IPO reports -- DIVX terms set, others include NMX, CXP, APKT, BARE, KBW, EHTH, LGNX,

LOCO, NTK, VCG -- eight (8) have after tax profit margins of 10% or more

IPO terms set -- DIVX

DivX (DIVX)

DIVX

compression-decompression software

Post-IPO shrs:33mm

San Deigo, CA

2003

2004

2005

6mos June

IPO Mkt

Rev ($mm)

$8

$16

$33

$27

Cap (mm)

Gross profit %

75%

78%

89%

94%

$434

Income ($mm)

-$4

-$4

$2

$6

@$13

Net income %

-52%

-26%

7%

22%

VALUATION RATIOS

IPO Mrkt

Price /

Price /

Price /

% offered

Cap (mm)

Sales

Earnings

BookValue

TangibleBV

in IPO

DivX (DIVX)

$434

8.0

36

3.6

3.7

27%

===========================================================

IPO Internal growth

IPO ranked by recent profit margins

Continental Res (CXP)

Oil & gas exploration

33%

NYMEX Holdings (NMX)

Futures exchange and clearinghouse

30%

Acme Packet (APKT)

VoIP hardware/software

30%

DivX (DIVX)

Compression-decompression softwr

22%

Bare Escentuals (BARE)

Mineral-based cosmetics

13%

KBW (KBW)

Investment Bank--financial services

10%

eHealth (EHTH)

Online health insurance broker

10%

Logan's Roadhse (LGNX)

134 roadhouse restaurants

3%

IPO Leveraged buyouts

El Pollo Loco (LOCO)

Mexican fast food, 340 restaurants

11%

NTK Holdings (NTK)

Ventilation/heating & tech products

5%

Vanguard Car Rental (VCG)

Alamo/National car rental

1%

Note: in process, September 4, 2006

===========================================================

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Use 'Edit, find on this page'

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IPO internal growth

Continental Resources

(CXP)

Proposed IPO amount($mm)

oil & gas exploration

$575

Enid, OK

2003

2004

2005

6mos June

Rev ($mm)

$318

$419

$376

$229

Income ($mm)

-$1

$17

$121

$75

Net income %*

0%

4%

32%

33%

*pro-forma after tax

EBITDAX ($mm)

$89

$116

$285

$175

Net income before interest expense, income taxes (when applicable), depreciation,

depletion, amortization and accretion, property impairments, exploration expense

and non-cash compensation expense.

Lead underwriters:

JPMorgan/Merrill Lynch

Business

. Oil and natural gas exploration and production company with operations in the Rocky Mountain,

Mid-Continent and Gulf Coast regions of the United States.

. Focuses exploration activities in large new or developing plays that provide the opportunity to

acquire undeveloped acreage positions for future drilling operations.

Successes

. Has been successful in targeting large repeatable resource plays where horizontal drilling,

advanced fracture stimulation and enhanced recovery technologies provide the means to

economically develop and produce oil and natural gas reserves from unconventional formations

. As a result of these efforts, has grown substantially through the drillbit, adding 86.2 MMBoe of

proved oil and natural gas reserves through extensions and discoveries from January 1, 2001

through December 31, 2005

. Compared to 4.7 MMBoe added through proved reserve purchases during that same period.

NYMEX Holdings (NMX)

Proposed IPO amount($mm)

futures exchange and clearinghouse

$250

New York, NY

2003

2004

2005

6mos June

Rev ($mm)

$188

$241

$347

$239

Income ($mm)

$9

$27

$71

$72

Net income %

4.7%

11.4%

20.5%

30%

Lead underwriters:

JPMorgan/Merrill Lynch

Business

. Largest physical commodity-based futures exchange and clearinghouse in the world and the

third-largest futures exchange in the United States measured by 2005 contract volume.

. In 2005, was the world's largest exchange for the trading of energy futures and options contracts

. 63% of all globally listed energy futures and options contracts were traded on NMX's Exchange.

. 77.2 million contracts of NMX light sweet crude oil futures and options products traded and

cleared in 2005, making light sweet crude oil the largest and most liquid global benchmark for

energy futures and options.

. In 2005, NMX was also the largest exchange in the world for the trading and clearing of precious

metals based on product volume, as adjusted for contract size, with 30.8 million contracts traded

and cleared.

