JULY 2008

MPS Group, Inc. (NYSE:MPS) announced financial results for the first quarter ended March 31, 2008.  Revenue and diluted net income per common share were within the range of guidance previously provided by management.   Revenue was $568 million, up 11% versus the first quarter of 2007.  Excluding the impact of acquisitions and foreign currency exchange rates, revenue increased 6% versus the prior-year period.  Diluted net income per common share was $0.20 compared with $0.17 in the year-earlier period.  Gross margin was 28.6% for the first quarter of 2008, up 120 basis points when compared with gross margin of 27.4% in the first quarter of 2007.  Operating income was $32 million, up 20% from the first quarter of 2007.  The Company repurchased $41 million of MPS Group common stock during the first quarter.

Spherion Corporation announced financial results for the first quarter ended March 30, 2008.  Spherion President and Chief Executive Officer Roy Krause commented, "Our first quarter results again reflect favorably on our business strategy, especially in light of the continuing decline in U.S. temporary employment.  A more favorable Professional Services business mix due to the late 2007 acquisition of Technisource helped drive a higher overall first quarter segment operating profit margin compared with last year.  Revenues increased 25% primarily as a result of two strategic acquisitions completed in 2007."  First quarter 2008 revenues were 25% higher year over year, $576 million compared with $462 million last year.  Earnings from continuing operations in the first quarter were $2.2 million, or $0.04 per share, compared with $2.7 million, or $0.05 per share, in the prior year.  Adjusted earnings from continuing operations in the first quarter of 2008 were $2.8 million, or $0.05 per share compared with adjusted earnings in the same prior year period of $4.2 million, or $0.07 per share.  Adjusted earnings from continuing operations exclude acquisition integration costs in 2008, and in the prior year certain tax credits and an interest charge related to the purchase of the remaining interest in our Canadian operations.  Earnings before interest, taxes, depreciation and amortization (EBITDA) in the first quarter was $12.7 million compared with $11.7 million in    the first quarter last year.  Krause continued, "The weakening U.S. economy started to impact our business as we progressed through the quarter.  Our permanent placement activity slowed and there was a greater seasonal pull back in commercial temporary staffing than we expected. While an economic downturn will have a negative impact on short term profitability, we are encouraged that our business grew, that our segment operating profit margin improved and that Technisource, our most recent acquisition, grew about 11% year over year.  Additionally, we used operating cash flow and other resources to reduce debt and buy back stock during the quarter."

            Dutch staffing companies Randstad Holding NV and Vedior NV each reported modest growth in sales and profits, with a weak U.S. market hurting their businesses.  Randstad is seeking to buy Vedior in a €3.51 billion (US$5.17 billion) cash and shares deal to create the world's second largest staffing company, behind Adecco SA of Switzerland and ahead of Manpower Inc. of Milwaukee, Wisconsin.  Randstad's net profit was €73.3 million (US$114 million), up 2.5 percent from €71.5 million a year earlier. Sales grew 6.2 percent to €2.24 billion (US$3.49 billion).  Vedior reported net profit of €46.9 million (US$73 million), up 2.3 percent from €44.7 million. Sales grew 5.2 percent to €2.04 billion (US$3.18 billion).  Randstad Chief Executive Ben Noteboom said he saw "a market that shows slightly lower growth than last quarter in Europe; that continues to grow fast in Asia; but that remains weak in North America."  Vedior said it saw strong growth in France, Latin America and India, but weakness at its U.S. and British arms.  Randstad's takeover of Vedior is supported by Vedior's board and has been approved by EU regulators and Randstad shareholders. Its offer of €9.50 (US$14.80) and 0.32759 of its own shares per Vedior share expires May 9.  The Amsterdam, Netherlands-based companies would have had combined 2007 sales of around €17.3 billion (US$25.3 billion) and operating profit of €883 million (US$1.29 billion).

            Real Estate Temps, an Irvine, CA-based firm that provides licensed real estate sales agents on a temporary or permanent basis to home builders throughout California, Arizona and Nevada, has announced the acquisition of competitor Temps For Tracts.  Lynda Lane, president and CEO of Real Estate Temps, said the acquisition will provide Real Estate Temps with a greatly expanded presence in those markets where Idyllwild-based Temps For Tracts is more firmly entrenched, including the Palm Springs desert resort area; the high desert around Victorville; and Los Angeles, Ventura, Orange, San Diego, Riverside and San Bernardino counties.  

