Micronomics, Inc.

Antitrust

We have been engaged to examine a broad range of antitrust matters, combining economic theory with sophisticated econometric analysis to solve complex problems. We have extensive experience presenting liability and damages positions before courts, regulatory agencies, arbitration panels, and in settlement negotiations. Our expertise includes:

• Merger analysis
• Market definition
• Market power
• Damages and lost profits
• Price simulations
• Competitive impact
• Monopolization
• Price fixing
• Tying or bundling
• Predation
• Collusion
• Dumping
• Standard setting

In addition to analytical expertise, our consultants have considerable experience calculating damages attributable to anticompetitive activities. We have developed models to determine damages caused by predatory pricing, price discrimination, price-fixing, and other antitrust claims.

For class action claims, Micronomics consultants have analyzed issues such as whether the alleged anticompetitive conduct had a common impact on class members and whether damages for class members could be calculated by formulaic methods.

Econometrics and Statistics

Sophisticated statistical analysis plays an integral part in many of our consulting engagements. Our expertise includes:

• Hypothesis testing
• Regression analysis
• Financial econometrics
• Forecast analysis
• Imputation of missing data
• Survey design and implementation
• Survey analysis
• Event studies

Economic Damages

We have developed damage theories and calculated economic damages in a wide range of cases. We also have been asked to analyze damage theories and estimates developed by other experts. Our work has included assessements of economic damages in connection with:

• Antitrust
• Intellectual property infringement
• Breach of contract
• Securities litigation
• Labor and employment litigation
• Fraud

Financial Markets Litigation

We offer clients a wide range of consulting services in securities, banking, and insurance litigation. We bring together cutting-edge analytical tools from modern finance theory and econometrics to solve complex problems. Our expertise includes:

• Event study analysis in securities fraud cases
• Assessments of the impact of financial disclosures
• Valuation of employee stock options in employment disputes
• Quantification of damages in fraud cases
• Analyses of economic and financial aspects of corporate restructuring plans and bankruptcy situations.

Intellectual Property

The valuation of intellectual property assets is one of our core competencies. Micronomics has been active in this area for more than two decades, with experience that includes investigations of high profile patent, trademark, and copyright infringement matters, as well as theft or misappropriation of trade secrets. Engagements in this area have included investigations relating to:

• Reasonable royalty analysis
• Calculation of lost profits
• Calculation of price erosion damages
• Competitive issues and market definition
• Commercial success
• Convoyed sales
• Royalty audits
• Standard setting

Our efforts have included numerous engagements involving leading semiconductors, software, medical products and pharmaceuticals. We have developed proprietary databases pertaining to the value of intellectual property assets and assembled an extensive library of industry trade press, analyst reports and scientific investigations. We are able to turn to and draw upon these materials as appropriate in our work.

Our staff also is practiced in the economic and financial valuation techniques required to properly assess the value of specific intellectual property assets. These capabilities, together with our experienced understanding of the governing legal and institutional framework, enable us to provide valuable consulting support to companies engaged in complex patent litigation or licensing negotiations even when intellectual property management is complicated by the need to cross license technology owned by others or predict the useful life of a technology.

Labor and Employment Litigation

We have extensive experience in complex employment and labor litigation and have been retained as experts in major wage and hour class action matters, wrongful termination disputes, and employment discrimination cases. Areas of expertise include:

• Class certification
• Analysis of damages claims
• Valuation of stock options
• Calculation of potential exposure
• Use of data from employer payroll records
• Design and implementation of sampling/survey techniques
• Statistical and econometric analysis
• Valuation of stock options
• Claims management

Micronomics has furnished comprehensive claims management services in connection with complex class action litigation. We have provided services for multi-state and Federal class actions with multiple sub-classes. Our claims management tools have been used to:

• Combine data from multiple sources
• Pre-print fields for out-going claim forms
• Facilitate entry of completed claim forms into a claims database
• Provide near real-time damage calculations and summaries
• Scrutinize completed claim forms for inconsistent responses
• Provide comprehensive reports and summaries to assist counsel with claims challenge decisions

Our professionals work closely with our clients and counsel to provide complete, customized and cost-effective solutions for claims management.

We have extensive experience preparing transfer media, establishing data audit controls and backup procedures, developing database tools and conducting sampling studies. This experience allows us to create and maintain databases upon which management can rely for use in employment and labor litigation.

Merger Analysis

We have extensive experience assessing the competitive impact of mergers and acquisitions, and have consulted on a wide range of issues related to both horizontal and vertical transactions. Our consultants have developed specialized models for predicting the magnitude of unilateral price effects. This analysis requires a thorough understanding of market structure, consumer behavior and barriers to entry. Substantial in-house programming capability and state-of-the-art database management skills have allowed us to handle even the most complex cases. Our experts have provided testimony and presented White Papers to all of the primary antitrust enforcement agencies.

Prior engagements have included:

• Defining relevant antitrust markets
• Examining the nature of competition
• Measuring market concentration
• Analyzing the potential for exercise of monopoly or monopsony power
• Estimating merger efficiencies

Alter Ego

We have provided economic analysis of alter ego matters in order to determine the appropriateness of "piercing the corporate veil." Our expertise includes:

• Analysis of indicia of alter ego as described in Associated Vendors, Inc. v. Oakland Meat Co., Inc., et al
• Analysis of corporate structure, including holding companies and subsidiary operations
• Examination of industry comparables