SES Announces First Quarter Operating Results

Apr 30, 2001, 01:00 ET from Simplified Employment Services

    AUBURN HILLS, Mich., April 30 /PRNewswire/ -- Simplified Employment
 Services (SES) today announced the financial results for the first quarter
 ended March 31, 2001.
     The company reported total revenue for the first quarter of $202 million
 meeting expectations for a $950 million annual run rate for calendar 2001.
 Gross profit for the period increased to 3.4%.  This represents a 21% increase
 compared to first quarter of 2000.  The average annualized gross profit per
 worksite employee increased 83% from $728 in the first quarter 2000 to
 $1,339 per employee in 2001.
     Net income for the first quarter 2001 was $480,000 inclusive of one time
 restructuring and severance expenses.
     "Our three year re-engineering plan is on track to deliver increased
 profitability through improved efficiencies of our operations, new and more
 profitable products and services and a change in our business demographics,"
 stated Mr. Dennis E. Lambka, Chairman and CEO of SES.
     SES recently announced its new SmartHR, one of the industry's first full
 web-enabled human resource management systems.  The company anticipates
 further reductions in its indirect costs as well as increases in its business
 model by providing services to larger clients typically outside the previous
 PEO/ASO business model.
 
     About Simplified Employment Services
     SES (http://www.sesworks.com) is one of the largest, full service
 Professional Employer Organizations in the United States.  Founded in 1989,
 SES offers small and medium-sized businesses comprehensive management service
 for the daily administration of human resources and employer obligations.
 These professional services include payroll and benefits administration,
 compliance management, medical and workers' compensation insurance programs,
 unemployment insurance and claims administration, recruiting and placement
 services, and training and supervisory development services.  Headquartered in
 Auburn Hills, Michigan, SES currently has 10 offices in 9 states, with
 operations in 42 states servicing over 2,700 clients and more than
 32,000 worksite employees nationwide.  On April 1st 2001, SES became a wholly
 owned subsidiary of IVG Corp., Inc. (OTC Bulletin Board:   IVGG)
 
     Safe Harbor Statement:  This press release includes forward-looking
 statements, including statements relating to the future development and
 deployment of SmartHR, the possible impact of SmartHR on SES' ability to
 attract and retain clients, reduce costs and increase revenues, and the
 business strategies of SES.  These statements are made under the "safe harbor"
 provisions of the Private Securities Litigation Reform Act of 1995 and involve
 risks and uncertainties that could cause actual results to differ materially
 from those in the forward-looking statements.  These risks and uncertainties
 include, among others: risks relating to the future development and deployment
 of SmartHR; risks relating to the ability of SES' management to successfully
 accomplish fund raising activities, the ability to achieve or sustain
 profitability; limited operating history; possible financing needs; risks
 associated with identifying and completing acquisitions; risks associated with
 the integration of acquired technologies, operations and personnel; risks of
 being deemed an investment company; exposure to unforeseen liabilities of
 acquired companies; the requirement to record additional future operating
 costs for the amortization of goodwill and other intangible assets, which
 amounts could be significant; business conditions in the PEO, e-commerce and
 Internet industries generally.
 
      Contact
      SES
      Stacy Fuerst
      Toll Free: 1-888-SES-WORKS
      Phone: (248) 373-2000
      Email: fuersts@sesworks.com
      Web: www.sesworks.com
 
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SOURCE Simplified Employment Services
    AUBURN HILLS, Mich., April 30 /PRNewswire/ -- Simplified Employment
 Services (SES) today announced the financial results for the first quarter
 ended March 31, 2001.
     The company reported total revenue for the first quarter of $202 million
 meeting expectations for a $950 million annual run rate for calendar 2001.
 Gross profit for the period increased to 3.4%.  This represents a 21% increase
 compared to first quarter of 2000.  The average annualized gross profit per
 worksite employee increased 83% from $728 in the first quarter 2000 to
 $1,339 per employee in 2001.
     Net income for the first quarter 2001 was $480,000 inclusive of one time
 restructuring and severance expenses.
     "Our three year re-engineering plan is on track to deliver increased
 profitability through improved efficiencies of our operations, new and more
 profitable products and services and a change in our business demographics,"
 stated Mr. Dennis E. Lambka, Chairman and CEO of SES.
     SES recently announced its new SmartHR, one of the industry's first full
 web-enabled human resource management systems.  The company anticipates
 further reductions in its indirect costs as well as increases in its business
 model by providing services to larger clients typically outside the previous
 PEO/ASO business model.
 
     About Simplified Employment Services
     SES (http://www.sesworks.com) is one of the largest, full service
 Professional Employer Organizations in the United States.  Founded in 1989,
 SES offers small and medium-sized businesses comprehensive management service
 for the daily administration of human resources and employer obligations.
 These professional services include payroll and benefits administration,
 compliance management, medical and workers' compensation insurance programs,
 unemployment insurance and claims administration, recruiting and placement
 services, and training and supervisory development services.  Headquartered in
 Auburn Hills, Michigan, SES currently has 10 offices in 9 states, with
 operations in 42 states servicing over 2,700 clients and more than
 32,000 worksite employees nationwide.  On April 1st 2001, SES became a wholly
 owned subsidiary of IVG Corp., Inc. (OTC Bulletin Board:   IVGG)
 
     Safe Harbor Statement:  This press release includes forward-looking
 statements, including statements relating to the future development and
 deployment of SmartHR, the possible impact of SmartHR on SES' ability to
 attract and retain clients, reduce costs and increase revenues, and the
 business strategies of SES.  These statements are made under the "safe harbor"
 provisions of the Private Securities Litigation Reform Act of 1995 and involve
 risks and uncertainties that could cause actual results to differ materially
 from those in the forward-looking statements.  These risks and uncertainties
 include, among others: risks relating to the future development and deployment
 of SmartHR; risks relating to the ability of SES' management to successfully
 accomplish fund raising activities, the ability to achieve or sustain
 profitability; limited operating history; possible financing needs; risks
 associated with identifying and completing acquisitions; risks associated with
 the integration of acquired technologies, operations and personnel; risks of
 being deemed an investment company; exposure to unforeseen liabilities of
 acquired companies; the requirement to record additional future operating
 costs for the amortization of goodwill and other intangible assets, which
 amounts could be significant; business conditions in the PEO, e-commerce and
 Internet industries generally.
 
      Contact
      SES
      Stacy Fuerst
      Toll Free: 1-888-SES-WORKS
      Phone: (248) 373-2000
      Email: fuersts@sesworks.com
      Web: www.sesworks.com
 
                     MAKE YOUR OPINION COUNT -  Click Here
                http://tbutton.prnewswire.com/prn/11690X44116247
 
 SOURCE  Simplified Employment Services