<table>
<tbody><tr style="vertical-align: bottom">
    <td style="text-align: center; padding-left: 8.65pt; text-indent: -8.65pt">&nbsp;</td><td style="font-weight: bold; padding-bottom: 1pt">&nbsp;</td>
    <td colspan="6" nowrap="" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">Three Months Ended June 30,</td><td style="padding-bottom: 1pt; font-weight: bold">&nbsp;</td></tr>
<tr style="vertical-align: bottom">
    <td style="text-align: center; padding-left: 8.65pt; text-indent: -8.65pt">&nbsp;</td><td style="font-weight: bold; padding-bottom: 1pt">&nbsp;</td>
    <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">2014</td><td style="padding-bottom: 1pt; font-weight: bold">&nbsp;</td><td style="font-weight: bold; padding-bottom: 1pt">&nbsp;</td>
    <td colspan="2" style="font-weight: bold; text-align: center; border-bottom: Black 1pt solid">2013</td><td style="padding-bottom: 1pt; font-weight: bold">&nbsp;</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,204)">
    <td style="font-weight: bold; text-align: left; padding-left: 8.65pt; text-indent: -8.65pt">Operations Data:</td><td>&nbsp;</td>
    <td style="text-align: left">&nbsp;</td><td style="text-align: right">&nbsp;</td><td style="text-align: left">&nbsp;</td><td>&nbsp;</td>
    <td style="text-align: left">&nbsp;</td><td style="text-align: right">&nbsp;</td><td style="text-align: left">&nbsp;</td></tr>
<tr style="vertical-align: bottom; background-color: White">
    <td style="width: 74%; padding-left: 8.65pt; text-indent: -8.65pt">Sales</td><td style="width: 3%">&nbsp;</td>
    <td style="width: 1%; text-align: left">$</td><td style="width: 8%; text-align: right">&nbsp;&nbsp;35,842,000</td><td style="width: 1%; text-align: left">&nbsp;</td><td style="width: 3%">&nbsp;</td>
    <td style="width: 1%; text-align: left">$</td><td style="width: 8%; text-align: right">&nbsp;&nbsp;30,801,000</td><td style="width: 1%; text-align: left">&nbsp;</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,204)">
    <td style="text-align: left; padding-left: 8.65pt; text-indent: -8.65pt">Reimbursable program costs and expenses</td><td>&nbsp;</td>
    <td style="text-align: left">&nbsp;</td><td style="text-align: right">6,971,000</td><td style="text-align: left">&nbsp;</td><td>&nbsp;</td>
    <td style="text-align: left">&nbsp;</td><td style="text-align: right">6,325,000</td><td style="text-align: left">&nbsp;</td></tr>
<tr style="vertical-align: bottom; background-color: White">
    <td style="text-align: left; text-indent: -8.65pt; padding-left: 8.65pt">Outside production and other program expenses</td><td style="padding-bottom: 1pt">&nbsp;</td>
    <td style="border-bottom: Black 1pt solid; text-align: left">&nbsp;</td><td style="border-bottom: Black 1pt solid; text-align: right">18,151,000</td><td style="padding-bottom: 1pt; text-align: left">&nbsp;</td><td style="padding-bottom: 1pt">&nbsp;</td>
    <td style="border-bottom: Black 1pt solid; text-align: left">&nbsp;</td><td style="border-bottom: Black 1pt solid; text-align: right">14,555,000</td><td style="padding-bottom: 1pt; text-align: left">&nbsp;</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,204)">
    <td style="text-align: left; padding-left: 8.65pt; text-indent: -8.65pt">Operating revenue</td><td>&nbsp;</td>
    <td style="text-align: left">&nbsp;</td><td style="text-align: right">10,720,000</td><td style="text-align: left">&nbsp;</td><td>&nbsp;</td>
    <td style="text-align: left">&nbsp;</td><td style="text-align: right">9,921,000</td><td style="text-align: left">&nbsp;</td></tr>
