View Filing Data

Document and Entity Information - shares	3 Months Ended
Document and Entity Information - shares	Mar. 31, 2012	May 04, 2012
Document and Entity Information
Entity Registrant Name	CRA INTERNATIONAL, INC.
Entity Central Index Key	0001053706
Document Type	10-Q
Document Period End Date	Mar. 31, 2012
Amendment Flag	false
Current Fiscal Year End Date	--12-29
Entity Current Reporting Status	Yes
Entity Filer Category	Accelerated Filer
Entity Common Stock, Shares Outstanding		10,384,337
Document Fiscal Year Focus	2012
Document Fiscal Period Focus	Q1

Condensed Consolidated Statements of Operations - USD ($) shares in Thousands, $ in Thousands	3 Months Ended
	Mar. 31, 2012	Apr. 02, 2011
Revenues	$ 69,132	$ 78,607
Costs of services	46,487	51,560
Gross profit	22,645	27,047
Selling, general and administrative expenses	17,867	17,828
Depreciation and amortization	1,472	1,299
Income from operations	3,306	7,920
Interest income	66	82
Interest expense	(80)	(392)
Other expense, net	(39)	(146)
Income before provision for income taxes	3,253	7,464
Provision for income taxes	(2,817)	(3,003)
Net income	436	4,461
Net loss (income) attributable to noncontrolling interest, net of tax	83	(26)
Net income attributable to CRA International, Inc.	$ 519	$ 4,435
Net income per share attributable to CRA International, Inc.:
Basic (in dollars per share)	$ 0.05	$ 0.42
Diluted (in dollars per share)	$ 0.05	$ 0.41
Weighted average number of shares outstanding:
Basic (in shares)	10,316	10,613
Diluted (in shares)	10,493	10,798

Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2012	Apr. 02, 2011
Net income	$ 436	$ 4,461
Other comprehensive income:
Foreign currency translation adjustments	1,717	2,097
Comprehensive income	2,153	6,558
Less: comprehensive loss (income) attributable to noncontrolling interest	83	(26)
Comprehensive income attributable to CRA International, Inc.	$ 2,236	$ 6,532

- Definition

The change in equity [net assets] of a business enterprise during a period from transactions and other events and circumstances from non-owner sources which are attributable to the reporting entity. It includes all changes in equity during a period except those resulting from investments by owners and distributions to owners, but excludes any and all transactions which are directly or indirectly attributable to that ownership interest in subsidiary equity which is not attributable to the parent.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher AICPA
-Name Accounting Research Bulletin (ARB)
-Number 51
-Paragraph 8, 9, 10, 11, 12, 13, 14
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher AICPA
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-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

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+ Details

- Definition

The change in equity [net assets] of a business enterprise during a period from transactions and other events and circumstances from non-owner sources which are attributable to noncontrolling interests, if any. It includes all changes in equity during a period except those resulting from investments by owners and distributions to owners, which are directly or indirectly attributable to that ownership interest in subsidiary equity which is not attributable to the parent.

+ References + Details

- Definition

The change in equity [net assets] of a business enterprise during a period from transactions and other events and circumstances from non-owner sources which are attributable to the economic entity, including both controlling (parent) and noncontrolling interests. It includes all changes in equity during a period except those resulting from investments by owners and distributions to owners, including any and all transactions which are directly or indirectly attributable to that ownership interest in subsidiary equity which is not attributable to the parent.

+ References + Details

- Definition

The consolidated profit or loss for the period, net of income taxes, including the portion attributable to the noncontrolling interest.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher AICPA
-Name Accounting Research Bulletin (ARB)
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-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher AICPA
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-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 3: http://www.xbrl.org/2003/role/presentationRef
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+ Details

Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Mar. 31, 2012	Dec. 31, 2011
Current assets:
Cash and cash equivalents	$ 41,562	$ 61,587
Short-term investments	9,494	14,495
Accounts receivable, net of allowances of $8,381 at March 31, 2012 and $6,548 at December 31, 2011	55,199	68,394
Unbilled services	35,523	16,326
Prepaid expenses and other assets	9,193	8,224
Deferred income taxes	20,776	20,898
Total current assets	171,747	189,924
Property and equipment, net	21,126	21,611
Goodwill	141,904	140,654
Intangible assets, net of accumulated amortization of $6,587 at March 31, 2012 and $6,806 at December 31, 2011	2,342	2,472
Deferred income taxes, net of current portion	108	105
Other assets	17,072	17,341
Total assets	354,299	372,107
Current liabilities:
Accounts payable	10,810	10,469
Accrued expenses	41,765	60,502
Deferred revenue and other liabilities	7,597	7,707
Current portion of deferred rent	4,216	2,870
Current portion of notes payable	650	650
Current portion of deferred compensation	2,171	75
Total current liabilities	67,209	82,273
Notes payable, net of current portion	1,652	1,631
Deferred rent and other non-current liabilities	8,035	9,423
Deferred compensation		1,714
Deferred income taxes, net of current portion	8,712	8,659
Commitments and contingencies
Shareholders' equity:
Preferred stock, no par value; 1,000,000 shares authorized; none issued and outstanding
Common stock, no par value; 25,000,000 shares authorized; 10,285,474 shares and 10,329,051 shares issued and outstanding at March 31, 2012 and December 31, 2011, respectively	96,704	98,578
Receivables from shareholders	(236)	(236)
Retained earnings	176,119	175,600
Accumulated other comprehensive loss	(4,621)	(6,338)
Total CRA International, Inc. shareholders' equity	267,966	267,604
Noncontrolling interest	725	803
Total shareholders' equity	268,691	268,407
Total liabilities and shareholders' equity	$ 354,299	$ 372,107

Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Mar. 31, 2012	Dec. 31, 2011
Condensed Consolidated Balance Sheets
Accounts receivable, allowances (in dollars)	$ 8,381	$ 6,548
Intangible assets, accumulated amortization (in dollars)	$ 6,587	$ 6,806
Preferred stock, shares authorized	1,000,000	1,000,000
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0
Common stock, shares authorized	25,000,000	25,000,000
Common stock, shares issued	10,285,474	10,329,051
Common stock, shares outstanding	10,285,474	10,329,051

Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands	3 Months Ended
	Mar. 31, 2012	Apr. 02, 2011
Operating activities:
Net income	$ 436	$ 4,461
Adjustments to reconcile net income to net cash used in operating activities, net of effect of acquired business:
Depreciation and amortization	1,477	1,322
Deferred rent	(99)	(1,862)
Deferred income taxes	180	176
Share-based compensation expenses	1,527	1,670
Excess tax benefits from share-based compensation	(37)
Noncash interest from discount on convertible debentures		129
Changes in operating assets and liabilities, exclusive of acquisitions:
Accounts receivable	13,811	(787)
Unbilled services	(19,031)	(3,989)
Prepaid expenses and other assets	(556)	(1,102)
Accounts payable, accrued expenses, and other liabilities	(18,793)	(2,885)
Net cash used in operating activities	(21,085)	(2,867)
Investing activities:
Consideration relating to acquisitions, net		(289)
Purchase of property and equipment	(673)	(2,465)
Purchase of investments	(9,494)	(31,430)
Sale of investments	14,495
Net cash provided by (used in) investing activities	4,328	(34,184)
Financing activities:
Issuance of common stock, principally stock option exercises	316	282
Tax withholding payment reimbursed by restricted shares	(719)	(685)
Excess tax benefits from share-based compensation	37
Repurchase of common stock	(3,050)
Repurchase of treasury stock by NeuCo, Inc.		(33)
Net cash used in financing activities	(3,416)	(436)
Effect of foreign exchange rates on cash and cash equivalents	148	293
Net decrease in cash and cash equivalents	(20,025)	(37,194)
Cash and cash equivalents at beginning of period	61,587	87,505
Cash and cash equivalents at end of period	41,562	50,311
Supplemental cash flow information:
Cash paid for income taxes	4,901	2,420
Cash paid for interest	$ 56	$ 34

