduates get experience handling live calls in a call center. Over the past two years, more than 190 disadvantaged people have participated in the program. Early in 2003,France's national employment agency, ANPE...

  • Page 28
    ....8 million and $1,214.4 million for 1999, 2000, 2001, 2002 and 2003, respectively. In the United States, where a majority of our franchises operate, Revenues from services include fees received from the related franchise operations of $32.9 million, $32.5 million, $24.1 million, $21.7 million, and...

  • Page 29
    ... 05 0 N O T E S TO C O N S O L I D AT E D FINANCIAL S TAT E M E N T S 073 Q U A R T E R LY D ATA (U NAU DITE D) 074 FINANCIAL M EASU R ES 075 S E L E C T E D F I N A N C I A L D ATA 076 C O R P O R AT E I N F O R M AT I O N P R I N C I PA L O P E R AT I N G U N I T S AN D WOR LDWI DE OFFICES 078

  • Page 30
    ...and business cycle. Our worldwide network of over 4,000 offices in 66 countries enables us to meet the needs of our customers in all industry segments.We specialize in permanent,temporary and contract recruitment; employee assessment; training; internal audit, accounting, technology and tax services...

  • Page 31
    ... fee revenues monthly based on the amounts due under the franchise agreements for that month. On January 22, 2004, we completed our exchange offer to acquire Right Management Consultants, Inc. ("Right"), the world's largest career transition and organizational consulting services firm, operating...

  • Page 32
    ... of revenues, Selling and administrative expenses were 15.4% in 2003 compared to 15.8% in 2002.This improvement is a result of continued productivity improvements and careful expense management in conjunction with growing revenues. Operating profit increased 9.9% during 2003,however on a constant...

  • Page 33
    ... rates in 2002.Foreign exchange gains and losses primarily result from the translation of intercompany transfers between foreign subsidiaries and the United States and we experienced a gain of $1.8 million in 2002 compared to a loss of $.2 million in 2001.The loss on the sale of accounts receivable...

  • Page 34
    ... of new back office processes and systems.We anticipate that we will be able to achieve higher utilization levels and greater productivity in the future as revenue levels improve throughout our network of branch offices. Operating unit profit was $33.7 million for 2003, up 15.2%. The operating unit...

  • Page 35
    ...to social program remittances. (See Application of Critical Accounting Policies - Employment-Related Items on page 37 for further information.) During the year we expanded our office network in France by adding 34 new offices. Costs associated with the new office openings were offset by productivity...

  • Page 36
    ... includes our Manpower operations in the Asia Pacific region, Canada, Mexico and South America. Also included in this segment are Jefferson Wells International, a professional service provider of internal audit, accounting, technology and tax services, and The Empower Group, a global provider of...

  • Page 37
    ... for further growth and allow us to leverage our global knowledge and experience that we have developed in other industrial markets across the world.This new market opportunity will be supported by a network of new offices specifically directed at this market. CASH SOU RCES AN D USES Cash used to...

  • Page 38
    ..., the estimated fair value of stock options, the Long-term debt repaid upon the change of control, the estimated merger-related costs and estimated severance and additional Supplemental Executive Retirement Plan ("SERP") liability,net of deferred taxes. The purchase price allocation has not yet...

  • Page 39
    ...bank accounts, government requirements for operating a temporary service company in certain countries, operating leases and indebtedness.The increase in guarantees since December 31, 2002 relates to a subsidiary's bank account.The stand-by letters of credit relate to workers' compensation, operating...

  • Page 40
    ... in the United States requires us to make estimates and assumptions that affect the reported amounts. A discussion of the more significant estimates follows.Management has discussed the development,selection and disclosure of these estimates and assumptions with the Audit Committee of our Board of...

  • Page 41
    ...-Related Items The employment of temporary workers and permanent staff throughout the world results in the recognition of liabilities related to defined benefit pension plans, self-insured workers' compensation, social program remittances and payroll tax audit exposures that require us to make...

  • Page 42
    ... in which we operate will audit our payroll tax calculations and compliance with other payroll-related regulations.These audits focus primarily on documentation requirements and our support for our payroll tax remittances.Due to the nature of our business,the number of people that we employ, and the...

