Investors

Income Statement

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except share and per share amounts)
(Unaudited)

   
Three months ended
   
Six months ended
 
   
June 30,
   
June 30,
 
   
2010
   
2009
   
2010
   
2009
 
       
Revenues:
                       
                         
Commissions and fees
  $ 38,092     $ 29,169     $ 74,520     $ 55,940  
Investment banking
    6,302       1,660       10,888       5,673  
Asset management
    750       452       1,361       907  
Principal transactions
    (161 )     469       130       173  
Interest and dividends
    137       820       263       1,856  
Other income
    2,464       1,755       4,393       3,066  
                                 
Total revenues
  $ 47,584     $ 34,325     $ 91,555     $ 67,615  
                                 
Expenses:
                               
                                 
Commissions and fees
  $ 28,624     $ 20,625     $ 55,550     $ 39,056  
Compensation and benefits
    10,892       8,988       22,231       18,898  
Non-cash compensation
    1,605       1,665       3,365       3,585  
Brokerage, communication and clearance fees
    1,770       1,731       3,354       3,447  
Rent and occupancy, net of sublease revenue
    863       718       1,739       2,109  
Professional services
    1,035       1,278       2,147       3,337  
Interest
    936       1,050       1,892       2,178  
Depreciation and amortization
    915       931       1,829       1,870  
Other
    2,985       2,179       5,653       3,975  
                                 
Total expenses
  $ 49,625     $ 39,165     $ 97,760     $ 78,455  
                                 
Loss before income taxes
    (2,041 )     (4,840 )     (6,205 )     (10,840 )
                                 
Income tax expense
    188       318       427       559  
                                 
Net loss
  $ (2,229 )   $ (5,158 )   $ (6,632 )   $ (11,399 )
                                 
Net loss per common share (basic and diluted)
  $ (0.01 )   $ (0.03 )   $ (0.04 )   $ (0.07 )
                                 
Weighted average common shares used in computation of per share data:
                               
Basic
    170,744,411       167,318,663       169,326,908       169,510,804  
Diluted
    170,744,411       167,318,663       169,326,908       169,510,804  

CONSOLIDATED STATEMENTS OF OPERATIONS
(Dollars in thousands, except share and per share amounts)
                         
    Year Ended December 31,  
    2009     2008     2007  
 
Revenues:
                       
Commissions and fees
  $ 123,821     $ 97,277     $ 31,958  
Investment banking
    15,155       14,714       55,401  
Asset management
    2,002       2,721       3,028  
Principal transactions
    846       (2,736 )     251  
Interest and dividends
    2,372       4,299       2,970  
Other income
    6,479       4,695       2,218  
                         
Total revenues
    150,675       120,970       95,826  
                         
Expenses:
                       
Commissions and fees
    87,165       60,790       9,012  
Compensation and benefits
    40,232       42,644       48,918  
Non-cash compensation
    7,534       6,265       6,694  
Brokerage, communication and clearance fees
    6,836       6,010       3,976  
Rent and occupancy, net of sublease revenue
    3,476       3,222       1,307  
Professional services
    5,725       5,976       3,944  
Interest
    3,977       4,534       2,304  
Depreciation and amortization
    3,734       3,292       1,491  
Loss on extinguishment of debt
                1,833  
Other
    9,600       7,481       6,443  
                         
Total expenses
    168,279       140,214       85,922  
                         
(Loss) income before income taxes
    (17,604 )     (19,244 )     9,904  
Income tax expense
    1,069       1,019       513  
                         
Net (loss) income
  $ (18,673 )   $ (20,263 )   $ 9,391  
                         
Net (loss) income per common share (basic and diluted)
  $ (0.11 )   $ (0.12 )   $ 0.06  
                         
Weighted average common shares used in computation of per share data:
                       
Basic
    168,623,375       165,812,495       157,355,540  
                         
Diluted
    168,623,375       165,812,495       168,484,469