2015 Q2 Form 10-Q Financial Statement

#000136495415000088 Filed on August 06, 2015

View on sec.gov

Income Statement

Concept 2015 Q2 2014 Q2
Revenue $67.06M $64.49M
YoY Change 3.98% 15.46%
Cost Of Revenue $36.26M $38.60M
YoY Change -6.06% 30.39%
Gross Profit $30.81M $25.90M
YoY Change 18.96% -1.35%
Gross Profit Margin 45.94% 40.15%
Selling, General & Admin $24.33M $25.47M
YoY Change -4.5% 56.76%
% of Gross Profit 78.96% 98.36%
Research & Development $13.27M $12.19M
YoY Change 8.85% 24.39%
% of Gross Profit 43.07% 47.07%
Depreciation & Amortization $16.10M $20.60M
YoY Change -21.84% 21.18%
% of Gross Profit 52.26% 79.55%
Operating Expenses $40.50M $35.54M
YoY Change 13.97% 28.22%
Operating Profit -$9.697M -$9.642M
YoY Change 0.57% 557.26%
Interest Expense -$100.0K $127.0K
YoY Change -178.74% -89.26%
% of Operating Profit
Other Income/Expense, Net -$4.000K $29.00K
YoY Change -113.79% -101.67%
Pretax Income -$9.701M -$9.613M
YoY Change 0.92% 200.31%
Income Tax $430.0K -$1.367M
% Of Pretax Income
Net Earnings -$10.13M -$8.246M
YoY Change 22.86% 145.93%
Net Earnings / Revenue -15.11% -12.79%
Basic Earnings Per Share -$0.12 -$0.10
Diluted Earnings Per Share -$0.12 -$0.10
COMMON SHARES
Basic Shares Outstanding 86.74M shares 83.21M shares
Diluted Shares Outstanding 86.74M shares 83.21M shares

Balance Sheet

Concept 2015 Q2 2014 Q2
SHORT-TERM ASSETS
Cash & Short-Term Investments $62.50M $59.20M
YoY Change 5.57% 174.07%
Cash & Equivalents $35.09M $30.78M
Short-Term Investments $27.40M $28.40M
Other Short-Term Assets $16.87M $1.774M
YoY Change 851.07% -53.32%
Inventory
Prepaid Expenses $7.657M
Receivables $12.13M $9.900M
Other Receivables $0.00 $0.00
Total Short-Term Assets $99.16M $74.55M
YoY Change 33.0% 114.23%
LONG-TERM ASSETS
Property, Plant & Equipment $18.57M $18.93M
YoY Change -1.92% -80.24%
Goodwill $91.30M $86.69M
YoY Change 5.33%
Intangibles $10.63M
YoY Change
Long-Term Investments $4.700M $19.30M
YoY Change -75.65%
Other Assets $1.922M $2.160M
YoY Change -11.02% -46.0%
Total Long-Term Assets $188.4M $240.0M
YoY Change -21.49% 56.54%
TOTAL ASSETS
Total Short-Term Assets $99.16M $74.55M
Total Long-Term Assets $188.4M $240.0M
Total Assets $287.6M $314.5M
YoY Change -8.57% 67.21%
SHORT-TERM LIABILITIES
YoY Change
Accounts Payable $3.832M $9.813M
YoY Change -60.95% 216.55%
Accrued Expenses $23.90M $19.99M
YoY Change 19.57% 10.45%
Deferred Revenue
YoY Change
Short-Term Debt $0.00 $0.00
YoY Change
Long-Term Debt Due
YoY Change
Total Short-Term Liabilities $47.49M $53.98M
YoY Change -12.03% -25.34%
LONG-TERM LIABILITIES
Long-Term Debt $0.00 $0.00
YoY Change
Other Long-Term Liabilities $4.700M $5.187M
YoY Change -9.39% 5.86%
Total Long-Term Liabilities $4.732M $5.187M
YoY Change -8.77% 5.86%
TOTAL LIABILITIES
Total Short-Term Liabilities $47.49M $53.98M
Total Long-Term Liabilities $4.732M $5.187M
Total Liabilities $52.22M $59.17M
YoY Change -11.74% -23.95%
SHAREHOLDERS EQUITY
Retained Earnings -$308.5M -$239.1M
YoY Change 29.03%
Common Stock $543.9M $494.4M
YoY Change 10.0%
Preferred Stock
YoY Change
Treasury Stock (at cost)
YoY Change
Treasury Stock Shares
Shareholders Equity $235.3M $255.4M
YoY Change
Total Liabilities & Shareholders Equity $287.6M $314.5M
YoY Change -8.57% 67.21%

