Financial Performance & Scoring -- © 2006 Gaskins IPO Desktop/IPOdesktop.com

Pre-IPO analysis

. Business Model Rating Criteria

A = high growth market, potential leader; B = more competitive market; C='public venture capital'

. Calculations

. IPO Price to annualized Sales Ratio -- (Price / Sales)

Numerator

Denominator

IPO market capitalization…

Annualized Sales (last quarter's revenues times 4)

(post-IPO # of shares times mid-point of IPO price range)

. IPO Price to annualized Earnings (loss) -- (Price / Earnings)

Numerator

Denominator

IPO market cap

Annualized Earnings (loss) from the last quarter

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for analysis

scheduled below

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Summary -- scheduled for week of June 12

VALUATION RATIOS

IPO Mrkt

Price /

Price /

Price /

Price /

% offered

Cap (mm)

Sales

Earnings

BookValue

TangibleBV

in IPO

Summary -- scheduled for week of June 12

Golfsmith Intern'l (GOLF)

$233

0.8

-67

1.9

4.6

39%

retails golf equipment

Post-IPO shrs: 15.5mm

Houston Wire (HWCC)

$272

1.0

14

4.9

5.2

41%

wire & cable distributor

Post-IPO shrs:21mm

SynchronossTech SNCR

$310

4.9

52

3.4

3.5

25%

e-commerce transaction management

Post-IPO shrs: 31mm

VeraSun Energy (VSE)

$1,419

3.2

131

3.9

4.3

23%

2nd largest ethanol producer in US

Post-IPO shrs: 75mm

Verigy Ltd. (VRGY)

$995

1.5

-16

3.1

3.3

15%

test systems for semiconductors

Oct 31 fiscal year

Post-IPO shrs: 58.5mm

Volcano Corp (VOLC)

$351

4.4

-14

4.8

6.0

21%

products diagnose heart disease

Post-IPO shrs: 32mm

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SEARCH BY COMPANY

Use 'Edit, find on this page' to search for companies

for analysis

scheduled below

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

Analysis -- week of June 12

Note: VeraSun (VSE) & Houson Wire (HWCC) posted separately

Golfsmith Intern'l

GOLF, C+, 6

retails golf equipment

Post-IPO shrs: 15.5mm

Austin, TX

2003

2004

2005

Mar 31 qtr

IPO Mkt

Revenue ($mm)

$258.0

$296.0

$324.0

$75.0

Cap (mm)

Gross profit %

33.6%

34.1%

35.8%

34.4%

$233

Operating income %

4.9%

3.3%

4.5%

2.5%

@$15

Net income (loss) $mm

$1.0

($4.8)

$3.0

($0.9)

Net income %

0.4%

-1.6%

0.9%

-1.2%

VALUATION RATIOS

IPO Mrkt

Price /

Price /

Price /

Price /

% offered

Cap (mm)

Sales

Earnings

BookValue

TangibleBV

in IPO

Golfsmith Intern'l (GOLF)

$233

0.8

-67

1.9

4.6

39%

SCORECARD

Mgt

Market

Market Do-

Proprie-

Total

1-5, 5 is high

Growth

mination

tary

rating

20 is perfect

2

1

2

1

6

Note: GOLF received a grade of C+ because of it's size, even though financial performance

has been spotty, and operating income declined in the March quarter.

Business

. The nation's largest specialty retailer of golf equipment, apparel and accessories based

on sales.

. 55 stores across the nation, including three new stores opened in the second quarter of

'2006

. Direct-to-consumer channel consists of www.golfsmith.com and comprehensive

catalogs

History

. Founded in 1967 as a clubmaking company offering custom-made clubs, clubmaking

components and club repair services.

. In 1972, opened our first retail store, and in 1975, mailed first general golf products

catalog.

. In 1997, launched Internet site to further expand the direct-to-consumer business.

Acquisition

In October 2002, Atlantic Equity Partners III, L.P., an investment fund managed by First

Atlantic Capital, Ltd., acquired GOLF from the original founders, Carl, Barbara and

Franklin Paul.

Store openings & growth plan

. Since the acquisition, has accelerated growth plan by opening additional stores in new

and existing markets.

. Opened three new stores in the second quarter of 2006, six new stores during fiscal

2005, eight new stores during fiscal 2004 and 12 new stores during fiscal 2003, including

six stores from the acquisition of Don Sherwood Golf & Tennis in July 2003.

Growth paln

. Plans to open an additional seven to nine stores in 2006 and between 14 and 16 stores

in 2007.

. Based on past experience, opening a new store within the core 15,000 to 20,000 square

foot format requires $750,000 for capital expenditures, $150,000 for pre-opening

expenses and $875,000 for inventory depending on the level of work required at the site

and the time of year that it is opened.

