In: Finance
1) Provide one full APA page of text (minimum) that identifies your company, it's primary products, markets, subsidiaries, risks, and any special highlights about your assigned corporation.
Corporation: The Brink's Company
So far this is what I wrote, I'm not sure if it's even right....:
The Brink’s Company is best described as an American private security and protection company. The company was founded in 1859 and has its main headquarters located in Richmond, Virginia. Brink’s has earned the title of the largest cash management company in the world. The Brink’s Company provides international services of secure transportation, cash management and other security-related services. The company offers cash-in-transit services of armored vehicle transportation of valuables as well as ATM services and network infrastructure services. Its international network services have expanded and serves customers to more than 100 countries while employing more than 134,000 individuals.
The Brink's Company (Brink's), incorporated on September 12, 1984, is a provider of logistics and security solutions. The Company operates through nine segments: U.S., France, Mexico, Brazil, Canada, Latin America, EMEA, Asia and Payment Services. The Company's solutions include cash-in-transit (CIT), automated teller machine (ATM) replenishment and maintenance, cash management services, including vault outsourcing, money processing, and intelligent safe services, international transportation of valuables, and payment services. Its customers include financial institutions, retailers, government agencies (including central banks), mints, jewelers and other commercial operations around the world. As of December 31, 2016, the Company's global network served customers in over 100 countries. Its services offerings include Core Services, High-Value Services and Other Security Services.
Core Services
The Company provides CIT and ATM services as its core services. Its CIT services include the transportation of cash between businesses and financial institutions, such as banks and credit unions; cash, securities and other valuables between commercial banks, central banks and investment banking and brokerage firms, and new currency, coins, bullion and precious metals for central banks and other customers. As of December 31, 2016, the Company managed 94,600 ATMs around the world. It provides customers owning and operating ATMs a range of service options. Its ATM management services include cash replenishment, and first and second line maintenance. It also provides services for ATM management through its Brink's Integrated Managed Services (Brink's IMS) offering, which includes cash replenishment, replenishment forecasting, cash optimization, ATM remote monitoring, service call dispatching, transaction processing, installation services, and first and second line maintenance.
High-Value Services
The Company's High-Value Services include Global Services, Cash Management Services, Payment Services and Commercial Security Systems. Brink's Global Services (BGS) is the global provider of transport of commodities, including diamonds, jewelry, precious metals, securities, currency, high-technology devices, electronics and pharmaceuticals. BGS provides transportation services, including pick-up, packaging, customs clearance, secure vault storage and inventory management. It offers a range of Cash Management Services, which include money processing (counting, sorting, wrapping and checking condition of bills) and other cash management services; services related to deploying and servicing intelligent safes and safe control devices, including its CompuSafe service; integrated check and cash processing services (Virtual Vault), and check imaging services. The other cash management services include cashier balancing, counterfeit detection, account consolidation and electronic reporting.
The Company provides various payment services, including bill payment processing, mobile phone top-up and Brink's Money prepaid cards. It provides commercial security system services in designated markets in Europe. Its security system design and installation services include alarms, motion detectors, closed-circuit televisions, digital video recorders and access control systems, including card and biometric readers, electronic locks and turnstiles. Monitoring services are also provided after systems have been installed.
Other Security Services
The Company protects airports, offices, warehouses, stores and public venues with or without electronic surveillance, access control, fire prevention and trained patrolling personnel. The Company offers security and guarding services in France, Luxembourg, Greece, Germany and Brazil.
The Company competes with G4S plc, Loomis AB, Prosegur, Compania de Seguridad, S.A. and Garda World Security Corporation.
Their strategy is designed to
achieve both organic and inorganic revenue growth while driving
margins consistently higher. Our strategy has three pillars: •
Accelerate profitable growth ("APG") • Close the gap with
operational excellence ("CTG") • Introduce differentiated services
("IDS")
Accelerate profitable growth through: • growing High-Value
Services
• growing account share with existing customers
• increasing focus on smaller financial institutions
• penetrating large, unvended retail market • exploring core and
adjacent acquisitions
There are opportunities to grow revenue in higher-margin lines of
business such as CompuSafe ® services and recyclers, money
processing outsourcing, and Brink’s Global
Services.
