Cover-All Technologies to Present at the Noble Financial Sixth Annual Equity Conference — ONTRACK 2010

Cover-All TechnologiesFAIRFIELD, N.J., May 28, 2010 (BUSINESS WIRE) —

Cover-All Technologies Inc. (OTC Bulletin Board: COVR.OB), a Delaware corporation (“Cover-All” or the “Company”), today announced that John Roblin, Chairman of the Board of Directors and Chief Executive Officer of the Company, will present at the Noble Financial Sixth Annual Equity Conference at 8:30 a.m. ET on June 7, 2010. This by-invitation-only conference will be held June 7-8, 2010 at the Seminole Hard Rock Hotel, Hollywood, Fla. Registered conference attendees may request 1-on-1 meetings with Cover-All management who will be available during the day on June 7. Please contact your Noble Financial representative to schedule a meeting.

Cover-All recently reported its 13th consecutive profitable quarter and Mr. Roblin will discuss the Company’s strong financial performance. He will also discuss the Company’s recent acquisition of Moore Stephens Business Solutions LLC (MSBS), a provider of business intelligence and advanced analytics solutions to the insurance industry based in New York. This acquisition allows Cover-All to expand into the business intelligence marketplace, adding approximately $6 million in annualized revenue, and will fuel Cover-All’s organic growth, giving it new solutions to sell to a much larger installed base. The Company is also expanding its My Insurance Center(TM) offering with exciting new capabilities that will further accelerate organic growth.

The presentation will be webcast – audio / video / PowerPoint – live, and available for viewing at www.cover-all.com (click on the “Company” tab, then “Investor Relations”) or through the Noble Financial websites at www.ontrack10.com or www.nobleresearch.com. Cover-All recommends registering at least 10 minutes prior to the start of the presentation to ensure timely access. Participants will need the SilverLight viewer (a free download from the presentation link) to participate. In addition, the webcast, transcript and written materials will be archived on the Company’s website

for 90 days following the event.

About Noble Financial

Noble Financial Capital Markets was established in 1984 and is an equity

research driven, full-service investment banking boutique focused on small-cap, emerging growth companies. The company has offices in New York, Boston, New Jersey, St Louis and Boca Raton.

About Cover-All Technologies Inc.

Cover-All Technologies Inc., since 1981, has been a leader in developing sophisticated software solutions for the property and casualty insurance industry — first to deliver PC-based commercial insurance rating and policy issuance software. Currently, Cover-All is building on its reputation for quality insurance solutions, knowledgeable people and outstanding customer service by creating new and innovative insurance solutions that leverage the latest technologies and bring our customers outstanding capabilities and value.

With extensive insurance knowledge, experience and commitment to quality, Cover-All continues its tradition of developing technology solutions designed to revolutionize the way the property and casualty insurance business is conducted. Additional information is available online at www.cover-all.com.

Cover-All(R), My Insurance Center(TM) (MIC) and Insurance Policy Database(TM) (IPD) are trademarks or registered trademarks of Cover-All Technologies Inc. All other company and product names mentioned are trademarks or registered trademarks of their respective holders.

Forward-looking Statements

Statements in this press release, other than statements of historical information, are forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve known and unknown risks which may cause the Company’s actual results in future periods to differ materially from expected results. Those risks include, among others, risks associated with increased competition, customer decisions, the successful completion of continuing development of new products, the successful negotiations, execution and implementation of anticipated new software contracts, the successful addition of personnel in the marketing and technical areas, our ability to complete development and sell and license our products at prices which result in sufficient revenues to realize profits and other business factors beyond the Company’s control. Those and other risks are described in the Company’s filings with the Securities and Exchange Commission (“SEC”) over the last 12 months, including but not limited to the Company’s Annual Report on Form 10-K for the year ended December 31, 2009, filed with the SEC on March 19, 2010, copies of which are available from the SEC or may be obtained upon request from the Company.

SOURCE: Cover-All Technologies Inc.

Cover-All Technologies Inc. 