Condensed Consolidated Statement of Shareholders' Equity - 3 months ended Mar. 31, 2012 - USD ($) $ in Thousands	Total	CRA International, Inc. Shareholders' Equity	Common Stock	Receivable from Shareholder	Retained Earnings	Accumulated Other Comprehensive Income (Loss)	Noncontrolling Interest
BALANCE at Dec. 31, 2011	$ 268,407	$ 267,604	$ 98,578	$ (236)	$ 175,600	$ (6,338)	$ 803
BALANCE (in shares) at Dec. 31, 2011	10,329,051		10,329,051
Increase (Decrease) in Shareholders' Equity
Net income	$ 436	519			519		(83)
Foreign currency translation adjustment	1,717	1,717				1,717
Other comprehensive income	1,717	1,717				1,717
Exercise of stock options	316	316	$ 316
Exercise of stock options (in shares)			22,951
Share-based compensation expense for employees	1,499	1,499	$ 1,499
Restricted share vesting (in shares)			87,437
Redemption of vested employee restricted shares for tax withholding	(719)	(719)	$ (719)
Redemption of vested employee restricted shares for tax withholding (in shares)			(31,165)
Tax benefit on stock options and restricted shares vesting	52	52	$ 52
Shares repurchased	(3,050)	(3,050)	$ (3,050)
Shares repurchased (in shares)			(122,800)
Share-based compensation expense for non-employees	28	28	$ 28
Equity transactions of noncontrolling interest	5						5
BALANCE at Mar. 31, 2012	$ 268,691	$ 267,966	$ 96,704	$ (236)	$ 176,119	$ (4,621)	$ 725
BALANCE (in shares) at Mar. 31, 2012	10,285,474		10,285,474

Description of Business

3 Months Ended

Mar. 31, 2012

Description of Business

Description of Business

1. Description of Business

CRA International, Inc. (the "Company," or "CRA") is a worldwide leading consulting services firm that applies advanced analytic techniques and in-depth industry knowledge to complex engagements for a broad range of clients. CRA offers its services in two broad areas: litigation, regulatory and financial consulting and management consulting. CRA operates in one business segment, which is consulting services. CRA operates its business under its registered trade name, Charles River Associates.

Unaudited Interim Condensed Consolidated Financial Statements and Estimates

3 Months Ended

Mar. 31, 2012

Unaudited Interim Condensed Consolidated Financial Statements and Estimates

Unaudited Interim Condensed Consolidated Financial Statements and Estimates

2. Unaudited Interim Condensed Consolidated Financial Statements and Estimates

The following financial statements included in this report are unaudited: the condensed consolidated statements of operations for the fiscal quarters ended March 31, 2012 and April 2, 2011, the condensed consolidated statements of comprehensive income for the fiscal quarters ended March 31, 2012 and April 2, 2011, the condensed consolidated balance sheet as of March 31, 2012, the condensed consolidated statements of cash flows for the fiscal quarters ended March 31, 2012 and April 2, 2011, and the condensed consolidated statement of shareholders' equity for the fiscal quarter ended March 31, 2012. In the opinion of management, these statements include all adjustments necessary for a fair presentation of CRA's consolidated financial position, results of operations, and cash flows. The condensed consolidated balance sheet as of December 31, 2011 included in this report was derived from audited consolidated financial statements included in the Company's Annual Report on Form 10-K that was filed on March 2, 2012.

The preparation of financial statements in conformity with generally accepted accounting principles in the U.S. ("U.S. GAAP") requires management to make significant estimates and judgments that affect the reported amounts of assets and liabilities, and disclosure of contingent assets and liabilities, at the date of the financial statements, and the reported amounts of revenues and expenses during the reporting period. Estimates in these consolidated financial statements include, but are not limited to, accounts receivable allowances, revenue recognition on fixed price contracts, depreciation of property and equipment, share-based compensation, valuation of acquired intangible assets, impairment of long lived assets, goodwill, accrued and deferred income taxes, valuation allowances on deferred tax assets, accrued compensation, accrued exit costs, and other accrued expenses. These items are monitored and analyzed by the Company for changes in facts and circumstances, and material changes in these estimates could occur in the future. Changes in estimates are recorded in the period in which they become known. CRA bases its estimates on historical experience and various other assumptions that CRA believes to be reasonable under the circumstances. Actual results may differ from those estimates if CRA's assumptions based on past experience or other assumptions do not turn out to be substantially accurate.

