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Microcap & Penny Stocks : Bid.com International (BIDS) -- Ignore unavailable to you. Want to Upgrade?


To: donkeyman who wrote (7180)1/24/1999 9:44:00 PM
From: Adamson  Respond to of 37507
 
For new BII investors, here are the people behind Bid.Com, excerpted from the prospectus filed Jan. 18/99

You can download the entire prospectus from: sedar.com

>>>Directors and Officers

Paul Godin is the Chairman and Chief Executive Officer and a founding shareholder of the Company. Prior to the founding of Bid.Com in September, 1995, Mr. Godin was Senior Vice-President, Corporate Sales and Marketing for Completely Mobile Inc., a Canadian company which designs and implements wireless data systems. He has an extensive marketing and management background spanning 20 years in retail and wholesale electronics and computer distributors. Before joining Completely Mobile in 1994, Mr. Godin was Vice-President and General Manager of Casio Canada Inc., makers of calculators and household electronic goods. Mr. Godin was also Vice-President, Sales and Marketing, for Alpine Electronics of Canada Inc. and has privately consulted to Canadian Airlines, H.J. Heinz, and Clarion Canada.
Jeff Lymburner is the President and a founding shareholder of Bid.Com. Mr. Lymburner is also President of IL USA. Prior to the founding of Bid.Com, Mr. Lymburner was President, from 1990 to 1995, of Completely Mobile Inc., a company that he started and grew to five high profile retail outlets. In the 1980's, Mr. Lymburner held several management positions with responsibilities for advertising, purchasing, store management, sales management and strategic planning for Multitech Warehouse Direct, a national consumer electronics retail chain. Mr. Lymburner helped build this retail chain from the start-up level to approximately 50 stores and annual revenues in excess of $100 million. He left the position of National Manager Corporate Sales for Multitech to start his own business. Mr. Lymburner started his career as a Systems Engineer with IBM in 1978.

Chris Bulger has been with the Company on a full time basis for approximately two and one-half years and is also a partner with HDL Capital Corporation, a Toronto based merchant bank which specializes in the venture capital sector. From 1991 to 1993 he was Vice-President Finance with Erin Maxx Canada Corp. and from 1981 to 1988 he managed the business turnaround and ultimate sale of Murray G. Bulger & Associates Limited. Mr. Bulger obtained his corporate finance experience from 1988 to 1991 while in the merchant banking group of Central Capital Corporation. Mr. Bulger began his career in 1980 as a Research Analyst with Midland Doherty Limited. Mr. Bulger is a Chartered Financial Analyst (CFA) and holds an MBA from the European Institute of Business Administration (INSEAD).

Robert Joynt was Vice-President Sales & Marketing for Logitech Electronics Inc. from July, 1994 to December, 1995 and prior to that President of Koss Limited and Vice-President of Koss Corporation since 1984. Mr. Joynt has spent the last 18 years in the consumer electronics industry. In addition to a diversified background in general and product management, he has a track record of accomplishments in product development, marketing and sales.

James I. Moskos has spent in excess of 12 years in the management, development, delivery and deployment of large scale, mission critical, information technology solutions for a wide array of clients. This includes recent and specific experience in the development and delivery of client server and Inter/Intranet applications for a department with a staff of over 3,000 employees and a budget of $4 billion dollars. For the previous five years, Mr. Moskos has held the position of Senior Technology Manager for the Department of Indian Affairs and Northern Development (the "Department"). In this role, he was responsible for setting the technical direction for all aspects of application development. In addition, he was responsible for reviewing emerging technologies and effectively positioning the Department to take advantage of leading edge advancements. Mr. Moskos was also responsible for delivery of a portfolio of mission critical applications to a diverse clientele. During this period, he managed a staff of 12 to 14 people including employees and contractors. Mr. Moskos was the recipient of the 1996 Canadian Information Productivity Award from Canadian Business Magazine, the 1995 Smithsonian Innovator Award for Information Technology, the 1995 Government Technology Achievement Award and is a two-time recipient of the Deputy Ministers Outstanding Achievement Award.

Paul Hart recently joined the Company and is the Chief Financial Officer of the Company. Mr. Hart has approximately 17 years of experience in finance and treasury and was Vice-President, Finance of ADP Canada from 1995 to 1998 and Vice-President, Treasury of GAN Canada from 1990 to 1995. Mr. Hart is a Chartered Accountant and holds an MBA from Queen's University.

