9-19-2008 Company Confidential Pg 1 Weekly Business Update Sep 19, 2008

9-19-2008 Company Confidential Pg 1

Weekly Business Update Sep 19, 2008Weekly Business Update Sep 19, 2008


Sep Flash Report (thru 9-18-08) Cash Sales

Individual Revenue Cash - New: 176,485$ Individual Revenue - Renewal: 166,209 Institutional Sales - New: 9,500 Institutional Sales - Upsell: - Institutional Sales - Renewal: 131,842 Global Vantage - Executive Briefings - Onetime New: 7,995 Public Policy Revenue - New: - Public Policy Revenue - Renewal: 30,000 International Revenue - New: - International Revenue - Renew: - Protective Intelligence Revenue - New: - Protective Intelligence Revenue - Renewal: - Refunds/Adjustments: (18,869)

Total MTD 503,162$

iPAY Cash Deposits 314,728 Daily Average 24,210


Summary Cash Sales Trend - $K

SALES CATEGORY Aug 07 Sep 07 Oct 07 Nov 07 Dec 07 Jan 08 Feb 08 Mar 08 Apr 08 May 08 Jun 08 Jul 08 Aug 08 Sep 08 2006 2007 YTD '08

Indiv Sales Cash - New: 294 236 174 235 276 167 111 330 234 162 188 188 294 176 1519 2254 1850

Indiv Sales - Renewal: 162 159 142 144 155 149 115 144 126 149 246 191 200 166 1675 2143 1487

Inst Sales - New: 10 22 10 15 15 14 4 2 12 83 13 7 25 10 861 227 169

Inst Sales - Upsell: 0 0 0 0 0 0 175 0 0 0 0 0 0 0 25 8 176

Inst Sales - Renewal: 49 153 56 116 28 38 277 54 54 66 49 76 549 132 556 810 1295

Global Vantage 95 0 46 24 38 0 0 0 0 66 41 26 22 0 301 366 155

Exec Brief - Onetime New: 22 25 25 27 0 28 73 0 31 15 25 25 15 8 114 297 220

Pub Pol Sales - New: 135 0 0 0 0 19 0 0 0 0 0 0 0 0 454 232 19

Pub Pol Sales - Renew: 24 750 0 0 262 50 0 113 0 0 30 50 0 30 920 1687 272

Intl Sales - New: 24 0 1100 12 0 0 0 8 0 0 0 0 0 0 1127 1663 8

Intl Sales - Renew: 0 0 0 0 0 0 0 0 0 0 0 0 0 0 24 0 0

Prot Intel Sales - New: 20 11 0 0 0 5 22 15 75 28 15 4 0 0 344 324 164

Prot Intel Sales - Renew: 8 0 0 72 0 210 0 0 0 0 0 0 112 0 311 331 322

Refunds/Adj: -37 -41 -19 -64 -18 -40 -33 -37 -32 -38 -35 -21 -26 -19 -183 -384 -280

Total 805 1,315 1,533 582 756 640 744 628 501 532 572 545 1,192 503 8,047 9,959 5,855

Groupings Aug 07 Sep 07 Oct 07 Nov 07 Dec 07 Jan 08 Feb 08 Mar 08 Apr 08 May 08 Jun 08 Jul 08 Aug 08 Sep 08 2006 2007 YTD '08

Individual 419 354 296 315 413 277 193 437 328 273 399 358 468 324 3011 4012 3057

Institutional 59 175 66 132 43 52 456 56 66 150 62 83 575 141 1443 1046 1640

Total Publishing 478 529 362 447 456 328 649 493 394 423 461 440 1043 465 4454 5058 4696

Global Vantage 95 0 46 24 38 0 0 0 0 66 41 26 22 0 301 366 155

Exec Briefs 22 25 25 27 0 28 73 0 31 15 25 25 15 8 114 297 220

Public Policy 159 750 0 0 262 69 0 113 0 0 30 50 0 30 1374 1919 291

International 24 0 1100 12 0 0 0 8 0 0 0 0 0 0 1151 1663 8

Protective Intel 28 11 0 72 0 215 22 15 75 28 15 4 112 0 654 655 486Total 805 1,315 1,533 582 756 640 744 628 501 532 572 545 1,192 503 8,047 9,959 5,855


Summary Cash Sales YTD - $K

Sep 2008 YTD data thru 9/18.