. GOLF's store model has produced favorable results, including positive store-level cash

flow in the first full year of operations in most of our stores.

Competition

. Competes in both in the off-course specialty retail segment and in the online and

catalog retail segment.

. The off-course specialty retail segment is characterized by sales of a complete selection

of golf equipment and apparel, a unified store image, favorable pricing and

knowledgeable staff. The online and catalog retail segment is characterized by

competitive pricing, shopping convenience and a wide product selection.

Use of $81mm in IPO proceeds

together with borrowings under a new senior secured credit facility

. Repay $94m in debt

. Pay First Atlantic Capital $3mm termination fee. Golf is also obligated to pay $600,000

per year until 2012

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Synchronoss Tech

SNCR, C+, 7

e-commerce transaction management

Post-IPO shrs: 31mm

Bridgewater, NJ

2003

2004

2005

Mar 31 qtr

IPO Mkt

Revenue ($mm)

$16.6

$27.2

$54.2

$15.7

Cap (mm)

Gross profit %

53.6%

34.9%

44.3%

43.9%

$310

Net income (loss) $mm

($1.0)

($0.0)

$12.4

$1.5

@$10

Net income %

-6%

0%

23%

10%

VALUATION RATIOS

IPO Mrkt

Price /

Price /

Price /

Price /

% offered

Cap (mm)

Sales

Earnings

BookValue

TangibleBV

in IPO

SynchronossTech SNCR

$310

4.9

52

3.4

3.5

25%

SCORECARD

Mgt

Market

Market Do-

Proprie-

Total

1-5, 5 is high

Growth

mination

tary

rating

20 is perfect

2

2

2

1

7

Note: Cingular Wireless accounted for 71% of revenues for the March quarter.

Proprietary is rated 1 because SNCR's customers/prospects also develop

internally a version of the SNCR solution

Business

. E-commerce transaction management solutions to the communications services

marketplace based on penetration into key providers of communications services.

. SNCR's on-demand software platform enables communications service providers, or

CSPs, to take, manage and provision orders and other customer-oriented transactions

and create complex service bundles.

. SNCR CSP customers use its platform and technology to service both consumer and

business customers, including over 300 of the Fortune 500 companies.

Transactional service arrangements:

. Transaction service revenues consist of revenues derived from the processing of

transactions through our service platform and represented 83% of net revenues for 2005

and 87% for the three months ended March 31, 2006.

. Transaction service arrangements include services such as equipment orders, new

account setup, number port requests, credit checks and inventory management.

Target markets

. Complex and high-growth industry segments including wireless, Voice over Internet

Protocol, or VoIP, wireline and other markets. We have designed our solution to be

flexible, allowing us to meet the rapidly changing and converging services offered by

CSPs. By simplifying technological complexities through the automation and integration

of disparate systems, we enable CSPs to acquire, retain and service customers quickly,

reliably and cost-effectively. Our industry-leading customers, which we believe are

representative customers based on our past and expected revenues and the types of

CSPs we serve, include Cingular Wireless, Vonage Holdings, Cablevision Systems,

Level 3 Communications, Verizon Business, Clearwire, 360networks, Time Warner

Cable, Comcast and AT&T. In particular,

Customers

. Has long-standing relationship with Cingular Wireless, from whom SNCR currently

derives a substantial portion of our revenues. Cingular Wireless accounted for 75% of

revenues for the three months ended December 31, 2005, 80% of revenues during 2005

and 71% of revenues for the three months ended March 31, 2006.

. Other customers include wireline, wireless, cable, broadband and VoIP service

providers including Vonage Holdings, Cablevision Systems, Level 3 Communications,

Verizon Business, Clearwire, 360networks, Time Warner Cable, Comcast and AT&T.

Competition

Internally developed

. Competes with CSPs' (communications service providers) internally developed IT

systems. While many CSPs continue to rely upon their internal solutions, SNCR believes

that due to the complexity of telecommunications networking infrastructure, systems

developed in-house are often inefficient, costly and provide unreliable results. SMCR

believes its solutions provide a lower total cost of ownership, faster time-to-market and

the ability to scale more rapidly based on end-user demand than internally developed

solutions.

Vendors

. Competes with gateway systems vendors such as Neustar and VeriSign, which offer

clearinghouse-type services such as managing area codes and phone numbers, routing

telephone calls, managing Internet domain directories and securing electronic commerce

and communications.

. SNCR does not currently provide such services and therefore does not directly compete

with the clearinghouse-type services offered by gateway systems vendors.

