ELAYAWAY RESEARCH BRIEFING
Emerging Growth Research, LLC
Company Report:
eLayaway, Inc.
ELAY.OB
Rating: BUY
Joseph Noel
joe@joenoelstocks.com
Emerging Growth Research,
LLC
San Francisco, California
925-922-2560
Analyst Certification
I, Joseph Noel, hereby
certify (1) that the views
expressed in this research
Company report accurately
reflect my personal views
about any or all of the
subject securities or issues
reflected in this Company
report, and (2) no part of my
compensation was, is, or will
be directly or indirectly
related to specific
recommendations or views
expressed in this Company
report.
Please see important disclosures, including analyst certification
JULY 2010
Investment Highlights
eLayaway, Inc. (ELAY)
· eLayaway, Inc. is the leading, sole provider of a new,
revolutionary electronic layaway payment system that is
based on the Company’s patent pending technology.
· The eLayaway® solution faces a very large market
opportunity, with the potential to capitalize on a very
meaningful part of nearly all electronic and Brick & Mortar
transactions.
· The Census Bureau estimates eCommerce retail sales were
about $136 billion in 2007, with the much larger “Brick &
Mortar” retail segment representing a very significant $3.9
trillion.
· Within these markets, and at this stage in its growth
trajectory, the Company estimates its actual addressable
online eCommerce market size is in excess of $1.2 billion,
with an addressable Brick & Mortar segment conservatively
estimated at more than $58 billion.
· We believe eLayaway® has the potential to tap the same vast
eCommerce market place and be as widely recognized and
respected as PayPal™ for all budget conscious consumers.
· Experts predict 30% of Americans will turn to online
alternative payment options instead of using a credit card by
2012.
· The current economic environment and credit crisis, coupled
with the ubiquitous presence of the Internet in the world of
commerce, has created the “right time” for eLayaway®.
· There are currently only about 17.7 million common shares of
eLayaway® issued and outstanding.
www.joenoelstocks.com
 ELAYAWAY RESEARCH BRIEFING

ELAYAWAY (ELAY)
SUMMARY
Headquartered in Tallahassee, FL, eLayaway, Inc. is the
sole provider of a new proprietary online payment system
that allows consumers to prepay for items using a
monthly payment schedule that best fits their needs and
budget. eLayaway® is a modern, digital age version of
the former “tried and true” layaway business concept in
which consumer-directed partial payments are made over
time for goods and services that are then released to the
buyer once all payments are complete.
The eLayaway® payment system enables consumers to
actually “pull the trigger” and say “yes” to buying, while
giving merchants access to millions of credit-conscious
shoppers who were either previously unreachable or
looking for alternatives to traditional credit cards.
The Company’s payment solution addresses the multi-
billion dollar online eCommerce market and, soon,
eLayaway will introduce the “Brick & Mortar” version
of its eLayaway® technology for the much larger in-store
retail market.

to items that may not be immediately affordable

EXECUTIVE SUMMARY
The Company
eLayaway, Inc. (“eLayaway,” “ELAY” or the
“Company”) is the sole provider of a new,
revolutionary, patent pending online payment
system that allows consumers to pay for products
and services using an automated and affordable
periodic payment system based on the traditional
concept of layaway, while empowering merchants
to grow their customer base and sales. As the
leading provider of electronic/Internet-based
layaway payment processing technology, the
eLayaway® payment system was conceived to
provide additional payment options to consumers
and merchants alike, thereby increasing sales for
merchants and providing consumers with access
based on budget constraints.
At present, eLayaway® has approximately 700
merchants in its retailer network and over 90,000
individual registered users, figures we expect will
increase significantly over the near term as the
Company’s brand and reputation continue to grow
and penetrate new markets. The Company
currently sells its system for use as an online
scheduled payment option, mainly for use by
merchants within the checkout section of their
corporate websites. Importantly, eLayaway® is
also getting ready to launch a “Brick & Mortar”
version of its automated payment system that can
be used by merchants in actual physical store
locations, malls, kiosks and even within a
customer’s home during sales calls in order to
initiate the eLayaway® payment system.
eLayaway® is now in pilot testing within the
Brick & Mortar industry and we anticipate
entrance into this market this summer will greatly
increase the Company’s growth trajectory.

