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2014 Annual Meeting-v4-approval

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Page 1: 2014 Annual Meeting-v4-approval

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Page 2: 2014 Annual Meeting-v4-approval

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• Report on shareholder vote

• Business update

• Questions and answers

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• Established $408 million international IT solutions and services company

• 3,700 employees

• 18.4 million shares outstanding

• Strong customer satisfaction record and relationships

• Focus on IT solutions for healthcare

Page 6: 2014 Annual Meeting-v4-approval

66First Quarter 2014

30%

25%8%

6%

31%

HealthcareTechnology ServicesFinancial ServicesEnergyGeneral Markets

61%

39%

StaffingSolutions

Fastest-growing market

Higher-margin offering

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• Electronic Medical Records

Health Information Exchanges (HIEs)

• Regional and community-wide EMR projects

European adoption of U.S. hospital software

• Outsourcing

• Healthcare Reform Initiatives and Compliance

ICD-10

Accountable Care Organizations (ACOs)

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• Data analytics

Big Data

Fraud, waste, and abuse

IT medical model that improves patient outcomes while lowering costs

Under development: genomic sequencing

8

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CTG Solutions• Managed Staffing

Growth Drivers• Procurement of 50% of U.S. IT staffing• Large-volume/low-cost model• Strong IBM relationship: 22% of total business

in 2014 first quarter

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1010

Earnings per Share

$0.24

$0.19

2013 Q1 2014 Q1

Revenue(in millions)

$108.5

$97.9

2013 Q1 2014 Q1

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1111*Midpoint of guidance as provided on April 22, 2014, which is not being updated as part of this presentation

Earnings per Share

$0.24$0.22

2013 Q2 Midpoint 2014 Q2guidance*

$107.1$102.0

2013 Q2 Midpoint 2014 Q2guidance*

Revenue(in millions)

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*Four-year compound annual growth rate**Five-year compound annual growth rate***Midpoint of guidance as provided on April 22, 2014, which is not being updated as part of this presentation

(in millions)

$237.1

$294.5$327.3 $325.3

$353.2

$275.6

$331.4

$396.3$424.4 $419.0 $400.0

2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 Midpoint2014

guidance ***

Page 13: 2014 Annual Meeting-v4-approval

1313*Midpoint of guidance as provided on April 22, 2014, which is not being updated as part of this presentation

Increasing solutions business driving margin expansion

1.7%2.1% 2.0%

3.7% 3.6%4.2%

4.9%

5.8% 5.9% 6.0%

2005 2006 2007 2008 2009 2010 2011 2012 2013 Midpoint2014

guidance*

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*Excludes $0.25 diluted per share loss from disposition of CTG Nederland B.V. **Excludes 7½ cent non-operational gain from insurance proceeds (2½ cents in Q2 + 5 cents in Q4)***Midpoint of guidance as provided on April 22, 2014, which is not being updated as part of this presentation****Four-year compound annual growth rate*****Five-year compound annual growth rate

$0.17 $0.14$0.21 $0.25

$0.49

$0.38

$0.52

$0.71

$0.88 $0.92$0.87

2004* 2005 2006 2007 2008 2009 2010 2011 2012** 2013 Midpoint2014

guidance ***

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4.2%

5.9%6.6%

11.8%

8.5%

11.2%

14.3%

16.9%

14.5%

12.6%

2005 2006 2007 2008 2009 2010 2011 2012 2013 Midpoint2014

guidance*

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• Strong cash flow: TTM EBITDA $26.6 million

• Strong financial position

$32.3 million cash at 2014 first quarter-end

65 days of sales outstanding

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• One of the largest U.S. healthcare IT consulting firms (Healthcare Informatics, 6/2013 and Modern Healthcare, 9/2013)

• In-demand, niche, repeatable solutions

• Focus on diverse health solutions revenue growth opportunities:

EMR

Outsourcing

Healthcare reform

Data analytics

• Strong cash flow funding dividend, stock repurchases, and acquisitions

• Operating margin expansion in almost all of the last 12 years

• Significant EPS growth: 23% compound annual growth rate over the last 12 years

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