Kelly Services(R) Reports 3rd Quarter 2011 Results

| Source: Kelly Services, Inc. Kelly Services, Inc.

TROY, MI--(Marketwire - Nov 9, 2011) - Kelly Services, Inc. (NASDAQ: KELYA) (NASDAQ: KELYB), a leader in providing workforce solutions, today announced results for the third quarter.

Carl T. Camden, President and Chief Executive Officer, announced revenue for the third quarter of 2011 totaled $1.4 billion, a 10% increase compared to the corresponding quarter in 2010.

Earnings from operations for the third quarter of 2011 totaled $22 million, compared to earnings from operations of $14 million reported for the third quarter of 2010.

Diluted earnings per share from continuing operations in the third quarter of 2011 were $0.52 compared to third quarter 2010 earnings of $0.26 per share.

In view of the economic challenges, Camden called Kelly's third quarter performance solid and particularly encouraging. "We are seeing continued demand for temporary staffing services ahead of last year. Today's employers are seeking greater workforce flexibility as they adapt to new market realities, and Kelly® is in an excellent position to provide customized solutions - particularly through outsourcing and consulting, and highly skilled professional and technical services. When coupled with our leaner cost structure, that business mix has the potential to accelerate profit growth going forward."

In conjunction with its third quarter earnings release, Kelly Services, Inc. will host a conference call at 9:00 a.m. (ET) on November 9, to review the results and answer questions. The call may be accessed in one of the following ways:

Via the Telephone:

U.S. 1 800 288 9626
International 1 651 291 5254

The pass code is Kelly Services

Via the Internet:

The call is also available via the internet through the Kelly Services website:
www.kellyservices.com

This release contains statements that are forward looking in nature and accordingly, are subject to risks and uncertainties. These factors include, but are not limited to, competitive market pressures including pricing, changing market and economic conditions, our ability to achieve our business strategy, including our ability to successfully expand into new markets and service lines, material changes in demand from or loss of large corporate customers, impairment charges initiated by adverse industry or market developments, unexpected termination of customer contracts, availability of temporary workers with appropriate skills required by customers, liabilities for employment-related claims and losses, including class action lawsuits, liability for improper disclosure of sensitive or private employee information, unexpected changes in claim trends on workers' compensation and benefit plans, our ability to maintain specified financial covenants in our bank facilities, our ability to access credit markets and continued availability of financing for funding working capital, our ability to sustain critical business applications through our key data centers, our ability to effectively implement and manage our information technology programs, our ability to retain the services of our senior management, local management and field personnel, the impact of changes in laws and regulations (including federal, state and international tax laws and the upcoming expiration of the U.S. work opportunity credit program), the net financial impact of recent U.S. healthcare legislation on our business, risks associated with conducting business in foreign countries, including foreign currency fluctuations, and other risks, uncertainties and factors discussed in this release and in the Company's filings with the Securities and Exchange Commission. Actual results may differ materially from any forward looking statements contained herein, and we have no intention to update these statements.

About Kelly Services
Kelly Services, Inc. (NASDAQ: KELYA) (NASDAQ: KELYB) is a leader in providing workforce solutions. Kelly offers a comprehensive array of outsourcing and consulting services as well as world-class staffing on a temporary, temporary-to-hire and direct-hire basis. Serving clients around the globe, Kelly provides employment to more than 530,000 employees annually. Revenue in 2010 was $5 billion. Visit www.kellyservices.com and connect with us on Facebook, LinkedIn, & Twitter.

