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TRANSCRIPT
SAMPLE
PRELIMINARY DUE DILIGENCE CHE
CKLI
STIN A CORPORATE TRANSACTION
(e.cr.. M&A Deall
1.1
~ Articles of Incorporation an
d all amendments thereto
1.2
~ By
laws
and
ail amendments thereto
1.3
Minutes of
all me
etin
gs of,
and
ali actions without a mee
ting
by,
the Bo
ard of
Directors (a
nd of all c
ommi
ttee
s thereofl and
the shareholders of t
he Company.
1.4
Any ma
teri
al communications between the Co
mpan
y an
d any of
its s
hare
hold
ers,
dire
ctor
s or holders of no
tes,
opti
ons or
warrants
1.5
Copi
es of all a
greements re
lati
ng to th
e se
curi
ties
of t
he Company or any of
its s
ubsidiaries, in
clud
ing (i) any agreements
relating to the purchase or sa
le of se
curi
ties
of t
he Company; in
clud
ing any pu
rcha
se agreements un
der wh
ich additional
owne
rshi
p of
the Co
mpan
y was ac
quir
ed by ex
isti
ng shareholders (
ii) a
ll stockholders' or
voting agreements, (
iii) al
lag
reem
ents
und
er which any person ha
s any ri
ghts
concerning issued or unissued sec
urit
ies of
the Company (preemptive
righ
ts, r
ight
s of
first r
efus
al, r
egis
trat
ion ri
ghts
, opt
ions
, war
rant
s or
conv
erti
ble s
ecurities), (iv) a
ll agreements under which
voting trusts have been established, and
(v) SAR, phantom, st
ock or
other equ
ity-ba
sed ar
rang
emen
ts
1.6
Stoc
k re
gist
er and
transfer books an
d re
cord
s an
d a de
scri
ptio
n of
the cl
asse
s an
d se
ries
of a
utho
rize
d ca
pita
l sto
ck and
othe
r sec
urit
ies of
the Co
mpan
y an
d it
s subsidiaries, and
a statement of t
he number of
issued and
outstanding shares of
each
suc
h class an
d se
ries
of s
ecurities an
d the number of t
reas
ury shares of e
ach class an
d se
ries
of ca
pita
l sto
ck
1.7
~ List of s
hareholders along with the number an
d class of
shares held by
each
1.8
A sch
edul
e of
all o
utstanding opt
ions
, war
rant
s an
d co
nver
sion
pri
vile
ges,
incl
udin
g date of is
suan
ce, e
xercise or
conv
ersi
on pri
ces an
d am
ount
exercised, and
list o
f ho
lder
s (in
clud
e name, number of options he
ld, o
ption prices, dates) o
fgrant, an
d po
siti
on of ho
lder
in the
Com
pany
).
1.9
Lists an
d descriptions of c
lass
es, a
mounts and
current hol
ders
of any de
bt se
curi
ties
, tog
ethe
r with copies of
all d
ocum
ents
and instruments re
lati
ng thereto
1,10
Li
st of st
ates
in which the Company conducts any bu
sine
ss, a
schedule of st
ates
in which the Company is le
gall
y qualified
to con
duct
business and a des
crip
tion
of it
s activities in each such state
1.11
List
s an
d descriptions of all s
ubsi
diar
ies,
affi
liat
es, and
joint ventures, in
cluding organizational cha
rts sh
owin
g the
ownership of each en
tity
and
any agreements related th
eret
o
1.12
~ Li
st of all c
orporate pol
icie
s an
d pr
oced
ures
lhan
dboo
ks
1.13
~ All documents cr
eati
ng res
tric
tion
s wi
th respect to an
y class of
capital sto
ck or other equity int
eres
ts.
1.14
Li
st of all f
amily an
d ot
her re
lati
onsh
ips known to the Company among stockholders that mig
ht ind
icat
e be
nefi
cial
ownership of sto
ck other than as shown on the st
ock record boo
ks of the Company
1.15 r
Cop
ies of any
"S corporation" elections, IRS
not
ices
of ac
cept
ance
and
any oth
er inf
orma
tion
pertinent to the Company's "S
corp
orat
ion"
status, w
here
applicable
1.16
Copi
es of ou
tsid
e va
luat
ions
performed on st
ock or
opt
ions
uti
lize
d for the purpose of rec
ordi
ng related compensation
expe
nse
1.17
Prov
ide th
e information re
ques
ted in items A(1)-(6) above for each su
bsid
iary
of the Company (e
ach a "Subsidiary"), shown
separately for each Su
bsid
iary
1.18
List
of each ent
ity in which the
Company is a partner, gen
eral
partner orj
oint
venture and
description of th
e nature of any
such
arr
ange
ment
s.
