|                                                          |   |                                |
|---------------------------------------------------------------|--------|-------------------------------------|
| Delaware                                                      |   | 20-5997364                          |
| (State or other jurisdiction ofincorporation or organization) |   | (I.R.S. EmployerIdentification No.) |

|                            |   |                                      |
|---------------------------------|--------|-------------------------------------------|
| Title of each class             |   | Name of each exchange on which registered |
| Common Stock, $0.0001 par value |   | Nasdaq Global Market                      |

|                                                 |         |                                 |         |                                                                        |   |                                                   |
|------------------------------------------------------|--------------|--------------------------------------|--------------|-----------------------------------------------------------------------------|--------|--------------------------------------------------------|
| Large accelerated filer    ̈ |    | Accelerated filer   x |    | Non-accelerated filer    ̈                               |   | Smaller reporting company    ̈ |
|                                                 |    |                                 |    | (Do not check if a smaller reporting company) |   |                                                   |

----

|          |           |                                                                                                                |           |   |
|---------------|----------------|---------------------------------------------------------------------------------------------------------------------|----------------|--------|
| PART I   |      |                                                                                                                |      |   |
|          |           |                                                                                                                |
| Item 1.  |      | Business                                                                                                            |   1  |   |
| Item 1A. |      | Risk Factors                                                                                                        |   6  |   |
| Item 1B. |      | Unresolved Staff Comments                                                                                           |   12 |   |
| Item 2.  |      | Properties                                                                                                          |   13 |   |
| Item 3.  |      | Legal Proceedings                                                                                                   |   13 |   |
| Item 4.  |      | Reserved                                                                                                            |   13 |   |
|          |           |                                                                                                                |
| PART II  |      |                                                                                                                |      |   |
|          |           |                                                                                                                |
| Item 5.  |      | Market for Registrant’s Common Equity, Related Stockholder Matters, and Issuer Purchases of Equity Securities |   14 |   |
| Item 6.  |      | Selected Financial Data                                                                                             |   15 |   |
| Item 7.  |      | Management’s Discussion and Analysis of Financial Condition and Results of Operations                         |   17 |   |
| Item 7A. |      | Quantitative and Qualitative Disclosures about Market Risk                                                          |   25 |   |
| Item 8.  |      | Financial Statements and Supplementary Data                                                                         |   26 |   |
| Item 9.  |      | Changes in and Disagreements with Accountants on Accounting and Financial Disclosure                                |   52 |   |
| Item 9A. |      | Controls and Procedures                                                                                             |   52 |   |
| Item 9B. |      | Other Information                                                                                                   |   52 |   |
|          |           |                                                                                                                |
| PART III |      |                                                                                                                |      |   |
|          |           |                                                                                                                |
| Item 10. |      | Directors and Executive Officers of the Registrant                                                                  |   53 |   |
| Item 11. |      | Executive Compensation                                                                                              |   53 |   |
| Item 12. |      | Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters                      |   53 |   |
| Item 13. |      | Certain Relationships and Related Transactions, and Director Independence                                           |   53 |   |
| Item 14. |      | Principal Accountant Fees and Services                                                                              |   54 |   |
|          |           |                                                                                                                |
| PART IV  |      |                                                                                                                |      |   |
|          |           |                                                                                                                |
| Item 15. |      | Exhibits and Financial Statement Schedules                                                                          |   55 |   |
|          |           |
| Signatures    |   56 |                                                                                                                |

----

|  Item 1. | Business |
|--------------------|----------|

----

|   | • |   | direct mail and other direct marketing materials; |
|--------|---------|--------|---------------------------------------------------|

|   | • |   | basic business printing, including business forms, stationery and business cards; |
|--------|---------|--------|-----------------------------------------------------------------------------------|

|   | • |   | promotional printing, which includes brochures, direct mail and catalogs; |
|--------|---------|--------|---------------------------------------------------------------------------|

|   | • |   | publications, including magazines, books and directories; |
|--------|---------|--------|-----------------------------------------------------------|

|   | • |   | bill of material printing, which consists of customized packaging, labels and other shipping materials; |
|--------|---------|--------|---------------------------------------------------------------------------------------------------------|

|   | • |   | promotional products, such as t-shirts, calendars and advertisements; |
|--------|---------|--------|-----------------------------------------------------------------------|

|   | • |   | warehousing, pick and pack distribution and print on demand; and |
|--------|---------|--------|------------------------------------------------------------------|

|   | • |   | multimedia, including CDs and DVDs. |
|--------|---------|--------|-------------------------------------|

|   | • |   | greatly increase the number of suppliers that our clients can efficiently access; |
|--------|---------|--------|-----------------------------------------------------------------------------------|

|   | • |   | obtain favorable pricing and deliver high quality products and services for our clients; and |
|--------|---------|--------|----------------------------------------------------------------------------------------------|

|   | • |   | aggregate our purchasing power. |
|--------|---------|--------|---------------------------------|

----

|   | • |   | Customized order management.     PPM4TM automatically generates customized data entry screens based on product type and guides the procurement manager to enter the required job specifications. For example, if a procurement manager selects “envelope” in the product field, the screen will automatically prompt the procurement manager to specify the size, paper type, window size and placement and display style. |
|--------|---------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • |   | Cost management.     PPM4TM reconciles supplier invoices to executed print orders to ensure the supplier adhered to the pricing and other terms contained in the print order. In addition, it includes checks and balances that allow us to monitor important financial indicators relating to a print order, such as projected gross margin and significant job alterations. |
|--------|---------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • |   | Standardized reporting.     Our solution generates transaction reports that contain quote, supplier capability, price and customer service information regarding the print jobs the client has completed with us. These reports can be customized, sorted and searched based on a specified time period or the type of printed product, price or supplier. In addition, the reports give our clients insight into their print spend for each individual print job and on an enterprise-wide basis, which allows the client to track the amounts it spends on printed paper, print, productions and logistics. |
|--------|---------|--------|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • |   | Task-tracking.     Our solution creates a work order checklist that sends e-mail reminders to our procurement managers regarding the time elapsed between certain milestones and the completion of specified deliverables. These automated notifications enable our procurement managers to focus on more critical aspects of the print process and eliminate delays. |
|--------|---------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • |   | Open architecture.     PPM4TM allows us to integrate clients and suppliers into our solution. Some of our larger clients have limited, secure access to our database, which they can use to directly access their transaction data. |
|--------|---------|--------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • |   | Historical price baseline.     Some of our larger clients have provided us with pricing data for print jobs they completed before they began to use our solution. For these clients, PPM4TM automatically compares our current price for a print job to the price obtained by the client for a comparable historical job, which enables us to demonstrate on an ongoing basis the cost savings we provide. |
|--------|---------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

|                                                                                                |         |                                                                                        |         |                                                                                                |         |                                                                                        |
|-----------------------------------------------------------------------------------------------------|--------------|---------------------------------------------------------------------------------------------|--------------|-----------------------------------------------------------------------------------------------------|--------------|---------------------------------------------------------------------------------------------|
| direct mail piecesbooksbrochurescataloguespoint-of-purchasedisplaysmagazinespackagingstore fixtures |    | CDs/DVDspromotional products annual reportsenvelopeslabelscalendarsfoldersgift cardssignage |    | postersnewslettersbillboardsplaying cardsbindersapparelgamesstationerybusiness and automobile wraps |    | postcardsstickersbagsmagnetswarehousingpick and pack distribution print on demand |

----

----

|  Item 1A. | Risk Factors |
|---------------------|--------------|

----

----

|   | • |   | recruit, motivate and retain qualified account executives, procurement managers and management personnel; |
|--------|---------|--------|-----------------------------------------------------------------------------------------------------------|

|   | • |   | preserve our culture, values and entrepreneurial environment; |
|--------|---------|--------|---------------------------------------------------------------|

|   | • |   | develop and improve our internal administrative infrastructure and execution standards; and |
|--------|---------|--------|---------------------------------------------------------------------------------------------|

|   | • |   | maintain high levels of client satisfaction. |
|--------|---------|--------|----------------------------------------------|

----

----

----

|   | • |   | fluctuations in our quarterly financial results or the quarterly financial results of companies perceived to be similar to us; |
|--------|---------|--------|--------------------------------------------------------------------------------------------------------------------------------|

|   | • |   | changes in market valuations of similar companies; |
|--------|---------|--------|----------------------------------------------------|

|   | • |   | success of competitive products or services; |
|--------|---------|--------|----------------------------------------------|

|   | • |   | changes in our capital structure, such as future issuances of debt or equity securities; |
|--------|---------|--------|------------------------------------------------------------------------------------------|

|   | • |   | announcements by us, our competitors, our clients or our suppliers of significant products or services, contracts, acquisitions or strategic alliances; |
|--------|---------|--------|---------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • |   | regulatory developments in the United States or foreign countries; |
|--------|---------|--------|--------------------------------------------------------------------|

|   | • |   | litigation involving our company, our general industry or both; |
|--------|---------|--------|-----------------------------------------------------------------|

|   | • |   | additions or departures of key personnel; |
|--------|---------|--------|-------------------------------------------|

|   | • |   | investors’ general perception of us; and |
|--------|---------|--------|------------------------------------------------|

|   | • |   | changes in general economic, industry and market conditions. |
|--------|---------|--------|--------------------------------------------------------------|

----

|   | • |   | the demand for our print procurement solution; |
|--------|---------|--------|------------------------------------------------|

|   | • |   | the use of outsourced enterprise solutions; |
|--------|---------|--------|---------------------------------------------|

|   | • |   | clients’ business decisions regarding the quantities of printed products they purchase; |
|--------|---------|--------|-----------------------------------------------------------------------------------------------|

|   | • |   | the number, timing and profitability of our print jobs, unanticipated contract terminations and print job postponements; |
|--------|---------|--------|--------------------------------------------------------------------------------------------------------------------------|

|   | • |   | new product introductions and enhancements by our competitors; |
|--------|---------|--------|----------------------------------------------------------------|

|   | • |   | changes in our pricing policies; |
|--------|---------|--------|----------------------------------|

|   | • |   | our ability to manage costs, including personnel costs; and |
|--------|---------|--------|-------------------------------------------------------------|

|   | • |   | costs related to possible acquisitions of other businesses. |
|--------|---------|--------|-------------------------------------------------------------|

| Item 1B. | Unresolved Staff Comments |
|---------------|---------------------------|

----

| Item 2. | Properties |
|--------------|------------|

|                       |         |                                 |
|----------------------------|--------------|--------------------------------------|
| Location                   |    | Use                                  |
| Chicago, Illinois          |    | Corporate Headquarters               |
| Aurora, Illinois           |    | Business Development and Warehousing |
| Des Plaines, Illinois      |    | Business Development                 |
| New York, New York         |    | Business Development and Warehousing |
| East Brunswick, New Jersey |    | Business Development and Warehousing |
| Roseville, California      |    | Business Development                 |
| Monterey, California       |    | Business Development and Warehousing |
| Grover Beach, California   |    | Business Development                 |
| Anaheim, California        |    | Business Development and Warehousing |
| Santa Clara, California    |    | Business Development                 |
| San Rafael, California     |    | Business Development and Warehousing |
| Honolulu, Hawaii           |    | Business Development                 |
| Grand Rapids, Michigan     |    | Business Development                 |
| Medina, Minnesota          |    | Business Development and Warehousing |
| Cincinnati, Ohio           |    | Business Development and Warehousing |
| Plano, Texas               |    | Business Development and Warehousing |
| Charlotte, North Carolina  |         | Business Development                 |
| Blue Bell, Pennsylvania    |    | Business Development and Warehousing |
| Atlanta, Georgia           |    | Business Development                 |
| Thomaston, Georgia         |         | Business Development                 |
| Greenville, Wisconsin      |    | Business Development and Warehousing |
| Kansas City, Missouri      |    | Business Development                 |
| Birmingham, United Kingdom |    | Business Development                 |

|  Item 3. | Legal Proceedings |
|--------------------|-------------------|

|  Item 4. | Reserved |
|--------------------|----------|

----

|  Item 5. | Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities |
|--------------------|--------------------------------------------------------------------------------------------------------------------|

|           |         |   |         |         |   |   |
|----------------|--------------|--------|--------------|--------------|--------|--------|
|           |    | High   |    | Low          |
| 2009           |    |   |         |    |   |   |
| First Quarter  |    | $      | 6.94         |    | $      | 1.83   |
| Second Quarter |    | $      | 7.00         |    | $      | 3.90   |
| Third Quarter  |    | $      | 6.25         |    | $      | 4.05   |
| Fourth Quarter |    | $      | 6.58         |    | $      | 4.58   |
|           |         |   |
| 2010           |    |   |         |    |   |   |
| First Quarter  |    | $      | 7.45         |    | $      | 4.95   |
| Second Quarter |    | $      | 7.73         |    | $      | 5.07   |
| Third Quarter  |    | $      | 7.58         |    | $      | 5.31   |
| Fourth Quarter |    | $      | 7.15         |    | $      | 6.88   |

