Coopers & Lybrand Announces 1997 U.S. Revenues Of $2.5 Billion, Up 18 Percent From Last Year.

NEW YORK--(BUSINESS WIRE)--Nov. 11, 1997--Coopers & Lybrand L.L.P. today announced fiscal year 1997 U.S. revenues of $2.5 billion, an 18.4 percent increase over last year. In 1996, the U.S. firm of Coopers & Lybrand reported revenues of $2.1 billion, an 11 percent increase over the previous year. The firm's net revenues do not include any client expenses or subcontracting fees. Coopers & Lybrand's fiscal year ended Sept. 30.

Coopers & Lybrand L.L.P. Chairman and CEO Nicholas G. Moore said the firm experienced robust growth in all five of its lines of business and in its priority industry groups. He noted that, with proposed merger partner Price Waterhouse also enjoying strong growth and profitability, the combination of the two firms would create an organization with combined U.S. revenues of nearly $5 billion and would "make us the pre-eminent provider of professional services." Moore added that, "The two firms' outstanding performance reinforces our certainty that this is the right merger at the right time."

Coopers & Lybrand's Business Assurance line of business grew nearly 8.5 percent, including both traditional audit and other business assurance services. "Growth in our audit work reflects our focus on portfolio management and targeting of the best clients in all geographies and industries," Moore said, "while growth in assurance-related practices, including In-Control Services, Computer Assurance Services, internal audit outsourcing and healthcare regulatory assurance work, stems from a growing awareness among clients of the need for enterprise-wide risk management services."

Coopers & Lybrand Consulting (CLC) revenues jumped 26.3 percent, on top of last year's growth of 22.2 percent. Among the strategic business units within CLC that registered strong growth in 1997 were the Solutions Through Technology group, which grew 41 percent; Financial Management Services, 49 percent; and Integrated Strategic Services, 27 percent. CLC industry-focused practices that experienced significant growth were manufacturing, 20 percent; government sector, 26 percent; and information and entertainment, 16 percent.

"Coopers & Lybrand Consulting's growth is testament to client demand for both breakthrough strategies and support in the seamless implementation of those strategic solutions," Moore said.

The Tax line of business within Coopers & Lybrand grew 13.9 percent, the fourth consecutive year of double digit increases in tax. The growth was driven by the firm's initiative of providing national resources dedicated to major international and multi-state projects for large clients. As a result, the areas within Tax that accounted for most of the growth were multi-state tax and international tax.

"The complexity of international tax issues facing multi-national corporations, coupled with the planning impact of newly-enacted tax legislation, were the principal forces driving growth in our tax practice," Moore said.

The firm's Financial Advisory Services practice, including corporate finance, mergers and acquisitions, reorganization, valuation, investment banking, litigation support and services to the real estate and hospitality industries, grew 34.8 percent. Virtually all of these individual service lines increased revenues in the 30 to 40 percent range.

"The impressive growth within FAS can be largely attributed to our investment in top industry experts with deep functional skills and a focus on service to the firm's top tier clients," Moore said.

Human Resource Advisory (HRA) grew 47.3 percent. The areas of greatest growth within HRA were Organizational Effectiveness and Development (OED) and benefits outsourcing.

"Coopers & Lybrand's January merger with Kwasha Lipton not only distanced our HRA practice from the other Big Six firms, but cemented our position in the top five worldwide HR and benefits consulting firms," said Moore. "While the C&L practice already was a full-service operation with actuarial, regulatory, compliance, organization effectiveness and outsourcing capabilities," he added, "Kwasha provided a significant outsourcing operation with leading-edge technology and processes."

Moore said 1997 was a year in which Coopers & Lybrand experienced not only strong revenue growth, but "significantly enhanced the depth and breadth of our client service delivery." He added that the proposed merger with Price Waterhouse "will create an even more diversified organization with new clients and markets, greater professional resources, expanded geographic coverage and complementary strengths."

During the year, Coopers & Lybrand made great strides in moving its work/life and diversity initiatives forward. The firm was showcased on the cover of BusinessWeek magazine as being "among a few smart companies leading the way...in helping their best and brightest women managers reach their full potential" and was featured as an organization that embraces work/life balance in a recent Wall Street Journal article, entitled, "Coopers & Lybrand Tackles Turnover By Letting Its Workers Have a Life." Coopers & Lybrand also has earned a consistent position on Working Mother magazine's annual list of best places to work.

One of the world's leading professional services firms, Coopers & Lybrand L.L.P. provides services for enterprises in a wide range of industries. The firm offers its clients the expertise of more than 16,000 professionals and staff located in 100 U.S. cities, and, through the member firms of Coopers & Lybrand International, more than 74,000 people in 142 countries worldwide.

CONTACT: Steven Silber

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