Stonepath Group Reports Fourth Quarter and Full Year Financial Results

* Company Implements Reorganization and Strategic Shift

* Webmodal/Enron Global Markets Transaction Closes



Apr 02, 2001, 01:00 ET from Stonepath Group, Inc.

    PHILADELPHIA, April 2 /PRNewswire/ -- Stonepath Group, Inc. (Amex:   STG)
 today reported results for the quarter and year ended December 31, 2000.  The
 Company also announced the sale of its interest in Webmodal to Enron Global
 Markets, LLC, a subsidiary of Enron Corporation (NYSE:   ENE).
     Stonepath recently unveiled its new convergence strategy, which is to
 acquire companies that can capitalize on the convergence of Old Economy
 businesses and New Economy business tools and practices.  Previously, the
 Company invested in and developed early-stage Internet and technology
 companies.
     "There is no company, large or small, in any sector of technology that has
 not been affected by this unprecedented downturn," said Andrew Panzo, Chairman
 and Chief Executive Officer of Stonepath Group.  "In the third quarter of
 2000, Stonepath's management recognized that preservation of capital was our
 number one priority.  We scaled back investments in early-stage companies and
 significantly reduced our burn rate.  Thanks to our disciplined approach in
 the latter half of 2000, we are in a tremendous position to take advantage of
 acquisition opportunities that are presenting themselves.
     Panzo continued, "We have moved quickly to execute on our new operating
 strategy.  Stonepath's new direction and recent reorganization share one
 common goal: to strengthen the Company's financial position and deliver
 shareholder value.  We are in solid shape financially -- having no long-term
 debt and, following the Webmodal transaction, our cash position was
 approximately $35 million.  Like most public technology companies, our stock
 price has fallen dramatically from its high. However, with our strong cash
 position, we believe we can attract profitable investment opportunities.  We
 expect shareholder value to be enhanced as the market recognizes our strong
 position and as we execute on our strategy."
     Panzo continued: "We're pleased with the Webmodal deal.  In the current
 climate, it's encouraging to have completed a profitable sale to such an
 outstanding company.  Securing third party financing has been very difficult
 in the current market environment and operating high-growth technology
 companies continues to be exceedingly capital intensive.  Enron provides a
 tremendous opportunity for Webmodal to build and extend its position in the
 freight transportation and third-party logistics industry."
     Stonepath completed the fourth quarter of 2000 with total assets of $44.9
 million, of which $29.1 million was in cash, and total liabilities of $1.6
 million.  At the end of the third quarter of 2000, the company had total
 assets of $53.1 million, of which $32.7 million was in cash, and total
 liabilities of $1.8 million.  The company reported a net loss to common
 shareholders of $9.0 million and $81.9 million for the quarter and year ended
 December, 2000, respectively, ($0.46 and $4.64 per basic and diluted share)
 compared to a loss of $0.9 million and $30.4 million ($0.07 and $2.88 per
 basic and diluted share) in the corresponding periods of the prior year.
 Quarter end and year end results included non-cash expenses totaling $4.1
 million and $66.8 million ($0.21 and $3.78 per basic and diluted share)
 relating to stock-based compensation, deemed stock dividends, depreciation and
 amortization, and other losses.  Accompanying these quarter and year-end non-
 cash charges were corresponding increases to additional paid-in capital of
 $1.4 million and $62.8 million, respectively. Thus these portions of the non-
 cash charges left the Company's aggregate capital position unchanged. Cash
 used for general and administrative expenses totaled $2.1 million and $7.3
 million during the quarter and year ended December 2000.
 
     Corporate Highlights
 
     *  Implemented New Strategic Direction.  The Company has commenced its new
        strategy to acquire companies that can profitably capitalize on the
        convergence of Old Economy businesses and New Economy business tools
        and practices.  In addition, Stonepath may be making strategic
        investments in technology companies that complement the convergence
        direction.
 
     *  Restructured Preferred Stockholder Investment.  Adoption of any new
        business strategy required the consent of the holders of the Company's
        Series C Preferred Stock.  In exchange for this consent, the Company
        has agreed, as of July 2002, to: (i) distribute to its Series C
        Stockholders warrants to purchase up to a maximum of approximately
        2.6 million shares of the Company's common stock at an exercise price
        of $1.00 per share; and (ii) to reduce to $1.00 per share the exercise
        price of the existing warrants held by the Series C Stockholders to
        purchase approximately 400,000 shares of common stock.  Also, as of
        July 2002, the Series C Stockholders accepting the new warrants will
        convert their shares of Series C Preferred Stock into shares of the
        Company's common stock.  Based upon the Company's current capital
        structure, the cumulative effect of these actions will be to reduce the
        blended conversion price of the Series C Preferred Shares from $12.00
        per share to approximately $6.29 per share, and to increase the
        beneficial ownership of the company by the Series C shareholders from
        13% to 19%, on a fully diluted basis.
 