----

|  Item 6. | Selected Financial Data |
|--------------------|-------------------------|

|                                         |         |                                     |    |          |   |   |                |         |   |   |                |         |   |   |                |          |   |   |                |         |
|----------------------------------------------|--------------|------------------------------------------|---------|---------------|--------|--------|---------------------|--------------|--------|--------|---------------------|--------------|--------|--------|---------------------|---------------|--------|--------|---------------------|--------------|
|                                         |    | Years ended December 31,            |    |
|                                         |    | 2006                                     |    |          | 2007   |   |                | 2008         |   |   | 2009                |         |   | 2010   |                |
|                                         |    | (in thousands, except per share amounts) |    |
| Consolidated statements of operations data:  |    |                                     |    |          |   |   |                |         |   |   |                |         |   |   |                |          |   |   |                |         |
| Revenue                                      |    | $                                        | 160,515 |     |   | $      | 288,431             |    |   | $      | 419,017             |    |   | $      | 400,447             |     |   | $      | 482,212             |    |
| Cost of goods sold                           |    |                                     | 123,970 |     |   |   | 215,043             |    |   |   | 314,996             |    |   |   | 301,672             |     |   |   | 366,200             |    |
|                                         |    |                                     |    |          |   |   |                |         |   |   |                |         |   |   |                |          |   |   |                |         |
| Gross profit                                 |    |                                     | 36,545  |     |   |   | 73,388              |    |   |   | 104,021             |    |   |   | 98,775              |     |   |   | 116,012             |    |
| Selling, general and administrative expenses |    |                                     | 22,675  |     |   |   | 47,982              |    |   |   | 79,655              |    |   |   | 81,288              |     |   |   | 91,796              |    |
| Depreciation and amortization                |    |                                     | 1,030   |     |   |   | 2,216               |    |   |   | 4,761               |    |   |   | 8,031               |     |   |   | 9,009               |    |
|                                         |    |                                     |    |          |   |   |                |         |   |   |                |         |   |   |                |          |   |   |                |         |
| Income from operations                       |    |                                     | 12,840  |     |   |   | 23,190              |    |   |   | 19,605              |    |   |   | 9,456               |     |   |   | 15,207              |    |
| Total other income (expense)                 |    |                                     | 775     |     |   |   | 2,671               |    |   |   | 6,445               |    |   |   | (439                | )   |   |   | 1,752               |         |
|                                         |    |                                     |    |          |   |   |                |         |   |   |                |         |   |   |                |          |   |   |                |         |
| Income before income taxes                   |    |                                     | 13,615  |     |   |   | 25,861              |    |   |   | 26,050              |    |   |   | 9,017               |     |   |   | 16,959              |    |
| Income tax expense                           |    |                                     | (5,335  | )   |   |   | (3,357              | )       |   |   | (10,097             | )       |   |   | (2,708              | )        |   |   | (5,749              | )       |
|                                         |    |                                     |    |          |   |   |                |         |   |   |                |         |   |   |                |          |   |   |                |         |
| Net income                                   |    |                                     | 8,280   |     |   |   | 22,504              |    |   |   | 15,953              |    |   |   | 6,309               |     |   |   | 11,210              |    |
| Dividends on preferred shares                |    |                                     | (1,409  | )        |   |   | —   |    |   |   | —   |    |   |   | —   |     |   |   | —   |    |
|                                         |    |                                     |    |          |   |   |                |         |   |   |                |         |   |   |                |          |   |   |                |         |
| Net income applicable to common stockholders |    | $                                        | 6,871   |     |   | $      | 22,504              |    |   | $      | 15,953              |    |   | $      | 6,309               |     |   | $      | 11,210              |    |
|                                         |    |                                     |    |          |   |   |                |         |   |   |                |         |   |   |                |          |   |   |                |         |
| Net income per share of common stock:        |    |                                     |    |          |   |   |                |         |   |   |                |         |   |   |                |          |   |   |                |         |
| Basic                                        |    | $                                        | 0.22    |     |   | $      | 0.47                |    |   | $      | 0.34                |    |   | $      | 0.14                |     |   | $      | 0.25                |    |
| Diluted                                      |    | $                                        | 0.21    |     |   | $      | 0.45                |    |   | $      | 0.32                |    |   | $      | 0.13                |     |   | $      | 0.24                |    |
| Shares used in per share calculations:       |    |                                     |    |          |   |   |                |         |   |   |                |         |   |   |                |          |   |   |                |         |
| Basic                                        |    |                                     | 31,712  |     |   |   | 47,459              |    |   |   | 47,137              |    |   |   | 45,535              |     |   |   | 45,704              |    |
| Diluted                                      |    |                                     | 39,372  |     |   |   | 49,964              |    |   |   | 49,141              |    |   |   | 47,157              |     |   |   | 47,582              |    |

|                                     |         |   |   |         |   |   |   |         |   |   |   |         |   |   |   |         |   |   |   |         |
|------------------------------------------|--------------|--------|--------|--------------|--------|--------|--------|--------------|--------|--------|--------|--------------|--------|--------|--------|--------------|--------|--------|--------|--------------|
| Other data:                              |    |   |   |         |   |   |   |         |   |   |   |         |   |   |   |         |   |   |   |         |
| Employees and independent contractors(1) |    |   | 312    |    |   |   | 567    |    |   |   | 761    |    |   |   | 667    |    |   |   | 743    |    |
| Adjusted EBITDA(2)                       |         | $      | 14,432 |         |   | $      | 26,467 |         |   | $      | 26,559 |         |   | $      | 19,969 |         |   | $      | 27,364 |         |
|                                     |    |   |   |         |   |   |   |         |   |   |   |         |   |   |   |         |   |   |   |         |

| (1) | Reflects the number of employees and independent contractors as of the last day of the applicable period.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                            |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (2) | Adjusted EBITDA, which represents income from operations with the addition of depreciation and amortization and stock compensation expense, is considered a non-GAAP financial measure under SEC regulations. Net income is the most directly comparable financial measure calculated in accordance with GAAP.  We present this measure as supplemental information to help investors better understand trends in our business results over time. Our management team uses adjusted EBITDA to evaluate the performance of our business. Adjusted EBITDA is not equivalent to any measure of performance required to be reported under GAAP, nor should this data be considered an indicator of our overall financial performance and liquidity. Moreover, the adjusted EBITDA definition we use may not be comparable to similarly titled measures reported by other companies. |

|   |                               |         |                                     |   |          |   |   |   |         |   |   |   |         |   |   |   |         |   |   |   |         |
|--------|------------------------------------|--------------|------------------------------------------|--------|---------------|--------|--------|--------|--------------|--------|--------|--------|--------------|--------|--------|--------|--------------|--------|--------|--------|--------------|
|   |                               |    | Years ended December 31,            |   |
|   |                               |    | 2006                                     |   |          | 2007   |   |   | 2008         |   |   | 2009   |         |   | 2010   |   |
|   |                               |    | (in thousands, except per share amounts) |   |
|   | Reconciliation of adjusted EBITDA: |    |                                     |   |          |   |   |   |         |   |   |   |         |   |   |   |         |   |   |   |         |
|   | Net income                         |    | $                                        | 8,280  |     |   | $      | 22,504 |    |   | $      | 15,953 |    |   | $      | 6,309  |    |   | $      | 11,210 |    |
|   | Depreciation and amortization      |    |                                     | 1,030  |          |   |   | 2,216  |         |   |   | 4,761  |         |   |   | 8,031  |         |   |   | 9,009  |         |
|   | Stock compensation expense         |    |                                     | 562    |          |   |   | 1,061  |         |   |   | 2,193  |         |   |   | 2,482  |         |   |   | 3,148  |         |
|   | Total other income (expense)       |    |                                     | (775   | )   |   |   | (2,671 | )       |   |   | (6,445 | )       |   |   | 439    |         |   |   | (1,752 | )       |
|   | Income tax expense                 |    |                                     | 5,335  |          |   |   | 3,357  |         |   |   | 10,097 |         |   |   | 2,708  |         |   |   | 5,749  |         |
|   |                               |         |                                     |   |          |   |   |   |         |   |   |   |         |   |   |   |         |   |   |   |         |
|   | Adjusted EBITDA                    |         | $                                        | 14,432 |          |   | $      | 26,467 |         |   | $      | 26,559 |         |   | $      | 19,969 |         |   | $      | 27,364 |         |
|   |                               |    |                                     |   |          |   |   |   |         |   |   |   |         |   |   |   |         |   |   |   |         |

----

|                                |         |                    |                |         |         |                |         |   |         |         |   |    |         |   |    |
|-------------------------------------|--------------|-------------------------|---------------------|--------------|--------------|---------------------|--------------|--------|--------------|--------------|--------|---------|--------------|--------|---------|
|                                |    | As of December 31, |
|                                |    | 2006                    |           | 2007         |    | 2008                |    | 2009   |    | 2010         |
|                                |    | (in thousands)          |
| Consolidated balance sheet data:    |    |                    |                |    |         |                |    |   |         |    |   |    |    |   |    |
| Cash and cash equivalents(3)        |    | $                       | 20,613              |    | $            | 26,716              |    | $      | 4,012        |    | $      | 2,904   |    | $      | 5,259   |
| Working capital(3)(4)               |    |                    | 30,313              |    |         | 50,694              |    |   | 54,172       |    |   | 56,157  |    |   | 64,982  |
| Total assets(3)                     |    |                    | 113,510             |    |         | 206,833             |    |   | 253,822      |    |   | 267,158 |    |   | 279,925 |
| Revolving credit facility(5)        |    |                    | —   |    |         | —   |    |   | 42,590       |    |   | 46,385  |    |   | 47,400  |
| Capital leases                      |    |                    | 296                 |    |         | 215                 |    |   | 268          |    |   | 137     |    |   | 28      |
| Total stockholders’ equity(3) |    |                    | 81,455              |    |         | 147,445             |    |   | 133,738      |    |   | 147,050 |    |   | 160,184 |

| (3) | In connection with our initial public offering in August 2006, we raised approximately $47.8 million, net of underwriting discounts, preference payments, dividend payments, professional fees, and repayment of outstanding indebtedness under our line of credit. In connection with our follow-on offering in January 2007, we raised approximately $37.8 million, net of underwriting discounts, commissions and offering related expenses. |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (4) | Working capital represents accounts receivable, unbilled revenue, inventories and prepaid expenses, offset by accounts payable and accrued expenses.                                                                                                                                                                                                                                                                                                      |
| (5) | In 2008, we entered into a credit agreement with JPMorgan Chase Bank, N.A. to fund acquisitions and for general working capital purposes.  This credit agreement was replaced by a new credit agreement entered into on August 2, 2010 with Bank of America, N.A.                                                                                                                                                                                    |

