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Diligent Board Member Services Inc. Added to NZX 50 Index


News provided by

Diligent Board Member Services, Inc.

Jun 14, 2012, 08:01 ET

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Follows 176% Revenue Growth and 243% Share Price Increase over Prior 12 Months

NEW YORK, June 14, 2012 /CNW/ - Effective Monday, June 18, Diligent Board Member Services Inc. (DIL) will be added to the NZX 50 Index. The NZX 50 Index comprises the 50 largest and most liquid companies listed on the NZX (New Zealand Stock Exchange) Main Board. As Diligent is being added to the NZX 50 Index, it will also be added to the NZX Portfolio Index and the NZX MidCap Index.

Following the June 2012 Quarterly Index Review, NZX Indices announced changes to the NZX 50 Index including the addition of DIL to the Index. DIL achieved this distinction by meeting the Index's ranking and liquidity requirements. The changes will include an index rebalance to remove two current members of the NZX 50, reflecting the addition of DIL and another entity to the Index.

"Entry into New Zealand's top listed companies is an important milestone for Diligent. It follows over 12 months of exceptional growth and outstanding value to our clients and shareholders," commented Alex Sodi, President and CEO, Diligent. "Becoming part of the NZX 50 Index will increase investor community focus on our company and give investors greater access to our shares over time, both in New Zealand and major financial markets," he added.

"Technology companies are an emerging force in New Zealand's economy," said Rachael Newsome, Head of Direct Products, NZX Limited. "Diligent's entry into the NZX 50 at this stage is a positive sign for other growing companies that inclusion in the headline index is an achievable goal. It also shows a trend toward an increasingly diversified industry mix on our markets, which is good news for investors and for new cohort of companies seeking to raise capital efficiently and achieve liquidity via NZX."

About Diligent Board Member Services (NZX: DIL)

Over 1,800 boards and 33,000 individual directors, executives and administrators worldwide rely on Diligent Board Member Services, Inc. to speed and simplify how board materials are produced, communicated and viewed. As the world's most widely used board portal, Diligent Boardbooks® has pioneered ease of use, stringent security, and superior training and support since 2001. Today we are a public company with cumulative sales totaling almost $US 32.4 million. Our ranking in the 2011 Deloitte Technology Fast 500 places us among the fastest growing technology companies in America. Diligent has offices located in New York (headquarters), Toronto, London, Sydney, Christchurch, Singapore and Hong Kong.

For the quarter ended March 31, 2012, Diligent produced record-breaking results across a variety of performance metrics. Growth trajectory is demonstrated by the increase in revenues which, at US$8.20 million for the quarter ended March 31, 2012, are up 176% compared to the same quarter a year ago. Another noteworthy milestone is achieving quarterly gross profit and operating margins of 73.6% and 23.1%, respectively. Also of significance in the first quarter is that cash generated from Diligent's operating activities was US$3.66 million, a 487% increase over the first quarter of 2011. These significant milestones demonstrate the company's continued upward financial momentum. To download the full PDF version of Diligent's 10-Q filing, go to http://www.boardbooks.com/diligentbooks/us-filings.shtml

Diligent Boardbooks® is a registered trademark of Diligent Board Member Services, Inc. with all rights reserved. ©2012 Diligent Board Member Services, Inc.

This document contains forward-looking statements within the meaning of the safe harbor provisions of the Securities Litigation Reform Act of 1995. Terms such as "expect," "believe," "continue," and "grow," as well as similar comments, are forward-looking in nature. Although the Company believes its growth plans are based upon reasonable assumptions, it can give no assurances that such expectations can be attained. Factors that could cause actual results to differ materially from the Company's expectations include: general business and economic conditions, competitive factors, raw materials purchasing, and fluctuations in demand. Please refer to the Company's Securities and Exchange Commission filings for further information.

SOURCE Diligent Board Member Services, Inc.

Susanna Parry-Hoey, SVP and Chief Marketing Officer, +1-973-939-9424, [email protected]

http://www.boardbooks.com/

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Diligent Board Member Services, Inc.

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