. NMX gold futures contract is the most liquid precious metals futures contract in the world with

approximately 19.6 million contracts traded and cleared in 2005.

Two divisions

. York Mercantile Exchange, Inc. which NMX refers to as NYMEX Exchange or NYMEX

Division. . On the NYMEX Exchange, customers trade primarily energy futures and options

contracts, including contracts for crude oil, unleaded gasoline, heating oil and natural gas

. Commodity Exchange, Inc., which NMX refers to as COMEX or COMEX Division. On

COMEX, customers trade metals futures and options contracts, including contracts for gold,

silver, copper and aluminum.

Competition

. The top 15 futures exchanges in order of volume of futures and options on futures contracts

traded for the year ended December 31, 2005 based on publicly reported data are: CME, Eurex,

CBOT, Euronext.liffe, Bolsa de Mercadorias & Futuros, NYMEX, National Stock Exchange of

India, Mexican Derivatives Exchange, Dalian Commodity Exchange, London Metal Exchange,

Tokyo Commodity Exchange, Sydney Futures Exchange, Korea Stock and Exchange, ICE and

SAFEX.

. Based on this data, in the United States, the top three futures exchanges are CME, CBOT,

NYMEX.

Compare & contrast with NMX

. Chicago Mercantile Exchange Holdings Inc. (CME)

. CBOT Holdings Inc. (BOT)

(a) CBOT August Volume Reaches Second Highest Monthly Total in Exchange History - The

CBOT announced September 1 that average daily volume (ADV) reached 3,341,170 contracts in

August an increase of 23 percent compared with August 2005. Total volume for the month reaches

second highest monthly total in CBOT history.

(b) Sept 1, CBOT(R) to Launch New Futures Contract Based on the Dow Jones-AIG Commodity

Index(SM); Contract to Enhance Exposure to Global Commodities Markets

. InterContinental Exchange, Inc. (ICE)

Acme Packet (APKT)

Proposed IPO amount($mm)

VoIP hardware/software

$85

Burlington, MA

2003

2004

2005

6mos June

Rev ($mm)

$3

$16

$36

$38

Income ($mm)

-$8

-$7

$0

$11

Net income %

-227.3%

-43.8%

-0.1%

30%

Lead underwriters:

Goldman Sachs/Credit Suisse

Business

. The leading provider of session border controllers, or SBCs, that enable interactive

communications service providers to deliver secure and high quality interactive

communications—voice, video and other real-time multimedia sessions—across Internet Protocol,

or IP, network borders.

. APKT’s Net-Net products, which consist of hardware and proprietary software, serve as a central

element in unifying the separate IP networks that comprise wireline, wireless and cable networks

. Interactive communications service providers can use our products to create a premium service

tier that delivers next-generation interactive communications services, such as Voice over IP, or

VoIP, with the same quality assurance and security as they historically have offered for voice

services over their legacy telephone networks.

Network border deployment

. SBCs (session border controllers) are deployed at the borders between IP networks, such as

between two service providers or between a service provider and its business, residential or mobile

customers.

. SBCs are the only network element currently capable of integrating the control of signaling

messages and media flows. This capability complements the roles and functionality of routers,

softswitches and data firewalls that operate within the same network.

Shipments & deployment to service providers

. APKT began shipping Net-Net products in 2002. Since that time, more than 275 interactive

communications service providers in over 55 countries have purchased our products.

. The type of interactive communications service providers which have deployed APKT products

include cable service providers, wireline and mobile wireless telecommunications service

providers, information service providers and data transport service providers

. Sells products and support services through 30 distribution partners and our direct sales force.

Competition

While APKT believes it is currently the market leader, APKT expectx competition to persist and

intensify in the future as the SBC market grows and gains greater attention

. Primary competitors generally consist of start-up vendors, such as Newport Networks and

NexTone and more established network equipment and component companies, such as Ditech

Networks, through its acquisition of Jasomi, Juniper Networks, through its acquisition of Kagoor

and AudioCodes, through its pending acquisition of Netrake.

. APKT also competes with some of the companies with which it has distribution partnerships,

such as Sonus Networks.

. Cisco Systems recently announced a new product for the SBC market.

Intellectual property

. Has been issued four U.S. patents, allowed two U.S. patents and ten other U.S. provisional and

non-provisional patent applications are pending, as well as counterparts pending in other

jurisdictions around the world.