----

|  Item 7. | Management’s Discussion and Analysis of Financial Condition and Results of Operations |
|--------------------|---------------------------------------------------------------------------------------------|

----

----

|   | • |   | Level 1: Inputs are quoted prices in active markets for identical assets or liabilities.                                                                                                                                                                                                                                                                    |
|--------|---------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
|   | • |   | Level 2: Inputs are quoted prices for similar assets or liabilities in an active market, quoted prices for identical or similar assets or liabilities in markets that are not active, and inputs other than quoted prices that are observable and market-corroborated inputs, which are derived principally from or corroborated by observable market data. |
|   | • |   | Level 3: Inputs that are derived from valuation techniques in which one or more significant inputs or value drivers are unobservable.                                                                                                                                                                                                                       |

----

|                                         |         |                                    |         |   |   |         |   |   |         |
|----------------------------------------------|--------------|-----------------------------------------|--------------|--------|--------|--------------|--------|--------|--------------|
|                                         |    | Years ended December 31, |         |
|                                         |    | 2008                                    |         |   | 2009   |         |   | 2010   |         |
| Consolidated statements of income data:      |    |                                    |         |   |   |         |   |   |         |
| Revenue                                      |    | 100.0                                   | %       |   | 100.0  | %       |   | 100.0  | %       |
| Cost of goods sold                           |    | 75.2                                    |    |   | 75.3   |    |   | 75.9   |    |
|                                         |    |                                    |         |   |   |         |   |   |         |
| Gross profit                                 |    | 24.8                                    |    |   | 24.7   |    |   | 24.1   |    |
| Selling, general and administrative expenses |    | 19.0                                    |    |   | 20.3   |    |   | 19.0   |    |
| Depreciation and amortization                |    | 1.1                                     |    |   | 2.0    |    |   | 1.9    |    |
|                                         |    |                                    |         |   |   |         |   |   |         |
| Income from operations                       |    | 4.7                                     |    |   | 2.4    |    |   | 3.2    |    |
| Other income (expense)                       |    | 1.5                                     |    |   | (0.1   | )       |   | 0.3    |         |
|                                         |    |                                    |         |   |   |         |   |   |         |
| Income before income taxes                   |    | 6.2                                     |    |   | 2.3    |    |   | 3.5    |    |
| Income tax expense                           |    | (2.4                                    | )       |   | (0.7   | )       |   | (1.2   | )       |
|                                         |    |                                    |         |   |   |         |   |   |         |
| Net income                                   |    | 3.8                                     | %       |   | 1.6    | %       |   | 2.3    | %       |

----

----

----

|                  |   |                                     |   |         |   |          |   |            |    |         |   |            |   |             |    |            |   |    |         |   |    |         |   |    |
|-----------------------|--------|------------------------------------------|--------|--------------|--------|---------------|--------|-----------------|---------|--------------|--------|-----------------|--------|------------------|---------|-----------------|--------|---------|--------------|--------|---------|--------------|--------|---------|
|                  |   | Three months ended                       |
|                  |   | Mar. 31,2009(1)                          |   | Jun. 30,2009 |   | Sept. 30,2009 |   | Dec. 31,2009(2) |    | Mar. 31,2010 |   | Jun. 30,2010(3) |   | Sept. 30,2010(4) |    | Dec. 31,2010(5) |
|                  |   | (unaudited)                              |
|                  |   | (in thousands, except per share amounts) |
| Revenue               |   | $                                        | 87,192 |         | $      | 105,346       |   | $               | 122,016 |         | $      | 104,462         |   | $                | 112,213 |       | $      | 120,471 |    | $      | 119,131 |    | $      | 130,397 |
| Gross profit          |   |                                     | 21,568 |         |   | 25,778        |   |            | 29,475  |         |   | 27,200          |   |             | 26,933  |       |   | 29,040  |    |   | 28,509  |    |   | 31,530  |
| Net income            |   |                                     | 3,858  |         |   | 6,105         |   |            | 5,679   |         |   | 311             |   |             | 2,168   |       |   | 3,142   |    |   | 2,365   |    |   | 3,535   |
| Net income per share: |   |                                     |   |         |   |          |   |            |    |         |   |            |   |             |    |       |   |    |    |   |    |    |   |    |
| Basic                 |   | $                                        | 0.08   |         | $      | 0.13          |   | $               | 0.12    |         | $      | 0.01            |   | $                | 0.05    |       | $      | 0.07    |    | $      | 0.05    |    | $      | 0.08    |
| Diluted               |   | $                                        | 0.08   |         | $      | 0.12          |   | $               | 0.12    |         | $      | 0.01            |   | $                | 0.05    |       | $      | 0.07    |    | $      | 0.05    |    | $      | 0.07    |

| (1) | The Company made acquisitions during the first quarter of 2009 which are not material individually or in the aggregate. Financial results of these acquisitions are included in the Consolidated Financial Statements beginning March of 2009.    |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (2) | The Company made an acquisition during the fourth quarter of 2009 which was not material to the Company’s operations. Financial results from this acquisition are included in the Consolidated Financial Statements beginning December of 2009.  |
| (3) | The Company made an acquisition during the second quarter of 2010 which was not material individually or in the aggregate. Financial results from this acquisition are included in the Consolidated Financial Statements beginning April of 2010. |
| (4) | The Company made acquisitions during the third quarter of 2010 which were not material to the Company’s operations. Financial results for these acquisitions are included in the Consolidated Financial Statements beginning August of 2010.     |
| (5) | The Company made acquisitions during the fourth quarter of 2010 which were not material to the Company’s operations. Financial results for these acquisitions are included in the Consolidated Financial Statements beginning October of 2010.   |

----

|                        |         |                   |         |                      |         |                |         |     |                |                       |   |                |         |   |                |
|-----------------------------|--------------|------------------------|--------------|---------------------------|--------------|---------------------|--------------|----------|---------------------|----------------------------|--------|---------------------|--------------|--------|---------------------|
|                        |    | Payments due by period |
|                        |    | Total                  |    | Less than1 year |    | 1-3 years           |    | 3-5years |           | More than5 years |
|                        |    | (in thousands)         |
| Accounts payable            |    | $                      | 55,605       |                 | $            | 55,605              |    | $        | —   |                  | $      | —   |    | $      | —   |
| Capital lease obligations   |    |                   | 30           |                 |         | 21                  |    |     | 9                   |                  |   | —   |    |   | —   |
| Operating lease obligations |    |                   | 30,627       |                 |         | 4,806               |    |     | 8,630               |                  |   | 6,949               |    |   | 10,242              |
| Revolving credit facility   |    |                   | 47,400       |                 |         | —   |    |     | 47,400              |                  |   | —   |    |   | —   |
| Due to seller               |    |                   | 560          |                 |         | 560                 |    |     | —   |                  |   | —   |    |   | —   |
|                        |    |                   |         |                 |         |                |    |     |                |                  |   |                |    |   |                |
| Total                       |    | $                      | 134,222      |                 | $            | 60,992              |    | $        | 56,039              |                  | $      | 6,949               |    | $      | 10,242              |
|                        |    |                   |         |                 |         |                |    |     |                |                  |   |                |    |   |                |

----

|  Item 7A. | Quantitative and Qualitative Disclosures About Market Risk |
|---------------------|------------------------------------------------------------|

----

|  Item 8. | Financial Statements and Supplementary Data |
|--------------------|---------------------------------------------|

|                                                                                                 |           |   |
|------------------------------------------------------------------------------------------------------|----------------|--------|
| INNERWORKINGS, INC.:                                                                                 |      |   |
|                                                                                                 |           |
| Management’s Assessment of Internal Control over Financial Reporting                           |   27 |   |
| Report of Independent Registered Public Accounting Firm                                              |   28 |   |
| Report of Independent Registered Public Accounting Firm on Internal Control over Financial Reporting |   29 |   |
| Consolidated Balance Sheets                                                                          |   30 |   |
| Consolidated Statements of Income                                                                    |   31 |   |
| Consolidated Statements of Stockholders’ Equity                                                |   32 |   |
| Consolidated Statements of Cash Flows                                                                |   33      |   |
| Notes To Consolidated Financial Statements                                                           |   34 |   |

----

|   | i. | pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of the Company; |
|--------|----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | ii. | provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and that receipts and expenditures of the Company are being made only in accordance with authorizations of management and directors of the Company; and |
|--------|-----|---------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | iii. | provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of the Company’s assets that could have a material effect on the financial statements. |
|--------|------|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

----

----

----

|                                                                                                          |   |         |        |   |         |   |
|---------------------------------------------------------------------------------------------------------------|--------|--------------|-------------|--------|--------------|--------|
|                                                                                                          |   | December 31, |        |   | December 31, |   |
|                                                                                                          |   | 2009         |        |   | 2010         |   |
| Assets                                                                                                        |   |         |        |   |         |   |
| Current assets:                                                                                               |   |         |        |   |         |   |
| Cash and cash equivalents                                                                                     |   | $            | 2,903,906   |   |         | $      | 5,259,272 |   |
| Short-term investments                                                                                        |   |         | 23,541,199  |   |         |   | 4,284,614 |   |
| Accounts receivable, net of allowance for doubtful accounts of $4,634,848 and $3,610,977, respectively        |   |         | 72,565,814  |   |         |   | 85,654,403 |   |
| Unbilled revenue                                                                                              |   |         | 20,189,900  |   |         |   | 24,626,558 |   |
| Inventories                                                                                                   |   |         | 8,749,266   |   |         |   | 9,674,961 |   |
| Prepaid expenses                                                                                              |   |         | 11,399,560  |   |         |   | 9,836,486 |   |
| Advances to related parties                                                                                   |   |         | 36,458      |   |         |   | 93,191 |   |
| Deferred income taxes                                                                                         |   |         | -           |   |         |   | 307,396 |   |
| Other current assets                                                                                          |   |         | 7,355,447   |   |         |   | 6,739,093 |   |
| Total current assets                                                                                          |   |         | 146,741,550 |   |         |   | 146,475,974 |   |
| Property and equipment, net                                                                                   |   |         | 10,833,712  |   |         |   | 9,887,004 |   |
| Intangibles and other assets:                                                                                 |   |         |        |   |         |   |   |   |
| Goodwill                                                                                                      |   |         | 77,905,703  |   |         |   | 93,476,206 |   |
| Intangible assets, net of accumulated amortization of $6,802,217 and $9,789,144, respectively                 |   |         | 24,364,784  |   |         |   | 23,058,774 |   |
| Deposits                                                                                                      |   |         | 445,575     |   |         |   | 435,154 |   |
| Deferred income taxes                                                                                         |   |         | 6,540,933   |   |         |   | 5,899,620 |   |
| Other assets                                                                                                  |   |         | 325,799     |   |         |   | 692,048 |   |
|                                                                                                          |   |         | 109,582,794 |   |         |   | 123,561,802 |   |
| Total assets                                                                                                  |   | $            | 267,158,056 |   |         | $      | 279,924,780 |   |
| Liabilities and stockholders' equity                                                                          |   |         |        |   |         |   |   |   |
| Current liabilities:                                                                                          |   |         |        |   |         |   |   |   |
| Accounts payable-trade                                                                                        |   | $            | 53,915,750  |   |         | $      | 55,604,566 |   |
| Advances from related parties                                                                                 |   |         | 56,940      |   |         |   | 166,259 |   |
| Current maturities of capital lease obligations                                                               |   |         | 117,582     |   |         |   | 21,069 |   |
| Due to seller                                                                                                 |   |         | 1,725,000   |   |         |   | 560,000 |   |
| Customer deposits                                                                                             |   |         | 3,145,329   |   |         |   | 414,050 |   |
| Other liabilities                                                                                             |   |         | 6,025,494   |   |         |   | 2,966,671 |   |
| Deferred income taxes                                                                                         |   |         | 1,014,372   |   |         |   | - |   |
| Income tax payable                                                                             |   |         | -           |   |         |   | 3,586,841 |   |
| Accrued expenses                                                                                              |   |         | 4,633,203   |   |         |   | 5,618,739 |   |
| Total current liabilities                                                                                     |   |         | 70,633,670  |   |         |   | 68,938,195 |   |
| Revolving credit facility                                                                                     |   |         | 46,384,586  |   |         |   | 47,400,000 |   |
| Capital lease obligations, less current maturities                                                            |   |         | 19,506      |   |         |   | 7,140 |   |
| Other long-term liabilities                                                                                   |   |         | 3,070,278   |   |         |   | 3,395,346 |   |
| Total liabilities                                                                                             |   |         | 120,108,040 |   |         |   | 119,740,681 |   |
| Stockholders' equity:                                                                                         |   |         |        |   |         |   |   |   |
| Common stock, par value $0.0001 per share, 45,628,685 and 46,092,291 shares were issued and outstanding as of |   |
|      December 31, 2009 and December 31, 2010, respectively                           |   |         | 456         |   |         |   | 461 |   |
| Additional paid-in capital                                                                                    |   |         | 170,330,891 |   |         |   | 174,537,524 |   |
| Treasury stock at cost                                                                                        |   |         | (74,307,200 | )      |         |   | (74,307,200 | ) |
| Accumulated other comprehensive income                                                                        |   |         | 5,217,425   |   |         |   | 2,934,381 |   |
| Retained earnings                                                                                             |   |         | 45,808,444  |   |         |   | 57,018,933 |   |
| Total stockholders' equity                                                                                    |   |         | 147,050,016 |   |         |   | 160,184,099 |   |
| Total liabilities and stockholders' equity                                                                    |   | $            | 267,158,056 |   |         | $      | 279,924,780 |   |