Brent Bowes is the Vice-President, Corporate Controller and Assistant Secretary of the Company and was most recently a Senior Accountant in the Corporate Finance Group of Deloitte & Touche, Chartered Accountants. Mr. Bowes spent five years assisting a broad range of clients on assignments ranging from audit and review engagements to public financings, divestitures and company reorganizations. During the 1980's, Mr. Bowes held various management positions within the manufacturing, financial and retail sectors. Mr. Bowes is a graduate of Algonquin College of Applied Arts and Technology and a student member of the Institute of Chartered Accountants of Ontario.

Outside Directors

Dr. Duncan Copeland is President of Copeland & Company, a Washington D.C. based international consultancy firm providing information counsel to management, and is a Visiting Professor at Georgetown University. He served on the faculty of the Richard Ivey School of Business at the University of Western Ontario ("Western") from July, 1989 to June, 1996 as a professor of Information Management in addition to being Chief Information Officer of the institution. As a professor, Dr. Copeland designed and delivered courses in strategic and tactical information management in undergraduate, MBA, Executive MBA, Ph.D., and various executive education courses. Dr. Copeland earned his undergraduate business degree at Western and his doctorate from The Harvard Business School. He managed the implementation and continued development of Western Business School's presence on the World Wide Web. He has extensive consulting experience introducing new technologies to financial services firms in both the United States and Canada, and is co-author of Waves of Change: Business Evolution Through Information Technology, a recent Harvard Business School Press publication.

Fred Singer is a Senior Vice-President of AOL Studios, directing corporate strategies, finance and co-ordinating operations and human resource activities. Mr. Singer also serves as an advisor and board member on several AOL Studios companies. Prior to Mr. Singer's current position, he was Vice-President of Corporate Development at AOL, working on strategy and major acquisitions specializing in content and E-commerce. Before joining AOL in March, 1996, Mr. Singer was founder and Vice-President of the Washington Post electronic subsidiary, Digital Inc., from 1992 and subsequently, moved on to develop and manage the business operations of Digital Inc. Mr. Singer also worked as a director of corporate development for the Washington Post Company. Mr. Singer also previously worked as an international consultant at Bain and Company in Boston and has worked for Proctor and Gamble in brand management in the Paris office. Mr. Singer is a native of Canada, receiving his BA, BCOM, MA in Philosophy and a JD from Queen's University, as well as a MBA from Harvard University.

David Pamenter is a partner in Gowling, Strathy & Henderson, a Toronto law firm, and has been so since July 1, 1995. Gowling, Strathy & Henderson is a Canadian law firm with a strong focus on advising technology companies. From 1977 to 1995, Mr. Pamenter was a partner in Lang Michener, also a Toronto law firm.

Michael Abramsky is the President of Rogers New Media, a division of Rogers Media Inc., a division of Rogers Communications Inc. and has been so since January, 1998. Rogers manages many of Canada's leading online properties, including Yahoo! Canada, Quicken Financial Network Canada, Electric Library and others. Prior to joining Rogers in March, 1997, Mr. Abramsky was Vice-President of Marketing for InSystems in Markham, Ontario, a software development company from March, 1996. Prior to holding the position at InSystems, he was from February, 1993, Vice-President of Marketing for Delrina Corp. (now part of the Symantec Group), a worldwide technical and market leader in PC forms, fax and content software. At Delrina Corp., Mr. Abramsky oversaw the launch of 14 new products, including WinFax PRO 4.0 which set the industry standard for fax software. Prior to holding the position at Delrina, Mr. Abramsky was the Marketing Director for Interleaf Canada, where he led the software company's marketing efforts in the growing document management marketplace. He has also held marketing, management and sales positions at Xerox Canada, Moore Corporation and Baxter International in Chicago. Mr. Abramsky holds an MBA from Harvard University and an engineering degree from the Massachusetts Institute of Technology. <<<

Regards,
A



To: donkeyman who wrote (7180)1/24/1999 9:52:00 PM
From: Adamson  Respond to of 37507
 
For those new to Bid.Com, here are some of the financial data up to Sept. 30, 1998 from the prospectus filed Jan. 18/99

The entire prospectus can be downloaded from: sedar.com

<<<Nine month period ended September 30, 1998

The results for the nine month period ended September 30, 1998 reflect the growth achieved by the Company, quarter over quarter, year over year. Total revenues were $13,712,527 for the nine month period as a result of increased advertising expenditures which resulted in significant growth in the Company's customer base and a 25% increase in transaction volume during the quarter. In addition, this growth was fueled by the branding of the Bid.Com site in March, 1998 with the URL www.bid.com and the trademark Bid.Com again supported by extensive advertising and promotion. Quarterly revenues for 1998 were $1,828,782 in the first quarter, $5,593,742 in the second quarter and $6,290,003 in the third quarter representing quarter over quarter growth of over 200% in the second quarter and over 12% in the third quarter.
Cost of sales was $13,422,462 in the nine months ended September 30, 1998 resulting in a gross profit of $290,065. The Company expects to increase margin returns during the balance of the year as it shifts sales from traditionally lower margin categories into higher margin categories.