. In areas where SNCR competes with gateway systems vendors, it believes it

differentiates by deploying exception handling and managing transactions ranging from

initial subscription to customer lifecycle transactions, such as ongoing additions,

subtractions and changes to services. We believe our expertise and proprietary

technology enable CSPs to rely on us for complete transaction management solutions.

. Also competes with systems integrators such as Accenture. These vendors develop

customized solutions for CSPs, which typically involves building and operating a custom

e-commerce transaction management solution.

Use of $59mm in IPO proceeds from sale of 6.55mm shares

(shareholders intend to offer 1.05mm shares)

Fund the expansion of the business

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Verigy Ltd.

VRGY C, 6

test systems for semiconductors

Oct 31 fiscal year

Post-IPO shrs: 58.5mm

Singapore, Singapore

2003

2004

2005

Jan 31 qtr

IPO Mkt

Revenue ($mm)

$540.0

$607.0

$456.0

$170.0

Cap (mm)

Gross Profit %

42.8%

41.7%

30.7%

41.8%

$995

Net income (loss) $mm

($28.0)

($8.0)

($119.0)

($16.0)

@$17

Net income %

-5%

-1%

-26%

-9%

VALUATION RATIOS

IPO Mrkt

Price /

Price /

Price /

Price /

% offered

Cap (mm)

Sales

Earnings

BookValue

TangibleBV

in IPO

Verigy Ltd. (VRGY)

$995

1.5

-16

3.1

3.3

15%

SCORECARD

Mgt

Market

Market Do-

Proprie-

Total

1-5, 5 is high

Growth

mination

rating

20 is perfect

1

1

2

2

6

Note: Market growth is 1 because semiconductor growth is cyclical and not structural

and because customers/prospects also internally develop competiting test systems.

. Management is rated 1 because the company has not shown a profit which is

also why VRGY also has a C grade

Business

. Advanced test systems and solutions for the semiconductor industry.

. Offers a single platform for each of the two general categories of devices being tested:

93000 Series platform, designed to test SOCs, SIPs and high-speed memory devices,

and the Versatest V5000 Series platform, designed to test memory devices, including

flash memory and multi-chip packages.

. Also provide a range of services that assist our customers in quickly and cost effectively

delivering the innovative, feature-rich products demanded by their end users.

Customers

. Sells products and services directly to a wide range of customers, including integrated

device manufacturers, or IDMs, test subcontractors, which includes specialty assembly,

package and test companies as well as wafer foundries, and fabless design companies. .

Has a broad installed customer base, having sold over 1,200 93000 Series systems and

over 2,000 Versatest Series systems.

. For the three months ended January 31, 2006, two customers, STATS ChipPAC Ltd.

and Intel Corporation, represented greater than 10% of net revenue while one customer,

Spansion Inc., accounted for more than 10% of our net revenue for the three months

ended January 31, 2005.

. In fiscal 2005, no single customer represented greater than 10% of net revenue. In fiscal

2004, one customer, Spansion Inc., accounted for more than 10% of net revenue. In

fiscal 2003, three customers, ASE Test, Inc., Intel Corporation and Spansion Inc., each

accounted for more than 10% of net revenue.

Cyclical business trends

. Cyclical periods have had and will have significant impacts on the business because

customers often delay or accelerate purchases in reaction to changes in their businesses

and to demand fluctuations in the semiconductor industry.

. Historically, these demand fluctuations have resulted in significant variations in results

of operations. For example, revenues increased 12% from $540 million in fiscal 2003 to

$607 million in fiscal 2004, but decreased 25% from $607 million in fiscal 2004 to $456

million in fiscal 2005, reflecting trends in the semiconductor industry during those periods.

. Upturns and downturns in the semiconductor industry in recent years have generally

affected the semiconductor test equipment and services industry more significantly than

the overall capital equipment sector.

. Furthermore, VRGY sells to a variety of customers, including subcontractors. Because

VRGY sells to subcontractors, which during market downturns tend to reduce or cancel

orders for new test systems and test services more quickly and dramatically than other

customers, any downturn may cause a quicker and more significant adverse impact on

the business than on the broader semiconductor industry.

Spin-off from Agilent Tech (NYSE: A), $15bb market cap

. Historically, operated as part of Agilent, and not as a stand-alone company. Financial

statements were not previously prepared for Verigy, will not be operated as a separate

legal entity prior to separation from Agilent, expects to occur on June 1, 2006.

