WORK LIFE MANAGEMENT-AGENCY FOR B2B

EXECUTIVE MBA

BESSON, Myriam - ECHTERMEYER, Renate - JAULENT, Frederic LIEB, Elke - MAUDERER, Sabine

January 2009

INDEX
1. The Company............................................................................................................................2 1.1. Business Model ......................................................................................................................2 1.2. Legal Form .............................................................................................................................3 2. Our Service................................................................................................................................4 2.1. Service Description of The Company ....................................................................................4 2.2. Innovation / Competitive Advantage......................................................................................6 2.3. Value Proposition to Customer...............................................................................................7 2.4. Target Customers....................................................................................................................8 2.5. Local Area ..............................................................................................................................9 3. Market Research.....................................................................................................................10 3.1. Market Research - Demand ..................................................................................................10 3.2. Market Research Supply....................................................................................................14 3.3. Competition and Substitute ..................................................................................................18 4. Marketing and Sales...............................................................................................................19 4.1. Marketing and Sales Strategy ...............................................................................................19 4.2. Positioning............................................................................................................................20 4.3. Sales and Distribution...........................................................................................................21 4.4. Special Services....................................................................................................................21 4.5. Pricing Strategy ....................................................................................................................22 4.6. Promotion .............................................................................................................................25 5. Risks and Opportunities ........................................................................................................26 5.1. Risks (Weaknesses and Threats) ..........................................................................................26 5.2. Opportunities And Strength..................................................................................................28

6.

Business System and Organisation .......................................................................................29

7.

Implementation Schedule ......................................................................................................30 7.1. First 2 years: The Business Development Phase or Pilot..................................................30 7.2. After the 3rd Year:................................................................................................................31

8.

Financial Planning And Financing .......................................................................................31 8.1. Structure And Capitalization ...............................................................................................31 8.2. The Financial plan ................................................................................................................32 8.2.1 8.2.2 8.2.3 8.2.4 The Income Statement ............................................................................ 32 The Balance Sheet And Cash Flow Statement ....................................... 34 Break even and sensitivity analysis :...................................................... 36 Valuation Of The Firm : ......................................................................... 37

9.

Exit Options ............................................................................................................................38

EXECUTIVE SUMMARY

The Work Life Management-Agency (WLM-Agency) offers companies under contract exclusively an online market place which enables their employees to order per mouse click childcare, eldercare and services around household from certified service providers. The WLM Care Center, which employees can call for free, takes care of all special requests and gives general information. In order to ensure high quality, only selected certified service providers will be put on the WLM platform. According to our online-survey conducted, in Germany employees spend on average 26 minutes per day at work for organizing their private life. This means that for an employee with an annual salary of 48,000 a company pays him or her 3,036 per year for organizing private issues. In this B2B we offer companies under contract a unique possibility to support their employees at coordinating work and private life while fully concentrating on their job. Furthermore, it increases their attractiveness as employer and helps to recruit and retain qualified employees. This is essential to survive especially in a tough economic environment like today, but difficult to implement due to demographic developments. In Germany, our service is unique, as it guarantees high quality of a bundle of the most needed services, which can be ordered 24 hours per day at a one-stop-shop simply per mouse click. Our target customers are industrial companies which employ between several hundred and several thousand employees. This is the result of interviews with companies of various fields of activities and was confirmed by a workshop we carried out with the Chamber of Commerce and Industry Rhine-Neckar and the Mannheim Business School. Those companies showed the biggest interest, because they have the financial power to invest in their employees and see the WLM platform mainly as a solution for their HR-strategy to retain and recruit talented people. Nevertheless, also other companies were very much interested, especially those which mostly employ top qualified people like big law firms. But the latter expect top service quality that in the beginning we cannot ensure. After having established an extensive network with suppliers that ensure the availability of top quality services we might go additionally for the highly profitable segment. The WLM-Agency will start its business in Germany, because market research has shown that throughout Germany there is a big need for solutions that enable employees

to coordinate work and private life easily. We will start in the area of Rhine-Neckar as there are many industrial enterprises and some of them already asked for the implementation of the WLM platform. Furthermore, we were asked by the Chamber of Commerce and Industry Rhine-Neckar for strategic cooperation, since the CoC implements certifications for family-friendly companies and wants to build a network. In order to grow and increase profitability we will expand within the first five years to five other German areas where target customers are based. The success of the WLM-Agency is linked to the availability of high quality services. Selected and certified service providers look for cooperating with us in order to increase significantly their number of customers with the same quality expectations within the same region. Furthermore, we offer them access to their potential customers whose income is above average and who are willing and able to pay higher prices. Therefore, the service providers agree on doing business with the employees of the companies under contract only via the WLM-Agency. Our main income sources are fixed monthly fees paid by the companies. Provisions will be paid by the service providers for ordered services and finally, family-oriented companies will pay for advertisement on the WLM web page. The founders, a team of five top executives of various fields, will start their business in spring 2009 by founding a GmbH and hiring a highly qualified manager who will be supported by minijobers. The goal of the WLM-Agency is to grow while mitigating risk. Therefore, we will start with a pilot phase for the first two years based on a lean structure which still allows us to serve the middle tier market with the expected quality level. Afterwards, we will expand to a sizeable business in order to accelerate growth and to build a strong cash position. At that time the number of staff will increase. Our operations are worth a value of 1,000,000 within five years yielding an average 43 % return on equity and a net margin of 12 %. We offer 35 % of our shares to investors for financing 65 % of the equity in two rounds: a firm commitment of 62,000 out of 95,000 in total on the first round and an option of 223,000 out of 347,000 for the second round. It is a highly profitable opportunity for an investment with moderate risk. Both, long term investment and exit by sale are promising, since the market for work life management will increase significantly.

BUSINESS PLAN

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1. THE COMPANY 1.1. BUSINESS MODEL The Work Life Management-Agency (WLM-Agency) is an electronic marketplace for companies under contract (our customers). We enable their employees (consumers) to order per mouse click services that simplify the organization of private life. The WLMAgency offers an electronic hub for connecting demand of employees and supply of high quality services. Employees can order in particular: childcare, eldercare, services around household.

These are the most requested services by employees according to our online survey1 and our workshop at the Chamber of Commerce and Industry Rhine-Neckar (CoC)2. For special requests or general information employees can also call the WLM Care Center 16 hours a day, seven days per week. Our Care Center will take care of any request that might come up regarding such sensitive services. We guarantee high quality standards for the offered services. We will only put service offers from selected certified service providers on the WLM platform and implement a feedback system to ensure the expected quality level. This B2B business helps our customers to recruit and retain especially high potentials and talents and improve their image as attractive employer. According to interviews we had with HR-directors and CEOs3 of various company types, this will be an important competitive advantage for the future4. Due to demographic developments, the competition among companies to hire qualified and talented people will increase significantly especially in Germany. In particular during tough economic times which Germany faces today, those talented employees are crucial to keep the business on the right track. The WLM platform furthermore enables employees to fully concentrate on their career, while having a well-organized private

1 2

See Annex 1 - Results of the Online-Survey with Employees See Annex 2 - Results of the Workshop of WLM-Agency at the Chamber of Commerce and Industry 3 See Annex 3 - Results of the Interviews with Companies 4 See Annex 4 A Quotation from CEO & HR Director of DePuy, a Johnson & Johnson company and Annex 4 B Extracts from studies, Business Week and USA Today. 2/40

life. The efficiency of the employees will increase, so that the company saves resources and money.

Company (Customer)

Offer access to WLM Service Platform as employees benefit

WLM Service Platform helps to attract and retain qualified people

Growth due to new channels & customers

Work-Life Management Agency

Increase of efficiency,

Service Supplier
Availability of high quality services

performance and commitment

WLM-CC provides information and deals with special request

Employee (Consumer)
High quality services by certified supplier

Chart 1: Business Model Overview 1.2. LEGAL FORM The WLM-Agency will be founded in Germany and should therefore have a legal form under German law. Legal forms of other countries might have implications on tax and other issues that are difficult to handle. The founders of the WLM-Agency want to establish an entity which legal form is recognized by customers, suppliers and investors. Therefore, the company is going to be established as a GmbH under German law. The GmbH must have a minimum founding capital of 25,000 EUR, which we can use for doing business only under very restrictive conditions, since this is the minimum ordinary share capital the law requires. Although the shareholders are not individually liable, creditors can always fall back on these capital creditors. A GmbH can be run by the managing directors. A supervisory board is not required since the WLM-Agency
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will employ less than 500 employees. The German Parliament has just amended the GmbH law which came into force on November 1st, 2008. These reforms make the foundation of a GmbH much easier, quicker and less expensive. The new version of GmbH called Unternehmergesellschaft (haftungsbeschrnkt) which can be founded without a minimum of capital has not been recognized among the German society and will therefore not be taken into account as a real alternative to the well-known GmbH.

2. OUR SERVICE 2.1. SERVICE DESCRIPTION OF THE COMPANY The WLM-Agency offers companies under contract exclusively access to an electronic marketplace via internet, where their employees can order per mouse click services that help him or her to better coordinate work and private life. This electronic hub connects supply and demand of the most required services of employees which are childcare, eldercare, all services around household and shopping assistance. This is the result of our workshop at the Chamber of Commerce and Industry, our interviews with HRdirectors and CEOs and the online survey with employees. In the beginning, we will focus on these services in order to ensure high quality standards. Only selected suppliers that guarantee high quality services will have access to the marketplace and can offer their services through the WLM platform. Suppliers have to proof our defined quality requirements by certifications. Furthermore, we will implement a feedback system. Users of the platform (employees) are asked to fill out a feedback form in order to evaluate the quality of services they ordered. These feedbacks will be published at the WLM platform so that potential users can inform themselves in order to be sure that they get the expected quality. The feedback system is also an important tool for quality control for the WLM-Agency and their service suppliers. Employees of the companies under contract get access to the platform via internet, so that they can order services 24 hours per day, seven days per week. A company PINCode ensures that only employees of companies under contract have access to the WLM-platform. Our service enables employees to organize their private life in a very simple, convenient and time-saving way. For special requests or general information the
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employees can call the free hotline of the WLM Care Center which deals with all raised questions, concerns and requests. This is important since we deal with very sensitive services. At least in the beginning users might want to have personal contact and later on they want to be sure that they can call somebody who takes care of his or her issues. Especially in cases of emergency it is important to have someone available for immediate responds. Furthermore, the WLM-platform offers advice and useful hints that are related to the offered services (e.g. tax regulation, legal advice regarding employment of East European care takers). Our platform also shows advertisement of companies that offer special services that are interesting for employees, e.g. advertisement of gyms that take care of children or family friendly restaurants and shopping areas. The WLM-Agency agreed with several suppliers that they will offer their services for a special price, if the agency will forward requests from the employees to them. The suppliers agreed that there will be no direct contact between the employees and them. They are willing to agree on that because the WLM-Agency gives them the chance to get a lot more customers within the same region that have the same quality expectations. Furthermore, the WLM-Agency offers them access to consumers whose income is above average are who are willing and able to pay more for the requested services.
Unexpected Services delightful: ROI tools -> , (great place to work reduced absence rate, reduced salary increase), special advice (tax hints, legal issues, feedback system. Augmented Services competitive advantage: -> Customer Care Centre available 16 hours a day / , 7 days per weekhigher work capacity Expected Service buying decision: high -> quality standard, availability

Generic Service electronic hub for connecting supply and demand for special services

Chart 2: The Whole Product Model

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2.2. INNOVATION / COMPETITIVE ADVANTAGE In Germany, the business idea of the WLM-Agency is unique for several reasons. For many years, in Germany, people did not see a need to deal with the coordination of work and private life issues. Mostly, there were traditional families with house wives that took care of all private issues. Several years ago this changed dramatically. Especially women with an university degree want to have both, family and career opportunities. According to our market research results and our personal experience, almost everyone in Germany is aware of this change, but the needs of people who have to coordinate business and private life in Germany are not satisfied. There are institutions, companies and individuals that offer services that are especially requested by working people, but their solutions do not fully satisfy customers needs. We have analysed the needs of employees that have to deal with work and private life issues, and filled the gaps accordingly. Mostly, individuals that offer services like house cleaning, childcare or eldercare are on the black market, e.g. many women from East Europe offer cleaning services for German households although they are not allowed to do so according to EU-law5/6 The WLM-Agency only cooperates with suppliers (individuals or companies) that are officially registered. Consumers are aware of the legal risks and want to hire people on a legal basis. Furthermore, on the current market ordering services is usually time consuming and the suppliers are barely flexible. For instance most German kindergartens are owned by the local government or the church. Those institutions are less customer-oriented. Ordering via WLM platform is quick, easy and 24 hours a day, seven days a week possible. All the employees of our customers have to do, is ordering per mouse click. Private institutions might be different to public kindergartens, but they usually do not offer services on an ad hoc-basis. We offer services on ad hoc-basis or regular basis (once a week, daily services, etc. or only in case of emergency). The WLM-Agency is also unique, because it is a one-stop shop for the most requested services. Although, there are several internet platforms that offer services around household or childcare, but either those platforms only offer one of these services not a
5

There is a huge black market especially in the service sector. In 2001, the police controlled 350 households in Frankfurt. 211 of those households employed foreigners illegally. See Annex 6. 6/40

bundle of the most requested services or they offer several services, but do not ensure quality standards nor offer a comprehensive service package with a Care Center like we do.7 We analysed that the quality issue is the key to success, because the demand side is dominated by qualified employees that expect high quality standards. Therefore, the quality aspect is a very important competitive advantage of the WLM-Agency. The same goes for the special prices our suppliers offer the employees of our customers.8

2.3. VALUE PROPOSITION TO CUSTOMER There are two main aspects on value proposition to our customers (companies). Firstly, the WLM-Agency increases the efficiency of their employees significantly. The WLM platform enables employees to fully concentrate on their daily business, since they do not have to spend much time on organizing their private life. According to our onlinesurvey, today employees on average spend daily 26 minutes at work for organizing their private life. This means that for an employee with an annual salary of 48,000 a company pays him or her 3,036 per year for organizing private issues.9 Nearly half an hour per day is needed, because in Germany, there is still missing an efficient way to organize private life. By having access to the WLM platform the amount of time needed will decrease significantly, since the WLM platform offers the most required services at a high quality standard which can be ordered in a very easy and quick way. The employees save time and our customers save significantly resources and money.10 The second important aspect on value proposition is recruiting and retaining qualified and talented people. The WLM-Agency helps companies under contract to recruit and retain especially high potentials and talents, since especially those employees expect more than only a monthly payment by their employer. According to our interviews with HR-directors,11 nowadays, qualified people who look for a job in Germany prefer companies which enable them to have a career and a private life. This support is not only expected by qualified women, but by all qualified employees that founded a family
6 7

See Chapter 3.2. Market Research Supply: reasons are explained See Chapter 3.3. Competition and Substitutes 8 See chapter 2.1 Service Description of the WLM-Agency 9 See Annex 1 - Results of the Online-Survey with Employees 10 See Annex 7 - A Prognos AG / BMFSFJ 11 See Annex 3 and 4 A/B Results of the Interviews with Companies 7/40

(or intend to have children) together with a highly qualified partner, who also wants to have a career and not stay at home (dual career). Additionally, hard working employees without family also look for support. The interviewed HR-directors and CEOs confirmed that supporting employees at work life management will be an important competitive advantage for the future. Due to demographic developments, the competition among companies to hire qualified people will significantly increase, especially in Germany. As a result of these aspects, companies that offer their employees access to the WLM platform will: have a competitive advantage in recruiting and retaining qualified employees, increase the motivation and satisfaction of their employees, reduce fluctuation and absenteeism and get a reputation as good (best) place to work for.

BENEFITS
Functional : efficiency retention of HP convenient Emotional : attractiveness reliability/quality

FEATURES
intranet platform internet access service offers call center quality certification

VALUE IDEAS
-tailored assistance via customer care center (phone) - bundle of services - partnerships with suppliers = better tariffs address real needs of employees for WLM

happy customer & consumer

Chart 3: WLM Value Creation

2.4. TARGET CUSTOMERS Our target customers are companies that understand the essential need to support their employees in organizing private life. Our interviews with HR-directors and CEO`s of many different companies showed what kind of customers the WLM-Agency should focus on. First of all, the more qualified people a company employs, the more it is
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interested in the WLM platform. Consequently, the more blue collar worker a company employs, the less interested it is. At the same time the interviews made clear that companies that mostly employ top qualified people like big international law firms are very much interested in our services, but expect a maximum service quality that at least in the beginning we cannot ensure (e.g. nannies which are German native speakers and holding a university degree). Many smaller companies said they prefer an individual solution for their employees and see no need to offer everybody within the company access to a services platform. On the other hand, for ethical reasons they deny to offer only a few people access to the WLM-Agency. The workshop at the Chamber of Commerce and Industry Rhine-Neckar (CoC)12 and the exchange with staff of the CoC made clear the target group of the WLM-Agency are companies of the industry that employ several hundred people, up to 10,000. Those companies showed in general the biggest interest, because they are too big to offer their employees individual solutions, have the financial power to invest in their employees and see the WLM platform mainly as a solution for their HR-strategy to retain and recruit talented people. Nevertheless, also companies outside the industry or with less or more employees were very much interested.

2.5. LOCAL AREA The WLM-Agency will start in Germany, because there is a big need for solutions that enable employees to coordinate work and private life easily.13 We will start in spring 2009 in the Rhine-Neckar area around Mannheim. Our workshop at the CoC with potential customers showed that this area has a wide range of industrial enterprises which either already said they want to implement the WLM platform or at least signalled that they are very much interested. Furthermore, the CoC asked us whether we want to build a strategic cooperation, since the CoC intends to implement certifications regarding family-friendliness of companies and looks for a network. The WLM-Agency and the CoC will have to negotiate the details like provisions, etc. This

12 13

See Annex 2 - Results of the Workshop of WLM-Agency at the Chamber of Commerce and Industry See Chapter 2.2. Innovation and Competitive Advantage: background of this special need in Germany 9/40

cooperation will be a door opener for the WLM-Agency, because the CoC in Mannheim has a very good reputation. 18 months after our start, we will expand in other areas with many companies that belong to the target group in Berlin, Bielefeld, Frankfurt, Hamburg, Stuttgart. Each year one or two new areas will be covered.14 3. MARKET RESEARCH A flood of secondary market research information serves as proof for the success of the business model of the WLM-Agency. The following structure helps to gain insights from different perspectives from WLM customers (companies) and their employees (consumers). The statements that are gathered through numerous available studies are supported by pointed primary research methods that get to the heart of WLM business model.

3.1. MARKET RESEARCH - DEMAND Currently a main subject of discussion in economy, society, and politics is the challenge to combine private life especially family with professional life15. We notice that companies now are starting to calculate the benefits of family friendly activities into economic figures. Surveys by the German government suggest that employers motivations to invest in such activities are to: retain high qualified employees (for 83.4%); increase the job-satisfaction (for 81.1%); reduce fluctuation and number of persons on sick leave (for 78.4%).16

On the one hand, 84% of top managers are convinced that family friendliness is a economic factor for Germany17; the deficit of qualified employees becomes acute, this is why employers want to offer them striking features. On the other hand, politics are concerned about the reversed demographic pyramid and try to enable supportive
14

See Chapter 7. Implementation Plan Source: Familienfreundlichkeit auf Wachstumskurs, Bundesministerium fr Familie, Senioren, Frauen und Jugend, August 2008 16 Source: Unternehmensmonitor Familienfreundlichkeit 2006, Institut der Deutschen Wirtschaft Kln 17 Capital-Elite Panel, 2007 10/40
15

measures with various government actions, like tax deduction. Especially childcare services and services around the household are tax deductible,18 since the German government wants to increase the demand for those services and to give an incentive for avoiding the black market. Secondary Market Research Employer Due to the demographic development and the unsatisfying German education system there is a growing lack of qualified employees in the German labor market. Therefore, staff marketing and employer branding become more important. Employee retaining is now considered as an important Key Performance Indicator. According to a survey of the Boston Consulting Group and the World Federation of Personnel Management Association, there is no other resort of HR activities that German personal manager find more important than the demographic change.19

Age structure of the German population in 2006 (Source: Federal Office for Statistics of Germany)

In the Rhine-Neckar Area, 10,678 companies are listed at the CoC. The area is quite healthy. The unemployment rate of 3.9% in Baden-Wrttemberg, the state where RhineNeckar is located, is much lower than the average rate of 7.1% in total Germany20.

See Annex 8 Lecture by Dr. Zuber (PCW) acc 35 a EStG (German Regulation on Income Tax) See whole study at: http://www.bcg.com/impact_expertise/publications/files/Creating_People_Advantage_German_Exec_Su mm_April_2008.pdf 20 Source: German Federal Agency for Labour Affairs, Data from November 2008: http://www.arbeitsagentur.de/zentraler-Content/A01-Allgemein-Info/A011Presse/Publikation/pdf/Landkarten-Eckwerte-2008-11.pdf 11/40
19

18

WLM-Agency has decided to start its business in the region of Zukunft Metropolregion Rhine-Neckar (ZMRN). 37 companies are member of the ZMRNproject with a total sales volume of 48,139 Mio and 158,320 employees21. The population growth forecast of ZMRN area is, with over 102 %, more optimistic than for total Germany22. Employee A strong employer branding is an essential asset in the war for talent. While the amount of work-related accidents decreases, behavioural and psychological disturbances of employees drastically increase. The ratio of absence days increases from 6.6% to 10.5% reports the confederation of German psychologists23 in its evaluation about psychotically health in 2008. A survey24 of 528 employers from companies in Rhineland-Palatinate showed that a well balanced work-private life is very much appreciated amongst the persons questioned. More than two third are convinced that employees performance increase with more family-liked service supplies. In the recruitment of workers, family-friendly measures are seen as an advantage by almost two thirds. In terms of employee turnover (76%) and absenteeism (70%), family-friendly measures are predominantly recognized. Moreover 89% of the employees think that their work performance increases under family-friendly conditions. We also expanded our research abroad. The US research firm Universum conducted a survey among 44,000 undergraduates in the US and found out that the future generation wants work-life balance, because they know they will be working more hours.25 Several experts who have been interviewed by the USA Today made the same conclusion.26 With a look on the different generations on the work place, nowadays, four generations are present: Veterans, Boomers, GenXers, and Generation Y (or Millennials). Each

21 22

See Annex 10 - Members of ZMRN e.V. See Annex 11 Situation in Metropolregion Rhine-Neckar, June 2007 23 Berufsverband Deutscher Psychologen - BDP 24 See Annex 12 - Family-friendly working conditions in Rhineland-Palatinate - Present and Future 25 Business Week, September 18, 2007, The Bottom Line on Next Gen Workers 26 USA Today, June 11, 2005, Generation Y: They've arrived at work with a new attitude 12/40

generation has different perceptions of leadership and work27: Amongst a total of 758,458 employees in the ZMRN area, the most represented are GenXers followed by Boomers. GenXers want work life balance now, Boomers are the Sandwich Generation which have to manage childcare and eldercare at the same time. The number of employees that themselves hire people for private issues increases, but there is still a gap between potential and actual utilization. Needs for developing a more balanced life are there and very promising for the WLM-Agency28.

Primary Market Research Employer We did our primary research especially in the fields of our potential customers. We started first in gathering information during 14 interviews with CEOs or HR directors of many different companies and various industries and sizes throughout Germany29. These interviews showed that companies that employ qualified employees and talents recognized the importance of offering family friendly actions and other supporting measures in order to meet this request in the labor market. However, only few companies, mostly large corporations, offer work life management activities like childcare, holiday camps for kids or concierge services to cover daily lifes needs. This gap between expectation and reality explains why most of the interviewed companies were very much interested in our services. We concluded from these interviews, that the higher the number of qualified employees, the bigger the interest. In cooperation with the CoC, the MBS, and the Metropolitan Region Rhine-Neckar, we then organized a company workshop in order to present our business model and to check the demand and the need of services. The CoC invited for us industrial companies from the Rhine-Neckar area which are members of the network of family friendly companies of the Forum Vereinbarkeit Familie und Beruf. The discussions showed that big corporations like Roche Diagnostic, MVV or John Deere offer family friendly actions, while middle size and smaller companies like Pfalzwerke and MBS do not have the HR resources to organize

27 28

See Annex 13 Actual Number of Employees in the Metropolregion See Annex 14 - Employees as Employers 29 See Annex 3 and 4A/B - Results of the Interviews with Companies, CEOs and HR, study extracts 13/40

these supporting services. All of them have a high demand in these services, which are not yet all covered. This workshop helped us to determine the target group of customers and the main services requested from employer side, which are again childcare, eldercare and all services around household. Further it gave insights about additional service expectations.

Employee To identify the real need of German employees we undertook an extensive online survey.30 Responses from about 320 employees throughout Germany have been collected and analyzed. Participants were members from BPW (Business Professional Woman Association), MBS, students and alumni, and others. Industry branches and sizes representation were dominant in services and research/University. Their company culture are mainly German style. The most interesting and important outcome of the survey is the fact that a German employee spends about 26 minutes of his/her working time for private issues. This time is used for organizing their private life: individual and family needs. The most wanted services are all kind of care: for children, elder people, pets, but also services around household and car washing. Whatever personal issues are solved during this 26 minutes, the costs for the employer are significant. An average of 26 minutes per day means 92 hours per year, 11 working days per year. This leads to costs of 3.036 , lost per year and per employee! The calculation is based on 211 working days per year and an average yearly salary of 48,000 .

3.2. MARKET RESEARCH SUPPLY According to the results of the online survey31 and the company workshop32, the most requested services from companies and employees are childcare, eldercare and all services around household. In general there is a wide and growing range of service offers available, mostly offered by B2C companies. This includes local offices, regional

30 31

See Annex 1 Results of the Online-Survey with Employees See Annex 1 Results of the Online-Survey with Employees 32 See Annex 2 Results of the Workshop of WLM-Agency at the Chamber of Commerce and Industry 14/40

and interregional organizations, municipal institutions, individuals, and finally, a lot of internet platforms with a selection of service offers, which deliver the requested services directly or just link demand and supply. Interviews with selected service providers demonstrated the high interest in future collaboration with the WLM-Agency, in order to enter in the B2B business and increase turnover33. As we will start our business in the Rhine-Neckar area, the supply research was mainly focused on this region34, but also in Frankfurt and Berlin.

Childcare According to the Federal Statistical Office, currently just 17.8 % of children below 3 years are provided with external childcare service (12.2 % in West Germany, 42.4% in East Germany). The coverage of children that are between three and six years old is about 89%.35 According to the law for expansion of childcare for children under the age of 3 years (TAG) and the law of child advancement (Kinderfrderungsgesetz - KifG) the Federal Government aims to cover 35 % of those children by 201336. This means the creation of 230,000 additional seats in childcare institutions and the increase of care quality. In 2008, the German Chamber of Commerce (DIHK)37 executed a survey with 6,700 public childcare institutions. According to this survey, there is still a high lack of childcare beyond the opening hours, emergency care, holiday support and also of qualified personnel. Only 6% of these childcare institutions are cooperating with companies by offering some contingents. A good alternative to childcare institutions are day mothers which are organized by day mother associations or youth welfare offices. Main difference to childcare institutions is that they offer a higher flexibility regarding the individual needs of childcare and cover the lack of childcare for children under three years. The Federal Government started initiatives to optimize the framework of day mother regulation in order to increase their qualification and to ease the organization38.