KELLY SERVICES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF EARNINGS
FOR THE 13 WEEKS ENDED OCTOBER 2, 2011 AND OCTOBER 3, 2010
(UNAUDITED)
(In millions of dollars except per share data)
2011 2010 Change % Change
Revenue from services $ 1,409.8 $ 1,284.7 $ 125.1 9.7 %
Cost of services 1,181.2 1,077.5 103.7 9.6
Gross profit 228.6 207.2 21.4 10.4
Selling, general and administrative
expenses
206.5 192.9 13.6 7.1
Earnings from operations 22.1 14.3 7.8 54.7
Other income (expense), net 1.0 (1.5 ) 2.5 161.7
Earnings from continuing operations before taxes 23.1 12.8 10.3 80.2
Income taxes 3.4 3.2 0.2 4.6
Earnings from continuing operations 19.7 9.6 10.1 105.6
Loss from discontinued operations, net of tax - - - NM
Net earnings $ 19.7 $ 9.6 $ 10.1 105.6 %
Basic earnings per share on common stock
Earnings from continuing operations $ 0.52 $ 0.26 $ 0.26 100.0 %
Loss from discontinued operations - - - NM
Net earnings 0.52 0.26 0.26 100.0
Diluted earnings per share on common stock
Earnings from continuing operations $ 0.52 $ 0.26 $ 0.26 100.0 %
Loss from discontinued operations - - - NM
Net earnings 0.52 0.26 0.26 100.0
STATISTICS:
Gross profit rate 16.2 % 16.1 % 0.1 pts.
Selling, general and administrative expenses:
% of revenue 14.6 15.0 (0.4 )
% of gross profit 90.3 93.1 (2.8 )
% Return - Earnings from operations 1.6 1.1 0.5
Earnings from continuing operations before taxes 1.6 1.0 0.6
Earnings from continuing operations 1.4 0.7 0.7
Net earnings 1.4 0.7 0.7
Effective income tax rate 14.6 % 25.1 % (10.5 ) pts.
Average number of shares outstanding (millions):
Basic 36.8 36.7
Diluted 36.8 36.7
Shares adjusted for nonvested restricted awards (millions):
Basic 37.8 37.0
Diluted 37.8 37.0

KELLY SERVICES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF EARNINGS
FOR THE 39 WEEKS ENDED OCTOBER 2, 2011 AND OCTOBER 3, 2010
(UNAUDITED)
(In millions of dollars except per share data)
2011 2010 Change % Change
Revenue from services $ 4,154.7 $ 3,624.5 $ 530.2 14.6 %
Cost of services 3,487.8 3,046.4 441.4 14.5
Gross profit 666.9 578.1 88.8 15.4
Selling, general and administrative
expenses 621.9 555.4 66.5 12.0
Asset impairments - 1.5 (1.5 ) (100.0 )
Earnings from operations 45.0 21.2 23.8 112.3
Other expense, net (0.1 ) (4.7 ) 4.6 97.3
Earnings from continuing operations before taxes 44.9 16.5 28.4 171.3
Income taxes 4.1 5.0 (0.9 ) (18.9 )
Earnings from continuing operations 40.8 11.5 29.3 254.9
Loss from discontinued operations, net of tax (1.2 ) - (1.2 ) NM
Net earnings $ 39.6 $ 11.5 $ 28.1 244.7 %
Basic earnings per share on common stock
Earnings from continuing operations $ 1.09 $ 0.32 $ 0.77 240.6 %
Loss from discontinued operations (0.03 ) - (0.03 ) NM
Net earnings 1.05 0.32 0.73 228.1
Diluted earnings per share on common stock
Earnings from continuing operations $ 1.09 $ 0.32 $ 0.77 240.6 %
Loss from discontinued operations (0.03 ) - (0.03 ) NM
Net earnings 1.05 0.32 0.73 228.1
STATISTICS:
Gross profit rate 16.1 % 16.0 % 0.1 pts.
Selling, general and administrative expenses:
% of revenue 15.0 15.3 (0.3 )
% of gross profit 93.3 96.1 (2.8 )
% Return - Earnings from operations 1.1 0.6 0.5
Earnings from continuing operations before taxes 1.1 0.5 0.6
Earnings from continuing operations 1.0 0.3 0.7
Net earnings 1.0 0.3 0.7
Effective income tax rate 9.1 % 30.6 % (21.5 ) pts.
Average number of shares outstanding (millions):
Basic 36.8 35.9
Diluted 36.8 35.9
Shares adjusted for nonvested restricted awards (millions):
Basic 37.6 36.3
Diluted 37.6 36.3

