Monster Worldwide Reports Third Quarter and Nine Months 2008 Results

Monster Worldwide, Inc. today reported financial results for the third quarter ended September 30, 2008.

Third Quarter Results
Total revenue was $332 million compared with $330 million in the comparable quarter of 2007. Revenue was impacted by approximately $6 million of foreign currency benefits. In last year's third quarter, foreign currency contributed approximately $8 million to revenue.

Careers revenue was $298 million, essentially flat with last year's third quarter. Careers International revenue, which accounted for 43% of consolidated revenue, grew 17% over the prior year period, or 13% excluding the benefits of currency, to $142 million. North American Careers revenue was $155 million compared with $175 million in last year's third quarter. Internet Advertising & Fees revenue was $35 million, up 4% over last year's comparable quarter.

Consolidated operating expenses were $270 million, and income from continuing operations was $43 million, or $0.36 per diluted share in the third quarter of 2008 compared to $34 million, or $0.26 per diluted share, in the comparable 2007 period. The effect of foreign exchange rates benefited consolidated operating income by approximately $1 million, compared to approximately $2 million in the third quarter of 2007.

Included in income from continuing operations for the three months ended September 30, 2008 is $7 million of pre-tax pro forma expenses, or $0.04 per diluted share, associated with the Company's restructuring plan and matters related to the Company's historical stock option grant practices. These pro forma adjustments are described in the Notes Regarding the Use of Non-GAAP Financial Measures and are reconciled to the nearest GAAP measure in the accompanying tables. Excluding these costs, income from continuing operations in the third quarter of 2008 was $48 million, or $0.40 per diluted share, compared to $46 million, or $0.36 per diluted share, in the prior year.

At September 30, 2008, the Company had $733 million of cash, cash equivalents and available for sale securities compared with $533 million at June 30, 2008. During the quarter, the Company borrowed $247 million under its existing credit facility as a precautionary measure to provide additional financial flexibility. Approximately $94 million of auction rate securities are classified as a long-term asset on the consolidated balance sheet, and are included in the cash and securities balance as of September 30, 2008. As a result, the Company ended the quarter with net cash and securities of $486 million, before the payment of $174 million for the remaining interest in ChinaHR, which occurred in October 2008.

Cash generated from operating activities was $92 million in the third quarter of 2008 compared to $73 million generated in the prior year period. Capital expenditures were $21 million, reflecting the Company's strategic investments in technology and infrastructure. During the quarter, the Company repurchased 2.2 million shares of its common stock for an aggregate cost of $42 million. The Company currently has $126 million remaining under the current stock repurchase program. Monster Worldwide's deferred revenue balance at September 30, 2008 was $412 million, compared with last year's third quarter balance of $435 million.

Monster's strong third quarter earnings growth and solid cash flow generation in the face of a severe global economic slowdown clearly demonstrate the Company's ability to manage its business efficiently. During the quarter we reduced costs while aggressively investing in critical areas that will drive future growth. As a result, operating expenses were roughly flat with last year's levels while we strategically expanded our US sales force and substantially enhanced our customer service capability. We have made significant progress in the development of new products for both seekers and employers as we prepare to launch a new job seeker site and user experience in early January 2009, said Timothy Yates, Executive Vice President and Chief Financial Officer of Monster Worldwide.

Nine Months Results
Monster Worldwide reported total revenue of $1.05 billion for the nine months ended September 30, 2008 compared to $976 million in the comparable period last year, an 8% increase, or 4% before the benefit of foreign exchange rates. Careers revenue grew 9% to $955 million compared with $879 million in the 2007 period. Internet Advertising & Fees reported revenue of $98 million, essentially flat with the prior year period. The Company reported income from continuing operations of $85 million, or $0.70 per diluted share, compared to $104 million or $0.79 per diluted share in the prior year period.

Sal Iannuzzi, Chairman, President and Chief Executive Officer of Monster Worldwide said, We view the current economic downturn as an opportunity to continue to invest and strengthen the Monster brand and value proposition across our entire global organization, while remaining vigilant in controlling costs. Our recently completed acquisition of ChinaHR, the region's fastest growing online recruitment resource, provides unparalleled size and reach and further distances Monster from the competition. We cannot predict when the market will improve, however, we are working hard to capture market share and position the Company for stronger growth when the global economy rebounds.

Monster Worldwide to List on New York Stock Exchange
Monster today announced that it has filed an application to list its common stock on NYSE Euronext (NYSE). The Company expects to begin trading on the NYSE on November 10, 2008 (subject to approval by the NYSE) under the stock symbol MWW. The Company will continue to trade on the NASDAQ Global Select Market until that time.

Mr. Iannuzzi added, We believe the NYSE is a prestigious platform for Monster, a platform that is committed to integrity in governance, innovation, and global growth. These are exciting times for Monster and our move to the NYSE is consistent with the goals, strategies, and values of the new Monster.

Supplemental Financial Information
The Company has made available certain supplemental financial information, in a separate document that can be accessed directly at http://corporate.monster.com/Q308.pdf or through the Company's Investor Relations website at http://ir.monster.com.

Conference Call Information
Third quarter 2008 results will be discussed on Monster Worldwide's quarterly conference call taking place on October 30, 2008 at 5:00 PM EDT. To join the conference call, please dial (888) 551-5973 at 4:50 PM EDT and reference conference ID# 68058316. For those outside the United States, please dial (706) 643-3467 and reference the same conference ID#. The call will begin promptly at 5:00 PM EDT. Individuals can also access Monster Worldwide's quarterly conference call online through the Investor Relations section of the Company's website at http://ir.monster.com. For a replay of the call, please dial (800) 642-1687 or outside the United States dial (706) 645-9291 and reference ID #68058316. This number is valid until midnight on November 6, 2008.