- Definition

The entire disclosure for the quarterly financial data in the annual financial statements. The disclosure may include a tabular presentation of financial information for each fiscal quarter for the current and previous year, including revenues, gross profit, income or loss before extraordinary items and earnings per share data. It also includes an indication if the information in the note is unaudited, comments on the aggregate effect of year-end adjustments, and an explanation of matters or transactions that affect comparability or are pertinent to an understanding of the information furnished.

+ References + Details

Principles of Consolidation

3 Months Ended

Mar. 31, 2012

Principles of Consolidation

Principles of Consolidation

3. Principles of Consolidation

The consolidated financial statements include the accounts of the Company and its wholly owned subsidiaries. In addition, the consolidated financial statements include the Company's interest in NeuCo, Inc. ("NeuCo"). All significant intercompany accounts have been eliminated.

CRA's ownership interest in NeuCo constitutes control under U.S. GAAP. Therefore, NeuCo's financial results have been consolidated with CRA and the portion of NeuCo's results allocable to its other owners is shown as "noncontrolling interest."

NeuCo's interim reporting schedule is based on calendar month-ends, but its fiscal year end is the last Saturday of November. CRA's quarterly results could include a few days reporting lag between CRA's quarter end and the most recent financial statements available from NeuCo. CRA does not believe that the reporting lag will have a significant impact on CRA's consolidated statements of operations or financial condition.

- Definition

The entire disclosure for organization, consolidation and basis of presentation of financial statements disclosure.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher AICPA
-Name Accounting Research Bulletin (ARB)
-Number 51
-Paragraph 2-6
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 2: http://www.xbrl.org/2003/role/presentationRef
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-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

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+ Details

Adoption of New Accounting Standards

3 Months Ended

Mar. 31, 2012

Adoption of New Accounting Standards

Adoption of New Accounting Standards

4. Adoption of New Accounting Standards

Goodwill

In September 2011, the FASB issued Accounting Standards Update ("ASU") No. 2011-08, Intangibles—Goodwill and Other (Topic 350): Testing Goodwill for Impairment ("ASU 2011-08"). The objective of ASU 2011-08 is to simplify how entities test goodwill for impairment. The amendments in ASU 2011-08 permit an entity to first assess qualitative factors to determine whether it is more likely than not that the fair value of a reporting unit is less than its carrying amount as a basis for determining whether it is necessary to perform the two-step goodwill impairment test described in Topic 350. The more-likely-than-not threshold is defined as having a likelihood of more than 50 percent. ASU 2011-08 is effective for annual and interim goodwill impairment tests performed for fiscal years beginning after December 15, 2011. The Company's adoption of ASU 2011-08 in the first quarter of fiscal 2012 had no impact on its financial position, results of operations, cash flows, or disclosures.

Comprehensive Income

In June 2011, the FASB issued ASU No. 2011-05, Comprehensive Income (Topic 220): Presentation of Comprehensive Income ("ASU 2011-05"). The objective of ASU 2011-05 is to increase the prominence of items reported in other comprehensive income. The main provisions of ASU 2011-05 provide that an entity that reports items of other comprehensive income has the option to present comprehensive income in either one or two consecutive financial statements. The option in current U.S. GAAP that permits the presentation of other comprehensive income in the statement of changes in equity has been eliminated. ASU 2011-05 is effective for fiscal years, and interim periods within those years, beginning after December 15, 2011 and should be applied retrospectively. The Company adopted ASU 2011-05 in the first quarter of fiscal 2012 and elected to present other comprehensive income in two consecutive financial statements. The Company's adoption of ASU 2011-05 had no impact on its financial position, results of operations, or cash flows.