KELLY SERVICES, INC. AND SUBSIDIARIES
RESULTS OF OPERATIONS BY SEGMENT
(UNAUDITED)
(In millions of dollars)
Third Quarter
Constant
Currency
2011 2010 Change Change
Americas Commercial
Revenue from services (including fee-based income) $ 661.7 $ 633.3 4.5 % 3.8 %
Fee-based income 3.2 2.2 47.7 46.3
Gross profit 93.9 92.3 1.7 1.1
Total SG&A expenses 72.1 69.1 4.3 3.7
Earnings from operations 21.8 23.2 (5.9 )
Gross profit rate 14.2 % 14.6 % (0.4 )pts.
Expense rates:
% of revenue 10.9 10.9 -
% of gross profit 76.7 74.8 1.9
Operating margin 3.3 3.7 (0.4 )
Americas PT
Revenue from services (including fee-based income) $ 250.8 $ 233.6 7.4 % 7.3 %
Fee-based income 3.2 2.2 48.1 47.7
Gross profit 38.0 37.2 2.0 1.9
Total SG&A expenses 26.0 23.5 10.6 10.4
Earnings from operations 12.0 13.7 (12.6 )
Gross profit rate 15.1 % 15.9 % (0.8 )pts.
Expense rates:
% of revenue 10.4 10.1 0.3
% of gross profit 68.4 63.1 5.3
Operating margin 4.8 5.9 (1.1 )
EMEA Commercial
Revenue from services (including fee-based income) $ 261.0 $ 228.1 14.4 % 2.8 %
Fee-based income 6.5 4.5 45.2 33.1
Gross profit 42.2 37.2 13.4 1.7
SG&A expenses excluding restructuring charges 36.3 32.4 11.8
Restructuring charges (0.6 ) - NM
Total SG&A expenses 35.7 32.4 10.0 (1.7 )
Earnings from operations 6.5 4.8 36.7
Earnings from operations excluding restructuring charges 5.9 4.8 24.3
Gross profit rate 16.2 % 16.3 % (0.1 )pts.
Expense rates (excluding restructuring charges):
% of revenue 13.9 14.2 (0.3 )
% of gross profit 86.0 87.2 (1.2 )
Operating margin (excluding restructuring charges) 2.3 2.1 0.2

KELLY SERVICES, INC. AND SUBSIDIARIES
RESULTS OF OPERATIONS BY SEGMENT (continued)
(UNAUDITED)
(In millions of dollars)
Third Quarter
Constant
Currency
2011 2010 Change Change
EMEA PT
Revenue from services (including fee-based income) $ 46.8 $ 37.1 26.3 % 14.1 %
Fee-based income 5.3 3.6 45.9 34.5
Gross profit 12.7 9.6 31.6 19.9
Total SG&A expenses 11.1 9.3 20.2 8.3
Earnings from operations 1.6 0.3 312.1
Gross profit rate 27.1 % 26.0 % 1.1 pts.
Expense rates:
% of revenue 23.8 25.0 (1.2 )
% of gross profit 87.7 96.1 (8.4 )
Operating margin 3.3 1.0 2.3
APAC Commercial
Revenue from services (including fee-based income) $ 101.8 $ 88.7 14.7 % 4.5 %
Fee-based income 3.8 3.0 28.3 17.2
Gross profit 14.7 12.4 18.8 7.6
Total SG&A expenses 14.1 11.4 23.5 11.4
Earnings from operations 0.6 1.0 (35.5 )
Gross profit rate 14.5 % 14.0 % 0.5 pts.
Expense rates:
% of revenue 13.8 12.8 1.0
% of gross profit 95.7 92.0 3.7
Operating margin 0.6 1.1 (0.5 )
APAC PT
Revenue from services (including fee-based income) $ 14.1 $ 8.2 72.3 % 58.8 %
Fee-based income 4.2 2.9 47.1 36.2
Gross profit 5.6 3.8 52.2 40.0
Total SG&A expenses 5.7 4.3 31.5 20.3
Earnings from operations (0.1 ) (0.5 ) 89.3
Gross profit rate 39.9 % 45.2 % (5.3 ) pts.
Expense rates:
% of revenue 40.4 53.0 (12.6 )
% of gross profit 101.2 117.1 (15.9 )
Operating margin (0.5 ) (7.7 ) 7.2

