<< Below is an excerpt from the SEC filings regarding MLP or Modern Learning Press. As can be seen , this was quite an attractive acquisition (note additions to the bottom line of revenues).
Since then the proposed Drake Business Schools acquisition can only be viewed as another "very shrewd"
move as adjudged by projected "bottom line" contributions. First are
the MLP details, and following are the those of the proposed Drake
acquisition.>>
Until January 1997, the Company's revenues were derived
solely from the sale of its Degrees of Reading Power tests and
Degrees of Word Meaning tests, the sales of ancillary materials,
and test scoring and reporting services. Tests are sold pursuant
to specific contracts with state and local governments and through
catalog sales. With the acquisition of both Beck Evaluation &
Testing Associates, Inc. ("BETA") by the Company as of January 2,
1997 and Programs for Education, Inc. by the Company's subsidiary
Modern Learning Press, Inc. ("MLP") as of May 30, 1997, revenues
are now also derived from custom consulting services and the
publication of curriculum and instructional materials. Each of
BETA and MLP is a wholly-owned subsidiary of the Company.
REVENUES. For the three-month period ended July 31,
1997, the Company's total net revenues increased 161.2% versus
the comparable 1996 period ($1,472,765 in 1997 versus $563,839 in
1996). Of this $908,926 increase, $80,013 is attributable to the
Company's assessment business, $59,119 is attributable to BETA, >>>>
and $769,794 is attributable to MLP. <<< MLP CONTRIBUTIONS >>>
For the nine-month period ended July 31, 1997, the
Company's total net revenues increased 65.8% versus the
comparable 1996 period ($3,064,932 in 1997 versus $1,848,925 in
1996). Of this $1,216,007 increase, $239,204 is attributable to
the Company's assessment business, $207,009 is attributable to
BETA, and $769,794 is attributable to MLP.
<< The Drake Acquisition Highlights >>
Mr. Simon continued, ''This acquisition should be accretive to per share earning, and positions TASA to
continue its growth. Between 1996 and 1998, TASA will have more than doubled its core business revenues.
Based on Drake's estimating approximately $8 million in revenues for its fiscal year ended April 30, 1998 and
anticipated future growth, our revenues should again increase over 350% between 1997 and 2000. Further, the
acquisition of Drake should result in our reporting an EBITDA of over $3 million in fiscal 1999, the first full fiscal
year after the acquisition.
<< I also found it only fitting to provide a short bio of one of the central guiding forces behind
what we are investing in, Mr. Andrew Simon.>>
ANDREW L. SIMON was elected as Director and as President and
Treasurer of the Company on March 31, 1995. He served as Interim PresidentJune 1994 through March 31, 1995. He was a founder of the Company and
previously served as a Director from 1976 to 1991 and has acted as a
financial consultant to the Company since its inception in 1976. From 1983
to 1986, he was a Vice President/Marketing Division Head in the Private
Clients Group at Bankers Trust Company. He was a Vice President at
Citibank, NA, where he held a number of senior marketing and sales
positions, from 1980 to 1983. Prior to 1980, Mr. Simon served as Marketing
Director for several consumer package goods companies including
Norcliff-Thayer and Lederle Laboratories. He holds an M.B.A. from Columbia
University and a B.A. from Washington University. Mr. Simon is a trustee
of the Harvey School and previously served as a director of the City of
Poughkeepsie Partnership.
<< Please excuse this long post, but we are attracting new investors resulting from
a posting on a very popular thread last week. Hopefully some of this will assist some
of them in a decision to establish and maintain a long term position in this
very enterprising little company. >>
Sincerely,
Bret P |
