Exhibit 99 Interleaf, Inc. Consolidated Balance Sheets (In thousands) JUNE 30, 1997 PROFORMA ADJUSTMENTS JUNE 30, 1997 ------------- ----------- ------------- ASSETS (UNAUDITED) (UNAUDITED) Current Assets Cash and cash equivalents.............................................. $ 18,031 $ 6,848 $ 24,879 Accounts receivable, net of reserve for doubtful accounts 7,922 of $1,377 at June 30, 1997............................................. 7,922 0 Prepaid expenses and other current assets.............................. 1,532 1,532 ------------- ----------- ------------- Total Current Assets................................................... 27,485 6,848 34,333 Property and equipment, net............................................ 4,423 4,423 Intangible assets...................................................... 1,946 1,946 Other assets........................................................... 444 444 ------------- ----------- ------------- Total Assets........................................................... 34,298 6,848 41,146 ------------- ----------- ------------- ------------- ----------- ------------- LIABILITIES AND SHAREHOLDERS' EQUITY (DEFICIT) Current Liabilities Accounts payable....................................................... 2,544 703 3,247 Accrued expenses....................................................... 11,845 11,845 Unearned revenue....................................................... 13,819 13,819 Accrued restructuring.................................................. 3,598 3,598 ------------- ----------- ------------- Total Current Liabilities.............................................. 31,806 703 32,509 Long-term restructuring................................................ 2,744 2,744 ------------- ----------- ------------- Total Liabilities...................................................... 34,550 703 35,253 ------------- ----------- ------------- ------------- ----------- ------------- Shareholders' Equity (Deficit) Preferred stock, par value $.10 per authorized 5,000,000 shares: Series A Junior Participating, none issued and outstanding Senior Series B convertible, issued and outstanding, 861,911 at June 30, 1997........................................................ 86 86 Senior Series C convertible, issued and outstanding, 1,006,480 at June 30, 1997; 1,013,980 issued and outstanding (proforma)................ 101 -- 101 Common stock, par value $.01 per share, authorized 30,000,000 shares, issued and outstanding, 17,709,719 at June 30, 1997.................. 177 177 Additional paid-in capital............................................. 85,747 6,145 91,892 Retained earnings(deficit)............................................. (86,122) (86,122) Cumulative translation adjustment...................................... (241) (241) 0 ------------- ----------- ------------- Total Shareholders' Equity (Deficit)................................... (252) 6,145 5,893 ------------- ----------- ------------- Total Liabilities and Shareholders' Equity (Deficit)................... $ 34,298 $ 6,848 $ 41,146 ------------- ----------- ------------- ------------- ----------- ------------- Page 1