TECHNOLOGY MARKET REVIEW: Q3 2011

Morgan Keegan & Company, Inc. | Member FINRA, SIPC | A Regions Company Not FDIC Insured | May Lose Value | No Bank Guarantee | Not a Deposit | Not Insured by Any Government Agency

October 2011

Morgan Keegan Technology Group Overview

Full service technology investment banking platform providing independent, client focused

strategic advisory and capital raising services for middle market technology companies
Over 60 dedicated technology banking professionals located in 4 key centers of

technology Boston, San Francisco, Los Angeles and NYC

More than 130 technology transactions completed since 2001 Technology group within Morgan Keegan, a $1.3B revenue investment bank

M&A Advisory
Sellside Buyside Fairness Opinions
Select Recent Transaction Experience:

Private Capital Raising

Private Placements PIPEs Agented Transactions
Select Recent Transaction Experience:

Public Equity
IPOs Follow-on Offerings Equity Research
Select Recent Transaction Experience:

Has been acquired by

Has been acquired by

Has been acquired by

Series D Convertible Preferred Stock $33,000,000

Private Placement $15,000,000

Private Placement $11,000,000

Initial Public Offering Co-Manager

Initial Public Offering Co-Manager

Initial Public Offering Co-Manager

$80,000,000
May 2011 May 2011 In Registration

$230,000,000
In Registration

$50,600,000
April 2011

September 2011

September 2011

July 2011

August 2011

Has been acquired by

Has been acquired by a portfolio company of

Has been acquired by

Majority Investment by

Private Placement $23,600,000

Private Placement $30,000,000

Follow-On Offering Co-Manager

Initial Public Offering Co-Manager

Follow-on Offering Co-Manager

$99,000,625
July 2011 July 2011 April 2011 January 2011 October 2010 August 2010 February 2011

$94,875,000
February 2011

$121,000,000
March 2010

Table of Contents

Executive Summary........4 Technology Public Market Performance...6 Technology Public Equity Update................................12 Technology Venture Capital and Private Equity Update.........23 Technology M&A Update......................................32 Appendix.....................................44

Executive Summary Major indices experienced significant volatility in Q311 following a relatively flat Q211
For the quarter, NASDAQ was down 14.2%, S&P 500 down 15.5% and DJIA down

13.3%
For the LTM period, NASDAQ was up 1.9%, S&P 500 down 1.3% and DJIA up 0.8%

Technology IPO volume slowed along with the overall market in Q311
4 technology IPOs priced accounting for 20% of all IPOs in Q31 Overall in the LTM period, technology IPOs have traded down 26.9% in the

aftermarket

The venture capital community remained active in Q32011

Notable large deals for the quarter include: Twitter ($800M), Zfere Holdings ($682M),

Dropbox ($300M) and LightSquared ($265M)

Q311 technology M&A dollar volume was the highest it has been since Q108 at $48.8B
Technology consolidators have maintained strong cash levels and announced several

$1B+ deals in Q311

Median LTM Revenue multiples remained steady at 2.2X in Q311 vs 2.3x in Q211
Sources: 451 Group, Thomson Reuters, Capital IQ, Dealogic

Technology Public Market Performance

Major Markets Experienced Volatility in Q3 2011

Major U.S. Indices % Change LTM
25%

Q3 2011
5%

NASDAQ S&P 500 DJIA

20%

Returns LTM 5-year 1.9% 7.0% (1.3%) (15.3%) 0.8% (6.6%)

10-year 63.2% 8.9% 23.5%

0%

15%

(5%)

10%

(10%)
5%

(13.3%) 1.9% 0.8%

0%

(14.2%)

(15%)

(15.5%)

(1.3%)

(5%) 10/1/2010 12/12/2010 2/22/2011 5/5/2011 7/16/2011 9/26/2011

(20%) 7/1/2011
NASDAQ

7/25/2011
S&P 500

8/15/2011

9/6/2011

9/27/2011

DJIA
Source: Capital IQ

Equity Fund Flows Slowed in Q311

LTM U.S. Equity Inflow / (Outflow)

$35.0 $30.0 $25.0 $20.0 $14.7

$32.2

$20.3 $13.5 $10.9 $9.7

($ in Billions)

$15.0 $10.0 $5.0 $$(5.0)

$72.3 billion flowed into the equity market in the last 12 months, compared to $8.1 billion in outflows during prior year period
$0.6

$(1.1) $(7.7) $(9.4) Oct. Nov. Dec. Jan. '11 Feb. Mar. Apr. May Jun. Jul. $(8.4) Aug.

$(2.9)

$(10.0) $(15.0)

However, $10.8 billion flowed out of the equity markets in Q311

Sep.

Month Ended

Source: Dealogic

Stock Performance Has Varied by Technology Sub-Sector

Technology Sector Performance LTM
40%
LTM Returns NASDAQ 1.9% S&P 500 (1.3%) DJIA 0.8%

Q3 2011
Q3 2011 Returns DJIA (13.3%) NASDAQ (14.2%) S&P 500 (15.5%)

10%

30%

5%

20%

0%

-5%

10%
8.2% 6.6% 3.9% 3.2% 0.5% (1.4%) (2.6%)

-10%

(7.9%) (8.2%) (11.0%) (14.2%) (15.1%)

0%

-15%

-10%
-20%
(19.7)% (23.0%) (23.5%) (22.2%)

-20%

-25%

-30% 10/1/10 12/12/10

App. Software

-30%

2/22/11

5/5/11

7/16/11
Infra. Software

9/26/11

7/1/11

7/16/11
IT Services

7/31/11

8/15/11

8/30/11

9/14/11

9/29/11

Comm. Equipment

Internet/Digital Media

Security

Semiconductors

Storage

Source: Capital IQ; sector indices market-cap weighted

Revenue and Earnings Growth is Projected to Slow in 2011 and 2012

Year-Over-Year Revenue Growth Rate 2010A
30.8%

2011E
25.8%

2012E
17.4%

21.5% 15.3% 14.4% 17.7% 11.8% 4.3% 16.2%

16.4% 11.7% 7.9% 7.9% 2.9% 13.0% 11.0%

10.3% 8.0%

9.9% 6.1%

10.3% 8.8% 6.5%

Year-Over-Year EPS Growth Rate 2010A 2011E

22.4%

2012E
23.7%

28.5%
119.4% 121.2% 88.9% 72.4% 60.0% 37.1% 13.8% 42.4%

25.2% 22.6% 19.5% 16.0% 10.3% 5.0% 4.9%

14.7% 13.3% 12.2% 8.5% 15.1% 14.5%

App. Software

Comm. Equipment

Infra. Software

Internet/Digital Media

IT Services

Security

Semiconductors

Storage

Source: Capital IQ; EPS normalized; growth rates reflect sector medians

Forward Trading Multiples by Technology Sub-Sector

Revenue(1)
3.0x 2.6x 2.5x 2.3x 2.4x 2.1x 1.6x 1.4x 1.1x 1.0x 2.1x 1.9x 2.1x 1.9x 1.5x 1.3x

2011E
.

2012E

App. Sof t.

Comm. Equip.

Inf ra. Sof t.

Internet

IT Serv ices

Security

Semis

Storage

EBITDA(1)
9.0x 8.6x 6.5x 5.1x 8.7x 7.4x 8.5x 7.6x 7.0x 7.6x 6.5x 7.1x 6.6x 6.0x

5.5x

5.1x

2011E
.

2012E

App. Sof t.

Comm. Equip.

Inf ra. Sof t.

Internet

IT Serv ices

Security

Semis

Storage

P/E
18.5x 15.6x 13.5x 12.2x 11.1x 15.7x 12.5x 15.1x 13.5x 12.0x 11.5x 11.9x 10.2x 10.0x 18.3x 15.8x

2011E
.

2012E

App. Sof t.

Comm. Equip.

Inf ra. Sof t.

Internet

IT Serv ices

Security

Semis

Storage

(1) Valuation multiple calculated by dividing enterprise value by median operating metric Source: Capital IQ

10

Technology Public Equity Update

The Tech IPO Hurdle Has Risen Dramatically In Recent Years

Historical vs. Current Technology IPO Trend: Median Statistics

Operating Statistics: Number of Deals: LTM Revenue ($M): LTM Operating Margin: YoY Revenue Growth Rate: Deal Statistics: Post IPO Market Cap ($M): Offering Amount: In $M: As % of Market Cap: 6 Month Return: 12 Month Return:
(1) Represents 180 day backlog Source: Capital IQ, Thomson Reuters and Public Filings

1997 1998 276 $30 3% 68%

2010 47 $156 9% 8%

2011 YTD 38 $104 5% 9%

IPO Backlog(1) 35 $66 (11%) 12%

$159

$569

$866

NA

$36 29% +2% +8%

$106 20% +9% +0%

$145 17% NA NA

$100 NA NA NA

12

Technology IPO Market Update

Technology Monthly IPO Pricing Statistics
100% 90% 80% 70% 60% 50% 40% 30% 20% 10% 0%

In Q311, 4 Technology IPOs priced raising approximately $0.4 billion

1 of the 4 IPOs in Q311 were ADRs, compared to 6 of 23 total IPOs in Q211 The Technology sector accounted for 20% of all IPOs in Q311

49 Technology IPOs have priced in the last twelve months raising approximately $10 billion Of the 49 Technology IPOs that priced in the last twelve months, 20 priced above their initial filing range, 22 were in the range and 7 priced below the range

Nov (2) Dec (8) Apr (4) Oct (1) Jan'11 (4) Aug (2) Jun (6) Jul (2) May (13) Sept (0) Feb (3) Mar (4)
In Range

Below Range

Above Range

Current Sector Breakdown of IPO Backlog ($ volume)

Financial Institutions 14% Industrial 14% Technology 15% REIT 11% Healthcare 2% Energy 28%

Tech IPOs priced in the last twelve months have traded down 26.9% in the aftermarket

The overall IPO backlog stands at 140 transactions, with companies expecting to raise $28.3 billion The technology sector accounts for 25% of the dollar volume of the IPO backlog The technology sector has the third most transactions in the IPO backlog with 35

Media / Telecom 5% Defense 0%

Consumer 6%

Professional Services 2%

Transportation 3%

Source: Dealogic and FactSet

13

Technology IPO Quarterly Deal Volume

In the last 4 quarters, 49 technology IPOs priced representing approximately $10B, a 23% increase in the number of deals and a 31% increase in dollar volume from the prior year period
Number of All Domestic Technology IPOs Quarterly Statistics Last 8 Quarters Dollar Volume of All Domestic Technology IPOs Quarterly Statistics Last 8 Quarters
($ in Billions)

