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Financial Communications & Investor Relations
     
 
 
Micro-cap & Small-cap Investor Relations Package
 
 

Daily Investor Communications
Daily Investor Communications are responses to calls, emails and mail from the investment community including individual investors, the financial media, stockbrokers, institutional portfolio managers, buy-side analysts, sell-side analysts, investment bankers, venture capitalists and any individuals looking for financial information on the company.

Earnings Release Assistance
This includes the drafting of the earnings release and quarterly conference call script, the logistical arrangements, the final distribution and participation. Drafting and input assistance makes sense as Fi.Comm is daily conversing with the investment community both on our new clients and other software companies as well.

Daily Update and Maintenance of Financial Database
A company's financial database is its investor relations foundation; therefore it is imperative to build and maintain the database correctly. Fi.Comm's specially designed database properly codes each individual including sell-side analysts, buy-side analysts, portfolio managers, stockbrokers, interested individuals, individuals seen by the company, and media that have requested information. We also rate each individual, maintain a contact log and update the database every day to assure its integrity. By doing this, the database can be used as a strategic tool for constructive on-going communications.

Review and Coordination of PR Releases
Fi.Comm is on the review committee and makes limited suggestions to managament. As Fi.Comm is the contact for the investment community on all these releases, we feel it is important that we are aware of and have a good understanding of the press that is being launched. Further, it is our belief that the IR and PR messaging should be parallel and in synch.

Update Calls with Management
Once a week Fi.Comm has an update call with members of the senior management team. These calls typically are 20 - 60 minutes long and provide a good mechanism for needed on-going communications and updating. Often times additional calls with management are necessary for a variety of reasons.

Investor Collateral Review & Update
Each quarter, or whenever a noteworthy event has transpired, the company's collateral including the IR slide presentation, the web site and the IR Kit should be reviewed with Fi.Comm and edited to reflect the most current news and information.

Tracking of Market Makers, Analysts Models & Institutional Shareholders
Tracking of this information is imperative to properly communicate with the investment community as well as understand the current and important players involved with the client and its peers. Market Makers: Fi.Comm often goes directly to the trading desk to find out what/who is causing the activity for our clients. Without knowing the specific trader who is trading the stock, it is often impossible to get immediate and accurate information. For that reason, each month we update the trader list and introduce ourselves so that an ongoing relationship is established. Institutional Shareholders: It is imperative that our clients know who their institutional shareholders are. A monthly update of institutional owners (based on 13(f) filings, including which institution holds the stock, the individual portfolio manager/analyst responsible for that equity position, their investment style, and their contact information is determined and provided. Fi.Comm highlights any new entries and/or aberrations. Analyst's Models: As we all know, the sell-side analyst plays an extremely influential role in the financial community. They can be the, purveyor of public opinion and perception. Knowing their current opinions and estimates is imperative. Each month, or whenever a change in estimate or opinion is made, our clients analysts send us their updated models. We in turn combine all this information into a single format to use on a daily basis while communicating with the investment community.

All 3 of these reports are sent to client management each month.

 

Institutional Awareness Activities

The following activities are suggested to increase and broaden the awareness of our clients within the institutional investing audience.

Sell-Side Analyst Introductions
Using peer company analysis we would suggest a minimal quarterly effort to identify and introduce our clients to a small number (4-8) of sell-side analysts. While immediate coverage is not as likely, for our small cap clients, given the company's current market capitalization, it is an effort we would encourage in order to "get up the curve" while the company's performance and stock price improves.The process would include the following steps:

  1. Peer group analysis to identify appropriate analysts
  2. Call by Fi.Comm to assess level of interest
  3. Virtual Meeting (see below)
  4. Private meetings and/or calls to further develop relationship
  5. Assistance with Initiation Report
  6. Teach-In to sales force at Investment Bankers
  7. Ongoing support and communications

Buy-Side Analyst and Portfolio Manager Refresh and Introductions: Fi.Comm has built good relationships with numerous portfolio managers and buy-side analysts. While market capitalization might prevent some from making commitments right away, they will be ready to invest as the stock rises.

