Exhibit D
Trade & Credit References
CREDIT INFORMATION
GENERAL INFORMATION
Tucows International Corp.
Toronto, Ontario
M6K 3M1
Telephone: 416-535-0123
Fax: 416-531-5584
Company Officers: Elliot Noss, President/CEO
Michael Cooperman, CFO
COMPANY INFORMATION
Parent Company:Tucows.com Inc.
Business started: May 4, 1999
Premises: Leased
Business Type: Domain Registration and Digital Distribution
BANK INFORMATION
Hong Kong Bank of Canada
150 Bloor Street West
Toronto, Ontario
M5S 2Y5
Contact: Linda Pileggi
Telephone: 416-968-7622 ext. 319
TRADE REFERENCES
1. Internet Direct/Look Communications Attn: Rita Bank
Telephone: 416-233-7150 Fax: 416-233-6970
2. Turbo Com Attn: Tony An
Telephone: 905-277-3999 Fax: 905-277-5999
3. Dell Computer Corp.
Telephone: 416-758-2100 Fax: 416-758-2303
Exhibit E
Tucows.com Inc.
| December 31, 1999 | March 31, 2000 | ||||||||||
| (unaudited) |
|||||||||||
| Assets | |||||||||||
| Current assets: | |||||||||||
| Cash and cash equivalents | $ 1,669,887 | $ 6,136,654 | |||||||||
| Accounts receivable, net of allowance for | |||||||||||
| doubtful accounts of $73,258 at December 31, | |||||||||||
| 1999 and $80,328 at March 31, 2000 | 659,651 | 772,458 | |||||||||
| Prepaid expenses and deposits | 401,471 |
1,972,621 |
|||||||||
| Total current assets | 2,731,009 | 8,881,733 | |||||||||
| Property and equipment (note 4) | 2,290,237 | 2,600,767 | |||||||||
| Intangible assets (note 5) | 23,512,533 |
20,993,330 |
|||||||||
| Total assets | $ 28,533,779 |
$ 32,475,830 |
|||||||||
| Liabilities and Shareholders' Equity | |||||||||||
| Current liabilities: | |||||||||||
| Accounts payable | $ 602,124 | $ 675,243 | |||||||||
| Accrued liabilities | 315,682 | 600,445 | |||||||||
| Customer deposits | -- | 653,890 | |||||||||
| Deferred revenue | 460,826 |
2,538,328 |
|||||||||
| Total current liabilities | 1,378,632 | 4,467,906 | |||||||||
| Deferred revenue, net of current portion | 215,400 | 790,300 | |||||||||
| Shareholders' equity: | |||||||||||
| Capital stock: | |||||||||||
| Series A convertible preferred shares, $0.001 | |||||||||||
| par value: | |||||||||||
| Authorized: | |||||||||||
| 35,000,000 shares | |||||||||||
| Issued and outstanding: | |||||||||||
| 27,000,000 shares at December 31, | |||||||||||
| 1999 and 28,677,402 | |||||||||||
| March 31, 2000 | 27,000 | 28,677 | |||||||||
| Preferred shares, $0.001 par value: | |||||||||||
| Authorized: | |||||||||||
| 5,000,000 shares | |||||||||||
| Issued and outstanding: | |||||||||||
| No shares issued at December 31, | |||||||||||
| 1999 and March 31, | -- | -- | |||||||||
| Common shares, $0.001 par value: | |||||||||||
| Authorized: | |||||||||||
| 60,000,000 shares | |||||||||||
| Issued and outstanding: | |||||||||||
| 3,000,000 shares at December 31, | |||||||||||
| 1999 and March 31, | 3,000 | 3,000 | |||||||||
| Additional paid-in capital | 35,658,800 | 41,656,041 | |||||||||
| Option | 1,072,412 | 1,072,412 | |||||||||
| Deferred stock-based compensation | -- | (681,556) | |||||||||
| Deficit | (9,821,465) |
(14,860,950) |
|||||||||
| Total shareholders' | 26,939,747 |
27,217,624 |
|||||||||
| Total liabilities and shareholders' equity | $ 28,533,779 |
$ 32,475,830 |
|||||||||
Tucows.com Inc.
Consolidated Statement of Operations [CONFIDENTIAL]
| Period from
May 4, 1999 (commencement of operations) to December 31, 1999 |
Three months ended March 31, 2000 |
||||||
| (unaudited) |
|||||||
| Net revenues | $ 2,833,509 | $ 1,548,728 | |||||
| Cost of revenues | 282,742 |
613,040 |
|||||
| Gross profit | 2,550,767 | 935,688 | |||||
| Operating expenses: | |||||||
| Sales and marketing | 2,120,063 | 1,810,102 | |||||
| Product development | 1,095,083 | 518,440 | |||||
| General and administrative, which includes stock-based compensation of $1,072,412 (note 6) | 2,242,372 | 752,934 | |||||
| Amortization | 6,944,978
|
2,914,364
|
|||||
| Total operating expenses | 12,402,496
|
5,995,840
|
|||||
| Loss from operations | (9,851,729) | (5,060,152) | |||||
| Interest income, net | 30,264
|
20,667
|
|||||
| Loss before provision for income taxes | (9,821,465) | (5,039,485) | |||||
| Provision for income taxes (note 9) | --
|
--
|
|||||
| Loss for the period | $(9,821,465)
|
$(5,039,485)
|
|||||
| Basic and diluted loss per common share | $(3.27)
|
$(1.68)
| |||||
| Shares used in computing basic and diluted loss per common share | 3,000,000
|
3,000,000
|
|||||
See accompanying notes to consolidated financial statements.
