An Intimate and Unique Conversation with the

Founders and Innovators of Asset Valuation and

Disposition:

The Cornerstone to the Distressed Debt

Investment and Realization

Moderator:

John Wm. (“Jack”) Butler, Jr.

Partner

Skadden, Arps, Slate, Meagher & Flom LLP

William P. Angrick, III

Chairman, CEO and Founder

Liquidity Services, Inc.

Paul M. Buxbaum

Chairman, CEO and Principal

Buxbaum Group LLC

Albert T. Nassi

Principal

Tiger Capital Group, LLC

Solution: Asset advisory firms

have developed expertise in

determining the valuation and

monetization of virtually all

assets on a balance sheet

2

William P. Angrick, III

Chairman, CEO and Founder

Liquidity Services, Inc.

Roundtable Members

Liquidity Services, Inc. (NASDAQ: LQDT) provides

leading corporations, public sector agencies,

and buying customers the world's most

transparent, innovative, and effective online

marketplaces and integrated services for

surplus assets. On behalf of its clients, Liquidity

Services has completed the sale of over $3.5

billion of surplus, returned, and end-of-life

assets in over 500 product categories, including

consumer goods, capital assets, and industrial

equipment. The company is based in

Washington, D.C. and has approximately 1,300

employees.

3

Paul M. Buxbaum

Chairman, CEO and Principal

Buxbaum Group LLC

Roundtable Members

Buxbaum Group LLC has built its reputation over

the past 30 years as an advisor and investor

working with companies domestically and

internationally in a wide array of

industries. Buxbaum Group also provides

turnaround, expansion and/or downsizing

strategies, in conjunction with other advisory

consulting and management services. Paul

Buxbaum, an apparel industry veteran, has been

its Chief Executive Officer since 1998.

4

Albert T. Nassi

Principal

Tiger Capital Group, LLC

Roundtable Members

Tiger Capital Group, LLC provides advisory,

restructuring, valuation, disposition and auction

services within a broad range of retail, wholesale, and

industrial sectors. With over 40 years of experience

and substantial financial backing, Tiger offers a

uniquely nimble combination of expertise, innovation

and financial resources to drive results. Tiger's

seasoned professionals help clients identify the

underlying value of assets, monitor asset risk factors

and, when needed, convert assets to capital in a

variety of ways quickly and decisively. Tiger's

collaborative and no-nonsense approach is the

foundation for its many long-term 'partner'

relationships and decades of uninterrupted success.

5

The Asset Valuation and Advisory Industry

Val·ue , noun \ˈval-(ˌ)yü\:

A fair or equivalent in goods, services, or money for something

exchanged; relative worth, utility, or importance

The most difficult task for companies in financial distress can be

obtaining and maintaining adequate working capital

This financing can take the shape of secured bank debt or asset-based

lending, or funding provided by banks and finance companies according

to the value of a borrower’s assets

The role of an asset advisory firm is to determine the VALUE, or what

those assets are worth

6

The Asset Valuation and Advisory Industry

Term Loan

Fixed assets

Asset-based Lending

Accounts

Receivable

Revolving loan

Inventory

Secured by Secured by

7

The Asset Valuation and Advisory Industry

Lenders subject to the Financial Institutions

Reform, Recovery, and Enforcement Act

(FIRREA) must retain the appraisal firm if

valuation is needed for a borrower’s real

estate

Borrowers with enough

negotiating leverage may be

able to choose the advisor when

the asset in need of valuation is

inventory, machinery or

intellectual property

8

The Asset Valuation and Advisory Industry:

The Appraisal

Step 3: Valuation Opinion

Appraiser collects information, searches its own valuation database for comparisons of similar assets, conducts market research, and produces a valuation opinion and underlying

analysis

Step 2: Diligence Request

Appraiser will submit a written request for diligence from the borrower and schedule site visits to assess real estate, machinery, equipment, and inventory

Step 1: Retention Agreement

Outlines assets to be appraised, valuation standard to be employed (FMV, NOLV, forced liquidation value) and a definition of that value; the scope of work to be undertaken; and a

delivery date of the report

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The Asset Valuation and Advisory Industry:

Monetizing Assets

Asset advisory

firms can also

serve as

independent

experts to

companies and

lenders seeking

valuation advice in

an asset sale

Asset advisors are

often hired to

monetize assets

under a structure

that gets the

company cash before

assets are actually

sold, when lenders

are unwilling to make

advances

Some asset advisors

specialize in

negotiating and

restructuring retail

leases to yield

greater profitability

and cash flow

10

An Intimate and Unique Conversation with the

Founders and Innovators of Asset Valuation and

Disposition:

The Cornerstone to the Distressed Debt

Investment and Realization

Moderator:

John Wm. (“Jack”) Butler, Jr.

Partner

Skadden, Arps, Slate, Meagher & Flom LLP

William P. Angrick, III

Chairman, CEO and Founder

Liquidity Services, Inc.

Paul M. Buxbaum

Chairman, CEO and Principal

Buxbaum Group LLC

Albert T. Nassi

Principal

Tiger Capital Group, LLC