Form: 8-K

Current report filing

December 5, 2003

99.1

Published on December 5, 2003

EXHIBIT 99.1
NEWS RELEASE

For Immediate Release

Contact: William W. Sherertz
President and
Chief Executive Officer

Telephone: (503) 220-0988

BARRETT BUSINESS SERVICES, INC.
ANNOUNCES AGREEMENT TO ACQUIRE
SKILLS RESOURCE TRAINING CENTER

PORTLAND, OREGON, DECEMBER 4, 2003 - Barrett Business Services, Inc.
(Nasdaq trading symbol: "BBSI") today announced that it has reached an agreement
in principle to acquire Skills Resource Training Center ("SRTC") headquartered
in Pasco, Washington pursuant to an asset purchase agreement effective January
1, 2004. Consideration for the transaction, valued at approximately $5.0
million, includes $3.0 million in cash due upon closing and approximately $2.0
million in common stock of BBSI based on current market price. The ultimate
number of shares to be issued, if any, will be based upon the level of financial
performance achieved by the SRTC offices during calendar 2004. Barrett
anticipates that this acquisition will increase 2004 earnings by approximately
10 cents to 16 cents per share.

SRTC, a privately-held staffing services company, operates nine offices in
Central Washington, Eastern Oregon and Southern Idaho. SRTC's staffing services
have served the agricultural, food packing and processing industries for the
past 17 years. SRTC's revenues for calendar 2004 are expected to approximate $20
to $25 million.

William W. Sherertz, BBSI's President and Chief Executive Officer,
commented, "We are very pleased with the opportunity to expand and diversify our
business in these market areas through such a quality organization, which we
expect to produce significant operating synergies with our existing Northwest
staffing offices."

Barrett Business Services, Inc. is a human resource management company with
offices in seven states, which serve customers in approximately 15 states.


-1-



Barrett Business Services, Inc.
News Release
December 4, 2003


Statements in this release about future events or performance, including
earnings and revenue expectations for 2004, are forward-looking statements,
which involve known and unknown risks, uncertainties and other factors that may
cause the actual results of the Company to be materially different from any
future results expressed or implied by such forward-looking statements. Factors
that could affect future results include economic conditions in the Company's
service areas, the effect of changes in the Company's mix of services on gross
margin, the Company's ability to successfully integrate acquired businesses with
its existing operations, future workers' compensation claims experience,
collectibility of accounts receivable, and availability of funding for working
capital purposes, among others. Other important factors that may affect the
Company's future prospects are described in the Company's 2002 Annual Report on
Form 10-K. Although forward-looking statements help to provide complete
information about the Company, readers should keep in mind that forward-looking
statements may be less reliable than historical information. The Company
undertakes no obligation to update or revise forward-looking statements in this
release to reflect events or changes in circumstances that occur after the date
of this release.

#####

-2-