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Non-Tech : SOLOMON-PAGE SYMBOL -SOLP- -- Ignore unavailable to you. Want to Upgrade?

To: FIFO_kid2 who wrote (243)	1/12/1998 6:50:00 PM
From: Thomas Kirwin	Respond to of 295

Write Offs, Charges, Revenue & Future Projections Hello, SOLP reported some really significant numbers today. The growth rates are terrific. i.e. "For the fourth quarter, revenues increased 68% to a record $9,419,000 from $5,623,000 for the same period last year." This revenue exceeded my guesstimate of $9,390,000. I am impressed! Sadly, eps failed to make the grade due to some charges which I hope will not be repeated. Operating income for the three months ended September 30, 1997, includes charges of approximately $50,000 relating to the startup of the accounting and human resources temporary staffing and consulting business, and a charge of approximately $200,000 relating to a potentially uncollectible receivable. I for one would like to know who the deadbeat is and if additional monies are owed by the company in question? What is the total exposure? How could this happen? These questions and many others will most certainly be asked during the conference call. Additionally, I am concerned regarding the effect that downsizing by AT&T may have on SOLP's revenues as the telephone giant accounts for a large portion of business. This was stated in a previous SEC filing. The next earnings release cannot come soon enough for me. If there are no additional charges to be taken then we are looking at a fifty million dollar company plus with a potential eps of $0.32 - $0.37 in 1998. Regards, Tom

To: FIFO_kid2 who wrote (243)	1/12/1998 7:12:00 PM
From: Gregory DeMoully	Read Replies (1) \| Respond to of 295

JJB, I guess it makes a difference how you want to look at the numbers. Suppose we add back in the $250,000 charges to Q4 revenues for the doubtfull account and the startup of the new division. This would give us $693,690 in Q4 operating revenue. Divide by the diluted number of shares of 5,649,018 which uses the SFAS No. 128 rule which will come into play Q1 (will probably be slightly less shares Q1 due to the warrent buyback during Q1). This gives an estimate of 12 cents operating income per share for Q1. Add on top a conservative 20 percent annual growth rate (divided bo 4 to quarterize) and we get another cent. This is an estimate for Q1: 13 cents earnings per share before taxes. Looks like SOLP's tax rate is 30 percent. Multiply the 13 cents by 0.7 to give EPS after taxes. This changes the acutal EPS estimate for Q1 to 9 cents after taxes. Is it normal for a company like SOLP to state EPS before or after taxes? Which number is the most significant? Is SOLP trying to pull a fast one by leaving out the taxes or are they only trying to create a more meaningfull comparison to the prior period where the effect of taxes was minimal? Does the SOLP peer group commonly state earnings before or after taxes? I don't have a very good feel for what is commonly accepted practice. Do you have any of this information? Regards, Greg

To: FIFO_kid2 who wrote (243)	2/10/1998 7:59:00 PM
From: Thomas Kirwin	Respond to of 295

1998 First Quarter Numbers & Balance Sheet SOLOMON PAGE GROUP LTD. Consolidated Statement Of 0perat1ons (Unaudited) For Three Months Ended December 31, 1997 1996 Revenue $10,213,428 $5,478,063 Income From Operations $728,992 $393,698 Income Before Tax Expense $741,247 $426,883 Income Tax Expense $334,340 $85,253 Net Income $406,907 $341,630 Basic Earnings Per Common Share $.08 $.07 Basic Weighted Average Common Shares Outstanding 5,129,285 5,139,175 Diluted Earnings Per Common Share $.07 $.06 Diluted Weighted Average, Common Shares Outstanding 6,136,667 5,394,626 Balance Sheet Data as of December 31, 1997 1996 Working Capital $4,418,004 $5,889,123 Total Assets $13,663,750 $9,935,149 Long-Term Debt Net of Current Maturities $24,653 $80,071 Stockholders Equity $7,720,069 $7,390,730