2.1
Schedule of all c
urrent fu
ll-time an
d pa
rt-t
ime employees, co
ntai
ning
for each employee (i
) title and
a bri
ef summary of hi
s or
her j
ob description and
res
pons
ibil
itie
s, (i
i) th
e em
ploy
ee dat
e of hire, (i
ii) any com
pens
atio
n or
other benefits such
employee is en
titl
ed to re
ceiv
e (or
may ele
ct to receive) pursuant to
any
employee benefit pl
an or policy, (
iv) c
learance
levels, (v)
cont
ract
to which they are assigned, (vi) ed
ucat
iona
l levels, (
vii) bi
ll rate, (vii
i) pay rate, (ix) yea
rs of ex
peri
ence
,
and (x
) location
2.2
Schedule of executives and
directors con
tain
ing (i
) brief-bio, (
ii) tot
al com
pens
atio
n an
d (iii) dat
e of
hire
with Company
2.3
Copies of resumes fo
r ke
y ma
nage
ment
2.4
Sche
dule
of all c
onsu
ltan
ts and
tem
pora
ry employees and
cop
ies of
com
pens
atio
n ra
tes an
d as
soci
ated
agencylconsulting
agre
emen
ts
2.5
Organizational chart by functional are
a, in
cluding employee names and
titles, and
hea
dcou
nt
2.6
Copies of all HR rel
ated
pol
icie
s an
d procedures, i
ncluding sic
k le
ave an
d va
cati
on pol
icie
s
2.7
Copies of all o
ffer le
tter
s, employment ag
reem
ents
, severance agr
eeme
nts,
non
-competition agreements, bon
us agreements,
rete
ntio
n agreements and
lor any si
mila
r agr
eeme
nts between the Company and
any
of its e
mployees, c
onsultants or ag
ents
2.8
Special terms or
agreements fo
r commission, bonus, or
other inc
enti
ve com
pens
atio
n
2.9
Detailed des
crip
tion
of f
ringe be
nefi
ts and
pool to
include to
tal annual cos
t to
the company fo
r each fri
nge benefit; Also
provide literature that is
pre
sent
ed to applicants and
new employees
2.10
Plan doc
umen
ts, summary pla
n de
scri
ptio
ns, record-k
eepi
ng agr
eeme
nts,
and
ins
uran
ce cer
tifi
cate
s for
all pl
ans
(retirement, medical, l
ife i
nsur
ance
, AD&D, gr
oup tr
avel
, dependent li
fe insurance, l
ong term disability, HMOs, de
ntal
, vis
ion,
Sect
ion 125 plans, se
verance pl
ans,
executive be
nefi
t plans, bon
us plans, s
tock purchase plans or arrangements, st
ock
option plans, g
roup or key man life i
nsur
ance
plans, s
alary co
ntin
uati
on pla
ns, supplemental un
empl
oyme
nt ben
efit
plans,
and welfare pl
ans)
. Also include any amendment
s or riders or
any proposed amendments or riders and
any resolutions
adopting the pla
ns and
/or am
endm
ents
.
2.11
Description of
bon
us pla
n an
d procedures to include all e
mployees
2.12
Summary of mo
st recent 4
01K pl
an non
disc
rimi
nati
on test -
ADPIACP 410
(b) and
415
tests
2.13
IRS determination letters f
or any qua
lifi
ed retirement pl
an
2.14
Correspondence pertaining to
any IRS
pla
n discrimination
2.15
Contracts with all ben
efit
s ca
rrie
rs to include current rates. Also include a br
eakd
own of
wha
t the employer pays fo
r each
bene
fit a
nd wha
t the employee pay
s fo
r each ben
efit
2.16
Audi
ted Fi
nanc
ial St
atem
ents
for
all t
he Company employee be
nefi
t plans
2.17
Copies of Fo
rm 5500s for
the three most recent pla
n years
2.18
Turnover data an
d ra
tes fo
r the pa
st two yea
rs to include a
list
of all e
mployees terminated from employment with the
Company (v
oluntarily or in
volu
ntar
ily)
and
the rea
sons
for
term
inat
ion
2.19
Sche
dule
of be
nefi
ts for
retired employees and
number of
per
sons
cov
ered
2.20
Empl
oyme
nt ap
plications for
the last 2 years -
OR Sam
ple of
job application an
d metrics fo
r past hires
2.21
Affirmative Action Plans and
EEO.1, Vets-100, and
EO surveys reports for
the las
t two years as well as a history of
any
audi
ts and
fin
ding
s (wh
ere applicable)
2.22
Desc
ript
ion of
any settlements (c
ash,
backpay, etc.) mad
e to
employees, for
mer employees or
applicants wi
thin
the past f
ive
years
2.23
Schedule of all e
mployee claims, i
ncluding wor
ker'
s co
mpen
sati
on, e
mployment di
scri
mina
tion
, lab
or con
trac
t grievances,
unfa
ir labor practices, e
tc. w
ith a br
ief d
escr
ipti
on of each
2.24
Documents on
any wag
e an
d ho
ur audits cu
rren
tly in
process including FLSA, stat
e wa
ge aud
its,
unemployment, et
c.