|   |   |   |   |   |   |   |   |   |
|--------|--------|--------|--------|--------|--------|--------|--------|--------|

----

|                                          |   | Years ended December 31, |        |
|-----------------------------------------------|--------|--------------------------|-------------|
|                                          |   | 2008                     |        |   | 2009 |   |   | 2010 |   |
| Revenue                                       |   | $                        | 419,016,715 |   |   | $ | 400,447,044 |   |   | $ | 482,212,101 |   |
| Cost of goods sold                            |   |                     | 314,995,872 |   |   |   | 301,671,851 |   |   |   | 366,199,728 |   |
| Gross profit                                  |   |                     | 104,020,843 |   |   |   | 98,775,193 |   |   |   | 116,012,373 |   |
| Operating expenses:                           |   |                     |        |   |   |   |   |   |   |   |   |   |
| Selling, general, and administrative expenses |   |                     | 79,654,824  |   |   |   | 81,287,702 |   |   |   | 91,796,566 |   |
| Depreciation and amortization                 |   |                     | 4,760,819   |   |   |   | 8,030,772 |   |   |   | 9,008,514 |   |
| Income from operations                        |   |                     | 19,605,200  |   |   |   | 9,456,719 |   |   |   | 15,207,293 |   |
| Other income (expense):                       |   |                     |        |   |   |   |   |   |   |   |   |   |
| Gain on sale of investment                    |   |                     | 6,098,159   |   |   |   | 746,259 |   |   |   | 3,578,431 |   |
| Interest income                               |   |                     | 853,902     |   |   |   | 411,688 |   |   |   | 150,506 |   |
| Interest expense                              |   |                     | (683,423    | ) |   |   | (1,281,654 | ) |   |   | (1,668,404 | ) |
| Other, net                                    |   |                     | 175,925     |   |   |   | (315,497 | ) |   |   | (308,531 | ) |
| Total other income (expense)                  |   |                     | 6,444,563   |   |   |   | (439,204 | ) |   |   | 1,752,002 |   |
| Income before taxes                           |   |                     | 26,049,763  |   |   |   | 9,017,515 |   |   |   | 16,959,295 |   |
| Income tax expense                            |   |                     | 10,096,668  |   |   |   | 2,708,057 |   |   |   | 5,748,806 |   |
| Net income                                    |   | $                        | 15,953,095  |   |   | $ | 6,309,458 |   |   | $ | 11,210,489 |   |
|                                          |   |                     |        |   |   |   |   |   |   |   |   |   |
| Basic earnings per share                      |   | $                        | 0.34        |   |   | $ | 0.14 |   |   | $ | 0.25 |   |
| Diluted earnings per share                    |   | $                        | 0.32        |   |   | $ | 0.13 |   |   | $ | 0.24 |   |

----

|                                                                           |   |         |       |   |           |   |   |   |   |   |       |   |   |            |        |   |     Accumulated |   |        |       |   |
|--------------------------------------------------------------------------------|--------|--------------|------------|--------|----------------|--------|--------|--------|--------|--------|------------|--------|--------|-----------------|-------------|--------|--------------------------------|--------|-------------|------------|--------|
|                                                                           |   | Common Stock |       |   | Treasury Stock |   |   |   |   |   | Other      |   |   |            |        |   |                           |   |
|                                                                           |   |         |       |   |           |   |   |   |   |   |       |   |   | Additional      |        |   | Comprehensive                  |   |        | Retained   |   |   |   |   |
|                                                                           |   | Shares       |       |   | Amount         |   |   | Shares |   |   | Amount     |   |   | Paid-in-Capital |        |   | Income (Loss)                  |   |        | Earnings   |   |   | Total |   |
|                                                                           |   |         |       |   |           |   |   |   |   |   |       |   |   |            |        |   |                           |   |        |       |   |   |   |   |
|                                                                           |   |         |       |   |           |   |   |   |   |   |       |   |   |            |        |   |                           |   |        |       |   |   |   |   |
| Balance at January 1, 2008                                                     |   |         | 47,982,760 |   |           | $      | 480    |   |   |   | 8,134,184  |   |   | $               | (40,000,000 | )      |                           | $      | 163,854,365 |       |   | $ | 44,343 |   |   |   | 23,545,891 |   |   |   | 147,445,079 |   |
|                                                                           |   |         |       |   |           |   |   |   |   |   |       |   |   |            |        |   |                           |   |        |       |   |   |   |   |   |   |   |   |   |   |   |   |
| Net income                                                                     |   |         | -          |   |           |   | -      |   |   |   | -          |   |   |            | -           |   |                           |   | -           |       |   |   | - |   |   |   | 15,953,095 |   |   |   | 15,953,095 |   |
| Other comprehensive income:                                                    |   |         |       |   |           |   |   |   |   |   |       |   |   |            |        |   |                           |   |        |       |   |   |   |   |   |   |   |   |   |   |   |   |
|    Unrealized loss on marketable securities                     |   |         | -          |   |           |   | -      |   |   |   | -          |   |   |            | -           |   |                           |   | -           |       |   |   | (69,926 | ) |   |   | - |   |   |   | (69,926 | ) |
|     Foreign currency translation adjustment                |   |         | -          |   |           |   | -      |   |   |   | -          |   |   |            | -           |   |                           |   | -           |       |   |   | 841,628 |   |   |   | - |   |   |   | 841,628 |   |
| Total other comprehensive income                                               |   |         |       |   |           |   |   |   |   |   |       |   |   |            |        |   |                           |   |        | 771,702    |   |   |   |   |   |   |   | 771,702 |   |
| Total comprehensive income                                                     |   |         |       |   |           |   |   |   |   |   |       |   |   |            |        |   |                           |   |        |       |   |   |   |   |   |   |   |   |   |   | 16,724,797 |   |
| Issuance of common stock upon exercise of stock options                        |   |         | 404,817    |   |           |   | 4      |   |   |   |       |   |   |            |        |   |                           |   | 228,920     |       |   |   | - |   |   |   | - |   |   |   | 228,924 |   |
| Purchase of treasury shares                                                    |   |         | (3,043,129 | )      |           |   | (31    | )      |   |   | 3,043,129  |   |   |            | (34,307,200 | )      |                           |   | -           |       |   |   | - |   |   |   | - |   |   |   | (34,307,231 | ) |
| Tax benefit derived from stock option exercises                                |   |         | -          |   |           |   | -      |   |   |   | -          |   |   |            | -           |   |                           |   | 1,453,634   |       |   |   | - |   |   |   | - |   |   |   | 1,453,634 |   |
| Stock based compensation expense                                               |   |         | -          |   |           |   | -      |   |   |   | -          |   |   |            | -           |   |                           |   | 2,192,826   |       |   |   | - |   |   |   | - |   |   |   | 2,192,826 |   |
|                                                                           |   |         |       |   |           |   |   |   |   |   |       |   |   |            |        |   |                           |   |        |       |   |   |   |   |   |   |   |   |   |   |   |   |
| Balance at December 31, 2008                                                   |   |         | 45,344,448 |   |           | $      | 453    |   |   |   | 11,177,313 |   |   | $               | (74,307,200 | )      |                           | $      | 167,729,745 |       |   | $ | 816,045 |   |   | $ | 39,498,986 |   |   | $ | 133,738,029 |   |
|                                                                           |   |         |       |   |           |   |   |   |   |   |       |   |   |            |        |   |                           |   |        |       |   |   |   |   |   |   |   |   |   |   |   |   |
| Net income                                                                     |   |         | -          |   |           |   | -      |   |   |   | -          |   |   |            | -           |   |                           |   | -           |       |   |   | - |   |   |   | 6,309,458 |   |   |   | 6,309,458 |   |
| Other comprehensive income:                                                    |   |         |       |   |           |   |   |   |   |   |       |   |   |            |        |   |                           |   |        |       |   |   |   |   |   |   |   |   |   |   |   |   |
|    Foreign currency translation adjustment                      |   |         | -          |   |           |   | -      |   |   |   | -          |   |   |            | -           |   |                           |   | -           |       |   |   | (593,663 | ) |   |   | - |   |   |   | (593,663 | ) |
|    Unrealized gain on available-for-sale securities, net of tax |   |         | -          |   |           |   | -      |   |   |   | -          |   |   |            | -           |   |                           |   | -           |       |   |   | 4,995,043 |   |   |   | - |   |   |   | 4,995,043 |   |
| Total other comprehensive income                                               |   |         |       |   |           |   |   |   |   |   |       |   |   |            |        |   |                           |   |        | 4,401,380  |   |   |   |   |   |   |   | 4,401,380 |   |
| Total comprehensive income                                                     |   |         |       |   |           |   |   |   |   |   |       |   |   |            |        |   |                           |   |        |       |   |   |   |   |   |   |   | 10,710,838 |   |
| Issuance of common stock upon exercise of stock options                        |   |         | 284,237    |   |           |   | 3      |   |   |   | -          |   |   |            | -           |   |                           |   | 98,907      |       |   |   | - |   |   |   | - |   |   |   | 98,910 |   |
| Tax benefit derived from stock option exercises                                |   |         | -          |   |           |   | -      |   |   |   | -          |   |   |            | -           |   |                           |   | 21,080      |       |   |   | - |   |   |   | - |   |   |   | 21,080 |   |
| Stock based compensation expense                                               |   |         | -          |   |           |   | -      |   |   |   | -          |   |   |            | -           |   |                           |   | 2,481,159   |       |   |   | - |   |   |   | - |   |   |   | 2,481,159 |   |
|                                                                           |   |         |       |   |           |   |   |   |   |   |       |   |   |            |        |   |                           |   |        |       |   |   |   |   |   |   |   |   |   |   |   |   |
| Balance at December 31, 2009                                                   |   |         | 45,628,685 |   |           | $      | 456    |   |   |   | 11,177,313 |   |   | $               | (74,307,200 | )      |                           | $      | 170,330,891 |       |   | $ | 5,217,425 |   |   | $ | 45,808,444 |   |   | $ | 147,050,016 |   |
|                                                                           |   |         |       |   |           |   |   |   |   |   |       |   |   |            |        |   |                           |   |        |       |   |   |   |   |   |   |   |   |   |   |   |   |
| Net income                                                                     |   |         | -          |   |           |   | -      |   |   |   | -          |   |   |            | -           |   |                           |   | -           |       |   |   | - |   |   |   | 11,210,489 |   |   |   | 11,210,489 |   |
| Other comprehensive income:                                                    |   |         |       |   |           |   |   |   |   |   |       |   |   |            |        |   |                           |   |        |       |   |   |   |   |   |   |   |   |   |   |   |   |
|    Foreign currency translation adjustment                      |   |         | -          |   |           |   | -      |   |   |   | -          |   |   |            | -           |   |                           |   | -           |       |   |   | (112,622 | ) |   |   | - |   |   |   | (112,622 | ) |
|    Unrealized loss on available-for-sale securities, net of tax |   |         | -          |   |           |   | -      |   |   |   | -          |   |   |            | -           |   |                           |   | -           |       |   |   | (2,170,422 | ) |   |   | - |   |   |   | (2,170,422 | ) |
| Total other comprehensive income                                               |   |         |       |   |           |   |   |   |   |   |       |   |   |            |        |   |                           |   |        | (2,283,044 | )      |   |   |   |   |   |   | (2,283,044 | ) |
| Total comprehensive income                                                     |   |         |       |   |           |   |   |   |   |   |       |   |   |            |        |   |                           |   |        |       |   |   |   |   |   |   |   | 8,927,445 |   |
| Issuance of common stock upon exercise of stock options                        |   |         | 463,606    |   |           |   | 5      |   |   |   | -          |   |   |            | -           |   |                           |   | 195,556     |       |   |   | - |   |   |   | - |   |   |   | 195,561 |   |
| Tax benefit derived from stock option exercises                                |   |         | -          |   |           |   | -      |   |   |   | -          |   |   |            | -           |   |                           |   | 862,458     |       |   |   | - |   |   |   | - |   |   |   | 862,458 |   |
| Stock based compensation expense                                               |   |         | -          |   |           |   | -      |   |   |   | -          |   |   |            | -           |   |                           |   | 3,148,619   |       |   |   | - |   |   |   | - |   |   |   | 3,148,619 |   |
|                                                                           |   |         |       |   |           |   |   |   |   |   |       |   |   |            |        |   |                           |   |        |       |   |   |   |   |   |   |   |   |   |   |   |   |
| Balance at December 31, 2010                                                   |   |         | 46,092,291 |   |           | $      | 461    |   |   |   | 11,177,313 |   |   | $               | (74,307,200 | )      |                           | $      | 174,537,524 |       |   | $ | 2,934,381 |   |   | $ | 57,018,933 |   |   | $ | 160,184,099 |   |