2006 2007 2008

SALES CATEGORY Sep YTD Sep YTD Sep YTD

Indiv Sales Cash - New: 928 1569 1850

Indiv Sales - Renewal: 1105 1702 1487

Inst Sales - New: 833 187 169

Inst Sales - Upsell: 25 8 176

Inst Sales - Renewal: 419 611 1295

Global Vantage 224 257 155

Exec Brief - Onetime New: 114 245 220

Pub Pol Sales - New: 404 232 19

Pub Pol Sales - Renew: 811 1425 272

Intl Sales - New: 737 551 8

Intl Sales - Renew: 24 0 0

Prot Intel Sales - New: 275 324 164

Prot Intel Sales - Renew: 149 259 322

Refunds/Adj: -116 -283 -280

Total $ 5,931 $ 7,087 $ 5,855

2006 2007 2008

By Business Sep YTD Sep YTD Sep YTD

Individual 1917 2988 3057

Institutional 1278 806 1640

Total Publishing 3195 3793 4696

Global Vantage 224 257 155

Exec Briefs 114 245 220

Public Policy 1215 1657 291

International 761 551 8

Protective Intel 423 583 486

Grand Total $ 5,931 $ 7,087 $ 5,855


Publishing: DashboardThru 9-18-2008

Monthly Fcst $K

Actual MTD $k

Actl % of Monthly Target

% of Month

ExpiredAvg. Sales per Day $K

RENEWALSInstitutional $ 192 132$ 69% 60% 7.3$ Individual Annual $ 121 119$ 98% 60% 6.6$ Total Renewals $ 312 251$ 80% 60% 13.9$

NEW SALESFree List $ 60 68$ 113% 60% 3.8$ Paid List $ 45 53$ 118% 60% 3.0$ Walk-Up $ 35 37$ 105% 60% 2.0$ Partners $ 30 19$ 62% 60% 1.0$ Re-Charges $ 26 19$ 75% 60% 1.1$ Institutional $ 15 10$ 63% 60% 0.5$ Total New Sales 211$ 205$ 97% 60% 11.4$

All Sales $ 523 $ 456 87% 60% 25.3$ Minus Refunds $ (24) $ (19) 77% 60% (1.0)$

Net Sales $ 499 $ 437 88% 60% 24.3$


Indiv Publishing: New Sales Components Trend

$ 0 K

$ 50 K

$ 100 K

$ 150 K

$ 200 K

$ 250 K

$ 300 K

$ 350 K

Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 Jul-08 Aug-08 Sep-08

Walk-up Partners FL Paid

Sep-07 Oct-07 Nov-07 Dec-07 Jan-08 Feb-08 Mar-08 Apr-08 May-08 Jun-08 Jul-08 Aug-08 Sep-08

Partners $ 15 K $ 8 K $ 5 K $ 4 K $ 4 K $ 4 K $ 18 K $ 25 K $ 19 K $ 46 K $ 34 K $ 42 K $ 19 K

FL $ 31 K $ 31 K $ 48 K $ 113 K $ 65 K $ 34 K $ 97 K $ 110 K $ 65 K $ 61 K $ 64 K $ 86 K $ 68 K

Paid $ 167 K $ 105 K $ 147 K $ 127 K $ 17 K $ 9 K $ 171 K $ 67 K $ 44 K $ 49 K $ 41 K $ 50 K $ 53 K

Walk-up $ 27 K $ 31 K $ 34 K $ 33 K $ 81 K $ 65 K $ 42 K $ 32 K $ 33 K $ 33 K $ 49 K $ 116 K $ 37 K