Tucows.com Inc.
Consolidated Statement of Shareholders' Equity [CONFIDENTIAL]
(Dollar amounts in U.S. Dollars)
Unaudited Draft - for discussion purposes only
| Common Shares | Series A convertible preferred shares |
Additional paid-in capital |
Option
|
Deferred stock-based compensation |
Deficit
|
Total shareholders' equity |
|||||||||||||||
| Number
|
Amount
|
Number
|
Amount
| ||||||||||||||||||
| Balances, May 4, 1999(commencement of operations) |
-- | $ -- | -- | $ -- | $ -- | $ -- | $ -- | $ -- | $ -- | ||||||||||||
| Issued for cash | -- | -- | 27,000,000 | 27,000 | 30,973,000 | -- | -- | -- | 31,000,000 | ||||||||||||
| Issued on acquisition of business |
3,000,000 | 3,000 | -- | -- | 685,800 | -- | -- | -- | 688,800 | ||||||||||||
| Issuance of option | -- | -- | -- | -- | -- | 1,072,412 | -- | -- | 1,072,412 | ||||||||||||
| Additional capital contribution |
-- | -- | -- | -- | 4,000,000 | -- | -- | -- | 4,000,000 | ||||||||||||
| Loss for the period | --
|
--
|
--
|
--
|
--
|
--
|
--
|
(9,821,465)
|
(9,821,465)
|
||||||||||||
| Balances, December 31, 1999 |
3,000,000 | 3,000 | 27,000,000 | 27,000 | 35,658,800 | 1,072,412 | -- | (9,518,392) | 26,939,747 | ||||||||||||
|
Issued for cash (unaudited) |
-- | -- | 1,677,402 | 1,677 | 5,293,322 | -- | -- | -- | 5,294,999 | ||||||||||||
| Deferred stock-based compensation (unaudited) | -- | -- | -- | -- | 703,919 | -- | (703,919) | -- | -- | ||||||||||||
| Amortization of deferred stock-based compensation(unaudited) | -- | -- | -- | -- | -- | -- | 22,363 | -- | 22,363 | ||||||||||||
| Loss for the period (unaudited) | --
|
--
|
--
|
--
|
--
|
--
|
--
|
(5,039,485)
|
(5,039,485)
|
||||||||||||
| Balances, March 31, 2000 (unaudited) | 3,000,000
|
$ 3,000
|
28,677,402
|
$28,677
|
$41,656,041
|
$1,072,412
|
$ (681,556)
|
$(14,860,950)
|
$27,217,624
|
||||||||||||
See accompanying notes to consolidated financial statements.
Tucows.com Inc.
Consolidated Statement of Cash Flows [CONFIDENTIAL]
(Dollar amounts in U.S. Dollars)
Unaudited Draft - for discussion purposes only
| Period from
May 4, 1999 (commencement of operations to December
31, 1999
|
Three months ended March 31, 2000
|
|||||
| (unaudited) | ||||||
| Cash provided by (used in): | ||||||
| Operating activities: | ||||||
| Loss for the period | $(9,821,465) | $(5,039,485) | ||||
| Items not involving cash: | ||||||
| Amortization of property and equipment | 227,379 | 395,161 | ||||
| Amortization of intangible assets | 6,717,599 | 2,519,203 | ||||
| Stock-based compensation | 1,072,412 | -- | ||||
| Amortization of deferred stock-based compensation | -- | 22,363 | ||||
| Change in non-cash operating working capital: | ||||||
| Accounts receivable | (480,715) | (112,807) | ||||
| Prepaid expenses and deposits | (376,411) | (1,571,150) | ||||
| Accounts payable | 602,124 | 73,119 | ||||
| Accrued liabilities | 315,682 | 284,763 | ||||
| Customer deposits | -- | 653,890 | ||||
| Deferred revenue | 676,226
|
2,652,402
|
||||
| Net cash used in operating activities | (1,067,169) | (122,541) | ||||
| Financing activities: | ||||||
| Proceeds on issue of Series A convertible preferred shares | 35,000,000
|
5,294,999
|
||||
| Cash provided by financing activities | 35,000,000 | 5,294,999 | ||||
| Investing activities: | ||||||
| Acquisition of net assets of the Tucows Division of Tucows Interactive Limited (note 3) | (30,000,000) | -- | ||||
| Additions to property and equipment | (2,262,944)
|
(705,691)
|
||||
| Cash used in investing activities | (32,262,944)
|
(705,691)
|
||||
| Increase in cash and cash equivalents | 1,669,887
|
4,466,767
|
||||
| Cash and cash equivalents, beginning of period | --
|
1,669,887
|
||||
| Cash and cash equivalents, end of period | $ 1,669,887
|
$ 6,136,654
|
||||
| Supplemental cash flow information: | ||||||
| Interest paid | $ 377
|
$ 710
|
||||
| Income taxes paid | $ --
|
$ --
|
||||
| Supplemental disclosure of non-cash investing and financing activities: | ||||||
| Common shares issued on acquisition of Tucows Division of Tucows Interactive Limited (note 3) | $ 688,800
|
$ --
|
||||
See accompanying notes to consolidated financial statements.