IPO Company Profile
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Integrated Electrical Services, Inc.
2301 Preston, Houston, TX 77003 * (713) 222-1875

The company was founded in June 1997 to create a leading national provider of electrical contracting and maintenance services to the commercial, industrial and residential markets.

Primary Underwriting Group
ManagerTierPhone
Merrill Lynch & Co.Lead Manager (212) 449-4600
Donaldson, Lufkin & Jenrette Securities Corp.Co-manager (212) 371-0641
Equitable Securities CorporationCo-manager (615) 780-9380
Sanders Morris Mundy Inc.Co-manager (713) 250-4281

Offering Information
NASNTL:IEE Construction: SIC 1731
Type of Shares:Common Shares Filing Date:10/24/97
U.S. Shares:7,000,000 Offer Date:1/26/98
Non-U.S. Shares:0 Filing Range:$13.00 - $15.00
Primary Shares:7,000,000 Offer Price:$13.00
Secondary Shares:0 Gross Spread:$0.91
Offering Amount: $98,000,000 Selling:$0.55
Expenses:$0 Reallowance:$0.10
Post-IPO Shares:23,365,337
Employees:3550

Legal Counsel, Auditor and Registrar
Issuer's Law Firm: Andrews & Kurth
Bank's Law Firm: Vinson & Elkins
Registrar/Transfer Agent: Harris Trust & Savings Bank
Auditor: Arthur Andersen

Selected Financial Data

Dollar amounts in U.S. millions except for per share data
9 Month Ending Financials
Full Year
Audited
Income
Latest
Unaudited
Income
Prior
Audited
Income
Balance
Sheet
9/30/96 6/30/97 6/30/97
Revenue:$272.24$226.21Assets:$199.25
Net Income:$13.98$10.90Curr Assets:
EPS:$0.64$0.50Liabilities:$123.57
Prior EPS:Curr Liab:
Cash Flow/Oper:Equity:$75.67
Cash Flow/Fin:Cash:
Cash Flow/Inv:Working Cap:-$36.12

Competition
The electrical contracting industry is highly competitive and is served by small, owner-operated private companies, public companies and several large regional companies. Additionally, the Company could face competition in the future from other competitors entering the market, including public utilities. Certain of the Company's larger competitors offer a greater range of services, such as mechanical construction, plumbing and heating, ventilation and air conditioning services. In certain geographic regions, the Company may not be eligible to compete for certain contracts because its employees are not subject to collective bargaining arrangements. See "Business -- Industry Overview -- Industry Developments." Competition in the electrical contracting industry depends on a number of factors, including price. Certain of the Company's competitors may have lower overhead cost structures and may, therefore, be able to provide their services at lower rates than the Company.

Business Plan
The Company believes that its size, geographical diversity of operations, industry relationships, expertise in specialized markets, number of licensed electricians and access to design technology give the Company significant competitive advantages in the electrical contracting and maintenance services industry. Through increased size, the Company believes it will have greater ability to compete for larger jobs that require greater technical expertise, personnel availability and bonding capacity, to more effectively allocate and share resources in serving customers in each of its markets and to attract, train and retain qualified electricians. The Company also believes that increased size will provide increased efficiency in materials purchasing, computer system development, employee benefits, bonding, insurance and financing.

Use of Proceeds
The proceeds from the proposed offering will be used to pay the cash portion of the Acquisitions Consideration, to repay certain indebtedness of the Founding Companies, to use for working capital and for general corporate purposes which are expected to include acquisitions.

Principal and Selling Shareholders
Name of Shareholder% Owned
Before
% Owned
After
C. Byron Snyder0.11
Jerry Mills0.10
Bob Weik0.06
Ben L. Mueller0.06
Note: Represents ownership of 5% or more prior to the offering.
Executive Officers and Directors
Officer NameTitleAge
C. Byron SnyderChairman of the Board of Directors49
Robert StalveyPresident of Ace Electric, Inc., and Director47
Bob WeikPresident of BW Consolidated, Inc., and Director62
Richard MuthPresident of Muth Electric, Inc., and Director50
Jon PollockPresident, Chief Executive Officer and Director51
Jim P. WiseSenior Vice President and Chief Operating Officer -- Commercial and Industrial and Director54
Ben L. MuellerSenior Vice President and Chief Operating Officer -- Residential and Director50
John S. StanfieldVice President -- Mergers and Acquisitions42
D. Merril CummingsVice President -- Mergers and Acquisitions36
J. Paul WithrowVice President and Chief Accounting Officer32

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