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EXHIBIT (a)(9)
To: PFSweb employees who are eligible option holders
From : Mark C. Layton / Chairman, CEO and Sr. Partner of PFSweb, Inc.
Date: May 21, 2001
Dear Team:
To assist you in determining whether you wish to participate in the
Offer to Exchange dated April 30, 2001, we are attaching certain summary
financial information concerning PFSweb, Inc. You should consider the
information contained in the Offer to Exchange, as well as the summary financial
information attached to this letter which supplements Section 16 (Additional
Information) of the Offer to Exchange, in deciding to participate in, or to
withdraw your participation in, our option exchange program. You should also
consider our other publicly available disclosure documents filed with the SEC
and incorporated in the Offer to Exchange in making your decision.
Please note that Section 17 (Miscellaneous) of the Offer to Exchange is
modified to state that the safe harbor for forward looking statements under the
Private Securities Litigation Reform Act of 1995 does not apply to statements
made in connection with the Offer to Exchange.
Please remember that the deadline for electing to participate in, and
for withdrawing your previous election to participate in, the Offer to Exchange
is 5:00 p.m. Central time on May 29, 2001 (unless extended by us in accordance
with the Offer to Exchange).
If you have any questions, please call Harvey Achatz in Plano at
888-330-5504 x 2130.
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Summary Financial Information
The following table presents summary financial data for PFSweb. The data
presented in this table has been derived from the Company's Form 10-K for the
year ended March 31, 2000 and the Company's Form 10-Q for the nine months ended
December 31, 2000.
As of As of
March 31, 2000 December 31, 2000
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(in thousands, except per share data)
Balance Sheet Data:
Current assets $ 38,322 $ 36,394
Noncurrent assets 22,083 21,299
Current liabilities 10,348 15,111
Noncurrent liabilities 2,407 3,572
Shareholders' equity 47,650 39,010
Book value per share $ 2.67 $ 2.18
Fiscal Years Ended Unaudited Nine Months
March 31, Ended December 31,
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1999 2000 1999 2000
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(in thousands, except per share data)
Statement of Operations Data:
Revenues:
Product revenue......................... $ 93,702 $55,778 $55,778 $ --
Service fee revenue..................... 7,547 30,829 17,872 38,817
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Total revenues..................... 101,249 86,607 73,650 38,817
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Gross profit............................... 7,591 10,493 6,341 11,436
Income (loss) from operations.............. 880 (7,271) (6,123) (9,408)
Net income (loss).......................... $ 292 $(5,939) $(5,550) $(8,564)
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Per Share Data:
Net income (loss) per share:
Basic and diluted....................... $ 0.02 $ (0.38) $ (0.38) $ (0.48)
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Weighted average number of shares
outstanding:
Basic and diluted....................... 14,305 15,479 14,687 17,870