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Robert S. Strauss Building 1333 New Hampshire Avenue, N.W. Washington, DC 20036-1564 T: 202.887.4000 F: 202.887.4288 www.akingump.com
Among Washington’s 20 highest-grossing law offices, Akin Gump was alone in seeing its D.C.-area revenues decline during 2005. With 227 lawyers, the firm’s Washington presence is 15 percent smaller than it was in 1999 at the peak of the technology boom — a sign of the firm’s recent difficulty in keeping pace with its peers. Contributing to the firm’s 6 percent decline in local gross revenues was the mid-2004 departure of a 13-attorney health care group led by Philip Green. “That had an impact on us,” says firm Chairman R. Bruce McLean. Also factors: the shuttering of the firm’s office in Northern Virginia the same year and a 2 percent decline in the number of its attorneys inside the Beltway. And it wasn’t just locally that the firm struggled to grow. Firmwide, Akin Gump’s total revenue from its 15 worldwide offices grew less than 1 percent to $618 million. Though less money was coming in the door, there was more flowing into the hands of the firm’s equity partners. Profits per equity partner in Washington soared in 2005, to $1.2 million from $940,000. Two causes appear to be driving that growth. First, the firm continues to whittle the number of equity partners in Washington, allowing for its pool of profits to be shared among a smaller group of people. The number of equity partners in Akin Gump’s D.C. office dropped 12 percent in 2005 to 64, while the number of nonequity partners jumped from 22 to 29. The firm’s chairman chooses his words carefully when it comes to discussing this phenomenon. “I can’t say nobody was de-equitized,” McLean says. “But I can’t say we had a deal where we de-equitized 20 percent [of our partners].” The second factor boosting profitability was the firm’s sale of a royalty interest in a drug produced by former client Tanox Inc. That interest had been received as payment from the pharmaceutical company for legal services dating to the 1990s. The transaction generated a significant one-time boost in profits in Washington, McLean says. And though closing the Virginia outpost hurt the firm’s gross revenues, McLean says the move helped its profitability. That’s because the firm shed costs on its lease obligations and support staff in Virginia, while the lawyers who stayed with Akin Gump moved to existing space in Washington. Among the largest matters the firm’s Washington lawyers handled in 2005 was an initial public offering for Tim Hortons Inc., a Canadian doughnut-making subsidiary of Wendy’s International Inc. The office’s litigators were fed by work from clients including AT&T Inc. and ExxonMobil Corp., and its intellectual property specialists litigated a number of cases for Samsung Electronics Co. Additionally, Akin Gump’s lobbyists generated $66.9 million in revenue, according to Legal Times‘ Influence 50, making the firm Washington’s second-largest lobbying power.
• RANKINGS •
D.C. 20 (2006)Rank by D.C. revenue: 12 (shared with Howrey)D.C. Revenue (2005): 183,600,000D.C. Revenue (2004): 195,600,000Revenue per lawyer: 810,000Profits per partner: 1,230,000Average Compensation All Partners 1,015,000Lawyers/Equity All Partners: 227/64Firmwide Revenue (2005): 618,000,000 D.C. 20 (2005)D.C. Revenue 2004: 195,600,000D.C. Revenue 2003: 173,000,000Revenue Per Lawyer: 835,000Profits Per Partner: 940,000Average Compensation All Partners: 835,000Lawyers/Equity Partners: 234/73Firmwide Revenue 2004: 612,100,000

LT150 (2006)Rank by size of D.C. office (2005): 6Lawyers in Office (2006): 254Partners in Office (2005): 111Lawyers in office (2005): 269Partners in office: 110Percent Change in Number of Lawyers: -5.6Associate Hires Expected 2006: 25-30 LT150 (2005)Rank: 6Lawyers 2005: 269Partners 2005: 110Lawyers 2004: 270Partners 2004: 112Percent Change: -0.40Associate Hires: 25

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