PFSweb, Inc. and Subsidiaries
Unaudited Condensed Consolidated Statements of Operations (A)
(In Thousands, Except Per Share Data)

		Three Months Ended								Nine Months Ended
		September 30,								September 30,
		2009				2008				2009				2008
REVENUES:
Product revenue, net		$	65,713			$	79,157			$	197,522			$	252,496
Service fee revenue			13,118				22,900				42,604				64,966
Pass-thru revenue			6,776				7,852				16,748				21,600
Total revenues			85,607				109,909				256,874				339,062
COSTS OF REVENUES:
Cost of product revenue			59,611				73,128				180,746				233,475
Cost of service fee revenue			9,674				15,588				30,406				44,537
Cost of pass-thru revenue			6,776				7,852				16,748				21,600
Total costs of revenues			76,061				96,568				227,900				299,612
Gross profit			9,546				13,341				28,974				39,450
SELLING, GENERAL AND ADMINISTRATIVE EXPENSES			9,972				12,454				31,283				36,397
AMORTIZATION OF IDENTIFIABLE INTANGIBLES			26				202				79				605
Total operating expenses			9,998				12,656				31,362				37,002
Income (loss) from operations			(452	)			685				(2,388	)			2,448
INTEREST EXPENSE, NET			288				426				967				1,123
Income (loss) before income taxes			(740	)			259				(3,355	)			1,325
INCOME TAX PROVISION (BENEFIT)			106				216				268				806
NET INCOME (LOSS)		$	(846	)		$	43			$	(3,623	)		$	519
NON-GAAP NET INCOME (LOSS)		$	(723	)		$	354			$	(3,235	)		$	1,562
NET INCOME (LOSS) PER SHARE:
Basic		$	(0.09	)		$	0.00			$	(0.36	)		$	0.05
Diluted		$	(0.09	)		$	0.00			$	(0.36	)		$	0.05
WEIGHTED AVERAGE NUMBER OF SHARES OUTSTANDING:
Basic			9,931				9,913				9,927				9,902
Diluted			9,931				9,972				9,927				9,991
EBITDA		$	1,088			$	2,361			$	2,803			$	7,267
ADJUSTED EBITDA		$	1,185			$	2,470			$	3,112			$	7,705