25

$7.0
23

$6.3 $6.0

20 17 15 12 10 7 11 11

$5.0 $4.0 $3.0 $2.0 $2.7

$2.5 $1.6

$2.3 $1.8 $1.3 $1.4 $0.4

$1.0
0 Q4'09 Q1'10 Q2'10 Q3'10 Q4'10 Q1'11 Q2'11 Q3'11

$0.0 Q3'09 Q4'09 Q1'10 Q2'10 Q3'10 Q4'10 Q1'11 Q2'11 Q3'11

Source: Dealogic

14

Technology IPOs in the Last 4 Quarters

Pricing Date Issuer Name Ticker TUDO CARB TNGO Z AWAY KIOR RATE P FIO TAOM SZYM FSL ACTV YNDX LNKD FENG DATE FFN THR NQ RENN WIFI RPXC MKTG VNET ELLI ZIP QIHU SREV CSOD MXL Amount Offered (millions) $174.0 63.0 88.0 69.2 216.0 150.0 336.8 234.9 233.7 64.7 227.2 783.0 189.8 1,434.8 352.8 140.4 78.1 50.0 120.0 89.1 854.9 77.9 184.2 79.4 224.3 50.7 174.6 175.5 119.4 136.5 133.0 Offer Price $29.00 10.00 10.00 20.00 27.00 15.00 15.00 16.00 19.00 9.00 18.00 18.00 15.00 25.00 45.00 11.00 11.00 10.00 12.00 11.50 14.00 13.50 19.00 12.00 15.00 6.00 18.00 14.50 10.00 13.00 14.00 Filing Range Low $28.00 15.00 9.00 12.00 24.00 19.00 14.00 7.00 13.00 9.00 15.00 22.00 16.00 20.00 32.00 12.00 10.00 10.00 12.00 9.50 9.00 12.00 16.00 8.50 10.00 9.00 14.00 10.50 7.50 9.00 15.50 High $30.00 17.00 11.00 14.00 27.00 21.00 16.00 9.00 15.00 11.00 17.00 24.00 18.00 22.00 35.00 14.00 12.00 12.00 14.00 11.50 11.00 14.00 18.00 10.00 12.00 11.00 16.00 12.50 9.00 11.00 17.50 15.00 17.00 16.00 18.00 16.00 18.00 $10.00 $11.00 Revised Range Low High % Above (Below) Midpoint Filing 0.0% (37.5%) 0.0% 53.8% 5.9% (25.0%) 0.0% 100.0% 35.7% (10.0%) 12.5% (21.7%) (11.8%) 19.0% 34.3% (15.4%) 0.0% (9.1%) (7.7%) 9.5% 40.0% 3.8% 11.8% 29.7% 36.4% (40.0%) 20.0% 26.1% 21.2% 30.0% (15.2%) (12.5%) 5.9% 17.6% (4.8%) Revised 1-Day (0.1%) 23.5% 16.5% 47.9% 48.9% 0.0% 2.3% 8.9% 18.4% (8.6%) 0.2% 1.8% 8.5% 55.4% 109.4% 34.1% (4.4%) (21.5%) 2.3% (19.1%) 28.6% (10.4%) 25.7% 28.3% 25.3% 14.0% 56.6% 134.5% 6.2% 6.2% 0.1% % Change Offer to 1-Week (20.7%) 55.4% 19.3% 82.2% 39.4% 1.0% (21.2%) (15.6%) 16.7% 8.9% 22.0% 1.1% 21.9% 33.8% 109.6% 13.2% 0.0% (42.5%) 7.5% (30.4%) (3.6%) (12.9%) 41.3% 33.0% 6.9% 19.0% 58.3% 101.8% 21.8% 38.0% (0.6%) 1-Month (12.5%) 27.0% 9.1% 21.0% 53.3% 0.7% (33.7%) 11.2% 64.9% 16.3% 14.1% (6.3%) 6.7% 26.2% 45.6% 3.3% (8.5%) (53.7%) 3.3% (50.1%) (9.4%) (24.7%) 52.1% 35.5% (14.6%) 15.8% 49.1% 96.6% 17.5% 36.9% 5.5% Current (52.9%) 20.4% 13.1% 36.8% 24.5% 38.3% 1.4% (8.4%) 0.0% (34.7%) (46.6%) (38.7%) (1.7%) (18.2%) 73.5% (48.4%) (27.3%) (81.6%) 15.2% (66.7%) (63.6%) (47.0%) 9.0% (10.2%) (32.3%) (7.3%) 0.0% 12.7% 32.1% (3.5%) (52.0%)

08/16/11 Tudou Holdings 08/10/11 Carbonite 07/26/11 Tangoe 07/19/11 Zillow 06/28/11 HomeAway 06/23/11 KiOR 06/16/11 Bankrate 06/14/11 Pandora Media 06/08/11 Fusion-io 06/08/11 Taomee 05/26/11 Solazyme 05/25/11 Freescale Semiconductor 05/24/11 The Active Network 05/23/11 Yandex 05/18/11 LinkedIn 05/11/11 Phoenix New Media 05/10/11 Jiayuan.com International 05/10/11 FriendFinder Networks 05/04/11 Thermon Group 05/04/11 NetQin Mobile 05/04/11 Renren 05/03/11 Boingo Wireless 05/03/11 RPX 04/20/11 Responsys 04/20/11 21Vianet Group 04/14/11 Ellie Mae 04/13/11 Zipcar 03/29/11 Qihoo 360 03/24/11 ServiceSource 03/16/11 Cornerstone OnDemand 03/10/11 MagnaChip Semiconductor

Notes: Recent IPOs include ADR transactions and dollar volumes include over-allotment Source: Dealogic

15

Technology IPOs in the Last 4 Quarters (contd)

Pricing Date Issuer Name Ticker NPTN EPOC TBOW INXN BCDS VELT DMD GCAP FLT ISS MOBI LEDS YOKU DANG FXCM IPHI RDA NTSP Amount Offered (millions) $82.5 85.8 20.0 264.9 63.0 150.0 174.0 81.0 335.3 162.0 58.0 102.6 233.3 312.8 210.8 81.6 67.5 203.9 $20.0 1,434.8 204.0 150.0 Offer Price $11.00 16.00 5.00 13.00 10.50 12.00 17.00 9.00 23.00 13.00 8.00 17.00 12.80 16.00 14.00 12.00 9.00 11.00 $5.0 45.0 14.8 13.5 Filing Range Low $9.00 13.00 5.00 11.00 10.50 9.00 14.00 13.00 23.00 11.00 8.00 14.50 9.00 11.00 13.00 10.00 8.50 10.00 $5.0 32.0 12.9 11.0 High $11.00 15.00 7.00 13.00 12.50 11.00 16.00 15.00 26.00 13.00 10.00 16.50 11.00 13.00 15.00 12.00 10.50 12.00 $7.0 35.0 14.9 13.0 $10.0 16.0 14.0 15.0 $11.0 18.0 15.8 17.0 $13.00 $15.00 Revised Range Low High % Above (Below) Midpoint Filing 10.0% 14.3% (16.7%) 8.3% (8.7%) 20.0% 13.3% (35.7%) (6.1%) 8.3% (11.1%) 9.7% 28.0% 33.3% 0.0% 9.1% (5.3%) 0.0% ($40.0) 100.0 7.5 8.3 ($12.5) 17.6 4.1 5.9 14.3% Revised 1-Day 20.5% 37.3% (5.2%) 6.2% 0.0% 29.8% 33.2% (1.7%) 18.5% 27.9% (25.0%) 51.5% 161.3% 86.9% 6.1% 30.3% 16.1% 18.2% ($25.0) 161.3 23.5 16.5 % Change Offer to 1-Week 52.4% 50.0% (5.4%) 13.8% 4.6% 0.0% 24.7% (5.6%) 29.3% 34.6% (33.3%) 54.1% 160.2% 69.1% (1.8%) 26.0% 34.9% 20.8% ($42.5) 160.2 23.1 19.3 1-Month 65.5% 34.6% (10.4%) 14.3% 0.0% 0.0% 35.1% 6.1% 31.5% 50.0% (33.9%) 64.1% 0.0% 73.2% (5.4%) 63.4% 65.3% 26.7% ($53.7) 96.6 17.9 14.3 Current (37.5%) (43.7%) (55.6%) (9.2%) (52.4%) (44.9%) (52.9%) (30.1%) 14.2% (50.1%) (59.4%) (77.5%) 27.8% (69.1%) 0.1% (26.9%) (6.1%) (53.3%) ($81.6) 73.5 (20.2) (26.9)

02/02/11 NeoPhotonics 02/02/11 Epocrates 02/02/11 Trunkbow International 01/27/11 InterXion Holding 01/27/11 BCD Semiconductor 01/27/11 Velti 01/25/11 Demand Media 12/15/10 GAIN Capital Holdings 12/14/10 FleetCor Technologies 12/13/10 iSoftstone 12/09/10 Sky-mobi 12/08/10 SemiLEDs Corp 12/08/10 Youku.com 12/07/10 E-Commerce China Dangdang 12/02/10 FXCM 11/12/10 Inphi Corporation 11/10/10 RDA Microelectronics 10/18/10 Netspend Min. Max. Mean Median

Notes: Recent IPOs include ADR transactions and dollar volumes include over-allotment Source: Dealogic

16

Technology Follow-on Market Update

Technology Follow-on Pricing Discount
0.0% 0.0%

(2.0%) (2.6%) (4.0%) (4.6%) (6.0%) (5.7%) (6.5%) (8.0%) (7.7%) (5.4%) (5.7%) (2.4%)

The median discount from file-to-offer for Technology follow-ons in Q32011 was 7.9%, down compared to the discount for all followons in Q22011 of 9.9%
Technology follow-ons priced in the LTM

period have traded up 31.2%

Of the 82 technology follow-ons that

(10.0%) (11.2%) Oct. Nov. Dec. Jan.'11 Feb. Mar. Apr. May (10.8%) Jun. Jul. Aug. (10.8%) Sept.

priced in the last twelve months, 15% are currently trading above their offer price

(12.0%)

Current Sector Breakdown of Follow-on Backlog ($ volume)

REIT 2% Energy 20% Consumer 52%

Healthcare 1% Financial Institutions 7%

Industrial 7% Media / Telecom 5%

The follow-on backlog stands at 20 transactions, with companies expecting to raise approximately $1.2 billion Technology and Media/Telecom account for 5% of the dollar volume of the follow-on backlog

