|
Q. |
Does
Intelligent Systems make public
estimates of the individual value of its various
companies?
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| A. |
We
don’t make public estimates of what
our various companies are worth, either
individually or in the aggregate, for a
number of reasons. First, all of our
companies are private and they would be
impacted in their dealings with
customers, competitors and capital sources by
information that we make public.
Secondly, valuations are not
stable and are subject to a number of
factors, including financial market
conditions and specific industry
conditions.
Thirdly, one company can have
very different valuations as a
stand-alone private company, as a
potential public company or as a
strategic acquisition – and individual
situations can change very quickly.
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|
Q. |
Can shareholders expect
regular dividends?
|
|
A. |
We paid a special cash dividend of $0.52
per share in April 2000 and we acquired 1
million shares from shareholders at $ 5.20
per share in a tender offer in July 2001.
From time to time, on an
irregular basis, the company may pay
a cash dividend if it determines that its
financial position and anticipated events
will support its financial and operating
needs while allowing it to reward
shareholders with a special cash dividend.
There are presently no plans to do so in
the foreseeable future
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|
Q. |
How
should investors evaluate the company
and its prospects?
|
| A. |
We
recognize that it is difficult for the
investing public to readily evaluate our
company. Accounting treatments differ
depending upon our ownership percentage
in each of our companies (which
frequently changes over time). Companies that we
"control" are included in our
financial results on a consolidated or
equity method basis. Presently
we have three consolidated subsidiaries
and two equity affiliate companies. The
nature of our business means that we
will not have regular and predictable
quarterly earnings in large part because
many on our companies are early stage. We believe we are
creating significant underlying value
that becomes evident on an irregular
basis.
The emerging companies that we
are involved with are privately owned
and do not publish their financial
results; however, investors can view a
summary of each company in the Partners section of the site and follow the links
to each individual company website to
learn more about them.
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|
Q. |
How
is the Gwinnett Innovation Park
different than
other incubators associated with "for
profit" companies?
|
| A. |
Our
incubator is just one tool that supports
our overall company strategy.
We have run our incubator for
over fifteen years and have developed a model that
has proven to be a valuable resource over the long
term for both entrepreneurs,
Intelligent Systems and our community.
In part, we sponsor the incubator as a
civic contribution to support
entrepreneurship and our local community
and in part to give us "eyes and ears"
on promising opportunities. One difference is
that we do not automatically take an
equity stake in each company just for
being part of the incubator.
Secondly, we provide a supportive
but non-smothering environment that does
not squash the entrepreneurial drive. Finally, we do not have a high
expense burn rate for our incubator
operations and our incubator companies
pay rent, again allowing us to operate
with low financial risk.
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|
Q. |
What’s
the best way for entrepreneurs looking
for partnership opportunities to contact
Intelligent Systems?
|
| A. |
Our
preferred method is via email to bizplan@intelsys.com.
A
referral from someone we know or
recognize is helpful but not necessary.
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