2.25
Agreements and
con
trac
ts with pl
an inv
estm
ent pr
ovid
ers an
d pl
an service pro
vide
rs
2.26
Fidelity bon
ds of the pl
an and
lor pl
an fid
ucia
ries
and
sample of
most recent employee statement fo
r pl
an
2.27
If any of the be
nefi
t pl
ans is
a "multiemployer pl
an" wi
thin
the meaning of ER
ISA§
3(37
), pr
ovide either: (a)
an estimate,
prov
ided
by the pl
an administrator of each suc
h plan, o
f the withdrawal liability t
hat would be inc
urre
d by
the Com
pany
, if it
were
to effect a complete wi
thdr
awal
fro
m su
ch pla
n during the current pla
n year; o
r (b)
copi
es of the current actuarial re
port
for each suc
h pl
an and
a li
st of t
he tot
al contributions made by the Company to each suc
h pl
an for
each of
the last thr
eeyears.
2.28
Schedule lis
ting
any large case medical claims (o
ver $3
0,00
0, if
Company is
res
pons
ible
for
pay
ment
or indemnity
2.29
All collective bargaining agreements and
union contracts, i
f applicable
2.30
Copies of any nondisclosure an
d assignment of inventions agr
eeme
nts or si
mila
r agreements bet
ween
the Company and
its
employees, co
nsul
tant
s an
d ag
ents
2.31
Schedule li
stin
g all s
ales
per
sons
including dollar am
ount
of sales per pe
rson
, com
miss
ions
and
bas
e co
mpen
sati
on
2.32
Any long le
ave in
cide
nts cu
rren
tly underway -name, position, and
reason
2.33
List outstanding job
offers
2.34
Documents that describe the po
lici
es on conducting ref
eren
ce checks fo
r prospective hi
res an
d dr
ug testing, b
ackground
checks, criminal his
tory
checks, and
cre
dit c
hecks fo
r pr
ospe
ctiv
e hi
res or
cur
rent
employees
2.35
Copy of Company employment application an
d standard offer le
tter
2.36
Brief summary of t
he circumstances sur
roun
ding
the termination of employment of any officer wh
ich oc
curr
ed wit
hin the
past
four yea
rs
2.37
Documents that des
crib
e po
lici
es reg
ardi
ng monitoring of
emp
loye
e communication (e
.g. ph
ones
, em
ail,
etc.)
2.38
Summary of em
ploy
ee tur
nove
r ra
tes by
quarter over the la
st two years
2.39
Summary of ex
it in
terv
iewl
ques
tion
nair
e process an
d how dat
a is mai
ntai
ned
2.40
Desc
ript
ion of
standard performance management pr
oces
s an
d sample for
ms (i
.e. g
oal setting, ev
alua
tion
s, et
c.)
2.41
List
of expatriates an
d eu
tend
ed travelers and
det
ails
of c
ommitments (i
.e. LOU
s, wo
rksheets, t
ax service com
mitm
ents
)
2.42
Summary of c
urrent development and
training programs in
place and
copies of
all v
endo
r co
ntra
ct and
license agreements
rela
ted to training
2.43
Any em
ploy
eelc
lien
t sa
tisf
acti
on sur
vey results f
or th
e pa
st two yea
rs
2.44
Summary of
any ce
rtif
icat
ion,
CPU
, or
CPE requirements fo
r sta
ff (t
echnical or other) that wou
ld nee
d to be maintained
2.45
Listing of
geographic locations with headcount. Sp
ecif
y wh
ethe
r Company location or a cl
ient
site
2.46
Sc
hedu
le of all l
ease
d ve
hicl
es ass
igne
d to officers, di
rect
ors or
employees of t
he Company
~~
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3.1
Most recent interim financial s
tate
ment
s, al
ong with a statement of t
he assumptions and
accounting procedures use
d in
prep
arin
g su
ch statements
3.2
Copi
es of monthly in
tern
al fi
nancial s
tatements fo
r eac
h of
the prior 2 ye
ars, in
clud
ing Ca
pEx an
d D&A
3.3
Sche
dule
ofnon-recurring ite
ms fo
r last th
ree fi
scal
yea
rs, c
urrent ye
ar-to-date per
iod an
d comparable prior yea
r•to
-dat
epe
riod
3.4
Audi
ted Financial St
atem
ents
for
last 3 yea
rs
3.5
Copy
of Co
mpan
y's long-term financial f
orec
ast including Detailed 201
2-20
14 Budgets
3.6
Acco
unta
nts work papers fo
r the cur
rent
per
iod an
d the pr
ior t
wo years, i
ncluding tax
work papers
3.7
All documents an
d agreements evi
