William Blair & Company Initiates Coverage of Website Pros, Inc. With Outperform Rating

  
    
  
  
    
      William Blair & Company initiated research coverage of Website Pros, 
      Inc. (Nasdaq:WSPI) ($9.90), the leading provider of do-it-for-me and 
      do-it-yourself Web services for small and midsize businesses, with an 
      Outperform rating and Aggressive Growth company profile.
    
    
      Analyst Troy Mastin estimated that the company would generate pro forma 
      EPS of $0.79 in fiscal 2008 and $0.99 in fiscal 2009.
    
    
      “Website Pros offers what we consider to be 
      one of the most comprehensive Web service offerings at an attractive 
      price point, averaging $40 per month,” Mastin 
      said. “The company’s 
      success can be attributed to its proprietary work flow model, unique Web 
      site building technology, scale, and reputation, enabling the company to 
      maintain and expand its broad collection of partners and successfully 
      market its proprietary brands directly to SMBs. Penetration remains very 
      low; although Website Pros has more than 263,000 subscribers, there are 
      an estimated 26.8 million small and midsize businesses in the United 
      States, representing a substantial opportunity.”
    
    
      He added: “In addition to a robust industry 
      outlook and expansive market opportunity, we believe Website Pros has 
      significant potential to drive revenue and profitability from its 
      existing customer base in three ways: deepening penetration of its 
      higher-price-point Internet marketing solutions among legacy Website 
      Pros customers, reducing churn, and cross-selling higher-end Website 
      Pros services to the recently acquired Web.com DIY customers. Additional 
      profit growth should also come from the Web.com acquisition in the form 
      of cost synergies of more than $12 million in 2008.”
    
    
      William Blair & Company, L.L.C. has received compensation for investment 
      banking services from the company within the past 12 months, or expects 
      to receive or intends to seek compensation for investment banking 
      services in the next 3 months.
    
    
      William Blair & Company, L.L.C. is a market maker in the security of 
      this company and may have a long or short position.
    
    
      William Blair & Company, L.L.C. (www.williamblair.com) 
      is a Chicago-based investment firm offering investment banking, asset 
      management, equity research, institutional and private brokerage, and 
      private capital to individual, institutional, and issuing clients.
    
    
      For important disclosures and information regarding the firm’s 
      rating system, valuation methods and potential conflicts of interest, 
      please visit: http://www.williamblair.com/Pages/news_story_dept.asp?uid=1346&depID=4
    
    
      Additional information is available upon request.