Emerging Growth Research, LLC 2

 ELAYAWAY RESEARCH BRIEFING
Introduction
eLayaway® is a revolutionary re-introduction of a
time-tested concept, namely the notion of
periodic layaway installment payments for a
particular item desired by a customer. The idea
of purchase by layaway is not new. The concept
of layaway, or purchasing an item without paying
the entire cost at once, is a time-proven concept
born of the Great Depression of the 1930s. The
way layaway works is rather than paying the full
price at purchase to receive an item, or taking the
item home and then repaying the debt incurred to
purchase the article, as is done in most
installment plans, the layaway customer does not
receive the item until it is completely paid for
through a series of scheduled prepayments.
Today, while the payments industry exists and is
used by some merchants in-house to execute
online and in-person “Brick & Mortar” sales, the
idea of an outsourced automated, online layaway
service is new. While quite a few merchants are
aware of and know what layaway is, only now
are they starting to see the value of this process
again, as eLayaway® has automated and
simplified the traditional notion of layaway to fit
today’s world of ecommerce.
Specifically, eLayaway®’s automated payment
system has done away with some of the most
inconvenient aspects of the traditional layaway
programs of the past, such as requiring the
customer return to the store periodically in order
to make the required installment payments and,
for merchants, having to set aside and store an
item until its been fully paid for, thereby taking
up limited and expensive retail storage space. In
fact, while the traditional concept of layaway was
once quite popular among retailers and customers
alike, many of America’s largest retailers have
simply chosen to end their traditional layaway
programs due to storage costs and the manual
complexities involved in managing the system.
Emerging Growth Research, LLC 3
Dominance of Electronic Payment Systems in
Today’s World of Commerce
In certain regards, we believe eLayaway® may be
liked to the very popular and widely known
PayPal™ technology as a comprehensive
solution for centralized payment processing, but
with an important difference. While most
consumers and merchants alike are familiar with
PayPal™ for processing full payment for goods
and services upfront, eLayaway® facilitates
partial payments made over a selected period of
time. Based on the very large market opportunity
the eLayaway® solution faces, with the potential
to be part of a very meaningful percentage of
nearly all electronic and Brick & Mortar
transactions, we believe eLayaway® has the
potential to be as widely recognized and
respected as PayPal™.
Regarding the importance of online payment
processing in today’s world of commerce,
dominated in many instances by the Internet, the
industry’s leading payment processing companies
accounted for more than 73% of all transactions
in 2007. Furthermore, the online alternative
payment industry in particular is growing by an
average of 60% per year. In fact, PayPal™, the
premier upfront payment source, became a
powerful alternative to eBay®’s Billpoint
(acquired by eBay® in 2002 for $43.5 million)
resulting in eBay® also buying the superior
PayPal™ solution for $1.5 billion in 2002. We
believe eLayaway® has the potential to tap the
same vast eCommerce marketplace and be equal
in brand name recognition and size to PayPal™
for all budget conscious consumers.
Economic Trends
The current economic environment, coupled with
the ubiquitous presence of the Internet in the
world of commerce, has created the “right time”
for eLayaway®.
At this time, many credit card issuers are
dramatically increasing their credit and lending
standards as well as upping fees, thereby limiting
 ELAYAWAY RESEARCH BRIEFING
the number of new qualified cardholders,
reducing existing credit lines, charging what
many consider to be predatory interest rates
and/or canceling accounts altogether. With the
recent and continued tightening of the credit
markets and the economic downturn, fewer and
fewer cash strapped consumers are finding they
have access to the credit limits they once had
even just a few years ago.
Consequently, many retailers and merchants have
seen dwindling sales levels and are in need of
identifying effective, innovative and proactive
solutions to revive and maintain sales levels
while helping customers afford the products and
services they desire. In fact, experts predict 30%
of Americans will turn to online alternative
payment options instead of using a credit card by
2012. eLayaway® has entered the retail market to
fulfill this demand by providing a unique and
efficient non-predatory, non-credit scheduled
payment option that modernizes the extended
prepayment model of traditional layaway plans.
Additionally, because an item is received only
when full payment has been made, purchases
made with the eLayaway® payment plan do not
place any additional debt burdens on the buyer.
®
We believe the eLayaway payment option is
both a viable alternative to paying with plastic
credit cards as well as the right replacement for
the deficiencies being left in the marketplace by
the credit card industry’s pull back. As a debt-
free payment option, eLayaway® also provides a
means for buyers to continue to make important
purchases while avoiding incurring any
additional, unwanted debt.
Market Size
The retail market in the United States is large and
retail consumption of all forms is a very
significant contributor to the nation’s GDP (gross
domestic product), accounting for up to two-
thirds of GDP by some estimates. For 2007, the
Census Bureau of the Department of Commerce
estimates total retail sales were over $4.0 trillion
dollars. Of this amount, approximately 3.4%
Emerging Growth Research, LLC 4
were eCommerce related, or about $136 billion.
The vast majority, about 96.6% or a very
significant $3.9 trillion, were Brick & Mortar
sales at actual retail locations and store fronts.
Regarding eLayaway®’s addressable market, the
Company currently estimates its addressable
online eCommerce market to be in the
neighborhood of $60 billion and, conservatively
from here, estimates that at this stage in its
growth process it is facing a current conversion
rate that leads the Company to actually be able to
address an online eCommerce market size in
excess of $1.2 billion. While eLayaway® is
currently penetrating and capturing sales in the
eCommerce market, it is the Brick & Mortar
retail market in particular that represents the
largest potential for the Company, worth
significantly more than the online marketplace
that eLayaway® has successfully serviced to date.
The Company’s addressable Brick & Mortar
retail market is conservatively determined to be
roughly in excess of $58 billion. Importantly, the
Company plans to launch its entrance into the
Brick & Mortar market segment during the
summer of 2010.
In total, we estimate the current addressable
market for the eLayaway® solution is as listed
below. It is worth noting that for the Company’s
three divisions, eLayawaySPORTS™,
eLayawayTRAVEL™ and
eLayawayHEALTH™, the addressable market
dollar figures listed below are extremely
conservative and only reflect the Company’s
modest efforts to date to market to and penetrate
each of these much larger and significant sectors.
Merchant Addressable Market by Segment
· Online retail: $1,200,000,000
· Brick & Mortar Retail: $58,100,000,000
· Sports: $26,000,000
· Travel: $141,000,000
· Health: $50,000,000
Total: $59,500,000,000
 ELAYAWAY RESEARCH BRIEFING
Importance to Customers
The Company’s eLayaway® modified payment
schedule makes purchasing the goods and
services customer desire even more attractive to
potential buyers and, in many cases, enables
them to actually “pull the trigger” and say “yes”
to buying, knowing they will not have to come up
with the larger total sum price all at once.
Importance to Merchants
Likewise for merchants, and equally as
important, by increasing consumer access to the
good and services they desire, merchants have
more opportunities to increase sales and grow
their business. For merchants in today’s
economy, this could mean the difference for
struggling companies in their survival, in
enabling them to maintain cash flows and/or
affording them the opportunity to keep their
employment levels - due in large or small part to
their implementation of the eLayaway® solution.
eLayaway®’s patent-pending payment system
allows merchants and retailers to expand their
consumer base to include millions of credit-
conscious shoppers.
THE COMPANY
eLayaway, Inc. (“eLayaway,” “ELAY” or the
“Company”) is the sole provider of a
revolutionary new online payment system that
allows consumers to pay for products and
services using an automated, manageable
periodic payment system based on the traditional
concept of layaway. eLayaway® is a modern,
digital age version of the former “tried and true”
layaway business concept in which consumer-
directed partial payments are made over time for
Emerging Growth Research, LLC 5
goods and services that are then
released/rendered to the buyer once all payments
have been made in full.
Specifically, the eLayaway® concept is an online
payment option that allows consumers to pay for
items they want by selecting a monthly payment
schedule at checkout that best fits their financial
situation, thereby making the purchase more
affordable and easier to budget. Likewise,
merchants offering the eLayaway® solution are
able to extend their customer reach and increase
sales by offering an automated layaway payment
plan that appeals to cost and budget conscious
consumers who otherwise might be inclined to
postpone or entirely forego the purchase they
desire.
At present, the eLayaway® payment option is
offered online by approximately 700 merchants,
either through their own corporate websites or
via eLayaway®’s own online store, called the
eLayawayMALL™. The Company operates its
own online eLayawayMALL™ which offers
many of the most popular name brand consumer
products, payable with eLayaway®, through the
Company’s affiliate relationships with some of
the most highly recognized stores in the retail
world. As of June 2010, eLayaway® had over
90,000 individual members signed up for the
Company’s online layaway payment option. The
Company sells its patent-pending payment
system directly to merchants and as a preinstalled
component of a larger technology platform that is
then sold as a complete package to merchants and
retailers for use on their websites as part of the
payment-and-checkout process.
 ELAYAWAY RESEARCH BRIEFING