denc
ing bo
rrow
ings
, whe
ther
secured or un
secu
red,
including lo
an and
cre
dit
agre
emen
ts, promissory notes and
other instruments or evidence of indebtedness and
all gua
rant
ees of
the Company
3.8
Corr
espo
nden
ce with creditors or
len
ders
for
the las
t three years, i
ncluding all com
plia
nce reports submitted by
either t
heCompany or its i
ndep
ende
nt pub
lic accountants
3.9
A li
st of all l
oans
or guaranties that t
he Company or an
y su
bsid
iary
has mad
e since its i
nception to any of
fice
r, di
rect
or,
employee, o
r st
ockh
olde
r, and
all doc
umen
tati
on rel
ated
the
reto
3.10
Detailed inf
orma
tion
on ov
erhe
ad and
bur
den ra
tes used on go
vern
ment
contracts, in
cluding hi
stor
ical
rat
e in
form
atio
n,structure of
the rates, claims hi
stor
y, fo
rward bi
d ra
tes,
and
a des
crip
tion
of government acc
ount
ing pr
acti
ces
3.11
Description of
the st
atus
of any DCAA interaction with respect t
o ra
tes
3.12
Copies of In
curr
ed Cos
t Su
bmis
sion
s fo
r la
st th
ree fi
scal
yea
rs
3.13
Sche
dule
of ag
ed accounts re
ceiv
able
(bil
led an
d un
bill
ed) b
y job with exp
lana
tion
s on
col
lect
ion fo
r all i
tems
ove
r $50,000
or 120 day
s
3.14
Copy
of most recent AIP ag
ing
trial balance
3.15
List
s an
d de
scri
ptio
ns of f
ixed
assets
3.16
A det
aile
d inventory
3.17
Detailed des
crip
tion
of the fa
cts an
d ci
rcum
stan
ces co
nsid
ered
in arriving at t
he Com
pany
's war
rant
y an
d pe
rfor
manc
e
rese
rves
3.18
Copies of independent ac
coun
tant
s au
dit management le
tters an
d Company responses for
the las
t three fi
scal
yea
rs
3.19
Revenue an
d Profit breakdowns fo
r each contract (where av
aila
ble)
3.20
Schedule of divisional operating rep
orts
sho
wing
comparison of
actu
al ver
sus budget (rev
enue
, EBIT) performance fo
r la
stfi
scal
year an
d year-to-date per
iod
3.21
Sche
dule
of Co
mpan
y's de
ferr
ed tax
acc
ount
s
3.22
Summary des
crip
tion
and
amo
rtiz
atio
n schedule of all c
apit
aliz
ed intangibles, i
ncluding non
-rec
urri
ng engineering,
capi
tali
zed so
ftwa
re cos
ts, g
oodwill, et
c.
3.23
Sche
dule
of any contingent li
abil
itie
s
3.24
Summary of bad de
bt exp
ense
s fo
r the pa
st th
ree ye
ars an
d the Co
mpan
y's cr
edit
terms and
deb
tor policy and
any potential
work
outs
, write-downs, wr
ite-
offs
that ar
e be
ing contemplated
3.25
Details of
any cap
ital
exp
endi
ture
s in
las
t 3 years and
pro
ject
ed exp
endi
ture
s fo
r this year an
d be
yond
.
3.26
Sche
dule
ofd
epre
ciat
ion/
amor
tiza
tion
policy f
or each ma
jor software, property and
equ
ipme
nt
3.27
Bala
nce Sh
eet Sc
hedu
les as
of the last aud
it date an
d the most recent mo
nth:
(a) B
ank statements and
cash account re
conc
ilia
tion
s(b
) Pre
paid
and
other assets an
d re
conc
ilia
tion
s including a br
eakd
own be
twee
n cu
rren
t an
dnon-
curr
ent as
sets
(c) P
roperly an
d eq
uipm
ent schedule with re
conc
ilia
tion
s(d
) Int
angi
bles
with am
orti
zati
on schedules alo
ng with mo
st recent im
pair
ment
test
(e) C
apitalized sof
twar
e sh
owin
g additions an
d am
orti
zati
on byp
rodu
ct
3.28
~ Schedule
-and
description of all o
ff-balance sheet li
abil
itie
s of t
he Company
3.29 ~
Schedule describing order ba
cklo
g and
pipe
line
by cl
ient
and
by business seg
ment
3.30
~ Copies of internal str
ateg
ic reports or bu
sine
ss plans for
the last t
hree
fisc
al yea
rs
3.31
~ Copies of all i
nter
est ra
te or cu
rren
cy swap agr
eeme
nts
3.32
Sc
hedu
le of all ma
rket
able
securities held by the Company tog
ethe
r with purchase pr
ice an
d ca
rryi
ng val
ue of s
uch
securities
3.33
Schedule of all d
ivid
ends
and
dis
trib
utio
ns mad
e to
stockholders si
nce inception an
d a copy of any di
vide
nd policy. State
whet
her the di
vide
nds we
re pai
d in
cash or
sto
ck.