Fair Value Measurements

In May 2011, the FASB issued ASU No. 2011-04, Fair Value Measurements (Topic 820): Amendments to Achieve Common Fair Value Measurement and Disclosure Requirements in U.S. GAAP and IFRSs ("ASU 2011-04"). ASU 2011-04 does not require additional fair value measurements and is primarily a convergence of words between U.S. GAAP and IFRS. ASU 2011-04 was effective for the first interim or annual reporting period beginning on or after December 15, 2011. The Company's adoption of ASU 2011-04 in the first quarter of fiscal 2012 had no impact on its financial position, results of operations, cash flows, or disclosures.

- Definition

The entire disclosure for reporting accounting changes and error corrections. It includes the conveyance of information necessary for a user of the Company's financial information to understand all aspects and required disclosure information concerning all changes and error corrections reported in the Company's financial statements for the period.

+ References + Details

Cash Equivalents and Investments

3 Months Ended

Mar. 31, 2012

Cash Equivalents and Investments

Cash Equivalents and Investments

5. Cash Equivalents and Investments

Cash equivalents consist principally of commercial paper, funds holding only U.S. government obligations, and money market funds, with maturities of three months or less when purchased. As of March 31, 2012, a portion of the Company's cash accounts was concentrated at a single financial institution, which potentially exposes the Company to credit risks. The financial institution has generally "stable" credit ratings and its short-term credit rating is A-1 by Standard & Poor's ratings services. The Company has not experienced any losses related to such accounts and does not believe that there is significant risk of non-performance by the financial institution. The Company's cash on deposit at this financial institution is fully liquid, and the Company continually monitors the credit ratings of the institution and limits the amount of cash it maintains at this institution.

Short-term investments generally consist of commercial paper and have maturities of more than three months and less than one year when purchased. These short-term investments are expected to be held-to-maturity and are classified as such in the accompanying condensed consolidated financial statements.

The carrying amounts of the Company's instruments classified as cash equivalents and short-term investments are stated at amortized cost, which approximates fair value because of their short-term maturity. As of March 31, 2012 and December 31, 2011, short-term investments included $9.5 million and $14.5 million in commercial paper, respectively, and are considered Level 2 inputs within the fair value hierarchy.

If a decline in fair value below the amortized cost basis of an investment is judged to be other-than-temporary, the cost basis of the investment is written down to fair value. For those investments for which the fair value of the investment is less than its amortized cost, the credit-related portion of other-than-temporary impairment losses is recognized in earnings while the noncredit-related portion is recognized in other comprehensive income, net of related taxes. The Company does not intend to sell such investments, if any, and it is more likely than not that it will not be required to sell such investments prior to the recovery of its amortized cost basis less any current period credit losses. During the first quarter of fiscal 2012 and the first quarter of 2011, the Company did not write-down any investment balances.

Revenue Recognition

3 Months Ended

Mar. 31, 2012

Revenue Recognition

Revenue Recognition

6. Revenue Recognition

CRA derives substantially all of its revenues from the performance of professional services. The contracts that CRA enters into and operates under specify whether the engagement will be billed on a time-and-materials or a fixed-price basis. Most of CRA's revenue is derived from time-and-materials service contracts. Revenues from time-and-materials service contracts are recognized as services are provided based upon hours worked and contractually agreed-upon hourly rates, as well as indirect fees based upon hours worked. Revenues from a majority of the Company's fixed-price engagements are recognized on a proportional performance method based on the ratio of costs incurred, substantially all of which are labor-related, to the total estimated project costs.

Revenues also include reimbursements, which include travel and other out-of-pocket expenses, outside consultants, and other reimbursable expenses. Reimbursable expenses are as follows (in thousands):

	Quarter Ended

	March 31, 2012		April 2, 2011
Reimbursable expenses	$	8,297	$	10,376

CRA collects goods and services and value added taxes from customers and records these amounts on a net basis, which is within the scope of Accounting Standards Codification ("ASC") Topic 605-45, "Principal Agent Considerations."