In addition to its online offering, the Company is likely prove financially difficult for many
getting ready to expand into the “Brick & families and households.
Mortar” retail segment using its latest proprietary
technology and system automation, with a rollout U.S. Consumer Debt Over the Past Decade
of eLayaway® scheduled for this summer. The
Brick & Mortar retail market, comprised of
merchants located in actual stores and physical
retail settings, represents the largest market
potential for eLayaway®, with annual sales in the
multiple trillions of dollars in the United States
alone.
In addition to its widespread and growing online
presence through its merchant network of
retailers, eLayaway® operates three divisions,
each of which is tailored to their specific target
market. The Company’s wholly-owned brands
include: eLayawaySPORTS.com, where fans can
purchase season tickets and other sports related
items on layaway; eLayawayTRAVEL.com that Dollars in Billions
allows users to make payments toward the
purchase of cruises and other travel related
expenses; and eLayawayHEALTH.com, Many believe banks and credit card companies
designed to make medical treatments easier to are partly to blame for America’s current
afford by allowing customers to make regular, economic predicament, given their aggressive
automatic installment payments towards the full marketing tactics and minimum payment
purchase price or down payment of qualified strategies have made it relatively easy for
medical procedures. consumers to overspend and, later, to have to
Going forward in 2010 and beyond, the Company overpay via excessive interest rates and fees for
anticipates pursuing many new opportunities and money borrowed. While recent pressure from
markets where eLayaway® can add value, federal regulators has required many credit card
including international markets. companies to double their minimum payment
requirements from 2% to 4% of the balance, in
eLayaway, Inc. is headquartered in Tallahassee, order to help incentivize consumers to lower the
Florida. overall amount of their debt levels, many
customers are now living on a very tight budget
and are finding it difficult to adjust. Thus, with
INDUSTRY TRENDS the days of “cheap and easy” money likely gone
Consumer Economics forever, as exemplified by 1.0% and 2.0%
mortgages, many American consumers are
For the first time since the Great Depression of
experiencing the true cost of credit and are
the 1930s, the national personal savings rate in
reining in their spending habits accordingly.
the United States has reached negative levels.
This fact, coupled with overwhelming consumer
debt and the reality that Americans are living 10 Credit Conditions Are Tight
to 20 years longer than prior generations, pre-
tells the notion that the next several decades will The true cost of credit today is significantly
higher for many consumers than it was even just

Emerging Growth Research, LLC 6

 ELAYAWAY RESEARCH BRIEFING
a few years ago. This fact is perhaps best
exemplified by the new “reality” that all banks
have drastically tightened their credit
qualifications for individual customers and
businesses alike, as a result of the historically
high rate of defaults and delinquencies that have
come about in the current debt crisis, and as
solidified by the recent sub-prime market crash.
Credit companies have decreased credit limits,
cancelled accounts altogether and/or substantially
increased credit card rates and fees (up to 29.99%
on some credit cards!). This effect has left fewer
and fewer consumers with access to adequate
credit.
The fall of the real estate market has also had the
effect of slowing spending from home equity
accounts, as a significant percentage of
mortgages are now close to, or even exceed, the
current market value of the mortgaged property.
This situation has served to take money out of the
consumer’s pockets and transform a once rather
free-spending population into a much more
financially conservative, budget-restrictive base
of consumers.
Each of these forces continues to make it difficult
for many consumers to manage both the small
and large purchases that in prior years would
have easily been bought on credit, through
extended equity lines and/or by incurring
additional debt. The result of this increase in the
cost of money and the simultaneous decrease in
the supply of readily available funds has curtailed
spending, or impacted the decision by the
consumer to simply postpone or forego the
purchase altogether.
The Market Case for eLayaway®
Tensions in the current economic climate, the
drastically tightened credit environment and
dwindling/disappearing home equity lines have
all served to create a financial storm for the
consumer that is greatly limiting access to
available credit and causing a major decline in
consumer buying power. As a result, many
households are reevaluating their spending habits
Emerging Growth Research, LLC 7
to reflect tighter budgets. Part of this process for
many would-be consumers includes the new
reality of postponing or altogether forgoing the
purchase of certain goods and services that, if
only made more affordable, could otherwise
potentially be acquired.
To this end, new, effective payment options are
necessary to improve the financial health of the
typical consumer and enable them to continue to
make the purchases they desire. Speaking to the
other side of this coin, as consumers reevaluate
and rein-in their spending habits, merchants are
experiencing a decrease in sales and seeing their
revenue streams decline. Under these
circumstances, smart merchants will seek
consumer-friendly payment alternatives to keep
sales flowing.
This situation has caused millions of consumers
and merchants alike to seek out alternatives like
eLayaway®. In fact, experts predict 30% of
Americans will turn to online alternative payment
options instead of using a credit card by 2012.
eLayaway has entered the retail market to fulfill
this demand by providing a unique and efficient
non-predatory, non-credit, debt-free scheduled
payment option that modernizes the extended
prepayment model of traditional layaway plans.
MARKET SIZE
Online Retail Market
There are approximately 1,000,000 e-retail
merchants in the United States alone which are
made up of small, medium and enterprise level
businesses that operate either individually or in
networks based on their technology platform.
Specifically, there are currently about 300 online
retailers, each of whom generate more than
$20,000,000 in total annual sales volume. This
merchant segment represents 50% of all online
transactions. At this time, many of these
enterprise level merchants are experiencing an
increase in the denial rates of their own branded
credit programs, given the ongoing consumer
credit crisis.
 ELAYAWAY RESEARCH BRIEFING
Additionally, there are over 900,000 small
business merchants, each of whom generate less
than $20,000,000 in total annual sales volume
that operate in the eCommerce marketplace.
Importantly, the market for small business
merchants is growing by an average of 30% per
year. These merchants have traditionally
struggled to offer additional credit-based
payment options that extend beyond traditional
credit card services. We firmly believe
implementation of the eLayaway® solution can
help each of these retailers turn such denials into
active sales, something they have never been able
to do before, given the customer is actually ready
to buy a selected item and is just looking to
somehow complete the purchase process.
The Company estimates its current addressable
market in the online eCommerce retail segment is
over $1.2 billion.
Brick & Mortar Retailing
Brick & Mortar retailers consist of merchants
that have an actual physical store location. In
2007, annual Brick & Mortar retail sales in the
United States alone represented a very significant
nearly $4.0 trillion dollars, comprised of millions
of merchants. This merchant segment would
likely benefit significantly from realizing the
great value the eLayaway® online technology
provides as a method to assist in making their
Brick & Mortar businesses grow and capture
more sales.
As the popularity of layaway has grown in the
past year, many retailers such as Sears®, Kmart®,
Burlington Coat Factory® and TJ Maxx® have
experienced significant increases in layaway
sales. In fact, the Burlington Coat Factory®
stated that 5.0% of their 2008 sales were
attributable to layaway. With the July 2009 FTC
Consumer Alert discussing the concept of
layaway, the option of layaway has been
acknowledged as a viable alternative to other
traditional payment methods, including credit
cards and the incurrence of debt.
Emerging Growth Research, LLC 8
As eLayaway®’s largest potential market, worth
significantly more than the online marketplace
that eLayaway® has successfully serviced to date,
the Company’s addressable Brick & Mortar retail
market is conservatively estimated to be in
excess of $58 billion.
THE eLAYAWAY® PAYMENT OFFERING
The eLayaway® concept is an automated online
payment system that allows consumers to pay for
products and services using manageable periodic
payments that make purchasing an item
affordable and more easy to budget than having
to pay the complete purchase price at once. For
merchants, in an economy where affordability
rules and accessibility to funds are scarce,
eLayaway® provides retailers with access to
consumers who were either previously
unreachable or looking for alternatives to
traditional credit card purchasing in order to be
able to buy.
eLayaway® is building an extensive merchant
and individual user network that is very much in
the growth stage at present and expanding every
month. The Company’s payment solution is
currently offered by approximately 700 qualified
merchants representing millions of products, with
over 90,000 registered member customers.
Importantly, over 45% of customers who make a
first purchase with eLayaway® make a second
purchase using eLayaway® shortly thereafter.
Going forward, we anticipate both the number of
merchants and individual users will increase
meaningfully throughout the remainder of this
year and into 2011 as eLayaway® continues to
gain recognition and enters the “Brick & Mortar”
retail industry.
 ELAYAWAY RESEARCH BRIEFING

