Powerball Winner Could Benefit from INSCOR’s FIT Plan

Investment and Company Research
Opportunity Research
MICROCAP HOT TOPICS

May 31, 2013

Two weeks ago, the largest jackpot in Powerball history had but a single winner, with the winning ticket purchased at a Publix supermarket in Zephyrhills, Florida. According to published reports, no one has come forward to claim ownership of the winning ticket. Although the $590.5M jackpot could carry a $371M annuity value or be worth $278M on an after-tax basis, the winner would be wise to seek out INSCOR Inc. (OTCPK – IOGA- $0.60 – Spec Buy) to ensure a lifetime of income, typically tax-free.

While the Company’s primary focus is on funding retiree health benefits and OPEB (Other Post-Employment Benefits) on behalf of municipalities, its FIT (Financed Insurance Trust) plan for ultra-wealthy individuals uses a similar approach to estate planning and long-term, steady income/revenue stream generation. Surely, the new Powerball winner “fits” the typical client to a tee.

INSCOR specializes in providing significant funding solutions by utilizing high cash-value life insurance contracts combined with low-cost financing. The insurance and financing are modeled within the framework of a Financed Insurance Trust to provide individuals with substantial cash flows from life insurance proceeds and cash values at little or no out-of-pocket cost. The Company collaborates with insurance companies, financing institutions, actuaries and attorneys, to tailor the programs. FIT plans can be modeled to not only provide significant volumes of life insurance, but also create substantial cash values that can be accessed to provide a tax-free income stream as well as produce significant future funding and revenue stream opportunities.

The FIT plan for individuals is a tool designed for affluent individuals, entertainers, and professional athletes seeking estate planning vehicles or to fund cash flow needs. We note that with the help of Vice Chairman of the Board, Dominique Wilkins, a former NBA star and NBA Hall-of-Famer, the FIT plan for high-net worth individuals is significantly building brand awareness in the athlete market.

Just like the Powerball winner who is about to come into a fortune, the FIT plan for individuals should be a requirement for the nouveau riche as well as all athletes and entertainers. After all, many of these figures typically have a very short earning career and a boatload of expenses, and thus require a program that provides a lifetime of income.

While the benefits of FIT OPEB to municipalities have taken center stage, the FIT plan for wealthy and uber-wealthy individuals could be a meaningful profit center for INSCOR.

For more information, refer to our previous IOGA Reports, Updates and Hot Topics by visiting www.GoldmanResearch.com.

Senior Analyst: Robert Goldman
Rob Goldman has over 20 years of investment and company research experience as a senior research analyst and as a portfolio and mutual fund manager. During his tenure as a sell side analyst, Rob was a senior member of Piper Jaffray's Technology and Communications teams. Prior to joining Piper, Rob led Josephthal & Co.'s Washington-based Emerging Growth Research Group. In addition to his sell-side experience Rob served as Chief Investment Officer of a boutique investment management firm and Blue and White Investment Management, where he managed Small Cap Growth portfolios and The Blue and White Fund.

Analyst Certification
I, Robert Goldman, hereby certify that the view expressed in this research report accurately reflect my personal views about the subject securities and issuers. I also certify that no part of my compensation was, is, or will be, directly or indirectly, related to the recommendations or views expressed in this research report.

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