33 34 35 36 37 38

See Annex 15 B - Quotations of Service Providers that are willing to cooperate with WLM-Agency See Annex 15 A/B/C Interviews and Quotations with Supply Rhine-Neckar Federal Office for Statistics, Press Releases No. 54 and 495 from 2008 http://www.bmfsfj.de/Politikbereiche/Familie/kinderbetreuung.html http://www.dihk.de/inhalt/informationen/news/meldungen/meldung011092.main.html http://www.handbuch-kindertagespflege.de/bmfsf 15/40

The CoC Rhine-Neckar just developed a databank for childcare with exclusive access for their members39. This databank includes all services around childcare, including childcare institutions, day mothers, babysitting, holiday camps and school tutoring. In order to offer their clients an optimal quality, the CoC organized education programs for babysitters and day mothers. As the CoC offered us future collaboration, this databank could be linked with our service platform. In addition to that, a lot of B2C service providers offer in their portfolios childcare executed by their own certified staff. Those service providers showed the most interest to work with us since they have a big interest in expanding and getting in touch with high income clients. The main challenge for the WLM-Agency is to organize a reliable concept for childcare out of a high variety of offers.

Eldercare By 2030, one of three citizens will be older than 60 years. Furthermore, the German population is decreasing. In order to cover the growing need in eldercare the Federal Ministry for Family Affairs developed a concept to promote the attractiveness and to optimize the qualification of the care and nursery profession40. Our company workshop showed that the demanded services of eldercare are not the nursery services, as these are well organized on a professional level. Most important is the daily support of elderly people or their families, like organization of household, cooking, shopping or just entertainment. Therefore, our main goal is to cover the demand for eldercare by offering services around household.

Household: International comparisons show that the key to success for the introduction of household services is the reduction of administration and easy organization for service providers. The continuously increase of so called Minijobs in private households of Germany, demonstrates that this is a real alternative to the black market on a legal base. Minijobers are people who work part time, earn up to 400 EUR net per month and do not have to pay social security contributions. Income tax of 20 % can be paid by the employer. These attractive conditions encourage people who only want to

39 40

http://www.phpserver001.de/mrn/kinderbetreuung.html http://www.bmfsfj.de/bmfsfj/generator/Politikbereiche/aeltere-menschen.html 16/40

work a few hours per month to do so rather on a legal base than on the black market. Another activity to promote family supporting services is the innovation competition Unternehmen Familie (= company family). The German Minister for Family Affairs, Ursula von der Leyen, awarded the 12 best projects Company family - innovation through family supporting services.41 Besides B2C service providers, who are offering a range of services around household, gardening and pet care, a lot of local offices and shops cover daily needs, like washing and cleaning services, car washing, shopping services, delivery of beverages, window cleaning etc. In brief, there is a high offer of service supply. The main challenge for the WLMAgency is to identify out of the variety of service providers the right mix of reliable and qualified suppliers. There are internet companies, that offer a range of B2C services provided by their own certified staff. These companies which have a network all over Germany due to franchise concepts are potential future suppliers. But also the collaboration with local institutions and shops are essential, because of the proximity to the customer. Finally, strategic alliances with institutions like the regional CoC are qualified sources for supply.

41

The Innovation competition Unternehmen Familie (company family) based on BOSCH foundation and BMFSFJ http://www.unternehmen-familie.de/ 17/40

3.3. COMPETITION AND SUBSTITUTE Generally there is only a small number of competitors, which offer WLM services B2B and only a few substitutes. The following table shows the main competitors and substitutes. The most important features are categorized and evaluated in comparison to the WLM-Agency.42

Company WLM Agency Electronic Marketplace

Exclusivity only available for companies under contract, B2B only available for companies under contract, B2B

Local Excellence

WLM Service Offer

Ease of Handling

Quality

Payment system

****

****
strong local focus, customer proximity

****
bundle of WLM services childcare, eldercare, household services

****
quick and easy, per mouseclick and hotline, preselection + control of certified service poviders

****
high quality due to clearly high quality due to clearly defined quality standards and quality control

****
simple, fixed membership fee for companies, employee pays services

PME Familienservice GmbH Consulting Service placement

****

***
located in 26 cities in Germany, Austria Switzerland

**
focus mainly on childcare, own kindergartens, organize nanny education, starts eldercare, WLM

**
time consuming due to extensive consulting before service placement

**
quality standard according individual demand lack due missing competition

**
complicated credit point system, company pays for consulting and service placement, employee pays services directly to the provider

Besser betreut GmbH Electronic Marketplace

*
available for everybody, B2C

*
all over Germany

**
childcare, eldercare pet care, no houshold services

**
permanent service offers after registration, contact to service provider via email, no hotline, process of selection difficult no information inhouse concierge system (no further information)

*
no quality control no quality standards

***
simple, monthly user fee, payment of service provider directly by users no information fixed payment for allocation of concierge system, payment of provided services

Caretaker GmbH Concierge System

****
only companies under contract, B2B

no information present in 5 cities in Germany

**
no specialisation on WLM, offices, estates, seniors. employees, neighbor ship

**
quality of WLM not reliable due to missing experience in this area

Public Institutions (i.e. municipal kindergarten)

*
available for everbody, B2C / B2B very small offer of company contingents

****
strong local focus

*
no bundle of WLM services, focus on individual services like i.e. childcare

**
selection process difficult, limited availability

**
quality standard depends on institution and region, suffer due to lack of finance

**
complicated payment system due to the mixture of public and individual payment systems

Black Market

*
available for everybody, B2C, legal risks

****
strong local focus

*
offer of individual services, mainly housecleaning

*
time consuming limited availability

*
quality standard depends on individual skills, no reliability lack of certification and control

*
payment directly, legal risks

Table 1: List of Competitors and Substitutes

42

* low, ** medium, *** good, ****excellent 18/40

The biggest competitor is the PMEFamilienservice GmbH. Our interviews as well as our workshop at the CoC showed that many companies are not completely satisfied with the collaboration with the Familienservice: on the one hand they mainly do intensive and time consuming consulting of employees and on the other hand their payment system is very complicated. The companies under contract have to pay according to a credit point system, which most of the interviewed companies could not even explain. Besser Betreut GmbH: does not have any quality control. Everybody is allowed to register and to offer services. The interviews and the workshop showed that quality control is crucial for all of our potential customers, so that betreut.de is not a real competitor. CareTaker GmbH is not specialized on the services we offer and has no quality guarantee.

Substitutes: Public institutions do mostly not cover the needs of fulltime employees and have a limited availability. The main substitute for the WLM-Agency could be the black market. Especially household services and eldercare are offered on the black market, because of the lack of sufficient infrastructure in Germany. The WLM-Agency deals with this lack by coordinating supply and demand in the selected areas. Furthermore, consumers prefer to order services on a legal basis, since the majority fears the legal risks of hiring people illegally. For companies these legal risks are even higher, so that the black market is not a real alternative to the WLM-Agency.

4. MARKETING AND SALES 4.1. MARKETING AND SALES STRATEGY The Marketing and sales strategy reflects the vision, mission and values of the WLMAgency.43 The strategy is focused on the value creation for companies who want to offer WLM services to their employees in order to have on one hand a competitive advantage in recruiting and retaining qualified employees, on the other hand an increase

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in work efficiency. Additionally, the strategy is focused on the need of these qualified employees.

4.2. POSITIONING As mentioned44 the WLM-Agency targets industrial companies which employ between several hundreds up to 10,000 people. These target companies expect high quality. Not only the services that employees can order per mouse click have to be of high quality, but also all other issues around the business relation between us and the company and their employees. This means that the platform must be reliable, the WLM Care Center available and led by qualified staff and finally the payment system has to be simple and comprehensible. This expected level of quality is different from those of big international law firms and consulting companies. Consulting and law firms which demonstrated a very high interest in the service platform expect not only high quality but top quality standards45. As this cannot be guaranteed in the beginning, we will start at the industrial segment. Later, with growing experience, we might enter the top tier segment. Manufacturing companies which employ mostly blue collar workers are not interested in our services at all, not even at a low quality level. Even if those production companies would get interested they probably will not ask for our quality segment. Therefore these companies are not potential future clients.
Top Quality expected by big international law firms, consulting companies etc. with a very high number of high potentials High quality expected by industry, banks, insurance companies, with a high number of qualified employees

No significant need, not even for low quality; Production sides and plants

Chart 4: Positioning in the Market Pyramid

43 44

See Annex 17 - Vision, Mission, and Value of WLM-Agency See Chapter 2.4. Target Group and Local Area 45 See Chapter 2. Target Customer 20/40

4.3. SALES AND DISTRIBUTION A strategic cooperation with the CoC Rhine-Neckar will be an important way to get in touch with our target companies, since the CoC has a significant network of family friendly companies and a very good reputation. Our second distribution channel will be direct contacts to CEOs or the HR directors of companies that might be interested. Since it is difficult to get in touch with unknown and busy managers, our general manager has to look for ways that allow him to meet those people. So he has to join business organizations, interest groups, participate in local activities, as described in chapter 4.5. In a later stage, after having developed a brand name and a reputation, sales will be proceeded by a sales and key account manager.46 The same concept of distribution channels applies for the other regions we will do business at. In the long run the distribution through a franchise concept could be considered.

Contracts Total Rhine Neckar Berlin Bielefeld Frankfurt Hamburg Stuttgart

2009 6 6

2010 20 15 5

2011 42 22 15 5

2012 126 36 30 13 30 20

2013 205 50 40 20 40 30 25

Table 2: Number of Contracts within the first 5 years

4.4. SPECIAL SERVICES It is an important strategic goal to achieve customer loyalty and retention. Therefore, we will offer in addition to the service platform a selection of supporting services to the companies and their employees. At the beginning of a business relationship with our customer an online survey will be proceeded, in order to find out which services the

46

See Chapter 7. - Implementation Plan. 21/40

employees of our customers exactly need. Installation, maintenance and actualization of the platform are evident services which are included. In addition to that, the establishment of a ROI (Return of Investment) tool is planned. By this tool the company will be provided with monthly or yearly statistics about the number of users and the number of requested services. In order to optimize the services to the final consumers (employees) we establish the WLM Care Center which has comfortable opening hours and well trained staff. Based on a feedback system of the employees, a rating system with information about the service quality will be published. The platform will also publish general information and news about family friendly institutions, like restaurants and shopping areas, as well as local child related activities and education programs, information about tax deductions for childcare services, etc. In the long run, we plan the further development of the service platform with an advanced functionality for the users such as personalized discount package to employees, voucher mechanism, billing and invoice details. We will target a roadmap of functionalities to consumers such as online booking of services, and online payment of services. 4.5. PRICING STRATEGY The pricing strategy follows the general marketing and sales strategy which is, on one hand, focused on the value creation for our customer (company) and the final consumer (employee) and, on the other hand, on our value proposition, which is described with the three keywords: quality, reliability and efficiency. The pricing concept includes: a monthly membership fee for the companies under contract the costs of services provided by service providers the provision for the ordered services the revenues from affiliated marketing.

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Company

Membership Fee

Financial Support

Work-Life Work-Life Management Management Agency Agency

Provision Service Supplier

Employee

Payment of the services to the supplier

Chart 5: Pricing concept

Membership fee The customer (company) has to pay a fixed monthly membership fee, based on a yearly contract. The company workshop has confirmed that a fixed membership fee is the preferred payment system, justified by two reasons: less administration and tax advantages. The price of the membership fee is related to the value proposition to the customer and mainly based on three aspects: I We sell high quality, reliablility and efficiency and offer a unique solution which includes a comprehensive service package: II process of making our platform available for companys employees pre-selection and availability of high quality and reliable services via our platform matching demand of employees and supply of requested services guaranteeing the flow of the requested services and special service package described in part 4.4.

Increase attractiveness of companies as employer by offering the WLM platform to their employees.

III

Increase efficiency of employees: Savings of the company due to the increase of employees efficiency.

In the pricing model there is no differentiation between big, medium or small companies. The financial effort in offering the service platform does not depend on the company size, but on the number of users. A scaled pricing system, calculated on the
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estimated quantity of users will be implemented. The number of real users can be revised due to the ROI tool.

Number of employees that use WLM services 50 50- 200 200 500 500 1000 1000 5000

Average fee per user 200 120 57 40 24

Yearly membership 10,000 15,000 20,000 30,000 40,000

Table 3: Membership fee

Service Prices The service prices are based on two facts: The final consumers are primarily qualified employees and high potentials who have a higher income. It is a clear strategic goal to offer reliable services with a guarantee of high quality, executed by certified service providers.

Therefore, the pricing is based on the right price performance ratio and not on competition with the low price segment or the black market. Good quality, reliability, flexibility, certification and the ease of booking are the competitive advantages, which justify higher service prices. Nevertheless, there will be a price reduction for employees that order through the WLM platform, since the WLM-Agency negotiated a price reduction with suppliers, who agreed on that because they expect increasing turnovers and benefits from economy of scale.

Service Household services Childcare / eldercare Babysitting, tutoring of homework etc. Others, i.e. concierge services, shopping, pet sitting etc.

Price per hour 16 - 19 18 - 22 9 - 12 7 - 10

Table 4: Service Prices

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Provision The supplier has to pay a provision to the WLM- Agency in two ways: 3% - 5% of the service turnover, (tailored, depending on sort of services used) or unique allowance, based on fixed service contracts (full time, half time etc.).

The service provider will agree on the payment of provision as he will achieve an increasing service turnover with lower payment risks due to solvent customers. Additionally, he will gain a competitive advantage against the increasing number of B2C service companies.

Affiliated Marketing The WLM-Agency will provide on the service platform information about family friendly locations, like child orientated restaurants, shopping areas with childcare service, etc. This additional service is based on the results of the workshop at the CoC Rhine-Neckar, where the participants asked for that kind of information on the WLM platform.47 The advertisement of the family friendly companies offers an additional income source based on the concept of affiliated marketing. (Internet banners).

4.6. PROMOTION Our promotion strategy is focused on the development of the brand name and the reputation as a high quality and reliable service company. Promotion activities will mainly be addressed to the target companies but also to their employees. If there are a lot of employees interested in our services, the motivation for a company to invest in the WLM platform will increase. Furthermore, the monthly fee with increase with the number of employees using our services. The development of a web page which is available for both, employer and employee is an important marketing action. Furthermore, high presence on the internet supported by high hit-rates at search engines like Google or Yahoo are very important. In the first year we plan a budget for flyers with information about the company and the services offered. The most important communication channels are the strategic partners,
47

See Annex 2 - Results of the Workshop of WLM-Agency at the CoC Rhine-Neckar 25/40

like the CoC Rhine-Neckar, and memberships in professional institutions and organization. They offer an useful network and also the tool to provide flyers, to publish the internet link of the WLM-Agency. Furthermore, the network enables to enter in direct contact with the relevant persons (i. e. BWP, Chamber of Commerce, Industry Clubs). Partnerships with family orientated organizations like Bndnis Familie (alliance family) or Erfolgsfaktor Familie (success factor family) are important door opener to family orientated companies and can be promoted on our homepage and vice versa. Participation on competitions for WLM or family friendly awards as well as certifications will lead to highly welcome publicity. The participation in professional fairs or HR fairs (PERSONAL 2008) will also be considered. In the following years we plan to publish advertising in some selected business journals in order to reach the CEOs or HRs. (PERSONAL, HRM.de, Human Resources News, Manager Magazin, or WirtschaftsWoche etc.). Finally, we will also put ads on newspapers and magazines employees read reguarly. 5. RISKS AND OPPORTUNITIES SWOT - Analysis of the WLM-Agency:
Strengths: First entrance - open new market Guarantee for high quality services One-stop shop Access to comprehensive service package Opportunities: War on talents Awareness of German government concerning WLM Strategic alliance with Chamber of Commerce Top tier of market pyramid Weaknesses: WLM Care Center is labor intensive Quality management

Threats: Limited availability of high quality services Competition Being copied by other companies WLM not considered as strategic asset

5.1. RISKS (WEAKNESSES AND THREATS) The business model of the WLM-Agency is based on a low investment, especially in the first two years. Furthermore, exit is simple and feasible in short term. All in all, the risks we face are low.
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The WLM Care Center is labor intensive and its value creation is sensitive to the number of consumers using it. We therefore create a very user-friendly platform and evaluate the issues addressed to the WLM Care Center. The quality management is also very important, since quality is a key competitive advantage and our value proposition. In the beginning our general manager will do the quality management, afterwards we hire a quality manager. Furthermore, we developed a pre-selection process for the suppliers we will collaborate with and using our feedback and rating system for controlling. Our success depends on the availability of high quality services. The main task of our company will be to ensure cooperation with selected certified service providers, who can guarantee the availability of the requested services at the expected quality level. We have therefore contacted several certified service providers to ensure that many of them are willing to cooperate48. Especially B2C service providers are very interested in cooperation in order to increase their turnover and to get in touch with promising customers. On the long run a backward integration of the supply might be an option. Like all successful business models, ours might be copied at some stage. Copy rights are not applicable, since our business idea is no patentable invention. We are aware of future competition. We will take the advantages of being first market entrant, gather experience in the pilot phase and develop the concept in order to ensure the competitive advantage. The gathered experience will allow us to expand in other areas in a short time. Furthermore, we have the chance to build a network with suppliers that allow us to enter additionally the very profitable top tier market. Backward integration would also be a major competitive advantage. Finally, cooperation with competitors might be considered, e.g. connections with electronic market places that cannot ensure high quality services on their own. Finally, work life management might not be seen as a strategic asset by the companies. In times of cost cutting it will be a major challenge for us to convince our potential customers that our services will increase employees efficiency and that work life management generally increases productivity.

48

See Annex 15 A/B/C - List of service providers that showed interest in cooperation with the WLMAgency 27/40

For quantitative analysis of the risks see sensitivity analysis.49 5.2. OPPORTUNITIES AND STRENGTH The extensive market research has shown that we have considerable strength and opportunities. Our business model just comes up at the right time. As first market entrant we create and capture considerable value. We keep the competitive advantage by continuously developing the business concept and expanding in other areas while benefiting from synergies. Our one-stop shop and the comprehensive service package are unique on the German market. As mentioned we developed a reliable process to ensure the expected quality level. As shown in chapter 3.1 there will be a war on talents due to the demographic development in Germany and due to the unsatisfying German education system. For companies it is therefore essential to offer not only high salaries but also support on work life management. The awareness of the German government that work life management has an impact on the demographic and economic development has increased and will lead to a rising demand on WLM services. There are already tax deductions on income tax for childcare, services around household and others. The employee does not have to pay income tax nor social security contribution for childcare that is provided by the employer. Furthermore, the German government intends to increase childcare for children under three by 2013 significantly50. The Chamber of Commerce Rhine-Neckar asked for strategic alliance. This is a real opportunity to get in touch with many companies that are interested in our business. Finally, we will have the opportunity to enter the top tier market after having established a reliable network with top service supplier. This segment is very profitable.

49 50

See Annex 17 Sensitivity Analysis and Risk Mitigation For Details see Chapter 3.1. Market Research Demand 28/40

6. BUSINESS SYSTEM AND ORGANISATION

Year 1 No. of customers: No. of employees: WLM Care Center Quality Manager Trainer Tool Support Supply Manager Sales Force General Management IT Total 751 0 0 0 0 1 0 8 71 0 0 0 0 1 0 8 5 0 0 1,5 2 1 1 10,5 8 1 1 2 5 2 1 21 9 1 1 2 6 2 1 22 6 Year 2 20 Year 3 42 Year 4 126 Year 5 205

Table 5: Summary Staff Planning and Functions Our value proposition focuses on three main key words: quality, reliability and efficiency. Therefore, our business organization has to reflect our ability to fulfill these values through appropriate work force, organization and implementation schedule.

Our solution is at first delivered trough out a valued network. This valued network is relying on dedicated organisation to the family awareness such as regional chamber of commerce, etc. Our sales force will heavily leverage those network to gain access to B2B (target customers). Our strategic sourcing is a key success factor and will be supported by a supplier homologation process relying on key certification. We intend to develop a strong continuous evaluation process using online rating by employee using a moderation step. Solution access is granted through an e-platform which we intend to develop in five steps, one per year, funded by our earnings. Business delivery function is implemented with a Care Center that we expect to be the main contact point of employees when starting using our solution. We expect each
51

Minijob contracts during the first two years 29/40

employee to call at least 3 times a year for 30mn workload at the beginning of our operation (inclusive of the request assessment, search and contact and delivery of the service). We expect this call rate to drop as we improve our e-platform and gain experience. We will start up using minijobs contract type and a light organisation requiring a virtual phone network, before converting our WLM Care Center into a full time position and physical office structure in order to leverage our know-how and improve our quality to employee. Depending on our structure the number of positions will evolve over time. We plan to invest in a knowledge database (similar to a customer business intelligence tool support) in order to leverage our WLM Care Center.

7. IMPLEMENTATION SCHEDULE We reasonably foresee two main parts in our development: a business development step and a business roll out phase.

7.1. FIRST 2 YEARS: THE BUSINESS DEVELOPMENT PHASE OR PILOT The first 2 years as a start-up, the WLM-Agency will mainly focus on sales and related supply. The challenge is to gain first sales contracts, and build reliability and quality image through chosen suppliers. This is why the first two years, our manager will deal directly with supply issues in order to select, follow and manage partnerships with adequate suppliers. The quality issue will be his or her main topic to ensure that our value proposition is respected. For this, suppliers will be selected proving their certification for childcare, and other services. These certifications will be regularly challenged and measured via follow-ups and customer feedbacks. Our second main focus will be on the WLM Care Center as it is the personalisation tool to the final consumers (employees). To animate this Care Center, while keeping costs under control, we intend to hire minijobers (home office) that will be trained regularly to ensure quality and reliability. To facilitate the ease of use of the services the WLMAgency will give to their final consumers the possibility to request services online through out a website.

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The Rhine-Neckar and Berlin area will provide the necessary learning experience to redesign a scalable business operation and e-platform.

7.2. AFTER THE 3RD YEAR: We think that at the beginning of the third year our manager will be able to hire a full time person to take this quality & supply issue in charge as it is one of our main value proposition. During the third year we will strengthen the business by converting minijobs into hired professionals and build our knowledge support database. We will prepare our main investment in our e-platform by hiring a IT professional and develop a sales team. The Bielefeld area will be the main target with this new sized-up business. During the forth year, we should be able to hire additive people to insure a sustainable development while keeping our customer value high. To improve our quality and skills levels align with our value proposition we intend to hire a permanent internal trainer. To deal and manage our customer relationship we will invest in the construction of our e-platform: from a simple website during the first two years, we target a platform enabling advanced functionality for our corporate users such as personalized discount package to employee, voucher mechanism, billing and invoice detail. We will target a roadmap of functionalities to consumers such as online booking of services, rating of services, online payment of services, etc. At the same time, we intend to expand our sales force to assist the general manager in gaining and following customers contracts. Our target during the forth year will be Frankfurt and Hamburg. All other functions such as accounting, payment, administration, legal issues will be outsourced. 8. FINANCIAL PLANNING AND FINANCING 8.1. STRUCTURE AND CAPITALIZATION The WLB-Agency intends to grow from a seed company the first two years to a sizeable business model from the third to fifth year. Therefore, the legal form has to be both suitable to a German start up but also limit owners liability in order to mitigate risk. This is why we have decided to establish our company as a GmbH with 25,000 of fixed capital52. The management team intend to develop our activities into two steps:

52

For further details on the legal form see Chapter 1.2. 31/40

First step (year 1 and 2): The management team will settle the company on the market with offering the expected quality level with minimum investments (light platform development, lean structure composed of minijobs and a general manager). For this step one, the company needs a total of 95,000 from which 25,000 are fixed capital needed for founding the GmbH and 70,000 for the settling of operations. Once this pilot model is validated, the team intends to go one step further in developing our activities. The second step (year 3 to 5) will allow to develop very quickly professional database knowledge, a fine-tuned website, and to hire skilled staff. These two steps are mandatory in order to become a leading player on the market and bring cash in what would allow the WLM-Agency to enter additionally the 3rd the top tier of the pyramid as a third step. WLB-Agency intends to capitalize the company with full equity during the starting phase then to use debt as leverage in order to reduce the costs of financing. We will then be in a position to accumulate cash and invest heavily in the 6th year. To enter this business with us, the team offers investors 35 % shares of WLM-Agency for 65 % of the total investments. This means a first investment of 62,000 to start the business and an option to invest 225,000 in a second round. The founders will bring the remaining capital. 8.2. THE FINANCIAL PLAN53 As stated in this business model, the company aims at being a service provider to companies that want to retain high potentials and offer alternative solutions to their managers to improve efficiency. 8.2.1 THE INCOME STATEMENT Given these hypotheses, the main estimations concerning revenues are derived from the number of contracts54 settled both with potential customers and related business with the suppliers. WLM-Agencys potential customers have been evaluated according to the extensive market research, statistics and figures given by the CoC or other sources.55

53 54

See Annex 18 Financial plans For number of contracts with customers see Part 4.3. 55 See annex for interview results, statistics and result of workshop at the Chamber of Commerce. 32/40

The essential streams of revenues come from the customers, the suppliers and in a later stage from advertisement56. The flow of the revenues is in line with the companys forecast of geographical expansion. Income Statement of WLM-Agency 2009-2013 (base case):
2009 2010 2011 2012 2013 2009 2010 2011 2012 2013 Realistic Realistic Realistic Realistic Realistic Realistic Realistic Realistic Realistic Realistic Operating Revenue Operating Revenue Total Revenue Total Revenue Cost of Sales Cost of Sales Gross Margin Gross Margin Gross Operating Profit Gross Operating Profit Cost of sales Cost of sales R&D R&D G&A G&A Selling (sales & mkg) Selling (sales & mkg) Advertising Advertising Operating Profit Operating Profit 106 126 106 126 106 126 106 126 148 358 148 358 -- 44 357 44 357 -- 42 232 42 232 148 358 148 358 -- 12 405 12 405 1 242 1 242 0 0 -- 55 879 55 879 355 993 355 993 355 993 355 993 189 147 189 147 151 496 151 496 166 846 166 846 189 147 189 147 -- 28 602 28 602 4 285 4 285 0 0 133 959 -133 959 758 979 758 979 758 979 758 979 528 773 528 773 188 406 188 406 230 206 230 206 528 773 528 773 -- 254 116 254 116 186 210 186 210 0 0 210 120 210 120 2 385 451 2 385 451 2 385 451 2 385 451 927 758 927 758 1 371 269 1 371 269 1 457 694 1 457 694 927 758 927 758 -- 451 233 451 233 655 211 655 211 0 0 351 250 351 250 351 250 351 250 86 425 86 425 264 825 264 825 12 704 12 704 277 529 277 529 10 978 10 978 266 551 266 551 93 293 93 293 184 236 184 236 173 258 173 258 173 258 173 258 35% 35% 3 925 065 3 925 065 3 925 065 3 925 065 1 042 128 1 042 128 2 750 637 2 750 637 2 882 937 2 882 937 1 042 128 1 042 128 -- 506 397 506 397 750 001 750 001 0 0 1 626 539 1 626 539 1 626 539 1 626 539 132 300 132 300 1 494 239 1 494 239 31 082 31 082 1 525 321 1 525 321 47 375 47 375 1 477 946 1 477 946 517 281 517 281 1 008 040 1 008 040 960 665 960 665 960 665 960 665 35% 35%

Operating Profit before Depreciation (EBITDA) -- 55 879 Operating Profit before Depreciation (EBITDA) 55 879 Depreciation Depreciation Operating Income After Depreciation Operating Income After Depreciation Interest Income Interest Income 2 125 2 125 58 004 58 004 524 524

133 959 -- 210 120 133 959 210 120 15 350 41 800 15 350 41 800 118 609 -- 251 920 118 609 251 920 1 379 -- 1 379 119 988 -- 251 920 119 988 251 920 -- 119 988 119 988 41 996 41 996 77 992 77 992 77 992 77 992 5 841 5 841 -- 257 760 257 760 -- -- 251 920 251 920 -- 257 760 257 760

--

Total Income Avail for Interest Expense (EBIT) -- (EBIT) Total Income Avail for Interest Expense 57 480 57 480 Interest Expense Interest Expense Income Before Tax (EBT) -Income Before Tax (EBT) Income Taxes Income Taxes Net Income from Continuing Operations -Net Income from Continuing Operations Net Income from Total Operations -Net Income from Total Operations Total Net Income Total Net Income Tax Rate Tax Rate -- 57 480 57 480 -- 57 480 57 480 57 480 57 480

-- 57 480 57 480 35% 35%

77 992 -- 257 760 77 992 257 760 35% 35% 35% 35%

The main streams of costs are related to operating activities and investments in the platform. The first two years costs concerning operating activities are quite low as the management team begins with minijobs with relatively low wages level and no office location costs. As well the investments for the platform remain quite reasonable. This leads to a loss of 57,480 the first year but a small profit of 77,992 in the second year due to an increase in number of contracts. In the third year the costs will skyrocket because of the switch from minijobers to skilled full time employees. As well, WLM-Agency supports a big investment in the

56

See Annex 19 Examples of Prices for Banners on Web Sites 33/40

platform and database knowledge. Although the team continues to expand geographically, to gain contracts and uses debt to reduce financing costs, these heavy investments wont allow us to be in a profitable situation. WLM-Agency will recover from these investments on 4th and 5th year due to the business development and gains in productivity based to more professional staff and IT systems.

