Financials - February 2009

LEM:ISE ended February 2009 with a profit of 47’564 (44'142) $L before dividend payment. NAV reduced to 1.53 (1.65) $L/share. The dividend is set to be 0.0165 (0.015+0.0015) $L/share and was distributed yesterday.

February was a slower month compared to January. On one hand I was hardly online in SL due to RL activities and on the other the market itself slowed down. As a result most of the major titles (DDE:ISE, RDX:ISE, ITA:VSTEX) in our portfolio lost momentum and the NAV went down to 1.53 from 1.65 $L the month before.

The currency exchanges begun strong in the first weeks of February but then considerably slowed down as well. In the end the revenue were still higher as in January. It looks as more and more “currency traders” are joining the boat which doesn’t make the cake bigger for everbody. This tendency is contradicted by an increase of new residents, LL is apparently successful to attract. It will be interesting were all this will lead to. For us it means that working with currencies is interesting but that new resources need to be explored. Most potential we see in “investment” projects where RL companies use SL as 3.0 Web platform. But looking into RL economy environment right now let us wonder whether those conditions may trigger such projects. Anyway, we stay on the sideline with open eyes.

Dividends also contributed to the revenue of LEM:ISE, mostly DDE and RDX. Independently of this LEM:ISE will continue to reduce its portfolio of quoted companies.

On the derivative side there is not a lot to say right now. We put our focus on subjects outside the virtual stock exchanges.

Dividend is 0.0165 $L per share which is about 45% of the realized profit. The other 55% get reinvested. LEM is not planning to increase the dividend percentage. Or should LEM think about paying high dividends and go into a huge SPO and start trading excessively its own shares…well, my name is not Ponzi..lol

The balance sheet and PL-sheet is given below

LEM:ISE

Our outlook for March is good. We cannot guarantee the level of income as it depends partly on the future of currency exchanges in SL. Other investment projects are in evaluation.

I’m still an optimist…as we live in the best of all worlds..I love Voltaire

And for all those who don’t think similar but are still greedy enough to wait for the big profit we put a buy order to make things easier to them so that they can sell their shares with profit. Those shares will then be destroyed.

Greetz

Casper Trebuchet

CEO, LEM:ISE