Where eLayaway is Offered eLayawayMALL™ on behalf of a merchant and

Online Websites report back to them on volume and dollar sale
amounts. In this regard, eLayaway® has been
able to offer use of its eLayawayMALL™
website as an easy-to-use pilot program of sorts
that has already convinced several Big Box
retailers to incorporate eLayaway® into their own
corporate websites.
Regarding merchants who currently offer
eLayaway® on their own corporate websites,
customers are able to locate these retailers by
visiting the Company’s website to view a store
directory that lists all the merchants who
currently offer the eLayaway® payment plan in
the checkout section of their respective corporate
websites.

Currently, the eLayaway® payment plan is

offered by qualified merchants on their corporate
websites in addition to the Company’s own
online mall, called the eLayawayMALL™.

The eLayawayMALL™
The eLayawayMALL™ is the Company’s owned
and operated online store and marketplace that
offers many of the most popular name brand
consumer products, payable with eLayaway®,
through the Company’s affiliate relationships
with some of the most highly recognized stores
Brick & Mortar Retail Locations
on the Internet. Product orders sold in the
eLayawayMALL™ are fulfilled by existing The Brick & Mortar retail segment represents the
merchants and affiliates. Within the largest potential market for eLayaway® with
eLayawayMALL™, all items for sale come with annual sales in the multiple trillions of dollars in
the eLayaway® payment option at checkout. the United States alone. In fact, annual Brick &
Mortar retail sales in 2007 for the United States
The eLayawayMALL™ has also been a powerful
represented a very significant nearly $4.0 trillion
marketing tool for the Company for merchants
dollars, with millions of retailers and merchants
wishing to test the effectiveness of the concept of
operating in this sector. The Brick & Mortar
electronic layaway. Specifically, prior to signing
retail market is comprised of merchants located
up for eLayaway® and actually purchasing the
in actual stores, malls and physical retail settings.
Company’s automated payment system for their
own use, merchants can offer a select group of eLayaway® has developed an automated layaway
their products for sale on the Company’s mall payment solution for the Brick & Mortar market,
website in order to see “how well they sell.” The aptly named “eLayawayANYWHERE™,” that is
Company is able to track sales from the currently in beta testing mode with several Brick