8.2.2 THE BALANCE SHEET AND CASH FLOW STATEMENT To be consistent with its business model, the management team intends to keep its earnings from year to year to consolidate its cash position for its 6th year deployment. In this perspective, WLM-Agency will place 80 % of its cash in security bonds at 3.5 % and 20 % of its cash in stocks of companies operating in the same value chain as its business model (yielding an estimated average return of 12 %). The two main financial ratios adequate for the activity concern the return on equity and the net margin. Return on equity yield an average 43 % if the team accepts the two years of equity funding. As well the net margin is close to 12% in average on global activities.

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Balance Sheet of WLM-Agency 2009-2013 (base case):

All amounts ,, All amounts 2009 2009 Realistic Realistic 2010 2010 Realistic Realistic 33 608 33 608 29 260 29 260 0 0 0 0 62 867 62 867 61 400 61 400 17 475 17 475 43 925 43 925 15 598 15 598 122 391 122 391 2011 2011 Realistic Realistic 70 192 70 192 62 382 62 382 0 0 0 0 132 574 132 574 167 200 167 200 59 275 59 275 107 925 107 925 15 598 15 598 256 098 256 098 2012 2012 Realistic Realistic 25 701 25 701 196 064 196 064 0 0 0 0 221 765 221 765 345 700 345 700 145 700 145 700 200 000 200 000 50 250 50 250 472 015 472 015 2013 2013 Realistic Realistic 851 385 851 385 322 608 322 608 0 0 0 0 1 173 993 1 173 993 529 200 529 200 278 000 278 000 251 200 251 200 242 383 242 383 1 667 576 1 667 576

Assets Assets Cash and Equivalents (yc blocked account)698 24 Cash and Equivalents (yc blocked account)698 24 Receivables 8 723 Receivables 8 723 Inventories 0 Inventories 0 Other Current Assets 0 Other Current Assets 0 Total Current Assets Total Current Assets 33 421 33 421

Gross Fixed Assets (Plant, Prop, & Equip,) 500 8 Gross Fixed Assets (Plant, Prop, & Equip,) 500 8 Accumulated Depreciation & Depletion 2 125 Accumulated Depreciation & Depletion 2 125 Net Fixed Assets 6 375 Net Fixed Assets 6 375 Intangibles & other Non current assets -- Intangibles & other Non current assets Total Non Current Assets Total Non Current Assets Total Assets 39 796 Total Assets 39 796 Liabilities Liabilities Payables Payables Short Term Debt Short Term Debt Accrued Accounts Accrued Accounts Other Current Liabilities Other Current Liabilities Total Current Liabilities Total Current Liabilities Long Term Debt Long Term Debt Other Non-Current Liabilities Other Non-Current Liabilities Total Non-Current Liabilities Total Non-Current Liabilities Total Liabilities Total Liabilities Stockholder's Equity Stockholder's Equity Ordinary Shares Ordinary Shares Locked in capital Locked in capital Retained Earnings (accum deficit) Retained Earnings (accum deficit) Total Equity Total Equity Total Liabilities & Stock Equity Total Liabilities & Stock Equity

2 276 2 276 -- -- -- 2 276 2 276 -- 0 0 -- 2 276 2 276 70 000 70 000 25 000 25 000 -- 57 480 57 480 37 520 37 520 39 796 39 796

6 879 6 879 -- -- -- 6 879 6 879 -- 0 0 -- 6 879 6 879

14 617 14 617 -- -- -- 14 617 14 617 36 730 36 730 0 0 36 730 36 730 51 346 51 346

24 912 24 912 -- -- -- 24 912 24 912 69 092 69 092 0 0 69 092 69 092 94 004 94 004

30 876 30 876 -- -- -- 30 876 30 876 298 022 298 022 0 0 298 022 298 022 328 898 328 898 417 000 417 000 25 000 25 000 896 674 896 674 1 338 674 1 338 674 1 667 572 1 667 572

70 000 417 000 417 000 70 000 417 000 417 000 25 000 25 000 25 000 25 000 25 000 25 000 20 512 -- 237 249 -- 63 991 20 512 237 249 63 991 115 512 115 512 204 751 204 751 378 009 378 009 122 391 122 391 256 098 256 098 472 013 472 013

Retained Earnings Retained Earnings Opening retained earnings Opening retained earnings Net profit of the year Net profit of the year Preference Dividends Preference Dividends Ordinary Dividends Ordinary Dividends Closing retained earnings Closing retained earnings --

0 -0 57 480 57 480 0 0 0 0 57 480 57 480

57 480 57 480 77 992 -77 992 0 0 0 0 20 512 -20 512

20 512 -20 512 257 760 257 760 0 0 0 0 237 249 -237 249

237 249 -237 249 173 258 173 258 0 0 0 0 63 991 63 991

63 991 63 991 960 665 960 665 0 0 0 0 896 674 896 674

--

35/40

Cash Flow of WLM-Agency 2009-2013 (base case):

All amounts in ,, All amounts in Operating Activities Operating Activities Cash received from customers Cash received from customers Cash paid to suppliers Cash paid to suppliers Cash paid to employees Cash paid to employees Cash generated from operation Cash generated from operation Interest paid Interest paid Income tax paid Income tax paid Cash flow from operating activities Cash flow from operating activities Investing activities Investing activities Proceeds from sale of eqtp plants Proceeds from sale of eqtp plants Interest received Interest received Purchase of equipement & plants Purchase of equipement & plants Investment In WLF financial Instrument Investment In WLF financial Instrument Acquisition of goodwill Acquisition of goodwill Cash Flow from investing activities Cash Flow from investing activities Financing Activities Financing Activities Proceeds from issuance of share capital Proceeds from issuance of share capital Lock in capital (Gmbh) Lock in capital (Gmbh) Change in bank overdraft Change in bank overdraft Proceeds from non-current borrowings Proceeds from non-current borrowings Repayement of borrowings Repayement of borrowings Dividends paid Dividends paid Cash flow from financing activities Cash flow from financing activities 2009 2010 2011 2012 2013 2009 2010 2011 2012 2013 Realistic Realistic Realistic Realistic Realistic Realistic Realistic Realistic Realistic Realistic

97 403 97 403 -- 25 416 25 416 -- 134 312 134 312 -- 62 325 62 325 --

335 456 335 456 -- 79 090 79 090 -- 138 341 138 341

---

725 857 725 857 170 099 170 099 791 262 791 262

2 251 769 2 251 769 -- 292 799 292 799 -- 1 731 106 1 731 106 227 864 227 864

3 798 521 3 798 521 -- 369 693 369 693 -- 1 922 866 1 922 866 1 505 962 1 505 962 47 375 47 375 517 281 517 281 941 306 941 306 -- 31 082 31 082 183 500 183 500 192 133 192 133 --

118 025 -- 235 504 118 025 235 504 5 841 -5 841 -- -

-- - -- -- 41 996 41 996

10 978 -10 978 93 293 -93 293 123 593 123 593 -- 12 704 12 704 178 500 -178 500 34 652 -34 652 --

- 62 325 - 62 325

76 029 - 241 345 76 029 - 241 345

--

-- -- -- 524 1 379 -- 524 1 379 8 500 -- 52 900 -- 105 800 -8 500 52 900 105 800 -- -- 15 598 -- - 15 598 -- -- --

- 7 976 - 67 120 - 105 800 - 200 448 - 344 551 - 7 976 - 67 120 - 105 800 - 200 448 - 344 551 70 000 70 000 25 000 25 000 -- -- -- -- 95 000 95 000 347 000 347 000 -- -- -- - -- - - 8 909 8 909 24 698 24 698 33 608 33 608 -- 38 000 38 000 1 270 -1 270 -- 383 730 383 730 36 585 36 585 33 608 33 608 70 192 70 192 -- 35 000 35 000 2 638 -2 638 -- 32 362 32 362 44 492 44 492 70 192 70 192 25 701 25 701 -- 240 000 240 000 11 070 11 070 -- 228 930 228 930 825 684 825 684 25 701 25 701 851 385 851 385

Net increase/decrease in cash and cash equivalent 24 698 Net increase/decrease in cash and cash equivalent 24 698 Cash & cash equivalent at begening of the year 0 Cash & cash equivalent at begening of the year 0 Cash & cash equivalent at end of the year 24 698 Cash & cash equivalent at end of the year 24 698

8.2.3 BREAK EVEN AND SENSITIVITY ANALYSIS : The business model is especially sensitive to the number of contracts as part of the costs are either sunk (platform) or
Scenarios Financial expectations

cannot be downsized to a low

Thousands
4000 3500 3000 2500 2000 1500 1000 500 0 -500 NPV High Growth -241 NPV Base option NPV Low Awarness 1043 3647

level of activity ( WLM Care Center 16/24h 7/7d). WLB-Agency reaches its breakeven with 130 contracts during the fifth year. On a realistic scenario, break-even with the forth year of business roll out

36/40

can be reached. Nevertheless this business model also shows a special sensitivity to pricing, cost of capital and operating costs.

This model is build to support 6 areas in Germany with global competencies (WLM Care Center, IT, training, human resource management and quality) to support the development and an e-platform which is intended to automate the end-user experience and increase the productivity of WLMs Care Center. Any increase in manpower cost will have a negative impact on the net income. Some downsizing of the operations can be implemented in order to limit the risk. Total investment relies on the capacity to generate earnings and was phased out over several periods. In a very depressed economy the management team may not be able to sustain its investment plan and loose customer retention as a result. Similarly a lower pricing strategy will adversely affect its net income. The companys financial development plan is highly modular and will help mitigate risk from an economic down turning. Using this pilot run to adjust to more realistic trends and sizing the team may consider several alternatives for the second round of fund raising or exit business.

8.2.4 VALUATION OF THE FIRM : The valuation of the firm has been calculated according to the firm value model as WLM-Agency is using both equity and debt in the developing stage. We took following assumptions to ensure the calculation of the discount rate: Based on German government bonds we estimated a risk free rate of 3.5 %. The risk premium was evaluated at a market average of 6 %. However we estimate that we can apply a 17 % market practice spread based on a high default risk that reflects a risky start up company.57

57

See Annex 20 Default Spread Risk 37/40

For the beta, we have performed a peer group study with some other services companies that gave us an average beta of 1.558 As a start up we consider ourselves as more risky but as investment remains quite low, we have estimated that the beta concerning our company could be of 1.9. Given these assumptions the net present value can be discounted with a rate of 32 %, the 2 first years with full equity then to around 28 % with mix of equity and debt. We also assessed a perpetual growth rate of 1.5 %.59 After five years, the discount rate was approximated to decrease to around 15 %. The firm valuation is very sensitive to the three hypotheses the agency took as low, realistic and high. The low hypothesis gives a negative NPV of 240,740. The difference in value between the realistic estimation (1,043,096) and the highest one (3,647,432) is weighted with a factor 3 which once again stresses the sensitiveness of our model to the number of contracts and prices. We have also decided to introduce debt during the 3 rd year with a minimum leverage of total assets on equity of 25 % to save financing costs and reduce tax. This mix financing allows us to gain 4 % return on equity at least the 4th year (compared to no debt introduction) and to have a strong cash flow position throughout all periods of activities. These financial figures confirm that our business model will be healthy and sustainable even on a quite though market. The management team is sure that the WLM-Agency will be able to capture additionally value from the top tier of the market pyramid. This way the agency will switch from a small fish in a big pound to a big fish in a small pound!

9. EXIT OPTIONS The founders of the WLM-Agency do neither want to sell their business nor to merge or to float it. For investors a long term investment will be profitable, so will an exit by

See Annex 21 Example of beta for service companies 59 See Annex 20 and 21 38/40

58

sale, since the market on work life management is very promising.60 A sale of shares would be simple, because the WLM-Agency will be a GmbH, a limited company.61 In case the business has to be shut down for whatever reasons total exit is also feasible in a short term. First of all, the financial engagement of WLM-Agency is low especially in the pilot phase, and so is the risk of this business project as such. Furthermore, the WLM-Agency as a limited company will keep a low risk profile for the shareholders. We need to be able to terminate all evergreen contracts without cause on short notice. There are different categories of evergreen contracts: 1. Employment and the like, 2. Suppliers and customers, 3. Facilities, telephone etc., 4. Service contracts like cleaning, security, web-services etc.

Employment Contracts: We do not have any direct influence on termination periods of employment contracts as these are subject to mandatory employment laws. However, initial termination periods are short, even under German law. Moreover, employees do not have any protection against dismissal as long as WLM-Agency does not employ more than 10 full time employees (Minijobers do not count as full heads). Other Contracts (points 2.to4.): WLM-Agency can not expect to negotiate 30 days notice for each of these categories. However, for most evergreen contracts it is realistic to assume that a notice period between 30 and 60 days can somehow be agreed upon with the partner if need be, at slightly higher ongoing costs. The real estate market for larger offices may require long term leases, but small offices such as WLM-Agency needs after the pilot phase are available under short term notice periods.

We valued two exit scenarios at the end of each of our business milestones. An exit at the end of the pilot phase is valued at around 25,000 and a termination in five years

60 See Chapter 3.1. 61 See Chapter 1.2. 39/40

time is valued at 270,000 (using a 30% discount rate that reflects our WACC adjusted by a market practice excess spread)

Exit Option Estimate Exit Option Estimate

Employment and the like Employment and the like Suppliers and customers Suppliers and customers Facilities, telephone Facilities, telephone Service contract (Computer rental) Service contract (Computer rental) Exit Cost Estimate Exit Cost Estimate Present value of the option Present value of the option

Pilot Phase Pilot Phase Contracts Notice Unit Cost Contracts Notice Unit Cost

Deployment Phase Deployment Phase Exit cost Contracts Notice Unit Cost Exit cost Contracts Notice Unit Cost

Exit cost Exit cost

7 7 20 20 1 1 1 1

30 30 30 30 90 90 90 90

600 600 1 475 1 475 2 342 2 342 813 813

4 200 4 200 29 500 29 500 7 025 7 025 2 439 2 439 43 164 43 164 25 541 25 541

22 22 205 205 2 2 1 1

90 160 239 90 160 239 30 1 475 30 1 475 30 166 756 30 166 756 90 19 953 90 19 953

480 716 480 716 302 375 302 375 166 756 166 756 59 859 59 859 1 009 707 1 009 707 271 944 271 944

40/40

REFERENCES

Allensbacher Archiv, IfD-Umfrage 10015, Januar 2008. Arbeitsbericht Zukunft fr Familie. Material fr die Medien, Kompetenzzentrum fr familienbezogene Leistungen im Bundesministerium fr Familie, Senioren, Frauen und Jugend (BMFSFJ) ; April 2008.

Audit Beruf und Familie. Mehr Erfolg mit mehr Familie. Eine Initiative der HertieStiftung, 2006. Benchmarking Studie, IZA Bonn/ ExAkt Berlin 2007. Betriebswirtschaftliche Effekte familienfreundlicher Manahmen, Kosten-NutzenAnalyse. Studie der Prognos AG im Auftrag des BMFSFJ ; Berlin 2003. Das richtige Mass an Beteilung von Mitarbeitern. Coaching Newsletter von Christopher Rauen, Ausgabe 2008-01, JG.8. Development of a methodology for the collection of harmonised statistics on childcare. Luxembourg : Office for Official Publications of the European Communities, 2004.

Die Entwicklung der Akademikerbeschftigung. Christina Anger, Christiane Konegen-Grenier, Trends Februar 2008. Echte Mitarbeiterbindung, so erzeugen Chefs ein Gefhl der Zugehrigkeit S.20. Dr. Klaus Dehner, Andreas Schnabel; Wirtschaft + Weiterbildung, Das Magazin fr Fhrung, Personalentwicklung und E-Learning; 06.2008.

Eltern pflegen, so knnen Arbeitgeber Beschftigte mit zu pflegenden Angehrigen untersttzen Vorteile einer familienbewussten Personalpolitik. Beruf und Familie eine Inititative der gemeinntzigen Hertie Stiftung, in Zusammenarbeit mit Prognos AG. Mrz 2007.

Familienfreundliche Manahmen im Handwerk. Potenziale, Kosten-NuteznRelationen, im Auftrag des BMFSFJ, 2004. Familienfreundlichkeit auf Wachstumskurs Handlungsfelder, Zahlen, gute Beispiele. BMFSFJ, Europischer Sozialfonds fr Deutschland, Europische Union, 2008.

Family-friendly working conditions in Rhineland-Palatinate Present and Future . Prof. Dr. Norbert F. Schneider, Dipl.-Soz. Julia C. Huser, Dipl.-Soz. Silvia M. Ruppenthal; Johannes Gutenberg Universitt Mainz, Institute of Sociology ; 2007

Fit for Family, Gobal HR, Information for Parents in Germany. SAP , December 2005. Forum Vereinbarkeit von Beruf und Familie in der Metropolregion Rhine-Neckar. P. Neureither, A. Kiefer, B. Prismantas ;brochure from 2008. Jedes Kind zhlt. Neue Wege der frhkindlichen Bildung, Erziehung und Betreuung. Zukunftsforum Politik, Konrad-Adenauer-Stiftung. ISBN 3-937731-09-1, Sankt Augustin, Mai 2004.

Karrierewege von Professorinnen in Deutschland. Westflsische Willhelms Universitt Mnster, BMFSFJ 2006. Kluge Kpfe - vergeblich gesucht ! Fachkrftemangel in der deutschen Wirtschaft. Ergebnisse einer Deutscher Industry und Handelskammer (DIHK)

Unternehmensbefragung, Herbst 2007. Leben und Arbeiten in Deutschland, Tabellenband zum Sonderheft 1, Familien und Lebensformen. Ergebnisse des Mikrozensus 1996 bis 2004 Statistisches Bundesamt, Wiesbaden, 2006. Managing tomorrows people, the future of work to 2020. PricewaterhouseCoopers LLP ;2007. Pflegestatistik 2005, Pflege im Rahmen der Pflegeversicherung

Deutschlandergebnisse. Statistisches Bundesamt, Wiesbaden 2007. Strkung familienuntesttzender Dienstleistungen. Kompetenzzentrum

familienbezogene Leistungen, im Auftrag des BMFSFJ, 2004. Unternehmenskultur, Arbeitsqualitt und Mitarbeiterengagement in den

Unternehmen in Deutschland. Ein Forschungsprojekt des Bundesministeriums fr Arbeit und Soziales. Frank Hauser, Andreas Schubert, Mona Aicher, Psychonomics AG, BMFSFJ. 2005. Work Life Balance. Motor fr wirtschaftliches Wachstum und gesellschaftliche Stabilitt, Analyse der volkswirtschaftlichen Effekte - Zusammenfassung der Ergebnisse. BMFSFJ ;August 2005.

Vereinbarkeitsmanahmen von Familie und Beruf anhand des Modellprojekts einer nationalen Koordinierungstelle, Modellrechung fr Kosten und Nutzen einer familienbewussten Personalpolitik. BMFSFJ, 2005.

Vereinbarkeitsstudie

der

Metropolregion

Rhine-Neckar,

Ergebnisse

einer

reprsentativen Unternehmensbefragung. Mannheimer Zentrum fr Europische Sozialforschung (MZES), Universitt Mannheim, Dr. Andreas M. Wst, Dipl.-Soz. Christian Stumpf ;Heidelberg 2007.

Annexes
ANNEX 0 ANNEX 1 ANNEX 2 ANNEX 3 ANNEX 4 Founders Results of the Online-Survey with Employees Results of WLM-Workshop at the Chamber of Commerce and Industry Results of the Interviews with Companies A - Quotation from CEO & HR Director of DePuy, Johnson & Johnson B - Extracts from Studies, Business Week and USA Today ANNEX 5 ANNEX 6 ANNEX 7 ANNEX 8 PEST- Model, Germany Black Market in Frankfurt Prognos AG / BMFSFJ Study Lecture about tax benefits by Dr. Zuber (PCW) during Customer Focus Workshop 27th October 2008, Mannheim ANNEX 9 Employees within the scope of national insurance in Metropolregion RhineNeckar, June 2007 ANNEX 10 Members of ZMRN e.V. (Zukunft Metropolregion Rhine Neckar, registered society) ANNEX 11 ANNEX 12 ANNEX 13 ANNEX 14 ANNEX 15 Situation in Metropolregion Rhine-Neckar, June 2007 Family friendly Working Conditions in Rhineland-Palatinate Actual Number of Employees in the Metropolregion Employees as Employers A - Interviews with Supply Area Rhine Neckar B - Companies who confirmed their high interest in future collaboration C Quotations of Supply ANNEX 16 ANNEX 17 ANNEX 18 Vision Mission Value - Statement of WLM Break Even-, Scenario-, Sensitivity-Analysis, and Risk Mitigation Financial Plans

ANNEX 19 Examples of Prices for Banners on Web Sites Example ANNEX 20 ANNEX 21 Default Spread Risk Firm Valuation, NPV of FCF, Example of Beta for Service Companies

Annex 0-1

0. ANNEX 0

THE FOUNDERS

Myriam Besson Renate Echtermeyer Frederic Jaulent Elke Lieb Sabine Mauderer

Finance

Product Management, Key Account Management

Finance, Supply Management, Strategy

Product Management, Marketing

Law, Strategy

Annex 1-2

1. ANNEX 1

RESULTS OF THE ONLINE-SURVEY WITH EMPLOYEES

Link in page: http://freesurveytoday.com/go/index.php?sid=11142&lang=de Sign in page: http://freesurveytoday.com/go/admin Username: emba.wlb Password: r04hge37

Final up-date: 1st November 2008

Size: 317 responses

Participants: BPW (Business Professional Women, MBS Alumni, class mates, colleagues, family & friends and others)

Age Range: => Representative age-group of working people with dominant private needs
36,77% 30,97%

22,26%

3,55% 0 no r eply < 20 y 20 - 35 y (A2) 35 - 45 y 45 - 55 y (A4)

4,52% 1,94%

55 - 65 y

> 65 y

Gender and marital Status: => 87% women, 66% married or living in partnership, 29% single

Income Distribution
Yearly Salary in Euro
31,29% 26,13%

14,52% 10,00% 7,10% 5,48% 5,48%

<40,000

40,000 50,000

50,000 60,000

60,000 75,000

75,000 90,000

>90,000

no reply

Annex 1-3

Industry Branches and Sizes: => Dominant in services and research/university

Com pany Size
41,29%

17,74%

16,13%

15,81%

5,81% 2,90%

very small (<10 st af f )

small (10 - 99 st af f ) middle (100 - 2499 st af f )

big (2500 - 4999 st af f )

coporat e (>5000 st af f )

no reply

Industry Branches

16%

5% 1%

bank / insurance const r uct ion

5%

ser vices r esear ch / universit y

11%

commer ce 41% indust ry IT 11% 5% 5% public service Ot her

Company Culture: => Mainly German business style

C o mp a n y N a t i o n a l i t y

Ger man

An gl - Saxon o

Ot her

11% 6%

83%

Annex 1-4

Children: => 47% no children, 46% 1 to 4 children

Age of Children
107

47 37 33

0-3

3-6

6-10

>10

N u m be r o f C h i l d r e n
0 1 2 3 4 >4 no r epl y

7% 0% 1% 7%

47% 24%

14%

How much Time during Work for organizing private Issues? => in average 26 minutes per day are spent for non business related activities. This equals 92 hours per year, or 11 days per year. Without other breaks i.e. toilette, smoking, coffee, talks.
Private Time during Work

0 - 10 min percent number or responses 30,00% 93

10 - 20 min 22,58% 70

20 - 30 min 15,16% 47

30 - 60 min 16,77% 52

> 120 min 3,23% 6

Annex 1-5

What costs one Employee per Day?

STUNDENSATZKALKULATION
Year/Employee

Copyright 2007: http://www.akademie.de

2007

Person1

Calculation of productive days in calendar per year Saturday + Sunday Bank Holiday per Year Days of Annual Leave Working Days per Year Statistic Lost Days per Year (Illness, move, council offices, etc.) Working Days per Year Calculation of Personal Costs Gross Income per Month (Annual Salary / Working Time per Week / Gross Hourly Wage (w/o wage Employer's Contribution for Social Security Trade Association according Risk Level Other supplementary charges Gross Monthly Wages (incl.wages costs) Gross Hourly Wage (incl. wage costs) Total Annual Labor Costs Personnal Costs per Day Real Labour Costs per Hour Real Calculation Surcharge per Hourly

365 104 13 30 218 3,00% 211

19,90% 1,50% 0,20%

4.000,0 40,00 23,08 796,00 60,00 8,00 4.864,00 28,06 58.368,00 276,02 34,50 49,5

What does this mean for lost time that employer pay in EURO ? => in average 26 minutes per day = 92 hours per year = 11 working days per year (based on 211 working days per year with the cost of 276,- EUR per employee) Summary: 3.036,- EUR money lost per year per employee!

Which Services needs this Time ?: => Both: individual and family needs
Tim e spend for Services 10,65% 11,94% 33,87% 67,74% events (party, birthday etc) 11,94% 19,35% 36,13% car w ash 3,55% 8,39% 17,10% 20,97% 8,06% 4,19% 16,77%

holiday, vacation

house hold

child care

Annex 1-6

How Important is this Service?

Importance of Services
holiday, vacation leisure (sport, theater, cinema, concert etc.) appointments (hairdresser, doctor, cosmetics etc.) events (party, birthday etc) gifts shopping / beverage car wash ironing wash service house hold pet care elder care childcare not important less important neutral important very important

Would you do Online-Booking?: => Caution in online-booking for care-services

Services with Intranet
holiday, vacation leisure (sport, theater, cinema, concert etc.) appointments (hairdresser, doctor, cosmetics etc.) events (party, birthday etc) gifts shopping / beverage car wash ironing wash service house hold pet care elder care child care 6,13% 8,71% 14,52% 28,06% 22,26% 30,32% 34,19% 19,03% 20,97% 34,84% 19,35% 30,00% 25,81%

How Important is following Criteria?: => Childcare is most sensitive in personal contact for those who have children (*caution: 47% have no child)
Importance for Childcare
service at night urgency service not at home service at home flexibility costs references personal contact intranet booking internet booking not important less important neutral important very important

Annex 1-7

How Important is following Criteria?: => Household is most sensitive in reliability & quality
Importance for Household

flexibility

costs

references

reliability

quality

personal contact

intranet booking

internet booking

not important

less important

neutral

important

very important

How often which Service is used?:=> Childcare, household and leisure

How m any hours/w eek

How m any tim es/w eek

3,5

1,5
1 1

1,5

childcare

elder care

pet car e

house hold

0,5 1

wash service

ironing

car wash

shopping / beverage

How m any tim es/year

6 3

17

15

gif t s

event s ( par t y, bir t hday et c)

appoint ment ( hair dr esser , doct or , cosmet cares all? => Yes Its a Benefit sif one Agency ics et c.) leisur e ( sport , t heat er , cinema, concert et c.) holiday, vacat ion

Annex 1-8

One Agency for All Services?

