***LBC*** Zus.fassung d. AK v. 14.12.01 - 500 Beiträge pro Seite

[jgh]

LetsBuyIt.com
ANALYST CONFERENCE
Munich, 14th December 2001

Q3 2001 Summary
The results of operations for the nine months ended September 30, 2001, are not necessarily indicative for the full year 2001, especially due to the fact that LetsBuyIt.com only effectively restarted its operations after the provisional suspension of operation was lifted in late February 2001, and consequently, the results only include seven months of operations.

Furthermore, the implementation of the “agency-buy” model and the 2001 restructurings makes it difficult to compare the current results with those of last year.

Consolidated Statement of Operations
Consolidated Balance Sheet (After appropriation of results)
Consolidated Statement of Cash Flows
Shmulik Stein International Investments
During the 2nd Quarter of 2001, Shmulik Stein International Investment Limited (“SSII”), a UK based company, reconsidered its initial investment and decided to withdraw its earlier agreement with LetsBuyIt.com, in regard to financing worth EURO 30 million.
LetsBuyIt.com has subsequently started legal proceedings against SSII for breach of their contractual obligations. These proceedings have led to a verdict that obligates SSII to pay LetsBuyIt.com approximately Euro 7.5 million as well as to provide LetsBuyIt.com with a bridge loan financing of Euro 7.0 million.
Up to this date we have not received any of these funds from SSII and have begun liquidation recovery proceedings against it in the UK.

Neuer Markt de-listing regulations
Effective October 1, 2001, Deutsche Börse AG has implemented its New Rules and Regulations for the Termination of Admission to the Neuer Markt for companies with a small market capitalisation and a low share price. Currently, both our market capitalisation and average share price are below the aforementioned threshold values and have been below these thresholds on 30 consecutive trading days.
We applied for a preliminary court injunction against the implementation of the New Rules applied to the appropriate court in Frankfurt on September 27, 2001. The injunction proceedings are still pending and the court has ordered a hearing for December 19, 2001.
Although we cannot predict the outcome of our injunction proceedings, preliminary injunctions have already been issued in comparable cases in favour of companies listed on the Neuer Markt.
If the court grants the preliminary injunction, the new rules would not be applicable to us for a period of 6 months after October 1, 2001 until i.e. April 1, 2002. To avoid further risk of delisting, we are currently investigating the possibilities to proceed with a reverse split.
Termination of admission to the Neuer Markt for the aforementioned reasons will not affect the admission to Geregelter Markt at the Frankfurt Stock Exchange. If a company`s admission to the Neuer Markt is terminated by Deutsche Börse AG, the company remains listed on the Geregelter Markt.

Restructuring
As a result of the increased pressure on working capital caused by the loss of the SSII investment, LetsBuyIt.com began in August to structure its sales transactions in accordance with an “agency-buy” model. Under this model, LetsBuyIt.com is offering the use of its website as a shopping platform to suppliers who would like to utilise LetsBuyIt.com’s co-buy model and brand name to sell their products directly to end-user customers.

The suppliers will be responsible for the fulfilment of the order which is placed via LetsBuyIt.com’s web-sites after the co-buy sales are closed. LetsBuyIt.com will receive a commission for its services to these suppliers. We expect this change in operations will enable LetsBuyIt.com to substantially reduce its level of operating costs and limit working capital requirements in line with the limited financial resources currently available.

Global Emerging Markets (GEM)
LetsBuyIt.com N.V has secured an additional investment of €4.0 million from Global Emerging Markets New York, a strategic investor.

Given current projections, we believe that this additional capital will be sufficient to see us through to sustained profitability in Q4 2002.

The investment will be paid in four equal tranches, the first of which has been received on October 30th, 2001. The next tranche will be paid upon listing of the shares in the Neuer Markt Segment of the Frankfurt Stock Exchange. The remaining tranches will then be paid at monthly intervals.

The Agency Model
Agency Performance To Date
European Consumer Commerce Forecasts
New Business Model and Outlook for 2002
Considerable reduction in costs
Salaries down by 70% (to €300K) due to reduced headcount (62 people)
G&A reduction by 60% (to €250K) due to office relocation and closure of French office.
IT costs reduced by 55% (to €85K) after licence renegotiation and streamlining of platform.
Reduced marketing costs thanks to existing 1.3m members and free HTML emails.
No transaction costs, no fulfilment costs, no warranty costs, no customer service costs.
Monthly costs down to €600,000.
Conservative revenue forecast
€48m FY 2002, €100m FY 2003. (€38 FY 2000)
Currently averaging commissions of 10.5% = to plan
Introduction of fixed price model and increased product selection broadens LBI appeal.
Operating profit can be achieved on monthly sales of €6.0m
Summary
No requirement for further financing, and in operating profit from Q4 2002.