Professional Services 6%

Source: Dealogic and FactSet

17

Technology Follow-on Quarterly Deal Volume

In the last 4 quarters, 82 technology follow-on transactions priced of $13.9B; with 6 deals pricing in Q311 representing $0.3B vs. 21 transactions in Q211 which raised $3.1B
Number of All Domestic Technology Follow-ons Quarterly Statistics Last 8 Quarters Dollar Volume of All Domestic Technology Follow-ons Quarterly Statistics Last 8 Quarters
($ in Billions)

35 30 26 25 20 15 10 5 0 Q4'09 Q1'10 Q2'10 Q3'10 Q4'10 Q1'11 Q2'11 Q3'11 29

$7.0 $6.3 $6.0 $5.0

22 21

$4.2 $4.0 $3.1 $3.0

13 10

$2.0
7 6

$1.7

$1.8 $1.4

$1.0 $0.4 $0.0 Q4'09 Q1'10 Q2'10 Q3'10 Q4'10 Q1'11 Q2'11 Q3'11 $0.3

Source: Dealogic

18

Technology Follow-ons in the Last 4 Quarters

Pricing Date 09/20/11 09/16/11 09/15/11 07/28/11 07/22/11 07/15/11 06/22/11 06/14/11 06/09/11 06/09/11 05/31/11 05/25/11 05/25/11 05/25/11 05/24/11 05/24/11 05/19/11 05/19/11 05/19/11 05/17/11 05/11/11 05/10/11 05/10/11 05/06/11 04/07/11 04/07/11 04/06/11 03/31/11 03/31/11 03/31/11 03/30/11 Issuer Name Mellanox Technologies Broadwind Energy KIT Digital Ramtron International SS&C Technologies Holdings Towerstream ECOtality Velti Procera Networks SPS Commerce Avago Technologies KEMET Multiband Plug Power Identive Group Orbotech Kenexa Metabolix Youku.com TranSwitch Mattson Technology Ancestry.com Dice Holdings Pixelworks Elster Group OCZ Technology Group IntraLinks Holdings A123 Systems Inphi Kraton Performance Polymers NXP Semiconductors Ticker MLNX BWEN KITD RMTR SSNC TWER ECTY VELT PKT SPSC AVGO KEM MBND PLUG INVE ORBK KNXA MBLX YOKU TXCC MTSN ACOM DHX PXLW ELT OCZ IL AONE IPHI KRA NXPI Amount Offered
(millions)

Offer Price $31.75 0.40 9.50 2.00 19.20 4.00 4.00 17.89 10.07 17.72 33.95 15.05 3.86 2.42 2.55 13.68 27.75 7.25 57.60 3.30 2.22 41.29 17.16 2.24 17.13 8.50 28.70 6.00 20.90 37.75 30.00

% Change File to Offer (10.8%) (25.4%) (10.6%) 0.0% (5.2%) (2.4%) (37.5%) (14.8%) (5.7%) (6.9%) (3.0%) (3.0%) (22.3%) (15.1%) (13.3%) (8.6%) (6.8%) (5.7%) (16.4%) (15.2%) (18.9%) 1.7% (6.8%) 0.0% (12.4%) 10.5% (11.2%) (23.3%) (18.4%) (8.3%) 8.0%

% Change Last Trade to Offer (10.8%) (25.4%) (10.6%) 0.0% (5.2%) (2.4%) (37.5%) (14.8%) (5.7%) (6.9%) (3.0%) (3.0%) (22.3%) (15.1%) (13.3%) (8.6%) (6.8%) (5.7%) (16.4%) (15.2%) (18.9%) 1.7% (6.8%) 0.0% (12.4%) 10.5% (11.2%) (23.3%) (18.4%) (8.3%) 8.0%

Closing Price 1-Day $32.17 0.45 9.95 2.19 19.47 4.38 2.48 15.73 9.69 0.10 33.79 14.59 3.32 2.40 2.35 12.43 32.87 7.25 47.75 3.06 1.97 41.45 16.86 2.44 15.02 9.92 28.47 6.12 21.01 37.55 29.97 Current 31.22 0.32 8.40 1.97 14.29 2.56 1.86 6.61 9.60 16.29 32.77 7.15 2.46 1.82 1.99 9.68 15.64 $4.38 16.36 2.35 1.17 23.50 7.82 2.10 14.95 4.85 7.51 3.44 8.77 16.18 14.12

% Change Offer to 1-Day 1.3% 12.5% 4.7% 9.5% 1.4% 9.5% (38.0%) (12.1%) (3.8%) (99.5%) (0.5%) (3.1%) (14.0%) (0.8%) (7.8%) (9.1%) 18.5% 0.0% (17.1%) (7.3%) (11.3%) 0.4% (1.7%) 8.9% (12.3%) 16.7% (0.8%) 2.0% 0.5% (0.5%) (0.1%) Current (1.7%) (20.0%) (11.6%) (1.5%) (25.6%) (36.0%) (53.5%) (63.1%) (4.7%) (8.1%) (3.5%) (52.5%) (36.3%) (24.8%) (22.0%) (29.2%) (43.6%) (39.6%) (71.6%) (28.8%) (47.3%) (43.1%) (54.4%) (6.3%) (12.7%) (42.9%) (73.8%) (42.7%) (58.0%) (57.1%) (52.9%)

$109.5 13.0 35.0 10.9 134.4 41.4 21.3 172.4 28.8 19.9 848.8 102.2 38.6 22.6 20.0 96.3 95.7 51.7 593.1 17.4 14.1 182.7 128.0 9.4 276.0 99.7 219.9 121.1 81.6 377.0 1,032.9

Notes: Recent FOs include ADR transactions and dollar volumes include over-allotment Source: Dealogic

19

Technology Follow-ons in the Last 4 Quarters (contd)

Pricing Date 03/30/11 03/24/11 03/24/11 03/24/11 03/10/11 03/09/11 03/03/11 03/01/11 02/25/11 02/25/11 02/23/11 02/17/11 02/17/11 02/16/11 02/15/11 02/10/11 02/08/11 02/03/11 02/02/11 01/27/11 01/18/11 01/14/11 01/11/11 01/10/11 01/06/11 12/21/10 12/16/10 12/15/10 SciQuest Acacia Research Accretive Health Universal Display 3D Systems Datalink Fabrinet Avago Technologies Advanced Photonix Limelight Networks E*Trade Networks Gartner Sensata Technologies Dice Holdings EnerSys Mercury Computer Systems Kratos Defense & Securities Solutions SS&C Technologies On Track Innovations LDK Solar Avago Technologies Local.com Glu Mobile Verint Advanced Photonix Finisar HiSoft Technology International BroadSoft Issuer Name Ticker SQI ACTG AH PANL DDD DTLK FN AVGO AMEX:API LLNW ETFC IT ST DHX ENS MRCY KTOS SSNC OTIV LDK AVGO LOCM GLUU VRNT AMEX:API FNSR HSFT BSFT Amount Offered
(millions)

Offer Price $14.25 31.50 23.50 46.00 44.00 5.75 28.50 32.50 1.97 7.10 16.00 35.50 33.15 14.25 36.25 17.75 13.25 17.60 3.00 12.40 27.75 4.25 2.05 35.00 1.48 28.75 26.00 22.00

% Change File to Offer (5.3%) (6.1%) (4.5%) (1.6%) (3.7%) (12.6%) (9.6%) (4.4%) (5.3%) (8.6%) (3.9%) (7.9%) 2.3% (7.8%) (4.2%) (5.4%) (5.4%) (12.6%) (4.2%) (4.8%) (4.3%) (13.6%) (12.4%) 54.7% 0.0% 10.7% (5.4%) (12.2%)

% Change Last Trade to Offer (5.3%) (6.1%) (4.5%) (1.6%) (3.7%) (12.6%) (9.6%) (4.4%) (5.3%) (8.6%) (3.9%) (7.9%) 2.3% (7.8%) (4.2%) (5.4%) (5.4%) (12.6%) (4.2%) (4.8%) (4.3%) (13.6%) (12.4%) 54.7% 0.0% 10.7% (5.4%) (12.2%)

Closing Price 1-Day $14.52 32.22 26.05 50.31 22.33 6.48 29.00 32.46 2.07 6.95 15.89 38.33 33.29 14.86 36.80 19.15 14.05 19.01 3.10 12.28 27.76 4.45 2.24 35.63 1.58 28.98 28.71 22.66 Current $14.94 35.99 21.23 47.94 13.99 6.80 18.70 32.77 1.00 2.36 9.11 34.87 26.46 7.82 20.02 11.50 6.72 14.29 1.50 3.12 32.77 2.42 2.11 26.29 1.00 17.54 8.79 30.35

% Change Offer to 1-Day 1.9% 2.3% 10.9% 9.4% (49.3%) 12.7% 1.8% (0.1%) 5.1% (2.1%) (0.7%) 8.0% 0.4% 4.3% 1.5% 7.9% 6.0% 8.0% 3.3% (1.0%) 0.0% 4.7% 9.3% 1.8% 6.8% 0.8% 10.4% 3.0% Current 4.8% 14.3% (9.7%) 4.2% (68.2%) 18.3% (34.4%) 0.8% (49.2%) (66.8%) (43.1%) (1.8%) (20.2%) (45.1%) (44.8%) (35.2%) (49.3%) (18.8%) (50.0%) (74.8%) 18.1% (43.1%) 2.9% (24.9%) (32.4%) (39.0%) (66.2%) 38.0%

$67.2 157.5 152.8 230.0 89.8 21.3 236.3 812.5 2.4 81.7 383.2 284.0 663.0 99.8 103.2 86.1 64.8 193.6 15.7 148.8 693.8 17.0 17.3 80.5 4.0 103.5 130.0 134.1

Notes: Recent FOs include ADR transactions and dollar volumes include over-allotment Source: Dealogic

20

Technology Follow-ons in the Last 4 Quarters (contd)