The plan calls for growing revenue
with both large and small financial institutions, and increasing
penetration of the large and underserved retail market. With a
Net
Debt-to-Adjusted EBITDA ratio under 1X, as of December 31, 2016, we
also have the financial flexibility to complete accretive
acquisitions in both core and adjacent markets.
Close the gap with operational excellence by: • leading our
industry in safety and security
• exceeding customer expectations
• increasing operational productivity
They have already begun an aggressive drive to improve internal
productivity, optimize cost and achieve industry-leading
margins.
Introduce differentiated services through: • leveraging uniform,
best-in-class global technology base for logistics and operating
systems
• offering end-to-end cash supply chain managed services
• launching a customer portal and value-added, fee-based
services
The third component of our strategy is to introduce differentiated
services to our customers by strengthening and leveraging our IT
capabilities. Our IT strategy and systems willalso drive improved
service levels and operational efficiencies.
Core
Services
(53% of total revenues in 2016 )
Cash-in-transit and ATM Services are core services we provide to
customers throughout the world. They charge customers per service
performed or based on the value of goods
transported. Revenues are affected by the level of economic
activity in various markets as well as the volume of business for
specific customers. Core services generated
approximately $1.6 billion of revenues in 2016 . Cash-in-Transit
Services – Serving customers since 1859, our success in
Cash-in-Transit is driven by a combination of rigorous security
practices, high-quality
customer service, risk management and logistics expertise.
Cash-in-Transit Services generally include the secure
transportation of: • cash between businesses and financial
institutions, such as banks and credit unions
• cash, securities and other valuables between commercial banks,
central banks and investment banking and brokerage firms
• new currency, coins, bullion and precious metals for central
banks and other customers
ATM Services
– They manage 94,600 ATMs worldwide.
They provide customers who own and operate ATMs a variety of
service options. Basic ATM management
services include cash replenishment and first and second line
maintenance. They also provide comprehensive services for ATM
management through our Brink's
Integrated Managed Services (“Brink’s IMS”) offering, which
includes cash replenishment, replenishment forecasting, cash
optimization, ATM remote monitoring,
service call dispatching, transaction processing, installation
services, and first and second line maintenance.
High-Value Services (40% of total revenues in 2016 )
Their Core Services, combined with our brand and global infrastructure, provide a broad platform from which we offer additional High-Value Services, which generated approximately $1.2 billion of revenues in 2016 . Global Services - Brink’s Global Services ("BGS") is the leading global provider of secure transport of highly-valued commodities including diamonds, jewelry, precious metals, securities, currency, high-tech devices, electronics and pharmaceuticals. Their specialized diamond and jewelry operations have offices in the world’s major diamond and jewelry centers. Serving customers in more than 100 countries, BGS provides secure transportation services including pick-up, packaging, customs clearance, secure vault storage and inventory management. BGS uses a combination of armored vehicles and secure air and sea transportation. Cash Management Services - High-Value Services (40% of total revenues in 2016 ) Our Core Services, combined with our brand and global infrastructure, provide a broad platform from which we offer additional High-Value Services, which generated approximately $1.2 billion of revenues in 2016 . Global Services - Brink’s Global Services ("BGS") is the leading global provider of secure transport of highly-valued commodities including diamonds, jewelry, precious metals, securities, currency, high-tech devices, electronics and pharmaceuticals. Our specialized diamond and jewelry operations have offices in the world’s major diamond and jewelry centers. Serving customers in more than 100 countries, BGS provides secure transportation services including pick-up, packaging, customs clearance, secure vault storage and inventory management. BGS uses a combination of armored vehicles and secure air and sea transportation. Cash Management Services - We offer a variety of Cash Management Services, depending on customers’ unique needs. These include: • money processing (e.g., counting, sorting, wrapping, checking condition of bills, etc.) and other cash management services • services related to deploying and servicing “intelligent” safes and safe control devices, including our patented CompuSafe ® service • integrated check and cash processing services (“Virtual Vault”) • check imaging services Other cash management services include cashier balancing, counterfeit detection, account consolidation and electronic reporting. Retail and bank customers use Brink’s to