Emerging Growth Research, LLC 9

 ELAYAWAY RESEARCH BRIEFING
& Mortar merchants in their actual storefront
locations. It is worth noting that beta testing is
going well and proceeding quickly to the next
phase of an actual controlled launch among a
select group of merchants, followed quickly
thereafter with rollout to an even larger group of
retailers. By adding Brick & Mortar capabilities
to its existing online technology, the Company
estimates it could easily expand its market by ten
fold.
This system allows Brick & Mortar merchants to
use eLayaway® as a management tool to sign-up
a particular in-store customer and initiate the
eLayaway® payment plan for a buyer looking to
make a purchase. Specifically, sales associates
will be able to set up an eLayaway® payment
plan using a virtual terminal within their store,
and the appropriate information given to them by
the customer, in order to fill out and complete a
form on their computer screen. If a customer
does not have all the necessary information at
hand while in the store, such as their bank
account number, the system will forward an
email onto them at home after they leave the
merchant’s location. They can then complete the
registration process at home and begin payments
using eLayaway® for the item they found while
at the store and submit the information online.
Then, just like its online version, the
eLayawayANYWHERE™ system for Brick &
Mortar merchants will automatically draft
payments from a customer’s bank account. Once
all payments are complete, eLayaway® will
submit the payment in full to the merchant and
the consumer will then be able to return to the
store and pick up the item.
With eLayawayANYWHERE™, merchants of
all types will be able to create and manage the
eLayaway® process anywhere, including physical
retail locations, kiosks or at the actual home of
the consumer during a sales call. Furthermore,
eLayawayANYWHERE™ makes the
Company’s automated layaway process available
to all merchants, regardless of whether or not
they have an Internet sales presence on their
corporate website.
Emerging Growth Research, LLC 10
Regarding competition, we are not aware at
present of any existing layaway management
systems offered today. Rather, any such layaway
systems in use today by Brick & Mortar retailers
appear to be strictly proprietary or specific to an
individual firm, and are typically of a “low
technology” format.
eLayaway® Customers
eLayaway®’s primary market consists of
individual consumers contemplating purchases
that are just beyond their financial means.
Normally, such a consumer may opt to use a
credit card for such a purchase, thereby incurring
additional debt. However, as more and more
consumers find themselves facing growing debt
and higher interest rates, the eLayaway® payment
option will prove to be an attractive, affordable
alternative. Consumers will also find eLayaway®
to be a convenient method to purchase seasonal
items such as holiday gifts, jewelry, travel, lawn
equipment and other large ticket items such as
appliances and televisions.
The Company’s core group of targeted
eLayaway® users includes several consumer
groups discussed below.
Current Layaway Users
Consumers already familiar with the traditional
concept of layaway are clearly a target audience
for the eLayaway® solution, as many have
already signed up to use the Company’s payment
offering. The National Retail Federation
estimates that layaway purchases made up 2.0%
of all 2008 retail sales nationally. (This was prior
to the radical change in the U.S. economy). This
places the value of the layaway market at more
than $200 million annually. Furthermore, Wal-
mart Stores, Inc. reported in 2007 that layaway
made up 6.0% of their retail sales (approximately
$18 million). These figures indicate that while
the existing layaway market is in a relative state
of disarray, after certain major retailers cancelled
their layaway programs due to cost and
 ELAYAWAY RESEARCH BRIEFING
complexities with running the program in-house,
the concept of layaway purchasing is a
significant market and a viable alternative
payment option with the potential for continued
long-term growth, especially in light of the
current state of the economy.
We believe the Company’s unique online
layaway process could position eLayaway® to
secure a significant portion of this re-emerging
market, just as PayPal™ has done in its
applicable segment of the online payments
segment. Unlike PayPal™, however, which only
plays in the online payments sector, eLayaway®
is also developing an outsourced automated
layaway solution for the much larger Brick &
Mortar retail industry, for merchants with actual
store front locations.
Credit Challenged Segment
The credit challenged market, consisting of over
100 million consumers domestically in the
United States alone, is the Company’s largest
target market. Almost 50% of all Americans
over the age of 18 years are “credit challenged,”
defined as individuals having no available credit
-to having a negative credit rating. We believe
consumers with such credit issues will find
eLayaway® to be a more affordable and
responsible way to pay for goods and services,
while affording them the opportunity to rebuild
their credit standing via the Company’s
eLayawayADVANTAGE™ membership
program. This consumer group is generally very
familiar with the concept of layaway and is
proving to be ready adapters of the eLayaway®
solution.
Debt-Free Lifestyle Segment
As more consumers learn or continue to
experience the pitfalls of excessive debt, pioneers
and public speakers such as Dave Ramsey and
the well known Suze Orman are increasing their
following of interested listeners as a result of
Emerging Growth Research, LLC 11
advocating and educating consumers on the
benefits of a debt-free lifestyle. These
commentators have an audience that ranges in the
millions of people as they are televised on
national networks. eLayaway®’s methodology of
purchasing without debt makes this consumer
segment a perfect target group for the Company’s
prepayment solution.
How eLayaway® Works for Customers
The eLayaway® automatic payment option is
designed to be fast and easy to use as part of the
checkout process for an online purchase.
The eLayaway® Process for customers is
depicted below:
To become eligible to use eLayaway®, customers
must first register with eLayaway, Inc. either by
visiting the Company’s website directly, or by
registering during the check-out process on a
participating merchant’s website, in which case
registration simply becomes part of the payment
process. At registration, customers submit
personal identification information and select the
active bank account they wish to use for
automatic payment deductions.
One a customer has finished selecting the online
purchases they wish to make, they are directed to
proceed to checkout. It is during the online
checkout process that customers are presented
with the opportunity to choose either to pay in
full or choose payment by a layaway plan. By
selecting “eLayaway® Now” at checkout, an
intuitive online calculator is activated that allows
customers to determine the dollar amount of their
monthly payments by breaking down their
order’s purchase price into three to 13 monthly or
biweekly payments that fit their budget.
 ELAYAWAY RESEARCH BRIEFING
Like traditional layaway programs, with
eLayaway®, customers are choosing to make
payments over time for items they have identified
with the merchant. Payments are automatically
deducted by eLayaway® from the consumer’s
bank account via Automated Clearing House
(“ACH”) on a schedule that is set by the
consumer at the time of purchase. During the
collection process, as payments are being made,
the growing balance is securely held in an
account in trust for the customer with HSBC,
eLayaway, Inc.’s banking partner. The
Company’s relationship with HSBC also enables
merchants to gain individual access into a bank
sponsored website where they can easily monitor
the accruing of customer funds from a transaction
with eLayaway®.
Like traditional layaway programs of the past,
delivery of the product or service happens once
payments are complete. Thus, once an order has
been paid in full, the funds are released to the
merchant, who in turn releases the item and ships
it directly to the customer and/or enables the
customer to access the service for which they
have paid. Customers are able to cancel any
purchase at any time for a full refund, with the
exception of a $25 cancellation fee and the initial
1.9% transaction fee.
Membership Cost
The Company offers customers two types of
membership: Standard and Advantage.
Standard membership is free and enables use of
the automated layaway payment process at
authorized merchants for a transaction fee of
1.9% of the total purchase price.
Advantage membership costs $8.95 per month to
use the system, with no transaction fees charged
on the first $1,000 of purchases and no
cancellation fees should the consumer decide to
cancel their purchase altogether. Additionally,
qualified purchases by
eLayawayADVANTAGE™ members are also
reported to PRBC® where their payment history
Emerging Growth Research, LLC 12
is recorded and reported to FICO®, helping to
improve their FICO® Expansion Score. (Credit
agencies use FICO® software to generate FICO®
scores which are used to compile credit reports
on customers that are then sold to all kinds of
potential lenders.)
Importantly, a customer’s FICO® Expansion
Score can actually improve by successfully
completing a qualified eLayaway® payment
schedule. This gives consumers an additional
reason to use the eLayaway® payment system, as
the opportunity to potentially improve their
alternative credit score while making purchases is
actually a very helpful and relevant feature to
millions of individuals looking to build or
recover their credit profile in this relatively
adverse economic environment.
Benefits to Customers
The goal of eLayaway® is to make the products
