Kaulkin Ginsberg Index Down 2.4% in March 2005, Up 4.0% Year over Year

BETHESDA, MD - The Kaulkin Ginsberg Index (KGI), the leading indicator of economic conditions affecting the accounts receivable management (ARM) industry, declined 2.4% in March 2005 to 1194.1. The KGI has increased 4.0% since March 2004 and 19.4% since its inception in January 2000.

"The KGI reflects the economic conditions in which ARM companies operate," said Paul Legrady, Director of Kaulkin Ginsberg's Research Group. "Industry owners and managers may see some relationship over time between the movement of the KGI and their own perceptions of business conditions."

In March 2005, lower stock prices of public ARM companies caused the KGI to decline, continuing a trend that developed over the prior two months. The KGI is based on seven equally weighted macroeconomic factors, including the market capitalization of public ARM companies. Other inputs to the KGI include the unemployment rate, the Federal funds rate and the amount of outstanding consumer credit.

Changes in all seven of economic factors cause the KGI to rise and fall, allowing the industry's owners and managers to perceive their company's performance in a broader economic context. At its inception in January 2000, the KGI was given a value of 1000. The KGI declined moderately in 2001 and 2002 before increasing in 2003 and 2004. In 2005, the KGI has decreased a total of 6.4% from its peak of 1276.4 in December 2004.

The KGI is a product of Kaulkin Ginsberg's Research Group, which provides industry-specific publications and custom research services to the ARM industry. The Research Group recently published the 6th Edition of the Kaulkin Report, the authoritative reference on the ARM industry. Since 1989, Kaulkin Ginsberg has provided owners, buyers and executives of ARM and other service businesses with the advice, expertise and information needed to analyze, grow and sell their companies.

For more information about the Kaulkin Ginsberg Index, visit www.kaulkin.com/research/kgi.cfm or call Paul Legrady, Director of Kaulkin Ginsberg's Research Group, at 301-907-0840 ext. 104.

About Kaulkin Ginsberg Company
Since 1989, Kaulkin Ginsberg has provided solutions to accounts receivable management and other business services industries. Through the SAGE program (Strategic Analysis, Growth and Exit), they work with owners and executives in their efforts to grow or exit their business. Services include merger, acquisition and valuation advice, research, growth and operational consulting as well as training and executive search services.

Kaulkin Media publishes CollectionIndustry.com™ and Credit & Collection Daily™, and is the most popular source of industry information. Kaulkin Partners brings the latest technology to creditors and collectors. Read more about Kaulkin Ginsberg at www.kaulkin.com.