IPOs/Recent Issues: EMERGE INTERACTIVE –

Sebastian, FL

Went public 2/4/2000 at $15 apiece

Filing Range: 8 mil. shares @ $12 to $14

Shares Outstanding: 32.23 mil. shares

Underwriters: Adams Harkness & Hill

First Union Capital Markets/FAC/Equities

FINANCIALS

(Data except per-share in $ thousands)

Y/E Y/E 9 MOS 9 MOS

12/97 12/98 9/98 9/99

Total Revenue $0 $2,283 $1,106 $18,505

Net Loss -1,497 -7,099 -3,941 -11,087

Net Loss Per Share -3.91 -1.39 -.67 -1.62

The Company:

eMerge is a business-to-business electronic commerce company combining content, community and transaction services to create an online marketplace for the cattle industry. The company’s products and services are designed to create an efficient market for the purchase and sale of cattle and to improve quality and productivity in the cattle industry. eMerge’s current products and services include: livestock procurement services consisting of cattle sales and auctions; daily performance analyses of a customer’s feedlot operations; comparative cattle industry analysis and feedlot operations benchmarking studies; cattle inventory management tools; and livestock health management and quality enhancement products. Cyberstockyard.com, the company’s online cattle sales and auction services Web site, allows customers to participate in live cattle sales and auctions. The Feedlot Information System, eMerge’s cattle information management product, is designed to help customers manage their cattle operations. PCC-online.com, the company’s Professional Cattle Consultants service, is designed to provide customers with national, regional and customer-specific industry analysis services that are derived from eMerge’s proprietary centralized database of cattle industry information.

Proceeds:

Repay approximately $1.6 million of principal and interest owed to XL Vision; pay $1.4 million to Turnkey Computer Systems Inc., representing a deferred payment of a portion of a 19% investment in the company; as well as general corporate purposes and working capital.

Selling Shareholders:

The Internet Capital Group Inc. and Safeguard Scientifics Inc. collectively sold 694,000 shares. Xl. Vision Inc. Sold 500,000 shares. Technology Leaders Management LP sold 300,000 shares. An additional shareholder sold 6,000 shares.

Venture Backers:

Internet Capital Group Inc., XL Vision Inc., Safeguard Scientifics Inc., Technology Leaders Management LP

Board Members:

Douglas Alexander, Internet Capital Group Inc. April 1999

E. Michael Forgash, Safeguard Scientifics Inc. January 1999