Good morning and welcome to the CBIZ Third Quarter 2013 Results Conference Call. All participants will be in listen-only mode. (Operator Instructions) Please note this event is being recorded. I would now like to turn the conference over to Mr. Steven Gerard, Chairman and CEO. Mr. Gerard, please go ahead.

Thank you, Amy and good morning everyone and thank you for calling into CBIZ’s 2013 third quarter conference call. Before I begin my comments, I’d like to remind you of a few things. As with all our conference calls, this call is intended to answer the questions of our shareholders and analysts. If there are media representatives on the call, you’re welcome to listen in. However, I ask that if you have questions, you hold them until after the call and we’ll be happy to address them at that time. The call is also being webcast and you can access the call over our website. You should have all received a copy of the press release we issued this morning. If you did not, it’s posted on our website as well. Finally remember, that during the course of the call, we may make forward-looking statements. These statements represent management’s intentions, hopes, beliefs, expectations, and predictions of the future. Actual results can and sometimes do differ materially from those projected in forward-looking statements. Additional information concerning factors that could cause actual results to differ materially from those in forward-looking statements is contained in our SEC filings, Form 10-K and prior press releases. Joining me on the call this morning are Jerry Grisko, our President and Chief Operating Officer; and Ware Grove, our Chief Financial Officer. Prior to the opening this morning, we were very pleased to release our third quarter and nine months results. As we had been indicating earlier this year, we felt that there was a growing tailwind in our business and that we were expecting improving results for the rest of the year. This third quarter, which is typically a poor quarter for us, turns out to be one of the best third quarters we have ever had in the Company. We saw revenue up and most important to us, we saw organic or same-store revenue up in both of our core businesses. Before I continue with my comments, I’d like to turn it over to Ware to give you the details of the release this morning.

Thanks, Steve and good morning everyone. As is our normal practice, I want to take a few minutes to run through the highlights of the numbers we released this morning for the three months and the nine months ended September 30, 2013. Now as we get started, let me remind you that the numbers prepared as of September 30, 2013 have been adjusted to reflect the sale of the MMP operations, which closed August 30, 2013. You will note the after-tax gain on sale, plus operating results after-tax through the closing date for MMP are now reflected in discontinued operations. Upon the close of this transaction on August 30, we concurrently bought 3.85 million shares at $6.65 per share from Westbury Limited. The remaining proceeds from the sale were used to immediately pay down debt and over time, we will reinvest those proceeds to enhance the growth of our core financial and Employee Services businesses. The sale also serves to reduce our leverage and we expect in the year of 2013 that leverage in a range of approximately 2.5 times to 3 times EBITDA. Now this positions us very well with greater flexibility, as we consider refinancing alternatives with a $130 million convert note due in 2015 and also gives us a lot more flexibility as we address acquisition opportunities ahead. Now in our earnings release for the second quarter, we also included a schedule of the adjusted numbers that have excluded the impact of the MMP operating results, over the past three years and those adjusted results clearly reflect the improving metrics and growth that we have experienced in the recent years in our core financial and Employee Services businesses. Now the numbers we released this morning reflect continuing strength in these core businesses proceeds as Steve commented and…

Thank you, Ware. I’d also like to give you some color on some of what Ware talked about and touch on the few other items. With respect to acquisitions, we typically do three to five a year, so far year-to-date we completed one. There are a possibility of two to three more between now and the end of the year with revenue if they all close somewhere in the $8 million to $10 million range and EBITDA about 25%. So we’re looking at two to three relatively small transactions no blockbuster deals, but both all three important for the development of our strategy. With respect to organic growth, the organic growth is coming from a combination of factors. Clearly we’re seeing a pickup in the economy and it’s helping our clients begin to think about expanding we signaled earlier this year that we thought we were going to see that, but it also come as a result of our business development activities, the impact of the Affordable Care Act, our Myers and Stauffer business on an organic same-store basis is growing nicely, the P&C market is firming up and our very focused attention on client retention over the past couple of years is now being reflected in a much better retention rate that we had. So our organic growth is really a combination of some small part of the economy and a great deal of effort and success by our 3,800 associates who had come through a tough couple of years and now was really starting to see the results of the efforts that we put in. I’d also like to comment on the fact that our largest client Edward Jones just within the past week signed a new five year extension of their arrangement with us. So we are pleased to continue to have them as our largest client. There were no substance of changes in the transaction and therefore that’s a pretty consistent earnings opportunity for us going forward. With that, I’d like to stop and turn it over to questions from our analysts and shareholders and then I’ll conclude with some additional remarks.

Thank you. We will now begin the question-and-answer session. (Operator Instructions) Our first question is from Josh Vogel with Sidoti & Company. Go ahead please. Josh Vogel – Sidoti & Company: Thank you. Good morning, Steve and Ware.

Hi, Josh. Josh Vogel – Sidoti & Company: First question is based on current debt levels, Ware could you give us an idea of the quarterly run rate of interest expense?

Hi Josh. How are you? Josh Vogel – Sidoti & Company: Good. Thank you.

I think when you look at it; remember the $130 million convert notes is being approved at our effective 7.5% interest rates. So that gives you kind of a start. If you got roughly $50 million outstanding more or less on the bank line of credit that range is in the 3% to 3.5% range. So I would give you about a $1 million a month on a monthly run rate for interest expense. Josh Vogel – Sidoti & Company: Okay, great. And I know it’s still a quarter out or so, but do you see any potential impacts from the IRS pushing back the start of the tax filing season by couple of weeks?

