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Btw, Hunter and I met with Michael Andrews today and we discussed what newco would do and he is completely aligned with our thinking that newco would handle clients from SWF to corporations to financial services. Ronnie and Curt may or may not be there yet, but I think Michael and Thad having been in all the earlier conversations are on the same page as us about this. It is clear Michael believes the Australia SWF opportunity would be a newco client.


Eric D. Schwerin
Rosemont Seneca Partners, LLC
1010 Wisconsin Ave., NW
Suite 705
Washington, DC 20007
(202) 333-1880
eschwerin@rosemontseneca.com
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On Jul 29, 2010, at 3:13 PM, Neil Callahan wrote:

Hi guys,

I just made the train. Someone buy Rob Walker a Coke, he drove me to Union Station in the rain. I would not have made it if I had to hail a cab. He's a good man.

Rob and Curt came by the office and spent a bit of time with them. Eric and Hunter then say down with them.

In my conversation with Curt is was clear Vide is intended to do more than be a shell company.

IPS is not at the size where they are being asked to subcontract to ensure the USG has a healthy supply chain, so creatign Vide to do the computing is needed to continue to service the USG at the same or increasing levels.

Vide will seem to be the place that houses all of the hardware and software developers who will take ownership of the technology. Vide will service IPS on IPS related work with technology and software support. So Curt is thinking Vide will have 6-7 people, mostly software developers and hardware support guys.

It was clear Curt and team are thinking that "new co" will be focused on the "financial services" industry. With SWFs and Coporate being verticals that Vide pursues independently or possible with other JV like partners (not discussed, but a potential option for Vide.)

The opportunities in Australia seemed to be Vide opportunity, not necessarily the New Co opportunity.

I mentioned to Curt that this whole topic will be teased out in the meeting prep pack and will a great topic of conversation for Thursday.

The reality is Vide will be very challenged to get any traction beyond IPS or our New Co with someone like us or hiring a consulting firm to help them realize any vision.

I believe once we get the New Co going and have a clear scope around that, it will consume their focus (other than supporting core IPS).

Eric & Hunter: what came out of your meeting with Curt and Rob?

Best,

Neil