and services consumers want to buy available,
more affordable and easier to pay for through a
series of structured prepayments that are made
over an extended period of time.
The benefits of using eLayaway® to customers
are outlined below:
· eLayaway®’s modified payment schedule
makes purchasing items even more attractive
to potential buyers and, in many cases,
enables them to actually “pull the trigger”
and say “yes” to buying, knowing they will
not have to come up with the larger total sum
price all at once.
· Flexible payment schedules are set by the
customer to best fit their budget.
· Unlike traditional credit purchases, customers
do not pay interest charges or credit card fees
on any eLayaway® transaction. In fact,
eLayaway® purchases are made at a much
lower fee of 1.9% as opposed to the often
much higher annual percentage rates (“APR”)
charged by credit card companies on
outstanding balances.
 ELAYAWAY RESEARCH BRIEFING
· Customers incur no additional debt or burden
to their credit position as a result of
eLayaway® purchases, given all products and
services are paid for in full prior to receipt.
· By using eLayaway® to make payments,
consumers can conserve their existing credit
lines for other needs.
· eLayaway® does not require any personal
credit checks, minimum credit scores or other
such financial requirements.
· Qualified purchases by
eLayawayADVANTAGE™ members are
reported to PRBC® and can help improve
their FICO® Expansion Score, putting them
on the road to a better credit rating and the
extended benefits this can bring to one’s
financial profile.
eLayaway® Merchants
The Company markets its layaway payment
processing and management services to online
merchants and, in the very near future, to the
Brick & Mortar retail industry as well. To date,
the Company has developed a merchant network
of over 700 online merchants, a figure that is
expected to grow very meaningfully going
forward in 2010 and beyond.
The Company sells its offering both directly to
the smaller and midsized merchant markets as
well as part of a larger technology package
offering that is typically sold to larger enterprise
level merchants. Specifically, for larger
merchants, eLayaway® has teamed-up with
several eCommerce partners to integrate and
preinstall the eLayaway® technology in a
complete payment-and-checkout package that is
then sold as a technology platform to merchants
and retailers. As part of this package, merchants
interested in the eLayaway® component can “opt-
in” to using the Company’s technology offering.
eLayaway® enables merchants to generate
additional revenue from selling products and
services to shoppers who otherwise could not
Emerging Growth Research, LLC 13
afford to buy them or who might hesitate to make
a purchase based on cost considerations.
Large, Well Known Merchants
The Company has strategically focused many of
its marketing and partnership efforts on
merchants that are known as the premier players
in their respective industries such as Big-Box
retail stores, well known cruise lines and all
major professional sports leagues. To date, the
Company has made significant progress in these
areas by contracting with several National
Football League teams who now use the
eLayaway® payment service. The Company has
also established pilot programs with other
professional sports leagues and international
travel companies.
Small- and Mid-Sized Merchants
Although small- to medium-sized merchants are
responsible for approximately 50% of the dollars
transacted online, they comprise 99% of the total
online merchant base. These merchants are much
quicker to establish new business strategies, such
as implementation of the eLayaway® payment
process, than their larger more bureaucratic retail
counterparts. With these smaller businesses in
particular attempting to stay solvent throughout
this economic downturn, there remains a high
demand in this market for alternative payment
options. eLayaway® provides retailers with just
such an effective alternative and, perhaps even an
advantage as well, to help them mitigate revenue
loss and cart-abandonment while simultaneously
growing revenues.
How eLayaway® Works – for Merchants &
Retailers
Before joining the eLayaway network, all
merchants are thoroughly screened in order to
assure they meet the Company’s strict quality
standards. Qualified merchants then sign up with
eLayaway, Inc. to offer layaway payment options
 ELAYAWAY RESEARCH BRIEFING
to their customers.
The eLayaway ®
Process for Retailers
Merchants:
Merchants are able to integrate the eLayaway®
payment option into their online checkout
process by visiting the Company’s website and
signing-up to open an account by entering their
business information. After signing-up with
eLayaway®, merchants are able to directly
integrate the eLayaway® payment technology
into the online checkout section of their website.
At this point, customers shopping online will
then be able to choose the option of paying for an
item using the eLayaway® structured payment
plan. Once a customer has chosen the
eLayaway® payment option and completed all
accompanying information, this data is sent to the
Company for processing. Merchants use the
eLayaway® Merchant Control Center to manage
their past and present orders, generate reports and
view analytics.
During the time payments are actually being
made, eLayaway® manages the payment
collection process and any supporting services
with a customer on behalf of its merchant
clientele. Thus, eLayaway® automatically
deducts payments from a customer’s bank
account and holds the funds in an account in trust
while they accrue to the total purchase price
amount.
Once a customer has completed the final
payment and the order has been paid in full, the
funds are released from the account in trust to the
merchant, who then in turn fulfills the order and
ships the item directly to the customer and/or
Emerging Growth Research, LLC 14
enables the customer to access the service for
& which they have paid. Since order fulfillment
can occur directly from a merchant’s warehouse
or even from their distributor, items purchased
through eLayaway® do not need to be kept and
stored, thereby saving the retailer a considerable
expense as opposed to the traditional layaway
programs of the past where items were held at the
store by seller until final pick-up by the buyer.
Membership Cost
Unlike most credit cards and other payment
processors, eLayaway® does not charge
merchants a transaction fee. Rather, all
merchants are charged a monthly flat-rate service
fee of $9.99 (about $120 per year) that includes
listing in the eLayaway Merchant Network,
listing in eLayaway’s exclusive search engine
and free eLayaway® order processing for the first
$2,000 in sales. After the first $2,000 per month
in sales using eLayaway®, merchants are then
charged an additional flat-rate monthly
processing fee that increases only modestly
according to the actual amount of eLayaway®
sales made.
Benefits to Merchants
Affordability has become increasingly important
to consumers over just the past few years. With
the ongoing tightening of the credit markets and
the economic downturn, fewer and fewer
consumers are finding they have access to the
credit limits they once had and, as such, retailers
must use innovative and proactive solutions to
help customers afford the products and services
they desire. In fact, the Company has noted that
merchants report seeing a decrease in shopping
cart abandonment and an increase in sales after
adding eLayaway® to their payment options.
The benefits to merchants and retailers of
offering the eLayaway payment option to their
customers are listed below:
· eLayaway® allows merchants to offer their
 ELAYAWAY RESEARCH BRIEFING
cost conscious customers a unique alternative
payment plan that sets them apart from the
competition.
· By using and promoting eLayaway® to
consumers, merchants can expand their own
market reach, and therefore revenues and
profits, to include millions of credit-
conscious shoppers who were either
previously unreachable or looking for
alternatives to traditional credit card
purchasing.
· eLayaway® enables merchants to reacquire
layaway minded consumers who were
dissatisfied when prior traditional layaway
methods were discontinued due to various
cost and logistics inefficiencies.
· Merchants are able to collect 100% of the
asking-price for their goods and services.
· Merchants benefit from increased traffic to
their websites generated from the growing
membership base of eLayaway® and visits to
the Company’s online mall.
BUSINESS DIVISIONS
While the Company focuses widely on tapping
all merchant and retail sales in general, it has also
established three specific business divisions to
address the opportunities in the sports, travel and
health related industries in particular.
eLayawaySPORTS™
eLayawaySPORTS™ was developed as a
division of eLayaway, Inc. to allow sports
organizations to sell tickets, renew season tickets
Emerging Growth Research, LLC 15
and sell merchandise, seat licenses, sponsorships
and other products and services using
eLayaway®. Sports organizations are able to
offer eLayaway® partial pre-payment plans to
provide fans with an easier and more responsible
way to purchase tickets.
Some of the sports teams that have deployed
eLayaway® to date include the New Orleans
Saints (“Saints”) of the National Football League
(“NFL”) who were able to sell over $300,000 in
season tickets in less than 6 weeks; the
Minnesota Vikings (NFL); the Jacksonville
Jaguars (NFL); and the Detroit Redwings
(National Hockey League).
The Company has received an extraordinary
amount of interest from the sports world in its
program and is working with other professional
sports teams, sports leagues, speedways and
college athletic programs to deploy the
eLayaway® solution.
The Market for Sports
Regarding the market for eLayawaySPORTS™,
the professional sports teams and organizations