KELLY SERVICES, INC. AND SUBSIDIARIES
RESULTS OF OPERATIONS BY SEGMENT (continued)
(UNAUDITED)
(In millions of dollars)
Third Quarter
Constant
Currency
2011 2010 Change Change
OCG
Revenue from services (including fee-based income) $ 80.7 $ 64.1 25.9 % 24.4 %
Fee-based income 10.5 6.6 60.3 53.6
Gross profit 22.2 15.4 44.1 40.4
Total SG&A expenses 22.4 19.6 14.5 10.8
Earnings from operations (0.2 ) (4.2 ) 94.0
Gross profit rate 27.5 % 24.0 % 3.5 pts.
Expense rates:
% of revenue 27.8 30.5 (2.7 )
% of gross profit 101.1 127.2 (26.1 )
Operating margin (0.3 ) (6.5 ) 6.2
Corporate Expense
SG&A expenses excluding restructuring charges $ 20.1 $ 21.2 (4.8 )%
Restructuring charges - 2.8 (100.0 )
Total SG&A expenses 20.1 24.0 (16.1 )
Consolidated Total (net of intersegment activity)
Revenue from services (including fee-based income) $ 1,409.8 $ 1,284.7 9.7 % 6.1 %
Fee-based income 36.7 24.9 48.5 40.1
Gross profit 228.6 207.2 10.4 6.3
SG&A expenses excluding restructuring charges 207.1 190.1 9.0
Restructuring charges (0.6 ) 2.8 (120.7 )
Total SG&A expenses 206.5 192.9 7.1 3.0
Earnings from operations 22.1 14.3 54.7
Earnings from operations excluding restructuring charges 21.5 17.1 25.6
Gross profit rate 16.2 % 16.1 % 0.1 pts.
Expense rates (excluding restructuring charges):
% of revenue 14.7 14.8 (0.1 )
% of gross profit 90.6 91.7 (1.1 )
Operating margin (excluding restructuring charges) 1.5 1.3 0.2