count and reconcile coins and currency, prepare bank deposit information and replenish coins and currency in specific denominations. Brink's offers a fully integrated approach to managing customers' supply chain of cash. These services include logistical support from point-of-sale through transport, vaulting, bank deposit and related credit reporting. We also offer a variety of advanced technology applications including online cash tracking, cash inventory management, check imaging for real-time deposit processing, and a variety of other web-based tools that enable banks and other customers to reduce costs while improving service to their customers. We believe the quality and scope of our money processing and information systems differentiate our Cash Management Services from competitive offerings. Brink’s CompuSafe ® Service . Brink’s CompuSafe ® service provides an integrated, closed-loop system for preventing theft and managing cash. We market CompuSafe ® services to a variety of cash-intensive customers including convenience stores, gas stations, restaurants, retail chains and entertainment venues. In a majority of instances, once the specialized safe is installed, the customer’s employees deposit currency into the safe’s cassettes, which can only be removed by Brink’s personnel. Upon removal, the cassettes are securely transported to a vault for processing where contents are verified and transferred for deposit. Our CompuSafe ® service features currency-recognition and counterfeit-detection technology, multi-language touch screens and an electronic interface between the point-of-sale, back-office systems and external banks. Our electronic reporting interface with external banks enables customers to receive same-day credit on their cash balances, even if the cash. Their remains on the customer’s premises. Recently, some customers have requested specialized safes permitting customer employees to remove money in a secure manner that was previously deposited in the safe cassettes to meet a current need. High-Value Services (40% of total revenues in 2016 ) Our Core Services, combined with our brand and global infrastructure, provide a broad platform from which we offer additional High-Value Services, which generated approximately $1.2 billion of revenues in 2016 . Global Services - Brink’s Global Services ("BGS") is the leading global provider of secure transport of highly-valued commodities including diamonds, jewelry, precious metals, securities, currency, high-tech devices, electronics and pharmaceuticals. Our specialized diamond and jewelry operations have offices in the world’s major diamond and jewelry centers. Serving customers in more than 100 countries, BGS provides secure transportation services including pick-up, packaging, customs clearance, secure vault storage and inventory management. BGS uses a combination of armored vehicles and secure air and sea transportation. Cash Management Services - We offer a variety of Cash Management Services, depending on customers’ unique needs. These include: • money processing (e.g., counting, sorting, wrapping, checking condition of bills, etc.) and other cash management services • services related to deploying and servicing “intelligent” safes and safe control devices, including our patented CompuSafe ® service • integrated check and cash processing services (“Virtual Vault”) • check imaging services Other cash management services include cashier balancing, counterfeit detection, account consolidation and electronic reporting. Retail and bank customers use Brink’s to count and reconcile coins and currency, prepare bank deposit information and replenish coins and currency in specific denominations. Brink's offers a fully integrated approach to managing customers' supply chain of cash. These services include logistical support from point-of-sale through transport, vaulting, bank deposit and related credit reporting. We also offer a variety of advanced technology applications including online cash tracking, cash inventory management, check imaging for real-time deposit processing, and a variety of other web-based tools that enable banks and other customers to reduce costs while improving service to their customers. We believe the quality and scope of our money processing and information systems differentiate our Cash Management Services from competitive offerings. Brink’s CompuSafe ® Service . Brink’s CompuSafe ® service provides an integrated, closed-loop system for preventing theft and managing cash. We market CompuSafe ® services to a variety of cash-intensive customers including convenience stores, gas stations, restaurants, retail chains and entertainment venues. In a majority of instances, once the specialized safe is installed, the customer’s employees deposit currency into the safe’s cassettes, which can only be removed by Brink’s personnel. Upon removal, the cassettes are securely transported to a vault for processing where contents are verified and transferred for deposit. Our CompuSafe ® service features currency-recognition and counterfeit-detection technology, multi-language touch screens and an electronic interface between the point-of-sale, back-office