----

|                                                                                        |   |                     |        |    |   |   |        |   |   |
|---------------------------------------------------------------------------------------------|--------|--------------------------|-------------|---------|--------|--------|-------------|--------|--------|
|                                                                                        |   | Years Ended December 31, |        |
|                                                                                        |   | 2008                     |        |    | 2009   |   |        | 2010   |   |
| Cash flows from operating activities                                                        |   |                     |        |    |   |   |        |   |   |
| Net income                                                                                  |   | $                        | 15,953,095  |    |   | $      | 6,309,458   |   |   | $ | 11,210,489 |   |
| Adjustments to reconcile net income to net cash provided by operating activities:           |   |                     |        |    |   |
| Deferred income taxes                                                                       |   |                     | (1,000,518  | )       |   |   | 3,100,696   |   |   |   | 801,406 |   |
| Stock compensation expense                                                                  |   |                     | 2,192,826   |    |   |   | 2,481,159   |   |   |   | 3,148,619 |   |
| Depreciation and amortization                                                               |   |                     | 4,760,819   |    |   |   | 8,030,772   |   |   |   | 9,008,514 |   |
| Deferred financing amortization                                                             |   |                     | (526,574    | )       |   |   | 196,365     |   |   |   | 259,806 |   |
| Reduction in contingent consideration          |   |                     | -           |    |   |   | -           |   |   |   | (1,987,042 | )  |
| Gain on sale of investment                                                                  |   |                     | (6,098,159  | )       |   |   | (746,259    | )      |   |   | (3,578,431 | ) |
| Excess tax benefit from stock options exercised                              |   |                     | (1,453,634  | )  |   |   | (21,080     | )      |   |   | (862,458 | )  |
| Bad debt provision                                                                          |   |                     | 4,110,842   |    |   |   | 1,291,727   |   |   |   | 2,901,216 |   |
| Change in assets, net of acquisitions:                                                      |   |                     |        |    |   |   |        |   |   |   |   |   |
| Accounts receivable and unbilled revenue                                                    |   |                     | 5,763,286   |    |   |   | 10,379,817  |   |   |   | (21,385,688 | ) |
| Inventories                                                                                 |   |                     | 431,414     |    |   |   | (1,201,320  | )      |   |   | 368,909 |   |
| Prepaid expenses and other                                                                  |   |                     | (5,208,731  | )       |   |   | (3,639,560  | )      |   |   | 5,360,326 |   |
| Change in liabilities, net of acquisitions:                                                 |   |                     |        |    |   |   |        |   |   |   |   |   |
| Accounts payable                                                                            |   |                     | (9,188,905  | )       |   |   | (1,619,641  | )      |   |   | 1,027,234 |   |
| Advances to (from) related parties                                                          |   |                     | (66,498     | )       |   |   | (4,411      | )      |   |   | 52,586 |   |
| Customer deposits                                                                           |   |                     | (39,346     | )       |   |   | (3,631,936  | )      |   |   | (2,731,279 | ) |
| Income tax payable                                                                          |   |                     | -           |    |   |   | (9,007,997  | )      |   |   | 3,586,841 |   |
| Accrued expenses and other                                                                  |   |                     | 2,463,202   |    |   |   | 2,284,071   |   |   |   | 1,171,476 |   |
| Net cash provided by operating activities                                                   |   |                     | 12,093,119  |    |   |   | 14,201,861  |   |   |   | 8,352,524 |   |
| Cash flows from investing activities                                                        |   |                     |        |    |   |   |        |   |   |   |   |   |
| Purchases of property and equipment                                                         |   |                     | (5,405,161  | )       |   |   | (7,165,423  | )      |   |   | (4,897,251 | ) |
| Proceeds from sale of marketable securities                                                 |   |                     | 6,138,784   |    |   |   | 850,000     |   |   |   | 3,595,427 |   |
| Proceeds from sale of short-term investments                                                |   |                     | 2,080,377   |    |   |   | 196,651     |   |   |   | 13,818,771 |   |
| Payments for acquisitions, net of cash acquired                                             |   |                     | (48,252,227 | )       |   |   | (12,829,238 | )      |   |   | (16,699,623 | ) |
| Net cash used in investing activities                                                       |   |                     | (45,438,227 | )       |   |   | (18,948,010 | )      |   |   | (4,182,676 | ) |
| Cash flows from financing activities                                                        |   |                     |        |    |   |   |        |   |   |   |   |   |
| Principal payments on capital lease obligations                                             |   |                     | (165,760    | )       |   |   | (144,432    | )      |   |   | (106,693 | ) |
| Payment of deferred financing costs                                                         |   |                     | -           |    |   |   | -           |   |   |   | (633,600 | ) |
| Net borrowings (repayments) from revolving credit facility and short-term debt              |   |                     | 42,589,679  |    |   |   | 3,794,907   |   |   |   | (2,098,107 | ) |
| Payments for share repurchase                                                               |   |                     | (34,307,231 | )       |   |   | -           |   |   |   | - |   |
| Issuance of shares                                                                          |   |                     | 228,924     |    |   |   | 98,910      |   |   |   | 195,561 |   |
| Excess tax benefit from stock options exercised                                             |   |                     | 1,453,634   |    |   |   | 21,080      |   |   |   | 862,458 |   |
| Net cash provided by (used in) financing activities                                         |   |                     | 9,799,246   |    |   |   | 3,770,465   |   |   |   | (1,780,381 | ) |
| Effect of exchange rate changes on cash and cash equivalents                                |   |                     | 841,478     |    |   |   | (132,265    | )      |   |   | (34,101 | ) |
| Increase (decrease) in cash and cash equivalents                                            |   |                     | (22,704,384 | )       |   |   | (1,107,949  | )      |   |   | 2,355,366 |   |
| Cash and cash equivalents, beginning of period                                              |   |                     | 26,716,239  |    |   |   | 4,011,855   |   |   |   | 2,903,906 |   |
| Cash and cash equivalents, end of period                                                    |   | $                        | 4,011,855   |    |   | $      | 2,903,906   |   |   | $ | 5,259,272 |   |

| Supplemental disclosure of cash flow information |   |   |      |   |   |   |      |   |   |
|--------------------------------------------------|--------|--------|-----------|--------|--------|--------|-----------|--------|--------|
| Cash paid during the year for interest           |   |   | 683,423   |   |   |   | 1,281,654 |   |   |   | 1,668,404 |   |
| Cash paid for income taxes                       |   |   | 5,868,330 |   |   |   | 9,372,807 |   |   |   | 573,773 |   |

----

| 1. | Description of the Business |
|----|-----------------------------|

| 2. | Summary of Significant Accounting Policies |
|----|--------------------------------------------|

----

| 2. | Summary of Significant Accounting Policies (Continued) |
|----|--------------------------------------------------------|

|                            |         |         |
|---------------------------------|--------------|--------------|
| Computer equipment and software |    | 3 years |
| Furniture and fixtures          |    | 5 years |

----

| 2. | Summary of Significant Accounting Policies (Continued) |
|----|--------------------------------------------------------|

|                                                                                                     |         |   |       |
|----------------------------------------------------------------------------------------------------------|--------------|--------|------------|
| Balance as of December 31, 2008                                                                     |    | $      | 68,176,168 |
| Goodwill acquired related to 2009 acquisitions                                                           |    |   | 6,237,945  |
| Finalization of purchase accounting for prior year acquisitions  |    |   | 3,491,590  |
| Balance as of December 31, 2009                                                                     |    | $      | 77,905,703 |
| Goodwill acquired related to 2010 acquisitions                                                           |    |   | 6,067,553  |
| Finalization of purchase accounting for prior year acquisitions  |    |   | 9,502,950  |
|                                                                                                     |    |   |       |
| Balance as of December 31, 2010                                                                     |    | $      | 93,476,206 |
|                                                                                                     |    |   |       |

----

| 2. | Summary of Significant Accounting Policies (Continued) |
|----|--------------------------------------------------------|

|                          |         |   |       |         |   |   |       |                       |   |            |
|-------------------------------|--------------|--------|------------|--------------|--------|--------|------------|----------------------------|--------|-----------------|
|                          |    | 2009   |       |         | 2010   |   |       | Weighted-Average Life |
| Customer lists                |    | $      | 26,589,715 |    |   | $      | 28,548,856 |                  |   | 13.9 years |
| Noncompete agreements         |    |   | 1,077,349  |    |   |   | 1,000,016  |                  |   | 4.0 years  |
| Trade names                   |    |   | 3,467,656  |    |   |   | 3,260,590  |                  |   | 12.5 years |
| Patents                       |    |   | 32,281     |    |   |   | 38,456     |                  |   | 10.0 years |
|                          |    |   |       |         |   |   |       |                       |   |            |
|                          |    |   | 31,167,001 |    |   |   | 32,847,918 |                  |   |            |
| Less accumulated amortization |    |   | (6,802,217 | )       |   |   | (9,789,144 | )                     |   |            |
|                          |    |   |       |         |   |   |       |                       |   |            |
| Intangible assets, net        |    | $      | 24,364,784 |    |   | $      | 23,058,774 |                  |   |            |
|                          |    |   |       |         |   |   |       |                       |   |            |

|       |         |   |       |
|------------|--------------|--------|------------|
| 2011       |    | $      | 2,884,931  |
| 2012       |    |   | 2,767,072  |
| 2013       |    |   | 2,388,526  |
| 2014       |    |   | 2,110,994  |
| 2015       |    |   | 1,983,917  |
| Thereafter |    |   | 10,923,334 |
|       |    |   |       |
|       |    | $      | 23,058,774 |
|       |    |   |       |

