1. Equity Investment Banking Robert Castle, Principal © 2006 Piper Jaffray & Co. Since 1895. Member SIPC and NYSE.

2. Introduction Robert Castle, Principal – Investment Banking In seventh year at Piper Jaffray –Associate for 2 ½ years –Vice President for 3 years Previously with Conseco Finance and Morgan Stanley MBA in Finance, University of St. Thomas BS in Mortuary Science, University of Minnesota Little Known Facts Nickname is Digger Enjoy golf, tennis and reading mystery novels Live in Eagan with wife and two boys (9 and 2 years old) Former model and actor

3. Introduction Typical Week Day (Non-Traveling) Wake up at 5:00am Exercise from 5:15am to 6:30am Arrive at work around 8:30am Have multiple client meetings/calls throughout day Place calls into new/prospective clients Arrive at home in between 7:00pm and 8:00pm Read documents or other work at home before bed Typical Week 60 – 70 hours per week with travel Two to three days per week of travel

4. Introduction Attributes of a Successful Banker Client focused Analytical and critical thinker Good listener Excellent communicator (orally and written) Ability to delegate Team player and mentor for junior staff Unflappable Banker Objectives Become clients’ trusted advisor Build our core base of five to ten key clients

5. Clients Who they are Small and middle-market companies –Typically up t0 $2.0 billion in market capitalization –Private, growth companies Financial sponsors –Private equity firms –Venture capitalists Value Piper Jaffray provides them Provide customized, tailored and trusted advice –No “cookie cutter” approach to our business How they are assigned By industry expertise and sub-sector specialization

6. Clients BioPharmaceuticals Health Care Services Information-Driven Health Care Life Sciences Tools/Diagnostics Medical Technology Asset Management Broker-Dealers Depository Institutions Financial Technology & Services Insurance Specialty Finance Financial Institutions Consumer Health Care Apparel, Footwear & Softline Retail Consumer Products Food & Beverage Restaurants Specialty & Hardlines Retail Computer Hardware & Semiconductors Enterprise Software Internet IT Services Wireline & Wireless Communications Technolog y Business Information Services Facilities Services Human Resource Services Industrial Services Learning Services Marketing Services Professional Services Business Services Clean Technology Distributed Power Generation Ethanol/Bio-Fuels Fuel Cells Solar Power Wind Alternative Energy Aerospace Automotive Products Building Products Flow & Process Controls Industrial Distribution Metal Processing Packaging Plastic Processing Security & Safety Specialty Chemicals Specialty Vehicles Other Manufacturing & Services Industrial Growth

7. Financing/Products/Services Piper Jaffray has expertise in providing “cradle to grave” financing advice Start up or private equity capital Initial public offerings (“IPOs”) Follow-on or secondary offerings Debt capital –Senior, subordinated and convertible debt Financial advisory services –Mergers & Acquisitions –Divestitures –Defensive Advisory Corporate and venture services Restructuring (a/k/a Bankruptcy)

8. Most common and least common financing Approximately 50% of revenue comes from raising capital (i.e., IPOs, follow-offerings, convertible securities) and 50% comes from advisory services (M&A and private capital) Financing/Products/Services

9. How is our research product used? Provides investment banking clients with a “voice” on the Street Ability to provide company specific and industry specific knowledge to new/prospective clients Enables bankers to keep informed of key company events Utilized by institutional sales force to keep in front of their clients and to sell new offerings Financing/Products/Services

10. How is our research product used? Our research analysts are independent from our investment bankers and develop their opinions based on the results and merits of a covered company. Our research analysts, together with research management, make their own coverage decisions, including decisions to initiate or terminate coverage. Our investment bankers do not have any input into company-specific coverage decisions. Piper Jaffray does not offer favorable research or specific ratings or price targets in consideration of, or as an inducement for investment banking business. Our research analysts do not participate in efforts to solicit investment banking business. Financing/Products/Services

11. How is our research product used?

12. Conferences that Investment Banking has access to: Industry conferences sponsored by trade associations Piper Jaffray sponsored conferences Financing/Products/Services Financial ConferenceMarchNew York, NY China Internet & Technology ConferenceMarchBeijing, China Hardware & Technology ConferenceMayNew York, NY Health Care ConferenceJuneLondon, England Consumer ConferenceJuneNew York, NY Digital Media Technology ConferenceSeptemberNew York, NY Software & Business Services ConferenceSeptemberNew York, NY Retail, Apparel & Footwear ConferenceOctoberLondon, England Financial Services ConferenceNovemberBoston, MA Health Care ConferenceNovemberNew York, NY ConferenceDateLocation

13. Partnerships Internal Product specialists –Equity capital markets (i.e, syndication) –Convertible securities –Debt capital markets –Corporate and venture services Industry team –Analysts, Associates, Vice Presidents, Principals and Managing Directors External Accountants, attorneys, printers, financial sponsors

14. Partnerships

15. Revenue Is created by: Working hand-in-hand with clients Providing thoughtful, value-added advice Constantly developing existing and new/prospective client relationships. Being retained to represent companies on transformative events –IPOs (typically 7.0% commission) –Follow-on offerings (typically 5-6% commission) –Private capital offerings (typically 3-6% commission) –Advisory assignments (1-2% of transaction value) –Debt offerings (.50% to 3% commission)

16. Questions