Ann Massey, 973-461-5190 

Chief Financial Officer 

amassey@cover-all.com 

or 

Hayden IR 

Brett Maas, 646-536-7331 

Principal 

brett@haydenir.com

Connect with Brett Maas

Cover-All Technologies Inc. Expands into the Business Intelligence Marketplace with the Acquisition of Moore Stephens Business Solutions

FAIRFIELD, N.J.–(BUSINESS WIRE)–Cover-All Technologies Inc. (OTC Bulletin Board: COVR.OBNews), a Delaware corporation (“Cover-All” or the “Company”), today announced the acquisition of Moore Stephens Business Solutions LLC (MSBS), a provider of business intelligence and advanced analytics solutions to the insurance industry based in New York, New York.

Acquisition Highlights:

  • Cover-All, through its wholly owned subsidiary, Cover-All Systems, Inc., has acquired substantially all of MSBS’s assets (excluding working capital) for an aggregate purchase price of $2,450,000, with no assumed indebtedness.
  • Approximately 96% of the purchase price consists of cash and a promissory note, and the remaining approximately 4% consists of Cover-All’s common stock.
  • The acquired business is expected to be immediately accretive to Cover-All’s 2010 earnings with an operating margin comparable with Cover-All’s historic operating margin.
  • On a trailing 12 months basis, MSBS generated over $6 million in revenue.
  • The combined organization will total more than 55 customers, all of which are part of the same target market.
  • Seth Rachlin, currently CEO of MSBS, will join Cover-All’s management as an executive vice president and serve as Managing Director of Cover-All’s new Business Intelligence unit. The unit, including the outstanding staff of MSBS, will continue to be based in their New York City office.

MSBS serves the insurance industry exclusively, providing Business Intelligence and advanced analytics solutions. Leveraging their Insurance Analytic Framework (IAF), which delivers accurate, available and actionable key metrics and dimensions specific to the insurance industry, MSBS has established a dominant presence in an otherwise underserved market. With the integration of these capabilities into the Cover-All portfolio, the combined company will be well positioned to deliver additional value to the existing customers of both companies, as well as benefit from an unrivaled and unique competitive advantage in its combined offerings.

While delivering three consecutive years of record revenues and profits, Cover-All has also been focused on building an innovative insurance information platform (My Insurance Center) utilizing leading-edge technologies and an information-centric architecture. These capabilities combined with exciting new offerings to My Insurance Center expected to be completed in late 2010, have positioned the Company for continued strong growth and profitability.

The acquisition of MSBS represents an additional pillar of the Company’s broader growth strategy as it looks to expand its customer base by offering additional leading-edge capabilities. Cover-All’s strategy includes continued focus on identifying immediately accretive opportunities that fit within its strategic vision.

“Thanks to our innovative strategy, customer focus, and talented results-oriented staff, I believe Cover-All has reached the point where we are ready for break-out growth, and this acquisition is evidence of that fact,” commented John Roblin, Chairman and CEO of Cover-All. “With our strong balance sheet and cash position, we are now able to shift our focus from stabilization to cultivation, and execute on the second part of our carefully planned growth strategy – a strategy which includes immediately accretive acquisitions which in turn, serve to fuel our organic growth and expanded offerings.”

“This acquisition presents an excellent opportunity for MSBS to move to the next level as we join the Cover-All family,” said Seth Rachlin, CEO of MSBS. “Building on our hard work over the past four years, we will now have additional resources to expand capabilities and our footprint.”

The acquisition creates a new opportunity for existing, as well as potential customers of both companies to leverage the power of an integrated solution that merges highly-focused Insurance Business Analytics with My Insurance Center, Cover-All’s revolutionary Policy Life-Cycle Management solution set. Additionally, the combined entity will look to leverage Cover-All’s proven business model of generating recurring revenue with a flexible cost structure, to drive further improvements to MSBS’s margins.

Cover-All continues to expand its reputation as a leader in developing innovative solutions for the insurance industry by focusing on the value of information. Following a philosophy of information-centric technology, Cover-All’s My Insurance Center has been built around the notion of leveraging the availability of data to drive business value. Similarly, MSBS has established an equally dominant position in their niche, focusing on a likeminded philosophy, developing the tools and know-how to assimilate data into powerful Business Intelligence. Further, both Cover-All and MSBS have established meaningful relationships within a similar market segment (but without any overlap) which will give rise to tremendous cross-selling opportunities.