Total $ 240 K $ 175 K $ 235 K $ 278 K $ 167 K $ 111 K $ 330 K $ 234 K $ 162 K $ 188 K $ 188 K $ 294 K $ 176 K


Indiv Publishing: New Sales Components Trend

0%

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100%


Walk-up Partners FL Paid

Paid 62.7% 45.8% 10.4% 8.2% 52.0% 28.6% 27.4% 25.9% 22.0% 17.0% 30.2%

FL 20.3% 40.8% 38.8% 30.2% 29.6% 47.0% 40.4% 32.2% 33.8% 29.2% 38.6%

Partners 2.3% 1.4% 2.1% 3.3% 5.5% 10.7% 11.9% 24.5% 18.2% 14.3% 10.5%

Walk-up 14.6% 12.0% 48.6% 58.3% 12.9% 13.7% 20.3% 17.4% 25.9% 39.5% 20.8%



Publishing: Renewals

MTDPotential Renewal M'ships 674 Potential Renewal Dollars 150,663$

Actual Renewal M'ships 479 Actual Renewal Dollars 146,751$

Renew % M'ships 71%Renew % Dollars 97%

% Renewals Processed M'ships 100%% Renewals Processed Dollars 100%

$K

Status Custm % $ Amt % Sep Renewal Detail $ Amt Status

Lost 1 3.3 5.6 2.8 Department of the Air Force - GrpSub (R) '08 109,000 Closed

Pending 21 70.0 63.2 31.5 Gov of Singapore InvestCorp - GrpSub (R) '08 8,995

Renewed 8 26.7 131.8 65.7 NDIC -Natl Drug Intel Ctr 8,512 Closed

Total 30 100.0 200.7 100.0 Parliament of Finland - GrpSub (R) '08 6,000

Brevan Howard Services Ltd - GrpSub (R) '08 5,990

Army Reserve Command - GrpSub (R) '08 5,600 Lost

RAND Corporation - LibSub (R) '08 5,000

Petronas - GrpSub (R) '08 4,200

Ctr For Emerging Threats & Opps - GrpSub (R) '08 3,215

Mistero della Difesa Raggruuppamento Grp Sub {R} 2,995 Closed

AIG - GrpSub (R) '08 2,995

Nexen Inc - GrpSub (R) '08 2,940

18 Others 35,245 5 Closed

Sep Total Potential Inst Renewal $ 200,687

Publishing: Individual Annual Renewal Monthly Trend

Publishing: Institutional Renewal Update-Sep

Publishing: Individual Annual Renewal Update

Publishing: Institutional Renewal Update

Annual Renewal Activity Sep 2008Renewal Rates - %

20%

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90%

100%

110%

120%

Renw # Renw $

Renw # 80% 78% 71% 81% 70% 70% 69% 67% 64% 70% 72% 88% 67% 82% 71% 91% 62% 76% 62% 77% 74% 85% 75%

Renw $ 83% 100%

101%

102%

102%

98% 105%

109%

106%

105%

97% 108%

82% 99% 88% 107%

73% 97% 76% 84% 86% 95% 91%

Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug


Publishing: Individual Renewals

Cumulative average renewal trend takes monthly data points and accumulates/averages them over time. For example, Aug 05 is a stand-alone data point for that month. Sep 05 takes Aug and Sep potential renewal and actual renewal and re-computes a 2 month average. Oct 05 takes Aug, Sep, and Oct renewal and re-computes a 3 month average. The rest of the trend months are similarly derived where any given month is a re-computed average of the data for that month and all preceding months. The month percentages are not the key in this metric, but rather the slope of the line. A positive slope (seen here) indicates real improvement over time by removing the potentially skewing impact of individual monthly timing differences (decline recoveries).

