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T.S.I.

Accounts Receivable Specialist

Prospective Client Quick Overview

Conventional 2 Phase Approach to Collections

The traditional collection process is expensive internally and externally.

Phase I: IN-HOUSE COLLECTION FOR 6 MONTHSPast Due30 Days

2nd Statement

Past Due60 Days

3rd Statement1st Letter

Past Due90 Days

4th Statement2nd Letter

1st Phone Call

Past Due120 Days

5th Statement3rd Letter

2nd Phone Call

Past Due150 Days

6th Statement4th Letter

3rd Phone Call

Phase II: PERCENTAGE AGENCY/ATTORNEYAverage Rate of Recovery = 10% to 20% ? Average Fees = 30% to 50% of your money.

True Cost of Collections = a loss of 90% or more of your company’s revenue!

$1.10 $1.10$1.10

$1.10$1.10$2.96

$1.10$1.10$2.96

$1.10$1.10$2.96

In-house cost$20 to $30

Dartnell Instituteof Business Research

3 Phase Approach to CollectionsThe Greenflag Profit Recovery service is simply a middle step (at a controlled cost) between your

internal efforts and traditional agency representation. It provides your company with 3 clear benefits:

Phase I: In House Phase II: Greenflag by Transworld Systems, Inc.

Phase III: Verbal Demands and/or Legal Action/(CMS)

TSI offers you the opportunity to use a diplomatic 3rd party to recover your profit while maintaining sensitive client relationships!

36% to 76% Recovery Rate

TSI 5th and Final Contact

4th TSI Contact

3rd TSI Contact

2nd TSI Contact

TSI Courtesy Notice

Day 100Day 90Day 80Day 70Day 60

80% to 95% Collected

$1.10$1.10$2.96

StatementLetter

Phone Call

Day 0 to 60

Optimize in-house procedures

1. Improved cash flow2. Reduced expenses3. Identify intent

Improved cash flowImproved cash flowReduced expensesReduced expensesIdentify intentIdentify intent

Transworld Systems Inc.• We’re in the business of profit recovery. We lead the industry in providing

businesses with better tools for recovering bad debt and accounts receivables. We’ve been proving it to our customers, including more than 200 Fortune 500 companies, since 1970. Let us prove it to you.

• Last year, we recovered $700 Million for an average of $10.00 per account.*

• Our success rate is more than triple thatof the industry average.**

• Providing local impact with over 120 officescoast to coast.

• *Company average.

**Based on ACA statistics.

What the Experts Say– “Transworld gets credit for the highest recovery rate in the industry.”

» Barron’s

– “The Company has a collection rate of well over 50%. The typical collection firm gets only 20% and keeps 25% to 50% of recovered funds.”

» Fortune Magazine

– “Its low fee structure encourages clients to assign accounts early, usually 45-90 days past due. Their recovery is more than 2 ½ times better than the competition.

» Investor’s Daily

– “In addition to the superior collection rate and speed of recovery, Transworld’s low fee provide the client with a 30%-70% savings.”

» FORBES Magazine

– “…Transworld has a long term proven record of being able to deliver twice the normal recovery rate at a fraction of the normal cost.”

Shearson Lehman

Some of Transworld’s 60,000 Clients

What Our ClientsHave in Common

• They extend credit and/or accept checks.• They mostly have an individual or an entire department devoted

to collecting past due accounts internally.• They all use GreenFlag Early Profit Recovery services to

minimize bad debt losses.

“As a national direct marketer we faced some very uniquechallenges in the area of collections. TSI not only helpedus meet these challenges, buthelp us exceed our goals in avery cost effective manner.”

Tom MiglinoVice PresidentAmerican Mint

What We Do For You• For an average of less than $10.00 per account, we provide the

impact of third party intervention.• Minimize internal efforts, improving overall department

performance.• Preserve your valued customer relationships.• Minimize the risk of accidental violations of state and federal

collection laws and/or harassment suits through the use of a hold harmless agreement.

• Allow 24/7 access to account information via OCP website as well as complete monthly reporting on all accounts.

“As important as collecting arrearages is, even more important isretaining customers. This is where your company has really shined. Our re-activation of collected accounts has leapt a full 14%! This difference has really set your company apart from those we’ve used in the past”

Margaret Lewis – DBS Coordinator – DirecTV

120 offices nationwide, including Canada now too! (Not shown)

Start Early – Recover MoreWe all know that the older an account gets, the harder it becomes to collect. But did you know that at 60–90 days past due accounts begin to depreciate at the acceleratedrate of ½% per day? At 180 days past due, consumer accounts have depreciated to the point where only 30% on average will ever be recovered.

Conventional Agency

0 30 60 90 120 150 180 210 240 270 300 330 3650%

10%20%30%40%50%60%70%80%90%

100%

10%

30%

74%

95%

A G E O F A C C O U N T S IN DAYS

Source: (U.S. Department of Commerce study on depreciation of accounts held in-house)

Critical Depreciation Period

1/2% per day

Transworld Systems

45 90

Average Agency Cost

33%(ACA Average)

According to the American Collectors Association, Inc., the average collection agency collects less than 14% of all debts assigned at an average cost of 33% per dollar collected.