43,87%

29,03%

26,77%

yes

no

no reply

Would you pay more for more Quality?: (It`s expected that care-services are provided in non commercial style)
Agree on Quality for Higher Price
holiday, vacation leisure (sport, theater, cinema, concert etc.) appointments (hairdresser, doctor, cosmetics etc.) events (party, birthday etc) gifts shopping / beverage car wash ironing wash service house hold pet care elder care child care 6,13% 8,71% 14,52% 28,06% 22,26% 30,32% 34,19% 19,03% 20,97% 34,84% 19,35% 30,00% 25,81%

Annex 2-9

2. ANNEX 2

RESULTS OF THE WORKSHOP OF WLM-AGENCY AT THE

CHAMBER OF COMMERCE AND INDUSTRY

Kickoff: 23rd September 2008, Chamber of Commerce and Industry, Rhine-Neckar 2PM to 4PM, Participants: Andrea Kiefer (Chamber of Commerce and Industry, Rhine-Neckar), Ursula

Hornung (John Deere & Company), Armin Krebs (Pfalzwerke AG), Heike Lenz (Roche Diagnostics GmbH), Bianca Prismantas (MRN GmbH), Renate Echtermeyer (Mannheim Business School), Elke Lieb (Mannheim Business School) Subject: Presentation of WLM- Agency in the context of project Forum Vereinbarkeit Familie und Beruf (forum coordination family and career) of the Chamber of Commerce and Industry, Rhine-Neckar, and the Metropolregion Rhine-Neckar (MRN GmbH) Workshop: Efficient Work Life Management in Companies, 27th October 2008, Education Center Dahlbergplatz (ECD) Mannheim, from 10AM to 5PM, Participants: Andrea Kiefer (Chamber of Commerce and Industry, Rhine-Neckar), Ursula

Hornung (John Deere & Company), Armin Krebs (Pfalzwerke AG), Heike Lenz (Roche Diagnostics GmbH), Katrin Geeb (MVV Energy AG) Bianca Prismantas (MRN GmbH), Britta Schnabel (MRN GmbH) Bettina Kosiel (Mannheim Business School) Renate Echtermeyer (Mannheim Business School), Elke Lieb (Mannheim Business School) Guests: Dr. Sabine Winkelmann (Mannheim Business School), Dr. Barbara Zuber (Pricewaterhouse Coopers AG )

Agenda: 1. Introduction 2. Presentation Mannheim Business School, Dr. Sabine Winkelmann, MBS 3. Work Life Management offer in companies: experience exchange of participants 4. Lecture from Dr. Barbara Zuber, PWC, about tax advantages due the offer of WLB activities 5. Workshops about key points regarding WLM service offer

Outcome: Demand on CHILDCARE: - limited seats available in kindergartens and crches

Annex 2-10

for external childcare and day mothers official certifications are needed (Chamber of

Commerce and Industry Rhine-Neckar offers additional day mother education, which is requested)) - nanny who does in-house care (costs about 1.200,-/month) and au pairs an official certification is not necessary, but police clearance certificate and driving licence are requested, transparency about qualification very important - emergency care in case of illness or business travel over night - childcare outside opening hours of kindergarten and school - accompanying children from kindergarten back home - shuttle service for afternoon activities - babysitter with qualification ( i.e. babysitting diploma by Chamber of Commerce and Industry) - tutoring of homework (qualification: grading system for pupils according their school grades) - childcare during school holidays, holiday camps, offers important in the beginning of the year - there are few schools that work with star ranking, offer shuttle service, holiday occupation, holiday camps, etc. - childcare on spot during company events => in summary: there is a high need of childcare, especially outside the opening hours of kindergarten and school, high quality and transparency about the quality standards are very requested

Demand on ELDERCARE - coordination for qualified eldercare - information about institutions and laws - all services around household and administration to support elderly people as well as their family - social care (to take elderly people for a walk, reading out books etc.) - emergency care - day mothers for elderly people

Demand on HOUSHOLD - all kind of services around household are very important: cleaning, washing, shopping, gardening, pet care etc.

Annex 2-11

OTHER RESULTS - demand on information about tax advantages for employees - demand on information about child friendly institutions (restaurants, shopping centres etc.) - fixed membership fee for employer, employee pays services directly to supplier - offer of WLM service platform for all employees available, not only for high potentials due tax reasons - ROI (return on investment) tool welcomed -competition: PME-Familienservice GmbH: focus on organization of childcare, time consuming, complicated payment system, starts now with WLM activities and eldercare Betreut.de, electronic market place to link demand and supply. No quality control, not locally organized, no exclusivity for companies, available to everybody who registered.

Annex 3-12

3. ANNEX 3

RESULTS OF

THE INTERVIEWS WITH COMPANIES

CURRENT DEMOGRAPHICS Empl. with Sales Mio. children

CURRENT STAFF RETENTION & ADDITIONAL SERVICES

EXISTING ACTIONS ON EFFICIENCY Service Importance (5=important, 1=not % of sales per year important) for WLB per empl. Total household: 5 child care: 5 elder care: 3 shopping: 1 ticketservice: 0 household: 4 child care: 4 elder care: 1 shopping: 1 ticketservice: 3 household: 5 child care: 5 elder care: 3 shopping: 2 ticketservice: 3

COMPANY

Contactname & Function

Employee HighPo's Academics Regionality Retention

Competitor Advantage

Additional Services

Work Force Council

Current WLB

Who caresOutsourcing

Serviceplatform

Interesting Remarks of Interview Partners

OLHO-Technik oHG In den Fichten 24 32544 Lhne

Karsten Oleff, CEO +49 5731 4807 248 date: 6 Aug (Elke)

WorldWide: 1650 Germany: 600 (350 W) 87,3 54 (17W) + 25 (22W) part time (soon 160 due to company centralisation) 5

400

releave indiv barriers for leadership, mainly reward with personal contacts, individ. Nordrhein- Solutions i.e. financial support (mini 20 (3 W) 100 (10 W) Westphalen credit) Salary

Car, pension, stopp with programs like backpain, tennis etc. due to lack of empl. Yes. No negativ Acceptance. Still fitness center impact on service 1 month free (about 40 per offer. Helps & head) organizes. no

HR

Yes, i.e. moderation

Intranet & hotline -> more security

3.5%

50,-

30.000,-

SPORTOMED GmbH Willy-Brandt-Ring 12 67592 Frsheim-Dalsheim Mannheim Business School gGmbH L 5, 6 68131 Mannheim

Thorsten Teschner, CEO +49 172 8684 000 date: 6 Aug (Elke)

10 (2W) yes, rest Rheinland Leadership style, personal contact 1 (CEO) Pfalz

Stability (20y company) high unemployment free time, flexible working time area no other no

no

yes

Intranet + hotline Intranet (more habit), contact button, telephone

500,-

Bettina Kosiel, Director +49 621 181 1480 date: 6 Aug (Elke)

22 (19)

20

BadenWrttemberg no

no

standard social benefits

no

after work drink

nobody yes

1000,Ms Goertz worked for a big company just some time ago and said that she is sure that some kind of service platform or hotline would be interesting for bigger companies with a lot of well educated employees that do overtime and live in big cities.

DEPUY (subsidiary of Johnson&Johnson) Konrad-Zuse Str. 19 66459 Kirkel-Limbach

Kira Goertz, HR, +49 68411893719, date: 19 Aug (Sabine) 200 (ca. 80 W)

not supposed to be public 40 (w)

15

50

all over Germany

high flexiblity at work, social benefits well known parent (company pensions scheme, casualty company, high insurance) flexiblity at work free access to gym

yes, recently founded. Will be so far no, but involved in the for the future an issue future. HR

in general conceivable, but it has to be checked whether there is a need (in general employees have Post their own network) Intranet+hotline services

household: 3 child care: 5 elder care: 3 shopping: 2 ticketservice: 1

300-400,no wide distribution amongst blue white collar collars! 1.000,in total blue collar ?? range from HighPo's 500 to 3.000,3.000

VOLVO Construction Equipment GmbH & Co.KG Matthias Keller, HR MAX-PLANCK-STR. 7 +49 172 6729372 54329 KONZ date: 8 Aug (Elke)

1000 (plus 200 interims) 100 women

500

100

salary on market standard branding product, information politic qualification & leadershipment 20 yes, rest social benefits, canteene, charity, Rheinland events training & development 100 (W) Pfalz

blue collar: no problem future: fitness, critical for middle sigma green Mngmt & Ingeneers belt -> high school standard social benefits, High yes, for reductiton marketing Po's courses (7 habits of good cooperation of corvey) 87 absenteism HR

yes!

Intranet & hotline blue collars have no PC

household: 4 (only HighPo's) child care: 5 elder care: 5 shopping: 4 ticketservice: 4

87

absenteism HR

yes!

no PC

ticketservice: 4

3.000,-

3.000

Annex 3-13
ARKEMA GmbH (Diversified chemicals manufacturer), Tersteegenstr. 28, 40474 Duesseldorf 700 in Germany (at Hartmut Erhardt, HR-Director, headquarter 50 % +49-211-4552-336, date: 14 women, at plants Aug (Sabine) less) 30 % of employed women have children 5 several cities in East und West Germany company pension scheme immunisations and other it is hard to compete health programs to keep blue with big companies colar workers healthy like BASF yes, gets involved no

80

nobody no

no need

not relevant for company household: 3 child care: 4 elder care: 5 shopping: 1 ticketservice: 2

Mr. Erhardt thinks that rekruiting and retaining talents is not a question of WLB but of offering career perspective, job rotation, etc. WLB not crucial are seen as privat issue. WLB Mr.Kruse worked in a company with 7,000 employees before and thinks that companies of that size are interested in a service WLB privat issue privat issue platform/hotline. WLB for employees with annual salary of 50,000 company could imagine to spend 2-3 % of salary

Dalkia GmbH (Engery Company), Carl-Ulrich-Strae 4, 63263 Neu- Mr. Kruse, HR-Director, +49 Isenburg 172 7470199 18 August (Sabine) 300 (75 women)

60

unknown

30

several cities in East und West unknown Germany salary

salary

company pension scheme, 50 % of cost for child care (as far as tax deductable), lots of future: evt. other social benefits Yes, is involved. Kindergarten HR

no, comany too no, company too small small

Conuit GmbH (Consultancy), Schleussnerstr. 42 D-63263 Neu-Isenburg

Jrg Uwer, Founder und CEO, +49 06102-...date 20 Aug (Sabine) 20 (3 women)

most male employees have children (number not unknown), supposed to one women be public has a child 12 to 15 17

Headquarter in area of Frankfurt, further office company pensions scheme, in future: high flexibility, in Dsseldorf company participation / share responsibility

company pension scheme

No

No

yes, if number of female employees would increase Nobody. significantly. Intranet + hotline

household: 3 child care: 4-5 elder care: 3 shopping: 1-2 ticketservice: 1

Mr. Uwer said that small companies like his own prefer individual solutions for private issues. Bigger companies rather need standardized solutions.

Mrs. Geeb, 6300 employees , MVV Energie AG, Luisenring 49, 0621-2903234 (1600 in Mannheim) 68159 Mannheim HR / responsible for WLB 25% women, 2,3 Mrd.

in Mannheim: 727 with family, 120 with children

1/2 jobticket organisation and contingent in childcare institution, (parentscoop. for childcare under 3) parents-child office, cooperation with the city of Mannheim, health management, relocation Headquarter service and cooperation with in Mannheim, salary according senority, flexible PME familyservice for high decentral working time, canteene, see also add. potencials only, start project organization Services for Audit "Familie und Beruf"elder care and need of care yes

yes

HR

yes quality is very important

intranet / internet + hotline

no grades! Important are all services which cannot be relocated in the evening

50,- per employee will be still too much

Mrs. Geeb knows about our project through CC.M, she will participate in our workshop, interesting is, that the cooperation with our competitor PME familyservice is not succesful adopted. WLB platform is not an important competitive advantage for recruiting, but nice to have. Very interested to use our WLB platform. Ask for further contact in the near future.

Mrs. Trillig BakerMcKenzie (Law Firm), Office HR director Frankfurt Tel. 069 - 299086 (Sabine) 450 in Germany

40% Women, 30% of them with children 180

200

4 cities in Germany

education and professional training, education and professional development plan, child international care support and cost sharing orientation

cost reduction on fitness studio, special insurance package, the higher position and income the higher the benefits no

yes (child care support,Telejo b HR

yes

Intranet (no need for hotline if intranet platform)

house hold: 4 child care :5 elder care: 3 shopping service 3 ticket service 2

15 - 20 T / year for headquarter F. (100 layer)

Annex 4-14

4. ANNEX 4-A

QUOTATIONS FROM CEO

& HR DIRECTOR OF DEPUY, A

JOHNSON & JOHNSON COMPANY

Johnson & Johnson company, ranked as the world's most respected company by Barron's Magazine (September 2008). Its common stock is a component of the Dow Jones Industrial Average and the company is listed among the Fortune 500.

Harald F. Stock, PhD., Chairman & Managing Director DePuy Germany, a Johnson & Johnson company

The one and only future competitive advantage will be to attract and retain a new generation of talents who value work-life-balance equally high as they pursue career opportunities. For companies to offer them options to lead a family life AND have a successful professional career will be crucial. Such a service will be a key cornerstone!

Kira Goertz, HR Manager DePuy Germany, a Johnson & Johnson company

In the past, the candidates most frequently asked questions about their career opportunities in our company, but today, these questions focus more and more on their work-life balance. That shows quite clearly that both, their job and their families, are highly important to them. By expressing a clear message like that, the candidates will not ruin their careers. Quite on the contrary, they will display strength as they prove that their personal environment impacts their career just as much as good professional networking for example. These candidates, to my mind, are the ones that we ought to attract by innovative concepts!

Annex 4-15

ANNEX 4-B EXTRACTS FROM STUDIES, BUSINESS WEEK, AND USA TODAY.
Of the 37,000+ undergraduates surveyed by Universum this year, the No. 1 career goal was to balance personal and professional life. Building a sound financial base ran a distant third. Bait for the Brightest No time clocks, please. Recent grads dont mind long hoursif they can work them on their own time. BusinessWeek, September 18, 2006. The Bottom Line on Next Gen Workers. ______________________________________________________ Unlike boomers who tend to put a high priority on career, today's youngest workers are more interested in making their jobs accommodate their family and personal lives. They want jobs with flexibility, telecommuting options and the ability to go part time or leave the workforce temporarily when children are in the picture. USA Today, July 2007 ______________________________________________________________________ Employment potentials IW Kln 2008: Existing potential through black market legalization and realization of demands Scenario analysis resulted into minimum 177,000 and maximum 766,000 full employment. Realistic is about 300.000 household employees (= mean EU-15)

Benchmarking study, IZA Bonn / ExAkt Berlin 2007 Germany can learn from good experiences with agencies in France and Belgium Supply of services through service checks should be in the centre of promotion

Instruments of employment politics, Uni Duisburg / Essen 2007 Promotion of setting ups of self-employment business activities Financial government support does not reach families and aged people, solutions are the transfer through check service ticket system Subsidies mainly for service agencies

Municipal Praxis, ISS Frankfurt a.M. 2007 good concepts are existing often in combination with honorary office supply offers are existent however absence of aggregated platform

Accent study: Expectations and Achievement: Empowering Women from Within According an online survey of 2,246 executives from middle and upper management, German mothers want to go back to work as soon as possible after the child birth. 91%

Annex 4-16

believe that it would be possible to combine their family life, children and job requirements. The same opinion are only 41% in Great Britain and all the same 70% in the USA.

______________________________________________________________________

Most of HR departments are not prepared for the new demographic changes. This HR manager esteem their own ability dealing with aging staff quite low: on a scale from 0 to 13 they rate their current competence with 2. Thats really low in view of the urgency of the subject, because they want already tomorrow deal with high priority the consequences of our aging and reducing population. There is no other resort of HR activities that german personal manager find more important than the demographic change. On the second priority place we find talent management and the introduction of learning organisations.

These are the most important results of the study Creating People Advantage. How to address HR Challenges worldwide through 2015 that was carried out from Boston Consulting Group (BCG) and World Federation of Personnel Management Associations (WFPMA) and presented mid April 2008 in London for the first time. The head of the study, Prof. Dr. Rainer Strack from BCG-office in Dsseldorf, and his colleagues asked in an online survey worldwide about 4.741 manager, mainly from HR departments. This survey was completed with 220 HR managers in deep-interviews. In Germany participated on the interviews the HR directors Matthias Malessa (Adidas), Zygmunt Mierdorf (Metro), Ulrich Weber (RAG), Ernst Baumann (BMW) and others. Other exerpts from business journals and benchmark studies confirm the change in HR recruitment and their consequences.

Annex 5-17

5. ANNEX 5 PEST - MODEL

Political

GERMANY

Economical

- Federal, parliamentary, representative democratic republic - Federal states and federal republic have legislative power - enhanced income tax subsidies and employment laws for WLM services -female chancellor and female minister for family affairs leads to political environment that supports working parents

- Recession expected, so that efficiency of humam resources gets important - due to cost cutting trend to outsourcing - option to reduce employees taxable salary up to 4,000 EUR by ordering WLM services - option to reduce employees income tax up to 2,400 EUR by ordering WLM services

Socio-cultural
- reversed demographic pyramid - lowest birth rate in Europe in 2006 - lowest rate for working women in Europe - increasing number of female high potentials -lack of qualified employees / war on talents due to demographic developments and unsatisfying German education system

Technological
- e-business will increase - use of internet will increase

Annex 6-18

6. ANNEX 6

BLACK MARKET IN FRANKFURT

www.joerg-alt.de/Publikationen/Materialanlagen/04Statistik.doc

Summary: In 2001, the Police in Frankfurt controlled 350 households. More than 200 households employed foreigners illegally.

Ein weiteres Indiz bezglich der Verbreitung illegaler Auslnderbeschftigung in Privathaushalten ist die 'Trefferquote' einer Razzia, die die Frankfurter

Staatsanwaltschaft durchfhren lie: 350 Wohnungen und Huser wurden untersucht, ber 200 illegal beschftigte Haushaltshilfen wurden noch am selben Tag ausgewiesen, gegen 214 Familien wird ermittelt, d.h. mehr als jeder zweite Haushalt (61 % aller kontrollierten Haushalte) beschftigte illegale auslndische Haushaltshilfen. Freilich sind diese Zahlen per se nicht sonderlich aussagekrftig: Es muss ja bedacht werden, dass etwa im Bereich der illegalen Haushalts-Putzhilfe hier ttige Personen bis zu sechs Arbeitspltze zugleich bedienen, whrend im Bereich der Alten- und Krankenpflege bis zu zwei-drei Personen nach einem Rotationssystem ein und dieselbe Person betreuen (vgl. IV/1.4.).

Annex 7-19

7. ANNEX 7

PROGNOS AG / BMFSFJ STUDY

Calculation about Costs and economic Benefits for family friendly Activities

Some results: - a company that does not offer work life balance activities, having 1,500 employees (45% women ratio), results in about 696,000 costs per year for parental leave. - However if the company offers total investments of about 304,000 for: consulting and stay-in-contact (about 81,000), flexible working time (about 10,500), installation of 5 home office jobs per year (about 30,000), and 30 childcare places for own expenses (about 182,500) then the investments for parental leave are reduced to at least 156,500. The company saves maximal 235,500. (Expenses for which no working performance is delivered) www.work-and-life.de

Annex 8-20

8. ANNEX 8

LECTURE ABOUT TAX BENEFITS BY DR. ZUBER (PCW) 27TH OCTOBER 2008,

DURING CUSTOMER FOCUS WORKSHOP,

MANNHEIM

Tax Advantages for Companies due to the Offer of family friendly Activities for their Employees:

Example for the comparison of salary increase and childcare subsidy (2 children)

Annex 8-21

Calculated on a base salary (gross) of 2.500 per month, an investment of 200 in childcare subsidy, instead of an equivalent pay raise, results in a benefit of 112 for the employee and 25 for the employer, per month. Example for the comparison of salary increase and childcare subsidy (2 children)

Calculated on a base salary (gross) of 5,400 per month, an investment of 200 in childcare subsidy, instead of an equivalent pay raise, results in a benefit of 111 for the employee and 0 for the employer, per month.

Annex 9-22

9. ANNEX 9 EMPLOYEES WITHIN THE SCOPE OF NATIONAL

INSURANCE IN METROPOLREGION RHINE-NECKAR, JUNE 2007

Administrative District

Agriculture & Forestry

Producing Industry

Commerce, Gastronomy, and Transport

Other Services

Total Branches of Industry **

IHK (chamber of commerce and industry) Rhine-Neckar Heidelberg, City Mannheim, City Neckar-Odenwald-District Rhein-Neckar-District Total IHK Pfalz Frankenthal (Pfalz), City Landau in der Pfalz, City Ludwigshafen am Rhein, City Neustadt an der Weinstrae, City Speyer, City Bad Drkheim Germersheim Sdliche Weinstrae Rhein-Pfalz-District Gesamt IHK Darmstadt Bergstrae IHK Rheinhessen Worms, City 222

281 356 408 1.123 2.168

15.018 52.358 17.880 50.558 135.814

13.560 37.686 6.289 30.495 88.030

46.669 68.245 15.211 58.126 188.251

75.597 158.785 39.791 140.315 414.488

133 91 383 252 56 835 538 784 2.260 5.332

6.784 3.281 46.042 3.225 6.300 7.873 19.937 7.454 6.467 107.363

3.170 4.706 10.606 3.989 4.926 6.712 7.858 5.847 6.547 54.361

5.447 10.687 29.618 7.427 11.460 11.995 9.935 8.817 7.031 102.417

15.534 18.767 86.652 14.952 22.742 27.417 38.271 22.905 22.308 269.548

792

31.898

20.969

34.477

88.143

8.624

7.067

10.847

26.771

Metropolregion
** Including employees without indication about industrial sector

8.514

283.699

170.427

335.992

798.950

Population Forecast

103% 102% 101% 100% 99% 98% 97%

20 06

20 14

20 18

Metropolregion Rhein-Neckar

Westdeutschland

Deutschland

20 20

20 10

20 09

20 07

20 08

20 11

20 13

20 17

20 12

20 15

20 16

20 19

Annex 10-23

10.ANNEX 10 MEMBERS OF ZMRN E.V. (ZUKUNFT METROPOLREGION RHINE NECKAR, REGISTERED SOCIETY)
2006 Unternehmensgruppe Freudenberg, Weinheim Wincanton GmbH, Mannheim Sdzucker AG, Mannheim/Ochsenfurt SAP AG, Walldorf TV Pfalz Anlagen und Betriebstechnik GmbH, Ludwigshafen Roche Deutschland Holding GmbH, Roche Diagnostics GmbH, Mannheim MVV Energie AG, Mannheim Rchling-Gruppe, Mannheim SV Sparkassen Versicherung, Mannheim Universittsklinikum Mannheim, Mannheim MLP AG, Wiesloch Pepperl & Fuchs GmbH, Mannheim SRH Holding, Heidelberg TV Sd Baden-Wrtemberg GmbH, Mannheim Sparkasse Heidelberg, Heidelberg Saint-Gobain Isover G+H AG, Ludwigshafen Siemens AG Niederlassung Mannheim, Mannheim Technische Werke Ludwigshafen am Rhein AG (TWL), Ludwigshafen Sparkasse Rhein Neckar Nord, Mannheim Pfalzwerke Aktiengesellschaft, Ludwigshafen SAS Institute GmbH, Heidelberg Sax + Klee GmbH Bauunternehmung, Mannheim Rhein Chemie Rheinau GmbH, Mannheim ProMinent Dosiertechnik GmbH, Heidelberg Quoka Verlag GmbH, Lampertheit Volksbank Rhein-Neckar eG, Mannheim Paul Fierek Spedition GmbH, Weinheim MTG Mannheimer Transport Gesellschaft Bayer, Mannheim WOB AG, Viernheim Odenwlder Kunststoffwerke Gehusesysteme GmbH, Buchen SHE Informationstechnologie AG, Ludwigshafen Palatin Kongresshotel und Kulturzentrum GmbH, Wiesloch Weldebru GmbH & Co. KG, Plankstadt zetVisions AG, Heidelberg Mllerdruck Mannheim, Mannheim Planungsbro PISKE, Ludwigshafen Sales in Mio 4.837 2.600 5.347 9.400 796 Number of Employees in ZMRN 33.420 30.000 19.903 14.200 9.227

3.715 2.275 105 2.800 250 588,1 310 170 199 5.543 361 350 213 4.349,90 1.023 152 65 302 91 no information 2.126 20 23,1 79,3 13 9 4 11 no information 4 2,2

7.044 6.338 6.041 5.000 4.470 4.306 3.450 2.700 1.625 1.300 1.213 1.160 1.052 993 787 730 570 550 515 505 439 150 150 102 81 80 69 45 40 35 20

Annex 11-24

11.ANNEX 11: SITUATION IN METROPOLREGION RHINE-NECKAR, JUNE 2007

Employees within the scope of national insurance in Metropolregion Rhine-Nackar, June 2007
900.000 800.000 Number of Employees 700.000 600.000 500.000 400.000 300.000 200.000 100.000 0 1 2005 2 2006 Year 3 2007 12%

Women ratio amongst employees within the scope of national insurance

46% 46% 45% 45% 44% 44% 43% 43% 42%

Unemployment rate
13% 12% 11% 10% 9% 8% 7% 6%
M ai 05 M ai 06 05 Ju l0 5 S ep t0 5 05 06 06 N ov Ju l0 6 S ep 06 N ov Ja n 06 05 M rz Ja n M rz Ja n 07

Women ratio within unemployment rate

Ju l0 5 Se pt 05

M ai 06 Ju l0 6 Se p 06 N ov 06

M ai 05

06

05

05

05

06

Ja n

N ov

Ja n

Metropolregion Rhein-Neckar

Westdeutschland

Deutschland

Ja n

rz

rz

07

30 .6 .1 9 31 99 .1 2 .1 99 9 30 .6 .2 0 31 00 .1 2 .2 00 0 30 .6 .2 00 31 1 .1 2. 2 00 1 30 .6 .2 0 31 02 .1 2. 20 02 30 .6 .2 0 31 03 .1 2 .2 00 3 30 .6 .2 0 31 04 .1 2 .2 00 4 30 .6 .2 00 31 5 .1 2. 2 00 5 30 .6 .2 00 6
Metropolregion Rhein-Neckar Westdeutschland Deutschland

Metropolregion Rhein-Neckar

Westdeutschland

Deutschland

52% 50% 48% 46% 44% 42%

Annex 12-25

12.ANNEX 12 FAMILY FRIENDLY WORKING CONDITIONS IN RHINELAND-PALATINATE

http://www.familienfreundlichkeit-rlp.soziologie.unimainz.de/Dokumente/executive_summary.pdf

Annex 13-26

13.ANNEX 13 ACTUAL NUMBER OF EMPLOYEES IN THE METROPOLREGION

Source: MRN Wirthsaftsmontoring

400.000
GenXers 1 965 to 1979

300.000
Veterans 1927 to 1945

200.000
Boomers 1946 to 1964 Millennials G eneration Y 1980 to 2002

100.000

Birth Year 1927

Birth Year 1946

Birth Year 1965

Birth Year 1980

Birth Year 2002

Metropolregion Rhine Neckar 2006, total population 758.458 Age Veterans 63-81 20.000 Boomers 44-62 260.000 GenXers 29-43 310.000 Millennials 6-28 160.000

Generation

Veteran

Boomer

Xer

Generation Y Millennial Pulling together Gamer Generation touch of a button; 500 X

Leadership Feedback

Hierarchy No news is good news

Consensus Once a year with documenta-tion

Competence ATM-Interrupts and asks how they are doing

Work Ethic

Work hard, save money; what is play? Dont quite get it

Work hard; play hard; worry about money

Work hard, if it doesnt interfere with play; save money

Good grades; make others pay; save money

Balance

Sandwich generation

Want balance now

Need flexibility to create it

Annex 14-27

14.ANNEX 14

EMPLOYEES AS EMPLOYER

Private households as employer

The number of employment within the scope of national insurance stuck for years in 35 000 among 6 400 so called Mini-jobs up to 400 Euro.