systems and external banks. Our electronic reporting interface with external banks enables customers to receive same-day credit on their cash balances, even if the cash remains on the customer’s premises. Recently, some customers have requested specialized safes permitting customer employees to remove money in a secure manner that was previously deposited in the safe cassettes to meet a current need. High-Value Services (40% of total revenues in 2016 ) Our Core Services, combined with our brand and global infrastructure, provide a broad platform from which we offer additional High-Value Services, which generated approximately $1.2 billion of revenues in 2016 . Global Services - Brink’s Global Services ("BGS") is the leading global provider of secure transport of highly-valued commodities including diamonds, jewelry, precious metals, securities, currency, high-tech devices, electronics and pharmaceuticals. Our specialized diamond and jewelry operations have offices in the world’s major diamond and jewelry centers. Serving customers in more than 100 countries, BGS provides secure transportation services including pick-up, packaging, customs clearance, secure vault storage and inventory management. BGS uses a combination of armored vehicles and secure air and sea transportation. Cash Management Services - We offer a variety of Cash Management Services, depending on customers’ unique needs. These include: • money processing (e.g., counting, sorting, wrapping, checking condition of bills, etc.) and other cash management services • services related to deploying and servicing “intelligent” safes and safe control devices, including our patented CompuSafe ® service • integrated check and cash processing services (“Virtual Vault”) • check imaging services Other cash management services include cashier balancing, counterfeit detection, account consolidation and electronic reporting. Retail and bank customers use Brink’s to count and reconcile coins and currency, prepare bank deposit information and replenish coins and currency in specific denominations. Brink's offers a fully integrated approach to managing customers' supply chain of cash. These services include logistical support from point-of-sale through transport, vaulting, bank deposit and related credit reporting. We also offer a variety of advanced technology applications including online cash tracking, cash inventory management, check imaging for real-time deposit processing, and a variety of other web-based tools that enable banks and other customers to reduce costs while improving service to their customers. We believe the quality and scope of our money processing and information systems differentiate our Cash Management Services from competitive offerings. Brink’s CompuSafe ® Service . Brink’s CompuSafe ® service provides an integrated, closed-loop system for preventing theft and managing cash. We market CompuSafe ® services to a variety of cash-intensive customers including convenience stores, gas stations, restaurants, retail chains and entertainment venues. In a majority of instances, once the specialized safe is installed, the customer’s employees deposit currency into the safe’s cassettes, which can only be removed by Brink’s personnel. Upon removal, the cassettes are securely transported to a vault for processing where contents are verified and transferred for deposit. Our CompuSafe ® service features currency-recognition and counterfeit-detection technology, multi-language touch screens and an electronic interface between the point-of-sale, back-office systems and external banks. Our electronic reporting interface with external banks enables customers to receive same-day credit on their cash balances, even if the cash remains on the customer’s premises. Recently, some customers have requested specialized safes permitting customer employees to remove money in a secure manner that was previously deposited in the safe cassettes to meet a current need. We have also implemented this capability. have also implemented this capability. have also implemented this capability. offer a variety of Cash Management Services, depending on customers’ unique needs. These include: • money processing (e.g., counting, sorting, wrapping, checking condition of bills, etc.) and other cash management services • services related to deploying and servicing “intelligent” safes and safe control devices, including our patented CompuSafe ® service • integrated check and cash processing services (“Virtual Vault”) • check imaging services Other cash management services include cashier balancing, counterfeit detection, account consolidation and electronic reporting. Retail and bank customers use Brink’s to count and reconcile coins and currency, prepare bank deposit information and replenish coins and currency in specific denominations. Brink's offers a fully integrated approach to managing customers' supply chain of cash. These services include logistical support from point-of-sale through transport, vaulting, bank deposit and related credit reporting. We also offer a variety of advanced technology applications including online cash tracking, cash inventory management, check imaging