Our clients experience a 56% recovery rate at a cost of approximately 7 cents per dollar collected.

National Statistics Prove It

TSI Cost:7¢ per dollar collected

(company average)

TSI Collected 56%

(company average)

Average Agency

Collection

14%(ACA Average)

( Our clients receive over 3 times the recovery at about 1/5th the cost)

Convenience Counts

– Interactive Web Site (recommended)Upload and manage your accounts 24/7 via our secure interactive web-based Onyx Customer Portal (OCP)

– Paper submission of accounts also available

– For a demo of our TSI web site and to see service videos:www.collections4leeeeeeeeeeeeeeeeess.comwww.collections4leeeeeeeeeeeeeeeeess.com

•GreenFlag offers you two ways to transmit and manage your accounts:

Contact us: (818) 710-0244

WWW.COLLECTIONS4LESS.COM

Getting Better Results• We recover more because we start earlier.

– We recover more than traditional agencies because:• We work ALL of the accounts the same way, regardless of the size

or the balance.• Most percentage-based agencies work only the accounts with

higher balances that are the most cost effective for them, leaving the smaller balances uncollected.

• Our fixed fee, diplomatic service allows you to have us get started early in the process with the increased impact of third party intervention.

“…studies by the American Collectors Association show that 80% of all the monies collected by agencies are collected as a result of letters.”

» American Collectors Association, Inc.

You have 3 choices over the content of our 1st contact…Diplomatic, Intensive, or NSF Check

5 Contacts in 40 days

Optional “Thank You”Letter sent

whenever your customer pays

What our clients say…• “I’d recommend Transworld Systems to any business large or small that’s fed up with slow paying or

delinquent customers and would like to get paid sooner without worrying about losing future business”

» SYSCO Food Services

• “Boy, was I surprised! Not only have you gotten our accounts paid faster than we used to by ourselves, but by you letting our clients know in a nice way that we need our money you’ve reduced the strain that had been building up in the relationships. Better still, once they understand our situation, they start paying on time regularly. » American Linen

• “We’ve been using your service for the last seven years and have recently renewed for the fourth time. We had tried several other collection agencies prior to TSI, but we have stayed with you because you have produced results far superior to any other agency we ever used. TSI’s nationwide coverage affords us the opportunity to pursue accounts across the country for an amount that is much less than it would cost us, making TSI very cost effective.”» AAA Motor Club

• “We have been using TSI at this location for three years now and the results have been nothing less than outstanding - 69%!! The demands for payment are diplomatic and yet very effective. It’s easy to see why Marriott Hotels chose to use Transworld Systems nationwide. You have our recommendation for any business looking to simplify collection procedures”

» Marriott Hotels

• “Many of our balances are small so we needed a service that would work for all of our balances not just the big ones. TSI has really come through. Collection success rate is great, cost is reasonable and best of all, my time is freed up to concentrate on my business and paying customers.”

» Jennie Craig Weight Loss Centers

Verbal Demands• When intensive recovery efforts are required• GreenFlag Verbal Demands employs a team of highly trained

recovery specialists operating from nationwide call centers.

– Verbal Demands Phase:• Turns up the heat on overdue accounts• You pay only for what is recovered• Offers legal recourse for tough cases• Handles the types of accounts other

agencies ignore as un-collectable.

Legal Options• Making the difference in the toughest cases:• GreenFlag Legal Options can make a difference where court action

is warranted, and there are assets that can be recovered.

– Legal Options Phase:• Cause suit to be filed• Pay all court costs• Pay attorney fees, service or process fees• Pay any other fees necessary to satisfy a judgement• An attorney will appear in court on your behalf.

– Most Importantly:• If no money or assets

are collected,there is no charge.

Revenue: $650.0 million FY 2006Associates: 9,000+

Outsourcing Solutions Inc (OSI) – Headquartered in St. Louis, Missouri

• More than 70 offices across 25 states, plus Canada, Mexico and Puerto Rico, as well as associates based at on-site client locations.

• Founded: 1995

Transworld Systems Inc. (a subsidiary of OSI) Headquartered in Rohnert Park, California

• More than 130 offices throughout United States and Puerto Rico

• Founded: 1970

First-party receivables management services and letter series are primarily performed by Transworld Systems Inc.

Company Facts

Woodland Hills office (818) 710-0244

A final word…See for yourself why 60,000 businesses choose TSI over extended in-house efforts and all other 3rd party alternatives combined

•We recover three times the industry average for about one sixth the cost.

•Flat-fee, no percentages – regardless of the balance. Average cost of only 7 cents per dollar collected.

•Diplomatic approach – we recover your profits without offending your valued customers.

•You stay in control – you decide how diplomatic to be and when to turn up the heat.

•Recovered profit is paid directly to you. No more waiting 30-60 days for an agency to pay you your money.

•Over 130 Offices Nationwide – provides unparalleled local impact.

•Performance is guaranteed – Use TSI at no financial risk whatsoever.

•Other services include bad check recovery, check guarantee and medical insurance claim resolution.

For reference letters of client results go see “testimonials” at

www.collections4less.com

Call us at (818) 710-0244 for more info

www.collections4less.com