List
of the am
ount
s) of any div
iden
ds in ar
rear
s
3.34
Copies of all a
ccou
ntin
g pr
oced
ures
and
manuals (e
.g, r
even
ue recognition, bi
llin
g pr
oced
ure,
mon
itor
ing of
acc
ount
sre
ceiv
able
, capitalization po
lici
es, b
ank ac
coun
t st
ruct
ure,
pur
chas
esle
xpen
se control, bu
dget
ing an
d monitoring process,
accounting sys
tems
used, go
odwill, i
nsta
llme
nt sa
les,
research and
development costs, s
oftw
are development costs, et
c.)
3.35
~ Em
ploy
ee Utilization Rep
ort
3.36
Details of
any cha
nges
in ac
coun
tant
s, ac
counting policies, principles an
d procedures over the la
st two fi
scal
years or any
such
changes
that ar
e pr
opos
ed.
3.37
Sc
hedu
le of all s
ecur
ity in
tere
sts in
assets of
the Company alo
ng with co
pies
of security agr
eeme
nts an
d financing
statements.
4.1
All ma
rket
stud
ies,
feasibility s
tudi
es, a
naly
ses,
and
sim
ilar
reports con
cern
ing the Company pre
pare
d wi
thin
the las
t fiv
eye
ars.
4.2
All marketing an
d other descriptive br
ochu
res re
gard
ing th
e Company pre
pare
d by
the Company wit
hin th
e last fi
ve yea
rs.
4.3
All pr
ess re
leas
es iss
ued by
the Company during the last fi
ve years, a
nd any pre
ss clippings wit
h respect to
the Company, if
avai
labl
e.
4.4
~ ~:.
1' 5.
1
Copi
es of all speeches de
live
red by
any officer or di
rect
or of th
e Company to tr
ade as
soci
atio
ns, e
tc.
~ _
4
s
3 ~.
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+ ~sy
.,~
~ ,scam r
c"__"'.
S'.._
_..
._
~ Federalµin
come
ta~c
returns fi
led du
ring
the
last t
hree
calendar ye
ars
5.2
State an
d local income tax
ret
urns
file
d du
ring
the last t
hree
calendar ye
ars
5.3
Federal an
d state pa
yrol
l ta
u re
turn
s fi
led du
ring
the last t
hree
calendar ye
ars
5.4
Prop
erty
tax ret
urns
file
d during the last t
hree
calendar ye
ars
5.5
All gross re
ceip
ts, bu
sine
ss lic
ense
and
lor bu
sine
ss and
occ
upat
ion taz re
turn
s fi
led in the
last t
hree
calendar ye
ars
5.6
State sales an
d use ta
u returns fi
led du
ring
the
last t
hree
calendar ye
ars
5.7
Mate
rial
rep
orts
file
d an
d significant c
orre
spon
denc
e, in
cluding any se
ttle
ment
doc
umen
ts, with any state or fe
dera
lregulatory agencies du
ring
the last t
hree
yea
rs
5.8
Copi
es of th
e Ce
rtif
icat
es of Good Standing an
d Ta
~c Sta
tus Reports for all s
tate
s an
dlor
foreign co
untr
ies where the
Company is
qualified to do business
5.9
Copi
es of all t
a~c s
haring and
othertax related ag
reem
ents
5.10
Schedule des
crib
ing any on
goin
g tax di
sput
es, t
ogether wi
th copies of revenue age
nts'
repo
rts,
cor
resp
onde
nce,
etc., w
ith
respect t
o any pending fe
dera
l, st
ate, provincial or
sim
ilar
tax
proceedings
6.1
All material sal
e, age
ncy,
dist
ribu
tion
, dealer, su
pply, requirements or ad
vert
isin
g co
ntra
cts to
whi
ch the Company is
or was
a pa
rty during the last f
our years
6.2
All j
oint ven
ture
agr
eeme
nts,
partnership agreements, operating ag
reem
ents
(for lim
ited
liability companies) a
ndcommission agr
eeme
nts to
whi
ch the Company is
a par
ty
6.3
All s
trat
egic
all
ianc
e an
d teaming ag
reem
ents
and
all letters of in
tere
st or letters of
intent describing any pr
opos
edtr
ansa
ctio
ns with ve
ndor
s, cu
stomers or any other th
ird parties
6.4
All li
cens
ing agreements (t
o wh
ich the company is
a par
ty as licensor or li
cens
ee),
fran
chis
es and
conditional sal
esco
ntra
cts
6.5
File
histories of all t
he Company-ow
ned pa
tent
s, in
cluding issuing co
untr
y, pat
ent nu
mber
, tit
le of invention, in
vent
or and
date
issued
6.6
Patent applications pe
ndin
g an
d potentially patentable technology, in
cluding co
untr
y in
whi
ch app
lica
tion
is made,
application number, t
itle of invention, ap
plic
ant,
date
of ap
plic
atio
n an
d in
vent
or
6.7
With respect to
tra
dema
rks,
trade na
mes an
d logos, a li
st of t
he product or service fo
r wh
ich the business mark is
used,
coun
trie
s in
whi
ch such mark is used
6.8
With respect to
cop
yrig
hts,
coun
trie
s where ma
teri
al has bee
n distributed, ex
istence an
d registration number of
any fo
rmal
copyright re
gist
rati
ons
6.9
With respect to trade se
cret
s an
d kn
ow-h
ow, a
des
crip
tion
of kn
own di
stri
buti
ons outside the Company and
all measures
taken to
pro
tect
their co
nfid
enti
alit
y orsecrecy
6.10
All agreements for
the acquisition, a
ssig
nmen
t, tr
ansf
er, s
ale,
license or
use of pa
tent
s, tr
ademarks, c
opyr
ight
s, tr
ade
name
s, lo
gos,
trade secrets, patent ap
plic
atio
ns, technology an
d so
ftwa
re
6.11
All consulting agr
eeme
nts an
d nondisclosure ag
reem
ents
relevant t
o protection of t
he Com
pany
's intellectual property
righ
ts
6.12
Hist
ory of any patent or
trademark infringement claims and
a des
crip
tion
of t
he resolution
6.13
All Company policies an
d pr
oced
ures
related to pa
tent
s, co
pyri
ghts
, trade secrets, tra
dema
rks an
d/or
tradenames
6.14
List of URLs own
ed by the Company and
evidence of own
ersh
ip.