Cover-All was advised by LMC Capital LLC, a boutique investment banking firm dedicated exclusively to the insurance industry.

Conference Call Information

Management will conduct a live teleconference to discuss this acquisition at 4:30 p.m. EDT on April 12, 2010. Anyone interested in participating should call 877-941-2069 if calling from the United States, or 480-629-9713 if dialing internationally. A replay will be available until April 19, 2010, which can be accessed by dialing 800-406-7325 within the United States and 1-303-590-3030 if dialing internationally. Please use passcode 4282019 to access the replay. In addition, the call will be webcast and will be available on the Company’s website at http://www.cover-all.com/.

About Moore Stephens Business Solutions

Moore Stephens Business Solutions (MSBS) is committed to being the leading provider of performance and data management solutions to the global insurance industry. MSBS seeks to bring together deep industry knowledge and proven frameworks with technology expertise in the deployment of non-proprietary, commercial software solutions. MSBS strives, above all, to be thought leaders on how Enterprise Data Management and Business Intelligence capabilities can deliver value to insurance carriers, reinsurers, MGAs and brokers. The interest in performance and data management solutions within the insurance industry is growing rapidly as companies try to keep pace with competition, prepare for a softening market, and better understand the level of market penetration and service being provided to its customers and by its partners. MSBS has delivered over 140 performance and data management solutions that have enabled clients to make data accurate, available, and actionable.

About Cover-All Technologies Inc.

Cover-All Technologies Inc., since 1981, has been a leader in developing sophisticated software solutions for the property and casualty insurance industry – first to deliver PC-based commercial insurance rating and policy issuance software. Currently, Cover-All is building on its reputation for quality insurance solutions, knowledgeable people and outstanding customer service by creating new and innovative insurance solutions that leverage the latest technologies and bring our customers outstanding capabilities and value.

With extensive insurance knowledge, experience and commitment to quality, Cover-All continues its tradition of developing technology solutions designed to revolutionize the way the property and casualty insurance business is conducted. Additional information is available online at www.cover-all.com

Cover-All®, My Insurance Center™ (MIC) and Insurance Policy Database™ (IPD) are trademarks or registered trademarks of Cover-All Technologies Inc. All other company and product names mentioned are trademarks or registered trademarks of their respective holders.

Forward-looking Statements

Statements in this press release, other than statements of historical information, are forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve known and unknown risks which may cause the Company’s actual results in future periods to differ materially from expected results. Those risks include, among others, risks associated with increased competition, customer decisions, the successful completion of continuing development of new products, the successful negotiations, execution and implementation of anticipated new software contracts, the successful addition of personnel in the marketing and technical areas, our ability to complete development and sell and license our products at prices which result in sufficient revenues to realize profits and other business factors beyond the Company’s control. Those and other risks are described in the Company’s filings with the Securities and Exchange Commission (“SEC”) over the last 12 months, including but not limited to the Company’s Annual Report on Form 10-K for the year ended December 31, 2008, filed with the SEC on March 30, 2009, copies of which are available from the SEC or may be obtained upon request from the Company.

Contact:

Cover-All Technologies Inc.
Ann Massey, 973-461-5190
Chief Financial Officer
amassey@cover-all.com
or
Investors:
Hayden IR
Brett Maas, 646-536-7331
Principal
brett@haydenir.com

Thanks for your eyes on this. And fee free to connect with me at the links below.

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Cover-All Technologies Reports 2009 Financial Results – Third Consecutive Record Year of Revenues and Operating Results

Company Reports Record Fourth Quarter, 2009; 12th Consecutive Profitable Quarter and Best Quarter in Company’s History

Full-Year Revenue increases to $14.5 Million

Full-Year Operating Income increases 15.5% over 2008

businesswire

Press Release Source: Cover-All Technologies Inc. On Tuesday February 16, 2010, 4:01 pm EST

FAIRFIELD, N.J.–(BUSINESS WIRE)–Cover-All Technologies Inc. (OTC Bulletin Board: COVR.OBNews), a Delaware corporation (“Cover-All” or the “Company”), today announced record financial results for the full year and fourth quarter ended December 31, 2009.