. Once a patent is "allowed" by the U.S. Patent Office, the patent will be issued upon completion

of certain administrative procedures.

DivX (DIVX)

DIVX

compression-decompression software

Post-IPO shrs:33mm

San Deigo, CA

2003

2004

2005

6mos June

IPO Mkt

Rev ($mm)

$8

$16

$33

$27

Cap (mm)

Gross profit %

75%

78%

89%

94%

$434

Income ($mm)

-$4

-$4

$2

$6

@$13

Net income %

-52%

-26%

7%

22%

VALUATION RATIOS

IPO Mrkt

Price /

Price /

Price /

% offered

Cap (mm)

Sales

Earnings

BookValue

TangibleBV

in IPO

DivX (DIVX)

$434

8.0

36

3.6

3.7

27%

Lead underwriters:

JPMorgan

Business

. First product offering was a video compression-decompression software library, or codec, which

has been actively sought out and downloaded by consumers over 180 million times in the last four

years, including over 50 million times during the last twelve months.

. Have since built on the success of DIVX’s codec [an analog-to-digital (A/D) and digital-to

analog (D/A) converter for translating the signals from the outside world to digital, and back

again].with other consumer software, including the DivX Player application.

. During the second quarter of 2006, DIVX distributed over 15 million copies of the DivX Player

application to consumers from the website, DivX.com, which averaged over five million unique

visitors per month during that same period.

Industry overview

. DIVX believes three general trends—digitization, connectedness and openness—are converging

to create a historic transformation of content.

. The cost to produce, distribute and market content today is lower than it was in the past, allowing

a larger and more diverse group of people to create and generate revenue from quality content.

. Content is also becoming more international, as people around the world become engaged

consumers of global content and publish their own content to a global audience.

Sources of revenues

. Three of these are derived from technologies, including technology licensing to manufacturers of

consumer hardware devices, software licensing to independent software vendors and consumers,

and services relating to digital media distribution over the Internet that is made possible via the

deployment of DIVX’s technologies.

Licenses technology

. DIVX also licenses its technologies to consumer hardware device manufacturers and certify their

products to ensure the interoperable support of DivX-encoded content.

. Over 46 million DivX Certified hardware devices have been shipped worldwide through June 30,

2006, including over 10 million devices reported to DIVX by its customers during the second

quarter of 2006.

. Customers include major consumer video hardware original equipment manufacturers such as

Koninklijke Philips Electronics, or Philips, and Samsung Electronics.

. DIVX is entitled to receive a royalty for each DivX Certified device customers ship.

Business segments

. Technology licensing revenues from consumer hardware device manufacturers comprised 70%,

71%, 55% and 22% of total revenues in the first half of 2006 and in the full years 2005, 2004 and

2003, respectively

. License revenue is derived primarily from per-unit royalties received from original equipment

manufacturers.

. DIVX licenses its technologies to manufacturers of integrated circuits designed for consumer

hardware products, as well as consumer hardware device manufacturers who have licensed DIVX

technologies for incorporation in products such as DVD players, personal media players, portable

media players, and digital still cameras.

. Licensing arrangements typically entitle us to receive a royalty for each product unit

incorporating technologies that is shipped by original equipment manufacturer partners.

. Though significantly smaller in magnitude than royalties from unit-based shipments, DIVX also

receive technology fees from integrated circuit manufacturers, original design manufacturers and

original equipment manufacturers for rights to include DIVX technologies in their products and

for DivX product certifications.

Cyclical

. Because royalties are generated by the shipment volumes of consumer hardware device

customers, and because sales by consumer hardware device manufacturers are highly cyclical,

DIVX expects revenues relating to consumer hardware devices to be highly cyclical, with second

quarter revenues in any calendar year being generally lower than any other quarter in that calendar

year.

Software license revenues

. Revenues from software licensing comprised 9%, 11%, 20% and 33% of total revenues in the

first half of 2006 and in the full years 2005, 2004 and 2003, respectively.

. While software licensing revenues as a percentage of total revenues have declined, in absolute

dollars such revenues have increased for each period presented.

. Software license revenues are derived primarily through per-unit royalties from independent

software vendors and to a lesser extent from direct software sales to consumers via DIVX’s

website.

