Exhibit 99.1 (c) 1

ARCLIGHT SYSTEMS LLC

Unaudited Balance Sheets

September 30, 2003 and December 31, 2002

	September 30, 2003		December 31, 2002
Assets
Current assets:
Cash and cash equivalents	$	37,366,835	$	56,212,589
Accounts receivable, net of allowance for doubtful accounts of $87,000 and $0 in 2003 and 2002, respectively		23,000		—
Prepaid expenses		470,785		479,714
Other current assets		79,188		391,848
Total current assets		37,939,808		57,084,151
Property and equipment, net of accumulated depreciation of $2,590,999 and $1,958,303 in 2003 and 2002, respectively		2,315,887		2,852,060
Capitalized software, net of accumulated amortization of $600,859 and $229,237 in 2003 and 2002, respectively		874,719		1,273,342
Intangible assets, net of accumulated amortization of $7,066,980 and $4,241,466 in 2003 and 2002, respectively		23,481,871		26,307,385
Total assets of discontinued operations		182,430		1,106,828
Total assets	$	64,794,715	$	88,623,766
Liabilities and Members’ Equity
Current liabilities:
Accounts payable	$	704,335	$	327,525
Payable to Cardinal Health		8,526		360,820
Distribution payable		15,055,000		18,115,000
Accrued payroll, bonus and related		1,081,034		866,200
Accured software development fees		—		82,500
Customer deposits		1,100,000		1,162,500
Other accrued expenses		1,791,325		1,727,211
Total current liabilities		19,740,220		22,641,756
Total liabilities of discontinued operations		598,796		1,048,484
Total liabilities		20,339,016		23,690,240
Members’ equity:
Class A equity; 2,500,000 units authorized, issued and outstanding		3,137,932		3,137,932
Class B equity; 5,000,000 units authorized, 4,027,952 issued and outstanding in 2003 and 2002, respectively		27,078,835		27,078,835
Class C equity; 2,500,000 units authorized, 370,604 units issued and outstanding in 2003 and 2002, respectively		3,700,403		3,547,277
Retained earnings		10,538,529		31,169,482
Total members’ equity		44,455,699		64,933,526
Total liabilities and members’ equity	$	64,794,715	$	88,623,766

See accompanying notes to financial statements.