Operational Highlights:

  • Full-year 2009 revenue was $14.5 million compared to $13.5 million for the year 2008, an increase of 7.8%. Fourth quarter 2009 revenue increased 94.7%, to $6.2 million, compared to $3.2 million for the same period in 2008.
  • Continuing revenue (maintenance and ASP revenue from contracts) for the full year 2009 was $7.1 million, up 14.7% from $6.2 million in the same period in 2008. Continuing revenue for the fourth quarter of 2009 was $1.8 million, up 11.7% compared to $1.6 million in last year.
  • Net operating margin increased to 23% in 2009, up from 21% in 2008, as total expenses for 2009 increased only 5.7%, to $11.2 million, compared to $10.6 million for 2008.
  • Operating income was $3.3 million, up 15.5% compared to $2.8 million last year, as operating income grew approximately twice as fast as total revenue, demonstrating the leverage in the Company’s business model.
  • The Company’s balance sheet remains strong with stockholders’ equity at a record $11.5 million as of December 31, 2009. The Company completed the fourth quarter of 2009 with $4.3 million in cash, $7.2 million in working capital and no debt.
  • During the fourth quarter, Cover-All signed three significant customer agreements. Some of the products and services were delivered and revenue was recognized in the fourth quarter of 2009. Additional professional services, license and maintenance revenues will be recognized as additional products and services are delivered in 2010 and early 2011.

John Roblin, Chairman of the Board of Directors and Chief Executive Officer of the Company, commented, “In a challenging economy, Cover-All produced its third consecutive record year. I’m particularly pleased with our ability to grow our operating income at approximately twice the pace of our revenue growth. As announced on January 13, 2010, Cover-All’s fourth quarter was the strongest quarter in our Company’s history and this represents the culmination of another successful year. During the quarter we announced three new contracts, the most ever in one quarter, which validates our expanded sales and marketing efforts. We are also expanding our My Insurance Center offering with exciting new capabilities that make us even more competitive in the marketplace as we focus on trying to achieve yet another record year for 2010.”

Full Year Financial Results

Total revenues for the year ended December 31, 2009 were a record $14.5 million, compared to $13.5 million in 2008, an increase of 7.8%. License revenue in 2009 was $4.1 million, compared to $3.8 million in 2008. In aggregate, maintenance and ASP revenue, which together represent continuing revenue, was $7.1 million for 2009, up 14.7% from $6.2 million in 2008. Professional services revenue for 2009 was $3.3 million, down 5.6% compared to $3.5 million in 2008.

Total expenses (cost of revenue and operating expenses) for the full year 2009 were $11.2 million, up 5.7% from $10.6 million in 2008.

The Company recorded an income tax benefit of $1.6 million in 2009, offset by the recognition of $840,000 for the portion of its tax valuation allowance, for a net benefit of $787,500. The income tax benefit represented approximately $0.03 in earnings per share for both the 2009 fourth quarter and full-year period. The Company does not expect to have to make significant cash payments for Federal income taxes until all net operating loss carryforwards are utilized. As of December 31, 2009, the balance of Federal net operating loss carryforwards was $16 million.

Net income, including the $787,500 tax benefit, for the year ended December 31, 2009 was $3.9 million, or $0.16 per share (based on 25.1 million weighted average diluted shares). This compared to $4.6 million, or $0.19 per share (based on 24.2 million weighted average diluted shares), for 2008, which included a $1.7 million, or $0.07 per share, tax benefit.

Fourth Quarter Financial Results

Total revenues for the three months ended December 31, 2009 were a record $6.2 million, compared to $3.2 million for the same period in 2008, an increase of 94.7%. License revenue for the three months ended December 31, 2009 was $3.7 million, compared to $282,000 for the same period in 2008. In aggregate, maintenance and ASP revenue, which together represent continuing revenue, was $1.8 million for the fourth quarter of 2009, up 11.7% from $1.6 million in the same period in 2008. Professional services revenue for the fourth quarter of 2009 was $696,000, down 44.7% compared to $1.3 million for the same period in 2008.

