EFTA01913837.pdf

To: Richard Josli From: Jeffrey E. Sent Sun 8/3/2014 5:09:54 PM Subject Re: Trends and Reconciliation to Tax Returns use of 9 million since 2 /13 ? cna't find it On Sun, Aug 3, 2014 at 8:50 AM, Richard Joslin wrote: I am looking as use of loans. Mostly to pay legal and M&A fees and TriNet is payroll Begin forwarded message: From: Richard Joslin Date: August 3, 2014 at 6:40:31 AM EDT To: John Murphy , Eileen Alexanderson Subject: RE: Trends and Reconciliation to Tax Returns There are a smattering of bank statements on dropbox. An extract from the July Chase statement summarizes large inflows and outflows (pasted below) — not sure if readable on handheld. Capital Infusion by equityholders — Canaan, Vroom, Levene, Mott, Kramlich = $412K; payments to Pillsbury Winthrop $235k, Trinet $153K; Sparring Capital Partners $30K. Sparring appears to be M&A advice. CANAAN 116,666 IX CHRIS VROMM 20,000 CHRIS VROOM 33,333 53,333 DANIEL LEVENE 10,000 DANIEL LEVENE 15,000 25,000 EFTA_R1_00352087 EFTA01913837  KRAMLICH 16,666 16,666 TIM MOTT 100,000 TIM MOTT 200,000 100,000 411,665 PILLSBURY WINTHROP 100,000 PILLSBURY WINTHROP 135,000 235,000 TRINET 83,008 TRINET 3,378 TRINET 1,059 TRINET 15,022 TRINET 51,111 TRINET 153,970 392 SPARRING CAPITAL PTRS 30,000 30.000 418,970 From: John Murphy [mailtoiNlurphy pliaidon.com] EFTA_R1_00352088 EFTA01913838 Sent: Friday, August 01, 2014 4:45 PM To: Richard Joslin; Eileen Alexanderson Subject: Trends and Reconciliation to Tax Returns Richard/Eileen, I have created a simple spreadsheet (ArtSpace Trends) that shows the major Income statements and Balance Sheet items by month. I will look at this to verify where the cash is going. In the meantime I also used this file to tie back the QB financials to the Tax Returns and highlight any differences. Note 2013 is based on accruals, while 2011 and 2012 was on a Cash basis. As I look at 2012 and 2013 the major differences are disallowable T&E for Tax purposes. Comparing the tax returns to the QB files this gives us a comfort level on the validity of the data. I will perform some substantial testing to verify salaries etc. (I will also question Catherine on some of the classification of 2011 expenses) I will keep you updated as I make progress. Regards, John. EFTA_R1_00352089 EFTA01913839 John Murphy COO/CFO Phaidon Press phaidon.com please note The information contained in this communication is confidential, may be attorney-client privileged, may constitute inside information, and is intended only for the use of the addressee. It is the property of JEE Unauthorized use, disclosure or copying of this communication or any part thereof is strictly prohibited and may be unlawful. If you have received this communication in error, please notify us immediately by return e-mail or by e-mail to jeevacation@grnail.corn, and destroy this communication and all copies thereof, including all attachments. copyright -all rights reserved EFTA_R1_00352090 EFTA01913840