     *  Reduced Operational Expenses.  In conjunction with the shift in
        strategic direction, Stonepath moved its headquarters to Philadelphia
        and closed its San Francisco and Boston offices.  The reorganization
        resulted in the elimination of the Company's business services group,
        thereby significantly reducing the company's workforce.  These changes
        resulted in a one-time fourth quarter charge of approximately $400,000,
        and reduced the company's monthly recurring burn rate from operations
        by more than half.
 
     *  Appointed New Board of Directors and Retained Investment Banking Firm.
        Stonepath appointed Rob McCord to its Board of Directors.  Mr. McCord
        is currently a Managing Director of PA Early Stage Partners and serves
        as President & CEO of the Eastern Technology Council. Additionally,
        Stonepath announced that it has engaged PMG Capital, a Pennsylvania-
        based investment banking firm specializing in high technology and
        emerging growth businesses, to assist the Company as it executes its
        new acquisition strategy.
 
    Capital Highlights
 
    *  Completed Webmodal/Enron Global Markets Transaction.  Webmodal, a
        Stonepath partner company, and Enron Global Markets, LLC, a subsidiary
        of Enron Corporation (NYSE:   ENE), have closed a merger agreement.
        Webmodal, an Illinois-based technology and logistics services business,
        has been a Stonepath company since October 1999.  Stonepath received
        approximately $6 million in cash from Enron Global Markets for its
        stake in Webmodal plus a $1 million loan repayment.
 
     About Stonepath Group
     Founded in 1998, Stonepath Group (Amex:   STG), through its recently adopted
 convergence strategy, plans to acquire operating companies and create value by
 integrating technology solutions, new business tools and innovative business
 practices.  The Company also continues to manage and provide business
 development services to a portfolio of nine early-stage Internet companies.
 Stonepath Group (http://www.stonepath.com) is headquartered in Philadelphia,
 PA.
 
     This press release may include forward-looking statements within the
 meaning of Section 7A of the Securities Act of 1933 as amended, and Section
 21E of the Securities Exchange Act of 1934. We have based these forward-
 looking statements on our current expectations and projections about future
 events. These forward-looking statements are subject to known and unknown
 risks, uncertainties and assumptions about us and our affiliate companies,
 that may cause our actual results, levels of activity, performance or
 achievements to be materially different from any future results, levels of
 activity, performance or achievements expressed or implied by such forward-
 looking statements. In some cases, you can identify forward-looking statements
 by terminology such as "may," "will," "should," "could," "would," "expect,"
 "plan," "anticipate," "believe," "estimate," "continue," or the negative of
 such terms or other similar expressions. Factors that might cause or
 contribute to such a discrepancy include, but are not limited to, those
 identified in our other Securities and Exchange Commission filings, including
 our Registration Statement on Form S-1 declared effective on June 30, 2000 by
 the SEC (File No. 333-38716), our Registration Statement on Form S-4 declared
 effective on October 6, 2000 by the SEC (File No. 333-88629) and our Annual
 Report on Form 10-K filed on May 11, 2000. The following discussion should be
 read in conjunction with our Consolidated Financial Statements and related
 Notes thereto included in the company's Form 10-K
 
 
                             STONEPATH GROUP, INC.
                     Consolidated Statements Of Operations
 
                                Year ended                    Quarter ended
                                                               December 31
                       2000         1999         1998         2000        1999
 
     Revenue            $-           $-           $-           $-          $-
 
     Operating expenses:
     Stock-based
      compensation15,887,067  7,320,695           --      667,894   4,538,955
     General and
      administrative9,182,519 3,719,497      140,484    2,533,278   2,038,944
 
     Total operating
      expenses  25,069,586   11,040,192      140,484    3,201,172   6,577,899
 
     Interest
      income   (2,080,140)     (60,526)           --    (511,046)    (40,836)
     Interest
      expense       98,532   12,380,157    1,441,399       13,905   (509,993)
     Financing fees     --      523,601       48,436           --     523,601
     Other losses,
      net        4,883,401           --           --    2,690,853          --
 