  • Page 43
    ... the conduct of their normal business operations.We generally have few cross border transfers of funds, except for transfers to the United States for payment of license fees and interest expense on intercompany loans, working capital loans made between the United States and our foreign subsidiaries...

  • Page 44
    ... exposure to market risk for changes in interest rates relates primarily to our variable rate long-term debt obligations.We have historically managed interest rates through the use of a combination of fixed- and variable-rate borrowings and interest rate swap agreements. As of December 31, 2003, we...

  • Page 45
    ...instruments have been designated as an economic hedge of our net investment in subsidiaries with a Euro functional currency. (2) The exchange rate impact on these contracts is offset by the impact on the related intercompany receivables. The changes in fair value of our market sensitive instruments...

  • Page 46
    ...economic cycles.To help minimize the effects of these economic cycles, we offer customers a continuum of services to meet their needs throughout the employment and business cycle.We specialize in permanent, temporary and contract recruitment; employee assessment; training; internal audit, accounting...

  • Page 47
    ... of the factors identified in our annual report on Form 10-K may be beyond our control. Forward-looking statements can be identified by words such as "expect,""anticipate,""intend,""plan,""may,""will,""believe," "seek,""estimate," and similar expressions.We caution that any forward-looking statement...

  • Page 48
    ... of the Company's management;our responsibility is to express an opinion on these financial statements based on our audits.We conducted our audits of these statements in accordance with auditing standards generally accepted in the United States of America,which require that we plan and perform...

  • Page 49
    ... the responsibility of the Company's management. Our responsibility is to express an opinion on these consolidated financial statements based on our audits. We conducted our audits in accordance with auditing standards generally accepted in the United States. Those standards require that we plan and...

  • Page 50
    ... L I D AT E D S TAT E M E N T S O F O P E R AT I O N S in millions, except per share data YEAR E NDE D DECE MB E R 31 2003 2002 2001 Revenues from services Cost of services Gross profit Selling and administrative expenses Operating profit Interest and other expense Earnings before income taxes...

  • Page 51
    ...$ 3,701.7 Land,buildings,leasehold improvements and equipment Less:accumulated depreciation and amortization Net property and equipment Total assets LIABILITIES AND SHAREHOLDERS' EQUITY Current Liabilities Accounts payable Employee compensation payable Accrued liabilities Accrued payroll taxes and...

  • Page 52
    ... Activities Net change in short-term borrowings Proceeds from long-term debt Repayments of long-term debt Proceeds from stock option and purchase plans Repurchases of common stock Dividends paid Cash (used) provided by financing activities Effect of exchange rate changes on cash Net increase...

  • Page 53
    ...franchise acquisitions Issuances under option and purchase plans Dividends ($.20 per share) Repurchases of common stock...of tax Total comprehensive income Issuances for acquisitions Issuances under option and purchase plans Dividends ($.20 per share) Balance,December 31,2003 $ .8 $1,631.4 $ (496.9) ...

  • Page 54
    ... needs of our customers in all industry segments. Our largest operations, based on revenues, are located in the United States, France and the United Kingdom.We specialize in permanent, temporary and contract recruitment; employee assessment; training; internal audit, accounting, technology and tax...

  • Page 55
    ... revenue growth rates, operating unit profit margins, and working capital levels;a discount rate;and a terminal value multiple. We completed our annual impairment review for 2003 and determined there to be no impairment of goodwill. We plan to perform our next annual impairment review during the...

  • Page 56
    ... 31,2003. Capitalized Software We capitalize purchased software as well as internally developed software.Internal software development costs are capitalized from the time the internal use software is considered probable of completion until the software is ready for use. Business analysis, system...

  • Page 57
    ... all highly liquid investments with a maturity of three months or less when purchased to be cash equivalents. Stock Compensation Plans We account for all of our fixed stock option plans and our 1990 Employee Stock Purchase Plan in accordance with APB Opinion No. 25,"Accounting for Stock Issued...

  • Page 58
    ... of options granted was $10.32,$10.86 and $7.16 per share in 2003,2002 and 2001,respectively. Recently Issued Accounting Standards During November 2002, the Financial Accounting Standards Board ("FASB") issued Interpretation No. 45, "Guarantor's Accounting and Disclosure Requirements for Guarantees...