for real-time deposit processing, and a variety of other web-based tools that enable banks and other customers to reduce costs while improving service to their customers. We believe the quality and scope of our money processing and information systems differentiate our Cash Management Services from competitive offerings. Brink’s CompuSafe ® Service . Brink’s CompuSafe ® service provides an integrated, closed-loop system for preventing theft and managing cash. High-Value Services (40% of total revenues in 2016 ) Our Core Services, combined with our brand and global infrastructure, provide a broad platform from which we offer additional High-Value Services, which generated approximately $1.2 billion of revenues in 2016 . Global Services - Brink’s Global Services ("BGS") is the leading global provider of secure transport of highly-valued commodities including diamonds, jewelry, precious metals, securities, currency, high-tech devices, electronics and pharmaceuticals. Our specialized diamond and jewelry operations have offices in the world’s major diamond and jewelry centers. Serving customers in more than 100 countries, BGS provides secure transportation services including pick-up, packaging, customs clearance, secure vault storage and inventory management. BGS uses a combination of armored vehicles and secure air and sea transportation. Cash Management Services - We offer a variety of Cash Management Services, depending on customers’ unique needs. These include: • money processing (e.g., counting, sorting, wrapping, checking condition of bills, etc.) and other cash management services • services related to deploying and servicing “intelligent” safes and safe control devices, including our patented CompuSafe ® service • integrated check and cash processing services (“Virtual Vault”) • check imaging services Other cash management services include cashier balancing, counterfeit detection, account consolidation and electronic reporting. Retail and bank customers use Brink’s to count and reconcile coins and currency, prepare bank deposit information and replenish coins and currency in specific denominations. Brink's offers a fully integrated approach to managing customers' supply chain of cash. These services include logistical support from point-of-sale through transport, vaulting, bank deposit and related credit reporting. We also offer a variety of advanced technology applications including online cash tracking, cash inventory management, check imaging for real-time deposit processing, and a variety of other web-based tools that enable banks and other customers to reduce costs while improving service to their customers. They believe the quality and scope of our money processing and information systems differentiate our Cash Management Services from competitive offerings. Brink’s CompuSafe ® Service . Brink’s CompuSafe ® service provides an integrated, closed-loop system for preventing theft and managing cash. We market CompuSafe ® services to a variety of cash-intensive customers including convenience stores, gas stations, restaurants, retail chains and entertainment venues. In a majority of instances, once the specialized safe is installed, the customer’s employees deposit currency into the safe’s cassettes, which can only be removed by Brink’s personnel. Upon removal, the cassettes are securely transported to a vault for processing where contents are verified and transferred for deposit. Our CompuSafe ® service features currency-recognition and counterfeit-detection technology, multi-language touch screens and an electronic interface between the point-of-sale, back-office systems and external banks. Our electronic reporting interface with external banks enables customers to receive same-day credit on their cash balances, even if the cash remains on the customer’s premises. Recently, some customers have requested specialized safes permitting customer employees to remove money in a secure manner that was previously deposited in the safe cassettes to meet a current need. We have also implemented this capability. market CompuSafe ® services to a variety of cash-intensive customers including convenience stores, gas stations, restaurants, retail chains and entertainment venues. In a majority of instances, once the specialized safe is installed, the customer’s employees deposit currency into the safe’s cassettes, which can only be removed by Brink’s personnel. Upon removal, the cassettes are securely transported to a vault for processing where contents are verified and transferred for deposit. Their CompuSafe ® service features currency-recognition and counterfeit-detection technology, multi-language touch screens and an electronic interface between the point-of-sale, back-office systems and external banks. Their electronic reporting interface with external banks enables customers to receive same-day credit on their cash balances, even if the cash remains on the customer’s premises. Recently, some customers have requested specialized safes permitting customer employees to remove money in a secure manner that was previously deposited in the safe cassettes to meet a current need. We have also implemented this capability.
