Classmates.com 2006 Annual Report Download - page 30

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ITEM 7.
MANAGEMENT
’
S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS
Forward-Looking Statements
This Annual Report on Form 10-K and the documents incorporated herein by reference contain forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995 based on our current expectations, estimates and projections about our
operations, industry, financial condition and liquidity. Statements containing words such as “anticipate,” “expect,” “intend,” “plan,”
“believe,” “may,” “will” or similar expressions constitute forward-looking statements. These forward-looking statements include, but are not
limited to, statements about the markets in which we compete, our pay accounts and subscriptions, our product and service offerings, the
advertising market, operating expenses, operating efficiencies, revenues, capital requirements, tax payments and our cash position. In addition,
any statements that refer to expectations, projections or other characterizations of future events or circumstances, including any underlying
assumptions, are forward-looking statements. Such statements are not guarantees of future performance and are subject to risks, uncertainties
and assumptions that are difficult to predict. Therefore, our actual results could differ materially and adversely from those expressed in any
forward
-looking statements as a result of various factors. The section entitled “Risk Factors” in this Annual Report on Form 10-
K and our other
filings with the SEC set forth some of the important risk factors that may affect our business, financial position, results of operations and cash
flows. Statements indicating factors that we believe may impact our results are not intended to be exclusive. We undertake no obligation to
revise or update publicly any forward-looking statements, other than as required by law.
Overview
We are a leading provider of consumer Internet and media services through a number of brands including NetZero, Juno, Classmates and
MyPoints. Our primary Communications services include Internet access and email. Our primary Content & Media services include social
networking and online loyalty marketing. On a combined basis, our Web properties attract a significant number of Internet users each month and
we offer marketers a broad array of Internet advertising products and services as well as online market research and measurement services.
Segment Definitions
We report our businesses in two reportable segments:
29
Segment
Internet Services
Communications
Internet access, email, Internet security, family services and VoIP.
Content & Media
Social networking, loyalty marketing, Web hosting and photo sharing.