Exhibit 1 Salem Data Services Summary of Computer Utilization, Exhibit 2 Salem Data Services Summary Results of Operations, First Quarter 2004 First Quarter 2004 January February March January February March Revenues 23 Intracompany sales $82,400 $72,400 $89,200 Number of weekdays (M-F) 22 20 98,400 108,000 1 10,400 X 24 hours per day 528 480 Commercial sales 652 Total revenue $180,800 $180,400 $199,600 Number of Saturdays 5 4 4 X 8 hours per day 40 32 32 Expenses Space costs: $8,000 $8,000 $8,000 Total hours available for revenue 568 512 584 Rent Custodial services 1,240 1,240 1,240 Revenue hours 9,240 9,240 9,240 ntracompany 206 181 223 Equipment costs 123 135 138 Computer leases 95,000 95,000 95,000 Commercial Total revenue hours 316 Maintenance 5.400 5,400 329 361 5,400 Depreciation: 239 196 223 Computer equipment 25,500 25,500 25,500 Hours available to sell Office equipment and fixtures 680 680 680 Power 1,546 1,485 1,697 Source: Casewriter. 128, 126 128,065 128,277 Wages and salaries Operations: salaried staff 21,600 21,600 21,600 Operations: hourly personnel 7,896 7,584 8,664 Systems development and maintenance 12,000 12,000 12,000 Administration 9,000 9,000 9,000 Sales 11,200 11,200 11,200 61,696 61,384 62,464 Sales promotion 7,909 7,039 8,083 Corporate services 15,424 15,359 15,236 Total expenses $222,395 $221,087 $223,300 Net income (loss) $(41,595) $(40,687) $(23,700) Source: Casewriter