. DIVX works with independent software vendors to help them incorporate DIVX technologies

into their video creation, editing and playback software products.

. Licensing arrangements typically entitle DIVX to receive a royalty for each DivX-enabled

software unit shipped by independent software vendor partners.

. DIVX also offers software to consumers via the DIVX website both for a fee and on a free or

trial basis.

Advertising and product distribution revenues

. Advertising and distribution revenues comprised approximately 20%, 15%, 17% and 28% of

total revenues in the first half of 2006 and in the full years 2005, 2004 and 2003, respectively.

. In absolute dollars, advertising and product distribution revenues have increased for each period

presented.

Customer concentration

. Derived 79%, 82%, 75% and 55% of total revenues from licensing technology in the first half of

2006 and in the full years 2005, 2004 and 2003, respectively.

. Most of revenue from the licensing of technologies to consumer hardware device manufacturers,

software vendors and consumers.

. In the first half of 2006, two customers accounted for 20% and 10%, respectively, of revenues. In

2005, the same two customers accounted for 15% and 13%, respectively, of revenues. In 2004, the

same two customers accounted for 10% and 13%, respectively, of revenues. In 2003, a third

customer accounted for 27% of revenues.

. In 2005 and in the first half of 2006, Philips accounted for approximately 13% and 10%,

respectively, of DIVX total revenues, and top 10 licensees by revenue accounted for

41% and 48%, respectively, of total revenues.

International sales

. For the first half of 2006 and for the full years 2005, 2004 and 2003, revenues outside North

America comprised 75%, 78%, 63% and 39%, respectively, of total revenues.

. In particular, a large number of such consumer hardware device manufacturers are located in

Asia, which is reflected in the large percentage of international revenues derived from Asia, which

comprised 59%, 56%, 49% and 26% of sales for the first half of 2006 and for the full years 2005,

2004 and 2003, respectively

Competition

. Potential competitors currently include Apple Computer, Google, Microsoft, News Corporation,

Sony and Yahoo!.

. For example, DIVX’s digital rights management technology competes with technologies from

companies such as Apple Computer, ContentGuard, Intertrust Technologies, Microsoft, Nagra

Audio, NDS Group and 4C Entity, as well as the internal development efforts of certain of

DIVX’s licensees.

. Similarly, content distribution providers, such as Amazon.com, Apple Computer, CinemaNow,

Google, MovieLink, Netflix and subscription entertainment services and cable and satellite

providers compete against DIVX content distribution services. In addition, Google, Microsoft,

Yahoo!, MySpace.com, a subsidiary of News Corporation, and YouTube offer online communities

that compete with Stage6.com.

. DIVX’s proprietary technologies also compete with other video compression technologies,

including other implementations of MPEG-4 or implementations of H.264/AVC. A number of

companies such as Adobe Systems, Google, Microsoft and RealNetworks offer other competing

video formats.

Intellectual property

Trademarks.

As of June 30, 2006, had 21 trademark registrations and 40 pending trademark applications in the

U.S. and 29 other countries for a variety of word marks, logos and slogans.

Copyrights.

. Has a significant amount of copyright-protected materials, including among other things,

software, codecs and textual material

. Has also obtained U.S. copyright registrations on 16 software products as of June 30, 2006.

Patents

. As of June 30, 2006, had one issued U.S. patent.

. Are in the process of applying for additional patent coverage for various aspects of technology,

including technologies for digital rights management, digital media formats, mobile content

delivery, connected devices and video encoding and decoding.

. As a result, as of June 30, 2006, had 31 U.S. and international patent applications on file relating

to various aspects of DIVX’s technology.

MPEG LA technology license.

. Has entered into a license agreement with MPEG LA, effective January 2000, under its MPEG-4

Part 2 Visual Patent Portfolio.

. Agreement with MPEG LA will expire on December 31, 2008, unless the agreement is earlier

terminated

. Upon expiration, the license agreement may be renewed for successive five year periods upon

notice of renewal to DIVX by MPEG LA.

. For the first half of 2006 and for the full years 2005, 2004 and 2003, DIVX paid $1.5 million,

$2.0 million, $1.0 million and $0 to MPEG LA under this license agreement

Use of $87.4mm in IPO proceeds from sale of 7.5mm shares

(shareholders intend to offer 1.6mm shares)

. For working capital and general corporate purposes.