Home help are required only for 4 to 5 hours per week.

Gap between potential and actual utilization

Annex 14-28

11% of households (about 4.5 Mio) have a paid home help further 24% could imagine so

Barriers not to use a home help (blue: would not use this service, orange: would use this service in future):

1 I do not need help for such work, my family members help 2 I can do the necessary work for my own 3 a external help is too expensive 4 I prefer to do everything alone 5 - I dont want to have a foreigner in my household 6 the whole organizational expenditure is not profitable for me i.e. to look for somebody, the payment etc. 7 I am afraid about the administration needs from institutions and departments 8 I dont have time to look after a suitable person for help 9 I cannot find somebody suitable

Source: Allensbacher Archiv, IfD-Umfrage 10015, Januar 2008

Annex 15-29

15.ANNEX 15 - A

INTERVIEWS WITH SUPPLY AREA RHINE NECKAR

Childcare
Supplyer / Organisation www.m-r-n.com internetportal to link demand with supply, (search engine) Chamber of Commerce,Mannheim Metropolregion Rhein Neckar ( still non profit) Familiengenossenschaft e.G. Metropolregion Rhein Neckar B2B, direct support to member companies daymother association www.familienservice.de B2B serviceprovider company interregional, Austria, Swizz references with a lot of big companies Services all types of childcare creche, kindergarden nanny babysitter homework schools holiday camps childcare, nannys, urgency service costs employees qualification notes direct contact, offer of future collaboration company workshops

certification by youth welfare offices special nanny/ day mother qualification programm babysitter diplom

organized in collaboration with companies could be future supplier

childcare, nannys, babysitter own kindergarden elder care homecare concierge services coaching, consulting

allocation service paid by company, services by employees

fixed individual search

qualificated staff, personal check additional qualification services

biggest competitor

Annex 15-30

Provider of bundled services 1/2

Supplyer / Organisation www.asl-rhein-neckar.de Tel. 06222 / 768062 Mob. 0177 / 797 1108 Serviceprovider B2C Franchise interregional in 30 cities www.diehaushaltshilfen.de Tel.06202-9259575 Serviceprovider mainly B2C, some B2B (Offices,medical practices) Franchise, 16 partners covers Rhine -Neckar aera in 20 cities! www.myservicecompany.de Tel. 06204 / 918396 Mob. 0178 / 8267521 Serviceprovider B2B / B2C regional Rhein-Neckar broad serviceoffer Services All services around houshold Child care Elderly care (not nursery services) Home sitting Pet sitting Private Concierge Service Cleaningservice (B2B and B2C) Homecare (cleaning, washing, ironing cooking , shopping, errands) Childcare, Babysitting, Homework Eldercare (without nursery service) Shoppingservice, Conciergeservice Gardening, Winterservice, Reparation Petsitting Homesitting Homecare (cleaning, washing, ironing, carwash, shopping, cooking, errands) Homesitting Petsitting Gardening Leisureservices (partyorganisation, presents, tickets, Restaurantreserv.) Travelservices (holiday, rent a car, hotel etc.) Eldercare (no medical care!) B2B services: Cleaning, Travelservices Partyorganisation, Relocation, Officeand Marketing services.. costs 29,99 / h one-time 21,99 / h regulary 25,99 / h weekend brokerfees: 390,- - 590,- 16,- / h 15,- / h (20h) 2,- weekendsupl. 3.80 allocation fixed insurances employees fixed qualification clearence cerificate personal check incl. environment and home and home clearence certificate personal check notes phone or e-mail contact on e-mail with prompt reply phone call with the head office & Rhine Neckar potential future supplier! interest in colaboration contact on phone main demand in cleaningservices less childcare potential future supplier! interest in collaboration

no availability on phone, no answer machine contact on e-mail no feedback according later contact no interest for colaboration

Annex 15-31
Supplyer / Organisation Services childcare, nanny eldercare housecare (i.e. in case of illness) familysupport

Provider of bundled services 2/2

costs 12,50 / h 100,- all day employees freelance qualification qualification depends on need personal check notes (phone contact) 24h hotline! future supply source in case of emergency

www.notmtterdienst.de
Familien- und Seniorenservice.eV, member of Deutscher Parittischer Wohlfahrtsverband Organisation, which arrange temporary urgency and and bridgeover services non profit

www.betreut.de childcare, nannys, homework member of "Erfolgsfaktor babysitting Familie", TV certification eldercare Internetplatform to link petsitting demand and supply , 55.000 members registration is necessary registration is gratuit but for use membership fee between 9,- / 29,-

depends on agreement

depends on individual agreement

no quality check, just link of supply and demand but transparence due user grading system

only via internet future supply source, to contact day mothers, babysitters, etc. but qualification has to be improved by WLM-Agency via internet or hotline (contact on phone) potential future supplier interest in colaboration establishment of local branch in Rhine-Neckar possible only via internet future supply source, but qualification has to be improved by WLM-A.

www.diefamilienagentur.de
Internetplatform to link demand and supply interregional direct service in the area of Frankfurt and Taunus organisation of cheaper est europeen employees

childcare, au pair, homecare (including all services) eldercare

brokerfee 1.5 / 2x of monthly pay roll 23,80 / h for direct service

fixed employees i. Frankfurt

qualification depends on individual need personal

www.haushelden.de
Internetplatform to link demand and supply interregional

childcare, babysitting eldercare homecare, gardening

no qualification check

Annex 15-32 Supply for Elderly

www.deutsche-seniorenbetreuung.de 24h of nursery service and elderly care contact :089 / 203 210 7 - 0. Mr. Meyer www.pflegeagentur24.de 24h of nursery service and elderly care

Care
broking of german and east european staff

direct phone contact potential future supplyer! interest in colaboration certification basing on individual need

49,50 per day, 1485,- per roking of b montzh german and east european staff

Concierege services
Supplyer / Organisation Services different concierge services: employee concierge services with a very broad offer to cover all needs of employees in WLB, including childcare costs company pays monthly fee for allocation of concierge service employee pays services employees qualification notes direct phone contact not open for giving detailed information competitor !!

www.caretaker.de
B2B concierge services Hamburg, Mnchen, Stuttgart, Berlin, Dsseldorf, Kiel open to go under contract in Mannheim (clients: DB, T-mobile)

Car Wash
www.cleanpark.de car wash service chain Rhein Neckar aerea, and interregional www.autowaschen.de internet portal to find local carwash services www.branchen-info.net internet portal to find local car wash services

Fitness
www.pfitzenmeier.de 12 branches in Rhein-Neckar B2B contracts high quality fitness studios with spa area and good services (personal experiance)

Annex 15-33

Cloth Washing and Ironing

"Shirtrunner" local Serviceprovider, fetch-and bring service

Food / Shopping Services

www.Gemsekiste.de Internetplatform, interegional www.dirksbiokiste.de online shop, Rhein Neckar www.obstline.de onlineshop, interregional focused on B2B www.bio-logisch.es onlineshop interegional www.bauckhof.de onlineshop interegional www.obstkiste.de onlineshop interregional www.aqualieferung.de onlineshop interregional www.getrnkesurfer.de internetportal to find local drink supplyer biological vegetables and fruits

biological vegetables and fruits

fresh fruits, delivered to employees

bio food

demeter / bio food comprehensive product offer fruits

drinks

drinks

Annex 15-34

ANNEX 15 B - COMPANIES WHO CONFIRMED THEIR HIGH INTEREST IN

FUTURE COLLABORATION WITH WLM-AGENCY:

www.asl-rhein-neckar.de Service company offers services around household, child care and elderly, franchise concept with 30 franchise partners in Germany Ccontact with Mrs. Octavia Sauer)

www.diehaushaltshilfen.de Service company offers services around household, child care and elderly, franchise concept with 20 franchise partners in Germany, just started in the Rhine-Neckar aerea with main focus on services around household (Contact with Mrs. Stoiber)

www.diefamilienagentur.de Service company offers services around child care, elderly care and household. Fixed employees in the area of Frankfurt and Main-Taunus to provide services on a hourly base. Broking of East European staff and au pairs, all over Germany. Possibility to open a branch in Rhine-Neckar area. (Contact with Mrs. Kubis)

www.deutsche-seniorenbetreuung.de Service company offers mainly care and nursery services for elder people. Broking of East European staff. (Contact with Mr. Meyer)

www.persigno.de Service company, offers services around child care, elderly care and household. Located in Berlin. Fixed certified employees available on a hourly contract. Award of best house cleaning company. (Contact with Mrs. von Gierke)

Annex 15-35

ANNEX 15 - C NECKAR

QUOTATIONS OF SUPPLIERS IN AREA RHINE

We just discussed about our next strategic steps in entering directly in contact with companies to offer our services Christiane von Gierke, Manager of Persigno GmbH, Service provider company, Berlin . - Potential future supplier.

We have a growing request of our services from persons, who have to manage the balance between their professional live and their private live Monika Mller, ASL GmbH, Service provider company with franchise partners all over Germany. Potential future supplier.

Ursula von der Leyen awards the 12 best projects of the programm Company family innovation through family supporting services - Family supporting services create dividends! Newsservice, Berlin 08.04.2008, Bundesministerium Familie, Senioren, Frauen und Jugend

Annex 16-36

16.ANNEX16
*low, **medium, ***good, ****excellent

COMPETITIVECOMPARISON VERSUS WLM-AGENCY

Company WLM Agency Electronic Marketplace

Exclusivity

Local Excellence

WLM Service Offer

Ease of Handling

Quality

Payment system

****
only available for companies under contract, B2B

****
strong local focus, customer proximity

****
bundle of WLM services childcare, elderly care, household services

****
quick and easy, per mouseclick and hotline, preselection + control of certified service poviders

****

****

high quality due to clearly high quality due to clearly defined simple, quality standards fixed membership fee for and quality control companies, employee pays services

PME Familienservice GmbH Consulting Service placement

****
only available for companies under contract, B2B

***
located in 26 cities in Germany, Austria Switzerland

**
focus mainly on childcare, own kindergartens, organize nanny education, starts elderly care, WLM

**
time consuming due to extensive consulting before service placement

**
quality standard according individual demand lack due missing competition complicated

**
credit point system, company pays for consulting and service placement, employee pays services directly to the provider

Besser betreut GmbH Electronic Marketplace available for everybody, B2C

*
all over Germany pet care,

**
childcare, elderly care

**
permanent service offers after registration, contact to service provider via email, no hotline, process of selection difficult

*
no quality control no quality standards simple,

***
monthly user fee, payment of service provider directly by users

no houshold services

Caretaker GmbH Concierge System

****
only companies under contract, B2B

no information
present in 5 cities in Germany

**
no specialisation on WLM, offices, estates, seniors. employees, neighbor ship

no information
inhouse concierge system (no further information)

**
quality of WLM not reliable due to missing experience in this area

no information
fixed payment for allocation of concierge system, payment of provided services

Public Institutions (i.e. municipal kindergarten) available for

*
everbody, B2C / B2B very small offer of company contingents

****
strong local focus

*
no bundle of WLM services, focus on individual services like i.e. childcare

**
selection process difficult, limited availability

**
quality standard depends on institution and region, suffer due to lack of finance

**
complicated payment system due to the mixture of public and individual payment systems

Black Market available for

*
everybody, B2C, legal risks

****
strong local focus

*
offer of individual services, mainly housecleaning

*
time consuming limited availability

*
quality standard depends on individual skills, no reliability lack of certification and control legal risks

*
payment directly,

Annex 17-37

17.ANNEX 17 VISION MISSION VALUE OF THE WLM-AGENCY

Our Vision Our Work-Life Management-Agency enables companies to make a difference in being an attractive employer on the labor market. We support the company's efforts in hiring and retaining high potential employees. On short term we increase efficiency and effectiveness of employees, and we enhance sustainable economic benefits for the company's business profit.

Our Mission Our first responsibility is to deliver WLM services, with the highest speed, quality, and reliability to companies through various service suppliers, contributing to the productivity and health of its employees. We combine regional service suppliers with surrounding clients who want to offer Employee Assistance Programs to their workforce. We are exclusive and specific in our service portfolio.

Our Value We share our clients' commitment to excellence. We appreciate that each of our partnership is unique and requires the balance of proven strategies, creative thinking and a tailored plan. Our innovative and unique programming design features provide our partners with leading edge approaches necessary to solve the complex issues related to the design, implementation and management of a service line of distinction. Our partners enjoy the benefit of working with the WLM-Agency, because strong employer branding is an essential asset in its war for talent.

Annex 18-38

18.ANNEX 18

BREAK EVEN-, SCENARIO-, SENSITIVITY-ANALYSIS,

AND RISK MITIGATION

BREAK EVEN ANALYSIS

Thousands

10 000

C UM REVENUES () C UM C OSTS

8 000

C um Net Income Polynomial (C UM C OSTS) Polynomial (C UM REVENUES ())

6 000

4 000

2 000

6
-2 000

20

42

129

205

-4 000

-6 000

-8 000

Using our base scenario we can project our revenues from all markets, our cost functions and the progression of our net income. Using this accounting view we determine a break even of 130 sales of contract and a payback period of less than four years. Taking the time value into account will lead to a different break-even analysis (see sensitivity analysis).

Our costs are mainly composed of salaries (WLM CC services) on the one hand and on investment on the other one (e-platform and Knowledge center). We can notice that our investment policy should start getting its return back in the fourth to fifth year were service costs starts to growth slower than revenues.

We expect a compounded growth in revenue of around 300% during the first four years and much lower rate of growth during the fifth year to eventually turn to steady pace of 1,5% per annum later on. We actually foresee a more mature and competitive market in six to seven year time. This is the reason why our strategy roadmap is pointed toward high flying brick & mortar services after five year of service brokerage. In this top pyramid segment, services are broader, more customized and the market is global (transnational).

Annex 18-39

From an equity owner viewpoint we are interested in a payback period or break-even analysis based on a more accurate cash analysis or even on a discounted cash analysis (see sensitivity analysis).

Our business starts to generated a positive and growing free cash flow during the fourth year, the payback period is 4,3 years on the basis of the cash generated, it is five years when taking into account the time value (see firm valuation for detail of the NPV computation).
Base option Base option Free Cash Flow Free Cash Flow 1 000 1 000 800 800 T ho us a nd s T ho us a nd s
T ho usa nds T ho usa nds 1 000 1 000 800 800 600 600 400 400 200 200 -1 1 2 2 3 3 4 4 5 5 Base option Base option Cumulative Free Cash Flow Cumulative Free Cash Flow

600 600 400 400 200 200 --200 -200 -400 -400 -600 -600 Years Years 1 1 2 2 3 3 4 4 5 5 6 6 7 7

-200 -200 -400 -400 -600 -600

Years Years

Figure 2 WLM Free Cash Flow

Figure 1 WLM Cumulative FCF

Annex 18-40

SCENARIO ANALYSIS

To anticipate on various conditions as well as to understand the profitability limits of our business we elaborated three different business scenarios, each with its own costs, investment timing and amounts as well as funding and marketing execution programs.

The first scenario (or high growth hypothesis) made an emphasis on a steep and strong growth rate during the first five years. To cope with this environment the number of employees in sales, supply and in the customer care center is important. Revenues will sore to 13M in the fifth year, 3.5 times the sales of our base case. Cumulative Free Cash flow reaches 2,5 M and the business is valued at around 3,6 M (Net present value).

The second scenario (or base case) is an ambitious development of our business model yet realistic. We have chosen this scenario as the red line of our business plan and we strongly believe we can achieve the development presented. Revenues reach 3,9 M in the fifth year, cumulative free cash flow reaches 0,8 M and the business is valued at around 1 M.

The third scenario (or low hypothesis awareness) take into account a slow market penetration and reflects a lower pace of family awareness than we expect. This scenario leads to destruction of value creation under the assumption we made, yet it would be viable and of a better value creation under a downsized cost structure (i.e. full roll out with mini jobs, less IT investment). Revenues amounts for 1,5 M in the fifth year, cumulative FCF reaches 115K and the business as a negative NPV of 240K.

Scenarios Financial expectations

3 000 3 000

Free Cash Flow Free Cash Flow

Thousands

4 000 3 500 3 000 2 500 2 000 1 500 1 000 500 -500

3 647
Thousands Thousands

2 500 2 500 2 000 2 000 1 500 1 500 1 000 1 000 500 500 --

Free Cash Flow Base option Free Cash Flow Base option Free Cash Flow High Growth Free Cash Flow High Growth Free Cash Flow Low Awarness Free Cash Flow Low Awarness

1 043

-241 NPV High Growth NPV Base option NPV Low Awarness

-500 -500 -1 000 -1 000

1 1

2 2

3 3

4 4

5 5

6 6

7 7

Years Years

We can notice that our growth hypothesis do not proportionally unfold an equivalent free cash flow as our base scenario (3,5 times the revenue and only 2 times the value). As our model is labor intensive at this stage, a particular attention shall be given to master our growth. Figure 3 below shows the different business resources for each scenario and the global costs of each function. We made the same assumptions on pricing for the three scenarios

Annex 18-41
Input Data High Global Metrics
TOTAL FUNCTION COST Wage growth Rate Coupounded wage Rate Price Inflation rate Coupounded Inflation Rate Employee Headcount Nb of line managers

Y1 Realistic 167 075 3% 103% 3,5% 104% 8 62 878

20 7 0

Y2 Low High 158 461 3% 103% 3,5% 104% 8 59 259

7 0

Y3 Realistic Low 222 034 3% 106% 3,5% 107% 8 97 991

7 0

Y4 Realistic Low 969 099 3% 109% 3,5% 111% 10 1 427 557

5 0

Y5 Realistic Low 2 034 202 3% 113% 3,5% 115% 17 4 820 131

8 1

High 207 902 3% 106% 3,5% 107% 8 88 767

7 0

High 775 677 3% 109% 3,5% 111% 7 1 430 132

5 0

High 1 123 666 3% 113% 3,5% 115% 11 1 535 951

6 0

Realistic 7 371 117 3% 116% 3,5% 119% 57 7 2 922 381

30 2

Low 2 298 526 3% 116% 3,5% 119% 18 4 931 414

9 1

1. Call center / Customer services

Nb of expert Manager (1 from 7 to 20 persons)

162 005 3% 103% 3,5% 104% 8 60 810

7 0

336 462 3% 106% 3,5% 107% 10 112 151

7 0

1 721 698 3% 109% 3,5% 111% 19 3 691 071

8 1

3 908 995 3% 113% 3,5% 115% 35 5 1 691 541

18 1

1 303 462 3% 116% 3,5% 119% 12 2 542 669

6 0

2. Supply Management
Nb supplier B2B Nb of supply Manager 10 1 20

88 169
8 1

87 548
5 1

87 341
4 1

95 727
16 2

91 156
10 1

90 728
8 1

120 959
40 4

101 215
18 1,5

96 468
10 1

131 482
45 5

107 627
20 2

105 791
12 2

155 510
45 8

110 714
20 2

108 813
12 2

3. Sales & Marketing

Sale force (Nb) Sales Managers

2 070
0 0

1 242
0 0

621
0 0

88 851
1 0

4 285
0 0

2 692
0 0

393 679
4 0

186 210
2 0

91 674
1 0

1 433 747
10 1

655 211
5 1

196 435
2 0

2 726 302
13 1

750 001
5 1

312 453
3 0

4. IT Support Nb of IT Poeple 5. General administration

Quality Manager Trainer Quality Manager nb Nb of people (General Management) 70 000

6 875 0 7 083

6 875 0 5 530

6 875 0 4 365

23 136 0 16 598

17 636 0 10 966

17 636 0 8 079

130 444 1 385 547

122 744 1 131 373

33 984 0 123 420

186 130 1 466 095

161 130 1 290 104

148 430 1 137 060

683 058 4 883 866

200 598 1 305 799

106 788 0,5 232 739

0 0 0
0

0 0 0
0

0 0 0
0

0 0 0
0

0 0 0
0

0 0 0
0

76 491 2 1
1

0 0 0
1

0 0 0
1

78 786 1 1
2

78 786 1 1
1

0 0 0
1

81 149 2 1
3

81 149 1 1
1

81 149 0 1
1

Figure 3 Scenarios Resources Details We can notice the that resources unfold faster than revenues in our scenarios, the growth scenarios generated 3,5 times more revenue than our base case, yet it requires 5 times more resources costs to deliver. Also there are synergies in sales and sourcing, teams request to be managed and generate line managers staffing meanwhile our customer care center remains staffed to the same level.

Annex 18-42

SENSITIVITY ANALYSIS

A major issue, difficult to solve using our scenario analysis, is to understand which business driver will have the major influence over the company results. To understand the main driver we choose four different parameters of our business model:

Contract revenues (Sales) Pricing option Customer Care Center Activity (related to the number of call) Cost of equity (WACC)

The two first drivers are marketing drivers, the second is an operational driver and the fourth represents our capacity to access to financial resources.

We conducted a sensitivity analysis on the firm NPV by driving the change on each lever while keeping a constant perimeter on other business drivers. Our base case scenario is use as reference in each simulation (marked in green in) .

Main results:

As shown by the summary in graph (Figure 4 Main business drivers) the WLM agency value is very sensitive to the marketing execution in term of pricing and sales. To start creating value our business needs to market 130 contracts at an average pricing of 17,7K.

On pricing:

Over the 5 years growth period, a pricing policy of 35% is bringing a loss of value and a positive perpetuity. All other drivers being fixed, a pricing policy of around 37% in average (vs. our base case) will start destroying value. Taking into account our pricing spread and sales volume, the contract average revenue for our base case is 17,7 K. The average revenue to reach the break even is 11,1 K. This is leading to a total of 2,2 M revenue to break even.

Price Sensitivity Price Sensitivity

Disount Rate H0 Disount Rate H0 Beta H0 Beta H0 Risk Premiun Risk Premiun Risk Free Rate Risk Free Rate NPV HR NPV HR NPV H0 NPV H0 NPV H1 NPV H1 NPV H2 NPV H2 NPV H3 NPV H3 NPV H4 NPV H4 NPV H5 NPV H5 1 065 809,50 1 065 809,50

Growth Growth 39% 39% 1,90 1,90 18,5% 18,5% 3,5% 3,5% 1 903,29 1 903,29

Perpetuity (Y0) Price var Nb of Contracts Y5Revenue/contract R Perpetuity (Y0) Price var Nb of Contracts Y5 evenue/contract 30% 1,5% 30% 1,5% 1,70 1,70 15,5% 15,5% 3,5% 3,5% 1 063 906,21 1 063 906,21 2 187 041,28 2 187 041,28 -23 229,56 -23 229,56 -615 584,79 -615 584,79 418 122,01 418 122,01 305 793,35 305 793,35 214 693,77 214 693,77 0% 0% 100% 100% -50% -50% -75% -75% -30% -30% -35% -35% -40% -40% 205 205 205 205 205 205 205 205 205 205 205 205 205 205

3 438 212,06 1 251 170,78 3 438 212,06 1 251 170,78 -526 573,13 -503 343,58 -526 573,13 -503 343,58 -1 559 983,96 -944 399,17 -1 559 983,96 -944 399,17 312 525,28 -105 596,73 312 525,28 -105 596,73 104 896,16 -200 897,19 104 896,16 -200 897,19 -72 479,18 -287 172,95 -72 479,18 -287 172,95

Annex 18-43

On Sales: Value creation on sales volume start at around 40% of our base scenario, which give 165 contracts sales over the five years growth period to break-even

Sales Sensitivity
Disount Rate H0 Beta H0 Risk Premiun + Comp Specific Risk Free Rate NPV HR NPV H0 NPV H1 NPV H2 NPV H3 NPV H4 NPV H5 1 065 809,50 2 612 965,83 798 496,45 -273 937,16 397 099,10 157 644,33 -1 142 474,09

Growth 38% 1,90 18,5% 3,5% 1 903,29 968 282,43 157 253,65 -375 400,65 -25 589,99 -141 608,81 -769 464,69

Perpetuity (Y0) CCC Activity Y5Contracts Y5 18% 1,5% 1,70 15,5% 3,5% 1 063 906,21 1 644 683,41 641 242,80 101 463,49 422 689,10 299 253,13 -373 009,40 29 615 59 230 29 615 14 807 23 692 20 730 7 404 205 410 205 103 164 144 50

Var

% 100% 0% -50% -20% -30% -76%

Nevertheless, the firm value is also sensitive to our customer care center activity in a more linear way (yet not totally) and to our access to reasonable funding cost.

CCC Activity sensitivity

Disount Rate H0 Beta H0 Risk Premiun Risk Free Rate Market Practice NPV HR NPV H0 NPV H1 NPV H2 NPV H3 NPV H4 NPV H5

Growth 31% 1,90 6% 4% 16% 1 903,29 191 861,22 1 903,29 -209 297,64 -497 671,35 -609 741,33 -930 225,11

Mature

1 065 809,50 1 546 610,93 1 065 809,50 663 630,35 189 021,18 -16 520,24 -334 694,50

Perpetuity (Y0) CCC Activity Y5 Contracts Y5 31% 15% 2% 1,90 1,70 6% 6% 4% 4% 16% 1% 0,00 1 063 906,21 205 29 615 % 0,00 1 354 749,72 0,00 1 063 906,21 0,00 872 927,99 0,00 686 692,53 0,00 593 221,09 0,00 595 530,61 205 205 205 205 205 205 59 230 29 615 14 807 88 844 74 037 44 422 -50% 0% 50% 100% 125% 150%

Figure 5 Main business drivers

-2 000 000

Price +100% Price -30% Price -35% Price = -40% Price -50% Price -75% Sales +100%

Sales -20% Sales -30% Sales -50% Sales -75%

Activity -50%

Activity +50% Activity +100% Activity +125% Acticity +150%

WACC 18% WACC 40%

WACC 50%

-1 000 000

1 000 000

2 000 000

3 000 000

4 000 000

Market Prices Market Sales CCC activity WACC

NPV Sensitivity Analysis

Annex 18-44

Annex 18-45

RISKS MITIGATION

From our various analyses we can identify the fundamental risks of our model and mitigate them.

Growth burst and Growth uncertainty

Our scenario analysis shows that growing with profitability is possible under accurate tuning of our resources. Training, timing and workload is key to our model this is why we intend:

To invest into an e-platform in order to automate most basic interaction like choosing, ordering, paying and rating a service. To invest into a knowledge center (share database) allowing economy of scales To recruit a professional Trainer/HR manager and a quality Manager in the course of the fourth year of business

Uncertainty on our growth rate may obliged us to change the course of action during our business implementation, this is one of the reason we choose to go in two phases, each one allowing new funds to sustain the business.

Marketing execution
We are faced with two issues, one regarding our pricing level and model, the other one with the sales effectiveness.

Regarding our pricing model level, our service relies on:

Quality: our membership fee comprises an exclusive access to our CCC, the possibility to rate the services and the option to order on line. Sourcing of Good enough family services to broker: we intend to hire sourcing managers and a quality manager after the first two years of operation.

Regarding our sales effectiveness we intend to initiate sales trough valued network such as the chamber of commerce, the national organization dedicated to family awareness while at the same time building a strong image around our platform.

Cost of labor

Annex 18-46

As our business is labor intensive we will have to carefully control our recruitment in term of volume and salary level. We may be using mini jobs contracts system in order to reduce our wages, at least during the seed phase (two first year of growth period). As a service broker, supporting our members with a customer care center a particular attention shall be given to our cost per call. We can see that our model cannot support, in average, more than a 2,5 fold increase in time spend per active user more specifically once our model switched to a more establish organization (after 2 years). Our CCC activity is estimated based on two parameters, the usage rate of our brokerage platform on the one hand, and the average time spend (per annum) to support membership requirement on the other one. During our deployment phase, the WLM brokerage platform usage rate growths from 30% to 40% and the average time per (derived from the number of supported transaction per user) decrease from 3,5 hrs to 1,1hours. To mitigate the risk here we intend to invest in an IT platform (in order to automate part of the service request) and to select the suppliers with a strong focus on reliability.