Virtual Vault . Virtual Vault services combine Cash-in-Transit Services, Cash Management Services, vaulting and electronic reporting technologies to help banks expand into new markets while minimizing investment in vaults and branch facilities. In addition to providing secure storage, we process deposits, provide check imaging and reconciliation services, perform currency inventory management, process ATM replenishment orders and electronically transmit banking transactions.
Business
Divestitures
Below is a summary of the significant businesses we disposed in the
last three years. See Note 18 to the consolidated financial
statements for more information on these
dispositions. The results of the operations below, which met the
criteria for classification as discontinued operations as of or
prior to December 31, 2014, have been excluded
from continuing operations and are reported as discontinued
operations for the current and prior periods. The sales of the
Russian cash management business and the Irish
guarding operations in 2015 as well as the shutdown of the
remaining Ireland operations in 2016 did not meet the criteria for
classification as discontinued operations. Operating
results for these businesses are included in continuing operations
for the current and prior periods. We continue to operate our
Global Services business in most of these
countries.
Cash-in-transit operations sold or shut down: • Australia (sold in
October 2014) • Puerto Rico (shut down in November 2014) •
Netherlands (sold in December 2014)
Other operations sold: • In February 2015, we sold a small Mexican
parcel delivery business which met the criteria for classification
as a discontinued operation as of December 31, 2014.
Other divestitures not classified as discontinued operations: • We
sold a noncontrolling interest in a CIT business based in Peru in
2014 for $60 million. • We sold our 70% ownership interest in a
Russian cash management business in November 2015 and recognized a
$5.9 million loss on the disposition. A significant
part of the loss ( $5.0 million ) represented the reclassification
of foreign currency translation adjustments from accumulated other
comprehensive income (loss) into
earnings. • We sold an Irish guarding operation in November 2015. •
In September 2016, we shut down the remaining operations in the
Republic of Ireland and Northern Ireland. At December 31, 2016, we
were in the process of
finalizing the settlement of all remaining obligations of these
businesses. During 2016, we incurred approximately $16 million in
losses as we exited these
operations. These losses included $5 million in severance costs and
$2 million in property impairment charges. • We sold a German
guarding operation in October 2016.
As Brink's entered the new century, a series of financial transactions rapidly transformed the company's management structure. In 2002, Pittston announced plans to sell off its remaining natural resources assets. The sale of coal, natural gas and timber interests removed major financial liabilities and allowed the firm to concentrate on core businesses. On May 5, 2003—Brink's 144th anniversary--Pittston changed its name to The Brink's Company and began using a new stock ticker symbol, BCO. In early 2006, BAX Global was sold to Deutsche Bahn, the German railway company. Finally, in 2008, Brink's Home Security was spun off into a separate stand-alone firm. (One year later, Brink's Home Security was acquired by Tyco International and merged with competitor ADT.) In 2011, Michael T. Dan resigned and in 2012 Thomas Schievelbein, a member of the board of directors, became The Brink's Company's Chairman, President and Chief Executive Officer.
Additional international acquisitions in recent years strengthened and extended the core business. Brink's purchased ePago international, a Panama-based bill collection service, in 2006 and began expanding it throughout Latin America. China-based ICD Security Services was acquired in 2010; it offers commercial physical security services in Asia. Controlling interest was purchased in armored service firms in India and Russia in 2009 and Mexico in 2010. Threshold Financial Services, which offered ATM services in Canada, was also acquired in 2010.
Since the horse and buggy days, Brink's has approached its customers with a spirit of partnership and problem-solving. Through more than 150 years, a combination of conservative business planning, strategic foresight and customer-focused innovation has allowed the company to prosper. Throughout its history, Brink's has maintained a level of integrity that sets the standard for others to follow. Throughout the world, the name "Brink's" is synonymous with trust and security.