Total expenses (cost of revenue and operating expenses) for the three months ended December 31, 2009 increased 23.0% to $3.5 million from $2.9 million. Inclusive of the $787,000 or $0.03 per share tax benefit, net income for the three months ended December 31, 2009 was a record $3.3 million, or $0.13 per share, compared to $2.0 million, or $0.08 per share, in the same quarter of 2008. Net income for the fourth quarter of 2008 included a tax benefit of $1.7 million, or $0.07 per share.

“We had a strong finish to 2009, due in no small part to the revolutionary capabilities of My Insurance Center and our reputation for delivering on our promises,” commented Mr. Roblin. “These contracts are multiyear agreements that are by their nature complex. We cannot predict precise timing of new revenues given both the complexity of the contract process and the strict rules regarding revenue recognition.”

Balance Sheet

Stockholders’ equity was $11.5 million as of December 31, 2009 compared to $7.8 million as of December 31, 2008. Total assets increased to $15.0 million as of December 31, 2009 compared to $11.0 million as of December 31, 2008. As of December 31, 2009, the Company had $4.3 million in cash, $7.2 million in working capital and no debt.

“We are proud to report our third consecutive record year and our 12th consecutive profitable quarter. The company is stronger than ever before and our opportunities to grow and expand have considerably increased. Moreover, we continue to grow our continuing, or recurring, revenue base setting the stage for increasing profitability. We have proven our business model and our ability to deliver consistent and record results. We expect 2010 to be a very exciting year as we expand our My Insurance Center offering with innovative new capabilities that will be attractive both to new as well as to our existing customers, making us even more competitive in the marketplace. We are also actively focused on additional strategic opportunities for growth.” concluded Mr. Roblin.

Conference Call Information

Management will conduct a live teleconference to discuss its fourth quarter 2009 financial results at 4:30 p.m. ET on Tuesday, February 16, 2010. Anyone interested in participating should call 1-877-941-8418 if calling from the United States, or 480-629-9809 if dialing internationally. A replay will be available until February 23, 2010, which can be accessed by dialing 1-800-406-7325 within the United States and 1-303-590-3030 if dialing internationally. Please use passcode 4226918 to access the replay. In addition, the call will be webcast and will be available on the Company’s website at http://www.cover-all.com/.

About Cover-All Technologies Inc.

Cover-All Technologies Inc., since 1981, has been a leader in developing sophisticated software solutions for the property and casualty insurance industry – first to deliver PC-based commercial insurance rating and policy issuance software. Currently, Cover-All is building on its reputation for quality insurance solutions, knowledgeable people and outstanding customer service by creating new and innovative insurance solutions that leverage the latest technologies and bring our customers outstanding capabilities and value.

With extensive insurance knowledge, experience and commitment to quality, Cover-All continues its tradition of developing technology solutions designed to revolutionize the way the property and casualty insurance business is conducted. Additional information is available online at www.cover-all.com.

Cover-All®, My Insurance Center™ (MIC) and Insurance Policy Database™ (IPD) are trademarks or registered trademarks of Cover-All Technologies Inc. All other company and product names mentioned are trademarks or registered trademarks of their respective holders.

Forward-looking Statements

Statements in this press release, other than statements of historical information, are forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve known and unknown risks which may cause the Company’s actual results in future periods to differ materially from expected results. Those risks include, among others, risks associated with increased competition, customer decisions, the successful completion of continuing development of new products, the successful negotiations, execution and implementation of anticipated new software contracts, the successful addition of personnel in the marketing and technical areas, our ability to complete development and sell and license our products at prices which result in sufficient revenues to realize profits and other business factors beyond the Company’s control. Those and other risks are described in the Company’s filings with the Securities and Exchange Commission (“SEC”) over the last 12 months, including but not limited to the Company’s Annual Report on Form 10-K for the year ended December 31, 2008, filed with the SEC on March 30, 2009, and the Company’s Quarterly Report on Form 10-Q for the fiscal quarter ended June 30, 2009, filed with the SEC on August 13, 2009, copies of which are available from the SEC or may be obtained upon request from the Company.