<tr style="vertical-align: bottom; background-color: White">
    <td style="text-align: left; padding-left: 8.65pt; text-indent: -8.65pt">Compensation expense</td><td>&nbsp;</td>
    <td style="text-align: left">&nbsp;</td><td style="text-align: right">8,665,000</td><td style="text-align: left">&nbsp;</td><td>&nbsp;</td>
    <td style="text-align: left">&nbsp;</td><td style="text-align: right">7,728,000</td><td style="text-align: left">&nbsp;</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,204)">
    <td style="text-align: left; text-indent: -8.65pt; padding-left: 8.65pt">General and administrative expenses</td><td style="padding-bottom: 1pt">&nbsp;</td>
    <td style="border-bottom: Black 1pt solid; text-align: left">&nbsp;</td><td style="border-bottom: Black 1pt solid; text-align: right">2,777,000</td><td style="padding-bottom: 1pt; text-align: left">&nbsp;</td><td style="padding-bottom: 1pt">&nbsp;</td>
    <td style="border-bottom: Black 1pt solid; text-align: left">&nbsp;</td><td style="border-bottom: Black 1pt solid; text-align: right">1,875,000</td><td style="padding-bottom: 1pt; text-align: left">&nbsp;</td></tr>
<tr style="vertical-align: bottom; background-color: White">
    <td style="text-align: left; padding-left: 8.65pt; text-indent: -8.65pt">Operating (loss) income</td><td>&nbsp;</td>
    <td style="text-align: left">&nbsp;</td><td style="text-align: right">(722,000</td><td style="text-align: left">)</td><td>&nbsp;</td>
    <td style="text-align: left">&nbsp;</td><td style="text-align: right">318,000</td><td style="text-align: left">&nbsp;</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,204)">
    <td style="text-align: left; text-indent: -8.65pt; padding-left: 8.65pt">Fair value adjustments to compound embedded derivative</td><td style="padding-bottom: 1pt">&nbsp;</td>
    <td style="border-bottom: Black 1pt solid; text-align: left">&nbsp;</td><td style="border-bottom: Black 1pt solid; text-align: right">(7,633,000</td><td style="padding-bottom: 1pt; text-align: left">)</td><td style="padding-bottom: 1pt">&nbsp;</td>
    <td style="border-bottom: Black 1pt solid; text-align: left">&nbsp;</td><td style="border-bottom: Black 1pt solid; text-align: right">314,000</td><td style="padding-bottom: 1pt; text-align: left">&nbsp;</td></tr>
<tr style="vertical-align: bottom; background-color: White">
    <td style="text-align: left; padding-left: 8.65pt; text-indent: -8.65pt">(Loss) income before (benefit) provision for income taxes</td><td>&nbsp;</td>
    <td style="text-align: left">&nbsp;</td><td style="text-align: right">(8,355,000</td><td style="text-align: left">)</td><td>&nbsp;</td>
    <td style="text-align: left">&nbsp;</td><td style="text-align: right">632,000</td><td style="text-align: left">&nbsp;</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,204)">
    <td style="text-align: left; text-indent: -8.65pt; padding-left: 8.65pt">(Benefit) provision for income taxes</td><td style="padding-bottom: 1pt">&nbsp;</td>
    <td style="border-bottom: Black 1pt solid; text-align: left">&nbsp;</td><td style="border-bottom: Black 1pt solid; text-align: right">(288,000</td><td style="padding-bottom: 1pt; text-align: left">)</td><td style="padding-bottom: 1pt">&nbsp;</td>
    <td style="border-bottom: Black 1pt solid; text-align: left">&nbsp;</td><td style="border-bottom: Black 1pt solid; text-align: right">126,000</td><td style="padding-bottom: 1pt; text-align: left">&nbsp;</td></tr>
<tr style="vertical-align: bottom; background-color: White">