Cost of funds

The actual financial crisis does not ease our search for a low cost of capital. We prefer to keep the financial leverage of equity for a better timing, after two years of business operation.

Annex 19-47

19.ANNEX 19 FINANCIAL PLANS INPUT DATA MARKET RESEARCH

B2B Statistics Targeted Sectors Input Metrics Backing Stages

Distribution of compagnies TOTAL Potential RHEIN-NECKAR TOTAL 1.1 Industrial Companies 7770 2150 1500

Total Employees

Qualified employee = "HP"

Total Market
7 770

Nb of "HP" per "company"

Total "HP" Market

1 471 938 453 142

Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number

of of of of of of of of of of of of of of of of of of of of

companies companies companies companies companies companies companies companies companies companies companies companies companies companies companies companies companies companies companies companies

( ( ( ( ( ( ( ( ( ( ( ( ( ( ( ( ( ( ( (

A) B) C) D) E)
300

1% 5% 15% 20% 59% 1% 5% 15% 20% 59%

150

15000 7000 3000 1500 700 10000 7000 2000 700 200 8000 3000 1000 300 100 10000 7000 3000 1500 700

18% 15% 15% 12% 10% 20% 20% 20% 20% 20% 32% 32% 32% 32% 32% 10% 10% 10% 10% 10%

15 75 225 300 885 3 15 45 60 177 2 8 23 30 89 2 10 30 40 118

2700 1050 450 180 70 2000 1400 400 140 40 2560 960 320 96 32 1000 700 300 150 70

40500 78750 101250 54000 61950 6000 21000 18000 8400 7080 3840 7200 7200 2880 2832 2000 7000 9000 6000 8260
421 728

1.2 Pharmaceuticals companies

A) B) C) D) E) A) B) C) D) E)
200

1.3 Banks & Insurance Companies

1% 5% 15% 20% 59% 1% 5% 15% 20% 59%

2200 1000

1.4 Others Companies

A) B) C) D) E)

BERLIN TOTAL 1.1 Industrial Companies

Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number

of of of of of of of of of of of of of of of of of of of of

companies companies companies companies companies companies companies companies companies companies companies companies companies companies companies companies companies companies companies companies

( ( ( ( ( ( ( ( ( ( ( ( ( ( ( ( ( ( ( (

A) B) C) D) E)
100

1% 5% 15% 20% 59% 1% 5% 15% 20% 59%

100

15000 7000 3000 1500 700 10000 7000 2000 700 200 8000 3000 1000 300 100 10000 7000 3000 1500 700

18% 15% 15% 12% 10% 20% 20% 20% 20% 20% 32% 32% 32% 32% 32% 10% 10% 10% 10% 10%

10 50 150 200 590 1 5 15 20 59 1 5 15 20 59 10 50 150 200 590

2700 1050 450 180 70 2000 1400 400 140 40 2560 960 320 96 32 1000 700 300 150 70

27000 52500 67500 36000 41300 2000 7000 6000 2800 2360 2560 4800 4800 1920 1888 10000 35000 45000 30000 41300
137 140

1.2 Pharmaceuticals companies

A) B) C) D) E) A) B) C) D) E)
1000

1.3 Banks & Insurance Companies

1% 5% 15% 20% 59% 1% 5% 15% 20% 59%

720 500

1.4 Others Companies

A) B) C) D) E)

BEILEFELD TOTAL 1.1 Industrial Companies

Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number

of of of of of of of of of of of of of of of of of of of

companies companies companies companies companies companies companies companies companies companies companies companies companies companies companies companies companies companies companies

( ( ( ( ( ( ( ( ( ( ( ( ( ( ( ( ( ( (

A) B) C) D) E)
20

1% 5% 15% 20% 59% 1% 5% 15% 20% 59%

100

15000 7000 3000 1500 700 10000 7000 2000 700 200 8000 3000 1000 300 100 8000 3000 1000 300

18% 15% 15% 12% 10% 20% 20% 20% 20% 20% 32% 32% 32% 32% 32% 10% 10% 10% 10%

5 25 75 100 295 0 1 3 4 12 1 5 15 20 59 1 5 15 20

2700 1050 450 180 70 2000 1400 400 140 40 2560 960 320 96 32 800 300 100 30

13500 26250 33750 18000 20650 400 1400 1200 560 472 2560 4800 4800 1920 1888 800 1500 1500 600

1.2 Pharmaceuticals companies

A) B) C) D) E) A) B) C) D) E)
100

1.3 Banks & Insurance Companies

1% 5% 15% 20% 59% 1% 5% 15% 20%

1.4 Others Companies (Energy)

A) B) C) D)

Annex 19-48
FRANCFURT TOTAL 1.1 Industrial Companies 1450 700 256 910

Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number

of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies

( ( ( ( ( ( ( ( ( ( ( ( ( ( ( ( ( ( ( (

A) B) C) D) E)
50

1% 5% 15% 20% 59% 1% 5% 15% 20% 59%

500

15000 7000 3000 1500 700 10000 7000 2000 700 200 8000 3000 1000 300 100 8000 3000 1000 300 100

18% 15% 15% 12% 10% 20% 20% 20% 20% 20% 32% 32% 32% 32% 32% 10% 10% 10% 10% 10%

7 35 105 140 413 1 3 8 10 30 5 25 75 100 295 2 10 30 40 118

2700 1050 450 180 70 2000 1400 400 140 40 2560 960 320 96 32 800 300 100 30 10

18900 36750 47250 25200 28910 1000 3500 3000 1400 1180 12800 24000 24000 9600 9440 1600 3000 3000 1200 1180
203 018

1.2 Pharmaceuticals companies

A) B) C) D) E) A) B) C) D) E)
200

1.3 Banks & Insurance Companies

1% 5% 15% 20% 59% 1% 5% 15% 20% 59%

1250 700

1.4 Others Companies (Energy)

A) B) C) D) E)

STUTTGART TOTAL 1.1 Industrial Companies

Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number

of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies

( ( ( ( ( ( ( ( ( ( ( ( ( ( ( ( ( ( ( (

A) B) C) D) E)
50

1% 5% 15% 20% 59% 1% 5% 15% 20% 59%

100

15000 7000 3000 1500 700 10000 7000 2000 700 200 8000 3000 1000 300 100 8000 3000 1000 300 100

18% 15% 15% 12% 10% 20% 20% 20% 20% 20% 32% 32% 32% 32% 32% 10% 10% 10% 10% 10%

7 35 105 140 413 1 3 8 10 30 1 5 15 20 59 4 20 60 80 236

2700 1050 450 180 70 2000 1400 400 140 40 2560 960 320 96 32 800 300 100 30 10

18900 36750 47250 25200 28910 1000 3500 3000 1400 1180 2560 4800 4800 1920 1888 3200 6000 6000 2400 2360
203 018

1.2 Pharmaceuticals companies

A) B) C) D) E) A) B) C) D) E)
400

1.3 Banks & Insurance Companies

1% 5% 15% 20% 59% 1% 5% 15% 20% 59%

4500 1000

1.4 Others Companies (Energy)

A) B) C) D) E)

HAMBURG TOTAL 1.1 Industrial Companies

Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number Number

of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies of companies

( ( ( ( ( ( ( ( ( ( ( ( ( ( ( ( ( ( ( (

A) B) C) D) E)
100

1% 5% 15% 20% 59% 1% 5% 15% 20% 59%

3000

15000 7000 3000 1500 700 10000 7000 2000 700 200 8000 3000 1000 300 100 8000 3000 1000 300 100

18% 15% 15% 12% 10% 20% 20% 20% 20% 20% 32% 32% 32% 32% 32% 10% 10% 10% 10% 10%

7 35 105 140 413 1 3 8 10 30 1 5 15 20 59 4 20 60 80 236

2700 1050 450 180 70 2000 1400 400 140 40 2560 960 320 96 32 800 300 100 30 10

18900 36750 47250 25200 28910 1000 3500 3000 1400 1180 2560 4800 4800 1920 1888 3200 6000 6000 2400 2360

1.2 Pharmaceuticals companies

A) B) C) D) E) A) B) C) D) E)
400

1.3 Banks & Insurance Companies

1% 5% 15% 20% 59% 1% 5% 15% 20% 59%

1.4 Others Companies (Energy)

A) B) C) D) E)

Annex 19-49

Pricing Model Input Data

Y1 High CONTRACTS PRICE PRICE ON "High Potential Ranges" Max range of HP Realistic Low High Y2 Realistic Low High Y3 Realistic Low High Y4 Realistic Low High Y5 Realistic Low

Member Ship Fee Member Ship Fee Member Ship Fee Member Ship Fee Member Ship Fee
TRANSACTIONS

Company HP > 1000 Company 500< HP <1000 Company 200< HP <500 Company 50 < HP < 200 Company 50 < HP Price/transaction
0,5 0,6 1,0 0,3 0,5 0,5

Household Services Baby sitting Services Eldercare / Kindengarden Services Shopping Services Pet services Other concierge services
ADVERTISEMENT

99999 1000 500 200 50 Avrg Price/H %fee 17 3% 11 5% 20 5% 7 4% 10 5% 9 5%

40 000 30 000 20 000 15 000 10 000 50% 10% 30%

40 000 30 000 20 000 15 000 10 000 50% 10% 30%

40 000 30 000 20 000 15 000 10 000 50% 10% 30%

40 000 30 000 20 000 15 000 10 000 50% 10% 30% 3% 3% 4% 0

40 000 30 000 20 000 15 000 10 000 50% 10% 30% 3% 3% 4% 0

40 000 30 000 20 000 15 000 10 000 50% 10% 30% 3% 3% 4% 0

10% 0

10% 0

10% 0

40 000 40 000 30 000 30 000 20 000 20 000 15 000 15 000 10 000 10 000 OFFER MIX 50% 50% 10% 10% 30% 30% 3% 3% 3% 3% 4% 4% 500 500

40 000 30 000 20 000 15 000 10 000 50% 10% 30% 3% 3% 4% 500

40 000 30 000 20 000 15 000 10 000 50% 10% 30% 3% 3% 4% 500

40 000 30 000 20 000 15 000 10 000 50% 10% 30% 3% 3% 4% 500

40 000 30 000 20 000 15 000 10 000 50% 10% 30% 3% 3% 4% 500

40 000 30 000 20 000 15 000 10 000 50% 10% 30% 3% 3% 4% 500

40 000 30 000 20 000 15 000 10 000 50% 10% 30% 3% 3% 4% 500

40 000 30 000 20 000 15 000 10 000 50% 10% 30% 3% 3% 4% 500

Banner Price per Month

RHEIN-NECKAR

CUSTOMER SEGMENTATION

Seg% 2% 5% 38% 45% 10% 2% 5% 38% 45% 10% 2% 5% 38% 45% 10% 2% 5% 38% 45% 10% 2% 5% 38% 45% 10% 2% 5% 38% 45% 10%

BERLIN

BEILHENDER

FRANKFURT

HAMBURG

STUTTGART

Company HP > 1000 Company 500< HP <1000 Company 200< HP <500 Company 50 < HP < 200 Company 50 < HP Company HP > 1000 Company 500< HP <1000 Company 200< HP <500 Company 50 < HP < 200 Company 50 < HP Company HP > 1000 Company 500< HP <1000 Company 200< HP <500 Company 50 < HP < 200 Company 50 < HP Company HP > 1000 Company 500< HP <1000 Company 200< HP <500 Company 50 < HP < 200 Company 50 < HP Company HP > 1000 Company 500< HP <1000 Company 200< HP <500 Company 50 < HP < 200 Company 50 < HP Company HP > 1000 Company 500< HP <1000 Company 200< HP <500 Company 50 < HP < 200 Company 50 < HP

Pricing model: 1 - Membership Fee per HP segment 2 Transaction fee on supply 3- Per Banner price per Month

Spread of WLM Agency costumer per High Profile Segment

Annex 19-50

. INPUT DATA DEMAND

Y1 CONTRACTS CONTRACTS DEMAND RHEIN-NECKAR AWARE SHARE RHEIN-NECKAR TOTAL MARKET - AWARE MARKET 1.1 Market Target BERLIN AWARE SHARE TOTAL MARKET - AWARE MARKET 1.1 Market Target BIELEFELD AWARE SHARE TOTAL MARKET - AWARE MARKET 1.1 Market Target FRANCFURT AWARE SHARE TOTAL MARKET - AWARE MARKET 1.1 Market Target HAMBURG AWARE SHARE TOTAL MARKET - AWARE MARKET 1.1 Market Target STUTTGART AWARE SHARE TOTAL MARKET - AWARE MARKET 1.1 Market Target TRANSACTIONS Avrg (Nb of transactions / HP) Usage rate per company (% of HP) Min Number of user under contract RHEIN-NECKAR TOTAL MARKET - TARGET MARKET 453 142 BERLIN TOTAL MARKET - TARGET MARKET BEDELFELD TOTAL MARKET - AWARE MARKET FRANKFURT TOTAL MARKET - TARGET MARKET HAMBURG TOTAL MARKET - TARGET MARKET STUTTGART TOTAL MARKET - TARGET MARKET 421 728 137 140 256 910 203 018 203 018 2 20% 1 440 574 2 20% 866 345 2 20% 436 172 8 20% 5 428 5 744 2 939 8 20% 2 875 3 446 1 149 8 20% 2 174 2 298 1 176 15 30% 16 925 32 310 33 061 10 820 15 30% 6 032 14 216 9 693 3 231 15 30% 5 081 9 693 9 918 3 246 30 30% 57 051 142 164 145 470 47 608 95 878 82 653 30 30% 18 517 46 526 38 772 16 801 38 772 25 848 30 30% 10 377 25 848 26 449 8 656 17 432 15 028 40 40% 138 472 528 448 540 737 176 969 356 395 307 237 307 237 40 40% 29 423 114 880 91 904 45 952 91 904 68 928 57 440 40 40% 15 056 57 440 58 776 19 236 38 739 33 395 33 395 1250 125 63 13 125 63 13 188 125 50 250 125 75 1250 125 63 13 125 63 13 188 125 50 1450 145 73 15 145 73 15 218 145 58 720 72 36 7 72 36 7 2200 220 2150 4,65% 215 10 0,00% 110 5,58% 108 6 0,00% 22 13,95% 22 3 0,00% 220 13 11,63% 215 25 11,63% 110 5 13,95% 108 15 13,95% 22 5 46,51% 22 10 46,51% 330 51 15,50% 108 17 15,50% 323 50 15,50% 220 15 10,23% 72 5 10,23% 215 22 10,23% 88 15 17,44% 29 5 17,44% 86 15 17,44% 25,58% 430 110 25,58% 440 113 25,58% 144 37 25,58% 290 74 25,58% 250 64 220 30 16,74% 72 13 16,74% 145 30 16,74% 125 20 16,74% 215 36 16,74% 132 20 15,50% 43 7 15,50% 87 13 15,50% 75 12 15,50% 129 20 15,50% 26,74% 860 230 26,74% 880 235 26,74% 288 77 26,74% 580 155 26,74% 500 134 26,74% 500 134 220 40 23,26% 72 20 23,26% 145 40 23,26% 125 30 23,26% 125 25 23,26% 215 50 23,26% 132 26 19,38% 43 8 19,38% 87 17 19,38% 75 15 19,38% 75 15 19,38% 129 25 19,38% High Realistic Low High Y2 Realistic Low High Y3 Realistic Low High Y4 Realistic Low High Y5 Realistic Low

WLB Awarness

10%

5%

1%

10%

5%

1%

15%

10%

4%

20%

10%

6%

40%

10%

6%

Annex 19-51

DEMAND FORECAST BACKING

MARKETS High TOTAL ALL MARKETS () Fee turnover Nb of target transactions Nb of target customers Y1 Realistic Low High Y2 Realistic Low 221 776 High 1 459 578 Y3 Realistic Low High Y4 Realistic Low 921 483 High High 12 538 560 560 Y5 Y5 Realistic Realistic 33618 250 618 250 Low 1 362 887

176 876
176 500

106 126
105 900

53 063
52 950

559 142
554 440

355 993
353 000

223 657 1 494 388 2 887 13

177 997 176 500 1 497

758 979
741 300

448 316
437 873

5 309 900
5 068 159

2 385 451
2 276 850

965 436 13 601 785 33925 065 1 478 455 785 925 065 67 475 52
369 837 353 000 16 837

574 10
176 876 176 500 376 -

345 6
106 126 105 900 226

172 3
53 063 52 950 113

7 217 31
444 992 441 250 3 742

4 595 20
266 995 264 750 2 245

53 438 83
903 547 882 500 21 047

27 140 42
397 561 388 300 9 261

16 031 25
271 064 264 750 6 314

371 110 287

2 034 106 1 941 500 92 606

166 720 129

665 707 635 400 30 307

1 632 215 215 710 710

4 403 731 731 4 059 500 500 231 344 231

471 008 471 008 205 205

957 333 957 333 882 500 882 500 74 833 74 833

177 415 77
478 666 441 250 37 416

1. Rhein-Neckar ()

Membership Fees Transaction revenues Advertisement revenues Number of contracts

Company HP > 1000 Company 500< HP <1000 Company 200< HP <500 Company 50 < HP < 200 Company 50 < HP

10
0,20 0,50 3,80 4,50 1,00

6
0,12 0,30 2,28 2,70 0,60

3
0,06 0,15 1,14 1,35 0,30

25
0,50 1,25 9,50 11,25 2,50

15
0,30 0,75 5,70 6,75 1,50

10
0,20 0,50 3,80 4,50 1,00

50
1,00 2,50 19,00 22,50 5,00

22
0,44 1,10 8,36 9,90 2,20

15
0,30 0,75 5,70 6,75 1,50

110
2,20 5,50 41,80 49,50 11,00

36
0,72 1,80 13,68 16,20 3,60

20
0,40 1,00 7,60 9,00 2,00

230 230
4,60 4,60 11,50 11,50 87,40 87,40 103,50 103,50 23,00 23,00

50 50
1,00 1,00 2,50 2,50 19,00 19,00 22,50 22,50 5,00 5,00

25
0,50 1,25 9,50 11,25 2,50

Number of transactions Number of adv

2. Berlin () 3. Beilhender () 4. Franckfurt () 5. Hamburg () 6. Stuttgart ()

574 0 0 0 0 0

345 0 0 0 0 0

172 0 0 0 0 0

5 744 114 150 0 0 0 0

3 446 88 998 0 0 0 0

2 298 45 660 0 0 0 0

32 310 463 559 127 282 0 0 0

14 216 271 064 90 355 0 0 0

9 693 1 000
139 068 38 185 0 0 0

142 164 1 000

1 043 585 286 544 972 833 972 833 0

46 526 1 000
554 756 240 394 554 756 369 837 0

25 848 1 000
189 743 52 099 176 879 176 879 0

528 448 448 1 000 000

2 259 305 305 620 352 352 2 106 132 132 2 106 132 132 2 106 132 132

114 880 114 880 11000 000

765 866 765 866 382 933 382 933 765 866 765 866 574 400 574 400 478 666 478 666

57 440 1 000
245 577 67 430 228 927 228 927 228 927

REVENUES STREAMS

Annex 19-52

FUNCTION COSTS ANALYTICS

Input Data

High
Global Metrics

Y1 Realistic 162 005 3% 103% 3,5% 104% 8 60 810

60 810 51 912 0 5 170 5 796 3 102 5 796

Y2 Low 158 461 3% 103% 3,5% 104% 8 59 259

59 259 51 912 0 1 551 5 796 38 974 5 999 13 709 6 210 2 142 5 356

Y3 Realistic 222 034 3% 106% 3,5% 107% 8 97 991

84 282 53 469 0 24 814 5 999 13 709 6 210 2 142 5 356 15 590 5 999 13 709 6 210 2 142 5 356

Y4 Realistic 969 099 3% 109% 3,5% 111% 10 1 427 557

413 586 355 136 0 13 305 40 711 4 435 13 971 6 210 2 217 5 544 355 136 0 13 305 43 285 4 435 13 971 6 210 2 217 5 544

Y5 Realistic 2 034 202 3% 113% 3,5% 115% 17 4 820 131

805 888 585 265 112 551 24 786 75 024 8 262 14 243 6 210 2 295 5 738 438 948 0 16 524 60 727 5 508 14 243 6 210 2 295 5 738

High 336 462 3% 106% 3,5% 107% 10 112 151

98 443 53 469 0

Low 207 902 3% 106% 3,5% 107% 8 88 767

High 1 721 698 3% 109% 3,5% 111% 19 3 691 071

677 100 568 218

Low 775 677 3% 109% 3,5% 111% 7 1 430 132

416 160

High 3 908 995 3% 113% 3,5% 115% 35 5 1 691 541

1 677 298 1 316 845 112 551 52 327 178 133 17 442 14 243 6 210 2 295 5 738

Low 1 123 666 3% 113% 3,5% 115% 11 1 535 951

521 708

High 7 371 117 3% 116% 3,5% 119% 57 7 2 922 381

2 907 857 2 260 584 231 855 91 214 293 799 30 405 14 524 6 210 2 375 5 938

Realistic 2 298 526 3% 116% 3,5% 119% 18 4 931 414

916 890 678 175 115 927 28 504 84 781 9 501 14 524 6 210 2 375 5 938

Low 1 303 462 3% 116% 3,5% 119% 12 2 542 669

528 145 452 117 0 17 103 53 224 5 701 14 524 6 210 2 375 5 938

TOTAL FUNCTION COST Wage growth Rate Coupounded wage Rate Price Inflation rate Coupounded Inflation Rate Employee Headcount Nb of line managers

1. Call center / Customer services

1.1 Expertise Knowledge Expert salary / year (Minijobs) 7 200 Knowledge Expert salary / year (Full Time Jobs)000 65 Call Center Manager salary / Year (when > 3) 000 100 Office Full cost per year / person 2 400 Telecom expenses (free call number) 0,10 Phone set & Computer for 1 year / person 800 1.2 Tool support Knowledge DataBase Hosting / Year Software Licence fee Software Evolution/year (10 days) Workload Nb of Call (Nb transactions * call rate) Call rate per transaction Workload per transaction in hr Total Days of service Yearly hours per FullJob Yearly hours per MiniJobs Service Time Availibilty (Yearly) 6H00 - 22H00 Effective time workload per year Nb of expert Manager (1 from 7 to 20 persons)

167 075 3% 103% 3,5% 104% 8 62 878

62 878 51 912 0

75 058 53 469 0

23 948 76 951 7 983 13 971 6 210 2 217 5 544

6 000 2 000 5 000

1 723 3 0,5 365 1687,5 960 16

1 034 3 0,5

517 3 0,5

21 652 3 0,3

13 786 3 0,3

8 661 3 0,3

64 126 1,2 0,2

33 926 1,25 0,2

24 047 1,5 0,3

148 444 0,40 0,2

83 360 0,5 0,15

50 606 0,75 0,2

408 054 0,25 0,12

141 302 0,3 0,1

88 707 0,5 0,1

20

5840 862 7 0

5840 517 7 0

5840 258 7 0

5840 6496 7 0

5840 4136 7 0

5840 2598 7 0

5840 12825 8 1

5840 6785 5 0

5840 7214 5 0

5840 29689 18 1

5840 12504 8 1

5840 10121 6 0

5840 48966 30 2

5840 14130 9 1

5840 8871 6 0

2. Supply Management
Supply expert salary (general manager the 2 1st years) 80 000 Telecom expenses (3h/day) 0,05 Phone set & Computer for 3 year / person 800 Office Full cost per year / person 2 400 Juridic Expertise per hour 200 Nb supplier B2B Nb of supply Manager 10

88 169
82 400 3 285 828 1 656 8 1

87 548
82 400 3 285 828 1 035 5 1

87 341
82 400 3 285 828 828 4 1

95 727
84 872 6 570 857 3 428 16 2

91 156
84 872 3 285 857 2 142 10 1

90 728
84 872 3 285 857 1 714 8 1

120 959
87 418 13 140 887 10 644 8 870 40 4

101 215
87 418 4 928 887 3 991 3 991 18 1,5

96 468
87 418 3 285 887 2 661 2 217 10 1

131 482
90 041 16 425 918 13 770 10 328 45 5

107 627
90 041 6 570 918 5 508 4 590 20 2

105 791
90 041 6 570 918 5 508 2 754 12 2

155 510
92 742 27 375 950 23 754 10 689 45 8

110 714
92 742 6 570 950 5 701 4 751 20 2

108 813
92 742 6 570 950 5 701 2 850 12 2

Annex 19-53
3. Sales & Marketing
Phone set & Computer for 3 year / person 1 000 Juridic Expertise per hour 200 Telecom expenses 0,03 Office Full cost per year / person 2 400 Sales Forces fixed 70 000 Variable sales incentive (%fee) 0,8% Sales & Marketing Manager Incentive 1% Sales & Marketing Manager Fixed salary(when sales > 2) 80 000 Sale force (Nb) Sales Managers Nb of sales person per B2B Fee turnover Nb customer B2B 1 20 20

2 070
- 2 070 - 0 - - - - 0 0 176 500 10

1 242
- 1 242 - 0 - - - - 0 0 105 900 6

621
- 621 - 0 - - - - 0 0 52 950 3

88 851
1 071 6 730 2 628 0 74 263 4 158 - - 1 0 554 440 31

4 285
- 4 285 - 0 - - - - 0 0 353 000 20

2 692
- 2 692 - 0 - - - - 0 0 221 776 13

393 679
4 435 18 337 10 512 10 644 305 964 43 787 - - 4 0 1 459 578 83

186 210
2 217 9 313 5 256 5 322 152 982 11 120 - - 2 0 741 300 42

91 674
1 109 5 501 2 628 2 661 76 491 3 284 - - 1 0 437 873 25

1 433 747
12 623 65 902 28 908 30 295 787 856 380 112 38 011 90 041 10 1 5 068 159 287

655 211
6 885 29 606 15 768 16 524 393 928 85 382 17 076 90 041 5 1 2 276 850 129

196 435
2 295 11 982 5 256 5 508 157 571 13 822 - - 2 0 921 483 52

2 726 302
16 628 168 746 36 792 39 906 1 054 939 1 222 510 94 039 92 742 13 1 12 538 560 710

750 001
7 126 48 695 15 768 17 103 405 746 135 684 27 137 92 742 5 1 3 618 250 205

312 453
3 563 18 342 7 884 8 551 243 448 30 665 - - 3 0 1 362 887 77

4. IT Support
Telecom expenses Phone set & Computer for 3 year / person Office Full cost per year / person Web site hosting / year Platform evolution (10 days) IT Support (Junior) 0,03 1 000 2 400 20% 5 000 72 000

6 875
0 1 700 5 175 - -

6 875
0 1 700 5 175 - -

6 875
0 1 700 5 175 - -

23 136
0 17 780 5 356 - -

17 636
0 12 280 5 356 - -

17 636
0 12 280 5 356 - -

130 444
1 314 1 109 2 661 41 140 5 544 78 676

122 744
1 314 1 109 2 661 33 440 5 544 78 676

33 984
0 28 440 5 544 - -

186 130
1 314 1 148 2 754 94 140 5 738 81 037

161 130
1 314 1 148 2 754 69 140 5 738 81 037

148 430
1 314 1 148 2 754 56 440 5 738 81 037

683 058
5 256 4 751 11 402 321 840 5 938 333 871

200 598
1 314 1 188 2 850 105 840 5 938 83 468

106 788
657 594 1 425 56 440 5 938 41 734

Nb of IT Poeple 5. General administration Office GM expenses

Telecom expenses Phone set & Computer for 3 year / person Office Full cost per year / person Office furnitures / year / person Others 0,03 1 000 2 400 100

