What does Banks.com do?

Banks.com is a leading provider of Internet search services through a combination of traffic aggregation and proprietary websites. The company operates in the fastest growing segments of Internet commerce including paid search and direct navigation driving high quality traffic to advertisers and providing users with quick access to pertinent products and services.

Through its InterSearch Corporate Services division, the company also provides IT and Internet strategy consulting to large corporations, predominantly in the financial services market.

How big is the Company’s addressable market?

According to Forrester the market for paid search is expected to grow from $3 Billion in 2004 to $6.4 Billion in 2008, representing a 21% CAGR.

Direct navigation contributed approximately $400 Million to the Internet advertising market in 2004, and is expect to grow to $1 Billion in 2007 with estimated gross margins around 80%. Direct navigation is defined as typed-in or bookmarked traffic.

How does Banks.com generate revenues?

Banks.com monetizes Internet traffic by aggregating and driving users to an extensive network of direct advertisers and major paid search providers. The company generates revenues based on a Pay-per-Click model and through revenue sharing arrangements with partners.

Professional services revenues are driven by hours billed and billing rates, as well as amounts billed on a fixed bid project basis.

What are the key sources of Internet traffic monetized by Banks.com?

The company's search business monetizes online traffic that falls into two key categories. First, is the proprietary traffic that is driven to Banks.com-owned domains through (a) direct navigation, (b) by placing paid ads on the third-party websites and (c) by Banks.com domain content being picked up by algorithmic search.

Second, is the non-proprietary traffic generated through the third-party domains managed by Banks.com as well as via desktop software applications.

How many domain properties does Banks.com own?

Banks.com owns over 100 websites, including irs.com, look.com, redzip.com, upspiral.com, etc. Banks.com also hosts over 200,000 domains, 30,000 of which generate paid traffic.

How does Banks.com plan to grow?

Banks.com's strategy is focused on growing revenues generated by the direct, typed-in traffic to its Internet properties. This will be achieved through a combination of domain acquisitions and organic growth. Organic growth is a function of building enhanced content on the existing sites, expanding the network of direct advertisers and shifting away from the revenue sharing arrangements towards the more lucrative Pay-per-Click revenue model.

What is Banks.com’s acquisition strategy?

On the acquisition side, Banks.com is looking for category-level domains with high appeal to direct advertisers and network partners. Banks.com has identified 12 major vertical channels where the company will concentrate its acquisition efforts including finance, health, travel, etc. Within the target verticals, Banks.com is looking for underutilized domains that can benefit from additional content development, advertising relationships and the opportunity for optimizing a domain's revenue model. Finally, given the pronounced seasonality of www.irs.com, Banks.com is looking to smooth out revenue patterns by adding new properties to its portfolio of domains.

When does Banks.com’s fiscal year end?

December 31^st

How much did Banks.com generate in revenues in FY06?

2006 revenue was $25.6 million, a 46% increase compared to $17.5 million in FY05.

What was the revenue break-down by business segment in FY06?

- 64% from proprietary traffic
- 27% from non-proprietary traffic
- 10% from professional services

What were the Company’s earnings in FY06?

The company reported EBITDA of $7.5 million and net income of $3.4 million, or $0.12 per share.

What were the Company's revenues and earnings in the most recent fiscal quarter?

In the fourth quarter of FY06, ended December 31, Banks.com generated $6.4 million in revenues and $1.1 million in EBITDA.

Where can I get copies of Banks.com’s most recent SEC filings?

Copies of Banks.com’s most recent filings are available here.

How many shares does Banks.com have outstanding?

As of December 31, 2006 Banks.com had 25,051,432 shares of common stock outstanding. The company also had 1,612,500 options and 6,641,063 warrants outstanding.

Where are the Company’s facilities located?

Banks.com is headquartered in San Francisco, California at 222 Kearny Street, Suite 550.

How many employees does Banks.com have?

35 (as of December 31, 2005)

On which stock exchange does Banks.com trade and what is its ticker symbol?

Banks.com is trading on the American Stock Exchange under the symbol IGO.

When did Banks.com become a public company?

Banks.com became a public company in November 2004 through a reverse merger transaction with Walnut Ventures, Inc.

Is Banks.com an SEC reporting company?

Banks.com is an SEC reporting company since February of 2006.

Does the Company have a direct purchase plan for its common stock?

No. Purchases can only be made through brokers on the standard exchanges.

Does the Company issue dividends?

No. Cash dividends have not been paid in the past, and none are being considered for the future.

Who is the Company’s transfer agent?

Banks.com’s transfer agent is:

Transfer Online, Inc.
317 SW Alder Street, 2nd floor
Portland, OR 97204
Phone: (503) 227-2950
Fax: (503) 227-6874
www.transferonline.com

How do I change the address on my stock certificate?

Contact the transfer agent above.

When have stock splits occurred?

Banks.com implemented a 1:40 reverse stock split that took effect on October 19, 2005.

Who are the Company’s independent accountants?

Hacker, Johnson & Smith PA

Where can I find earnings information for Banks.com?

Banks.com typically posts information regarding upcoming earnings announcements on its investor relations website, approximately one week prior to the earnings announcement. After earnings are announced, Banks.com posts its earnings press release and a webcast on the investor relations website.