Exhibit 99.1
Group Business Software AG | ||||||||
Consolidated balance sheets US-GAAP | ||||||||
December 31, 2010 | December 31, 2009 | |||||||
Assets | $ | $ | ||||||
Cash and cash equivalents | ||||||||
unrestricted | 1,870,811 | 1,719,001 | ||||||
Debtors (Accounts receivable) | 5,708,320 | 2,821,958 | ||||||
Inventories | - | 114,170 | ||||||
Deferred tax assets | - | 12,284 | ||||||
Prepaid expenses | 1,419,707 | 1,550,634 | ||||||
Other receivables | 1,981,887 | 332,812 | ||||||
Assets held for sale | - | 12,372,600 | ||||||
Total current assets | 10,980,726 | 18,923,459 | ||||||
Property, plant and equipment | 296,812 | 275,856 | ||||||
Financial assets | 1,369,454 | 475,845 | ||||||
Deferred tax assets | 1,136,135 | 4,968,740 | ||||||
Goodwill | 30,983,438 | 27,061,745 | ||||||
Software | 16,349,896 | 12,863,820 | ||||||
Other assets | 223,630 | 175,900 | ||||||
Total non-current assets | 50,359,364 | 45,821,906 | ||||||
Total assets | 61,340,089 | 64,745,365 | ||||||
Liabilities and shareholders' equity | ||||||||
Liabilities | ||||||||
Notes payable | 1,440,295 | - | ||||||
Liabilities to banks | 50,324 | 83,793 | ||||||
Creditors (Trade payables) | 1,891,405 | 1,383,340 | ||||||
Tax accruals | 112,350 | 45,159 | ||||||
Other accruals | 2,797,452 | 2,083,842 | ||||||
Other liabilities | 2,820,002 | 1,222,992 | ||||||
Deferred income | 6,208,458 | 5,919,527 | ||||||
Liabilities held for sale | - | 2,013,729 | ||||||
Total current liabilities | 15,320,287 | 12,752,382 | ||||||
Notes payable | - | 1,549,490 | ||||||
Liabilities to banks | 780,277 | 3,231,405 | ||||||
Deferred tax liabilities | 878,450 | 926,357 | ||||||
Retirement benefit obligation | 153,962 | 150,276 | ||||||
Other liabilities | 6,127,373 | 4,426,326 | ||||||
Total non-current liabilities | 7,940,061 | 10,283,853 | ||||||
Total liabilities | 23,260,349 | 23,036,235 | ||||||
Shareholders' equity | ||||||||
Paid-in capital | 33,788,171 | 33,788,171 | ||||||
Retained earnings | (53,508 | ) | 3,395,102 | |||||
Additional paid in capital | 4,378,197 | 4,378,197 | ||||||
Other comprehensive income | (27,224 | ) | 144,116 | |||||
Total shareholders' equity | 38,085,636.30 | 41,705,586 | ||||||
Noncontrolling interest in subsidiaries | (5,896 | ) | 3,545 | |||||
Total equity and liabilities | 61,340,089 | 64,745,365 |
GROUP Business Software AG | ||||||||
Consolidated Statement of operations US-GAAP | ||||||||
for the years ended December 31, 2010 and December 31, 2009 | ||||||||
Total | Total | |||||||
2 0 1 0 | 2 0 0 9 | |||||||
$ | $ | |||||||
Net sales | 27,707,226 | 31,584,732 | ||||||
Cost of goods sold | 14,082,494 | 11,323,991 | ||||||
Gross profit | 13,624,731 | 20,260,741 | ||||||
Operating expenses | ||||||||
Selling expenses | 10,610,545 | 13,847,697 | ||||||
Administrative expenses | 3,853,532 | 4,481,893 | ||||||
General expenses | 1,158,495 | 703,129 | ||||||
15,622,572 | 19,032,719 | |||||||
Operating income | (1,997,841 | ) | 1,228,022 | |||||
Other Income (expense) | ||||||||
Other Income (expense) | 2,393,821 | 454,486 | ||||||
Interest income | 16,798 | 44,626 | ||||||
Interest expense | (471,282 | ) | (263,590 | ) | ||||
1,939,338 | 235,522 | |||||||
Income (loss) before income taxes | (58,503 | ) | 1,463,544 | |||||
Income tax expense | 3,283,091 | 44,106 | ||||||
Net income (loss) | (3,341,594 | ) | 1,419,438 | |||||
Net loss attributable to non controlling interest | (9,188 | ) | (533 | ) | ||||
Net income attibutable to shareholders | (3,332,406 | ) | 1,419,971.34 |
Group Business Software AG | ||||||||
STATEMENTS OF CASH FLOWS US-GAAP | ||||||||
for the year ended December 31, 2010 and | ||||||||
for the year ended December 31, 2009 | ||||||||
2010 | 2009 | |||||||
Cash flow from operating activties | ||||||||
Net loss / net income | (3,341,594 | ) | 1,419,438 | |||||
Adjustments to reconcile net income to | ||||||||
net cash provided by operating activities | ||||||||
Deferred income taxes | 3,239,283 | (73,651 | ) | |||||
Depreciation and amortization | 4,036,047 | 2,893,795 | ||||||
Gain on disposal of property, plant and equipment | - | |||||||
Minority interest losses | (9,188 | ) | (714 | ) | ||||
Changes in operating assets and liabilities | ||||||||
Accounts receivable and other assets | (5,306,853 | ) | 1,959,103 | |||||
Retirement benefit obligation | 14,730 | 6,696 | ||||||
Inventories | (9,374 | ) | ||||||
Accounts payable and other liabilities | 3,264,726 | (2,804,075 | ) | |||||
Net cash provided by operating activities | 1,897,151 | 3,391,219 | ||||||
Cash flow from investing activties | ||||||||
Purchase of intangible assets | (3,865,982 | ) | (4,566,331 | ) | ||||
Purchase of property, plant and equipment | (159,353 | ) | (479,398 | ) | ||||
Purchase of subsidiaries | (251,751 | ) | - | |||||
Proceeds from sale of subsidaries | 5,052,424 | - | ||||||
Purchase of financial assets | - | 42,851 | ||||||
Net cash used in investing activities | 775,339 | (5,002,878 | ) | |||||
Cash flow from financing activties | ||||||||
Net borrowings - banks | (2,221,567 | ) | 739,183 | |||||
Net cash used in financing activities | (2,221,567 | ) | 739,183 | |||||
Effect of exchange rate changes on cash | (299,113 | ) | 151,108 | |||||
- | ||||||||
- | ||||||||
Net increase in cash | 151,810 | (721,368 | ) | |||||
Cash and cash equivalents - Beginning of the year | 1,719,001 | 3,563,874 | ||||||
Reclassification to Assets held for sale | - | (1,123,505 | ) | |||||
Cash and cash equivalents - End of year | 1,870,811 | 1,719,001 |