----

| 2. | Summary of Significant Accounting Policies (Continued) |
|----|--------------------------------------------------------|

|   |         |   |       |
|--------|--------------|--------|------------|
| 2011   |    | $      | 19,578,891 |
| 2012   |    |   | 11,350,253 |
| 2013   |    |   | 899,965    |
|   |    |   |       |
|   |    | $      | 31,829,109 |
|   |    |   |       |

|                                         |   | Year ended December 31, |             |
|----------------------------------------------|--------|-------------------------|------------------|
|                                         |   | 2009                    |             |   | 2010 |   |
| Unrealized gain on marketable securities     |   |                    |             |   |   |   |   |   |
|     Gross                |   | $                       | 7,888,031   |   |   | $ | 4,223,134  |   |
|     Income tax benefit   |   |                    | (2,918,571  | ) |   |   | (1,424,096 | )  |
|     Net                  |   |                    | 4,969,460   |   |   |   | 2,799,038 |   |
| Foreign currency translation adjustment      |   |                    | 247,965          |   |   |   | 135,343 |   |
|                                         |   |                    |             |   |   |   |   |   |
| Total accumulated other comprehensive income |   | $                       | 5,217,425        |   |   | $ | 2,934,381 |   |

----

| 2. | Summary of Significant Accounting Policies (Continued) |
|----|--------------------------------------------------------|

|                    |         |                |         |   |                |         |
|-------------------------|--------------|---------------------|--------------|--------|---------------------|--------------|
|                    |    | 2009                |         |   | 2010                |         |
| Dividend yield          |    | —   | %       |   | —   | %       |
| Risk-free interest rate |    | 2.92%-3.77          | %       |   | 1.85%-3.25          | %       |
| Expected life           |    | 7 years        |    |   | 7 years        |    |
| Volatility              |    | 47.5                | %       |   | 47.5                | %       |

| 3. | Property and Equipment |
|----|------------------------|

|                                      |         |   |         |          |   |        |    |
|-------------------------------------------|--------------|--------|--------------|---------------|--------|-------------|---------|
|                                      |    | 2009   |    | 2010          |   |
| Computer equipment                        |    | $      | 1,903,132    |     | $      | 2,492,784   |    |
| Software, including internal use software |    |   | 14,815,438   |     |   | 18,589,408  |    |
| Furniture and fixtures                    |    |   | 2,036,297    |     |   | 2,493,210   |    |
| Leasehold improvements                    |    |   | 850,403      |     |   | 959,425     |    |
|                                      |    |   |         |     |   |        |    |
|                                      |    |   | 19,605,270   |     |   | 24,534,827  |    |
| Less accumulated depreciation             |    |   | (8,771,558   | )   |   | (14,647,823 | )  |
|                                      |    |   |         |     |   |        |    |
|                                      |    | $      | 10,833,712   |     | $      | 9,887,004   |    |
|                                      |    |   |         |     |   |        |    |

----

| 4. | Revolving Credit Facility |
|----|---------------------------|

| 5. | Commitments and Contingencies |
|----|-------------------------------|

|                               |         |          |                |            |   |       |
|------------------------------------|--------------|---------------|---------------------|-----------------|--------|------------|
|                               |    | CapitalLeases |           | OperatingLeases |
| 2011                               |    | $             | 20,774              |       | $      | 4,806,230  |
| 2012                               |    |          | 8,656               |       |   | 4,489,585  |
| 2013                               |    |          | —   |       |   | 4,139,914  |
| 2014                               |    |          | —   |       |   | 4,046,962  |
| 2015                               |    |          | —   |       |   | 2,901,592  |
| Thereafter                         |    |          | —   |       |   | 10,242,437 |
|                               |    |          |                |       |   |       |
| Total minimum lease payments       |    |          | 29,430              |       | $      | 30,626,720 |
|                               |    |          |                |       |   |       |
| Less amounts representing interest |    |          | 1,221               |       |   |       |
|                               |    |          |                |       |   |       |
|                               |    | $             | 28,209              |       |   |       |
|                               |    |          |                |       |   |       |

----

| 6. | Income Taxes |
|----|--------------|

|               |         |                         |       |         |   |   |       |          |   |   |      |         |
|--------------------|--------------|------------------------------|------------|--------------|--------|--------|------------|---------------|--------|--------|-----------|--------------|
|               |    | Year Ended December 31, |       |
|               |    | 2008                         |       |         | 2009   |   |       | 2010          |   |
| Current            |    |                         |       |         |   |   |       |          |   |   |      |         |
| Federal            |    | $                            | 8,421,367  |    |   | $      | (1,141,099 | )   |   | $      | 2,923,693 |         |
| State              |    |                         | 2,217,415  |    |   |   | (310,040   | )   |   |   | 1,094,581 |         |
| Foreign            |    |                         | 458,404    |    |   |   | 750,869    |     |   |   | 964,367   |    |
|               |    |                         |       |         |   |   |       |          |   |   |      |         |
| Total current      |    |                         | 11,097,186 |    |   |   | (700,270   | )   |   |   | 4,982,641 |         |
| Deferred           |    |                         |       |         |   |   |       |          |   |   |      |         |
| Federal            |    |                         | (535,342   | )       |   |   | 2,862,659  |          |   |   | 813,015   |    |
| State              |    |                         | (382,123   | )       |   |   | 561,459    |          |   |   | (65,583   | )       |
| Foreign            |    |                         | (83,053    | )            |   |   | (15,791    | )             |   |   | 18,733    |         |
|               |    |                         |       |         |   |   |       |          |   |   |      |         |
| Total deferred     |    |                         | (1,000,518 | )       |   |   | 3,408,327  |          |   |   | 766,165   |    |
|               |    |                         |       |         |   |   |       |          |   |   |      |         |
| Income tax expense |    | $                            | 10,096,668 |    |   | $      | 2,708,057  |     |   | $      | 5,748,806 |    |
|               |    |                         |       |         |   |   |       |          |   |   |      |         |

|                                                 |         |                         |                |         |   |   |                |         |   |   |      |         |
|------------------------------------------------------|--------------|------------------------------|---------------------|--------------|--------|--------|---------------------|--------------|--------|--------|-----------|--------------|
|                                                 |    | Year Ended December 31, |                |
|                                                 |    | 2008                         |                |         | 2009   |   |                | 2010         |   |
| Tax expense at U.S. federal income tax rate          |    | $                            | 9,117,417           |    |   | $      | 3,156,130           |    |   | $      | 5,935,753 |    |
| State income taxes, net of federal income tax effect |    |                         | 1,211,489           |    |   |   | 456,439             |    |   |   | 844,131   |    |
| Effect of non-US operations                          |    |                         | —   |    |   |   | —   |    |   |   | (394,087  | )       |
| Research and development credit                      |    |                         | —   |    |   |   | (671,970            | )       |   |   | (295,736  | )       |
| 199 Domestic production activities deduction         |         |                         | —             |         |   |   | —             |         |   |   | (202,313  | )       |
| Nondeductible (benefit) expenses and other           |    |                         | (232,238            | )       |   |   | (232,542            | )       |   |   | (138,942  | )       |
|                                                 |    |                         |                |         |   |   |                |         |   |   |      |         |
| Income tax expense                                   |    | $                            | 10,096,668          |    |   | $      | 2,708,057           |    |   | $      | 5,748,806 |    |
|                                                 |    |                         |                |         |   |   |                |         |   |   |      |         |

----

| 6. | Income Taxes (Continued) |
|----|--------------------------|

|                                                                         |         |              |             |          |   |   |          |         |
|------------------------------------------------------------------------------|--------------|-------------------|------------------|---------------|--------|--------|---------------|--------------|
|                                                                         |    | December 31, |             |
|                                                                         |    | 2009              |             |          | 2010   |   |
| Current deferred tax assets:                                                 |    |              |             |          |   |   |          |         |
| Reserves and allowances                                                      |    | $                 | 2,442,613        |     |   | $      | 2,288,808     |    |
| Other                                                                        |    |              | 49,951           |     |   |   | 25,452        |    |
|                                                                         |    |              |             |          |   |   |          |         |
| Total current deferred tax assets                                            |    |              | 2,492,564        |     |   |   | 2,314,260     |    |
| Noncurrent deferred tax assets:                                              |    |              |             |          |   |   |          |         |
| Income tax basis in excess of financial statement basis in intangible assets |    |              | 9,885,088        |     |   |   | 8,948,629     |    |
| Stock options                                                                |    |              | 1,920,708        |     |   |   | 2,968,540     |    |
| Net operating loss carryforward                                              |    |              | 741,026          |     |   |   | 716,891       |    |
| Tax credit carryforwards                                                     |    |              | 77,885           |     |   |   | 276,421       |         |
| Other                                                                        |    |              | 26,486           |     |   |   | 25,143        |    |
|                                                                         |    |              |             |          |   |   |          |         |
| Total noncurrent deferred tax assets                                         |    |              | 12,651,193       |     |   |   | 12,935,624    |    |
|                                                                         |    |              |             |          |   |   |          |         |
| Total deferred tax assets                                                    |    |              | 15,143,757       |     |   |   | 15,249,884    |    |
|                                                                         |    |              |             |          |   |   |          |         |
|                                                                         |         |              |
| Total current deferred tax liability:                                        |    |              |             |          |   |   |          |         |
| Prepaid & other expenses                                            |    |              | (588,365         | )        |   |   | (582,768      | )       |
| Unrealized gain on available for sale securities                             |    |              | (2,918,571       | )   |   |   | (1,424,096    | )       |
|                                                                         |    |              |             |          |   |   |          |         |
| Total current deferred tax liability                                         |    |              | (3,506,936       | )        |   |   | (2,006,864    | )       |
| Noncurrent deferred tax liabilities:                                         |    |              |             |          |   |   |          |         |
| Fixed assets                                                                 |    |              | (3,926,911       | )        |   |   | (3,217,589    | )       |
| Intangible assets                                                            |    |              | (2,153,154       | )        |   |   | (3,805,815    | )       |
| Other                                                                        |    |              | (30,195          | )   |   |   | (12,600       | )       |
|                                                                         |    |              |             |          |   |   |          |         |
| Total noncurrent deferred tax liabilities                                    |    |              | (6,110,260       | )        |   |   | (7,036,004    | )       |
|                                                                         |    |              |             |          |   |   |          |         |
| Total deferred tax liabilities                                               |    |              | (9,617,196       | )        |   |   | (9,042,868    | )       |
|                                                                         |    |              |             |          |   |   |          |         |
| Net deferred tax asset                                                       |    | $                 | 5,526,561        |     |   | $      | 6,207,016     |    |
|                                                                         |    |              |             |          |   |   |          |         |
| Net current deferred tax asset (liability)                                   |    | $                 | (1,014,372  | )   |   | $      | 307,396  |         |
| Net noncurrent deferred tax asset                                            |    |              | 6,540,933        |     |   |   | 5,899,620     |    |
|                                                                         |    |              |             |          |   |   |          |         |
| Net deferred tax asset                                                       |    | $                 | 5,526,561        |     |   | $      | 6,207,016     |    |
|                                                                         |    |              |             |          |   |   |          |         |

----

| 7. | Auction Rate Securities |
|----|-------------------------|

| 8. | Valuation of Equity Investments |
|----|---------------------------------|

