Exhibit 99.1
INNOTRAC CORPORATION
CONDENSED BALANCE SHEETS
(in thousands, except share data)
ASSETS | June 30, 2009 | December 31, 2008 | ||||||||
(unaudited) | ||||||||||
Current assets: | ||||||||||
Cash and cash equivalents | $ | 1,690 | $ | 1,056 | ||||||
Accounts receivable (net of allowance for doubtful accounts of $248 at | ||||||||||
June 30, 2009 and $271 at December 31, 2008) | 16,824 | 25,793 | ||||||||
Inventories, net | 1,114 | 1,855 | ||||||||
Prepaid expenses and other | 1,356 | 1,262 | ||||||||
Total current assets | 20,984 | 29,966 | ||||||||
Property and equipment: | ||||||||||
Rental equipment | 185 | 207 | ||||||||
Computer software and equipment | 42,662 | 41,388 | ||||||||
Furniture, fixtures and leasehold improvements | 9,071 | 9,061 | ||||||||
51,918 | 50,656 | |||||||||
Less accumulated depreciation and amortization | (37,108 | ) | (34,814 | ) | ||||||
14,810 | 15,842 | |||||||||
Goodwill | 25,169 | 25,169 | ||||||||
Other assets, net | 981 | 822 | ||||||||
Total assets | $ | 61,944 | $ | 71,799 | ||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||
Current liabilities: | ||||||||||
Accounts payable | $ | 5,203 | $ | 9,259 | ||||||
Line of credit | - | 10,055 | ||||||||
Accrued salaries | 1,512 | 2,111 | ||||||||
Accrued expenses and other | 3,631 | 3,142 | ||||||||
Total current liabilities | 10,346 | 24,567 | ||||||||
Noncurrent liabilities: | ||||||||||
Equipment lease payable | 503 | - | ||||||||
Deferred compensation | 571 | 547 | ||||||||
Other noncurrent liabilities | 227 | 206 | ||||||||
Total noncurrent liabilities | 1,301 | 753 | ||||||||
Commitments and contingencies (see Note 5) | ||||||||||
Shareholders’ equity: | ||||||||||
Preferred stock: 10,000,000 shares authorized, $0.10 par value, | ||||||||||
no shares issued or outstanding | - | - | ||||||||
Common stock: 50,000,000 shares authorized, $0.10 par value, | ||||||||||
12,600,759 shares issued and 12,334,804 shares outstanding | 1,260 | 1,260 | ||||||||
Additional paid-in capital | 66,482 | 66,439 | ||||||||
Accumulated deficit | (17,445 | ) | (21,220 | ) | ||||||
Total shareholders’ equity | 50,297 | 46,479 | ||||||||
Total liabilities and shareholders’ equity | $ | 61,944 | $ | 71,799 |
See notes to condensed financial statements.