  • Page 59
    ... stock,which had an aggregate market value of $.7 and $21.9,respectively,at the dates of acquisition. In July 2001,we acquired Jefferson Wells International,Inc.("Jefferson Wells"),a professional services provider of internal audit, accounting, technology and tax services, with a network of offices...

  • Page 60
    ... issued, the estimated fair value of stock options,the Long-term debt repaid upon the change of control,the estimated merger-related costs and estimated severance and additional Supplemental Executive Retirement Plan ("SERP") liability,net of deferred taxes. The purchase price allocation has not yet...

  • Page 61
    ... in the calculation of Net earnings per share - diluted, using the "if-converted" method, when the shares become issuable under the conversion feature of the Debentures or when certain conditions are met at the end of a reporting period. Under the "if-converted" method, net earnings available to...

  • Page 62
    ... differences reverse.Temporary differences,which gave rise to the deferred tax assets as of December 31,are as follows: 2003 2002 C u r r e n t F u t u r e I n c o m e Ta x B e n e f i t s Accrued payroll taxes and insurance Employee compensation payable Pension and postretirement benefits Other...

  • Page 63
    ... have an agreement (the "Receivables Facility") with a financial institution whereby we transfer on a continuous basis an interest in all eligible trade accounts receivable. Pursuant to the Receivables Facility,we formed Ironwood Capital Corporation,a wholly owned,special purpose,bankruptcyremote...

  • Page 64
    ... financial institutions to meet working capital needs of our foreign operations. As of December 31, 2003, such facilities totaled $230.2, of which $224.9 was unused.We have no significant compensating balance requirements or commitment fees related to these lines. A summary of Long-term debt as of...

  • Page 65
    ... The Debentures are convertible into 6.1 million shares of our common stock if the closing price of our common stock on the NewYork Stock Exchange exceeds specified levels,or in certain other circumstances. Holders of the Debentures may require us to purchase these Debentures at the issue price,plus...

  • Page 66
    ... to purchase shares of our common stock under the prior compensation arrangement, with respect to a portion of the annual cash retainer through November 2006.The number of shares of deferred stock is determined pursuant to a formula set forth in the terms and conditions adopted under the 2003 plan...

  • Page 67
    ... service. As of December 31, 2003, there were approximately 801,000 shares of common stock remaining available for grant under this plan.The employees are offered the opportunity to obtain an option for a specified number of shares of common stock at not less than 85% of its market value on the day...

  • Page 68
    ...000 shares remained available for future issuance as of December 31,2003.Under the plan, designated Manpower employees meeting certain service requirements may purchase shares of our common stock through payroll deductions.These shares may be purchased at the lesser of 85% of their fair market value...

  • Page 69
    ... of the net periodic benefit cost are as follows: U.S. PLAN S 2003 2002 2001 2003 2002 NON-U.S. PLAN S 2001 Discount rate Expected long-term return on plan assets Rate of compensation increase 6.5% 8.5% 5.0% 7.5% 8.5% 6.0% 7.5% 8.5% 6.0% 5.2% 6.1% 3.9% 5.4% 6.1% 4.1% 5.6% 6.7% 4.2% Our...

  • Page 70
    ... stocks,professionally-managed equity and bond funds,and U.S. and U.K.government and agency securities.The U.S.plan assets do not include any of our debt or equity securities. Retiree Health Care Plan We provide medical and dental benefits to certain eligible retired employees in the United States...

  • Page 71
    ... on the amounts reported. A one-percentage point change in the assumed health care cost trend rate would have the following effects: 1% I NCR EAS E 1% DECR EAS E Effect on total of service and interest cost components Effect on postretirement benefit obligation $ .2 2.9 $ (.2) (2.5) We plan to...

  • Page 72
    ..., except share and per share data 11. LEASES We lease property and equipment primarily under operating leases. Renewal options exist for substantially all leases. Future minimum payments, by year and in the aggregate, under noncancelable operating leases with initial or remaining terms of one...

  • Page 73
    ... arising from foreign exchange fluctuations throughout the contract term on the derivative instruments are recorded in the consolidated statements of operations,offsetting the foreign exchange gain or loss recorded on the notes. Interest Rate Risk Management Our exposure to market risk for changes...