----

| 9. | Fair Value Measurement |
|----|------------------------|

|   | • |   | Level 1: Inputs are quoted prices in active markets for identical assets or liabilities. |
|--------|---------|--------|-----------------------------------------------------------------------------------------------|

|   | • |   | Level 2: Inputs are quoted prices for similar assets or liabilities in an active market, quoted prices for identical or similar assets or liabilities in markets that are not active, and inputs other than quoted prices that are observable and market-corroborated inputs, which are derived principally from or corroborated by observable market data. |
|--------|---------|--------|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|

|   | • |   | Level 3: Inputs that are derived from valuation techniques in which one or more significant inputs or value drivers are unobservable. |
|--------|---------|--------|--------------------------------------------------------------------------------------------------------------------------------------------|

|                        |   | Total Fair ValueMeasurement |       |    | Quoted Prices inActive Markets forIdentical Assets(Level 1) |   |      | Significant OtherObservable Inputs(Level 2) |   |   | SignificantUnobservable Inputs(Level 3) |   |
|----------------------------------|--------|---------------------------------------|------------|---------|-------------------------------------------------------------------------------------------|--------|-----------|------------------------------------------------------------|--------|--------|---------------------------------------------------|--------|
| Assets:                          |   |                                  |       |    |                                                                                      |   |      |                                                       |   |   |                                              |   |
| Money market funds(1)            |   | $                                     | 1,662,162  |    |                                                                                      | $      | 1,662,162 |                                                       |   | $      | —                                           |   |   | $ | — |   |
| Available for sale securities(2) |   |                                  | 4,284,614  |    |                                                                                      |   | 4,284,614 |                                                       |   |   | —                                           |   |   |   | — |   |
|                             |   |                                  |       |    |                                                                                      |   |      |                                                       |   |   |                                              |   |   |   |   |   |
| Total assets                     |   | $                                     | 5,946,776  |    |                                                                                      | $      | 5,946,776 |                                                       |   | $      | —                                           |   |   | $ | — |   |
|                             |   |                                  |       |    |                                                                                      |   |      |                                                       |   |   |                                              |   |   |   |   |   |
| Liabilities:                     |   |                                  |       |    |                                                                                      |   |      |                                                       |   |   |                                              |   |   |   |   |   |
|  Due to seller (3)          |   | $                                     | (4,917,442 | )  |                                                                                      | $      | —   |                                                       |   | $      | —                                           |   |   | $ | (4,917,442 | ) |

| (1) | Included in cash and cash equivalents on the balance sheet.                                       |
|-----|---------------------------------------------------------------------------------------------------|
| (2) | Included in short-term investments on the balance sheet.                                          |
| (3) | Included in other long-term liabilities, due to seller and accrued expenses on the balance sheet. |

----

| 9. | Fair Value Measurement (Continued) |
|----|------------------------------------|

|                                             |   | Fair Value Measurements at Reporting DateUsing Significant Unobservable Inputs(Level 3) |        |
|--------------------------------------------------|--------|--------------------------------------------------------------------------------------------------------------------------------------|-------------|
|                                             |   | Auction-RateSecurities                                                                                                               |        |   | Put Option |   |   | Total |   |
| Balance at December 31, 2009                     |   | $                                                                                                                                    | 13,869,075  |   |   | $ | 1,755,925 |   |   | $ | 15,625,000 |   |
| Change in the value of securities and put option |   |                                                                                                                                 | 1,755,925   |   |   |   | (1,755,925 | ) |   |   | — |   |
| Proceeds for securities sold during the period   |   |                                                                                                                                 | (15,625,000 | ) |   |   | — |   |   |   | (15,625,000 | ) |
| Balance at December 31, 2010                     |   | $                                                                                                                                    | —     |   |   | $ | — |   |   | $ | — |   |

|                                                             |         |   |  Fair Value Measurements at Reporting DateUsing Significant Unobservable Inputs(Level 3) |    |
|------------------------------------------------------------------|--------------|--------|--------------------------------------------------------------------------------------------------------------------------------------------|---------|
|                                                             |    |   | Due to Seller                                                                                                                              |    |
| Balance at December 31, 2008       |         | $      | —                                                                                                                                    |    |
| Contingent earnout payments - acquisitions                       |         |   | (4,618,217                                                                                                                                 | )       |
| Balance at December 31, 2009                                     |    | $      | (4,618,217                                                                                                                                 | )  |
| Contingent earnout payments - acquisitions                       |    |   | (2,286,267                                                                                                                                 | )  |
| Contingent earnout payments - change in fair value (1)           |    |   | 1,987,042                                                                                                                                  |    |
|                                                             |    |   |                                                                                                                                       |    |
| Balance as of December 31, 2010                             |    | $      | (4,917,442                                                                                                                                 | )  |
|                                                             |    |   |                                                                                                                                       |    |

| (1) | Adjustments to original contingent consideration obligations recorded were the result of using revised financial forecasts and updated fair value measurements.  |
|-----|-----------------------------------------------------------------------------------------------------------------------------------------------------------------------|

| 10. | Earnings Per Share |
|-----|--------------------|

|                                                                   |         |                          |         |         |         |       |         |   |       |
|------------------------------------------------------------------------|--------------|-------------------------------|--------------|--------------|--------------|------------|--------------|--------|------------|
|                                                                   |    | Years Ended December 31, |
|                                                                   |    | 2008                          |    | 2009         |    | 2010       |
| Numerator:                                                             |    |                          |         |    |         |       |    |   |       |
| Net Income                                                             |    | $                             | 15,953,095   |    | $            | 6,309,458  |    | $      | 11,210,489 |
|                                                                   |    |                          |         |    |         |       |    |   |       |
| Denominator:                                                           |    |                          |         |    |         |       |    |   |       |
| Denominator for basic earnings per share—weighted-average shares |    |                          | 47,137,002   |    |         | 45,535,357 |    |   | 45,703,699 |
| Effect of dilutive securities:                                         |    |                          |         |    |         |       |    |   |       |
| Employee stock options and restricted common shares                    |    |                          | 2,004,145    |    |         | 1,621,348  |    |   | 1,878,638  |
|                                                                   |    |                          |         |    |         |       |    |   |       |
| Denominator for dilutive earnings per share                            |    |                          | 49,141,147   |    |         | 47,156,705 |    |   | 47,582,337 |
|                                                                   |    |                          |         |    |         |       |    |   |       |
| Basic earnings per share                                               |    | $                             | 0.34         |    | $            | 0.14       |    | $      | 0.25       |
| Diluted earnings per share                                             |    | $                             | 0.32         |    | $            | 0.13       |    | $      | 0.24       |

----

|                                     |         |               |         |   |                          |         |                    |   |                |
|------------------------------------------|--------------|--------------------|--------------|--------|-------------------------------|--------------|-------------------------|--------|---------------------|
|                                     |    | OutstandingOptions |         |   | Weighted-AverageExercisePrice |    | AggregateIntrinsicValue |
|  Outstanding at December 31, 2007   |         | 4,592,001          |         |   | $                        | 2.35         |                    | $      | 67,880,897          |
|    Granted                |         | 1,467,172          |         |   |                          | 10.28        |                    |   | —        |
|    Exercised              |         | (387,894           | )            |   |                          | 0.67         |                    |   | 2,279,448           |
|    Forfeited              |         | (186,913           | )            |   |                          | 14.04        |                    |   | —        |
|                                     |         |               |         |   |                          |         |                    |   |                |
| Outstanding at December 31, 2008    |    | 5,484,366          |    |   | $                             | 4.19         |               | $      | 19,153,470          |
| Granted                                  |    | 251,542            |    |   |                          | 4.54         |               |   | —   |
| Exercised                                |    | (142,500           | )       |   |                          | 0.70         |               |   | 740,490             |
| Forfeited                                |    | (148,934           | )       |   |                          | 11.31        |               |   | —   |
|                                     |    |               |         |   |                          |         |               |   |                |
| Outstanding at December 31, 2009    |    | 5,444,474          |    |   | $                             | 4.11         |               | $      | 15,893,388          |
| Granted                                  |    | 381,623            |    |   |                          | 5.63         |               |   | —   |
| Exercised                                |    | (391,115           | )       |   |                          | 0.50         |               |   | 2,366,246           |
| Forfeited                                |    | (91,345            | )       |   |                          | 11.72        |               |   | —   |
|                                     |    |               |         |   |                          |         |               |   |                |
| Outstanding at December 31, 2010    |    | 5,343,637          |    |   | $                             | 4.33         |               | $      | 16,638,131          |
|                                     |    |               |         |   |                          |         |               |   |                |
| Options vested at December 31, 2010 |    | 3,872,433          |    |   | $                             | 3.31         |               | $      | 15,368,000          |
|                                     |    |               |         |   |                          |         |               |   |                |

----

| 11. | Stock-Based Compensation Plans (Continued) |
|-----|--------------------------------------------|

|                |         |              |         |                |         |                         |         |              |         |                         |   |   |
|---------------------|--------------|-------------------|--------------|---------------------|--------------|------------------------------|--------------|-------------------|--------------|------------------------------|--------|--------|
| Options Outstanding |    | Options Vested    |
| Exercise Price      |    | NumberOutstanding |    | WeightedAverageLife |    | WeightedAverageExercisePrice |    | NumberExercisable |    | WeightedAverageExercisePrice |
| $0.50 - $0.65       |    | 2,052,775         |    | 5.26                |    | $                            | 0.51         |         | 2,052,775    |                    | $      | 0.51   |
| $1.00 - $4.92       |    | 1,500,785         |    | 5.51                |    | $                            | 4.22         |         | 1,094,980    |                    | $      | 3.97   |
| $5.19 - $9.00       |    | 1,142,387         |    | 8.59                |    | $                            | 6.02         |         | 359,833      |                    | $      | 6.44   |
| $11.38 - $16.41     |    | 647,690           |    | 7.01                |    | $                            | 13.72        |         | 364,845      |                    | $      | 13.96  |
|                |    |              |    |                |    |                         |         |         |         |                    |   |   |
|                |    | 5,343,637         |    | 6.25                |    | $                            | 4.33         |         | 3,872,433    |                    | $      | 3.31   |
|                |    |              |    |                |    |                         |         |         |         |                    |   |   |

|                                                       |         |                                    |         |   |                                 |   |
|------------------------------------------------------------|--------------|-----------------------------------------|--------------|--------|--------------------------------------|--------|
|                                                       |    | OutstandingRestricted CommonShares |         |   | Weighted-AverageGrant Date FairValue |
| Nonvested Restricted Common Shares December 31, 2008  |    | 312,266                                 |    |   | $                                    | 12.82  |
| Granted                                                    |    | 112,433                                 |    |   | $                                    | 4.53   |
| Vested and transferred to unrestricted common stock        |    | (149,238                                | )       |   | $                                    | 9.00   |
| Forfeited                                                  |    | (49,370                                 | )       |   | $                                    | 11.25  |
|                                                       |    |                                    |         |   |                                 |   |
| Nonvested Restricted Common Shares December 31, 2009  |    | 226,091                                 |    |   | $                                    | 11.56  |
| Granted                                                    |    | 569,181                                 |    |   | $                                    | 5.48   |
| Vested and transferred to unrestricted common stock        |    | (72,491                                 | )       |   | $                                    | 12.17  |
| Forfeited                                                  |    | (32,404                                 | )       |   | $                                    | 6.43   |
|                                                       |    |                                    |         |   |                                 |   |
| Nonvested, Restricted Common Shares December 31, 2010 |    | 690,377                                 |    |   | $                                    | 6.72   |
|                                                       |    |                                    |         |   |                                 |   |