KELLY SERVICES, INC. AND SUBSIDIARIES
RESULTS OF OPERATIONS BY SEGMENT
(UNAUDITED)
(In millions of dollars)
September Year to Date
Constant
Currency
2011 2010 Change Change
Americas Commercial
Revenue from services (including fee-based income) $ 1,985.3 $ 1,781.9 11.4 % 10.7 %
Fee-based income 8.8 6.5 36.9 35.3
Gross profit 280.1 256.5 9.2 8.5
SG&A expenses excluding restructuring charges 218.6 201.9 8.3
Restructuring charges - 0.3 (100.0 )
Total SG&A expenses 218.6 202.2 8.1 7.5
Earnings from operations 61.5 54.3 13.3
Earnings from operations excluding restructuring charges 61.5 54.6 12.6
Gross profit rate 14.1 % 14.4 % (0.3 )pts.
Expense rates (excluding restructuring charges):
% of revenue 11.0 11.3 (0.3 )
% of gross profit 78.0 78.7 (0.7 )
Operating margin (excluding restructuring charges) 3.1 3.1 -
Americas PT
Revenue from services (including fee-based income) $ 739.1 $ 659.1 12.1 % 12.0 %
Fee-based income 9.7 6.7 45.2 44.9
Gross profit 110.1 103.2 6.6 6.5
Total SG&A expenses 79.2 69.2 14.4 14.2
Earnings from operations 30.9 34.0 (9.1 )
Gross profit rate 14.9 % 15.7 % (0.8 ) pts.
Expense rates:
% of revenue 10.7 10.5 0.2
% of gross profit 71.9 67.0 4.9
Operating margin 4.2 5.2 (1.0 )
EMEA Commercial
Revenue from services (including fee-based income) $ 751.3 $ 642.8 16.9 % 6.5 %
Fee-based income 18.9 14.4 30.9 20.0
Gross profit 121.8 103.8 17.3 6.6
SG&A expenses excluding restructuring charges 107.9 95.7 12.7
Restructuring charges 2.8 2.7 4.0
Total SG&A expenses 110.7 98.4 12.5 2.2
Asset impairments - 1.5 (100.0 )
Earnings from operations 11.1 3.9 187.7
Earnings from operations excluding restructuring charges 13.9 6.6 112.3
Gross profit rate 16.2 % 16.1 % 0.1 pts.
Expense rates (excluding restructuring charges):
% of revenue 14.4 14.9 (0.5 )
% of gross profit 88.6 92.2 (3.6 )
Operating margin (excluding restructuring charges) 1.8 1.0 0.8

KELLY SERVICES, INC. AND SUBSIDIARIES
RESULTS OF OPERATIONS BY SEGMENT (continued)
(UNAUDITED)
(In millions of dollars)
September Year to Date
Constant
Currency
2011 2010 Change Change
EMEA PT
Revenue from services (including fee-based income) $ 134.0 $ 106.4 26.0 % 15.4 %
Fee-based income 15.0 11.2 32.8 22.5
Gross profit 36.1 28.3 26.9 16.7
Total SG&A expenses 32.8 27.6 19.0 8.5
Earnings from operations 3.3 0.7 289.0
Gross profit rate 26.9 % 26.7 % 0.2 pts.
Expense rates:
% of revenue 24.5 25.9 (1.4 )
% of gross profit 91.0 97.1 (6.1 )
Operating margin 2.4 0.8 1.6
APAC Commercial
Revenue from services (including fee-based income) $ 303.8 $ 253.3 19.9 % 8.9 %
Fee-based income 11.0 8.5 30.4 18.4
Gross profit 42.5 35.5 19.9 8.1
SG&A expenses excluding restructuring charges 41.3 32.0 29.1
Restructuring charges - 0.5 (100.0 )
Total SG&A expenses 41.3 32.5 26.9 14.2
Earnings from operations 1.2 3.0 (58.8 )
Earnings from operations excluding restructuring charges 1.2 3.5 (65.2 )
Gross profit rate 14.0 % 14.0 % - pts.
Expense rates (excluding restructuring charges):
% of revenue 13.6 12.6 1.0
% of gross profit 97.2 90.3 6.9
Operating margin (excluding restructuring charges) 0.4 1.4 (1.0 )
APAC PT
Revenue from services (including fee-based income) $ 39.1 $ 23.6 65.5 % 52.1 %
Fee-based income 12.2 7.6 63.1 50.3
Gross profit 16.2 10.1 61.5 48.1
Total SG&A expenses 17.8 12.0 48.9 36.1
Earnings from operations (1.6 ) (1.9 ) 15.7
Gross profit rate 41.5 % 42.5 % (1.0 ) pts.
Expense rates:
% of revenue 45.7 50.8 (5.1 )
% of gross profit 110.2 119.6 (9.4 )
Operating margin (4.2 ) (8.3 ) 4.1