. Agilent Technologies, Inc. provides bio-analytical and electronic measurement solutions

to the communications, electronics, life sciences, and chemical analysis industries.

operates in three segments: Electronic Measurement, Bio-Analytical Measurement, and

Semiconductor Test Solution

. 'A' itself was spun off from Hewlett Packard in 1999

May face competition from Agilent

Agilent has agreed that, except as described below, for a period of three years after the

distribution date, Agilent will not develop, manufacture, distribute, support or service

automated semiconductor test systems for providing high-volume functional test of Ics

(including memory and high speed memory devices and SOCs) or SIPs, or components

for such products. However, during this three-year period, Agilent may compete with

respect to:

o Products (other than automated semiconductor test systems for high-volume functional

test) for providing functional test of ICs or SIPs, whether or not including parametric test

(the testing of selected parameters of a device or group of devices to identify errors or

flaws), design verification or engineering characterization capabilities;

o Automated semiconductor test development systems (including hardware and software)

that are intended to enable development of test programs and protocols for use in high-

volume functional test of ICs or SIPs, whether or not such development test systems

themselves are capable of providing such high-volume functional test; and

o Products (other than automated semiconductor test systems for high-volume functional

test) for providing parametric test, design verification, engineering characterization or

functional test of: (i) wireless communications devices, such as cellular telephones or

wireless networking products, whether in packaged device or module form, and whether

or not implemented as an IC or SIP; (ii) modules (such as RF front-end modules)

containing one or more ICs connected with other active or passive devices; and (iii) RF

and higher frequency (e.g., microwave and optical) devices and components such as

oscillators, mixers, amplifiers and 3-port devices, to the extent that such devices or

components are in the form of an IC or SIP.

Competiton

. Primary competitors include Advantest, Credence Systems, LTX Corporation, Nextest,

Teradyne and Yokogawa.

. Also compete with products developed internally by customers.

Use of $134mm in IPO proceeds

. $105mm for general corporate purposes, including working capital

. $40mm in costs related to separation from Agilent

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Volcano Corp

VOLC, C, 6

products diagnose heart disease

Post-IPO shrs: 32mm

Rancho Cordova, CA

2003

2004

2005

Mar 31 qtr

IPO Mkt

Revenue ($mm)

$23.5

$61.1

$92.0

$20.0

Cap (mm)

Gross Profit %

37.9%

51.1%

47.8%

58.5%

$351

Net income (loss) $mm

($15.1)

($16.2)

($15.2)

($6.3)

@$11

Net income %

-64%

-27%

-17%

-32%

VALUATION RATIOS

IPO Mrkt

Price /

Price /

Price /

Price /

% offered

Cap (mm)

Sales

Earnings

BookValue

TangibleBV

in IPO

Volcano Corp (VOLC)

$351

4.4

-14

4.8

6.0

21%

SCORECARD

Mgt

Market

Market Do-

Proprie-

Total

1-5, 5 is high

Growth

mination

tary

rating

20 is perfect

1

2

1

2

6

Business

. Intravascular ultrasound, or IVUS, and functional measurement, or FM, products

. VOLC believes its products enhance the diagnosis and treatment of vascular and

structural heart disease.

Distribution

. Fukuda Denshi, VOLC's exclusive IVUS distributor in Japan, accounted for 24.2% of

revenues in the three months ended March 31, 2006, 34.5% in 2005 and 12.0% in 2004.

. In the first quarter of 2005, Goodman, formerly Boston Scientific's distributor of its IVUS

products in Japan, began to distribute VOLC's IVUS products in Japan through a sub

distribution agreement with Fukuda Denshi.

. Due to this new distribution relationship, VOLC experienced a significant increase in

orders for IVUS consoles and catheters from Fukuda Denshi during 2005 as Goodman

purchased initial inventory of products to market to its over 1,100 interventional

cardiology accounts.

. As a result of the significant order activity by Goodman, VOLC's revenues, including the

mix of consoles and single-procedure disposable catheters, and the costs of those

revenues in 2005 may not be comparable to other periods.

. Additionally, Fukuda Denshi transferred the Japanese regulatory approvals, or shonins,

for IVUS products to VOLC on June 1, 2006. Due to the transfer, VOLC is now able to

sell directly to distributors in Japan as opposed to being required to sell IVUS products

only to Fukuda Denshi.

. As a result, for a portion of 2006, VOLC will sell directly to Goodman and Fukuda

Denshi and the percentage of revenues attributable to Fukuda Denshi will decline.

Competition

. Primary IVUS competitor globally is Boston Scientific, also competes with Terumo

Corporation in Japan.

. In the FM market, the primary competitor is Radi Medical Systems AB, a private medical

device manufacturer.

Use of $66mm in IPO proceeds

o $30.0 million for sales and marketing initiatives to support the ongoing

commercialization of products; and

o $28.2 million for repayment of outstanding debt to FFC Partners II, L.P. and FFC

Executive Partners II, L.P.

o Balanced to research and development activities and general corporate purposes.

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