Goodwill

3 Months Ended

Mar. 31, 2012

Goodwill

Goodwill

7. Goodwill

In accordance with ASC Topic 350, "Intangibles—Goodwill and Other," goodwill is not subject to amortization, but is monitored at least annually for impairment, or more frequently, as necessary, if there are other indicators of impairment. For the Company's goodwill impairment analysis, the Company operates under one reporting unit. The Company completed the annual impairment test required as of fiscal 2011 and determined that there was no impairment. At the time of the annual test, the entity-wide estimated fair value exceeded the net book value by approximately 25%. The Company continues to monitor its market capitalization. If the Company's market capitalization, plus an estimated control premium, is below its carrying value for a period considered to be other-than-temporary, it is possible that the Company may be required to record an impairment of goodwill either as a result of the annual assessment that the Company conducts in the fourth quarter of each fiscal year, or in a future quarter if an indication of potential impairment is evident. A non-cash goodwill impairment charge would have the effect of decreasing the Company's earnings in such period.

The changes in the carrying amount of goodwill during the quarter ended March 31, 2012, are as follows (in thousands):


Balance at December 31, 2011	$	140,654
Effect of foreign currency translation		1,250

Balance at March 31, 2012	$	141,904

Senior Loan Agreement

3 Months Ended

Mar. 31, 2012

Senior Loan Agreement

Senior Loan Agreement

8. Senior Loan Agreement

The Company is party to a senior loan agreement with RBS Citizens, N.A for a $60.0 million revolving line of credit that provides CRA with the additional flexibility to meet any unforeseen financial requirements. The amount available under this revolving line of credit is reduced by certain letters of credit outstanding, which amounted to $0.7 million as of March 31, 2012. There was no amount outstanding under this revolving line of credit as of March 31, 2012.

Under the senior loan agreement, the Company must comply with various financial and non-financial covenants. As of March 31, 2012, we were in compliance with the senior loan agreement.

- Definition

The entire disclosure for information about short-term and long-term debt arrangements, which includes amounts of borrowings under each line of credit, note payable, commercial paper issue, bonds indenture, debenture issue, own-share lending arrangements and any other contractual agreement to repay funds, and about the underlying arrangements, rationale for a classification as long-term, including repayment terms, interest rates, collateral provided, restrictions on use of assets and activities, whether or not in compliance with debt covenants, and other matters important to users of the financial statements, such as the effects of refinancing and noncompliance with debt covenants.

+ References + Details

Net Income per Share

3 Months Ended

Mar. 31, 2012

Net Income per Share

Net Income per Share

9. Net Income per Share

Basic net income per share represents net income divided by the weighted average shares of common stock outstanding during the period. Diluted net income per share represents net income divided by the weighted average shares of common stock and common stock equivalents, if applicable, outstanding during the period. Common stock equivalents arise from stock options and unvested restricted share awards, using the treasury stock method. Under the treasury stock method, the amount the Company would receive on the exercise of stock options and the vesting of the restricted stock awards, the amount of compensation cost for future service that the Company has not yet recognized, and the amount of tax benefits that would be recorded in common stock when these awards become deductible are assumed to be used to repurchase the shares underlying these awards at the average share price for each fiscal period, and these repurchased shares are netted against the underlying stock options and unvested restricted shares. A reconciliation of basic to diluted weighted average shares of common stock outstanding is as follows (in thousands):

	Quarter Ended

	March 31, 2012		April 2, 2011
Basic weighted average shares outstanding		10,316		10,613
Common stock equivalents:
Stock options and restricted shares		177		185

Diluted weighted average shares outstanding		10,493		10,798

For the first quarters of fiscal 2012 and fiscal 2011, the anti-dilutive share based awards that were excluded from the calculation of common stock equivalents for purposes of computing diluted weighted average shares outstanding amounted to 1,237,495 and 1,025,198 shares, respectively. These share-based awards were anti-dilutive because their exercise price exceeded the average market price for the respective period.