KELLY SERVICES, INC. AND SUBSIDIARIES
RESULTS OF OPERATIONS BY SEGMENT (continued)
(UNAUDITED)
(In millions of dollars)
September Year to Date
Constant
Currency
2011 2010 Change Change
OCG
Revenue from services (including fee-based income) $ 222.9 $ 179.8 24.0 % 22.6 %
Fee-based income 28.7 18.3 57.0 50.8
Gross profit 62.1 42.4 46.7 43.3
SG&A expenses excluding restructuring charges 65.5 56.8 15.4
Restructuring charges - 0.1 (100.0 )
Total SG&A expenses 65.5 56.9 15.3 11.7
Earnings from operations (3.4 ) (14.5 ) 76.1
Earnings from operations excluding restructuring charges (3.4 ) (14.4 ) 76.0
Gross profit rate 27.8 % 23.5 % 4.3 pts.
Expense rates (excluding restructuring charges):
% of revenue 29.4 31.6 (2.2 )
% of gross profit 105.6 134.3 (28.7 )
Operating margin (excluding restructuring charges) (1.6 ) (8.1 ) 6.5
Corporate Expense
SG&A expenses excluding restructuring charges $ 58.0 $ 54.7 5.9 %
Restructuring charges - 3.6 (100.0 )
Total SG&A expenses 58.0 58.3 (0.6 )
Consolidated Total (net of intersegment activity)
Revenue from services (including fee-based income) $ 4,154.7 $ 3,624.5 14.6 % 11.2 %
Fee-based income 104.2 73.0 43.1 34.9
Gross profit 666.9 578.1 15.4 11.4
SG&A expenses excluding restructuring charges 619.1 548.2 12.9
Restructuring charges 2.8 7.2 (61.7 )
Total SG&A expenses 621.9 555.4 12.0 8.0
Asset impairments - 1.5 (100.0 )
Earnings from operations 45.0 21.2 112.3
Earnings from operations excluding restructuring charges 47.8 28.4 67.9
Gross profit rate 16.1 % 16.0 % 0.1 pts.
Expense rates (excluding restructuring charges):
% of revenue 14.9 15.1 (0.2 )
% of gross profit 92.8 94.8 (2.0 )
Operating margin (excluding restructuring charges) 1.2 0.8 0.4

KELLY SERVICES, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
(In millions of dollars)


October 2, 2011 January 2, 2011 October 3, 2010
Current Assets
Cash and equivalents $ 73.5 $ 80.5 $ 87.2
Trade accounts receivable, less allowances of $13.7, $12.3 and $13.0, respectively 939.9 810.9 831.3
Prepaid expenses and other current assets 53.7 44.8 54.7
Deferred taxes 27.0 22.4 25.5
Total current assets 1,094.1 958.6 998.7
Property and Equipment, Net 91.6 104.0 107.2
Noncurrent Deferred Taxes 89.6 84.0 80.4
Goodwill, Net 67.3 67.3 67.3
Other Assets 145.6 154.5 147.3
Total Assets $ 1,488.2 $ 1,368.4 $ 1,400.9
Current Liabilities
Short-term borrowings and current portion of long-term debt $ 79.0 $ 78.8 $ 68.3
Accounts payable and accrued liabilities 227.7 181.6 167.6
Accrued payroll and related taxes 283.0 243.3 273.0
Accrued insurance 31.4 31.3 23.8
Income and other taxes 60.0 56.0 56.6
Total current liabilities 681.1 591.0 589.3
Noncurrent Liabilities
Long-term debt - - 52.7
Accrued insurance 53.7 53.6 56.3
Accrued retirement benefits 82.8 85.4 79.0
Other long-term liabilities 13.6 14.6 15.3
Total noncurrent liabilities 150.1 153.6 203.3
Stockholders' Equity
Common stock 40.1 40.1 40.1
Treasury stock (68.6 ) (70.9 ) (71.2 )
Paid-in capital 29.3 28.0 27.5
Earnings invested in the business 635.3 597.6 583.0
Accumulated other comprehensive income 20.9 29.0 28.9
Total stockholders' equity 657.0 623.8 608.3
Total Liabilities and Stockholders' Equity $ 1,488.2 $ 1,368.4 $ 1,400.9
STATISTICS:
Working Capital $ 413.0 $ 367.6 $ 409.4
Current Ratio 1.6 1.6 1.7
Debt-to-capital % 10.7 % 11.2 % 16.6 %
Global Days Sales Outstanding 52 49 52

