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Earn-out |
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Earn-out Refers to an additional payment in a merger or acquisition that is not part of the original acquisition cost, which is based on the acquired company's future earnings relative to a level determined by the merger agreement. How to thank TFD for its existence? Tell a friend about us, add a link to this page, add the site to iGoogle, or visit webmaster's page for free fun content. |
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| 2 million the amount of cash payments we expected to make in 2006 relating to the earn-out provisions in connection with the Vertical Networks acquisition and will be reflected in the Company's quarterly earnings statement. 4 million in debt, and an earn-out provision based on two specific revenue targets. The $6 million future payments consist of a $2 million non-interest bearing promissory note due in 2006 issued by Engage to CMGI and future earn-out payments of up to $6 million based on Engage's quarterly operating income starting with the fiscal quarter ending October 31, 2003. |
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