Cumulative Average Renewal: Aug 05 - Present

50%

55%

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85%

Members Dollars


Publishing: Cash Sales Trend 2004-2008

All sales data is YTD.

Institutional Sales are Group Subscriptions only.

Institutional

$0

$500

$1000

$1500

2004 $46 $67 $128 $157 $186 $222 $377 $416 $475 $505 $523 $631

2005 $51 $115 $185 $230 $260 $311 $536 $645 $680 $776 $884 $965

2006 $71 $98 $178 $220 $248 $314 $357 $1261 $1279 $1343 $1392 $1446

2007 $74 $152 $273 $350 $434 $483 $571 $631 $806 $872 $1003 $1046

2008 $52 $508 $563 $629 $779 $841 $923 $1498 $1640

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec

Individual

0

2000

4000

6000

2004

2005 $140 $290 $440 $577 $725 $919 $983 $1061 $1207 $1421 $1633 $1819

2006 $165 $315 $477 $611 $809 $1030 $1382 $1671 $1917 $2235 $2782 $3011

2007 $262 $563 $818 $1102 $1444 $1985 $2215 $2634 $2988 $3284 $3599 $4012

2008 $277 $470 $906 $1235 $1508 $1907 $2265 $2733 $3057


Combined

-$1000

$1000

$3000

$5000

2004 $46 $67 $128 $157 $186 $222 $377 $416 $475 $505 $523 $631

2005 $191 $405 $625 $807 $985 $1230 $1519 $1706 $1887 $2197 $2517 $2784

2006 $236 $413 $655 $831 $1056 $1344 $1739 $2933 $3196 $3578 $4174 $4457

2007 $336 $715 $1090 $1452 $1878 $2468 $2786 $3264 $3793 $4156 $4603 $5058

2008 $328 $977 $1470 $1864 $2287 $2748 $3188 $4231 $4696



Publishing: New Visitors & Guest Pass Sign-Ups

Above data plots daily new visitors (red line, scaled against left y-axis) and GP sign-ups (blue line scaled against right y-axis), and depicts strong positive correlation between the two.

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New Visitors GP S-Ups


Publishing: Free List Guest Pass Sign-Up Trend

FL GP Sign-Ups Apr May Jun Jul Aug Sep

Free Weeklies 72 54 52 59 130 58FL 3 Strikes 18 20 20 26 50 24FL Total GPs 90 74 72 85 180 82

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350

Apr May Jun Jul Aug Sep

Free Weeklies FL 3 Strikes


Publishing: Walk-Up Guest Pass Sign-Up Trend

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Barrier Page Home Page Button

W-Up GP Sign-Ups Apr May Jun Jul Aug Sep

Barrier Page 48 38 35 57 135 35Home Page Button 31 68 184 53Walk-Up Total GPs 48 38 66 125 319 88


Publishing: Guest Pass Conversion Trend

Above data is for all our website Guest Passes, whether they are walk-ups or FLers, but excludes test trials like NDIA, Mauldin, and sign up a friend (PL). Sign-ups and Conversions (colored bars) are plotted against Y1 (left Y axis) whereas conversion percentages (black line) are plotted against Y2(right Y axis). The conversion rate exceeds what had been our historical average which was approx 54%.

Signup Data thru 9/11 (Includes comparable conversion data thru 9/18).

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SignUps Conv's % Conv

SignUps 34 190 117 139 112 138 210 499 107

Conv's 21 115 83 102 80 102 139 342 71

% Conv 62% 61% 71% 73% 71% 74% 66% 69% 66%

Jan Feb Mar Apr May Jun Jul Aug Sep


Publishing: Guest Pass Conversion TrendSign-Ups thru 9-11-2008 (Lags by a week to accurately match conversions and sign-ups).