At this point, we’re not predicting any significant impact. We’ll have to see what comes up. It is too early to call. Josh Vogel – Sidoti & Company: Okay. And just lastly could you remind me when the option expires with Westbury to potentially purchase the remaining stake?

The option expired on September 30. Josh Vogel – Sidoti & Company: Okay.

And the shares were released back to Westbury from the Escrow. I would point out as to your prior question, you know the first part of this year we saw a great delay in the filing of the taxes because of the IRS slowdown in terms of getting the documents and the forms out. We made all of that up in subsequent quarters. So that if there are delays in future years, this is a pretty consistent business, we it may not all come in the first quarter, but at the end of the day everybody stock is get filed and we make up that any delays that comes out of government inefficiency. Josh Vogel – Sidoti & Company: Right. So next year could potentially mirror what we saw last year like the delay led to weaker results in Q1, but strong results in Q2? But it’s too early to tell how that is going to play out but that is a possibility?

Yeah, I guess it is – the two financials that I have given it any thought. Josh Vogel – Sidoti & Company: Okay. That’s all I have right now. Thank you very much.

Okay, Josh.

Our next question is from Jim Macdonald with First Analysis. Jim Macdonald – First Analysis Securities: Good morning guys.

Hi, Jim.

Hi, Jim. Jim Macdonald – First Analysis Securities: On Financial Services relatively strong growth this quarter, was that consistent between additional accounting business or is that helped by this new health care consulting business?

Well, they were both up, our core accounting firms were up organically and it was aided by growth from the health care consulting work that we do at Myers and Stauffer. Jim Macdonald – First Analysis Securities: And were those somewhat consistent or that I mean did with one was really up a lot?

Well, Myers and Stauffer results on a same-unit basis were up more than as a percentage more than the core accounting, but the core accounting is a much bigger business. Jim Macdonald – First Analysis Securities: Okay.

So the dollars weren’t that necessarily that far off. Jim Macdonald – First Analysis Securities: And switching over to Employee Services, the impact of the Affordable Care Act, any new thoughts on that at this point and how that benefit enrollment seasons going?

The impact for us so far has been a positive impact. We’ve probably picked up $2.5 million of more of new client business as a result of our analyzer tool and our consultive approach with our clients. There has been no significant change in commission structure. There has been a little bit of a degradation in the bonus and override business at that part of the business. But that’s a very small part of the revenue. And when you consider that the small group business is only 18% of our total EB revenue any impact that might be felt by the exchanges will have minimal impact on us this year and probably next year as well. So far it’s been net positive and I would remind you that the corporate side of this has been delayed a year. So clients who we have been in front of that we’ve been helping restructure looks to us like we have an opportunity to pick up more business as we roll into next year as we get closer toward 2014, 2015 is rather implementation. Jim Macdonald – First Analysis Securities: And it’s a technical thing and I know it’s a small part of your employee business, but are you seeing any shift to self insured plans and if there is a shift of that has that helped you in anyway?

There is a little bit of a shift I think quite frankly as our role as a consultant, it’s our job to come up with the best plan and self insured is the right plan for the client. That’s what we would be working on. In fact that’s had minimal impact, although over time it’s possible it could have a little bit more of an impact. Jim Macdonald – First Analysis Securities: Okay. And just a technical question for where I think maybe I missed it in the balance sheet. But what is the outstanding tax payment that you’re going to pay in the fourth quarter for the transaction?

Yeah, Jim we’ve got roughly $37 million scheduled as an estimated tax payable on December 15 and that’s related to the gain on the MMP sale. Jim Macdonald – First Analysis Securities: Okay. That’s great. Thanks very much.

The next question is from Robert Kirkpatrick with Cardinal Capital Management.

Hi, it’s Gene for Rob. Just a couple of housekeeping questions, where the tax payment that you referred to in December, earlier you said that there was a payment, a small payment made in September. Could you tell us what the amount of that payment was?

Yeah. It was roughly $13 million remember we announced that we sold the business for roughly $200 million and we expect net proceeds of net of tax and other transaction related costs to be roughly $145 million, so if we get a $50 million tax bill embedded in that calculation.

Perfect, just a couple of other questions, bad debt expense in Q3?

Oh, boy, I don’t have that at my finger tips Gene [ph].

Okay and then there is a question about adjusted EBITDA Rob wanted to know do you still anticipate that will be about $76 million for based on continuing operations for 2013?

Yes, that’s correct

Okay, last question do you have cash EPS numbers for the last few years excluding MMP, are those available yet?

Yeah, I think we have them, I just don’t have them with me right here but yes…

Okay.

And we can – we’ll put those in our IR package as we update it for the third quarter here.

Okay. Thanks so much guys. Congratulations, nice quarter.

Thanks Gene.

(Operator Instructions) This concludes our question-and-answer session. I would like to turn the conference back over to Mr. Steve Gerard for any closing remarks.

Thank you, Amy, this has been a very strong quarter it suggest to us that the combination of the hard work we put in over the last couple of years, our dedication to our clients and our service of our clients and on the improving economy, and in particular certain parts of our financial services and employee services are heating up. So we are very confident in what the future holds for CBIZ as we look at 2014 and 2015 and the credit goes specifically to our 3800 associates who have just done a spectacular job in staying front of our clients, providing them professional products and services and separating our clients through the downturn. So now as things pick up, we’re in a position to rebound along with our clients. So thanks for the quarter and the expectation for the full year successes goes to our staff, so I want them to know how much what they’re doing is appreciated by the company and of course by our clients. With that I will end the call and look forward to being able to report full year results in January. Thank you all very much.

The conference is now concluded. Thank you for attending today’s presentation, please disconnect your lines.