On August 30, 2011, we announced that our Board of Directors approved a share repurchase program of up to $7.5 million of our common stock. During the first quarter of fiscal 2012, we repurchased 122,800 shares under this share repurchase program at an average price per share of $24.87. On February 22, 2012, our Board of Directors authorized the repurchase of up to an additional $4.45 million of our common stock. As of March 31, 2012, $4.7 million was available for future repurchases under these share repurchase programs.

On March 5, 2012, the Company's Compensation Committee of its Board of Directors approved for issuance approximately 122,000 share-based awards that were earned (subject in some cases to further time-based vesting) upon the achievement of certain financial performance goals for fiscal 2011. Upon such approval, approximately 25% of such shares vested, with the remaining shares expected to vest equally on November 8, 2012, November 8, 2013, and November 8, 2014.

Income Taxes

3 Months Ended

Mar. 31, 2012

Income Taxes

Income Taxes

10. Income Taxes

The Company's effective income tax rates were 86.6% and 40.2% for the first quarter of fiscal 2012 and the first quarter of fiscal 2011, respectively. The effective tax rate in the first quarter of fiscal 2012 was higher than the statutory rate primarily due to losses in foreign locations that provided no tax benefit. The effective tax rate in the first quarter of fiscal 2011 was consistent with the Company's combined federal and state statutory tax rate.

- Definition

The entire disclosure for income taxes. Disclosures may include net deferred tax liability or asset recognized in an enterprise's statement of financial position, net change during the year in the total valuation allowance, approximate tax effect of each type of temporary difference and carryforward that gives rise to a significant portion of deferred tax liabilities and deferred tax assets, utilization of a tax carryback, and tax uncertainties information.

+ References

Reference 1: http://www.xbrl.org/2003/role/presentationRef
-Publisher SEC
-Name Regulation S-X (SX)
-Number 210
-Section 08
-Paragraph h
-Article 4

Reference 2: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 109
-Paragraph 136, 172
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 3: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Statement of Financial Accounting Standard (FAS)
-Number 109
-Paragraph 43, 44, 45, 46, 47, 48, 49
-LegacyDoc This reference is SUPERSEDED by the Accounting Standards Codification effective for interim and annual periods ending after September 15, 2009. This reference is included to help users transition from the previous accounting hierarchy and will be removed from future versions of this taxonomy.

Reference 4: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 15
-URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32718-109319

Reference 5: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 9
-URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32639-109319

Reference 6: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 235
-SubTopic 10
-Section S99
-Paragraph 1
-Subparagraph (SX 210.4-08.(h))
-URI http://asc.fasb.org/extlink&oid=6881521&loc=d3e23780-122690

Reference 7: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 2
-URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32537-109319

Reference 8: http://www.xbrl.org/2003/role/presentationRef
-Publisher FASB
-Name Accounting Standards Codification
-Topic 740
-SubTopic 10
-Section 50
-Paragraph 3
-URI http://asc.fasb.org/extlink&oid=6907707&loc=d3e32559-109319

+ Details

Accrued Expenses

3 Months Ended

Mar. 31, 2012

Accrued Expenses

Accrued Expenses

11. Accrued Expenses

Accrued expenses consist of the following (in thousands):

	March 31, 2012		December 31, 2011

Compensation and related expenses	$	36,227	$	53,438
Income taxes payable		926		2,602
Other		4,612		4,462

Total	$	41,765	$	60,502

Restructuring Charges

3 Months Ended

Mar. 31, 2012

Restructuring Charges

Restructuring Charges

12. Restructuring Charges

During the first quarter of fiscal 2012, the Company incurred pre-tax expenses of $0.5 million associated principally with vacant leased office space. The Company recorded this expense in the first quarter of fiscal 2012 in selling, general and administrative expenses for a change in the estimate of the future minimum lease payments and related exit costs through the end of the remaining lease term, net of expected future sublease rental income measured at fair value. This estimated expense required management to make assumptions regarding the estimate of the duration of future vacancy periods, the amount and timing of future settlement payments, and the amount and timing of potential sublease income.