            QPS Cos. Inc. recently acquired N.E.W. Contracting.  N.E.W. Contracting has offices in Green Bay and Appleton, WI.  Representatives for QPS said in a statement that the acquisition of N.E.W. Contracting will increase its business by 20 percent. QPS also has locations in Appleton and Green Bay.  "We're excited about the expansion and growth we're experiencing in the Fox Valley area, which ultimately allows us to expand our geographical reach and better serve both our customers and applicants," said Dan McNulty, executive vice president and chief operating officer. "The acquisition is just another step in our 2008 growth and development plan.  QPS was founded in 1985 as a two-person operation. The company operates 20 locations around Wisconsin and Illinois, employing 200 people.  

            SearchPath International, a Cleveland-based franchisor of professional services firms that opened 60 offices in its first two and a half years, announced today its intent to become publicly traded.  SearchPath expects to begin trading as a Securities and Exchange Commission-compliant and fully-reporting company on the OTC Bulletin Board market during the second half of 2008.  "The decision to go public was an easy one," said Chief Executive Officer, Tom Johnston. "We want to give our franchise owners access to performance-based equity compensation that allows them to share in our success as, together, we grow the company. Having secured the accountants and security attorneys and currently in negotiations with investment banking firms, we feel we have formed a team destined for success."  The company has hired the Cleveland-based securities law firm Margulies and Levinson to prepare the necessary securities filings to become publicly traded. The PCAOB accounting firm of Skoda Minotti has been retained to prepare the certified audited financial reports.  

            Arcadia Resources, Inc. (AMEX: KAD) acquired Carolina Care, LLC, an in-home health care business with locations in Asheboro, Greensboro and Winston-Salem, North Carolina. Carolina Care generated $2.1 million in annualized revenue during 2007, and has served North Carolinians in Davidson, Forsyth, Guilford, Randolph, Rockingham and Stokes counties for more than 12 years.  "The acquisition of Carolina Care, LLC, expands Arcadia's ability to fulfill its mission of 'keeping people at home and healthier longer,'" said Steven L. Zeller, executive vice president of In-Home Health Care and Staffing for Arcadia. "Furthermore, this acquisition allows us to build upon our existing business in North Carolina."  "Carolina Care has built a solid reputation in the Piedmont Triad area thanks to our well-trained and compassionate caregivers," said Jane Cooke, general manager of Carolina Care. "We are pleased to join Arcadia and to continue delivering high quality in-home health care services in our community."

            Pasona Group Inc. will boost staffing operations in the information and technology field in Vietnam, Chief Executive Yasuyuki Nanbu said in a recent interview with Jiji Press.  The group, which has Pasona Inc., the second largest staffing agency in Japan, under its wing, plans to provide manpower to Japanese companies operating in Vietnam via a local software development company Pasona acquired in March, Nanbu said.  The software company, C.S. Factory Co., currently has about 60 engineers. Nanbu said Pasona will increase the number, eventually to 200 by 2010, to hopefully launch staffing operations in 2009 upon obtaining the Vietnamese government's permission.  Those engineers, comprising Japanese and Vietnamese, will be initially sent to Japanese IT firms operating in the fast-growing Southeast Asian nation and to other types of businesses there later, he said.  Nanbu, citing wage increases and tougher labor regulations in China, noted that Vietnam is expected to take the role of the world's factory from China.  Despite a series of realignment moves among Japanese staffing agencies, Nanbu said he does not believe in advantage of scale.  Pasona is not considering any merger and acquisition deals aimed only at expanding its business scale or strengthening in areas of weaknesses, he said. The biggest company in the Japanese staffing agency industry, Staff Service Holdings Co., was acquired by information magazine publisher Recruit Co. at the end of last year.  Tempstaff Co. and People Staff Co. announced last month that they will integrate their operations under a holding company on Oct. 1.

            Wilson Employment Networks announced their acquisition of Bancroft Staffing Services of Manchester, New Hampshire.   “I am excited by the opportunity to extend our state-of-the-art staffing services into the Manchester business market,' said Paul Wilson, Founder and CEO of Wilson Employment Networks. "For the past eight years, we have been focused on developing the optimal mix of experienced recruiters, enabling technology and a reserve of qualified talent to meet the dynamic needs of our clients."  'The acquisition of a seasoned professional staff in a convenient Manchester location has enabled us to achieve one of our key growth objectives. We look forward to offering our portfolio of technically advanced staffing solutions and superior service to a new and growing family of clients in the greater Manchester area,' said Joseph Wentworth---Vice President, Wilson Employment Networks.