6.15
All s
ignificant documents rel
atin
g to
any maj
or sto
ck or asset acquisitions or di
spos
itio
ns wit
hin the la
st th
ree ye
ars
6.16
Desc
ript
ions
and
pro
ject
ions
of any outstanding un
matu
red ea
rn-o
ut payments
6.17
All co
ntra
cts or agreements with the Com
pany
's dir
ecto
rs, o
fficers or
shareholders or any entity in
whi
ch suc
h pe
rson
s ha
vemore than a 5% equity in
tere
st
6.18
Standard forms of purchase ord
ers an
d co
ntra
cts
6.19
Copies of
all t
rain
ing materials pr
ovid
ed or so
ld to de
aler
s (wh
ethe
r fo
r technical or mar
keti
ng sup
port
)
6.20
Schedule of i
ntra
-com
pany
rev
enue
s or
cha
rges
suc
h as
management fees, i
f any
6.21
Sche
dule
of all c
onsents or app
rova
ls req
uire
d from, a
nd all not
ices
and
fil
ings
req
uire
d to
be ma
de to or
with any third party
in connection with the pro
pose
d tr
ansa
ctio
n
6.22
All ag
reem
ents
related to co
mput
er hardware, so
ftware, ma
inte
nanc
e, processing, so
urce cod
e es
crow
, facilities
mana
geme
nt, t
ime-
shar
ing,
disa
ster
recovery an
d describe any terms relating to
con
tinu
ing obligations, tr
ansfer res
tric
tion
sor
termination cos
ts
6.23
All e
quip
ment
lea
ses an
d any re
late
d documents
6.24 (Co
pies
of t
he tra
nsfe
r pricing po
lici
es used by
the Company fo
r transactions with affiliates
6.25
Li
st of all c
ontr
acts
or co
mmit
ment
s pu
rsua
nt to
whi
ch the Company is
obl
igat
ed to pe
rfor
m under wh
ich a default has
occu
rred
or is
cla
imed
to ha
ve occ
urre
d
6.26
~ All co
ntra
cts wh
ich the Company is
a party or by
whi
ch the par
ty Company is
bound, wh
ich ar
e su
bjec
t to re
nego
tiat
ions
6.27
Any other mat
eria
l co
ntra
cts an
d ag
reem
ents
involving the Company not otherwise covered by the fo
rego
ing it
ems,
including without limitation agreements with cli
ents
and
customers
7.1
A schedule of
all real est
ate properties own
ed or leased (or
ove
r wh
ich the Company enj
oys rights) alo
ng with co
pies
of t
itle
deeds (e.g., fr
eeho
lds,
leas
es or tenancy agreements) a
nd details of t
he loc
atio
n of
the original documents rel
atin
g thereto.
7.2
A schedule of
all personal pro
pert
y ow
ned or
leased along with copies of
all a
gree
ment
s fo
r leased equ
ipme
nt or ot
her
personal property (
including any li
ens or indebtedness on personal property)
7.3
List
s an
d de
scri
ptio
ns of all d
ocuments relating to
real es
tate
financing, i
nclu
ding
: identity of mo
rtga
gee,
term
, original
principal am
ount
, unpaid principal bal
ance
, int
eres
t ra
te, e
tc.