Expenses incurred in the nine month period ended September 30, 1998 of $13,165,773 were consistent with budgeted expenditures and reflect the increasing scale of the Company's activities in relation to its revenue growth.

Advertising and promotion expenses were $8,901,837 for the nine months ended September 30, 1998. Advertising is primarily attributable to advertising arrangements with the Company's strategic alliance partners, AOL, Toronto Star Newspapers Limited, Rogers Media Inc. and other advertising initiatives with Yahoo!, Netscape by Excite, Metacrawler and Computer Shopper. Computing and communication fees were $150,620 in the nine months ended September 30, 1998 and reflect data communications, systems support and maintenance costs. Depreciation and amortization was $135,702 in the nine months ended September 30, 1998. Equipment and furniture and fixtures are depreciated on a straight line basis at a rate of 20% per year. Computer hardware is depreciated on a straight line basis at a rate of 30% per year. Leasehold improvements are amortized on a straight line basis over the life of the lease. Trademarks and intellectual property are written off over a two year period. Filing fees and investor relations expenses relating to being a public company were $261,134 in the nine months ended September 30, 1998. Interest expense of $5,316 reflects bank interest on current accounts. Office and general expenses of $984,142 in the nine months ended September 30, 1998 consists primarily of rent, supplies, postage, communication and other ancillary costs. Professional fees of $332,081 in the nine months ended September 30, 1998 relate to legal and audit costs. Salaries and consulting expense were $1,651,368 in the nine months ended September 30, 1998 and reflect an increase in the number of employees and pay scales as additional staff were hired to accommodate the growth of the business. Software development expense of $493,882 includes redevelopment of the auction platforms and a new accounting software package. Travel and entertainment expense was $249,691 in the nine months ended September 30, 1998.<<<

Regards,
A



To: donkeyman who wrote (7180)1/24/1999 9:56:00 PM
From: Adamson  Respond to of 37507
 
Additional financial info for those new to Bid.Com from Jan. 18/99 prospectus.

(apologies to those for which this is old news)

The entire prospectus can be downloaded from sedar.com

>>>Nine month period ended September 30, 1998

During the nine month period ended September 30, 1998, the Company had a $9,577,364 outflow from operations. In the same period, the Company invested $272,700 in fixed assets and $70,654 in trademarks. The Company's cash requirements were financed by proceeds of $16,833,608 from the issuance of Common Shares upon the exercise of options and warrants and the issuance of Common Shares for cash. As a consequence of the operating, investing and financing activities described above, the Company had cash resources of $9,090,245 as at September 30, 1998.

Year 2000 Compliance

The Company's Auction site has been developed to be fully year 2000 compliant. The application code was created using Microsoft Visual Interdev and all programmatic logic was specifically designed to support year 2000 date types. Both the up-front auction algorithms and the back-end credit card processing utilize full 8-digit fields. The underlying application data-base is Microsoft SOL Server Version 6.5, which has been verified to be fully compliant with year 2000 data types. The supporting hardware platform consists of Hewlett Packard Netservers, which are also created to be compatible with year 2000 date fields. Internal operations are supported by current generation PC equipment that has been verified to be year 2000 compliant. Finally, any custom applications created for internal use are also developed to accept year 2000 date types.

Financial Risks and Outlook

The Company transacts substantially all of its purchases and sales in U.S. dollars; and a significant portion of the Company's operating expenses are in Canadian dollars. The Company does not have any hedging programs in place to manage the potential exposure to fluctuations in the U.S. - Canadian dollar exchange rate.

The Company expects to incur significant expenditures in marketing and promotion and systems development during the next year. The Company issued 5,714,984 Special Warrants at a price of $1.75 per Special Warrant on November 30, 1998 for estimated proceeds of $9,201,124, net of underwriter fees. The estimated costs of this offering are $200,000, which will be borne proportionately by the Company and the Selling Shareholders. The Company received $6,863,460 on November 30, 1998 and will receive the remainder upon a receipt being issued for this prospectus.

The Company anticipates that its current financial resources together with the proceeds from the Special Warrant offering, will be sufficient to finance the Company's budgeted operating costs, system development and anticipated discretionary advertising expenditures over approximately the next 12 months. However, the Company expects that in order to accelerate its growth objectives, it may need to raise additional funds from lenders and equity markets in the future. Management of the Company is not aware of any significant risks or uncertainties that may affect the Company's liquidity position as at September 30, 1998. <<<

Regards,
A