Pricing Date 12/14/10 12/09/10 12/09/10 12/07/10 12/06/10 12/06/10 12/06/10 12/06/10 12/01/10 12/01/10 11/19/10 11/17/10 11/12/10 11/11/10 11/10/10 11/10/10 11/10/10 11/10/10 11/10/10 11/04/10 11/03/10 10/21/10 10/05/10 Min. Max. Mean Median KEMET Camelot Information Systems Dice Holdings Green Dot Avago Technologies IntraLinks RealD RealPage Qlik Technologies SPS Commerce KIT digital Synchronoss Technologies Allscripts Healthcare Solutions Ikanos Communications Ancestry.com American Superconductor Ascent Solar Technologies Sensata Technologies Syntel LeCroy Spansion Satcon Technology Group Kratos Defense & Securities Solutions Issuer Name Ticker KEM CIS DHX GDOT AVGO IL RLD RP QLIK SPSC KITD SNCR MDRX IKAN ACOM AMSC ASTI ST SYNT LCRY CODE SATC KTOS Amount Offered
(millions)

Offer Price $11.00 19.50 10.75 61.00 25.35 20.00 27.75 25.75 23.00 12.25 12.00 25.40 17.95 1.05 26.00 35.50 4.15 24.10 47.50 8.25 17.00 3.90 10.20 $0.40 $61.00 $18.86 $17.38

% Change File to Offer (21.2%) 8.9% (4.8%) 13.0% (5.6%) (2.6%) 0.3% (1.2%) 15.9% (14.0%) 0.0% (6.5%) (1.4%) (11.8%) (1.9%) (4.7%) (9.0%) 3.3% (10.5%) (9.7%) (11.2%) (6.3%) (5.1%) (37.5%) 54.7% (6.0%) (5.6%)

% Change Last Trade to Offer (21.2%) 8.9% (4.8%) 13.0% (5.6%) (2.6%) 0.3% (1.2%) 15.9% (14.0%) 0.0% (6.5%) (1.4%) (11.8%) (1.9%) (4.7%) (9.0%) 3.3% (10.5%) (9.7%) (11.2%) (6.3%) (5.1%) (37.5%) 54.7% (6.0%) (5.6%)

Closing Price 1-Day $12.75 21.39 13.33 54.61 24.86 19.60 28.29 28.50 23.35 12.95 12.08 25.95 18.35 1.03 26.50 35.48 3.98 24.20 50.96 9.07 18.34 4.33 10.47 $0.10 $54.61 $18.64 $16.38 Current 2.68 7.82 31.32 32.77 7.51 9.35 20.45 21.63 16.29 8.40 24.91 18.02 0.86 23.50 3.93 0.75 26.46 43.19 7.90 12.22 0.95 6.72 2.68 $0.32 $47.94 $13.16 $8.95

% Change Offer to 1-Day 15.9% 9.7% 24.0% (10.5%) (1.9%) (2.0%) 1.9% 10.7% 1.5% 5.7% 0.7% 2.2% 2.2% (1.9%) 1.9% (0.1%) (4.1%) 0.4% 7.3% 9.9% 7.9% 11.0% 2.6% (99.5%) 24.0% 0.1% 1.6% Current (86.3%) (27.3%) (48.7%) 29.3% (62.5%) (66.3%) (20.6%) (6.0%) 33.0% (30.0%) (1.9%) 0.4% (18.1%) (9.6%) (88.9%) (81.9%) 9.8% (9.1%) (4.2%) (28.1%) (75.6%) (34.1%) (86.3%) (88.9%) 38.0% (29.8%) (31.2%)

$110.0 160.6 129.0 260.4 633.8 200.0 249.4 266.5 264.5 35.2 96.0 108.2 224.4 5.8 98.7 163.3 21.8 482.0 124.0 21.5 114.8 35.1 23.5 $2.4 $1,032.9 $169.7 $103.3

Notes: Recent FOs include ADR transactions and dollar volumes include over-allotment Source: Dealogic

21

Technology Venture Capital and Private Equity Update

Venture Capital Fund Commitments Overview

Venture Capital Fund Commitments
(millions) $12,000 $10,000 70 $8,000 $6,000 40 $4,000 $2,000 10 $0 Q4'07 Q3'08 Q2'09
Amount Raised

90 80

60 50

Capital commitments dropped in Q311 to $1.7B, a 41% decrease compared to the previous quarter

30 20

0 Q1'10
Number of Funds

Q4'10

Q3'11

Venture Capital Fund Commitments by Geography

(millions) $8,000 $7,000 $6,000 $3,444 $5,000 $4,000 $3,000 $2,000 $1,000 $0 Q4'09 Q1'10 Q2'10
Midwest

$300 $235

$50 $118 $1,807

$99 $351 $100 $94 $1,131 $2,390 $196 $53 $759 $1,091 Q3'10
South

$190 $328 $999 $3,654 $45 $130 $691

The number of funds receiving commitments increased to 51 in Q311 from 48 in Q211

$115 $217 $416 $942 Q3'11 $2,005

$2,095 $1,195

$2,279

$2,138

Q4'10
Northeast

Q1'11
West

Q2'11

Source: Thomson Reuters; commitment data includes VC funds located in the U.S. only

23

Venture Capital Investments Overview

Venture Capital Investments
(millions) $9,000 $8,000 1,000 $7,000 $6,000 $5,000 600 $4,000 $3,000 $2,000 200 $1,000 $0 Q4'07 Q3'08
Total Invested

1,200

800

690 VC investments were completed in Q311, down 30% from 982 deals in Q211
Funds invested were $6.4B in

400

Q311, down 18% vs. Q211

0 Q2'09 Q1'10 Q4'10 Q3'11

Companies Receiving Funding

Total Venture Capital Invested by Industry

(millions) $9,000 $8,000 $7,000 $6,000 $5,000 $4,000 $3,000 $2,000 $1,000 $0 Q4'09 Q1'10 Q2'10 Q3'10 Q4'10 Q1'11 Q2'11
T echnology

Technology companies received $2.8B in venture capital in Q311

Investments in Technology
$332 $592 $133 $804 $1,727

$573 $278 $181 $233 $589 $226 $846 $1,924 $161 $730 $429 $660 $1,304 $2,244 $2,049 $1,372 $262 $807 $2,160 $1,615 $1,358 $131 $425 $145 $738 $167 $795 $169 $968 $1,022 $149 $903 $1,577 $723 $211 $1,054

$2,231

companies comprised 44% of venture capital funds invested in the quarter

$1,870

$1,780

$2,150

$2,372

$2,916

$2,765

Q3'11

Consumer / Retail / Other T elecom / Media

Industrial / Energy Biotech / Healthcare

Financial / Business Services

Source: Thomson Reuters; investment data based on PWC MoneyTree deals

24

50 Largest Technology VC Investments in the Last Twelve Months 14 of the 50 largest VC investments in the last twelve months occurred in Q311
Company Date of Last Funding 01/02/11 Sector Business Description Investors Total Invested $1,500M

Facebook

Internet / Digital Media

Provider of a social networking website

Goldman Sachs, Mail.ru Group

Groupon

12/17/10

Internet / Digital Media

Provider of an e-commerce marketplace

Battery Ventures, Greylock Partners, Kleiner Perkins, T. Rowe Price, TCV, Fidelity Investments, Maverick Capital, Morgan 950M Stanley, Andreessen Horowitz, DST Global Kleiner, Perkins, Caufield & Byers, T. Rowe Price, Lowercase Capital, DST Global 800M

Twitter

07/05/11

Internet / Digital Media

Provider of a micro-blogging platform

Zfere Holdings

09/12/11

Internet / Digital Media

Provider of technologies for social Equity Partners Fund SPC, Funchal Equity Partners Fund, media, social commerce, marketing, and Zigong Commercial Equity Partners Fund mobile payment systems Operates as a social discovery and cataloging network Institutional Venture Partners, T. Rowe Price, Lightspeed Venture Partners, Amazon.com Fidelity Investments, Kleiner, Perkins, Caufield & Byers, Morgan Stanley

682M

LivingSocial.com

04/04/11

Internet / Digital Media

565M

Zynga

02/17/11

Internet / Digital Media

Provider of online social games

490M

Attachmate

01/03/11

Application Software

Provider of software solutions for Francisco Partners, Golden Gate Capital, Elliott Management, terminal emulation, legacy Thoma Bravo modernization and managed file transfer Provider of an online files sharing service Provider of mobile satellite communication services Index Ventures, Goldman Sachs Group, Securities Investments

425M

Dropbox

07/12/11

Internet / Digital Media

300M

LightSquared

07/05/11

Comm. Equipment

Undisclosed

265M

Coupons.com

06/09/11

Internet / Digital Media

Provider of digital coupons

Undisclosed

200M

Source: Thomson Reuters and CapitalIQ; includes PWC MoneyTree deals.

25

50 Largest Technology VC Investments in the Last Twelve Months (contd)

Company Twitter Date of Last Funding 12/15/10 Sector Internet / Digital Media Business Description Provider of a micro-blogging platform Investors Benchmark Capital, Kleiner, Perkins, Caufield & Byers, Union Square Ventures, Spark Capital JMI Equity, Technology Crossover Ventures, Nokia Growth Partners GRP Partners, Guthy-Renker, United Services Automobile Association, DealerTrack, Capricorn Investment Group, McCombs Partners Lightspeed Venture Partners, Amazon.com Battery Ventures, Great Hill Partners, HarbourVest Partners, Spark Capital DFJ, General Atlantic, Goldman Sachs, Matrix Partners, New Enterprise Associates, Eastward Capital Partners, SoftBank Capital, Pinnacle Ventures, TriplePoint Capital Insight Venture Partners, New Enterprise Associates, Greenspring Associates Kleiner, Perkins, Caufield & Byers, Technology Crossover Ventures Citigroup Venture Capital International, JPMP Capital, American Express Company New Enterprise Associates, Warburg Pincus, H.I.G. Ventures, and Advanced Equities Total Invested $200M

Adknowledge

12/23/10

Internet Services

Operates as a performance-based advertising network Provider of data and price reports for cars Operates as a social discovery and cataloging network Operates as an online retailer of home and office goods Operates as an online community that provides its members with access to fashion and luxury lifestyle brands Provider of on-demand event management and web survey software Provider of the PI Systems to manage assets, mitigate risks, and identify new market opportunities Provider of a Web-based tool that manages the everyday details of business and personal life Provider of monocrystalline silicon solar cells and modules

200M

TrueCar

09/07/11

Internet / Digital Media

200M

LivingSocial.com

12/02/10

Internet / Digital Media

183M

Wayfair

06/20/11

Internet / Digital Media

165M

Gilt Groupe

04/15/11

Internet / Digital Media

138M

Cvent

07/15/11

Application Software

136M

OSIsoft

01/05/11

Application Software

135M

Rearden Commerce

09/21/11

Internet / Digital Media

133M

Suniva

03/31/11

Clean Tech

115M

Airbnb

05/30/11

Internet / Digital Media

Provider of an online marketplace that Andreessen Horowitz, DST Global allows users to rent out their extra space Provider of thin-film photovoltaic solar modules and panels for utility-scale commercial installations Provider of programmable logic devices for programmable logic, memory, and signal processing applications Technology Partners, The Invus Group, DCM, Bohemian Companies, BP Alternative Energy Ventures Benchmark Capital, Greylock Partners, Integral Capital Partners, New Enterprise Associates, CrossLink Capital, DAG Ventures, Balderton Capital

112M

Abound Solar

12/09/10

Clean Tech

112M

Tabula

03/27/11

Semiconductors

108M

Source: Thomson Reuters and CapitalIQ; includes PWC MoneyTree deals.