The following process would be used to initiate this activity:

  1. Contact to each of these individuals to assess their interest level
  2. Virtual Meeting (see below)
  3. Private meetings and/or calls to further develop relationships
  4. US Roadshow participation (see below)
  5. Ongoing support and communications

Introductions: For our small-cap clients present market capitalization level, any new introductions should be highly targeted. Specifically only management firms that specialize in micro-cap, have low portfolio turnover. Further, introductions should be done on a regional approach in order to best leverage the US Roadshow program.The following process would be used:

  1. Regionally target portfolio managers that fir the above description
  2. Virtual Meeting (see below)
  3. Private meetings and/or calls to further develop relationships
  4. US Roadshow participation (see below)
  5. Ongoing support and communications
Virtual Meeting Program
This program is designed to continuously refresh our clients financial database with qualified potential investors and sell-side analysts as well as keep these qualified individuals informed about the company.Each week Fi.Comm coordinates a group of 4 to 6 attendees to participate in a 35 minute "Virtual Slide Presentation" given by our clients CFO or CEO via the internet and in conjunction with a teleconference call. The web cast is controlled by Management via their desktop computer. Following the presentation, listeners are free to ask questions. The goal of the Virtual Meeting Program is to economically, efficiently and consistently introduce a group of qualified buyers to our new clients.

US Roadshow Program
As the above programs mention, at some point a face-to-face meeting with analysts and portfolio managers is critical.
Fi.Comm
suggests management consistently visit a city or region every 6 weeks. These cities or regions include:

  • So. California (LA & San Diego)
  • San Francisco
  • Pacific Northwest (Portland & Seattle)
  • Mid west (Denver, Kansas City, Minneapolis, Chicago & Milwaukee/Madison)
  • New York
  • Boston
  • Philadelphia/Baltimore

Often times these tours can be in conjunction with any industry or financial (investment banking) conferences that our client may already be attending. Fi.Comm is able to facilitate these roadshows and often coordinates these outings with the company's analysts/investment bankers.

European Roadshow Program
While not immediately suggested, as the company's market capitalization grows a European Roadshow should be considered. European investors are often the best to have as they typically longer-term holders and truer "investors".

Analyst Day
Each year our client should hold an Analyst Day for its institutional audience. Often times these events are held in conjunction with a company's User Conference. The Analyst Day is a wonderful way to highlight the company's goals and objectives as well as lay-out all aspects of the company's growth strategy. It is a great way to showcase your senior management team and highlight the breadth and strength of the company. Fi.Comm is able to assist in this event from preparing management's remarks and presentations, inviting the appropriate attendees and working with the appropriate company person who would most likely handle all logistics.

 

Retail Awareness Activities

Retail Conferences
There are hundreds of conferences dedicated to the retail investment audience. Fi.Comm has attended dozens of these and has done due diligence and evaluated many others. Each quarter Fi.Comm represents 6 of their clients at a chosen retail conference. Because of the multiple representation costs are minimal and attendance at the Fi.Comm booth is always high.

Fi.Comm Retail Database Introduction
Over the past 10 years Fi.Comm has accumulated information on thousands of qualified retail investors in its database. These are individual investors who have contacted us directly and that we have spoken to on behalf of our clients. For those clients who are looking to expand their retail share base, we suggest an introduction to these investors.

Financial News Letter Targeting
There are over 100 investment news letters in circulation today. Many of these concentrate on under-followed, little known micro or small-cap public companies. There value is to investigate overlooked companies and highlight those they feel offer a good and sound investment opportunity. Both stockbrokers and individuals investors are big users of these news letters. Fi.Comm evaluates these news letters and makes client introductions to those they find credible.

Fi.Comm News Letter
Starting in July 2002, Fi.Comm is planning on initiating a bi-monthly news letter that will highlight "recent news" on each of their clients. This news letter will be emailed to both individual as well as institutional investors and is designed to spark an interest and the desire for more information. We believe, that all Fi.Comm clients will benefit, as they will have the advantage of hitting over 9,000 qualified investors every other month and will be included in a group of public companies, where every reader has an interest in at least one company and will therefore be likely to read the newsletter to be updated on his or her particular stock but others as well.

Web Vendors and Other Individual Investor Organization Suggestions
Today there are hundreds of investment vehicles for individual investors to choose from to learn more about particular stock ideas. These services come and go in rapid succession. Fi.Comm has a dedicated person whose responsibility it is to evaluate these services and organizations as they emerge and maintain a roster of those that he finds worthy of attention and use.

 
     
    Phone: 503-203-8808 Fax: 503-203-6833 Address: 8534 Timber Ridge Court, Portland, OR 97229 Email: heidi.flannery@ficomm.com