Cashflow Statement

Concept 2015 Q2 2014 Q2
OPERATING ACTIVITIES
Net Income -$10.13M -$8.246M
YoY Change 22.86% 145.93%
Depreciation, Depletion And Amortization $16.10M $20.60M
YoY Change -21.84% 21.18%
Cash From Operating Activities -$19.80M -$6.500M
YoY Change 204.62% -8.45%
INVESTING ACTIVITIES
Capital Expenditures -$4.800M -$11.10M
YoY Change -56.76% 6.73%
Acquisitions
YoY Change
Other Investing Activities $7.400M $7.400M
YoY Change 0.0% 8.82%
Cash From Investing Activities $2.600M -$3.600M
YoY Change -172.22% -2.7%
FINANCING ACTIVITIES
Cash Dividend Paid
YoY Change
Common Stock Issuance & Retirement, Net
YoY Change
Debt Paid & Issued, Net
YoY Change
Cash From Financing Activities 2.200M 1.600M
YoY Change 37.5% -23.81%
NET CHANGE
Cash From Operating Activities -19.80M -6.500M
Cash From Investing Activities 2.600M -3.600M
Cash From Financing Activities 2.200M 1.600M
Net Change In Cash -15.00M -8.500M
YoY Change 76.47% -2.3%
FREE CASH FLOW
Cash From Operating Activities -$19.80M -$6.500M
Capital Expenditures -$4.800M -$11.10M
Free Cash Flow -$15.00M $4.600M
YoY Change -426.09% 39.39%