FL: 3 Strikes

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SignUps 18 20 20 26 50 20

Conv's 17 18 17 24 44 17

% Conv 94% 90% 85% 92% 88% 85%


FL: Free Weeklies

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SignUps 72 54 52 59 130 36

Conv's 54 38 40 40 97 27

% Conv 75% 70% 77% 68% 75% 75%


W-up: Barrier Page Re-Direct

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SignUps 48 38 35 57 135 17

Conv's 30 24 28 38 102 11

% Conv 63% 63% 80% 67% 76% 65%


W-up: Home Page GP Button

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SignUps 31 68 184 34

Conv's 17 37 99 16

% Conv 55% 54% 54% 47%



Publishing: Multi-Year Membership H/C

0

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Multi-Yr HC 2,806 2,813 2,939 3,019 3,056 3,180 3,277 3,425 3,551

Total HC 12,479 12,691 12,997 13,434 13,692 13,953 14,051 14,845 15,136

Percent 22% 22% 23% 22% 22% 23% 23% 23% 23%

Jan Feb Mar Apr May Jun Jul Aug Sep

Sep HC data is thru mid-day 9-19.


Inst Headcount (Estm)

Institutional H/C

03,0006,0009,000

12,00015,00018,00021,00024,00027,00030,000

9/5 9/12 9/19


Inst Pipeline Sep 2008Opportunity Owner Close Date Stage Amount

UNT International - GrpSub (NB) '08 Henson 9/19/2008 Stage 4 1500Everest Capital Inc. - GrpSub (NB) '08 Henson 9/26/2008 Stage 3 4305Ministry of Defence - Estonia - GrpSub (NB) '08 Henson 9/30/2008 Stage 3 1500Princess Cruises - GrpSub (NB) '08 Henson 9/30/2008 Stage 4 1500

Total New Business $ 8,805

Natl Coord on Counterterrorism (NCTb) - GrpSub (R) '08 Henson 9/19/2008 Stage 5 1500Nexen Inc - GrpSub (R) '08 Henson 9/19/2008 Stage 5 2940Office of the Chief of Chaplains - GrpSub (R) '08 Henson 9/19/2008 Stage 1 2495AIG - GrpSub (R) '08 Henson 9/19/2008 Stage 3 2995Korea Inst for Def Analyses (KIDA) - GrpSub (R) '08 Henson 9/19/2008 Stage 3 1800World Bank - GrpSub (R) '08 Henson 9/19/2008 Stage 3 1800Forecast International - GrpSub (R) '08 Henson 9/20/2008 Stage 1 1500Mockridge & Associates - GrpSub (R) '08 Henson 9/21/2008 Stage 1 1500Evidence Based Research - GrpSub (R) '08 Henson 9/23/2008 Stage 5 1500Gov of Singapore InvestCorp - GrpSub (R) '08 Henson 9/24/2008 Stage 3 9250Parliament of Finland - GrpSub (R) '08 Henson 9/25/2008 Stage 3 5990Duke Energy - GrpSub (R) '08 Henson 9/25/2008 Stage 1 1500Convergys - GrpSub (R) '08 Henson 9/26/2008 Stage 1 1500Goldman Sachs - GrpSub (R) '08 Henson 9/26/2008 Stage 5 2926NETCOM - GrpSub (R) '08 Henson 9/26/2008 Stage 3 1800364 Civil Affairs BDE - GrpSub (R) '08 Henson 9/26/2008 Stage 4 2189Raytheon Systems Co - GrpSub (R) '08 Henson 9/27/2008 Stage 4 8450RAND Corporation - LibSub (R) '08 Henson 9/30/2008 Stage 1 5000Petronas - GrpSub (R) '08 Henson 9/30/2008 Stage 3 4200Ctr For Emerging Threats & Opps - GrpSub (R) '08 Henson 9/30/2008 Stage 1 3215Ofc of Strategic Analysis (CG-511) - GrpSub (R) '08 Henson 9/30/2008 Stage 1 2100Brevan Howard Services Ltd - GrpSub (R) '08 Henson 9/30/2008 Stage 1 5990

Total Renewals $ 72,140


CIS: Sales Trend 2006-2008

All sales data is YTD.