     Loss before equity
      in losses
      of Affiliate
      Companies 27,971,379   23,883,424    1,630,319    5,394,884   6,550,671
 
     Equity in losses
      of Affiliate
      Companies  7,781,868       79,559           --    3,235,592      58,421
 
     Net loss from
      continuing
      operations35,753,247   23,962,983    1,630,319    8,630,476   6,609,092
 
     Discontinued operations:
     Loss (gain)
      from discontinued
      operations   418,026    6,370,776   11,106,826    (293,681)     788,610
     Gain on disposal
      of discontinued
      operations        --  (6,502,663)           --           -- (6,502,663)
 
     Net loss   36,171,273   23,831,096   12,737,145    8,336,795     895,039
 
     Preferred stock
      dividends -
      continuing
      operations45,750,830    6,605,261           --      711,300          --
     Preferred
      stock dividends -
      discontinued
      operations        --           --   15,250,500           --          --
 
     Net loss to
      common
      stockholders$81,922,103$30,436,357 $27,987,645   $9,048,095    $895,039
 
     Basic and diluted
      net (loss) per
      common share -
      continuing
      operations   $(4.62)      $(2.90)      $(0.35)      $(0.48)     $(0.46)
 
     Basic and diluted
      net income (loss)
      per common share -
     discontinued
      operations   $(0.02)        $0.01      $(5.59)        $0.02       $0.39
 
     Basic and diluted
      weighted average
      common shares
      outstanding:17,657,913 10,557,953    4,711,351   19,438,034  14,521,085
 
 
                             STONEPATH GROUP, INC.
                           Consolidated Balance Sheet
 
                                                        As of December 31
     Assets                                            2000           1999
 
     Current assets:
     Cash and cash equivalents                    $29,099,651     $3,127,232
     Available-for-sale securities                    236,389             --
     Interest receivable                               15,000         28,176
     Loans receivable                                 217,745        218,808
     Capitalized financing fees, net                       --        142,958
     Prepaid expenses                                  91,125         41,911
 
     Total current assets                          29,659,910      3,559,085
 
     Ownership interests in
      and advances to Affiliate Companies          14,894,262      7,065,557
     Goodwill, net of accumulated
      amortization of $578,906 in 1999                     --      3,227,298
     Furniture and equipment, net                     228,676         70,082
     Other assets                                     127,655         67,346
 
                                                  $44,910,503    $13,989,368
 
     Liabilities and Stockholders' Equity
 
     Current liabilities:
     Accounts payable and accrued expenses           $889,898       $802,202
     Notes and loans payable                               --         12,000
     Convertible promissory notes                          --      1,921,929
     Convertible debentures                                --      3,250,500
     Long-term debt due within one year                    --         11,732
     Net liabilities of discontinued operations       695,000      1,773,591
 
     Total current liabilities                      1,584,898      7,771,954
 
     Noncurrent liabilities:
     Long-term debt, less amounts
      due within one year                                  --         67,302
 
     Total noncurrent liabilities                          --         67,302
 
     Convertible preferred stock, Series B,
      $.001 par value (0 and 4,824 shares
      authorized, issued and outstanding
      at 2000 and 1999), net of costs of issuance.
      Liquidation preference: $0 and
      $4,824,000 at 2000 and 1999                          --      4,448,872
 
     Stockholders' equity:
 
     Convertible preferred stock, Series C,
     $.001 par value (3,657,070 shares authorized,
      issued and outstanding at 2000) Liquidation
      preference: $43,884,840 at 2000                   3,657             --
     Common stock, Net Value, Inc. $.001
      par value (49,000,000 shares authorized
      at 2000 and 1999; 0 and 1,037,338
      outstanding at 2000 and 1999, respectively)          --          1,038
     Common stock, $.001 par value
      (100,000,000 and 50,000,000 shares
      authorized at 2000 and 1999; 20,419,542
      issued and outstanding at 2000;
      15,522,807 issued and outstanding at 1999)       20,419         15,523
     Additional paid-in capital                   210,923,329    103,946,136
     Accumulated deficit                        (156,841,388)   (74,919,285)
     Deferred compensation                       (10,771,724)   (27,342,172)
     Unrealized gains on available-for-sale
      securities                                      (8,688)             --
 
