Charles River Discusses Business Outlook (CRL)

Charles River Laboratories International, Inc. CRL shared today its outlook for its business, highlighting its unique portfolio in the industry, which is well aligned with clients' increasing demand for integrated offerings from discovery through preclinical development. The Company also announced that it is intensifying its focus on four key initiatives to drive increased shareholder value, and provided guidance for 2011. The four key initiatives are centered on optimizing returns for shareholders, as follows: Improving the consolidated operating margin Improving free cash flow generation Disciplined investment in growth businesses Returning value to shareholders The Company is updating its forward-looking guidance for 2010, which was previously provided on November 3, 2010, to reflect its intention to pursue strategic alternatives for its U.S. Phase I clinic. The Company intends to treat the Phase I clinical business as a discontinued operation for accounting purposes, and therefore, its results will be excluded from sales and earnings per share on a continuing basis. The result of this change impacts 2010 sales and earnings per share guidance as follows: Revised guidance SALES: $1,115 - $1,125 vs $1,135 to $1,145 prior GAAP EPS: $0.28-$0.33 vs. $0.25-$0.30 prior NON-GAAP EPS: $1.88 - $1.93 vs. $1.85-$1.90 prior