26

50 Largest Technology VC Investments in the Last Twelve Months (contd)

Company Miasole Date of Last Funding 02/18/11 Sector Clean Tech Business Description Provider of thin film solar products Provider of enterprise collocation and data center solutions Provider of wireless network solutions and software for metering, demand response, and grid management Provider of credit card reader solutions for mobile devices Investors Kleiner, Perkins, Caufield & Byers, VantagePoint Venture Partners, Firelake Capital Management Sterling Partners, J.P. Morgan Asset Management VantagePoint Venture Partners, Investor Growth Capital, UMC Capital, ABB Group, GE Asset Management Kleiner, Perkins, Caufield & Byers, Tiger Global Management Total Invested $106M

i/o Data Centers

04/04/11

IT Services

105M

Trilliant

12/20/10

Clean Tech

100M

Square

06/07/11

Internet / Digital Media

100M

Zfere Holdings

07/18/11

Internet / Digital Media

Provider of technologies for social media, social commerce, marketing, and Equity Partners Fund SPC mobile payment systems Operates coupons and deals websites Austin Ventures, Adams Street Partners, Norwest Venture Partners Canaan Partners, Redpoint Ventures, Intel Capital, Pinnacle Ventures, Performance Equity Management, Google Ventures, SK Telecom Ventures Greylock Partners, Insight Venture Partners, Sequoia Capital, Union Square Ventures, Spark Capital, The Chernin Group SK Holdings Silver Lake Partners, Accel-KKR, JGE Capital Management, Invus Financial Advisors, Tola Capital Lurie Investment Fund

100M

WhaleShark Media

11/24/10

Internet / Digital Media

90M

Kabam

05/26/11

Internet / Digital Media

Provider of games for social networks Provider of a platform to share and post text, photos, quotes, links, music, and videos Manufactures thin-film solar modules for commercial rooftop and utility markets Provider of a data analytics platform Provider of nanometer-scale structures and applications for life science and semiconductor industries Provider of LED lighting technologies and solutions Provider of access to music library where content owners are paid per-play

86M

Tumblr

08/25/11

Internet / Digital Media

85M

HelioVolt

09/09/11

Clean Tech

85M

Opera Solutions

09/14/11

Application Software

84M

NanoInk

10/08/10

Semiconductors

80M

BridgeLux

01/27/11

Clean Tech

VantagePoint Venture Partners, DCM News Corp., InterTrust Technologies, Allen & Company, Wellcome Trust

79M

Beyond Oblivion

03/07/11

Internet / Digital Media

77M

Source: Thomson Reuters and CapitalIQ; includes PWC MoneyTree deals.

27

50 Largest Technology VC Investments in the Last Twelve Months (contd)

Company Zoosk Date of Last Funding 08/16/11 Sector Internet / Digital Media Business Description Operates an online social dating community Provider of thin-film photovoltaic cells and modules for solar power generation markets Provider of platforms for integrating, visualizing, and analyzing information Provider of online legal document management Provider of oblique and geo-referenced aerial imagery libraries and measuring software Provider of UHF radio frequency identification products and services Provider of digital marketing technology Provider of optical packet systems Provider of development, publishing, and operation of massively multiplayer online games and services Provider of technology solutions to exploration teams in onshore oil and gas, and mining industries Provider of ratings, reports, and reviews about service companies Provider of SmartSilicon based solar cells Undisclosed Investors Total Invested $75M

SoloPower

12/17/10

Clean Tech

CrossLink Capital, Convexa, Hudson Clean Energy Partners

72M

Palantir Technologies LegalZoom.com

08/23/11 04/28/11

Application Software Internet / Digital Media

Undisclosed Institutional Venture Partners, Kleiner, Perkins, Caufield & Byers Spectrum Equity Investors

68M 66M

Pictometry International

05/04/11

Application Software

63M

Alien Technology Adchemy Cyan Optics

02/02/11 09/21/11 01/26/11

Comm. Equipment Internet / Digital Media Comm. / Infrastructure

Undisclosed August Capital, Mayfield Fund, Microsoft Birchmere Ventures, JVP, Sprout Group

61M 61M 61M

Gazillion Entertainment

11/05/10

Internet / Digital Media

Temasek Holdings Goldman Sachs, Kleiner, Perkins, Caufield & Byers, Passport Capital, Energy Capital Group Battery Ventures, Cardinal Equity Partners International Finance Corporation, Capricorn Investment Group, Tsing Capital

60M

NEOS GeoSolutions

01/18/11

Application Software

60M

Brownstone Publishing Sunpreme Angie's List

03/15/11 05/04/11 03/15/11

Internet / Digital Media Clean Tech Internet / Digital Media

60M 60M 60M

Provider of a site to review and hire local T. Rowe Price Group professionals Provider of home monitoring solutions for residential and small-business applications Charles River Ventures, Kleiner, Perkins, Caufield & Byers, Comcast Ventures, Tyco International, Rogers Communications, Intel Capital, Cisco Systems

iControl Networks

03/25/11

Clean Tech

54M

Source: Thomson Reuters and CapitalIQ; includes PWC MoneyTree deals.

28

Technology PIPEs Quarterly Deal Volume

In the last twelve months, 25 technology PIPEs priced representing $520M, compared to 24 transactions for $1.0 billion in the prior year period
Number of All Domestic Technology PIPEs Quarterly Statistics Last 8 Quarters
10 9 9 8 7 6 6 5 5 4 4 3 2 2 1 0 Q4'09 Q1'10 Q2'10 Q3'10 Q4'10 Q1'11 Q2'11 Q3'11 5 9 9

Dollar Volume of All Domestic Technology PIPEs Quarterly Statistics Last 8 Quarters
($ in Millions)

$500.0 $450.0 $400.0 $350.0 $300.0 $250.0 $200.0 $150.0 $100.0 $50.0 $0.0 Q4'09 Q1'10 Q2'10 Q3'10 Q4'10 Q1'11 Q2'11 Q3'11 $20.9 $68.0 $283.9 $391.3 $350.9 $387.4

$52.3 $12.7

Source: PlacementTracker

29

Technology PIPEs in Q311

Closing Date Amount Offered
(millions)

Issuer Name

Ticker

Security Type Sold

Offer Price

Price at close $3.12 0.84 0.37 1.95 1.90

Closing Price 1-Day $3.26 0.81 0.38 2.10 2.01 Current $1.02 4.75 2.24 2.74 1.42

% Change Offer to 1-Day N/A N/A N/A 0.7% (16.3%) (7.8%) (7.8%) 0.7% (16.3%) Current N/A N/A N/A (27.1%) (10.4%) (18.8%) (18.8%) (10.4%) (27.1%)

09/30/11 09/14/11 07/27/11 07/15/11 07/06/11 Median Mean High Low

Asure Software Netsol Technologies PositiveID Zoo Entertainment Unify

ASUR NTWK PSID ZOOG DAEG

Convertible Notes Convertible Notes Structured Equity Line Common Stock Convertible Notes

$1.5 4.0 1.5 1.7 4.0

N/A N/A N/A $2.09 2.40

Source: PlacementTracker and FactSet

30

Technology M&A Update

M&A Activity Remained Strong During Q3 2011

Deal volume was up 26% year-over-year, while dollar volume increased 28% vs. Q310 LTM revenue multiples decreased to 2.2x in Q311 from 2.3x in Q211

Technology Quarterly M&A Trends

3.0x 700 626 600 594 546 533 2.2x 2.2x 400 1.6x 300 1.7x 1.4x 1.5x 1.2x 200 1.0x 0.5x 1.2x 1.0x 2.3x 490 460 434 588 553 523 492 496 2.4x 2.2x 1.7x 1.6x 2.8x 613 545 621 2.4x 540 558 2.3x 2.2x 2.0x 634 2.5x 680

500

1.7x

1.5x

100

0 Q1'07 Q2'07 Q3'07 Q4'07 Q1'08 Q2'08 Q3'08 Q4'08 Q1'09 Q2'09 Q3'09 Q4'09 Q1'10 Q2'10 Q3'10 Q4'10 Q1'11 Q2'11 Q3'11

0.0x

Deal Volume

Median LT M Revenue Multiple

Source: 451 Group; volume and multiple data includes announced transactions involving North American targets or acquirers and excludes telecommunications services transactions; revenue multiple calculation excludes unannounced transaction metrics

32

Technology M&A Trends by Sector

Application Software
240 200 160 120 80 40 0 Q4'07 Q3'08 Q2'09 Q1'10 Q4'10 Q3'11
4.6x 4.2x

Communication Equipment
5.0x 4.5x 161 174 4.0x 3.5x 3.0x
2.8x

48
4.3x

5.0x 4.5x 4.0x 32 27 26 23 20

1.1x 1.3x 1.0x 0.6x 1.0x 1.1x 1.0x 1.1x 1.3x 1.0x 0.4x 2.8x

183 170 157 151 132 112

2.7x 2.3x 1.9x 1.5x 1.3x 1.2x 1.2x 1.7x 2.2x 2.2x 2.4x

40 32 24 16 8 0 Q4'07 Q3'08 Q2'09 Q1'10 Q4'10 Q3'11

1.4x

166 138

144
3.2x

140
2.9x

130

143

149 154

31
2.6x

32

34

28 23 24 21 20
1.6x

3.5x 3.0x 2.5x 2.0x 1.5x 1.0x 0.5x 0.0x

2.5x 2.0x 1.5x 1.0x 0.5x 0.0x

21

17

15

Infrastructure Software
72 60 48 39 36 24 12 0 Q4'07 Q3'08 Q2'09 Q1'10 Q4'10 Q3'11
Deal Volume
2.2x 4.7x

Internet / Digital Media

6.0x 180 150 120 90 60 30 0.5x 0 Q4'07 Q3'08 Q2'09 Q1'10 Q4'10 Q3'11 0.0x 172
4.1x