7.4
Copies of all bills a
nd inv
oice
s fo
r the past th
ree years re
lati
ng to ex
pend
itur
es for
uti
liti
es, i
nsur
ance
, pr
oper
tymaintenance, jani
tori
al ser
vice
s as
well as estimates of s
uch co
sts an
d expenses fo
r the nex
t 3 yea
rs
7.5
~ Copies of any le
ases
in dr
aft for
m (o
r letters of in
tent) u
nder
negotiation
7.6
~ Fl
oor plans of
buildings own
ed or le
ased
by the Company
7.7
~ Copies of title i
nsur
ance
or title o
pinions an
d le
ases
ind
icat
ed in #7
.1 above
7.8
~ Copies of re
al est
ate t
ax bills for
real estate owned or leased by the Company
7.9
~ Copies of any recent val
uati
ons by
independent appraisers
7.10
~ Copies of all pe
rmit
s, li
cens
es and
aut
hori
zati
ons by
loc
atio
n held by the Company (e
.g., EPA generator num
bers
, etc.)
7.11
Copies of all c
orrespondence with any government authority re
gard
ing co
mpli
ance
with en
viro
nmen
tal or sa
fety
laws
/reg
ulat
ions
(e.g., OSHA or st
ate EPA inspections or in
quir
ies)
in past 3 years
7.12
A schedule sh
owin
g depreciation or am
orti
zati
on of le
aseh
old im
prov
emen
ts with respect t
o all f
acil
itie
s, whe
ther
leased or
owned
7.13
~ Copies of uniform hazardous wa
ste ma
nife
sts fr
om 1984 to
pre
sent
7.14
A li
st and
des
crip
tion
of all t
he Company fa
cili
ties
at wh
ich the company or
its predecessors dis
pose
d of
hazardous
subs
tanc
es or petroleum products
7.15
Copies of all policies and
pro
cedu
res re
lati
ng to en
viro
nmen
tal an
d safety matters, i
ncluding environmental, s
oils and
oth
eren
gine
erin
g re
port
s, et
c. and
a list o
f any kno
wn env
iron
ment
al li
abil
itie
s
7.16
List of any outstanding claims by employees, cu
stomers or reg
ulat
ory authorities re
late
d to
env
iron
ment
al com
plia
nce or
safety
7.17
List
of t
he Com
pany
's SIC
codes and
cop
ies of
the OSHA For
m 20
0 "Log and
Summary of Oc
cupa
tion
al Injuries an
dIl
lnes
ses"
for each of t
he pre
viou
s 5 years
7.18
Copies of any other re
leva
nt environmental, health or safety documents or correspondence
8.1
(i) A des
crip
tion
of any self ins
uran
ce pro
gram
or fe
atur
e; (i
i) a cla
im los
s history of
the past fo
ur yea
rs and
specify that t
heli
st sho
uld include claimsflosses that were in
sure
d, se
lf-i
nsur
ed, and
uninsured; a
nd (i
ii) the name and
pho
ne number of
the
Comp
any`
s in
sura
nce br
oker
s) an
d the name and
pho
ne number of
the person at t
he Company responsible for
the Ris
kMa
nage
ment
func
tion
.
8.2
A schedule identifying
all i
nsur
ance
policies that hav
e been in effect during the pa
st fi
ve years. Th
e schedule sho
uld
include the fo
llow
ing:
coverage ty
pe (e
.g., general li
ability, wor
kers
' com
pens
atio
n, et
c.); in
surer; policy nu
mber
; policy
period; l
imit
s of
cov
erag
e; de
ductible; a
nd pre
mium
. Copies of all c
urrent pol
icie
s.
8.3
A sch
edul
e identifying
all c
laims an
d losses that we
re incurred during the past f
ive years, in
cluding claims that we
reinsured, se
lf-i
nsur
ed, and
un-insured.
8.4
A schedule identifying
all s
tand
ard contract terms and
conditions that hav
e be
en in effect during the pa
st years including
inde
mnif
icat
ion pr
ovis
ions
and
ins
uran
ce requirements.
8.5
A sch
edul
e de
scri
bing
the presence of any ben
efit
pla
ns sub
ject
to ERISA rules.
8.6
A schedule showing
detail on wo
rker
s' co
mpen
sati
on cov
erag
e an
d premium calculations including bre
akdo
wn of s
tates,
class co
des,
payroll am
ount
s an
d ex
peri
ence
mods.
8.7
Copies of in
sura
nce in
quir
ies an
d re
view
s received by the Company.
8.8
Provide co
pies
of any reports or
cor
resp
onde
nce co
ncer
ning
the ade
quac
y of
the Co
mpan
y's in
sura
nce coverage.
x L~
~~~ }
t~~~ ~'~~0.
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, ~.
V ~-? 3,S
_f7,s~.:+.
~ ,~~t.
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1
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4
'ft~
a_
_
_
19.
1 A li
st pre
pare
d by
counsel fo
r the Company sum
mari
zing
all pen
ding
or th
reat
ened
litigation or
administrative or reg
ulat
ory
proc
eedi
ngs or
inv
esti
gati
ons involving the Company and
all mat
eria
l Company reports analyzing or discussing suc
h
liti
gati
on, p
roceeding or
investigation over the last fi
ve years.
