2000 was a nice comfortable year for the company. The games sold and a modest profit made. Our "other than game" income was almost $86,000 (this includes all the consortium games, nonconsortium games (the company store) and so on. The "other stuff" store peaked during the summer at more than $10,000 a month, but slipped back into about $5,000 a month during the rest of the year. I don't know if this was seasonal variation or the effect of a "grand opening" flux (but $5,000 a month of this stuff is a wonderful addition to the company income, regardless of the potential variations).

The magazine brought in $21,000 which covered all of its costs and we sold $13,000 in countertrays. The girls were very busy this year selling stuff ... and I thank you guys very much for your continued purchases.

I do not have the reports from the accountant for 2000 to determine the accrual measure of the company's progress. My figures below are my cash in-cash out figures (which actually depict the company as worse off than it really is (in this case by down-playing the actual profit by expensing out all inventory as it happens, even though stuff remains here to be sold.). The missing accounting figures also shows up in the cash expenses column as well (I used my rough-nready cash position change to "estimate" the actual expenses). The actual expense value is probably lower, but I do not know at this writing by how much.

The Cost of Manufacturing games below is deceptive because of the relatively low inventory value of Circus Minimus which is claimed (below) to be just another release on par with, say, Sicily. This is, of course, not really the case and the per release figure for COGS is lower than it should be. Costs went up, again, in the last year ... but not enough to warrant any price increases. I can hold the retail prices at 2000 levels for this year for sure.

Non-production related expenses per release were trimmed a bit since 1999. More work can be done in that area, but Sara runs a pretty tight ship and is locked into being too big on one hand and too small on another. The workload and system requirements of the company are pretty steep--a lot must be done. While that fact alone would point the way toward increasing the workforce (especially by hiring specialists in various fields), but that is not possible given the small size of the company. Basically, we need facilities and a workforce we can't afford to add. And, we certainly couldn't begin to do what we do now without the hard work of a great number of you who volunteer your efforts.

Slow, but sure, progress is being made on the company's long-term corporate debt. Thankfully, the relationship with the bank is good and they have no qualms with the time it will take to pay them off (provided they get their interest in the meantime).

Last year I reported on the changing percentage of income due to new game sales (39% last year). Last year, the percentage was roughly 50%. Notably in that figure were two strong money makers (Sicily and This Terrible Sound). All in all, the numbers look pretty stable in that area.

The Honcho system is beginning to show fruit. Games are moving through the system (finally) and the honchos are out there supporting their systems. If you want to be part of that movement, let your favorite system's honcho know you are available. Do a little or a lot depending on what you want to do to help. Each honcho has his own strengths and weaknesses, your help might be just the thing they need most.

In the end, I am quite happy with this past year and look forward to 2001. Key to this success is your continued support. Thank you!

Revenues and Releases
Year	Revenues	Game Releases	Per Release
1997	$434,375	5	$86,875
1998	$387,624	2	$193,812
1999	$347,539	4	$86,884
2000	$480,828	5	$96,165

Cost of Manufacturing Games
Year	Cash	Per Release
1997	$77,651	$15,530
1998	$31,617	$15,808
1999	$72,974	$18,243
2000	$72,486	$14,497

Year	Cash Expenses	Per Release
1997	$396,664	$79,332
1998	$395,545	$197,772
1999	$316,462	$79,115
2000	$385,779	$77,155

Cash Flow:

1997: $36,680
1998: ($7,920)
1999: ($41,897)
2000: $22,563

Game Unit Sales:

In their Quiet Fields: 95
No Better Place to Die : 41
April's Harvest : 85
Champion Hill : 21
Gaines Mill : 35
Seven Pines : 55
Malvern Hill : 60
Matanikau : 73
GD'40 : 61
Hunters from the Sky : 61
Black Wednesday : 98
Leros : 73
GD'41 : 99
Semper Fi! : 113
Raging Storm : 105
Frozen Hell : 890
Enemy at the Gates : 178
Tunisia : 107
Burma : 276
Sicily : 1,623
Stalingrad Pocket : 130
Ardennes : 103
Yom Kippur : 70
Crusader : 119
Gazala : 119
Drive on Paris : 1,478
Austerlitz : 29
Marengo : 87
Aspern-Essling : 273
This Hallowed Ground : 140
This Terrible Sound : 919
Circus Minimus : 1,283

Game Units Sold:

1997: 9,152
1998: 7,798
1999: 6,680
2000: 8,899

Customer List
(as of Jan 1):

1997 : 6,250
1998 : 7,075
1999 : 7,587
2000 : 8,148
2001 : 8,955