CCH PARENT BUYS ATX/KLEINROCK CCH is going to make a run at the lower end of the tax preparation market following the acquisition ATX/ Kleinrock from the United Communications Group by its parent company, Wolters Kluwer.
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Terms were not disclosed but CCH said that ATX/Kleinrock had about 48,000 individual customers and annual revenue of $40 million. CCH president Kevin Robert said that the Rockville, Md., unit will continue to operate under its own name. Robert says that CCH has been unable to penetrate this market with its higher-end ProSystem fx Tax application.
ADVENT NET DROPS
Net income for Advent Software fell to $1.6 million in the second quarter ended June 30, down from $3.9 million in earnings in the year-earlier period.
Revenue was $44.4 million for the recently ended quarter, up from $40.9 million a year earlier. The company said contributing factors include its transition to term license, which began two years ago. Bookings for term contracts reached $12.9 million in the second quarter, compared to $7.9 million in the first quarter of the current year.
BNA, LEXISNEXIS HOOK UP
BNA is going to offer tax news and analysis to subscribers of the LexisNexis Tax Center Platform, a service that was launched earlier this year.
BNA sales representatives will offer the LexisNexis content to Tax Center customers in corporations and accounting firms. Available information includes more than 400 BNA Tax Management Portfolios. Subscribers can also gain access to other services, including the Daily Tax Report, along with BNA journals with United States and international tax focus.
Intuit Announces Exec Pay for 2007|
Executive, Title Base salary Bonus
Stephen M. Bennett, president, CEO $1.1 million $3.17 million
William V. Campbell, chairman, board of directors $500,000 $360,000
Scott Cook, chairman, executive committee $500,000 $400,000
Robert B. Henske, senior VP $600,000 $650,000
Richard William Ihrie, senior VP, CTO $525,000 $510,000
Kirin Patel, senior VP, CFO $700,000 $500,000
Brad Smith, senior VP $600,000 $650,000
Intuit hiked the compensation of its top executives for 2007. CEO Stephen Bennett got a $110,000 salary hike and a $400,000 increase in bonus. Brad Smith, senior VP for the company's small business division, saw his salary and bonus total rise to $1.25 million from $884,000 a year ago. Source: Intuit's SEC filings.
MORNINGSTAR NET UP ONE THIRD
Net income for Morningstar rose to $17.5 million for the second quarter ended June 30, a 33 percent rise from $13.1 million in last year's corresponding quarter despite a reduction of the company's operating margin by 4.5 percentage points.
The rise in earnings came as revenue hit $176.3 million, a 36 percent increase from $56.2 million a year ago. Advisor segment revenue, reflecting sales of the Advisor Workstation, hit $24.3 million, up 30 percent from $18.8 million.
TAL RESULTS LAG WK TOTAL
With Wolters Kluwer reporting a 6 percent increase in EBITA 10 percent increase in revenue for its second quarter ended June 30, results for the company's Tax, Accounting, and Legal division didn't keep pace.
TAL results, which include CCH, reported that revenue for the most recently ended quarter reached $153 million, up 6.1 percent from $142 million for the same period in 2005. Earnings before interest and amortization hit $35 million, a 3.9 percent decrease from $36 million a year ago. Of the $11 million increase in revenue, $3 million came from acquisitions and $1 million from currency gain. Organic EBITA showed a $2 million drop, while there was a $1 million increase from acquisitions and no impact from currency changes.
THOMSON OFFERS WORKFLOW MANAGER
Thomson Tax & Accounting is releasing the InSource WorkFlow Manager, a Web-based system, to provide both workflow and document management features to corporate tax departments.
The system, which incorporates technology from Thomson's GoFileRoom platform, provides workflow automation features that can define standard procedures, checklists, interview review steps, and due dates for all tax processes. The document management system offers a virtual file room for storage and management of scanned paper files and electronic files.