9.2
All ma
teri
al consents, dec
rees
, judgments, or
ders
, set
tlem
ent ag
reem
ents
and
oth
er agreements to
whi
ch the Company is
apa
rty or
is bound, requiring or prohibiting any ac
tivi
ty.
9.3
Copies of t
he Com
pany
's attorneys' l
itigation letters t
o au
dito
rs for
the preceding five years.
9.4
List of all c
laim
s, proceedings, l
itigation, pen
ding
or th
reat
ened
aga
inst
the Company that ha
ve bee
n submitted to
the
insu
ranc
e carrier an
d the current s
tatus of
each su
ch claim.
10.1
~ Copy of IT
organization charts, r
espo
nsib
ilit
ies an
d fu
ncti
ons f
or current st
aff.
Is IT sta
ff ce
ntra
lize
d or dec
entr
aliz
ed?
10.2 ~
Li
st of hardware, s
oftw
are an
d email system
10.3
~ Ha
rdwa
re and
sof
twar
e maintenance contracts an
d open service contracts
10.4 ~
Schedule of a
ny cl
assified systems
10.5
~ List of platforms su
ppor
ted
10.6 ~
Description of
configuration of
LAN and
WAN and
description of f
irewall i
mple
ment
atio
n
11.1
Deta
ils of
any st
rate
gic review, r
estr
uctu
ring
, reo
rgan
izat
ion or
major op
erat
iona
l ch
ange
s undertaken in the last fi
ve fi
scal
year
s no
t al
read
y pr
ovid
ed
11.2
Reports to and
cor
resp
onde
nce with all gov
ernm
ent ag
enci
es not alr
eady
pro
vide
d
11.3
Copi
es of all l
icenses or
permits not otherwise provided (i
nclu
ding
loc
al business licenses) r
equired fo
r the Com
pany
'sbu
sins
ess
11.4
All a
ssum
ed, f
icti
tiou
s and
oth
er bus
ines
s na
mes under which th
e Company is conducting business, o
r ha
s conducted
business wit
hin th
e last th
ree years, th
e st
ates
(or counties or ot
her po
liti
cal s
ubdi
visi
ons)
in which, a
nd the dat
es whe
n,those na
mes were registered, re
cord
ed, f
iled
or otherwise pr
otec
ted as
req
uire
d by
, or desirable un
der,
relevant law
.
11.5
A li
st of all pe
rson
s holding tax or
oth
er pow
ers of
attorney exe
cute
d by th
e Co
mpan
y an
d the purposes fo
r which th
ose
powe
rs were gi
ven.
Cop
ies of
all r
elev
ant d
ocum
ents
pursuant to which the
pow
ers of
atto
rney
were gr
ante
d.
11.6
Schedule of all s
oftw
are as
sets
dev
elop
ed by the Company or whose intellectual pro
pert
y is
held by
the Company. For each
soft
ware
asset, d
escr
ibe its purpose, cu
rrent t
echn
olog
y pl
atfo
rm, a
ny th
ird pa
rty t
echn
olog
ies up
on whi
ch it
rel
ies an
d the
prop
osed
fut
ure development pa
th.
11.7
List
of ma
jor competitors
11.8
Prod
uct development timeline, b
ypro
duct
, including pla
nned
expenses, co
mpletion dat
es, a
nd resource al
loca
tion
s.
11.9
If the Company imports mer
chan
dise
or materials f
rom outside the Un
ited
States, th
en please provide th
e annual dollar v
alue
of suc
h imports an
d co
pies
of any import com
plia
nce manual or si
mila
r pu
blic
atio
n, and
any
related lic
ense
s, permits,
comp
lian
ce tests, e
tc. a
nd other mat
eria
l re
late
d in
form
atio
n.
11.1
0If
the Company exp
orts
mer
chan
dise
or materials outside the Un
ited
Sta
tes,
then please pr
ovid
e the annual dollar value of
such exp
orts
and
cop
ies of
any exp
ort co
mpli
ance
manual or
simi
lar pu
blic
atio
n, and
any related lic
ense
s, per
mits
,co
mpli
ance
test
s, et
c. and
other mat
eria
l related in
form
atio
n.
11.1
1Li
st of all s
igni
fica
nt su
ppli
ers an
d customers of
the Co
mpan
y, wi
th an in
dica
tion
of t
he amount pa
id to each during the la
stfu
ll fi
scal
yea
r an
d the current year to da
te and
an in
dica
tion
of t
he number an
d ac
cept
abil
ity of
alternative so
urce
s of
supp
ly.
11.1
2An
y other documents or inf
orma
tion
which, i
n your ju
dgme
nt, a
re sig
nifi
cant
with respect t
o any po
rtio
n of
the business or
whic
h should be co
nsid
ered
and
reviewed in
making di
sclo
sure
s re
gard
ing the bu
sine
ss and
financial condition to
ros
ective investors.