0 7 083 800
0

0 5 530 800
0

0 4 365 800
0

0 16 598 1 000
0

0 10 966 800
0

0 8 079 800
0

1 385 547 7 284

1 314 1 109 2 661

1 131 373 6 134

1 314 1 109 2 661

0 123 420 5 884

1 314 1 109 2 661

1 466 095 14 431

2 628 2 295 5 508

1 290 104 7 316

1 314 1 148 2 754

1 137 060 6 416

1 314 1 148 2 754

4 883 866 22 490

3 942 3 563 8 551

1 305 799 7 552

1 314 1 188 2 850

0,5 232 739 6 702

1 314 1 188 2 850

800
6 283 3 883

800
4 730 2 330

800
3 565 1 165

1 000
14 598 12 198

800
10 166 7 766

800
7 279 4 879

2 200
261 586 32 111

1 050
16 309 16 309

800
12 033 9 633

4 000
157 573 0

2 100
157 573 0

1 200
20 273 20 273

6 433
243 451 0

2 200
162 300 0

1 350
111 134 29 984

Advisors / Expertize
Accounting expertize 22 for 1K revenue Legal & juridic per hour Training Person salary Quality Manager 22 200 70 000 70 000

0 0

0 0

0 0

0 0

0 0

0 0

152 982 76 491

0 0

0 0

78 786 78 786

78 786 78 786

0 0

162 298 81 149

81 149 81 149

0 81 149

IT Maintenance/month

200 100 000 1% 1 000

2 400

2 400

2 400

2 400
1 000

2 400

2 400

0
116 677

0
108 930

2 400
105 503

0
294 091

0
125 215

0
110 372

0
617 925

0
135 946

0
114 903

General Management
Payroll Perfromance Package Other expenses Per person/year Nb of people (General Management)

0 0
0

0 0
0

0 0
0

0 0
1 000

0 0
0

0 0
0

100 000 11 677

5 000

100 000 5 930

3 000

100 000 3 503

2 000

200 000 81 091

13 000

100 000 18 215

7 000

100 000 7 372

3 000

300 000 300 925

17 000

100 000 28 946

7 000

100 000 10 903

4 000

Annex 19-54

INVESTMENT PLAN (3 SCENARIOS)

Y1 High Realistic Low
TOTAL 8500 8500 8500

Y2 High
80400

Realistic Low
52900 52900

Y3 High
116800

Realistic Low
105800 80800

Y4 High
265000

Y5 Realistic Low
178500 140000

High
1138500

Realistic
183500

Low
0

Project Web Platform Web Platform Web Platform Web Platform Web Platform Web Platform Web Platform Web Platform Web Platform Web Platform Web Platform Web Platform Web Platform Web Platform Web Platform Web Platform Web Platform Web Platform Web Platform Web Platform Web Platform Knowledge Database Knowledge Database Knowledge Database Knowledge Database Knowledge Database Knowledge Database

Release Basic Basic Basic Interactive Interactive Interactive Grading Grading Grading Platform Platform Platform Platform Platform Platform Platform Platform Platform Infrastructure Infrastructure Infrastructure Simple Simple Simple Expert Expert Expert

Day man Unit variable Cost workload price/day Cost Graphic charting 5 700 3500 3500 Design 2 500 1000 1000 Build 10 400 4000 4000 Design Build Test Design Build Test Design Build Test Design Build Test Design Build Test Basic Advanced Performance Design Build Test Design Build Test 5 15 2 4 25 3 15 100 7 20 300 15 4 40 3 1 1 1 10 50 4 5 50 10 15 60 10 700 400 400 700 400 400 700 400 400 700 400 400 700 400 400 25000 50000 0 700 400 400 700 400 400 700 400 400 3500 6000 800 2800 10000 1200 10500 40000 2800 14000 120000 6000 2800 16000 1200 25000 50000 0 7000 20000 1600 3500 20000 4000 10500 24000 4000
8500 0

3500 3500 1000 1000 4000 4000 3500 6000 800 2800 10000 1200 3500 6000 800 3500 6000 800

2800 2800 10000 10000 1200 1200 10500 40000 2800 10500 40000 2800 10500 40000 2800 14000 120000 6000 14000 14000 120000 120000 6000 6000 2800 16000 1200 25000 25000 50000 75 000 1 080 000 50000 75 000 2800 16000 1200

7000 20000 1600 3500 20000 4000

7000 7000 20000 20000 1600 1600 3500 20000 4000 10500 24000 4000 3500 20000 4000 10500 24000 4000
111100 56100 86100 56100 376100 94600 251100 94600 226100 56100

Knowledge Database Advanced Design Knowledge Database Advanced Build Knowledge Database Advanced Test Web Platform Cum Knowledge Database Total cum FIXED ASSET COST Cost of fixed asset brougth forward Cost of fixed asset brought into use on 1st Day of period Depreciable cost carried forward Cost of fixed asset brought into use on last day of period Historic cost of disposal Historic cost of fuly depreciated asset Cost of fixed asset carried forward ACCUMULATED DEPRECIATION Accumulated cost brought forward Accumulated depreciation on disposal Charge of the year Accumulated depreciation on fully depreciated assets Accumulated depreciation carried forward Net Fixed Asset Depreciation Rate

10500 24000 4000

1476100 133100

10500 24000 4000

396100 133100 226100 56100

8500 0

8500 0

32800 56100

32800 28600

32800 28600

111100 94600

0 8500 8500 0 0 0 8500 0 0 2125 0 2125

6375 25%

0 0 8500 8500 8500 80400 8500 8500 88900 0 0 0 0 0 0 0 0 0

8500 8500 88900 52900 52900 116800 61400 61400 205700 0 0 0 0 0 0 0 0 0

61400 105800

61400 80800

205700 265000 470700 0 0 0 470700 75775 0 117675 0 193450

277250 25%

167200 142200 178500 140000 345700 282200 0 0 0 0 0 0

470700 1138500 1609200 0 0 0 1609200 193450 0 402300 0 595750

1013450 25%

345700 183500 529200 0 0 0 529200 145700 0 132300 0 278000

251200 25%

282200 0 282200 0 0 0 282200 123575 0 70550 0 194125

88075 25%

167200 142200 0 0 0 0 0 0

8500 8500 88900 0 0 2125 0 0 0 2125 2125 22225 0 0 0 2125 2125 24350
6375 25% 6375 25% 64550 25%

61400 61400 205700 2125 2125 0 0 15350 15350 0 0 17475 17475

43925 25% 43925 25%

167200 142200 17475 0 41800 0 59275

107925 25%

345700 282200 59275 0 86425 0 53025 0 70550 0

24350 0 51425 0 75775

129925 25%

17475 0 35550 0 53025

89175 25%

145700 123575
200000 25% 158625 25%

Annex 19-55

BACKING INCOME STATEMENTS (3 SCENARIOS)

High Revenues Cost of sales 1.1 Expertise 1.2 Tool support 2. Supply Management 3. Sales & Marketing G&A 4. IT Support 5. General administration Tax Rate Expense Detail 1. Call center / Customer services Office Full cost per year / person Telecom expenses (free call number) Phone set & Computer for 1 year / person 1.2 Tool support 2. Supply Management Telecom expenses (3h/day) Phone set & Computer for 3 year / person Office Full cost per year / person Juridic Expertise per hour 3. Sales & Marketing Phone set & Computer for 3 year / person Juridic Expertise per hour Telecom expenses Office Full cost per year / person 4. IT Support Telecom expenses Phone set & Computer for 3 year / person Office Full cost per year / person Web site hosting / year Platform evolution (10 days) 5. General administration Telecom expenses Phone set & Computer for 3 year / person Office Full cost per year / person Office furnitures / year / person Others Accounting expertize 22 for 1K revenue Legal & juridic per hour IT Maintenance/month Other expenses Per person/year 6.Total Invest 176 876 151 047 62 878 88 169 2 070 13 958 6 875 7 083 35% 32 763 5 170 5 796 3 285 828 1 656 2 070 1 700 5 175 800 3 883 2 400 3 102 5 796 3 285 828 1 035 1 242 1 700 5 175 800 2 330 2 400 Y1 Realistic 106 126 148 358 60 810 87 548 1 242 12 405 6 875 5 530 35% 27 693 1 551 5 796 3 285 828 828 621 1 700 5 175 800 1 165 2 400 Y2 Low 53 063 146 600 59 259 87 341 621 11 240 6 875 4 365 35% 24 149 38 974 5 999 13 709 6 570 857 3 428 High 559 142 207 98 13 95 878 443 709 727 Y2 Realistic 355 993 189 84 13 91 147 282 709 156 Y3 Low 223 657 179 75 13 90 494 058 709 728 High 1 494 388 812 677 13 120 029 100 971 959 Y3 Realistic 758 979 528 413 13 101 773 586 971 215 Y4 Low 448 316 526 416 13 96 600 160 971 468 High 5 309 900 1 823 023 1 677 298 14 243 131 482 Y4 Realistic 2 385 451 927 805 14 107 758 888 243 627 Low 965 436 641 521 14 105 741 708 243 791

88 851 39 734 23 136 16 598 35% 119 700 -

4 285 28 602 17 636 10 966 35% 83 693 24 814 5 999 13 709 3 285 857 2 142 4 285 12 280 5 356 800 7 766 2 400

2 692 25 715 17 636 8 079 35% 69 560

393 679 515 990 130 444 385 547 35% 296 483 23 76 7 13 948 951 983 971

186 210 254 116 122 744 131 373 35% 177 836 13 40 4 13 305 711 435 971

91 674 157 403 33 984 123 420 35% 149 845 13 43 4 13 305 285 435 971

1 433 747 652 225 186 130 466 095 35% 573 837 52 178 17 14 327 133 442 243

655 211 451 233 161 130 290 104 35% 303 094 24 75 8 14 786 024 262 243

196 435 285 490 148 430 137 060 35% 234 875 16 60 5 14 524 727 508 243

15 590 5 999 13 709 3 285 857 1 714 2 692 12 280 5 356 800 4 879 2 400

13 140 887 10 644 8 870 4 18 10 10 1 1 2 41 5 1 1 2 2 435 337 512 644 314 109 661 140 544

4 928 887 3 991 3 991 2 9 5 5 1 1 2 33 5 1 1 2 1 217 313 256 322 314 109 661 440 544

3 285 887 2 661 2 217 1 5 2 2 109 501 628 661

16 425 918 13 770 10 328 12 65 28 30 1 1 2 94 5 2 2 5 4 623 902 908 295 314 148 754 140 738

6 570 918 5 508 4 590 6 29 15 16 1 1 2 69 5 1 1 2 2 885 606 768 524 314 148 754 140 738

6 570 918 5 508 2 754 2 11 5 5 1 1 2 56 5 1 1 2 1 295 982 256 508 314 148 754 440 738

1 071 6 730 2 628 17 780 5 356 000 198 400 000

28 440 5 544

1 12 2 1

314 109 661 200 32 111 5 000

314 109 661 050 16 309 3 000

1 314 1 109 2 661 800 9 633 2 400 2 000 80 800 625 832 103 503 76 491 3 284 87 418 355 136

628 295 508 000 13 000

314 148 754 100 7 000

314 148 754 200 20 273 3 000

8 500 312 400 912

8 500 134 312 82 400 51 912

8 500 134 312 82 400 51 912

80 400 216 763 74 263 4 158 84 872 53 469

52 900 138 341 84 872 53 469

52 900 138 341 84 872 53 469

116 800 1 425 111 152 76 78 305 43 213 677 982 491 676 964 787 418 568 218

105 800 791 262 105 930 78 676 152 982 11 120 87 418 355 136

265 000 3 335 281 78 78 81 787 380 38 90 90 155 091 786 786 037 856 112 011 041 041 1 316 845 112 551

178 500 1 731 118 78 78 81 393 85 17 90 90 106 215 786 786 037 928 382 076 041 041 585 265 112 551

140 000 888 791 107 372 81 037 157 571 13 822 90 041 438 948

Payroll Detail 134 General Management Training Person salary Quality Manager Accouting & Finance persons (when outsourcing > 45K IT Support (Junior) Sales Forces fixed Variable sales incentive (%fee) Sales & Marketing Manager Incentive Sales & Marketing Manager Fixed salary(when sales > 2) Supply expert salary (general manager the 2 1st years) 82 Knowledge Expert salary / year (Minijobs) 51 Knowledge Expert salary / year (Full Time Jobs) Call Center Manager salary / Year (when > 3) Financing Operation Interest expenses 0

87 -

585

524

1 935

1 379

5 841

5 841

2 920

34 803 19 049

10 978 12 704

7 103

Annex 19-56

INCOME STATEMENTS (3 SCENARIOS)

2009 High Operating Revenue Total Revenue Cost of Sales Gross Margin Gross Operating Profit Cost of sales R&D G&A Selling (sales & mkg) Advertising Operating Profit Operating Profit before Depreciation (EBITDA) Depreciation Operating Income After Depreciation Interest Income Total Income Avail for Interest Expense (EBIT) Interest Expense Income Before Tax (EBT) Income Taxes Net Income from Continuing Operations Net Income from Total Operations Total Net Income Tax Rate 176 876 Realistic 106 126 2009 Low 53 063 2009 High 559 142 559 142 207 878 329 039 351 264 207 878 - 39 734 88 851 0 222 679 222 679 22 225 200 454 1 935 202 389 - 202 389 70 836 131 553 131 553 131 553 35% 2010 Realistic 355 993 355 993 189 147 151 496 166 846 189 147 - 28 602 4 285 0 133 959 133 959 15 350 118 609 1 379 119 988 - 119 988 41 996 77 992 77 992 77 992 35% 2010 Low 223 657 223 657 179 494 28 812 44 162 179 494 - 25 715 2 692 0 15 755 15 755 15 350 405 - 405 - 405 142 263 263 263 35% 2010 High 1 494 388 1 494 388 812 029 630 933 682 358 812 029 - 515 990 393 679 0 227 311 2011 Realistic 758 979 2011 Low 448 316 2011 High 5 309 900 5 309 900 1 823 023 3 369 202 3 486 877 1 823 023 - 652 225 1 433 747 0 1 400 906 1 400 906 117 675 1 283 231 19 049 1 302 279 34 803 1 267 476 443 617 858 662 823 860 823 860 35% 2012
High 13 601 785 13 601 785 3 077 891 10 121 594 10 523 894 3 077 891 - 1 566 924 2 726 302 0 6 230 668 6 230 668 402 300 5 828 368 40 597 5 868 965 170 120 5 698 844 1 994 595 3 874 369 3 704 249 3 704 249 35% 2013 Realistic 3 925 065 3 925 065 1 042 128 2 750 637 2 882 937 1 042 128 - 506 397 750 001 0 1 626 539 1 626 539 132 300 1 494 239 31 082 1 525 321 47 375 1 477 946 517 281 1 008 040 960 665 960 665 35% 2013 Low 1 478 455 1 478 455 651 482 756 423 826 973 651 482 - 339 527 312 453 0 174 993 174 993 70 550 104 443 24 418 128 861 9 845 119 016 41 655 87 205 77 360 77 360 35% 2013

176 876 106 126 53 063 151 047 148 358 146 600 23 705 - 44 357 - 95 662 25 830 - 42 232 - 93 537 151 047 148 358 146 600 - - - 13 958 12 405 11 240 2 070 1 242 621 0 0 0 9 802 - 55 879 - 105 398 9 802 2 125 7 677 585 8 261 - 8 261 2 891 5 370 5 370 5 370 35% 55 879 - 105 398 2 125 2 125 58 004 - 107 523 524 - 57 480 - 107 523 - - 57 480 - 107 523 - - 57 480 - 107 523 57 480 - 107 523 57 480 - 107 523 35% 35%

758 979 448 316 528 773 526 600 188 406 - 113 834 230 206 - 78 284 528 773 526 600 - - 254 116 157 403 186 210 91 674 0 0 210 120 - 327 361

227 311 - 210 120 - 327 361 51 425 41 800 35 550 278 736 - 251 920 - 362 911 - - - 278 736 - 251 920 - 362 911 5 841 5 841 2 920 284 576 - 257 760 - 365 831 - - - 278 736 - 251 920 - 362 911 284 576 - 257 760 - 365 831 284 576 - 257 760 - 365 831 35% 35% 35%

Annex 19-57

INPUT DATA BALANCE SHEET

Opening Balance Balances brought forward at 1st January 2009 Fixed asset cost Fixed asset accumulated depreciation Inventory Trade receivables Cash Senior debt Trade Payables Taxes Payable Retained earnings Balance sheet Data Current asset & liabilities Inventory days held (days inventory usage) Receivable days (days of sales made) Payable days (days of purchases made Days in year High Interest Rates Risk Free Rate Overdraft Margin Deposit Rate Default Spread (Senior Debt Margin) Loan KFW Loan 3 Net Principal begening of period Reimbursement for the period Interest for the period Net principal end of period Loan Period Loan 4 Net Principal begening of period Reimbursement for the period Interest for the period Net principal end of period Loan Period Loan 5 Net Principal begening of period Reimbursement for the period Interest for the period Net principal end of period Loan Period Net debt End of period Interest expenses Net Reimbursement of the period Dibursment of loan 3,50% 14,00% 2,00% 12,00% 6,80%

0 0 0 0 0 0 0 0 0

0 30 30 365 Y1 Realistic 3,50% 14,00% 2,00% 12,00% 6,80% Y2 Low 3,50% 14,00% 2,00% 12,00% 6,80% High 3,50% 14,00% 2,00% 12,00% Y2 Realistic 3,50% 14,00% 2,00% 12,00% Y3 Low 3,50% 14,00% 2,00% 12,00% High 3,50% 13,00% 1,75% 12,00% Y3 Realistic 3,50% 13,00% 1,75% 12,00% Y4 Low 3,50% 13,00% 1,75% 12,00% High 3,00% 13,00% 1,75% 10,00% Y4 Realistic 3,00% 13,00% 1,75% 10,00% Y5 Low 3,00% 13,00% 1,75% 10,00% High 3,00% 11,00% 1,75% 10,00% Y5 Realistic 3,00% 11,00% 1,75% 10,00%

38 000 1 270 5 841 36 730 1

38 000 1 270 5 841 36 730 1

19 000 635 2 920 18 365 1

36 1 5 35

730 467 598 262 2 000 352 205 648 1

36 1 5 35

730 467 598 262 2 000 170 380 830 1

18 365 734 2 799 17 631 2 28 1 4 26 000 059 304 941 1

35 1 5 33

262 695 329 567 3 648 337 991 311 2 000 755 800 245 1 123 120 787 000

35 262 1 695 5 329 33 567 3 33 830 1 352 5 156,23 32 478 2 240 000 8 024 36 890 231 976 1 298 022 47 375 11 070 240 000

190 6 29 183

35 1 5 33

183 7 27 176

890 29 136 860

36 730 5 841 1 270 38 000

36 730 5 841 1 270 38 000

18 365 2 920 635 19 000

218 34 7 190

910 803 820 000

69 10 2 35

092 978 638 000

44 7 1 28

572 103 792 000

1 070 170 38 890

Target leverage Debt proportion Total Assets (TA) Financial levarage Financial Instruments Net Income Investment Portfolio in WLM Firms (%NI) Accumulated Book value Investment Coumpounded Value Coumpouded intrument End of period

8 000 1,25 2 693 58 063 1,05 5 370 0

5 000 1,25 2 276 39 796 1,06 57 480 0

6 000 1,25 1 985 40 462 1,05 107 523 0

29 000 1,25 9 838 196 761 1,05 131 26 26 1 27 553 311 311 579 889

17 000 1,25 6 879 122 391 1,06 77 992 15 598 15 598 936 16 534

11 000 1,25 5 717 87 458 1,07 263 53 53 3 56

#NOMBRE! 1,25 61 101 304 447 1,25 284 576 - 26 311 31 236

#NOMBRE! 1,25 51 346 256 098 1,25 257 760 - 15 598 18 518

1,25 30 681 151 590 1,25 365 831 - 53 63

- 1,25 266 080 1 333 285 1,25 823 164 191 9 174 860 772 082 886 658

- 1,25 94 006 472 015 1,25 173 34 50 2 36 258 652 250 079 731

- 1,25 63 877 319 903 1,25 235 883 53 -

22 000 1,25 1 164 114 5 935 568 1,24 3 704 740 931 229 970 249 850 932 167 016

4 000 1,25 328 902 1 667 576 1,25 960 665 192 133 242 383 50 010 242 143

20%

Annex 19-58

BALANCE SHEET & CASH FLOW STATEMENT BACKING STAGES (3 SCENARIOS)

Revenues Trade receivables closing balances Opening trade receivables Sales mades Receivables Days Days in year Closing trade receivables Cash received from customers Trade Payables closing balances Opening trade payables Purchases made Payables Days Days in year Closing trade receivables Cash paid to suppliers

High 176 876

Y1 Realistic 106 126

Low 53 063

Y2 High 559 142

Realistic 355 993

Low 223 657

Y3 High 1 494 388

Realistic 758 979

Low 448 316

Y4 High 5 309 900

Realistic 2 385 451

Low 965 436

Y5 High 13 601 785

Realistic 3 925 065

0 176 876 30 365 14 538 - 162 338 106 126

0 53 063 30 365 8 723 97 403

0 30 365 4 361 - 48 702

14 538 559 142 30 365 45 957 - 527 723

8 723 355 993 30 365 29 260 - 335 456

4 361 223 657 30 365 18 383 - 209 635

45 957 1 494 388 30 365 122 826 - 1 417 518

29 260 758 979 30 365 62 382 - 725 857

18 383 448 316 30 365 36 848 - 429 851

122 826 5 309 900 30 365 436 430 - 4 996 296

62 382 2 385 451 30 365 196 064 - 2 251 769

36 848 965 436 30 365 79 351 - 922 933

436 430 13 601 785 30 365 1 117 955 - 12 920 260

196 064 3 925 065 30 365 322 608 - 3 798 521

0 32 763 30 365 2 693 30 070

0 27 693 30 365 2 276 25 416

0 24 149 30 365 1 985 22 164

2 693 119 700 30 365 9 838 112 554

2 276 83 693 30 365 6 879 79 090

1 985 69 560 30 365 5 717 65 828

9 838 296 483 30 365 24 368 281 952

6 879 177 836 30 365 14 617 170 099

5 717 149 845 30 365 12 316 143 246

24 368 573 837 30 365 47 165 551 041

14 617 303 094 30 365 24 912 292 799

12 316 234 875 30 365 19 305 227 886

47 165 1 143 459 30 365 93 983 1 096 640

24 912 375 658 30 365 30 876 369 693

Annex 19-59

BALANCE SHEET (3 SCENARIOS)

All amounts , Assets Cash and Equivalents (yc blocked account) Receivables Inventories Other Current Assets Total Current Assets Gross Fixed Assets (Plant, Prop, & Equip,) Accumulated Depreciation & Depletion Net Fixed Assets Intangibles & other Non current assets Total Non Current Assets Total Assets Liabilities Payables Short Term Debt Accrued Accounts Other Current Liabilities Total Current Liabilities Long Term Debt Other Non-Current Liabilities Total Non-Current Liabilities Total Liabilities Stockholder's Equity Ordinary Shares Locked in capital Retained Earnings (accum deficit) Total Equity Total Liabilities & Stock Equity

2009 High 37 150 14 538 0 0 51 688 8 500 2 125 6 375 - 58 063

2009 Realistic 24 698 8 723 0 0 33 421 8 500 2 125 6 375 - 39 796

2009 Low 29 726 4 361 0 0 34 087 8 500 2 125 6 375 - 40 462 High

2010

2010 Realistic 33 608 29 260 0 0 62 867 61 400 17 475 43 925 15 598 122 391

2010 Low 25 097 18 383 0 0 43 480 61 400 17 475 43 925 53 87 458 High

2011

2011 Realistic 70 192 62 382 0 0 132 574 167 200 59 275 107 925 15 598 256 098

2011 Low 25 514 36 848 0 0 62 362 142 200 53 025 89 175 53 151 590 High

2012

2012 Realistic 25 701 196 064 0 0 221 765 345 700 145 700 200 000 50 250 472 015

2012 Low 81 875 79 351 0 0 161 226 282 200 123 575 158 625 53 319 903 High

2013

2013 Realistic 851 385 322 608 0 0 1 173 993 529 200 278 000 251 200 242 383 1 667 576

2013 Low 190 644 121 517 0 0 312 161 282 200 194 125 88 075 15 525 415 760

59 943 45 957 0 0 105 900 88 900 24 350 64 550 26 311 196 761

25 385 122 826 0 0 148 212 205 700 75 775 129 925 26 311 304 447

428 523 436 430 0 0 864 953 470 700 193 450 277 250 191 082 1 333 285

2 872 231 1 117 955 0 0 3 990 186 1 609 200 595 750 1 013 450 931 932 5 935 568

2 693 - - - 2 693 - 0 - 2 693

2 276 - - - 2 276 - 0 - 2 276

1 985 - - - 1 985 - 0 - 1 985

9 838 - - - 9 838 - 0 - 9 838

6 879 - - - 6 879 - 0 - 6 879

5 717 - - - 5 717 - 0 - 5 717

24 368 - - - 24 368 36 730 0 36 730 61 098

14 617 - - - 14 617 36 730 0 36 730 51 346

12 316 - - - 12 316 18 365 0 18 365 30 681

47 165 - - - 47 165 218 910 0 218 910 266 075

24 912 - - - 24 912 69 092 0 69 092 94 004

19 305 - - - 19 305 44 572 0 44 572 63 877

93 983 - - - 93 983 1 070 123 0 1 070 123 1 164 106

30 876 - - - 30 876 298 022 0 298 022 328 898

20 606 - - - 20 606 61 767 0 61 767 82 373

25 000 25 000 5 370 55 370 58 063

70 000 25 000 37 520 39 796

121 000 25 000 38 477 40 462

25 000 25 000 136 923 186 923 196 761

70 000 25 000 115 512 122 391

164 000 25 000 81 740 87 458

366 000 25 000 147 654 243 346 304 444

417 000 25 000 237 249 204 751 256 098

569 000 25 000 473 091 120 909 151 590

366 000 25 000 676 206 1 067 206 1 333 280

417 000 25 000

940 000 25 000

366 000 25 000 4 380 454 4 771 454 5 935 560

417 000 25 000 896 674 1 338 674 1 667 572

940 000 25 000 631 614 333 386 415 759

57 480 - 107 523

20 512 - 107 260 -

63 991 - 708 974 378 009 256 026 472 013 319 903

Retained Earnings Opening retained earnings Net profit of the year Preference Dividends Ordinary Dividends Closing retained earnings 0 5 370 0 0 5 370 0 0 0 0 5 370 131 553 0 0 136 923 57 480 - 107 523 77 992 0 0 263 136 923 284 576 0 0 147 654 20 512 257 760 0 0 237 249 107 260 365 831 0 0 473 091 147 654 823 860 0 0 676 206 237 249 173 258 0 0 63 991 473 091 235 883 0 0 708 974 676 206 3 704 249 0 0 4 380 454 63 991 960 665 0 0 896 674 708 974 77 360 0 0 631 614

57 480 - 107 523 0 0 57 480 - 107 523

0 0 20 512 - 107 260 -

Annex 19-60

CASH FLOW STATEMENT (3 SCENARIOS)

2009 All amounts in , Operating Activities Cash received from customers Cash paid to suppliers Cash paid to employees Cash generated from operation Interest paid Income tax paid Cash flow from operating activities Investing activities Proceeds from sale of eqtp plants Interest received Purchase of equipement & plants Investment In WLF financial Instrument Acquisition of goodwill Cash Flow from investing activities Financing Activities Proceeds from issuance of share capital Lock in capital (Gmbh) Change in bank overdraft Proceeds from non-current borrowings Repayement of borrowings Dividends paid Cash flow from financing activities High 2009 Realistic Low 2009 High 2010 2010 Realistic Low 2010 High 2011 Realistic 2011 Low 2011 High 2012 Realistic 2012 Low 2012 High 2013 Realistic 2013 Low 2013