. In addition, may use a portion of the net proceeds to acquire or license products, technologies or

businesses, but currently has no agreements or commitments relating to material acquisitions or

licenses

Bare Escentuals (BARE)

Proposed IPO amount($mm)

Mineral-based cosmetics

$287.50

San Francisco, CA

2003

2004

2005

6mos June

Rev ($mm)

$95

$142

$259

$186

Income ($mm)

$12

$4

$24

$25

Net income %*

13%

3%

9%

13%

Lead underwriters:

Goldman Sachs/CIBC World Markets

Business

. One of the fastest growing prestige beauty companies in the U.S. and a leader by sales and

consumer awareness in mineral-based cosmetics, including skin care, and body care products

under the BARE i.d. bareMinerals, i.d., RareMinerals and namesake Bare Escentuals brands, and

professional skin care products under the md formulations brand.

Differentiated

. BARE believes its i.d. bareMinerals cosmetics, particularly the core foundation products, offer a

highly differentiated, healthy and lightweight alternative to conventional liquid- or cream-based

cosmetics while providing light to maximum coverage for all skin types.

. As such, BARE believes its foundation products have broad appeal to women of all ages

including women who did not previously wear foundation before using i.d. bareMinerals.

Marketing

. BARE utilizes a distinctive marketing strategy and multi-channel distribution model consisting

of infomercials, home shopping television, specialty beauty retailers, company-owned boutiques

and spas and salons.

. This model has enabled BARE to increase brand awareness, consumer loyalty and market share

and achieve favorable operating margins.

. Bare Escentuals was the top-selling cosmetics brand company-wide at leading specialty beauty

retailers Sephora and Ulta during 2005.

. Over the last five fiscal years, BARE has increased net sales approximately 87.5% on a

compound annual basis, and during the fiscal year ended January 1, 2006, operating income was

29.8% of net sales

Competition

. Competes with the major makeup and skin care companies which market many brands including

Avon, Bobbi Brown, Chanel, Clarins, Clinique, Estée Lauder, L'Oréal, Lancôme, M.A.C.,

Neutrogena, Shiseido and Smashbox, as well as many specialty players in the beauty industry.

. Also competes with several smaller mineral-based cosmetics brands.

KBW (KBW)

Proposed IPO amount($mm)

Investment Bank--financial services

$100.00

New York, NY

2003

2004

2005

3mosMarch

Rev ($mm)

$272

$301

$308

$101

Income ($mm)

$38

$31

$17

$10

Net income %*

14%

10%

6%

10%

Lead underwriters:

Keefe Bryuette & Woods/Merrill Lynch

Business

. Leading full service investment bank (according to KBW) specializing in the financial services

industry, founded in 1962

. Within a full service business model, has expanded from a focus on the bank and thrift sector to

include insurance companies, broker-dealers, mortgage banks, asset management companies,

mortgage real estate investment trusts ("REITs"), consumer and specialty finance firms, financial

processing companies and securities exchanges.

Pricing and other competitive pressures

. KBW derives a significant portion of revenues from our sales and trading business; commissions

accounted for 18.6%, 22.0%, 31.3% and 28.5%, respectively, of revenues in 2003, 2004, 2005 and

the three months ended March 31, 2006.

. Along with other securities firms, has experienced intense price competition in this business in

recent years. In particular, the ability to execute trades electronically, through the Internet and

through other alternative trading systems, has increased the pressure on trading commissions and

spreads.

. KBW expects this trend toward alternative trading systems and pricing pressures in this business

to continue. The introduction of decimalization in securities trading since 2000 has also reduced

revenues and lowered margins within the equity sales and trading securities divisions of many

securities firms, including KBW.

eHealth (EHTH)

Proposed IPO amount($mm)

Online health insurance broker

$85.00

New York, NY

2003

2004

2005

6mos June

Rev ($mm)

$22

$30

$42

$27

Income ($mm)

-$3

-$3

$0

$3

Net income %*

-14%

-11%

1%

10%

Lead underwriters:

Morgan Stanley/Merrill Lynch

Business

. The leading online source (according to EHTH) of health insurance for individuals, families and

small businesses.

. Licensed to market and sell health insurance in all 50 states and the District of Columbia.