67
5.0x 5.0x

158 156
3.4x

4.5x 4.0x 3.5x

5.0x 4.0x 3.0x

2.4x

3.0x

140 143 112 101 100

2.1x 1.3x

3.8x

46 39 34 25
2.4x 2.5x 1.5x 1.0x 1.5x 2.3x

39 41 31
2.9x

49 46 47 44 40 40
2.6x 3.3x 2.2x 3.4x

114 103

2.8x

118

113

122
2.4x

123

115

3.0x 2.5x 2.0x

2.1x 1.3x

89

1.9x 1.8x 2.9x

22

2.0x 1.0x 0.0x

1.7x

1.5x 1.0x

0.3x 1.2x

Median LTM Revenue Multiple

Source: 451 Group; deal volume and revenue multiples include announced deals involving North American based acquirers or targets; revenue multiple calculation excludes deals with unannounced transaction metrics

33

Technology M&A Trends by Sector (contd)

IT Services
240 200 160 120 80
0.5x 1.5x 1.5x 1.5x

Security
1.6x 197 1.4x 1.2x 147
1.3x 1.2x

30
8.7x

27
7.0x

10.0x 9.0x 23 18 19 16 16 17 20 19 19 17 14 22 8.0x 7.0x 6.0x 5.0x 4.0x

3.0x 2.9x 3.4x

181 150 153 159 140 156 157 166

182

25 20 20 15

127 124 1.1x 129 117 116 0.7x 0.9x 1.0x

0.9x 0.7x 0.8x 0.6x

1.0x 0.8x 0.6x

17

16

1.0x

2.0x

5.7x 4.6x 4.6x 3.5x

10 5 0 Q4'07 Q3'08 Q2'09

2.2x 2.0x 2.0x 1.5x 2.2x

0.5x

0.4x 0.2x 0.0x

1.8x

3.0x 2.0x 1.0x 0.0x

40 0 Q4'07 Q3'08 Q2'09 Q1'10 Q4'10 Q3'11

Q1'10

Q4'10

Q3'11

Semiconductors
60 50 50 41 40 30
2.3x 4.1x

Storage
4.5x 4.0x 38 41 3.5x 3.0x 28 2.5x 2.0x 1.5x
1.6x 1.4x

12 10 10
10.8x 13.6x

11 10 8
8.0x

16.0x 10 14.0x 12.0x 10.0x

11.2x

36 37 31 25 24
1.9x 1.8x 1.7x 1.4x 1.0x 0.5x 0.4x 1.4x 0.6x 1.0x

8 7 6

11.2x

8 6 4 5

29 30 28 22
1.4x

6
5.6x 6.5x

23 22

7.6x

8.0x 6.0x

2.5x

4
1.8x 5.2x 4.0x 1.4x

20 10 0 Q4'07

1.0x 0.5x 0.0x

2
1.9x

0.4x

4.0x 2.0x 0.0x

2 0

1.7x

Q3'08

Q2'09

Q1'10

Q4'10

Q3'11
Deal Volume

Q4'07

Q3'08

Q2'09

Q1'10

Q4'100.8x

Q3'11

Median LTM Revenue Multiple

Source: 451 Group; deal volume and revenue multiples include announced deals involving North American based acquirers or targets; revenue multiple calculation excludes deals with unannounced transaction metrics

34

Tech Consolidators Out-Performed Major Indices in Q3 and the LTM Period

Technology Consolidators Performance LTM
25% 10%

Q3 2011

20%

5%

15%

0%

10%

(5%)

(7.5%)
5%

6.3%

(10%)

(13.3)% 1.9% 0.8% (1.3%) (14.2%)

(15%)

0%

(15.5%)

(5%) 10/1/10 12/12/10 2/22/11 5/5/11 7/16/11 9/26/11

(20%) 7/1/11 7/18/11 8/4/11 8/21/11 9/7/11 9/24/11

Technology Consolidators

DJIA

NASDAQ

S&P 500

Source: Capital IQ; Consolidator Index is market-cap weighted and composed of ACN, ADBE, AMZN, APPL, CA, CSCO, CRM, CTXS, DELL, EBAY, EMC, GOOG, HPQ, IBM, MSFT, ORCL, QCOM, SAP, SI, SYMC, YHOO

35

Earnings Growth is Projected to Remain Strong for Tech Consolidators

YoY EPS Growth

110%

90%

70%

50%

30%

10%

2010 Mean 28.9% 2011E Mean 17.5% 2012E Mean 15.8%

(10%) AAPL IBM MSFT ORCL GOOG HPQ DB:SIE QCOM AMZN CSCO EMC
CY2010

SAP

EBAY
CY2011

ACN

DELL
CY2012

YHOO ADBE SYMC CTXS

CA

CRM

Source: Capital IQ; EPS normalized

36

Consolidator M&A Activity is on Pace to Out-Perform 2010 Levels

Technology Consolidators M&A Deals Announced, 2007- 2011 YTD

80
2007 2008

Year

Total Consolidator Deals 141 104 84 137

% of All Technology Deals 6.2% 5.0% 4.3% 6.1%

70 25

2009 2010

60

50

6 2

2011 YTD

113 61

5.8% 5.9%

7 10 8

3 15

2010 YTD

40

8 9 6 11 5 6 7 4 14 3 8 3 6 11 HPQ 3 7 4 1 6 DELL 5 5 3 7 1 AMZN 2007 8 5 1 4 3 EBAY 2008 2 4 3 4 7 YHOO 2009 2 6 1 6 5 ACN 2010 3 3 6 2 6 SAP 2011 4 7 3 3 CA 1 4 2 6 3

26

12

30 6 3 10 15 15 17

8 10

20

11

6 3 2 2 4

4 4 3 5 CTXS

7 5 1 1 2 CRM

13

12

13

0 GOOG MSFT ORCL IBM EMC CSCO

2 2 4 1 4 DB:SIE

5 5 2 1 AAPL

3 1 2 1 3 ADBE

QCOM SYMC

Source: 451 Group and Capital IQ

37

Consolidators Remain Flush With Cash

Current Cash to LTM Revenue and Market Cap Ratios

120.0%

117.4%

103.2% 100.0% 86.8% 80.0% 77.7% 73.4% 66.8% 63.1% 60.0% 58.7% 53.4% 45.8% 44.4% 43.7% 40.0% 21.8% 35.8% 29.8% 29.5% 28.7% 28.3% 24.5% 29.2% 20.0% 23.5% 13.2% 0.0% GOOG CSCO ORCL QCOM MSFT ADBE CA YHOO CTXS EBAY SYMC CRM SAP EMC AAPL DELL ACN DB:SIE AMZN 24.6% 22.8% 15.4% 8.8% 11.6% 19.0% 3.7% 8.7% 20.9% 20.7% 15.8% 11.3% 10.1% 12.3% 8.0% 16.8% 6.5% 5.6% IBM HPQ 27.7%% 29.0%

Cash to LTM Revenue

Cash to Market Cap

Source: Capital IQ; all data as of most recent company filings; includes cash and cash equivalents

38

Technology Consolidators Trading Metrics

($ in millions, except per share price)

Company

Price 6/30/11

% Dec. / Inc. from LTM High Low

37.3% 30.1% 5.2% 8.9% 16.3% 42.8% 14.6% 9.3% 4.4% 16.5% 15.5% 8.3% 23.2% 25.7% 10.7% 16.7% 18.8% 10.4% 6.6% 8.6% 4.3%

Market Cap

Net Cash

Fully Diluted Ent. Val.

Enterprise Value/ Price/Earnings Revenue EBITDA CY10A CY11E CY12E CY10A CY11E CY12E CY10A CY11E CY12E
4.3x 2.3x 2.6x 4.5x 4.0x 2.7x 6.2x 0.8x 0.5x 1.3x 3.6x 2.5x 3.9x 1.3x 0.3x 9.3x 3.1x 2.0x 2.8x 5.0x 1.8x 2.7x 3.1x 9.3x 0.3x 2.7x 2.1x 2.4x 3.5x 3.4x 1.9x 4.6x 0.8x 0.5x 1.3x 3.2x 2.1x 3.1x 1.1x 0.3x 6.9x 3.2x 1.8x 2.6x 4.3x 1.7x 2.4x 2.6x 6.9x 0.3x 2.3x 2.0x 2.2x 2.9x 3.2x 1.4x 4.0x 0.8x 0.5x 1.2x 3.0x 1.9x 2.7x 1.0x 0.3x 5.6x 3.1x 1.7x 2.4x 3.8x 1.6x 2.2x 2.3x 5.6x 0.3x 14.3x 9.4x 5.9x 10.1x 8.9x 38.3x 13.6x 6.3x 3.2x 4.3x 10.1x 9.2x 11.2x 8.3x 3.9x 52.6x 9.7x 5.9x 7.0x 16.6x 5.0x 9.2x 12.1x 52.6x 3.2x 8.2x 8.7x 5.6x 8.5x 7.4x 36.0x 10.4x 5.8x 3.4x 4.2x 9.4x 7.8x 9.6x 7.0x 3.2x 39.2x 9.5x 5.2x 6.2x 13.9x 4.6x 7.8x 10.2x 39.2x 3.2x 7.3x 8.2x 5.0x 7.0x 6.6x 25.9x 9.5x 5.2x 3.4x 3.7x 8.6x 7.0x 8.2x 6.5x 3.3x 28.4x 8.9x 4.6x 5.7x 12.0x 4.3x 7.0x 8.5x 28.4x 3.3x 22.6x 15.3x 11.0x 17.8x 15.5x 85.9x 19.0x 11.6x 4.7x 9.6x 17.3x 16.8x 17.5x 18.5x 9.9x 97.2x 18.4x 11.4x 12.7x 27.0x 11.0x 16.8x 22.4x 97.2x 4.7x 12.6x 13.1x 8.8x 14.5x 12.3x NM 15.1x 10.3x 4.9x 9.5x 14.5x 14.2x 14.7x 14.9x 7.1x 86.8x 17.6x 10.3x 10.6x 23.0x 9.3x 12.9x 16.2x 86.8x 4.9x 11.2x 11.9x 8.2x 12.3x 11.4x 65.4x 13.4x 8.9x 4.8x 8.5x 12.8x 12.4x 12.7x 13.4x 7.2x 63.8x 16.1x 9.3x 9.6x 20.0x 8.2x 11.9x 16.2x 65.4x 4.8x