    <td style="text-align: left; text-indent: -8.65pt; padding-left: 8.65pt">Net (loss) income</td><td style="padding-bottom: 2.5pt">&nbsp;</td>
    <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">(8,067,000</td><td style="padding-bottom: 2.5pt; text-align: left">)</td><td style="padding-bottom: 2.5pt">&nbsp;</td>
    <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">506,000</td><td style="padding-bottom: 2.5pt; text-align: left">&nbsp;</td></tr>
<tr style="vertical-align: bottom">
    <td style="padding-left: 8.65pt; text-indent: -8.65pt">&nbsp;</td><td>&nbsp;</td>
    <td style="text-align: left">&nbsp;</td><td style="text-align: right">&nbsp;</td><td style="text-align: left">&nbsp;</td><td>&nbsp;</td>
    <td style="text-align: left">&nbsp;</td><td style="text-align: right">&nbsp;</td><td style="text-align: left">&nbsp;</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,204)">
    <td style="font-weight: bold; padding-left: 8.65pt; text-indent: -8.65pt">Per Share Data:</td><td>&nbsp;</td>
    <td style="text-align: left">&nbsp;</td><td style="text-align: right">&nbsp;</td><td style="text-align: left">&nbsp;</td><td>&nbsp;</td>
    <td style="text-align: left">&nbsp;</td><td style="text-align: right">&nbsp;</td><td style="text-align: left">&nbsp;</td></tr>
<tr style="vertical-align: bottom; background-color: White">
    <td style="text-indent: -8.65pt; padding-left: 8.65pt">Basic (loss) earnings per share</td><td style="padding-bottom: 2.5pt">&nbsp;</td>
    <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">(0.96</td><td style="padding-bottom: 2.5pt; text-align: left">)</td><td style="padding-bottom: 2.5pt">&nbsp;</td>
    <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">0.06</td><td style="padding-bottom: 2.5pt; text-align: left">&nbsp;</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,204)">
    <td style="text-indent: -8.65pt; padding-left: 8.65pt">Diluted (loss) earnings per share</td><td style="padding-bottom: 2.5pt">&nbsp;</td>
    <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">(0.96</td><td style="padding-bottom: 2.5pt; text-align: left">)</td><td style="padding-bottom: 2.5pt">&nbsp;</td>
    <td style="border-bottom: Black 2.5pt double; text-align: left">$</td><td style="border-bottom: Black 2.5pt double; text-align: right">0.03</td><td style="padding-bottom: 2.5pt; text-align: left">&nbsp;</td></tr>
<tr style="vertical-align: bottom">
    <td style="padding-left: 8.65pt; text-indent: -8.65pt">&nbsp;</td><td>&nbsp;</td>
    <td style="text-align: left">&nbsp;</td><td style="text-align: right">&nbsp;</td><td style="text-align: left">&nbsp;</td><td>&nbsp;</td>
    <td style="text-align: left">&nbsp;</td><td style="text-align: right">&nbsp;</td><td style="text-align: left">&nbsp;</td></tr>
<tr style="vertical-align: bottom; background-color: White">
    <td style="font-weight: bold; padding-left: 8.65pt; text-indent: -8.65pt">Weighted Average Number of Shares Outstanding:</td><td>&nbsp;</td>
    <td style="text-align: left">&nbsp;</td><td style="text-align: right">&nbsp;</td><td style="text-align: left">&nbsp;</td><td>&nbsp;</td>
    <td style="text-align: left">&nbsp;</td><td style="text-align: right">&nbsp;</td><td style="text-align: left">&nbsp;</td></tr>
<tr style="vertical-align: bottom; background-color: rgb(204,238,204)">
    <td style="padding-left: 8.65pt; text-indent: -8.65pt">Basic</td><td>&nbsp;</td>
    <td style="text-align: left">&nbsp;</td><td style="text-align: right">8,377,862</td><td style="text-align: left">&nbsp;</td><td>&nbsp;</td>
