EX-99.1 3 ex99-1.txt RESTATEMENT OF FINANCIAL INFO RE: EITF 01-09 Exhibit 99.1 Restatement of Financial Information relating to EITF 01-09, "Accounting for Consideration Given by a Vendor to a Customer or a Reseller of the Vendor's Products."
QUARTER ENDED YEAR ENDED ------------------------------------------------------------ ------------ MARCH 31, JUNE 30, SEPTEMBER 30, DECEMBER 31, DECEMBER 31, (unaudited) 2001 2001 2001 2001 2001 ------------ ------------ ------------ ------------ ------------ Net revenues $ 13,266,884 $ 14,482,055 $ 13,870,955 $ 12,284,922 $ 53,904,816 Cost of revenues 10,394,415 11,361,325 11,093,426 10,109,656 42,958,822 ------------ ------------ ------------ ------------ ------------ Gross profit 2,872,469 3,120,730 2,777,529 2,175,266 10,945,994 Selling, general and administrative expenses 2,204,134 2,417,573 2,355,452 1,839,468 8,816,627 ------------ ------------ ------------ ------------ ------------ Operating income 668,335 703,157 422,077 335,798 2,129,367 Other income, net 12,612 (6,873) -- (1,725) 4,014 Interest expense, net (296,205) (275,950) (252,076) (220,886) (1,045,117) ------------ ------------ ------------ ------------ ------------ Income before income tax provision 384,742 420,334 170,001 113,187 1,088,264 Income tax provision (16,000) (16,000) (9,050) (1,950) (43,000) ------------ ------------ ------------ ------------ ------------ Net income $ 368,742 $ 404,334 $ 160,951 $ 111,237 $ 1,045,264 ============ ============ ============ ============ ============ Earnings per common share: Basic $ 0.02 $ 0.03 $ 0.01 $ 0.01 $ 0.07 ============ ============ ============ ============ ============ Diluted $ 0.02 $ 0.02 $ 0.01 $ 0.01 $ 0.06 ============ ============ ============ ============ ============ Weighted average number of common shares: Basic 14,999,765 15,046,655 15,042,765 15,111,704 15,050,509 ============ ============ ============ ============ ============ Diluted 16,965,390 17,708,387 17,920,140 17,107,814 17,198,648 ============ ============ ============ ============ ============
The Company has adopted the provisions of the EITF Issue No. 01-09 effective January 1, 2002 and as a result, costs previously classified as a selling, general and administrative expense have been reclassified and reflected as reductions in Net Revenues. The Company has also reclassified amounts in prior periods in order to conform to the revised presentation of these costs.
QUARTER ENDED YEAR ENDED ------------------------------------------------------------ ------------ MARCH 31, JUNE 30, SEPTEMBER 31, DECEMBER 31, DECEMBER 31, 2001 2001 2001 2001 2001 ------------ ------------ ------------ ------------ ------------ NET REVENUES As reported $ 14,159,187 $ 15,707,746 $ 14,684,558 $ 13,114,397 $ 57,665,888 Amounts reclassified (892,303) (1,225,691) (813,603) (829,475) (3,761,072) ------------ ------------ ------------ ------------ ------------ New Basis $ 13,266,884 $ 14,482,055 $ 13,870,955 $ 12,284,922 $ 53,904,816 ============ ============ ============ ============ ============ QUARTER ENDED YEAR ENDED ------------------------------------------------------------ ------------ MARCH 31, JUNE 30, SEPTEMBER 31, DECEMBER 31, DECEMBER 31, 2001 2001 2001 2001 2001 ------------ ------------ ------------ ------------ ------------ SELLING, GENERAL AND ADMINISTRATIVE EXPENSES As reported $ 3,096,437 $ 3,643,264 $ 3,169,055 $ 2,668,943 $ 12,577,699 Amounts reclassified (892,303) (1,225,691) (813,603) (829,475) (3,761,072) ------------ ------------ ------------ ------------ ------------ New Basis $ 2,204,134 $ 2,417,573 $ 2,355,452 $ 1,839,468 $ 8,816,627 ============ ============ ============ ============ ============