     Total stockholders' equity                    43,325,605      1,701,240
 
                                                  $44,910,503    $13,989,368
 
 

SOURCE Stonepath Group, Inc.
    PHILADELPHIA, April 2 /PRNewswire/ -- Stonepath Group, Inc. (Amex:   STG)
 today reported results for the quarter and year ended December 31, 2000.  The
 Company also announced the sale of its interest in Webmodal to Enron Global
 Markets, LLC, a subsidiary of Enron Corporation (NYSE:   ENE).
     Stonepath recently unveiled its new convergence strategy, which is to
 acquire companies that can capitalize on the convergence of Old Economy
 businesses and New Economy business tools and practices.  Previously, the
 Company invested in and developed early-stage Internet and technology
 companies.
     "There is no company, large or small, in any sector of technology that has
 not been affected by this unprecedented downturn," said Andrew Panzo, Chairman
 and Chief Executive Officer of Stonepath Group.  "In the third quarter of
 2000, Stonepath's management recognized that preservation of capital was our
 number one priority.  We scaled back investments in early-stage companies and
 significantly reduced our burn rate.  Thanks to our disciplined approach in
 the latter half of 2000, we are in a tremendous position to take advantage of
 acquisition opportunities that are presenting themselves.
     Panzo continued, "We have moved quickly to execute on our new operating
 strategy.  Stonepath's new direction and recent reorganization share one
 common goal: to strengthen the Company's financial position and deliver
 shareholder value.  We are in solid shape financially -- having no long-term
 debt and, following the Webmodal transaction, our cash position was
 approximately $35 million.  Like most public technology companies, our stock
 price has fallen dramatically from its high. However, with our strong cash
 position, we believe we can attract profitable investment opportunities.  We
 expect shareholder value to be enhanced as the market recognizes our strong
 position and as we execute on our strategy."
     Panzo continued: "We're pleased with the Webmodal deal.  In the current
 climate, it's encouraging to have completed a profitable sale to such an
 outstanding company.  Securing third party financing has been very difficult
 in the current market environment and operating high-growth technology
 companies continues to be exceedingly capital intensive.  Enron provides a
 tremendous opportunity for Webmodal to build and extend its position in the
 freight transportation and third-party logistics industry."
     Stonepath completed the fourth quarter of 2000 with total assets of $44.9
 million, of which $29.1 million was in cash, and total liabilities of $1.6
 million.  At the end of the third quarter of 2000, the company had total
 assets of $53.1 million, of which $32.7 million was in cash, and total
 liabilities of $1.8 million.  The company reported a net loss to common
 shareholders of $9.0 million and $81.9 million for the quarter and year ended
 December, 2000, respectively, ($0.46 and $4.64 per basic and diluted share)
 compared to a loss of $0.9 million and $30.4 million ($0.07 and $2.88 per
 basic and diluted share) in the corresponding periods of the prior year.
 Quarter end and year end results included non-cash expenses totaling $4.1
 million and $66.8 million ($0.21 and $3.78 per basic and diluted share)
 relating to stock-based compensation, deemed stock dividends, depreciation and
 amortization, and other losses.  Accompanying these quarter and year-end non-
 cash charges were corresponding increases to additional paid-in capital of
 $1.4 million and $62.8 million, respectively. Thus these portions of the non-
 cash charges left the Company's aggregate capital position unchanged. Cash
 used for general and administrative expenses totaled $2.1 million and $7.3
 million during the quarter and year ended December 2000.
 
     Corporate Highlights
 
     *  Implemented New Strategic Direction.  The Company has commenced its new
        strategy to acquire companies that can profitably capitalize on the
        convergence of Old Economy businesses and New Economy business tools
        and practices.  In addition, Stonepath may be making strategic
        investments in technology companies that complement the convergence
        direction.
 
     *  Restructured Preferred Stockholder Investment.  Adoption of any new
        business strategy required the consent of the holders of the Company's
        Series C Preferred Stock.  In exchange for this consent, the Company
        has agreed, as of July 2002, to: (i) distribute to its Series C
        Stockholders warrants to purchase up to a maximum of approximately
        2.6 million shares of the Company's common stock at an exercise price
        of $1.00 per share; and (ii) to reduce to $1.00 per share the exercise
        price of the existing warrants held by the Series C Stockholders to
        purchase approximately 400,000 shares of common stock.  Also, as of
        July 2002, the Series C Stockholders accepting the new warrants will
        convert their shares of Series C Preferred Stock into shares of the
        Company's common stock.  Based upon the Company's current capital
        structure, the cumulative effect of these actions will be to reduce the
        blended conversion price of the Series C Preferred Shares from $12.00
        per share to approximately $6.29 per share, and to increase the
        beneficial ownership of the company by the Series C shareholders from
        13% to 19%, on a fully diluted basis.
 