industry is estimated to generate over $6.4 billion
in annual revenue from admission fees alone.
The entire sports industry’s admissions revenues
are easily thought to be even higher, as this figure
does not include non-team sports such as golf,
tennis, auto racing or any collegiate sports. The
Company estimates eLayaway®’s addressable
market in the sports industry to be approximately
$26 million.
Furthermore, it is estimated that sports related
sales make up only about 30% of all ticket sales.
The Company believes other ticket sales
including events, conferences, theater and music
concerts, among others, represent exciting new
markets with much potential for the eLayaway®
solution going forward.
 ELAYAWAY RESEARCH BRIEFING
eLayawayTRAVEL™
The travel industry offers a natural fit for the
eLayaway® prepayment option as vacations
typically require a good deal of planning, well in
advance of the actual travel date, and can be a
costly proposition if the entire expense has to be
paid up-front all at once.
Within the cruise industry, for example, the
average price per person for a seven day cruise is
approximately $1,100, and typically people
interested in taking a cruise plan their vacation
months, if not more than a year, in advance. The
Company is currently working to integrate
Carnival Cruise Lines (“CCL”) into
eLayawayTRAVEL™ in order to make it
possible for members to book CCL cruises and
purchase gift certificates using the eLayaway®
payment plan.
The Market for Travel
Regarding the market for eLayawayTRAVEL™,
Marketwatch.com stated that the 2007 online
travel industry was a $40 billion market. We
believe for eLayaway®, securing just a small
piece of this industry could lead to profitable
returns.
The Company estimates eLayaway®’s
addressable market in the travel industry to be
approximately $141 million at present.
eLayawayHEALTH™
Emerging Growth Research, LLC 16
Healthcare is perhaps the most diversified
industry of the eLayaway® market segments.
With hundreds of thousands of doctors
throughout the United States, there is a
considerable amount of opportunity for
eLayawayHEALTH™ in the health care industry.
As the economy continues to struggle, the cost of
insurance and deductibles are consistently rising
and, as a result, many Americans are looking for
new ways to pay for healthcare without having to
go into additional debt.
eLayawayHEALTH™ was established to make
medical treatments easier to afford by allowing
customers to make regular automatic installments
that fit their budget towards the full purchase
price or down payment of qualified medical
procedures. Once paid in full, customers are able
to receive treatment without the need to incur any
debt.
To use eLayawayHEALTH™, consumers must
first consult with a participating provider about
specific eLayawayHEALTH™ payment terms
available for their particular procedure, and sign
up to be an eLayawayHEALTH™ member with
their provider or at eLayawayHEALTH.com. To
begin making eLayaway® payments toward their
procedure, users then procure and accept an
actual price quote from the participating provider
and choose the payment schedule to match their
budget requirements. The medical procedure
may begin once payments have been made in
full.
The Market for Healthcare
Regarding the market for eLayawayHEALTH™,
in January 2008, over six million Americans
created Health Care Savings Accounts and High
Deductible Health Care Plans, which let people
save pretax money in accounts and spend the
cash on health care products and services, in
order to cope with the current economy. Today,
this figure is believed to be much higher. We
believe these circumstances and the current
 ELAYAWAY RESEARCH BRIEFING
economic environment present an ideal time for
the launch of eLayawayHEALTH™ into the
healthcare industry.
The Company estimates very conservatively that
the current addressable market for
eLayawayHEALTH™ is well over $50 million
and set to grow significantly going forward.
BUSINESS MODEL
STRATEGIC GROWTH & PARTNERSHIPS
®
eLayaway ’s approach to becoming a billion
dollar integrated payment brand is focused in part
on forming strategic partnerships with leading
eCommerce and payment brand enabling
platforms. These eCommerce companies
provide, for example, the online software that
enables customer shopping carts at checkout and
other online checkout options that allow
merchants to run the sales process on their
websites. By contracting with these eCommerce
“payment docking station” partners, eLayaway®
is actively integrating with many Internet
retailers and is also currently being courted by
major eCommerce and Brick & Mortar platforms
to provide payment processing services to their
multitude of small-and medium-sized merchants.
Once integrated into an eCommerce platform, the
eLayaway® option is presented to the merchant
as part of a larger technology package and
service offering, and the merchant can simply
choose to “opt-in” to using eLayaway®. Thus,
Emerging Growth Research, LLC 17
integration into one such eCommerce platform
gives eLayaway® access to a very large merchant
base, often in the many thousands of retailers
with online sales capabilities and websites. This
venue has provided the Company with steady
growth and eLayaway® continues to attract
attention from many of the world’s top e-retailers
and traditional Big Box retailers seeking
alternative payment solutions that increase
shopping cart conversion into actual revenue.
eLayaway® is currently pre-installed with these
eCommerce partners:
The Company also has a direct marketing
program targeted to its potential merchant
customers.
REVENUE STREAMS
eLayaway® has multiple revenue streams from
diverse sources of income, as discussed below.
Merchant Subscription Fees
The Company’s primary source of revenue is
generated by the subscription and transaction fees
merchants pay to integrate and use the
eLayaway® system.
All merchants are charged a monthly service fee
of $9.99 to offer eLayaway® to their consumers.
This monthly subscription fee applies to the first
$2,000 per month in eLayaway® orders and
entitles merchants to incorporate the eLayaway®
payment option in their own checkout websites
as well as inclusion in the eLayawayMALL™.
After the first $2,000 per month in eLayaway®
orders, merchants are then charged an additional
monthly processing fee that increases from $20
to a maximum amount of $150, according to
monthly eLayaway® sales. Thus, the most a
 ELAYAWAY RESEARCH BRIEFING
merchant would pay per month is $159.99 which,
is most cases, is still much lower than would be
paid to credit card companies in transaction fees
in order to be able to accept an issuer’s card. In
exchange for these fees, eLayaway® merchants
received access to the eLayaway® payment
option, limited marketing support, as well as
inclusion in the eLayaway® merchant directory
and search engine.
Merchant subscription fees represent a recurring
monthly revenue stream to the Company. As
eLayaway®’s merchant network grows, this
important revenue stream will continue to
increase in size and momentum.
Consumer Purchase Transaction Fees
eLayaway®’s secondary source of revenue is
derived from a percentage charge on each
consumer transaction that is purchased using
eLayaway®. While basic membership is free,
upon making a purchase, members are charged a
modest, one-time upfront 1.9% transaction fee on
the total purchase amount before tax. Thus, for
every $100 transacted through eLayaway®, the
Company receives $1.90 from the end customer.
The Company charges this one-time fee for each
purchase processed through the eLayaway® plan
in return for managing the online layaway
payment system. These non-refundable fees are
added to the consumers’ checkout balance and
are charged on the first scheduled payment. For
this reason, these fees are fully recognized by the
Company as revenue upon execution of the
transaction.
Cancellation Fees
Although eLayaway® prefers that customers
follow through with their commitment to the
merchants, some sort of cost incentive such as a
cancellation fee helps ensure that customers are
adequately incentivized to complete their
purchase. For this reason, eLayaway® also
charges a $25 cancellation fee or 10% of the
Emerging Growth Research, LLC 18
purchase order, whichever is less, for customers
who elect to cancel their order at anytime during
the payment plan. In most cases, the $25 fee is
greater than the amount of money eLayaway®
would have collected had the consumer
completed the transaction, granting eLayaway,
Inc. an additional revenue stream.
eLayawayADVANTAGE™ Membership Fee
The eLayawayADVANTAGE™ membership is
an upgraded version of the Company’s basic
membership and offers consumers the option of
reporting their use of eLayaway® to Payment
Recording Builds Credit (“PRBC®”) in order to
build their alternative credit score. PRBC® is an
independent third party that collects, manages
and reports consumer credit performance to the
Fair Isaac Corporation (“FICO®”) for use in their
FICO® Expansion Score. This offering makes
eLayaway® a powerful tool for consumers
interested in improving their credit worthiness.
Consumers pay $8.95 per month to become an
Advantage member, which also includes other
benefits such as free transactions and periodic
discounts on products from participating
eLayaway® merchants.
“The Float” - Interest Earned
While consumers make their payments, the funds
collected during the layaway process are held in
an account in trust at HSBC in an eLayaway®
sponsored bank account while they accrue to the
total purchase price amount. Interest earned on
the held funds becomes revenue and operating
capital funding for eLayaway®. The Company
estimates such funds held in the account in trust
could potentially easily reach several hundred
million dollars by the end of next year.
eLayawayMALL™ Commissions
The eLayawayMALL™ is the Company’s online
marketplace which contains a variety of quality
 ELAYAWAY RESEARCH BRIEFING

