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FACTORS AFFECTING OUR OPERATING RESULTS, 

BUSINESS PROSPECTS AND MARKET PRICE OF STOCK 

Financial Risks Related to Our Business 

We have a history of losses and expect to continue to incur significant operating losses, and we may never be profitable. 

We have incurred net losses from our inception through December 31, 2001. As of December 31, 2001, we had an accumulated deficit of 

approximately $910.7 million. We have not achieved profitability under accounting principles generally accepted in the United States of 

America (GAAP) and we expect to continue to incur operating losses in the future. These losses may be higher than our current losses. Many 

of our operating expenses are relatively fixed in nature, particularly in the short term. As we have previously disclosed, we expect to incur a 

non cash charge estimated to range from $100 million to $200 million, which will be recorded in the first quarter of 2002 for the cumulative 

effect of adopting SFAS No. 142 

Goodwill and Other Intangible Assets. 

We have retained an independent valuation firm to conduct the 

valuation analysis pursuant to SFAS 142 and we expect to receive the results of their analysis by the end of April 2002. There can be no 

assurance that the results of the analysis by this independent valuation firm will not result in a non cash charge less than or in excess, perhaps 

substantially, of the amount previously estimated and disclosed by us. We will also perform an annual evaluation of our intangibles and may 

have future non cash charges as a result of implementing this accounting standard. We must therefore generate revenues sufficient to offset 

these expenses in order for us to become profitable under GAAP. We cannot assure you that we will successfully generate sufficient revenues 

or that we will ever achieve profitability under GAAP. If we do achieve profitability, we may not be able to sustain it.  

Our financial results are likely to continue to fluctuate, which could cause our stock price to be volatile or decline. 

Our financial results have varied on a quarterly basis and are likely to fluctuate in the future. These fluctuations could cause our stock 

price to be volatile or decline. Several factors could cause our quarterly results to fluctuate materially, including:  

variable demand for our products and application services; 

our ability to attract and retain customers; 

the amount and timing of fees we pay to Web portals to include our information services on their Web sites; 

expenditures for expansion of our operations; 

effects of acquisitions and other business combinations; 

our ability to meet service level agreements with our carrier partners; 

the introduction of new or enhanced services by us, or other companies that compete with us or our customers; and 

the inability of our customers to pay us or to fulfill their contractual obligations to us. 

For these reasons, you should not rely on period to period comparisons of our financial results to forecast our future performance. 

Furthermore, our fluctuating operating results may fall below the expectations of securities analysts or investors, which would cause the trading 

price of our stock to decline.  

We operate in new and rapidly evolving markets, and our business model continues to evolve, which makes it difficult to evaluate our 

future prospects. 

Since inception, our business model has evolved and is likely to continue to evolve as we expand our product offerings and enter new 

markets. As a result, our potential for future profitability must be considered in  

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