     *  Reduced Operational Expenses.  In conjunction with the shift in
        strategic direction, Stonepath moved its headquarters to Philadelphia
        and closed its San Francisco and Boston offices.  The reorganization
        resulted in the elimination of the Company's business services group,
        thereby significantly reducing the company's workforce.  These changes
        resulted in a one-time fourth quarter charge of approximately $400,000,
        and reduced the company's monthly recurring burn rate from operations
        by more than half.
 
     *  Appointed New Board of Directors and Retained Investment Banking Firm.
        Stonepath appointed Rob McCord to its Board of Directors.  Mr. McCord
        is currently a Managing Director of PA Early Stage Partners and serves
        as President & CEO of the Eastern Technology Council. Additionally,
        Stonepath announced that it has engaged PMG Capital, a Pennsylvania-
        based investment banking firm specializing in high technology and
        emerging growth businesses, to assist the Company as it executes its
        new acquisition strategy.
 
    Capital Highlights
 
    *  Completed Webmodal/Enron Global Markets Transaction.  Webmodal, a
        Stonepath partner company, and Enron Global Markets, LLC, a subsidiary
        of Enron Corporation (NYSE:   ENE), have closed a merger agreement.
        Webmodal, an Illinois-based technology and logistics services business,
        has been a Stonepath company since October 1999.  Stonepath received
        approximately $6 million in cash from Enron Global Markets for its
        stake in Webmodal plus a $1 million loan repayment.
 
     About Stonepath Group
     Founded in 1998, Stonepath Group (Amex:   STG), through its recently adopted
 convergence strategy, plans to acquire operating companies and create value by
 integrating technology solutions, new business tools and innovative business
 practices.  The Company also continues to manage and provide business
 development services to a portfolio of nine early-stage Internet companies.
 Stonepath Group (http://www.stonepath.com) is headquartered in Philadelphia,
 PA.
 
     This press release may include forward-looking statements within the
 meaning of Section 7A of the Securities Act of 1933 as amended, and Section
 21E of the Securities Exchange Act of 1934. We have based these forward-
 looking statements on our current expectations and projections about future
 events. These forward-looking statements are subject to known and unknown
 risks, uncertainties and assumptions about us and our affiliate companies,
 that may cause our actual results, levels of activity, performance or
 achievements to be materially different from any future results, levels of
 activity, performance or achievements expressed or implied by such forward-
 looking statements. In some cases, you can identify forward-looking statements
 by terminology such as "may," "will," "should," "could," "would," "expect,"
 "plan," "anticipate," "believe," "estimate," "continue," or the negative of
 such terms or other similar expressions. Factors that might cause or
 contribute to such a discrepancy include, but are not limited to, those
 identified in our other Securities and Exchange Commission filings, including
 our Registration Statement on Form S-1 declared effective on June 30, 2000 by
 the SEC (File No. 333-38716), our Registration Statement on Form S-4 declared
 effective on October 6, 2000 by the SEC (File No. 333-88629) and our Annual
 Report on Form 10-K filed on May 11, 2000. The following discussion should be
 read in conjunction with our Consolidated Financial Statements and related
 Notes thereto included in the company's Form 10-K
 
 
                             STONEPATH GROUP, INC.
                     Consolidated Statements Of Operations
 
                                Year ended                    Quarter ended
                                                               December 31
                       2000         1999         1998         2000        1999
 
     Revenue            $-           $-           $-           $-          $-
 
     Operating expenses:
     Stock-based
      compensation15,887,067  7,320,695           --      667,894   4,538,955
     General and
      administrative9,182,519 3,719,497      140,484    2,533,278   2,038,944
 
     Total operating
      expenses  25,069,586   11,040,192      140,484    3,201,172   6,577,899
 
     Interest
      income   (2,080,140)     (60,526)           --    (511,046)    (40,836)
     Interest
      expense       98,532   12,380,157    1,441,399       13,905   (509,993)
     Financing fees     --      523,601       48,436           --     523,601
     Other losses,
      net        4,883,401           --           --    2,690,853          --
 