The following is a summary of operating highlights for the three and twelve months ended December 31, 2009 and 2008, respectively, and the consolidated balance sheet as of December 31, 2009 and 2008, respectively:

Cover-All Technologies Inc. and Subsidiaries
Operating Highlights
Three months ended
Twelve months ended
December 31,
December 31,
2009
2008
2009
2008
(unaudited) (unaudited)
Revenues:
Licenses $ 3,653,972 $ 281,697 $ 4,138,252 $ 3,802,293
Maintenance 1,246,955 1,114,766 4,987,218 4,150,909
Professional Services 696,065 1,257,641 3,281,973 3,476,877
Applications Service Provider
Services 573,645 515,822 2,107,949 2,037,180
Total Revenues 6,170,637 3,169,926 14,515,392 13,467,259
Costs and Expenses:
Cost of Sales 2,656,059 1,933,657 7,760,267 7,144,584
Research and Development 221,088 424,965 890,951 1,035,014
Sales and Marketing 217,533 306,465 906,074 883,428
General and Administrative 453,010 198,288 1,674,445 1,540,044
Provision for Doubtful Accounts 20,770 20,770
Other Expense (Income), Net (2,436 ) (7,632 ) (44,754 ) (40,405 )
Interest Expense (Income), Net (88 ) (16,840 ) (6,172 ) (19,868 )
Total Costs and Expenses 3,545,166 2,859,673 11,180,811 10,563,567
Income Before Income Taxes $ 2,625,471 $ 310,253 $ 3,334,581 $ 2,903,692
Income Tax Expense (641,811 ) (1,680,001 ) (582,325 ) (1,652,634 )
Net Income $ 3,267,282 $ 1,990,254 $ 3,916,906 $ 4,556,326
Basic Earnings
Per Common Share $ 0.13 $ 0.08 $ 0.16 $ 0.19
Diluted Earnings
Per Common Share $ 0.13 $ 0.08 $ 0.16 $ 0.19
Cover-All Technologies Inc. and Subsidiaries
Consolidated Balance Sheet
December 31,
December 31,
2009
2008
(unaudited)
Assets:
Current Assets:
Cash and Cash Equivalents $ 4,324,446 $ 4,686,470
Accounts Receivable (Net) 5,086,482 2,055,815
Prepaid Expenses 415,492 334,804
Deferred Tax Asset 806,750 840,000
Total Current Assets 10,633,170 7,917,089
Property and Equipment – At Cost:
Furniture, Fixtures and Equipment 624,266 623,547
Less: Accumulated Depreciation (371,329 ) (300,164 )
Property and Equipment – Net 252,937 323,383
Other Assets:
Deferred Tax Asset 1,660,750 840,000
Other Assets 110,150 110,151
Capitalized Software 2,341,960 1,848,111
Total Assets $ 14,998,967 $ 11,038,734
Liabilities and Stockholders’ Equity:
Current Liabilities:
Accounts Payable $ 208,814 $ 227,007
Accrued Expenses Payable 1,275,058 1,061,065
Taxes Payable 139,035 0
Deferred Charges 27,510 22,503
Unearned Revenue 1,750,303 1,800,485
Total Current Liabilities 3,400,720 3,111,060
Long-Term Liabilities:
Deferred Charges 96,333 123,844
Total Long-Term Liabilities 96,333 123,844
Stockholders’ Equity:
Common Stock 248,856 246,902
Paid-In Capital 29,703,254 29,185,646
Retained Earnings (18,285,302 ) (21,463,824 )
Treasury Stock (164,894 ) (164,894 )
Total Stockholders’ Equity 11,501,914 7,803,830
Total Liabilities and Stockholders’ Equity $ 14,998,967 $ 11,038,734

Contact:

Cover-All Technologies Inc.
Ann Massey, 973-461-5190
Chief Financial Officer
amassey@cover-all.com
or
Investor:
Hayden IR
Brett Maas, 646-536-7331
Principal
brett@haydenir.com