    <td style="text-align: left">&nbsp;</td><td style="text-align: right">8,196,635</td><td style="text-align: left">&nbsp;</td></tr>
<tr style="vertical-align: bottom; background-color: White">
    <td style="padding-left: 8.65pt; text-indent: -8.65pt">Diluted</td><td>&nbsp;</td>
    <td style="text-align: left">&nbsp;</td><td style="text-align: right">8,377,862</td><td style="text-align: left">&nbsp;</td><td>&nbsp;</td>
    <td style="text-align: left">&nbsp;</td><td style="text-align: right">17,294,985</td><td style="text-align: left">&nbsp;</td></tr>
</tbody></table>
<table>
<tbody><tr>
<td> </td><td> </td>
<td>Three Months Ended June 30,</td><td> </td></tr>
<tr>
<td> </td><td> </td>
<td>2014</td><td> </td><td> </td>
<td>2013</td><td> </td></tr>
<tr>
<td>Operations Data:</td><td> </td>
<td> </td><td> </td><td> </td><td> </td>
<td> </td><td> </td><td> </td></tr>
<tr>
<td>Sales</td><td> </td>
<td>$</td><td>  35,842,000</td><td> </td><td> </td>
<td>$</td><td>  30,801,000</td><td> </td></tr>
<tr>
<td>Reimbursable program costs and expenses</td><td> </td>
<td> </td><td>6,971,000</td><td> </td><td> </td>
<td> </td><td>6,325,000</td><td> </td></tr>
<tr>
<td>Outside production and other program expenses</td><td> </td>
<td> </td><td>18,151,000</td><td> </td><td> </td>
<td> </td><td>14,555,000</td><td> </td></tr>
<tr>
<td>Operating revenue</td><td> </td>
<td> </td><td>10,720,000</td><td> </td><td> </td>
<td> </td><td>9,921,000</td><td> </td></tr>
<tr>
<td>Compensation expense</td><td> </td>
<td> </td><td>8,665,000</td><td> </td><td> </td>
<td> </td><td>7,728,000</td><td> </td></tr>
<tr>
<td>General and administrative expenses</td><td> </td>
<td> </td><td>2,777,000</td><td> </td><td> </td>
<td> </td><td>1,875,000</td><td> </td></tr>
<tr>
<td>Operating (loss) income</td><td> </td>
<td> </td><td>(722,000</td><td>)</td><td> </td>
<td> </td><td>318,000</td><td> </td></tr>
<tr>
<td>Fair value adjustments to compound embedded derivative</td><td> </td>
<td> </td><td>(7,633,000</td><td>)</td><td> </td>
<td> </td><td>314,000</td><td> </td></tr>
<tr>
<td>(Loss) income before (benefit) provision for income taxes</td><td> </td>
<td> </td><td>(8,355,000</td><td>)</td><td> </td>
<td> </td><td>632,000</td><td> </td></tr>
<tr>
<td>(Benefit) provision for income taxes</td><td> </td>
<td> </td><td>(288,000</td><td>)</td><td> </td>
<td> </td><td>126,000</td><td> </td></tr>
<tr>
<td>Net (loss) income</td><td> </td>
<td>$</td><td>(8,067,000</td><td>)</td><td> </td>
<td>$</td><td>506,000</td><td> </td></tr>
<tr>
<td> </td><td> </td>
<td> </td><td> </td><td> </td><td> </td>
<td> </td><td> </td><td> </td></tr>
<tr>
<td>Per Share Data:</td><td> </td>
<td> </td><td> </td><td> </td><td> </td>
<td> </td><td> </td><td> </td></tr>
<tr>
<td>Basic (loss) earnings per share</td><td> </td>
<td>$</td><td>(0.96</td><td>)</td><td> </td>
<td>$</td><td>0.06</td><td> </td></tr>
<tr>
<td>Diluted (loss) earnings per share</td><td> </td>
<td>$</td><td>(0.96</td><td>)</td><td> </td>
<td>$</td><td>0.03</td><td> </td></tr>
<tr>
<td> </td><td> </td>
<td> </td><td> </td><td> </td><td> </td>
<td> </td><td> </td><td> </td></tr>
<tr>
<td>Weighted Average Number of Shares Outstanding:</td><td> </td>
<td> </td><td> </td><td> </td><td> </td>
<td> </td><td> </td><td> </td></tr>
<tr>
<td>Basic</td><td> </td>
<td> </td><td>8,377,862</td><td> </td><td> </td>
<td> </td><td>8,196,635</td><td> </td></tr>
<tr>
<td>Diluted</td><td> </td>
<td> </td><td>8,377,862</td><td> </td><td> </td>
<td> </td><td>17,294,985</td><td> </td></tr>
</tbody></table>