Apple (AAPL) International Business Machines IBM) Microsoft (MSFT) Google (GOOG) Oracle (ORCL) Amazon.com AMZN) QUALCOMM (QCOM) Siemens (DB:SIE) Hewlett-Packard Company (HPQ) Cisco Systems (CSCO) SAP (DB:SAP) EMC (EMC) eBay IEBAY) Accenture (ACN ) Dell (DELL) Salesforce.com (CRM) Yahoo! (YHOO) Symantec (SYMC) Adobe Systems (ADBE) Citrix Systems (CTXS) CA Technologies (CA) Median Mean High Low Source: Capital IQ

$381.32 174.87 24.89 515.04 28.74 216.23 48.63 67.94 22.45 15.50 38.10 20.99 29.49 52.68 14.14 114.28 13.17 16.30 24.17 54.53 19.41

(9.8%) (5.8%) (15.5%) (19.9%) (21.3%) (11.4%) (18.7%) (31.6%) (54.5%) (37.0%) (17.4%) (26.9%) (16.6%) (17.2%) (19.7%) (28.6%) (30.1%) (20.5%) (32.8%) (38.4%) (24.4%)

$353,518.3 208,843.4 210,051.3 166,300.1 144,981.9 98,154.4 81,552.5 59,380.7 44,607.4 83,434.3 45,325.6 43,343.2 38,005.5 33,948.2 25,797.2 15,484.9 16,628.6 12,078.5 11,936.8 10,267.3 9,796.1

$28,395.0 (17,981.0) 38,233.0 32,981.0 16,871.0 6,355.0 9,451.0 (2,724.0) (12,810.0) 27,763.0 89.0 1,884.9 1,851.2 5,701.6 7,388.0 47.2 2,513.5 298.0 1,202.9 898.4 1,549.0

$325,123.3 226,908.4 171,818.3 133,319.1 128,457.9 91,799.4 72,131.5 62,654.7 57,812.4 55,671.3 45,246.6 42,348.2 36,154.3 28,718.5 18,409.2 15,437.8 14,155.1 11,860.5 10,733.9 9,368.9 8,247.1

39

50 Largest Technology M&A Transactions in the Last Twelve Months 14 of the 50 largest M&A transactions in the last twelve months occurred in Q311
($ in millions)

Date

Target/Acquirer

Target Business Description

Enterprise Value (1)

$39,000.0 $10,534.8

Revenue LTM NTM

N/A $1,053.0

Enterprise Value/ Revenue LTM

1.8x 11.3x

NTM
N/A 10.0x

03/20/11 08/18/11

T-Mobile USA / AT&T Autonomy / HP2 Motorola Mobility / Google2 Skype Technologies / Microsoft National Semiconductor Corporation / Texas Instruments2 Insight Communications / Time Warner Kabel Baden-Wurttemberg GmbH / Liberty Global Varian Semiconductor Equipment Associates / Applied Materials2 Hitachi Global Storage Technologies / Western Digital Emdeon [NYSE: EM] / Blackstone Group CommScope / Carlyle Group2 NetLogic Microsystems / Broadcom Corporation2 Atheros Communications / Qualcomm

Provider of wireless telephone and broadband internet service for businesses and consumers in the US. Also distributes a range of mobile devices Provider of enterprise search and data analysis software and software as a service (SaaS) for businesses, educational institutions and government agencies globally Provider of broad range of mobile telephones, smartphones, tablet PCs, wireless accessories, software, and video and data delivery services for businesses and consumers Provider of downloadable peer-to-peer VoIP software and services for businesses and consumers globally Provider of a broad range of energy-efficient analog and mixed-signal semiconductors for computers and electronics manufacturers Provider of cable television, broadband Internet and fixed-line telephone service for consumers in businesses in the Midwestern US Provider of cable TV, broadband internet and fixed-line and mobile telephone service for businesses and consumers in Germany Manufacturers wafer fabrication and ion implantation systems for semiconductor manufacturers globally Provider of a range of external and internal hard drives for computer and electronics manufacturers, businesses and consumers globally Provider of medical information transmission, collaboration, communication and electronic transaction and payment processing software for the healthcare sector. Also provides Web-based medical information Provider of a broad range of telecom infrastructure systems and equipment for use in wired and wireless networks for telecom services providers globally Provider of a range of network communications processing semiconductors for computer and electronics manufacturers globally Provider of mixed-signal and digital complementary metal-oxide semiconductor chipsets

$21,347.0 $931.1

08/15/11

$9,588.2

$12,740.0

$14,049.0

0.8x

0.7x

05/10/11 04/04/11 08/15/11 03/21/11 05/04/11

$9,082.4 $6,642.3 $4,715.2 $4,480.0 $4,479.4

$859.8 $1,544.8 $1,063.6 N/A $1,099.2

N/A $1,514.8 N/A N/A $1,285.0

10.6x 4.3x 4.4x N/A 4.1x

N/A 4.4x N/A N/A 3.5x

03/07/11 08/04/11

$4,250.3 $3,812.4

$6,003.0 $1,036.4

N/A N/A

0.7x 3.7x

N/A N/A

10/27/10 09/12/11 01/05/11

$3,763.6 $3,460.1 $3,100.0

$3,130.1 $402.8 $885.7

$3,293.1 $424.0 N/A

1.2x 8.6x 3.5x

1.1x 8.2x N/A

(1) Transaction value used as a proxy where enterprise value not available (2) Target operating metrics based on estimates (3) Majority acquisition; enterprise value reflects implied company value based on 451 Group estimates Source: 451 Group and company disclosures; includes announced transactions involving North American acquirers or targets and excludes telecommunications services transactions

40

50 Largest Technology M&A Transactions in the Last Twelve Months (contd)

($ in millions)

Date
($ in millions) 04/27/11 Savvis / CenturyLink2

Target/Acquirer

Target Business Description

Provider of colocation and application hosting, data backup and recovery and managed security services for businesses Provider of wholesale broadband Internet, VoIP and fixed-line telephone services for businesses and government agencies Provider of mobile messaging, roaming and network gateway and transport infrastructure services for the wireless telecom service providers Provides outsourced e-commerce business and customer care services, including managed hosting, payment processing, logistics, contact center, Web design and content management, for businesses Provider of smart grid energy metering systems for use by power utilities provider for the purposes of monitoring customer energy use Provider of scalable network attached storage disk systems and software

Enterprise Value (1)

$3,090.6

Revenue LTM
$933.0

Enterprise Value/ Revenue LTM

3.3x

NTM
$1,058.0

NTM
2.9x

04/11/11

Global Crossing / Level 3 Communications2 Syniverse Technologies / Carlyle Group2 GSI Commerce / eBay Landis+Gyr / Toshiba Isilon Systems / EMC2 PAETEC / Windstream Corp Telvent / Schneider Electric Hughes Communications / EchoStar2 Qualcomm (spectrum licenses) / AT&T Terremark Worldwide / Verizon Communications SRA International / Providence Equity2 Lawson Software / Infor Global Solutions SunGard Higher Education / Datatel

$2,973.2

$2,609.0

$2,762.6

1.1x

1.1x

10/28/10

$2,556.8

$568.4

$672.6

4.5x

3.8x

03/28/11

$2,324.7

$1,358.0

N/A

1.7x

N/A

05/19/11

$2,300.0

$1,590.0

N/A

1.4x

N/A

11/15/10

$2,250.0

$175.7

$200.0

12.8x

11.3x

08/01/11

Provider of internet, VoIP and wireless telephone service for businesses in the US Provider of GIS and utility management software and a broad range of systems, network and security integration and IT consulting services Provider of satellite broadband Internet service, telecom network services and a content delivery network Provider of 4G wireless broadband Internet service for businesses and consumers in the US Provides co-location and application hosting, managed network peering and interconnect, managed firewall and intrusion prevention, data backup and recovery, and outsourced e-discovery services Provider of systems, network and security integration, software development, tech support and IT consulting services as well as anti-malware, air-traffic management and data capture software Provides ERP, CRM, business process management, SCM and product lifestyle management software for businesses globally Provides administrative and academic software and IT management services for educational institutions in over 40 countries

$2,234.3

$1,729.3

N/A

1.3x

N/A

06/01/11

$2,171.9

$969.6

N/A

2.2x

N/A

02/14/11

$1,937.0

$1,043.3

$1,139.3

1.9x

1.7x

12/20/10

$1,925.0

N/A

N/A

N/A

N/A

01/27/11

$1,854.2

$320.7

N/A

5.8x

N/A

04/01/11

$1,819.4

$1,695.9

$1,794.0

1.1x

1.0x

03/11/11

$1,781.2

$745.1

N/A

2.4x

N/A

08/05/11

$1,775.0

N/A

N/A

N/A

N/A

(1) Transaction value used as a proxy where enterprise value not available (2) Target operating metrics based on estimates (3) Majority acquisition; enterprise value reflects implied company value based on 451 Group estimates Source: 451 Group and company disclosures; includes announced transactions involving North American acquirers or targets and excludes telecommunications services transactions

41

50 Largest Technology M&A Transactions in the Last Twelve Months (contd)

($ in millions)

Date

Target/Acquirer

Target Business Description

Enterprise Value (1)

$1,751.1

Revenue LTM NTM

N/A

Enterprise Value/ Revenue LTM

3.8x

NTM
N/A

07/01/11

Blackboard / Providence Equity Yageo / Orion Taiwan2 AUSTAR [Liberty Global] / FOXTEL Mentor Graphics / Carl Icahn Activant Solutions / Apax Partners Oberthur Card Systems / Advent International Samsung Electronics / Seagate2 TerreStar Networks / DISH Network Novell / Attachmate2 Niscayah Group / Stanley Black & Decker Keane / NTT Data Monitronics Security / Ascent Media

Provides online learning course creation, collaboration and transaction processing software for the K-12 and higher education sectors. Also provides training course creation software for corporations and government agencies Provider of electronic components, including chip and leaded resistors, electrolytic capacitors and inductors, for computer and electronics manufacturers Provider of satellite-based cable TV, dial-up Internet and mobile telephone services for consumers in Australia Provides chip and embedded systems electronic design automation software for semiconductor OEMs. Also provides related systems integration services Provider of a broad range of ERP, SCM and CRM software

$465.0

04/06/11

$1,653.3

$888.9

$979.1

1.9x

1.7x

05/25/11

$1,644.7

$136.8

N/A

12.0x

N/A

02/22/11

$1,489.2

$794.8

N/A

1.9x

N/A

04/04/11

$1,451.6

$372.5

N/A

3.9x

N/A

08/05/11

Provides smart card hardware and software security systems to mobile payment operators in a broad range of sectors and financial institutions globally Provides disk-based storage systems for businesses and consumers globally