. Has built a scalable, proprietary ecommerce platform, and has developed partnerships with over

150 health insurance carriers, enabling EHTH to offer more than 5,000 health insurance products

online.

EHTH believes it is unique

. Is currently unaware of any other company that has the technology leadership, the number of

health insurance carrier relationships and the breadth of health insurance products that EHTH

possesses in the individual, family and small business health insurance market.

. The EHTH ecommerce platform can be accessed directly through the website addresses

(www.ehealth.com and www.ehealthinsurance.com) as well as through a broad network of

marketing partners.

Simplifies & streamlines

. EHTH believes it simplifies and streamlines the complex and traditionally paper-intensive health

insurance sales and purchasing process.

. As of June 30, 2006, had more than 325,000 members.

. EHTH defines a member as an individual currently covered by an insurance product for which

EHTH is entitled to receive compensation.

Competition

. Traditional local insurance agents.

. Health insurance carriers' "direct-to-member" sales

. Online agents

EHTH has entered into marketing partnerships with some online agencies and these agents refer

consumers to us from states they do not service.

. National insurance brokers.

Some large agencies and financial services companies, such as Aon, Arthur J. Gallagher and

Willis, have partnered EHTH in order to offer EHTH's services to their customer and member

bases.

Logan's Roadhouse

LGNX

Proposed IPO amount($mm)

134 roadhouse restaurants

July 31 fiscal year

$350.00

Nashville, TN

2003

2004

2005

9mos April

Rev ($mm)

$273

$318

$374

$314

Income ($mm)

$6

$15

$16

$10

Net income %*

2%

5%

4%

3%

Lead underwriters:

Wachovia

Spinoff from CBRL Group, Inc. (CBRL) $1.17 billion market cap

Business

. LGNS opened its first restaurant in Lexington, Kentucky in 1991, is an affordable, full-service

restaurant chain.

. After becoming a public company in 1995, was acquired in 1999 by CBRL Group, Inc.

. At the time of the acquisition, LGNS owned and operated 42 restaurants located in nine states

and had an additional five franchised restaurants located in four states.

. Since then, LGNS assembled an experienced management team, continued to develop its

business model and has expanded to 159 restaurants located in 20 states.

. Of the 159 restaurants in operation as of April 30, 2006, LGNS owns and operates 134

restaurants in 17 states with an additional 25 restaurants in four states owned and operated by two

franchisees.

Alcoholic beverages

Alcoholic beverages have comprised approximately 8% to 9% of sales at LGNS restaurants, below

the level of other casual dining steakhouse competitors who generate sales from alcoholic

beverages in the 11% to 13% range.

. LGNS has improved its alcoholic beverage sales in 2005 and year-to-date 2006 by introducing

new programs and merchandising, including a competitive happy hour program.

=====================================================================

IPO leveraged buyouts

El Pollo Loco Holdings

LOCO

Proposed IPO amount($mm)

Mexican fast food, 340 restaurants

$135.00

Irvine, CA

2003

2004

2005

3mosMarch

Rev ($mm)

$206

$219

$237

$63

Income ($mm)

$7

$1

-$12

$7

Net income %*

4%

1%

-5%

11%

Restaurant cash flow

$45

$51

$13

Restaurant cash flow% of rev

21%

22%

21%

Lead underwriters:

Banc of America/Merrill Lynch

Note: leveraged buyout, November, 2005

Plans to open 10 company operated restaurants per year in th near future

NTK Holdings (NTK)

Proposed IPO amount($mm)

Manufactures ventilation/heating & tech products

$690

Providence, Rhode Island

2005

6mos June

Rev ($mm)

$1,959

$1,098

Income ($mm)

$57

$52

Net income %

2.9%

5%

Lead underwriters:

Goldman Sachs/Credit Suise

Note: leveraged buyout, recapitalized, figures represent ongoing operations

Vanguard Car Rental

VCG

Proposed IPO amount($mm)

Alamo/National car rental

$300.00

Tulsa, OK

2004

2005

3mosMarch

Rev ($mm)

$2,632

$2,815

$683

Income ($mm)

$105

$10

$10

Net income %*

4%

0%

1%

Lead underwriters:

JPMorgan/Morgan Stanley

Note: leveraged buyout, 2003 numbers not comparable