The restructuring reserve balance was as follows as of March 31, 2012 (in thousands):

	Office Vacancies

Balance at December 31, 2011	$	3,737
Charges incurred in the first quarter of fiscal 2012		545
Amounts paid, net of amounts received, during the first quarter of fiscal 2012		(595	)
Adjustments during the first quarter of fiscal 2012		7

Balance at March 31, 2012	$	3,694

On the accompanying balance sheet as of March 31, 2012, the reserve balance of $3.7 million was classified as follows: $2.5 million in "deferred rent and other non-current liabilities" and $1.2 million in "current portion of deferred rent".

The Company did not incur any restructuring charges during the first quarter of fiscal 2011. The restructuring reserve balances were as follows as of April 2, 2011 (in thousands):

	Office Vacancies			Employee Workforce Reduction			Total Restructuring

Balance at January 1, 2011	$	4,476		$	951		$	5,427
Amounts paid, net of amounts received, during the first quarter of fiscal 2011		(841	)		(305	)		(1,146	)
Adjustments and effect of foreign currency translation during the first quarter of fiscal 2011		(37	)		(294	)		(331	)

Balance at April 2, 2011	$	3,598		$	352		$	3,950

- Definition

The entire disclosure for restructuring and related activities. Description of restructuring activities such as exit and disposal activities, include facts and circumstances leading to the plan, the expected plan completion date, the major types of costs associated with the plan activities, total expected costs, the accrual balance at the end of the period, and the periods over which the remaining accrual will be settled.

+ References + Details

Compensation Arrangements

3 Months Ended

Mar. 31, 2012

Compensation Arrangements

Compensation Arrangements

13. Compensation Arrangements

In connection with a previous acquisition, CRA has agreed to pay an award to certain employees of the acquired business if they achieve specific performance targets through fiscal 2012. Retention of amounts paid to the individual employees is contingent on their continued employment with CRA through 2016. As of March 31, 2012, based upon performance to date and expected performance for the remainder of fiscal 2012, the amount of the award is estimated to be approximately $9.6 million and is being expensed over the seven and a half year service period ending in December 2016. The amount of the award could fluctuate depending on future performance during fiscal 2012. Any payments under this award would be made in the first quarter of fiscal 2013. Changes in the estimated award are expensed prospectively over the remaining service period. The Company expensed $0.4 million and $0.2 million for this award during the first quarters of fiscal 2012 and fiscal 2011, respectively.

- Definition

The entire disclosure for compensation costs, including compensated absences accruals, compensated absences liability, deferred compensation arrangements and income statement compensation items. Deferred compensation arrangements may include a description of an arrangement with an individual employee, which is generally an employment contract between the entity and a selected officer or key employee containing a promise by the employer to pay certain amounts at designated future dates, usually including a period after retirement, upon compliance with stipulated requirements. This type of arrangement is distinguished from broader based employee benefit plans as it is usually tailored to the employee. Disclosure also typically includes the amount of related compensation expense recognized during the reporting period, the number of shares (units) issued during the period under such arrangements, and the carrying amount as of the balance sheet date of the related liability.

+ References + Details

Subsequent Events

3 Months Ended

Mar. 31, 2012

Subsequent Events

Subsequent Events

14. Subsequent Events

On April 2, 2012, the Company entered into an agreement with the landlord of its London, England office to surrender the lease of one of the three floors it currently leases in the office building in London. Under this agreement, the Company will surrender its lease of this floor on June 30, 2012, instead of on the lease's original termination date of October 2, 2016. On the date of surrender, the Company will pay the landlord approximately $1.2 million in connection with the surrender. The Company estimates that in the second quarter of fiscal 2012, the Company will record pre-tax restructuring charges of approximately $2 million in connection with the surrender of this lease. Additionally, the Company estimates that its operating lease obligations as disclosed at December 31, 2011 in its annual report on Form 10-K for fiscal 2011 will decrease by approximately $3.6 million in the aggregate for fiscal 2013 through fiscal 2016. The reduction in contractual lease obligations is a pre-tax amount and any future savings realized by this reduction may be impacted by other costs, including incentive compensation, in fiscal years 2013 through fiscal 2016.