162 338 97 403 - 30 070 - 25 416 - 134 312 - 134 312 2 043 - 2 891 62 325 -

48 702 22 164 134 312 107 774 - -

527 723 335 456 209 635 1 417 518 112 554 - 79 090 - 65 828 - 281 952 216 763 - 138 341 - 138 341 - 1 425 213 198 406 - 70 836 127 570 118 025 - 41 996 76 029 5 466 - 142 289 647 5 841 -

725 857 170 099 791 262 235 504 5 841 -

429 851 4 996 296 2 251 769 143 246 - 551 041 - 292 799 625 832 - 3 335 155 - 1 731 106 339 227 2 920 - 1 110 100 34 803 443 617 631 681 227 864 10 978 93 293

922 933 12 920 260 3 798 521 1 436 289 227 886 - 1 096 640 - 369 693 - 249 403 888 791 - 6 227 655 - 1 922 866 - 1 052 757 193 744 7 103 - 5 595 964 170 120 1 994 595 3 431 248 1 505 962 47 375 517 281 941 306 134 129 9 845 41 655 82 628

4 935 - 62 325 - 107 774

5 324 - 295 488 - 241 345 - 342 148

123 593 - 200 847

- 585 -8500 - - 7 915 -

- 524 8 500 - - 7 976 -

- - 8 500 - -

- 1 935 80 400 26 311 -

- 1 379 52 900 15 598 -

- - 52 900 53 -

- - 116 800 - -

- - 105 800 - -

- - 80 800 - -

- 19 049 265 000 164 772 -

- 12 704 178 500 34 652 -

- - 140 000 - -

- 40 597 1 138 500 740 850 -

- 31 082 183 500 192 133 -

- 24 418 0 15 472 - 8 946

8 500 - 104 776 - 67 120 - 52 953 - 116 800 - 105 800 -

80 800 - 410 723 - 200 448 - 140 000 - 1 838 753 - 344 551

25 000 25 000 - - - - 50 000

70 000 25 000 - - - - 95 000 24 698 0 24 698

121 000 25 000 - - - - 146 000 29 726 0 29 726

43 000 - - - - - 22 794 37 150 59 943 - - - - - 8 909 24 698 33 608 - - - - 43 000 4 628 29 726 25 097

341 000 - 38 000 1 270 - 377 730 34 558 59 943 25 385

347 000 - 38 000 1 270 - 383 730 36 585 33 608 70 192

405 000 - 19 000 635 - 423 365 417 25 097 25 514 - 190 000 7 820 - 182 180 403 138 25 385 428 523 - 35 000 2 638 - 32 362 44 492 70 192 25 701

371 000 - 28 000 1 792 - 397 208 56 361 25 514 81 875 - 890 000 38 787 - 851 213 2 443 709 428 523 2 872 231 - 240 000 11 070 - 228 930 825 684 25 701 851 385 - 20 000 2 805 - 17 195 108 769 81 875 190 644

Net increase/decrease in cash and cash equivalent 37 150 Cash & cash equivalent at begening of the year Cash & cash equivalent at end of the year 0 37 150

Annex 19-61

VALUATION & PERFORMANCE

High ROE with ROE = m*t*l Operating efficiency = NI/SA Asset use efficiency= SA/TA Financial Leverage = TA/EQ with Net Income(NI) Sales (SA) Total Assets (TA) Equity (EQ) CC ROE - CC 2009 2009 Realistic Low High 9,70% -153,20% -279,45% 3% 305% 1,05 5 176 58 55 370 876 063 370 10% 0,20% 2010 9% 1,9 3,5% 6% 17% 12% 32% -23% 9 802 5,5% 3,0% 57 106 39 37 -54% 267% 1,06 480 126 796 520 10% -162,70% 2010 -144% 1,9 3,5% 6% 17% 12% 32% -176% 55 879 -52,7% -54,2% - 107 53 40 38 -203% 131% 1,05 523 063 462 477 10% -288,95% 2010 -266% 1,9 3,5% 6% 17% 12% 32% -298% 105 398 -198,6% -202,6% 131 559 196 186 2009 2010 Realistic Low 70,38% 67,52% 24% 284% 1,05 553 142 761 923 10% 60,88% 2010 67% 1,9 3,5% 6% 17% 12% 32% 35% 222 679 39,8% 23,5% 77 355 122 115 22% 291% 1,06 992 993 391 512 10% 58,02% 2010 64% 1,9 3,5% 6% 17% 12% 32% 32% 133 959 37,6% 21,9% 2010 2010 High 0,32% 0% 256% 1,07 263 223 657 87 458 81 740 10% -9,18% 2010 0% 1,9 3,5% 6% 17% 12% 32% -32% 15 755 7,0% 0,1% 2011 2011 Realistic Low High -116,94% -125,89% -302,57% -19% 491% 1,25 284 1 494 304 243 576 388 447 346 10% -126,44% 2010 -93% 1,9 3,5% 6% 17% 12% 29% -123% 227 311 -15,2% -19,0% - 257 758 256 204 -34% 296% 1,25 760 979 098 751 10% -135,39% 2010 -101% 1,9 3,5% 6% 17% 12% 29% -129% 210 120 -27,7% -34,0% - 365 448 151 120 -82% 296% 1,25 831 316 590 909 10% -312,07% 2010 -241% 1,9 3,5% 6% 17% 12% 29% -270% 327 361 -73,0% -81,6% 2011 2012 Realistic 77,20% 16% 398% 1,25 823 860 5 309 900 1 333 285 1 067 206 10% 67,70% 2010 62% 1,9 3,5% 6% 17% 10% 28% 34% 1 400 906 26,4% 15,5% 45,83% 7% 505% 1,25 173 2 385 472 378 258 451 015 009 10% 36,33% 2010 37% 1,9 3,5% 6% 17% 10% 28% 8% 351 250 14,7% 7,3% 3 13 5 4 704 601 935 771 2012 High 77,63% 27% 229% 1,24 249 785 568 454 10% 68,13% 2010 62% 1,9 3,5% 6% 17% 10% 28% 35% 6 230 668 45,8% 27,2% 2013 Realistic 71,76% 24% 235% 1,25 960 665 3 925 065 1 667 576 1 338 674 10% 62,26% 2010 58% 1,9 3,5% 6% 17% 10% 28% 30% 1 626 539 41,4% 24,5% 77 1 478 415 333 2013 Low 23,20% 5% 356% 1,25 360 455 760 386 10% 13,70% 2010 19% 1,9 3,5% 6% 17% 10% 28% -10% 174 993 11,8% 5,2% 2013

ROA Beta Risk free Rate Risk Premium Market Practice Default spread WACC ROA - WACC EBITDA EBITDA Margin Profit margin (NI/SA)

High ROE with ROE = m*t*l Operating efficiency = NI/SA Asset use efficiency= SA/TA Financial Leverage = TA/EQ with Net Income(NI) Sales (SA) Total Assets (TA) Equity (EQ) CC ROE - CC

Five years average Realistic Low 69,26% 43,22% -76,05% 21% 270% 124% 12% 294% 123% -20% 312% 122%

4 21 7 6

380 142 828 324

454 091 124 298 10% 59,76%

896 674 631 614 7 531 614 3 168 927 2 557 875 1 015 173 2 074 466 830 539 10% 10% 33,72% -85,55%

ROA Beta Risk free Rate Risk Premium Market Practice Default spread WACC ROA - WACC EBITDA EBITDA Margin Profit margin (NI/SA)

Five years average 56% 35% 1,9 1,9 3,5% 3,5% 6,0% 6,0% 17,0% 17,0% 11,2% 11,2% 29,7% 29,7% 26% 5% 7 636 744 36,1% 20,7% 1 845 749 24,5% 11,9%

-62% 1,9 3,5% 6,0% 17,0% 11,2% 29,9% -92% 400 241 -12,6% -19,9%

Annex 19-62

FIRM VALUATION (NET PRESENT VALUE ON 3 SCENARIOS)

2009 Hypothesis Working Capital Accounts Receivable Accounts Payable Investment & Depreciation Total Capex 5 yr Deprec Annual Depreciation YEAR Operating Cash Flow EBIT after Tax Depreciation Interest to Debt Working Capital Receivables Payables Investment Capex Free Cash Flows Cum FCF Perpetual Discount Rate Discount Rate Present Values FCF Residual Value NPV 1 High 14 538 2 693 Realistic 8 723 2 276 2009 Low 4 361 1 985 2009 High 45 957 9 838 2010 2010 Realistic Low 29 260 6 879 2010 High 122 826 24 368 2011 2011 Realistic Low 62 382 14 617 2011 High 436 430 47 165 2012 Realistic 196 064 24 912 2012 Low 79 351 19 305 2012 High 1 117 955 93 983 2013 Realistic 322 608 30 876 2013 Low 121 517 20 606 2013

18 383 5 717

36 848 12 316

8500 2125 2125 1

8500 2125 2125 1

8500 2125 2125

80400 22225 22225 2

52900 15350 15350 2

52900 15350 15350 2

116800 51425 51425 3

105800 41800 41800 3

80800 35550 35550 3

265000 117675 117675 4

178500 86425 86425 4

140000 70550 70550 4

1138500 402300 402300 5

183500 132300 132300 5 5

0 70550 70550 Perpetual Growth High Realistic

5370 2125 0

-57480 2125 0

-107523 2125 0

131553 22225 0

77992 15350 0

263 15350 0

-278736 51425 -5841

-251920 41800 -5841

-362911 35550 -2920

858662 117675 -34803

184236 86425 -10978

-228780 70550 -7103

3874369 402300 -170120

1008040 132300 -47375

87205 70550 -9845

-14538 2693

-8723 2276

-4361 1985

-31419 7146

-20537 4603

-14021 3732

-76870 17223

-33122 10014

-18465 8584

-313604 29942

-133683 14898

-42503 10721

-681525 64041

-126544 15978

-42166 9885

-8500 -12850 -12850 32% 0,7582 -9742 3 647 432

-8500 -70302 -70302 32% 0,7582 -53299 1 043 096

-8500 -116274 -116274 32% 0,7582 -88153 -240 740

-80400 49104 36254 32% 0,5748 28225

-52900 24508 -45794 32% 0,5748 14087

-52900 -47576 -163850 32% 0,5748 -27346

-116800 -409598 -360494 29% 0,4454 -182453

-105800 -344869 -320361 29% 0,4470 -154166

-80800 -420963 -468539 29% 0,4455 -187538

-265000 392873 -16725 28% 0,3481 136760

-178500 -37602 -382470 28% 0,3484 -13099

-140000 -337115 -758077 28% 0,3468 -116901

-1138500 2350565 2743438 28% 0,2727 640930

-183500 798899 761297 15% 28% 0,2728 217950

0 115629 -221486 28% 0,2703 31256 0,65 CF=Perp 1527867 519284 15% PGRate 1,5% 1,5%

3033713 11125923

1031623

YEAR Annual Cash Flow Cumulated Free Cash Flow Cumulated NPV Free Cash Flow Operating Profit (EBIT) Cumulated Income Net Income Default spread 1 - Taxe rate Risk free Rate Market Practice Risk Premium Beta Cost of equity Cost of debt Equity / (Debt + Equity) Debt (Debt + Equity)

1 -12 850 -12 850 -9 742 8 261 5 370 5 370 12,00% 65% 3,5% 17% 6% 1,9 32% 10,08% 1,00 -

1 -70 302 -70 302 -53 299 -57 480 -57 480 -57 480 12,00% 65% 3,5% 17% 6% 1,9 32% 10,08% 1,00 -

1 -116 274 -116 274 -88 153 -107 523 -107 523 -107 523 12,00% 65% 3,5% 17% 6% 1,9 32% 10,08% 1,00 -

2 49 104 36 254 18 482 202 389 136 923 131 553 12,00% 65% 3,5% 17% 6% 1,9 32% 10,08% 1,00 -

2 24 508 -45 794 -39 212 119 988 20 512 77 992 12,00% 65% 3,5% 17% 6% 1,9 32% 10,08% 1,00 -

2 -47 576 -163 850 -115 500 405 -107 260 263 12,00% 65% 3,5% 17% 6% 1,9 32% 10,08% 1,00 -

3 -409 598 -360 494 -163 971 -278 736 -153 024 -284 576 12,00% 65% 3,5% 17% 6% 1,9 32% 10,08% 0,87 0,13

3 -344 869 -320 361 -193 379 -251 920 -179 769 -257 760 12,00% 65% 3,5% 17% 6% 1,9 32% 10,08% 0,85 0,15

3 -420 963 -468 539 -303 038 -362 911 -365 568 -365 831 12,00% 65% 3,5% 17% 6% 1,9 32% 10,08% 0,87 0,13

4 392 873 -16 725 -27 211 1 302 279 539 283 823 860 10,00% 65% 3,5% 17% 6% 1,9 32% 8,78% 0,83 0,17

4 -37 602 -382 470 -206 477 277 529 -84 503 173 258 10,00% 65% 3,5% 17% 6% 1,9 32% 8,78% 0,85 0,15

4 -337 115 -758 077 -419 939 -228 780 -601 714 -235 883 10,00% 65% 3,5% 17% 6% 1,9 32% 8,78% 0,85 0,15

5 2 350 565 2 743 438 613 719 5 868 965 4 528 108 3 704 249 10,00% 65% 3,5% 17% 6% 1,9 32% 8,78% 0,82 0,18

5 798 899 761 297 11 473 1 525 321 1 133 923 960 665 10,00% 65% 3,5% 17% 6% 1,9 32% 8,78% 0,82 0,18

5 115 629 -221 486 -388 683 128 861 -158 523 77 360 10,00% 65% 3,5% 17% 6% 1,9 32% 8,78% 0,84 0,16

BE 1 527 867

BE 519 284

10,00% 65% 3,5% 3% 6% 1,9 18% 8,78% 0,70 0,30

Annex 20-63

20.ANNEX 20 EXAMPLES OF PRICES FOR BANNERS ON WEBSITES

Monthly Advertisement Rates

Scope
Including index page and all subsequent pages in each section

Top Banner
46860

Side Button
12060

Bottom Banner
46860

Front Page
including all pages at the root level such as news, chat, and search.

$1,250/mo

N/A

$500/mo

Forum Units and Constants Formulas Materials Design Center Mathematics Processes

$1,000/mo $1,000/mo $800/mo $800/mo $500/mo $500/mo $300/mo

$500/mo $500/mo $400/mo $400/mo $250/mo $250/mo $150/mo

$250/mo $250/mo $200/mo $200/mo $125/mo $125/mo $75/mo

All rates effective 12/1/2001. Rates are subject to changes without prior notice.

ALL CAMPAIGNS ARE INVOICED UPON POSTING. AT THE END OF EACH MONTH, A SUMMARY WILL BE SENT TO ALL ADVERTISERS DETAILING THE NUMBER OF IMPRESSIONS AND CLICK-THROUGH RATES FOR THEIR ADS.

How much do banner ads cost? Home > How much Banner ads are like everything else in life: You get what you pay for...Quality doesn't come cheap.You get the picture. But, at the same time, we believe we offer some of the best value on the Web for

Annex 20-64

professional award-winning banner design and production. awardTerms If you pay in advance, get an extra 5% OFF quoted price AND your order gets PRIORITY. Order three or more banners and also get 5% also OFF. Rate card We do all sizes, just ask.

New prices take effect Jan. 1, 2007

Size Animated Price

468 x 60 IMU - (Full Banner) 120 x 240 IMU - (Vertical Banner) 180 x 150 IMU - (Rectangle) 250 x 250 IMU - (Square Pop-Up) 234 x 60 IMU - (Half Banner) 88 x 31 IMU - (Micro Bar) 120 x 90 IMU - (Button 1) 120 x 60 IMU - (Button 2) 125 x 125 IMU - (Square Button)

YES

$75.00

NO
$75.00

FLASH

$225.00

* A 5% discount is given for orders of three or more animated .gif banners. There is no price break for flash. Size Animated Yes/No Price $90.00

Annex 20-65

FLASH

$250.00

* A 5% discount is given for orders of three or more animated .gif banners. There is no price break for flash. Size Animated Price

HTML email Samples here

Yes/No $199.95

Size

Animated

Price

Landing page

Yes/No

$500.00

* A 5% discount is given for orders of three or more banners.

Source files Sourcce .PSD files can be obtained for $25 each. Turnaround time The turn-around time for a normal job, up to three banner ads, is around seven days. If we get them done sooner, you'll receive them sooner. Banner ads can be produced faster, but at a premium. Banner placement I can also do research and place your banner ads for you. Market research as to the best sites to place your banners is $50 an hour with a minimum of two hours. This offer is for creative clients only. Also, my fee is 15% of the media buy (e.g., you spend $1000, my fee is $150).

Annex 20-66

1.

To be effective, your banner ad must be displayed on web pages that receive a high volume of web traffic. Also, the banner ad should be visible on the initial page load, window frame.

2.

Your banner advertising display must be entirely relevant to the material and content that exists on the page it is displayed.

Fill these shoes first and foremost and you'll run away with a substantial increase in genuine targeted visitors to your website. Properly executed, banner ad displays can pay off where all too often buried text links go unnoticed. Naturally, your banner ad display should be a high quality graphic- crisp, clean and professional looking. It should easily state its purpose and request an action. Avoid excessive flare, fan-fare, blinking and flashing episodes. Banner ads should closely match and fit easily into the web page theme and the flow of the page design.

Your Advertising Banner Arsenal There are many, many banner ad graphic programs to choose from, should you decide to take the time to create your own banner ads. If you're not truly creative you'll probably be wasting valuable time, because many high-traffic volume web sites will more than likely reject your creations. It's best to leave banner ad creations to the website's graphics team. They should know what's best to fit their site's page theme and design. Besides that, oftentimes you'll need more than a few different designs, colors and in some cases different sizes. What does banner advertising cost? Website banner advertising rates vary from site to site. Primarily there three payment types. 1. Cost per thousand impressions (views) - You are charged a fixed fee for every 1,000 people who see your ad, regardless if they click it. 2. Cost per click - You are charged a fee for each person who clicks on your banner ad, sending them to your site. 3. Cost per visitor - You are charged for each visitor that is delivered to your website.

Annex 21-67

21.ANNEX 21 DEFAULT SPREAD RISK

Class

Tranche Tranche Tranche Rating

Launch spread

Weighted average Life

(EURm) %

CE %

(Moody?s/ S&P)

137,8

69,07%

30,92%

[Aaa]/[AAA]

3m Euribor +0.28%

[6,50] years

20.0

10,02%

20,90%

[Aa2]/[AA]

3m Euribor +0.50%

[6,75] years

10.5

5,26%

15,64%

[A2]/[A]

3m Euribor +0.70%

[6,75] years

14.5

7,27%

8,37%

[Baa2]/[BBB]

3m Euribor +3.90%

[6,75] years

7.7

3,86%

4,51%

[Ba1]/[BB]

3m Euribor +3.90%

[6,75] years

9.0

4,51%

Excess Spread

NR

17 + 3% fixed

[6,75] years

Michael Gerlach, responsible for structuring the capital markets exit for CB MezzCAP, said: "The transaction documents the successful interaction of the bank's Corporate banking franchise and its securitisation expertise. The pattern of generating assets tailored for securitisation programmes will be re-used for succeeding transactions." Dalibor Jarnevic.

Annex 22-68

22.ANNEX 22 FIRM VALUATION, NPV OF FCF, EXAMPLE OF BETA

FOR SERVICE COMPANIES

In order to value our WLM agency business, many possibilities can be used:

We could compare to a similar business listed in the stock and derive a certain value of the agency using multiples like P/E ratio, Price to Sales ratio, Price to Cash ratio, market value to EBIT or revenues to EBIT. We can value the stream of cash generated by the business, discounted to the present value. We can value the stream of cash using probable outcome of each of our business options (6 in our 5 year plan) or even consider an infinite number of option and outcome using a Black-Scholes option-pricing model.

The first method is often used in the sales of small cap businesses or with the private businesses (once the multiples adapted). This method does not provide a single and simple answer to our question and it does require similar type of businesses in order to compare. Furthermore it only applies to a business with some historical records.

The second approach, the discounted cash flow, accounts for future assumptions in a clear, simple and structured framework, while deriving a firm value.

The third is the valuation (at present value) of probable outcomes of each area development (derive either by the B&S equation or by a decision tree). This last method fits perfectly our model, yet we believe it introduces a too large complexity to our purpose and does not provide a simple valuation view of our start-up business. This last method could be used to revise the firm valuation in further steps (second round of funding or in five years).

VALUATION USING THE NPV OF FCF

Using the NPV method to derive the firm valuation we must first answer to a certain number of questions and tune the parameters used along the NPV computation.

First we will need to understand which viewpoint will provide the best firm valuation: discounted cash to the equity or to the firm (equity + debt)?

Second, we will have to consider which cash can be discounted?

Annex 22-69

Third, we will determine the discount rate as the cost of capital of the firm using the weighted average method. The WACC will be based on the firm beta, the risk free rate and the risk premium. Each of these parameters will be discussed in this appendix.

Cash Flow Equity Valuation or Cash Flow Firm Valuation? Having done at first valuation of our company with only equity and compared with a debt leverage we have assessed better results in cash using debt even though differences accounts for a 3% increase on return on equity and a 4%decrease in cost of capital.

This is why we will value the WLM agency using the firm method.

The WLM agency Free Cash Flow

We will use the free cash flow (FCF) generated by our model. The Free Cash Flow is the net cash available after having paid all taxes and after the funding of the projects (with positive NPV). The FCF is available, aside from buying market securities, for dividends, share buy back or acquisition. It is composed of three elements, the operating cash flow, the decrease in working capital and the investment cash flow.

THE OPERATING CASH FLOW We use the EBIT after tax proxy to determine the cash generated by the recurring activities to which we add-up the depreciation of our IT tools (e-platform and KM database). Our operation is generating a positive net cash flow. The Net Working Capital Decrease
Cash flow from a decrease in working capital is being free to equity holders. Our operation shows an increase in net working capital that reflects our business growth. The increase in net working capital is mainly driven by the customer credit.

The Investment Cash Flow

Annex 22-70

Cash flow from net operation on assets (disposal of assets minus investment) is negative as we progressively invest in our e-platform and our knowledge database without any divestiture of assets. The WLM Agencys WACC.

2009 Hypothesis Working Capital Accounts Receivable Accounts Payable Investment & Depreciation website knowledge database Total Capex 5 yr Deprec Realistic 8 723 2 276 Realistic

2010 Realistic

2011 Realistic

2012 Realistic

2013

29 260 6 879

62 382 14 617

196 064 24 912

322 608 30 876

8500 2125

52900 15350

105800 41800

178500 86425

183500 132300

Annual Depreciation YEAR Operating Cash Flow EBIT after Tax Depreciation Interest to Debt Working Capital Receivables Payables Investment Capex Free Cash Flows Cum FCF 1

2125 2

15350 3

41800 4

86425 5

132300 Perpetual Growth Realistic

-57480 2125 0

77992 15350 0

-251920 41800 -5841

184236 86425 -10978

1008040 132300 -47375

-8723 2276

-20537 4603

-33122 10014

-133683 14898

-126544 15978

-8500 -70302 -70302

-52900 24508 -45794

-105800 -344869 -320361

-178500 -37602 -382470

-183500 798899 761297 519284

Our Weighted average cost of capital is the cost of equity and debt (used in the 3rd year). The cost of capital can be determined using the security market line (SML), the Risk premium for Germany is estimated to be around 6%. We estimate our beta to be around 1,9 and we add a market practice of 17% to our cost of equity in order to account for the lack of market experience.

Cost of Equity = Rf + Beta(Rp) + mp = 3,5% + 1,9 (6%) + 17 %= 32% Cost of debt = (Rf + ds) * Tr = 10 % The Risk Free Rate (Rf) is evaluated for the German market at 3,5% using a 10 year bond1. The Risk Premium stated as the difference between the expected of the market portfolio and the risk free rate in the SML equation is adjusted by a market practice rate in order to reflect our start-up situation using the following assumption: the excess in expected return (above the risk premium) is equivalent to the debt interest rate with a default spread rate in excess. Today the spread rate in excess is above 17%2.

1 2

See Annex 19 See Annex 19, 20, 21

Annex 22-71

We choose a default spread risk of 17% giving a discount rate of 32% during the first two years, decreasing to 28% in the fifth be leveraging the firm to 1,25

We choose a Beta of 1,9 which is well above betas of pure service companies such as Cap Gemini (beta of 1,45) or Steria (beta of 1,46) but closer to pure Internet platform service player such as Healthgrades3 (beta of 1,6) taking into account our mixed internet model (E-platform and Call center). During the 3rd year we will introduce debt in order to decrease the cost of capital and reduce payment of tax. Our assumptions were to make a leverage of minimum 25 % starting the 3rd year. The WLM Agency Value (Base Scenario).

Our 32% cost of equity reflects the WACC during our starting phase (3 first years) then we will use debt that will decrease cost of capital to around 28 %. To simplify our computation we made three assumptions for the perpetual growth:

We will reach a steady growth of 1,5% after these five years of growth Our WACC will lower to 15% in line with good business records and market practice We expect the market to be more competitive after the first five years and cash generated from operation should decrease while investment will be renew in order to keep a cost advantage, we then expect the cash perpetuity to be at 65% of the fifth year cash level.

Given those assumptions the net present value of the WLM Agency is 1 Mio .

Perpetual Discount Rate Discount Rate Present Values FCF Residual Value

32% 0,7582 -53299

32% 0,5748 14087

29% 0,4470 -154166

28% 0,3484 -13099

15% Perpetual GrowthRate 28% 1,5% 0,2728 217950 1031623

NPV
YEAR Annual Cash Flow Cumulated Free Cash Flow Cumulated NPV Free Cash Flow Operating Profit (EBIT) Cumulated Income Net Income Default spread 1 - Taxe rate Risk free Rate Market Practice Risk Premium Beta 3 See annex 20 Cost of equity Cost of debt Equity / (Debt + Equity) Debt (Debt + Equity)

1 043 096
1 -70 302 -70 302 -53 299 -57 480 -57 480 -57 480 12,00% 65% 3,5% 17% 6% 1,9 32% 10,08% 1,00 2 24 508 -45 794 -39 212 119 988 20 512 77 992 12,00% 65% 3,5% 17% 6% 1,9 32% 10,08% 1,00 3 -344 869 -320 361 -193 379 -251 920 -179 769 -257 760 12,00% 65% 3,5% 17% 6% 1,9 32% 10,08% 0,85 0,15 4 -37 602 -382 470 -206 477 277 529 -84 503 173 258 10,00% 65% 3,5% 17% 6% 1,9 32% 8,78% 0,85 0,15 5 798 899 761 297 11 473 1 525 321 1 133 923 960 665 10,00% 65% 3,5% 17% 6% 1,9 32% 8,78% 0,82 0,18 BE 519 284

Annex 22-72

CALL FOR ACTION

FINANCING 225 550 61 750 287 300 Investors SHARES 347 000 95 000 442000 Total 121 450 33 250 154 700 Founders 65% 65% 65% Investors 30% 35% Round 2 35% Round 1 35% Founders 70%

We intend to develop the business using private investors by founding the business in two rounds: 1. A seed round in order to prove the concept and pilot two years of business and prepare the expansion, with a 62K round from investors for a 35% share of equity. 2. A deployment phase during three years in order to expend the business into a leadership position in the life management for B2B, with a 225K from investors maintaining a 35% share of equity. Perspective for development in the life management service for B2B may continue to shine in five years, yet with growth at a much slower pace, before starting to stagnate after seven years. At that time we will be ready to propose an expansion phase into the top tiers market for highflying decision maker and diversify our brokerage agency into a top brick and mortar life management and children education service company.

EXAMPLE OF BETA FROM TYPICAL SERVICE COMPANY

Company Cap Gemini Description Consulting & IT services Steria Consulting & IT services Healthgrades Business services Market Paris Stock Exchange Paris Stock Exchange NASDAQ HGRD Ticker CAPP Sources http://www.reuters.com/finance/stocks 06/12/2008 http://www.techrules.com 02/12/2008 http://www.clearstation.com 05/12/2008 1,60 1,46 Beta 1,41