KELLY SERVICES, INC. AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
FOR THE 39 WEEKS ENDED OCTOBER 2, 2011 AND OCTOBER 3, 2010
(UNAUDITED)
(In millions of dollars)
2011 2010
Cash flows from operating activities
Net earnings $ 39.6 $ 11.5
Noncash adjustments:
Impairment of assets - 1.5
Depreciation and amortization 23.9 26.5
Provision for bad debts 3.5 1.0
Stock-based compensation 3.5 2.2
Other, net (1.5 ) 1.0
Changes in operating assets and liabilities (63.4 ) (43.6 )
Net cash from operating activities 5.6 0.1
Cash flows from investing activities
Capital expenditures (10.0 ) (5.9 )
Settlement of forward exchange contracts 0.7 -
Other investing activities 0.3 0.5
Net cash from investing activities (9.0 ) (5.4 )
Cash flows from financing activities
Net change in short-term borrowings 61.9 (12.8 )
Repayment of debt (62.9 ) (7.3 )
Dividend payments (1.9 ) -
Sale of stock and other financing activities (1.0 ) 24.3
Net cash from financing activities (3.9 ) 4.2
Effect of exchange rates on cash and equivalents 0.3 (0.6 )
Net change in cash and equivalents (7.0 ) (1.7 )
Cash and equivalents at beginning of period 80.5 88.9
Cash and equivalents at end of period $ 73.5 $ 87.2

KELLY SERVICES, INC. AND SUBSIDIARIES
REVENUE FROM SERVICES
(UNAUDITED)
(In millions of dollars)
Third Quarter (Commercial, PT and OCG)
% Change
Constant
2011 2010 US$ Currency
Americas
United States $ 858.6 $ 811.3 5.8 % 5.8 %
Canada 66.0 56.7 16.3 9.8
Mexico 27.1 25.2 7.7 4.0
Puerto Rico 24.5 21.7 13.3 13.3
Total Americas 976.2 914.9 6.7 6.2
EMEA
France 76.6 71.3 7.5 (1.4 )
Switzerland 68.3 47.9 42.4 13.9
Russia 36.4 26.8 36.4 30.4
United Kingdom 30.9 33.8 (8.3 ) (11.5 )
Portugal 22.8 21.3 6.9 (1.9 )
Germany 21.4 18.1 18.3 8.5
Norway 18.3 15.1 21.2 8.5
Italy 18.2 14.7 23.2 13.4
Other 21.7 20.8 4.5 (4.5 )
Total EMEA 314.6 269.8 16.6 4.9
APAC
Australia 36.8 31.9 15.3 (0.1 )
Singapore 26.2 21.7 20.8 9.6
Malaysia 18.1 16.5 9.5 5.1
India 18.0 15.5 15.6 14.2
Other 19.9 14.4 38.2 23.9
Total APAC 119.0 100.0 18.9 8.5
Total Kelly Services, Inc. $ 1,409.8 $ 1,284.7 9.7 % 6.1 %

