Company: CNDT
Filing Date: 2025-05-07
Form Type: 10-Q
Source: 0001677703-25-000076
Chunk: 84

Company: CONDUENT Inc
Filing Date: 2025-05-07
Form: 10-Q
Item: Part I, Item 8
Chunk 84
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 sale was completed and MedRisk paid Conduent $224 million of cash consideration, subject to certain post-closing adjustments. These adjustments were finalized in the first quarter of 2025 and were not material.At closing, the Company recorded a gain on the sale of $194 million, less costs to sell of $8 million, which was recorded in Gain (loss) on divestitures and transaction costs in the third quarter of 2024. Additionally, the Company recorded $33 million of income tax expense related to the divestiture, which was also recorded in the third quarter of 2024.The Casualty Disposal Group generated revenue and income (loss) before income taxes as follows: Three Months Ended March 31,(in millions)20252024Revenue$— $37 Income (loss) before income taxes— 2 Divestiture of Curbside Management and Public Safety Solutions BusinessesIn December 2023, the Company signed a definitive agreement to sell its Curbside Management and Public Safety Solutions businesses (collectively referred to as the "Curbside Disposal Group") to Modaxo, a division of Constellation Software Inc. ("Modaxo"), for $230 million (plus the assumption of certain indebtedness), subject to customary purchase price adjustments. 

CNDT Q1 2025 Form 10-Q13

On April 30, 2024, Conduent completed the sale of this business. The Company received $181 million of cash consideration and a $50 million non-interest bearing note payable to the Company due on April 30, 2025. Additionally, the Company received reimbursement for payments made by the Company related to finance lease liabilities and related costs and the reimbursement for the purchase of certain equipment made by the Company on the buyer's behalf. In 2024, the Company recorded a gain on the sale of $103 million less costs to sell of $5 million, which was recorded in Gain (loss) on divestitures and transaction costs in the second quarter of 2024. The Company recorded $28 million of income tax expense in connection with the divestiture, which was also recorded in the second quarter of 2024. The Curbside Disposal Group generated revenue and income (loss) before income taxes as follows: Three Months Ended March 31,(in millions)20252024Revenue$— $36 Income (loss) before income taxes— 3 Transfer of BenefitWallet PortfolioIn September 2023