products from numerous well-known merchants. of individual users.

eLayaway® earns commissions on every product
sold through the mall, payable to the Company
by its member merchants. Total Shares Outstanding
Advertising Revenue At present, there are approximately 17.7 million
common shares of eLayaway issued and
The Company also has the potential to implement outstanding.
an advertising program on the
eLayawayMALL™ website. This revenue
stream would be in addition to other revenue
categories the Company already receives.
Given the Company is in a position to know
where each customer is in the process of buying a
particular item through eLayaway®, the
Company’s advertising model would have the
unique ability to present the buyer with ads for
products or services that complement that future
purchase, thereby potentially increasing sales and
providing a very targeted, very powerful
marketing tool.
Scheduled for 2011, merchants interested in
advertising throughout eLayaway.com will be
able to purchase advertising space on the website
itself and/or throughout eLayaway®’s monthly
consumer newsletter and quarterly merchant
releases.

CAPITALIZATION

The Company is on track to close growth capital

this year for product development, working
capital and general corporate purposes.
Specifically, the Company anticipates using any
new funds for marketing efforts directed at
growing its base of both merchants and the public

Emerging Growth Research, LLC 19

 ELAYAWAY RESEARCH BRIEFING
DISCLOSURES

Analyst and Other Important Disclosures

Analyst Certification - I, Joseph Noel, hereby certify
(1) that the views expressed in this research Company report accurately reflect my personal views about any or all
of the subject securities or issuers referred to in this Company report and
(2) no part of my compensation was, is, or will be directly or indirectly related to the specific recommendations or
views expressed in this Company report.
Analyst:
Joseph Noel is a 29-year veteran in the investment and technology industries. Joe was recently a senior analyst at
Pacific Growth Equities, LLC, where he tracked the communications equipment/services and advanced industrial
sectors. Prior to Pacific Growth, he covered both the telecommunications equipment and services industries at
Hambrecht & Quist and was employed by Gartner/Dataquest as a communications industry analyst. Before
becoming an analyst, Mr. Noel received solid industry experience at a number of telecommunications carriers,
including MCI, where he was responsible for the frame relay product marketing launch; and British Telecom,
where he was involved in strategic planning for the Company’s Internet access service. He was also employed by
various Bell Operating Companies in both marketing and technical roles for nearly ten years. Mr. Noel received
his MBA in finance from Wake Forest University, and holds a BS in business and economics. A four-time Wall
Street Journal All-Star Analyst, Joe specializes in emerging growth companies in the communications, Internet
and advanced industrial equipment sectors.
The coverage analyst uses a relative rating system in which stocks are rated as: BUY, SELL or HOLD.
BUY - the stock is expected to outperform the unweighted expected total return of the sector over a 12-month investment horizon.

SELL - the stock is expected to under perform the unweighted expected total return of the sector over a-12 month time horizon

HOLD - the stock is expected to perform in line with the unweighted expected total return of the sector over a 12-month investment
horizon.

Information, opinions, or recommendations contained in this research report are submitted solely for
informational purposes. The information used in statements of fact made has been obtained from sources
considered reliable, but we neither guarantee nor represent their completeness or accuracy. Such information and
the opinions expressed are subject to change without notice. This research report is not intended as an offering or
a solicitation of any offer to buy or sell the securities mentioned or discussed. The firm, its principles, or the
assigned analyst may or may not own or trade shares, options, or warrants of this covered Company. Emerging
Growth Research, LLC, has received, or will receive compensation for the production of this report and other
related services from the Company. Additionally, the analyst responsible for the production of this report may
own common stock or warrants in the subject Company or companies. This report should be considered a paid
promotional piece and the author may or may not liquidate shares. The views expressed in this Company research
report accurately reflect the analyst’s personal views about any or all of the subject securities or issuers referred to
in this Company report, and no part of the analyst’s or the firm’s compensation was, or will be directly or
indirectly related to the specific recommendation or views expressed in this report. Opinions expressed herein
reflect the opinion of Emerging Growth Research, LLC and are subject to change without notice. We claim no
responsibility to update the information contained in this report. Investors should consider the suitability of any
particular investment based on their ability to accept certain levels of risk, and should not rely solely on this report
for information pertaining to the Company covered. The material in this document is intended for general
circulation only and the recommendations contained herein do not take into account the specific objectives,
financial situation, or particular needs of any particular person. An investor should consult his/her investment
representative regarding the suitability of this investment and take into account any specific investment
objectives, financial situation, or particular needs before he or she makes a commitment to purchase the shares of
this or any other Company's stock. No part of this document may be reproduced in any manner.

Emerging Growth Research, LLC 20