Facts In Submission

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5528000 USD
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3805000 USD
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NonoperatingIncomeExpense
11000 USD
CY2014Q2 us-gaap Operating Expenses
OperatingExpenses
35538000 USD
us-gaap Operating Expenses
OperatingExpenses
70047000 USD
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OperatingExpenses
40502000 USD
us-gaap Operating Expenses
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88144000 USD
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OperatingIncomeLoss
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OperatingIncomeLoss
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us-gaap Operating Income Loss
OperatingIncomeLoss
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OperatingLeasesRentExpenseNet
800000 USD
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OperatingLeasesRentExpenseNet
1600000 USD
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OperatingLeasesRentExpenseNet
500000 USD
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OperatingLeasesRentExpenseNet
1400000 USD
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3864000 USD
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16872000 USD
CY2014Q4 us-gaap Other Assets Noncurrent
OtherAssetsNoncurrent
1804000 USD
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1922000 USD
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54000 USD
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OtherComprehensiveIncomeLossAvailableForSaleSecuritiesAdjustmentNetOfTax
38000 USD
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OtherComprehensiveIncomeLossAvailableForSaleSecuritiesAdjustmentNetOfTax
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us-gaap Other Comprehensive Income Loss Available For Sale Securities Adjustment Net Of Tax
OtherComprehensiveIncomeLossAvailableForSaleSecuritiesAdjustmentNetOfTax
5000 USD
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OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax
0 USD
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OtherComprehensiveIncomeLossForeignCurrencyTransactionAndTranslationAdjustmentNetOfTax
22000 USD
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OtherComprehensiveIncomeLossNetOfTax
27000 USD
us-gaap Other Comprehensive Income Loss Net Of Tax
OtherComprehensiveIncomeLossNetOfTax
34000 USD
CY2015Q2 us-gaap Other Comprehensive Income Loss Net Of Tax
OtherComprehensiveIncomeLossNetOfTax
-17000 USD
us-gaap Other Comprehensive Income Loss Net Of Tax
OtherComprehensiveIncomeLossNetOfTax
27000 USD
us-gaap Other Depreciation And Amortization
OtherDepreciationAndAmortization
4544000 USD
us-gaap Other Depreciation And Amortization
OtherDepreciationAndAmortization
6413000 USD
CY2014Q2 us-gaap Other Nonoperating Income Expense
OtherNonoperatingIncomeExpense
156000 USD
us-gaap Other Nonoperating Income Expense
OtherNonoperatingIncomeExpense
276000 USD
CY2015Q2 us-gaap Other Nonoperating Income Expense
OtherNonoperatingIncomeExpense
56000 USD
us-gaap Other Nonoperating Income Expense
OtherNonoperatingIncomeExpense
132000 USD
us-gaap Payments Related To Tax Withholding For Share Based Compensation
PaymentsRelatedToTaxWithholdingForShareBasedCompensation
3588000 USD
us-gaap Payments Related To Tax Withholding For Share Based Compensation
PaymentsRelatedToTaxWithholdingForShareBasedCompensation
7472000 USD
us-gaap Payments To Acquire Businesses Net Of Cash Acquired
PaymentsToAcquireBusinessesNetOfCashAcquired
43872000 USD
us-gaap Payments To Acquire Businesses Net Of Cash Acquired
PaymentsToAcquireBusinessesNetOfCashAcquired
0 USD
us-gaap Payments To Acquire Marketable Securities
PaymentsToAcquireMarketableSecurities
54882000 USD
us-gaap Payments To Acquire Marketable Securities
PaymentsToAcquireMarketableSecurities
17127000 USD
us-gaap Payments To Acquire Property Plant And Equipment
PaymentsToAcquirePropertyPlantAndEquipment
2496000 USD
us-gaap Payments To Acquire Property Plant And Equipment
PaymentsToAcquirePropertyPlantAndEquipment
4146000 USD
CY2014Q4 us-gaap Preferred Stock Par Or Stated Value Per Share
PreferredStockParOrStatedValuePerShare
0.001
CY2015Q2 us-gaap Preferred Stock Par Or Stated Value Per Share
PreferredStockParOrStatedValuePerShare
0.001
CY2014Q4 us-gaap Preferred Stock Shares Authorized
PreferredStockSharesAuthorized
10000000 shares
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PreferredStockSharesAuthorized
10000000 shares
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PreferredStockSharesIssued
0 shares
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PreferredStockSharesIssued
0 shares
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PreferredStockSharesOutstanding
0 shares
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PreferredStockSharesOutstanding
0 shares
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PreferredStockValue
0 USD
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PreferredStockValue
0 USD
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3091000 USD
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PrepaidExpenseCurrent
7657000 USD
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29600000 USD
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StockIssuedDuringPeriodSharesStockOptionsExercised
1646852 shares
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ProceedsFromSaleAndMaturityOfAvailableForSaleSecurities
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ProceedsFromSaleAndMaturityOfMarketableSecurities
38860000 USD
us-gaap Proceeds From Sale And Maturity Of Marketable Securities
ProceedsFromSaleAndMaturityOfMarketableSecurities
0 USD
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18369000 USD
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PropertyPlantAndEquipmentNet
18569000 USD
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197000 USD
us-gaap Provision For Doubtful Accounts
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12189000 USD
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23509000 USD
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ResearchAndDevelopmentExpense
13268000 USD
us-gaap Research And Development Expense
ResearchAndDevelopmentExpense
29412000 USD
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RestructuringCharges
0 USD
us-gaap Restructuring Charges
RestructuringCharges
0 USD
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RestructuringCharges
464000 USD
us-gaap Restructuring Charges
RestructuringCharges
2978000 USD
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RetainedEarningsAccumulatedDeficit
-269873000 USD
CY2015Q2 us-gaap Retained Earnings Accumulated Deficit
RetainedEarningsAccumulatedDeficit
-308546000 USD
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SalesRevenueGoodsNet
3636000 USD
us-gaap Sales Revenue Goods Net
SalesRevenueGoodsNet
13927000 USD
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SalesRevenueGoodsNet
5003000 USD
us-gaap Sales Revenue Goods Net
SalesRevenueGoodsNet
20794000 USD
CY2014Q2 us-gaap Sales Revenue Net
SalesRevenueNet
64492000 USD
us-gaap Sales Revenue Net
SalesRevenueNet
138885000 USD