     Loss before equity
      in losses
      of Affiliate
      Companies 27,971,379   23,883,424    1,630,319    5,394,884   6,550,671
 
     Equity in losses
      of Affiliate
      Companies  7,781,868       79,559           --    3,235,592      58,421
 
     Net loss from
      continuing
      operations35,753,247   23,962,983    1,630,319    8,630,476   6,609,092
 
     Discontinued operations:
     Loss (gain)
      from discontinued
      operations   418,026    6,370,776   11,106,826    (293,681)     788,610
     Gain on disposal
      of discontinued
      operations        --  (6,502,663)           --           -- (6,502,663)
 
     Net loss   36,171,273   23,831,096   12,737,145    8,336,795     895,039
 
     Preferred stock
      dividends -
      continuing
      operations45,750,830    6,605,261           --      711,300          --
     Preferred
      stock dividends -
      discontinued
      operations        --           --   15,250,500           --          --
 
     Net loss to
      common
      stockholders$81,922,103$30,436,357 $27,987,645   $9,048,095    $895,039
 
     Basic and diluted
      net (loss) per
      common share -
      continuing
      operations   $(4.62)      $(2.90)      $(0.35)      $(0.48)     $(0.46)
 
     Basic and diluted
      net income (loss)
      per common share -
     discontinued
      operations   $(0.02)        $0.01      $(5.59)        $0.02       $0.39
 
     Basic and diluted
      weighted average
      common shares
      outstanding:17,657,913 10,557,953    4,711,351   19,438,034  14,521,085
 
 
                             STONEPATH GROUP, INC.
                           Consolidated Balance Sheet
 
                                                        As of December 31
     Assets                                            2000           1999
 
     Current assets:
     Cash and cash equivalents                    $29,099,651     $3,127,232
     Available-for-sale securities                    236,389             --
     Interest receivable                               15,000         28,176
     Loans receivable                                 217,745        218,808
     Capitalized financing fees, net                       --        142,958
     Prepaid expenses                                  91,125         41,911
 
     Total current assets                          29,659,910      3,559,085
 
     Ownership interests in
      and advances to Affiliate Companies          14,894,262      7,065,557
     Goodwill, net of accumulated
      amortization of $578,906 in 1999                     --      3,227,298
     Furniture and equipment, net                     228,676         70,082
     Other assets                                     127,655         67,346
 
                                                  $44,910,503    $13,989,368
 
     Liabilities and Stockholders' Equity
 
     Current liabilities:
     Accounts payable and accrued expenses           $889,898       $802,202
     Notes and loans payable                               --         12,000
     Convertible promissory notes                          --      1,921,929
     Convertible debentures                                --      3,250,500
     Long-term debt due within one year                    --         11,732
     Net liabilities of discontinued operations       695,000      1,773,591
 
     Total current liabilities                      1,584,898      7,771,954
 
     Noncurrent liabilities:
     Long-term debt, less amounts
      due within one year                                  --         67,302
 
     Total noncurrent liabilities                          --         67,302
 
     Convertible preferred stock, Series B,
      $.001 par value (0 and 4,824 shares
      authorized, issued and outstanding
      at 2000 and 1999), net of costs of issuance.
      Liquidation preference: $0 and
      $4,824,000 at 2000 and 1999                          --      4,448,872
 
     Stockholders' equity:
 
     Convertible preferred stock, Series C,
     $.001 par value (3,657,070 shares authorized,
      issued and outstanding at 2000) Liquidation
      preference: $43,884,840 at 2000                   3,657             --
     Common stock, Net Value, Inc. $.001
      par value (49,000,000 shares authorized
      at 2000 and 1999; 0 and 1,037,338
      outstanding at 2000 and 1999, respectively)          --          1,038
     Common stock, $.001 par value
      (100,000,000 and 50,000,000 shares
      authorized at 2000 and 1999; 20,419,542
      issued and outstanding at 2000;
      15,522,807 issued and outstanding at 1999)       20,419         15,523
     Additional paid-in capital                   210,923,329    103,946,136
     Accumulated deficit                        (156,841,388)   (74,919,285)
     Deferred compensation                       (10,771,724)   (27,342,172)
     Unrealized gains on available-for-sale
      securities                                      (8,688)             --
 
     Total stockholders' equity                    43,325,605      1,701,240
 
                                                  $44,910,503    $13,989,368
 
 SOURCE  Stonepath Group, Inc.