$1,446.8

N/A

N/A

N/A

N/A

04/19/11

$1,375.0

$3,100.0

$2,400.0

0.4x

0.6x

07/08/11

Providers satelite-based wireless telephone, internet and data transmission services for businesses and government agencies in the US and Canada. Provider of a systems management software, including Linux desktop productivity and server management, application integration, collaboration and identity management for enterprises Provides physical security systems integration services for businesses globally. Areas of expertise include biometric, access control and CCTV surveillance systems Provides software development, business process outsourcing, systems integration and tech support services for businesses and government agencies globally Provider of security alarm systems and related monitoring services for businesses and consumers in the US

$1,375.0

N/A

N/A

N/A

N/A

11/22/10

$1,204.8

$821.0

$795.4

1.5x

1.5x

06/27/11

$1,200.0

$1,017.4

N/A

1.2x

N/A

10/29/10

$1,200.0

$790.0

N/A

1.5x

N/A

12/20/10

$1,200.0

$272.0

N/A

4.4x

N/A

(1) Transaction value used as a proxy where enterprise value not available (2) Target operating metrics based on estimates (3) Majority acquisition; enterprise value reflects implied company value based on 451 Group estimates Source: 451 Group and company disclosures; includes announced transactions involving North American acquirers or targets and excludes telecommunications services transactions

42

50 Largest Technology M&A Transactions in the Last Twelve Months (contd)

($ in millions)

Date

Target/Acquirer

Target Business Description

Enterprise Value (1)

$1,150.0 $1,135.2 $1,132.2 $1,124.5

Revenue LTM NTM

N/A N/A N/A N/A

Enterprise Value/ Revenue LTM

1.6x 1.6x 0.2x 3.2x

NTM
N/A N/A N/A N/A

06/14/11 01/10/11 12/14/10 07/11/11

Telcordia Technologies / Ericsson Patni Computer Systems / iGate Global Solutions Siemens IT Solutions and Services / Atos Origin Radiant Systems, Inc. / NCR Corporation Epicor Software / Apax Partners2 optionsXpress Holdings / Charles Schwab AES Atimus / TIM Participacoes DBSD North America / DISH Network Travelex Global Business Payments / Western Union Holdings2 Vizada / Astrium2 Art Technology Group / Oracle2 Art Technology Group / Oracle2

Provider of OSS software for telecom service providers globally Provider of software and product development services for business globally across IT, medical devices, mobility and industrial automation markets Provider of IT consulting, security and systems integration and tech support services for businesses and government agencies globally Provider of touchscreen point of sale retail systems and kiosks and related software and SaaS for the hospitality, sports, entertainment, energy and retail sectors globally Provider of a broad range of ERP, CRM, HR and SCM software and SaaS Provider of online investment brokerage services, specializing in equity options and futures, for investors through www.optionsxpress.com Provider of the operations of a fiber-optic network for telecom service providers in the Sao Paulo and Rio de Janeiro metropolitan areas Provider of satellite communications network that enables wireless telecom service providers in the US to provide voice, data, and Internet services to subscribers Provider of transaction processing, money transfer and foreign currency exchange services for businesses and consumers globally Provider of satellite-based telephone and internet services for use on land, air and sea. Services are sold to telecommunication services providers globally Provider of a broad range of e-commerce software SaaS for online payments, merchandising, business analytics, and customer service automation Provider of a broad range of e-commerce software SaaS for online payments, merchandising, business analytics, and customer service automation

$739.0 $694.1 $5,654.8 $354.0

04/04/11 03/21/11 07/08/11 02/01/11

$1,116.7 $1,056.1 $1,013.3 $1,000.0

$440.3 $231.4 $126.3 N/A

$477.2 N/A N/A N/A

2.5x 4.6x 8.0x N/A

2.3x N/A N/A N/A

07/05/11 08/01/11 11/02/10 11/02/10

$973.6 $964.6 $810.9 $810.9 Median Mean High Low

N/A N/A $193.9 $193.9

$241.0 $660.0 $223.6 $223.6

N/A N/A 4.2x 4.2x 2.5x 3.6x 12.8x 0.2x

4.0x 1.5x 3.6x 3.6x 2.3x 3.4x 11.3x 0.6x

(1) Transaction value used as a proxy where enterprise value not available (2) Target operating metrics based on estimates (3) Majority acquisition; enterprise value reflects implied company value based on 451 Group estimates Source: 451 Group and company disclosures; includes announced transactions involving North American acquirers or targets and excludes telecommunications services transactions

43

Appendix

Footnotes:
Technology Consolidator Index composed of ACN, ADBE, AMZN, AAPL, CA, CSCO, CRM, CTXS, DELL, EBAY, EMC, GOOG, HPQ, IBM, MSFT, ORCL, QCOM, SAP, SI, SYMC, YHOO Storage Index composed of ALTR, BMC, BRCD, CML, CVLT, DELL, ELX, EMC, FIO, LSI, MRVL, NTAP, QLGC, QSFT, SNDK, STEC, STX, SYMC, TDC Communication Equipment Index composed of ADTN, ALU, ARRS, BRCD, CIEN, CMVT, CSCO, ERIC, FNSR, HRS, JDSU, JNPR, NOK1V, PLCM, QCOM, RIMM, RVBD, TLAB Security Index composed of BCSI, CA, CHKP, EMC, FFIV, FIRE, FTNT, IMFE, NOVL, NTCT, QQ, RVBD, SYMC, TMICY, VDSI, VRSN, WBSN Semiconductor Index composed of ADI, ALTR, AMD, BRCM, FSL, INTC, LLTC, LSI, MCHP, MRVL, MU, MXIM, NSM, NVDA, ONNN, QCOM, SLAB, STM, SWKS, TXN, XLNX Internet/Digital Media Index composed of ACOM, ACTV, AMTD, AMZN, AOL, AWAY, CPRT, DRIV, EBAY, ETFC, EXPE, GOOG, IACI, LNKD, MWW, NFLX, NILE, OPEN, OWW, P, PCLN, RATE, SFLY, TZOO, VCLK, VPRT, UNTD, WBMD, YHOO IT Services Index composed of ACN, ADP, CAP, CSC, CTSH, DOX, FIS, FISV, GPN, HCLTCH, HPQ, IBM, INFY, LPS, NMR, NTT, PAYX, SAI, WIT Infrastructure Software Index composed of AKAM, BMC, CA, CML, CPWR, CTXS, CVLT, FFIV, GUID, INTU, IBM, MSFT, NTCT, ORCL, QSFT, RDWR, RHT, TIBX, VMW Application Software Index composed of ADBE, ADSK, ARBA, AZPN, BLKB, CNQR, CRM, INTU, JDAS, MSFT, ORCL, OTEX, PMTC, PRGS, SAP, SFSF, TLEO MoneyTree deals are collected via collaboration between PricewaterhouseCoopers and the National Venture Capital Association based upon data provided by Thomson Reuters MoneyTree deals measure cash-for-equity investments by the professional venture capital community in private emerging companies in the U.S. MoneyTree results exclude non-U.S. companies, non-cash investment, buyouts and other forms of non-Venture Private Equity investments MoneyTree deals exclude angel investment and direct investment by corporations, unless they are co-invested in an otherwise qualifying round Venture capital investment industries are aggregates of MoneyTree industry classifications as follows: Technology includes Software, Semiconductors, IT Services, Computers & Peripherals, Electronics/Instrumentation Biotech/Media includes Biotechnology, Medical Devices & Equipment, Healthcare Services Telecom/Media includes Telecommunications, Media & Entertainment Financial/Business Services includes Financial Services, Business Products & Services Industrial/Energy includes Industrial/Energy Consumer/Retail includes Consumer Products and Services, Retailing/Distribution Historical M&A deal volume, transaction multiple, venture capital investment, and fund commitment data is continuously updated and subject to change

44

David Lavallee Co-Founder, Managing Director (617) 375-4201 david.lavallee@morgankeegan.com

Peter Falvey Co-Founder, Managing Director (617) 375-4202 peter.falvey@morgankeegan.com

Robert Abbe Managing Director (415) 616-4703 robert.abbe@morgankeegan.com

Michael Barker Managing Director (415) 616-4701 michael.barker@morgankeegan.com

Aamer Hai Managing Director (415) 616-4707 aamer.hai@morgankeegan.com

Alex Hart Managing Director (617) 375-4218 alex.hart@morgankeegan.com

Mihir Jobalia Managing Director (415) 616-4715 mihir.jobalia@morgankeegan.com

Rodd Langenhagen Managing Director (617) 375-4215 rcl@morgankeegan.com

Mike MacKeen Managing Director (617) 375-4207 mike.mackeen@morgankeegan.com

Tom Olivier Managing Director (617) 375-4205 tom.olivier@morgankeegan.com

Bill Rodoni Managing Director (415) 616-4702 bill.rodoni@morgankeegan.com

Josh Tanzer Managing Director (310) 228-1971 josh.tanzer@morgankeegan.com

John Paul Ditty Director (415) 616-4706 jp.ditty@rmorgankeegan.com

Craig Rosenblatt Per-Ake Stahl Director Director (310) 228-1978 (415) 616-4714 craig.rosenblatt@morgankeegan.com per-ake.stahl@morgankeegan.com

Bob Berstein Vice President (617) 375-4219 bob.berstein@morgankeegan.com Laura Boyd Vice President (415) 616-4704 laura.boyd@morgankeegan.com

Amy Cozamanis Vice President (310) 228-1976 amy.cozamanis@morgankeegan.com Christopher OBrien Vice President (617) 375-4224 christopher.obrien@morgankeegan.com

Nicholas Hailey Vice President (212) 314-0479 nicholas.hailey@morgankeegan.com Charles Ruppert Vice President (415) 616-4712 charles.ruppert@morgankeegan.com

Jason Myler Vice President (617) 375-4208 jason.myler@morgankeegan.com Ravindra Bansal Associate Vice President (617) 375-4233 ravindra.bansal@morgankeegan.com

Jeffrey Cook Associate (617) 375-4234 jeffrey.cook@morgankeegan.com

Ankush Gupta Associate (416) 616-4722 ankush.gupta@morgankeegan.com

BJ Terry Associate (310) 228-1975 bj.terry@morgankeegan.com

Trevor Wahlbrink Associate (617) 375-4206 trevor.wahlbrink@morgankeegan.com