CY2015Q2 us-gaap Sales Revenue Net
SalesRevenueNet
67061000 USD
us-gaap Sales Revenue Net
SalesRevenueNet
151933000 USD
CY2014Q2 us-gaap Sales Revenue Services Net
SalesRevenueServicesNet
18599000 USD
us-gaap Sales Revenue Services Net
SalesRevenueServicesNet
35845000 USD
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SalesRevenueServicesNet
29276000 USD
us-gaap Sales Revenue Services Net
SalesRevenueServicesNet
60643000 USD
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SellingAndMarketingExpense
14817000 USD
us-gaap Selling And Marketing Expense
SellingAndMarketingExpense
29844000 USD
CY2015Q2 us-gaap Selling And Marketing Expense
SellingAndMarketingExpense
12382000 USD
us-gaap Selling And Marketing Expense
SellingAndMarketingExpense
33774000 USD
us-gaap Share Based Compensation
ShareBasedCompensation
15411000 USD
us-gaap Share Based Compensation
ShareBasedCompensation
22851000 USD
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Forfeitures In Period
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsForfeituresInPeriod
661730 shares
us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Grants In Period Gross
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsGrantsInPeriodGross
165456 shares
CY2014Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Intrinsic Value
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingIntrinsicValue
6646629 USD
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ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingIntrinsicValue
8122971 USD
CY2014Q4 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Number
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber
14962099 shares
CY2015Q2 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Number
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingNumber
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ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePrice
8.53
CY2015Q2 us-gaap Share Based Compensation Arrangement By Share Based Payment Award Options Outstanding Weighted Average Exercise Price
ShareBasedCompensationArrangementByShareBasedPaymentAwardOptionsOutstandingWeightedAverageExercisePrice
8.74
us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Exercises In Period Weighted Average Exercise Price
ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsExercisesInPeriodWeightedAverageExercisePrice
6.41
us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Forfeitures In Period Weighted Average Exercise Price
ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsForfeituresInPeriodWeightedAverageExercisePrice
9.67
us-gaap Share Based Compensation Arrangements By Share Based Payment Award Options Grants In Period Weighted Average Exercise Price
ShareBasedCompensationArrangementsByShareBasedPaymentAwardOptionsGrantsInPeriodWeightedAverageExercisePrice
7.65
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ShortTermInvestments
33346000 USD
CY2014 us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Options Outstanding Weighted Average Remaining Contractual Term2
SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsOutstandingWeightedAverageRemainingContractualTerm2
P7Y1M9D
us-gaap Sharebased Compensation Arrangement By Sharebased Payment Award Options Outstanding Weighted Average Remaining Contractual Term2
SharebasedCompensationArrangementBySharebasedPaymentAwardOptionsOutstandingWeightedAverageRemainingContractualTerm2
P6Y10M17D
CY2015Q2 us-gaap Short Term Investments
ShortTermInvestments
27409000 USD
CY2014Q4 us-gaap Stockholders Equity
StockholdersEquity
247043000 USD
CY2015Q2 us-gaap Stockholders Equity
StockholdersEquity
235345000 USD
CY2014Q2 us-gaap Weighted Average Number Of Share Outstanding Basic And Diluted
WeightedAverageNumberOfShareOutstandingBasicAndDiluted
83209000 shares
us-gaap Weighted Average Number Of Share Outstanding Basic And Diluted
WeightedAverageNumberOfShareOutstandingBasicAndDiluted
82686000 shares
CY2015Q2 us-gaap Weighted Average Number Of Share Outstanding Basic And Diluted
WeightedAverageNumberOfShareOutstandingBasicAndDiluted
86741000 shares
us-gaap Weighted Average Number Of Share Outstanding Basic And Diluted
WeightedAverageNumberOfShareOutstandingBasicAndDiluted
85771000 shares
CY2014Q2 us-gaap Weighted Average Number Of Shares Common Stock Subject To Repurchase Or Cancellation
WeightedAverageNumberOfSharesCommonStockSubjectToRepurchaseOrCancellation
46000 shares
us-gaap Weighted Average Number Of Shares Common Stock Subject To Repurchase Or Cancellation
WeightedAverageNumberOfSharesCommonStockSubjectToRepurchaseOrCancellation
74000 shares
CY2015Q2 us-gaap Weighted Average Number Of Shares Common Stock Subject To Repurchase Or Cancellation
WeightedAverageNumberOfSharesCommonStockSubjectToRepurchaseOrCancellation
0 shares
us-gaap Weighted Average Number Of Shares Common Stock Subject To Repurchase Or Cancellation
WeightedAverageNumberOfSharesCommonStockSubjectToRepurchaseOrCancellation
0 shares
CY2014Q2 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
83255000 shares
us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
82760000 shares
CY2015Q2 us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
86741000 shares
us-gaap Weighted Average Number Of Shares Outstanding Basic
WeightedAverageNumberOfSharesOutstandingBasic
85771000 shares
us-gaap Use Of Estimates
UseOfEstimates
<div style="font-family:Times New Roman;font-size:10pt;"><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;font-style:italic;font-weight:bold;">Use of Estimates</font></div><div style="line-height:120%;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;"><br clear="none"/></font></div><div style="line-height:120%;text-align:left;text-indent:48px;font-size:10pt;"><font style="font-family:inherit;font-size:10pt;">The preparation of financial statements in conformity with generally accepted accounting principles in the United States (U.S. GAAP) requires management to make estimates, judgments and assumptions that affect the reported amounts of assets and liabilities; the disclosure of contingent liabilities at the date of the financial statements; and the reported amounts of revenue and expenses during the reporting periods. Significant estimates, assumptions and judgments are used for, but not limited to: revenue recognition, recoverability of accounts receivable, determination of the useful lives and salvage value assigned to our textbook library, restructuring charges, share-based compensation expense including estimated forfeitures, accounting for income taxes, useful lives assigned to long-lived assets for depreciation and amortization, impairment of goodwill and long-lived assets, and the valuation of acquired intangible assets. We base our estimates on historical experience, knowledge of current business conditions and various other factors we believe to be reasonable under the circumstances. These estimates are based on management&#8217;s knowledge about current events and expectations about actions we may undertake in the future. Actual results could differ from these estimates, and such differences could be material to our financial position and results of operations.</font></div></div>

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