  • Page 74
    ... derived from other human resource services, including temporary and permanent employee testing,selection,training and development;internal audit,accounting,technology and tax services; and organizational-performance consulting.Segment revenues represent sales to external customers primarily within...

  • Page 75
    ...: United States United Kingdom Total Foreign $ $ $ 2,092.4 1,371.8 10,092.1 Note:The amount reported above for France is also on a geographic basis. b)U.S. revenues above represent revenues from our Company-owned branches and franchise fees received from our franchise operations.These fees are...

  • Page 76
    ...D AT E D F I N A N C I A L S TAT E M E N T S in millions, except share and per share data AS OF AN D FOR TH E YEAR E NDE D DECE MB E R 31 2003 2002 2001 To t a l A s s e t s United States France EMEA Other Operations Corporate(a) 781.9 1,555.2 1,367.6 567.3 112.9 $ 4,384.9 $ 14.5 45.2 6.5 66...

  • Page 77
    ... $ .10 $ 47.54 37.55 $12,184.5 2,136.8 137.7 $ 1.77 $ 1.74 $ .20 Revenues from services Gross profit Net earnings Net earnings per share Net earnings per share - diluted Dividends per share Market price: High Low $ 2,284.0 414.8 6.9 $ .09 $ .09 $ - $ 40.06 32.85 $ 2,602.9 467.6 25.7 $ .34 $ .33...

  • Page 78
    ... 7.3 (3.6) (8.0) United States France EMEA Other Operations Operating Profit - Manpower Inc. Net Earnings per Share - Diluted YEAR ENDED DECEMBER 31, 2003 Revenues from Services .5 (9.0) United States France EMEA Other Operations Manpower Inc. Gross Profit - Manpower Inc. Operating Unit Profit...

  • Page 79
    ...NDE D DECE MB E R 31 2003 2002 2001 2000 1999 Operations Data Revenues from services Gross profit Operating profit (a) Net earnings(a) Per Share Data $12,184.5 2,136.8 257...earnings(a) Net earnings - diluted(a) Dividends Balance Sheet Data Total assets Long-term debt $ 4,384.9 829.6 $ 3,701...

  • Page 80
    ... N.Ironwood Rd. Milwaukee,WI 53201 USA +1.414.961.1000 www.manpower.com TRANSFE R AG E NT AN D R EG ISTRAR Manpower's governance structure is designed to ensure transparency in our operations and adherence to the regulations set forth by the U.S.Securities and Exchange Commission (SEC). Information...

  • Page 81
    ... SeniorVice President Global Human Resources Richard J. Pinola President and CEO Northwestern Mutual Chief Executive Officer Right Management Consultants,Inc. D o m i n i q u e Tu r c q SeniorVice President Strategic Planning Board Committees 1 Audit Committee 2 Executive Compensation Committee...

  • Page 82
    ...global network of more than 300 service locations in 35 countries and via the Internet.The Empower Group, Manpower's organizational performance consulting subsidiary headquartered in London,will merge with Right Management Consultants in 2004. The Empower Group has operations in Asia Pacific, Europe...

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    ...K PR MA E URNAN-EN-BRIE, FRANCE CAEN CENTRE, FRANCE CHOLBURI, THAILAND BOURBONNAIS, USA SASSARI, ITALY OAXACA, MEXICO STOKE-ON-TREN T, U AU, FRANCE BOURNEMOUTH, UK TOYOTA, JAPAN NORDERSTEDT, GERMANY ASHEVILLE, USA TORONTO, ONTARIO, CANADA WATFORD, UK RIESA, CE MATAMOROS, MEXICO ROSENHEIM, GERMANY...

  • Page 86
    ..., GERMANY DOURDAN, FRANCE FONTENA REAS, FRANCE TAIPEI, TAIWAN VERACRUZ, MEXICO DORVAL, QUEBEC, CAN TENAY, FRANCE BENTON HARBOR, USA FLENSBURG, GERMANY FOGGI INA ALLEGAN, USA CASTELFRANCO VENETO, ITALY OFFENBACH, GERM ECUADOR VOIRON, FRANCE HUMACAO, PUERTO RICO GELSENKIRCH ANCE GIJÃ"N, SPAIN ZURICH...