Latest Developments
The Future
We will work with more, and better suppliers, in order to achieve better commission payments and an increased product range. As our sales increase, we will become a more attractive partner to work with, proving our ability to on sell products for other merchants.
We will further develop our relationship with our 1.3 million members, increasing our conversion ratio and bettering our repeat purchase rate. This will be achieved through increased direct marketing and better exploiting our customer relationship marketing.
We will continue to build the brand and attract new members, using our relationships with ProSieben and BSkyB, and continuing our highly effective email and ‘tip-a-friend’ campaigns.
Introduction of a ‘fixed-price’ buying model allows us to appeal to Internet shoppers who are more interested in convenience than price. This vastly increases our potential market size.
We will continue to look at ways of further cutting costs and streamlining the business. In particular, we will look at our technology and the introduction of new processes that will help make us even more efficient.
We will focus on our existing markets, and only when they are profitable will we look at expanding into other markets where the brand is still strong.

We have come a long way in 12 months, and we now have a business that is ‘back-on-track’. We will continue to focus on our core strengths, which are our brand, our members, and our technology, with the intention of delivering a profitable company by 2003, and driving maximum value for shareholders and stakeholders alike.
Merry Christmas and a Happy New Year

[sprengring]

erst 2003 wollen sie gewinne machen diese träumer.vor ein paar wochen sollte es noch 2002 sein.verkauft den schrott.

[zpo]

sprengi

ob LBC nun profitabel wirtschaftet bereits am 31.12.2002 oder erst am 1.1.2003, ist mir sowas von wurst ...

[jgh]

up

[zpo]

[jgh]

up

The Agency Model
Agency Performance To Date
European Consumer Commerce Forecasts
New Business Model and Outlook for 2002
Considerable reduction in costs
Salaries down by 70% (to €300K) due to reduced headcount (62 people)
G&A reduction by 60% (to €250K) due to office relocation and closure of French office.
IT costs reduced by 55% (to €85K) after licence renegotiation and streamlining of platform.
Reduced marketing costs thanks to existing 1.3m members and free HTML emails.
No transaction costs, no fulfilment costs, no warranty costs, no customer service costs.
Monthly costs down to €600,000.
Conservative revenue forecast
€48m FY 2002, €100m FY 2003. (€38 FY 2000)
Currently averaging commissions of 10.5% = to plan
Introduction of fixed price model and increased product selection broadens LBI appeal.
Operating profit can be achieved on monthly sales of €6.0m
Summary
No requirement for further financing, and in operating profit from Q4 2002.

[Kaktus-Jones]

@ jgh
Das ist schon nicht mehr ganz aktuell. Mittlerweile haben die nur noch 50 und nicht mehr 62 Mitarbeiter. D.H. die Kosten sind noch ein wenig niedriger geworden.

[Klugos]

@kaktus

woher hast du das mit den 50 mitarbeitern?
offiziell sinds 62, meinetwegen jetzt 61!

gruß

[jgh]

kaktus,
den kollegen holstein kannste auch noch abziehen

[Kaktus-Jones]

@Klugos
Die Zahl der Mitarbeiter habe ich von LBC selbst, bzw. die haben mir das in einer Mail geschrieben (s. Statistik-Thread) und zwar heute (gestern erst gefragt, heute schon die Antwort!! So schnell ging das noch nie!!).
Vieleicht haben die Holstein ja noch gar nicht mitgerechnet

[Klugos]

@kaktus

das ist es ja.die aktualität bei lbc ändert sich schon fast stündlich.
wahrscheinlich haben die investoren - wenigstens ein teil von denen - auch die aktien nicht wie im prospektus angebenen zwischen
0,40 und 0,45 cent bekommen. deshalb wird auch der "prospketus" wieder von der seite genommen worden sein.
ich schätze, der ausgabepreis für die wird bei dem kursniveau auch bei 0,01 gelegen haben. anders sind die verkäufe nicht zu erklären.
frag mal lbc danach und ich wette mit dir, so schnell wird da keine antwort kommen.

[jgh]

up

[Kaktus-Jones]

mittlerweile sind es ja nur noch 23 Mitarbeiter und Schweden ist auch dicht. Die Kosten sollten also immer weiter sinken!