KELLY SERVICES, INC. AND SUBSIDIARIES
REVENUE FROM SERVICES
(UNAUDITED)
(In millions of dollars)
September Year to Date (Commercial, PT and OCG)
% Change
Constant
2011 2010 US$ Currency
Americas
United States $ 2,561.6 $ 2,292.3 11.7 % 11.7 %
Canada 186.8 162.8 14.7 8.3
Mexico 79.8 66.1 20.8 14.4
Puerto Rico 70.7 55.6 27.2 27.2
Total Americas 2,898.9 2,576.8 12.5 11.9
EMEA
France 224.7 206.2 9.0 1.7
Switzerland 177.8 120.0 48.1 20.9
Russia 108.4 75.5 43.7 36.5
United Kingdom 92.5 105.6 (12.4 ) (16.8 )
Portugal 66.1 58.8 12.5 4.8
Germany 62.7 50.6 23.8 15.6
Italy 53.3 46.1 15.5 7.6
Norway 50.9 43.1 18.1 7.4
Other 67.4 56.9 18.6 10.0
Total EMEA 903.8 762.8 18.5 8.1
APAC
Australia 110.3 88.2 25.1 8.3
Singapore 78.6 60.2 30.6 17.8
Malaysia 54.5 47.4 15.0 7.2
India 53.1 44.4 19.6 17.7
Other 55.5 44.7 24.0 13.1
Total APAC 352.0 284.9 23.5 12.3
Total Kelly Services, Inc. $ 4,154.7 $ 3,624.5 14.6 % 11.2 %

KELLY SERVICES, INC. AND SUBSIDIARIES
RECONCILIATION OF NON-GAAP MEASURES
(UNAUDITED)
(In millions of dollars except per share data)
Third Quarter September Year to Date
2011 2010 2011 2010
Pretax earnings from operations $ 22.1 $ 14.3 $ 45.0 $ 21.2
Restructuring charges (Note 1) (0.6 ) 2.8 2.8 7.2
Asset impairments (Note 2) - - - 1.5
Earnings from operations excluding restructuring and asset impairment charges $ 21.5 $ 17.1 $ 47.8 $ 29.9
Third Quarter
2011 2010
Amount Per Share Amount Per Share
Earnings from continuing operations, net of taxes $ 19.7 $ 0.52 $ 9.6 $ 0.26
Restructuring charges, net of taxes (Note 1) (0.6 ) (0.02 ) 1.8 0.05
Earnings from continuing operations excluding restructuring charges, net of taxes $ 19.1 $ 0.51 $ 11.4 $ 0.31
September Year to Date
2011 2010
Amount Per Share Amount Per Share
Earnings from continuing operations, net of taxes $ 40.8 $ 1.09 $ 11.5 $ 0.32
Restructuring charges, net of taxes (Note 1) 2.8 0.07 5.4 0.15
Asset impairments, net of taxes (Note 2) - - 1.2 0.03
Earnings from continuing operations excluding restructuring and asset impairment charges, net of taxes $ 43.6 $ 1.16 $ 18.1 $ 0.50

KELLY SERVICES, INC. AND SUBSIDIARIES
RECONCILIATION OF NON-GAAP MEASURES
(UNAUDITED)
Management believes that the non-GAAP (Generally Accepted Accounting Principles) information excluding the restructuring and impairment charges is useful to understand the Company's fiscal 2011 financial performance and increases comparability. Specifically, Management believes that excluding these items allows for a more meaningful comparison of current period operating performance with the operating results of prior periods. These non-GAAP measures may have limitations as analytical tools because they exclude items which can have a material impact on cash flow and earnings per share. As a result, Management considers these measures, along with reported results, when it reviews and evaluates the Company's financial performance. Management believes that these measures provide greater transparency to investors and provide insight into how Management is evaluating the Company's financial performance. Non-GAAP measures should not be considered a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP.
(1) In 2010, restructuring costs related primarily to severance and lease termination costs for branches in the EMEA and APAC Commercial segments that were in the process of closure at the end of 2009, as well as severance costs related to the corporate headquarters. In 2011, restructuring costs relate primarily to revisions of the estimated lease termination costs for EMEA Commercial branches that closed in prior years.
(2) Asset impairment charges relate to the write-off of incomplete software projects in Europe.

Contact Information:

ANALYST CONTACT:
James Polehna
(248) 244-4586
james_polehna@kellyservices.com

MEDIA CONTACT:
Jane Stehney
(248) 244-5630
jane_stehney@kellyservices.com