On March 9, 2024, the Company entered into an Asset Purchase Agreement (the “Purchase Agreement”) with Endeavor Buyer LLC, an affiliate of Arsenal Capital Partners, pursuant to which the Seller has agreed to sell, and to cause its affiliates to sell, net assets relating to its Enabling Services segment (the “Transaction”), specifically its Patient Access and Endpoint businesses, including the sale of equity interests of Fortrea Patient Access Inc. and its subsidiaries and Endpoint Clinical, Inc. and its subsidiaries. The purchase price for the Transaction is $345.0, subject to customary purchase price adjustments, with $295.0 to be paid at closing and $50.0 to be paid upon achievement of certain transition-related milestones. The Transaction is targeted to close in the second quarter of 2024, subject to customary closing conditions and government approvals, as well as the parties entering into certain services and operating agreements.

The following table summarizes the significant line items included in earnings from discontinued operations, net of income tax in the condensed consolidated and combined statements of operations for the three months ended March 31, 2024 and 2023:


	Three Months Ended March 31,
	2024		2023
Revenues	$	65.7	$	69.8
Costs and expenses:
Direct costs, exclusive of depreciation and amortization	41.4		46.1
Selling, general and administrative expenses, exclusive of depreciation and amortization	15.6		15.0
Depreciation and amortization	1.6		2.2
Long-lived and goodwill asset impairments	24.0		—
Restructuring and other charges	0.5		0.6
Total costs and expenses	83.1		63.9
Operating income (loss)	(17.4)		5.9
Other expense:

Foreign exchange gain (loss)	—		(0.3)

Income (loss) from discontinued operations before income taxes	(17.4)		5.6
Provision for income taxes	3.8		1.1
Income (loss) from discontinued operations, net of tax	$	(21.2)	$	4.5

In the first quarter of 2024, as a result of the final negotiated sale price of the Patient Access and Endpoint businesses, the Company evaluated the Enabling Services segment for impairment and determined that it was more likely than not that the carrying value of the assets exceeded its fair value. Accordingly, an impairment analysis was performed, which resulted in a goodwill impairment charge of $24.0.


	March 31, 2024		December 31, 2023
ASSETS
Current assets:
Cash and cash equivalents	$	—	$	—
Accounts receivable and unbilled services, net	66.6		60.4
Prepaid expenses and other	8.3		8.7
Total current assets	74.9		69.1
Property, plant and equipment, net	43.2		40.6
Goodwill, net	252.5		276.5
Intangible assets, net	42.6		43.1

Other assets, net	6.8		8.6
Total assets of discontinued operations	$	420.0	$	437.9
LIABILITIES
Current liabilities:
Accounts payable	$	4.7	$	4.5
Accrued expenses and other current liabilities	12.3		17.3
Unearned revenue	31.9		28.4
Short-term operating lease liabilities	2.3		2.3
Total current liabilities	$	51.2	$	52.5
Operating lease liabilities	3.1		3.7

Other liabilities	28.4		27.9
Total liabilities of discontinued operations	$	82.7	$	84.1

The cash flows related to discontinued operations have not been segregated and are included in the condensed consolidated and combined statements of cash flows. The following table summarizes depreciation and amortization, capital expenditures and the significant operating noncash items from discontinued operations for the three months ended March 31, 2024 and 2023: