corporate overview june 2008 – confidential. quorum confidential 2 company overview highlights...
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Corporate OverviewCorporate Overview
June 2008 – Confidential
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Company OverviewCompany Overview
HighlightsThird largest supplier of Dealership Management Systems to GM dealerships in Canada.233 Dealerships have already chosen XSELLERATOR™.Selected as the new technology choice under GM’s Integrated Dealer Management Systems (IDMS) initiative in North America.Microsoft Strategic Partner for North American automotive (MS - Gold Certified and ISV-Managed Partner).Currently supported OEM integration: all GM franchises, Chrysler, Isuzu MD, Hyundai Canada and Kia Canada.Active Member of the Standards for Technology in Automotive Retail (STAR) initiative of the National Automobile Dealers Association (NADA).
Market FocusExclusively Automotive Retail, North America.
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Experienced Management TeamExperienced Management Team
Maury Marks, B.Mgt., C.A. – founder – 15 + years in automotivePresident & CEO
Mark Allen, M.B.A. – 20+ years with GM and EDS ARG Vice President – Sales, Marketing & Services
Dan Ichelson, B.Sc., M.B.A. – 10 + years in automotiveVice President, Support & Development
Jeff Sharpe, C.A. Chief Financial Officer
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Key MetricsKey Metrics
Category (counts in RT’s) 2007 2008 ‘08 US
‘08 CA
Total Customer Count –
installed or signed201 June 233 49 188
Net New Installs 29 40 20 20
IDMS Customers 100 200 50 150
Migrations (SQL Server) 38 55 10 45
Integration Projects 2 June 10
Last Quarter Support Revenues
(in 000’s)1,200 1,450
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Sales GrowthSales Growth
Strategic Pieces in Place:
49 US Dealerships – transact in 26 US States
GM Integration – delivering 1st of 10 integration points – finally!
Chrysler – integration running in 3 dealerships
Business Transformation process underway – to significantly improve our implementations scale
R&R IDMS Exit – July 31st deadline
ForecastForecast
Sales($ Millions)
Q1 Q2 Q3 Q4 2008
Installs / Migrations $0.29 $0.70 $0.85 $0.90 $2.74
Support $1.22 $1.25 $1.32 $1.45 $5.24
Integration / Services $0.16 $0.25 $0.31 $0.31 $1.03
Total Sales $1.67 $2.20 $2.48 $2.66 $9.01
INSTALLS 2 10 13 10 35
ForecastForecast
Notes: - Integration / Services in 2006 includes $1.1 Million in one-time Palm Revenue - Dramatic Improvement in Cash Management in fourth Q 2007- US Ready for increased sales in 2009 with GM IDMS Integration, Chrysler Integration, Transformed
Implementation Approach, Cash Flow positive organization- Higher margin support revenue drives EBITDA
Sales($ Millions)
2006 2007 2008 2009 2010
Installs / Migrations $3.3 $3.3 $2.8 $4.0 $6.0
Support $2.8 $4.2 $5.2 $6.5 $8.0
Integration / Services $1.3 $0.7 $1.0 $2.0 $3.0
Total Sales $7.4 $8.2 $9.0 $12.5 $17.0
EBITDA ($) -$3.7 - $1.5 $0.5 $2.5 $5.0
EBITDA (%) -50% -18% 5% 20% 29%
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