Public Policy

$0$200$400$600$800

$1000$1200$1400$1600$1800$2000

2006 $156 $498 $498 $866 $1006 $1207 $1215 $1215 $1215 $1215 $1225 $1374

2007 $51 $212 $391 $418 $634 $733 $748 $907 $1657 $1657 $1657 $1919

2008 $69 $69 $181 $181 $181 $211 $261 $261 $291


International

$0

$500

$1000

$1500

$2000

2006 $25 $30 $30 $38 $43 $257 $565 $565 $761 $761 $761 $1151

2007 $165 $225 $225 $237 $287 $341 $527 $551 $551 $1651 $1663 $1663

2008 $0 $0 $8 $8 $8 $8 $8 $8 $8


Protective Intelligence

$0

$200

$400

$600

$800

$1000

$1200

$1400

2006 $108 $158 $254 $262 $303 $390 $405 $418 $423 $514 $567 $654

2007 $232 $303 $318 $428 $448 $477 $552 $580 $591 $591 $663 $663

2008 $215 $238 $253 $328 $356 $371 $374 $486 $486



CIS & Briefings – Sep 2008 1/2

PracticeType Cust Jan Feb Mar Apr May Jun Jul Aug SepEB New CIG $ 13,000

Gen Re $ 60,000JP Morgan $ 15,000JP Morgan Asset Mgt $ 15,000 $ 15,000RBC $ 12,500Sage Advisory Svcs $ 7,995UBS $ 15,000Valero $ 25,000Rimrock Cap $ 8,995

AICAP $ 7,500BMC SW $ 25,000

New Total $ 28,000 $ 72,500 $ 31,495 $ 15,000 $ 25,000 $ 25,000 $ 15,000 $ 7,995EB Total $ 28,000 $ 72,500 $ 31,495 $ 15,000 $ 25,000 $ 25,000 $ 15,000 $ 7,995

Intl New Ross-Smith Energy $ 7,500

New Total $ 7,500Intl Total $ 7,500

Grand Total $ 28,000 $ 72,500 $ 7,500 $ 31,495 $ 15,000 $ 25,000 $ 25,000 $ 15,000 $ 7,995


CIS & Briefings – Sep 2008 2/2PracticeType Cust Jan Feb Mar Apr May Jun Jul Aug SepProt IntelNew Amazon $ 3,500

ASIS $ 10,000Concentric Solutions $ 20,000Hilliard Hintze $ 3,500MoFA Jpn $ 48,200 $ 15,000MSD Capital $ 3,750Natl Inst $ 5,000Wikimedia $ 5,000Ziff Family $ 5,000

L3 $ 27,995Bing & Debora Gordon $ 5,000MSDF $ 10,000

New Total $ 53,200 $ 22,250 $ 15,000 $ 25,000 $ 27,995 $ 15,000 $ 3,500

Renew Cedar Hill Capital $ 50,000Dell $ 48,000 $ 112,000Deloitte $ 34,200Google $ 80,000

Renew Total $ 162,200 $ 50,000 $ 112,000Prot Intel Total $ 215,400 $ 22,250 $ 15,000 $ 75,000 $ 27,995 $ 15,000 $ 3,500 $ 112,000

Public PolNew DuPont $ 19,000New Total $ 19,000Renew Kimberly-Clark $ 49,500 $ 49,500

Marsh $ 30,000 $ 30,000Natl Mining Assn $ 112,500

Renew Total $ 49,500 $ 112,500 $ 30,000 $ 49,500 $ 30,000Public Pol Total $ 68,500 $ 112,500 $ 30,000 $ 49,500 $ 30,000

Grand Total $ 283,900 $ 22,250 $ 127,500 $ 75,000 $ 27,995 $ 45,000 $ 53,000 $ 112,000 $ 30,000

Documents

9-19-2008 Company Confidential Pg 1 Weekly Business Update Sep 19, 2008