----

| 12. | Benefit Plans |
|-----|---------------|

| 13. | New Accounting Pronouncements |
|-----|-------------------------------|

| 14. | Related Party Transactions |
|-----|----------------------------|

----

| 14. | Related Party Transactions (Continued) |
|-----|----------------------------------------|

| 15. | Quarterly Financial Data (Unaudited) |
|-----|--------------------------------------|

|                  |         |                                  |         |             |         |           |         |             |    |         |   |    |
|-----------------------|--------------|---------------------------------------|--------------|------------------|--------------|----------------|--------------|------------------|---------|--------------|--------|---------|
|                  |    | Year Ended December 31, 2010     |
|                  |    | FirstQuarter                          |    | SecondQuarter(1) |    | ThirdQuarter(2 |    | FourthQuarter(3) |
|                  |    | (In thousands, except per share data) |
| Net sales             |    | $                                     | 112,213      |        | $            | 120,471        |    | $                | 119,131 |    | $      | 130,397 |
| Gross profit          |    |                                  | 26,933       |        |         | 29,040         |    |             | 28,509  |    |   | 31,530  |
| Net income            |    |                                  | 2,168        |        |         | 3,142          |    |             | 2,365   |    |   | 3,535   |
| Net income per share: |    |                                  |         |        |         |           |    |             |    |    |   |    |
| Basic                 |    | $                                     | 0.05         |        | $            | 0.07           |    | $                | 0.05    |    | $      | 0.08    |
| Diluted               |    | $                                     | 0.05         |        | $            | 0.07           |    | $                | 0.05    |    | $      | 0.07    |

| (1) | The Company made an acquisition during the second quarter of 2010 which was not material individually or in the aggregate. Financial results from this acquisition are included in the Consolidated Financial Statements beginning April of 2010. |
|-----|--------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (2) | The Company made acquisitions during the third quarter of 2010 which were not material to the Company’s operations. Financial results for these acquisitions are included in the Consolidated Financial Statements beginning August of 2010.     |
| (3) | The Company made acquisitions during the fourth quarter of 2010 which were not material to the Company’s operations. Financial results for these acquisitions are included in the Consolidated Financial Statements beginning October of 2010.   |

----

| 15. | Quarterly Financial Data (Unaudited) (Continued) |
|-----|--------------------------------------------------|

|                  |         |                                  |         |          |         |         |         |              |   |         |   |    |
|-----------------------|--------------|---------------------------------------|--------------|---------------|--------------|--------------|--------------|-------------------|--------|--------------|--------|---------|
|                  |    | Year Ended December 31, 2009     |
|                  |    | FirstQuarter (1)                      |    | SecondQuarter |    | ThirdQuarter |    | FourthQuarter (2) |
|                  |    | (In thousands, except per share data) |
| Net sales             |    | $                                     | 94,277       |     | $            | 100,098      |    | $                 | 98,206 |    | $      | 107,866 |
| Gross profit          |    |                                  | 23,010       |     |         | 24,740       |    |              | 24,902 |    |   | 26,124  |
| Net income            |    |                                  | 248          |     |         | 2,147        |    |              | 1,730  |    |   | 2,184   |
| Net income per share: |    |                                  |         |     |         |         |    |              |   |    |   |    |
| Basic                 |    | $                                     | 0.01         |     | $            | 0.05         |    | $                 | 0.04   |    | $      | 0.05    |
| Diluted               |    | $                                     | 0.01         |     | $            | 0.05         |    | $                 | 0.04   |    | $      | 0.05    |

| (1) | The Company made acquisitions during the first quarter of 2009 which are not material individually or in the aggregate. Financial results from these acquisitions are included in the Consolidated Financial Statements beginning March of 2009.           |
|-----|------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| (2) | The Company made an acquisition during the fourth quarter of 2009 which was not material to the Company’s operations. Financial results from this acquisition are included in the Consolidated Financial Statements beginning December of 2009. |

----

|                                     |         |                         |         |              |         |                                               |         |   |          |    |   |                   |                |         |   |   |      |
|------------------------------------------|--------------|------------------------------|--------------|-------------------|--------------|----------------------------------------------------|--------------|--------|---------------|---------|--------|------------------------|---------------------|--------------|--------|--------|-----------|
| Description                              |    | Balance atBeginning ofPeriod |    | Charged toExpense |    | (UncollectibleAccountsWritten Offnet ofRecoveries) |         |   | OtherDescribe |    |   | Balance atEnd ofPeriod |
| Fiscal year ended December 31, 2010 |    |                         |         |         |         |                                               |    |   |          |    |   |                   |                |         |   |   |      |
| Allowance for doubtful accounts          |    | $                            | 4,634,848    |         | $            | 2,901,216                                          |    | $      | (3,925,087    | )  |   | $                      | —   |    |   | $      | 3,610,977 |
| Fiscal year ended December 31, 2009 |    |                         |         |         |         |                                               |    |   |          |    |   |                   |                |         |   |   |      |
| Allowance for doubtful accounts          |    | $                            | 5,045,059    |         | $            | 1,295,592                                          |    | $      | (1,705,803    | )  |   | $                      | —   |    |   | $      | 4,634,848 |
| Fiscal year ended December 31, 2008 |    |                         |         |         |         |                                               |    |   |          |    |   |                   |                |         |   |   |      |
| Allowance for doubtful accounts          |    | $                            | 1,343,294    |         | $            | 4,110,842                                          |    | $      | (427,422      | )  |   | $                      | 18,345              |    |   | $      | 5,045,059 |

----

|  Item 9. | Changes in and Disagreements with Accountants on Accounting and Financial Disclosure |
|--------------------|--------------------------------------------------------------------------------------|

|  Item 9A. | Controls and Procedures |
|---------------------|-------------------------|

|  Item 9B. | Other Information |
|---------------------|-------------------|

----

|  Item 10. | Directors and Executive Officers of the Registrant |
|---------------------|----------------------------------------------------|

|  Item 11. | Executive Compensation |
|---------------------|------------------------|

|  Item 12. | Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters |
|---------------------|------------------------------------------------------------------------------------------------|

|                                                         |         |                                                                                                                  |         |                                                                     |                |                                                                                                                                                                                               |                |         |
|--------------------------------------------------------------|--------------|-----------------------------------------------------------------------------------------------------------------------|--------------|--------------------------------------------------------------------------|---------------------|----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|---------------------|--------------|
|                                                         |    | Number of Securities to beIssued Upon Exercise ofOutstanding Options (a) |    | Weighted AverageExercise Price ofOutstanding Options |           | Number of SecuritiesRemaining Available forFuture Issuance underEquity CompensationPlans (Excluding SecuritiesReflected in Column (a)) |                |
| Plan Category                                                |    |                                                                                                                  |    |                                                                     |           |                                                                                                                                                                                               |                |
| Equity compensation plans approved bysecurity holders(1)     |    | 5,343,637                                                                                                             |    | $                                                                        | 4.33                |                                                                                                                                                                                          | 495,277             | (2)     |
| Equity compensation plans not approvedby security holders(3) |    | —                                                                                                     |    |                                                                     | —   |                                                                                                                                                                                          | —   |    |
|                                                         |    |                                                                                                                  |    |                                                                     |                |                                                                                                                                                                                          |                |         |
| Total                                                        |    | 5,343,637                                                                                                             |    | $                                                                        | 4.33                |                                                                                                                                                                                          | 495,277             |    |
|                                                         |    |                                                                                                                  |    |                                                                     |                |                                                                                                                                                                                          |                |         |

| (1) | Includes our 2004 Unit Option Plan, which was merged with our 2006 Stock Incentive Plan.     |
|-----|----------------------------------------------------------------------------------------------|
| (2) | Includes shares remaining available for future issuance under our 2006 Stock Incentive Plan. |
| (3) | There are no equity compensation plans in place not approved by our stockholders.            |

|  Item 13. | Certain Relationships and Related Transactions, and Director Independence |
|---------------------|---------------------------------------------------------------------------|

----

|  Item 14. | Principal Accountant Fees and Services |
|---------------------|----------------------------------------|

----

|  Item 15. | Exhibits, Financial Statement Schedules |
|---------------------|-----------------------------------------|

----

|                     |   |                                                                                           |
|--------------------------|--------|------------------------------------------------------------------------------------------------|
| INNERWORKINGS, INC. |
|                     |   |
| By:                      |   | / S /    E RIC D. B ELCHER         |
|                     |   | Eric D. Belcher                                                                                |
| Title:                   |   | Chief Executive Officer and President                                                          |

|                                                                                                                      |         |                                                                          |   |                    |
|---------------------------------------------------------------------------------------------------------------------------|--------------|-------------------------------------------------------------------------------|--------|-------------------------|
| Signature                                                                                                                 |    | Title                                                                         |   | Date                    |
|                                                                                                                      |         |                                                                          |
| / S /    E RIC D. B ELCHER        Eric D. Belcher             |    | President, Chief Executive Officer and Director (principal executive officer) |   | March 2, 2011 |
|                                                                                                                      |         |                                                                          |
| / S /    J OSEPH M. B USKY        Joseph M. Busky             |    | Chief Financial Officer (principal financial and accounting officer)          |   | March 2, 2011 |
|                                                                                                                      |         |                                                                          |
| / S /    J ACK M. G REENBERG        Jack M. Greenberg         |    | Chairman of the Board                                                         |   | March 2, 2011 |
|                                                                                                                      |         |                                                                          |
| / S /    J OHN R. W ALTER        John R. Walter               |    | Director                                                                      |   | March 2, 2011 |
|                                                                                                                      |         |                                                                          |
| / S /    P ETER J. B ARRIS        Peter J. Barris             |    | Director                                                                      |   | March 2, 2011      |
|                                                                                                                      |         |                                                                          |
| / S /    S HARYAR B ARADARAN        Sharyar Baradaran         |    | Director                                                                      |   | March 2, 2011 |
|                                                                                                                      |         |                                                                          |
| / S /    L INDA S. W OLF        Linda S. Wolf                 |    | Director                                                                      |   | March 2, 2011 |
|                                                                                                                      |         |                                                                          |
| / S /    C HARLES K. B OBRINSKOY        Charles K. Bobrinskoy |    | Director                                                                      |   | March 2, 2011 |
|                                                                                                                      |         |                                                                          |
| / S /    E RIC P. L EFKOFSKY        Eric P. Lefkofsky         |    | Director                                                                      |   | March 2, 2011 |

----

|             |         |                                                                                                                                                |
|------------------|--------------|-----------------------------------------------------------------------------------------------------------------------------------------------------|
| Exhibit No. |    | Description                                                                                                                                         |
|   2.1  |    | Asset Purchase Agreement dated as of October 2, 2008 by and among IW-Origen, LLC, Origen Partners, Inc., Michael Stoecker and Kim J. Stoecker.(7)   |
|             |         |
|   3.1  |    | Second Amended and Restated Certificate of Incorporation.(1)                                                                                        |
|             |         |
|   3.2  |    | Amended and Restated By-Laws.(1)                                                                                                                    |
|             |         |
|   4.1  |    | Specimen Common Stock Certificate.(2)                                                                                                               |
|             |         |
| 10.1             |    | InnerWorkings, LLC 2004 Unit Option Plan.(2)†                                                                                            |
|             |         |
|   10.2 |    | InnerWorkings, Inc. 2006 Stock Incentive Plan, as amended and restated effective June 19, 2008.(8)†                                           |
|             |         |
| 10.3             |    | Form of InnerWorkings Restricted Stock Award Agreement.(4)†                                                                                   |
|             |         |
| 10.4             |    | Form of Stock Option Award Agreement.(1)†                                                                                                     |
|             |         |
| 10.5             |    | InnerWorkings, Inc. Annual Incentive Plan.(2)†                                                                                           |
|             |         |
| 10.6             |    | Employment Agreement dated as of January 2, 2008 by and between Kevin Harrell and InnerWorkings, Inc.(5)†                                |
|             |         |
| 10.7             |    | Agreement dated March 25, 2004 for John Walter to Become Chairman of InnerWorkings, LLC’s Board of Directors, as amended.(2)† |
|             |         |
| 10.8             |    | Stock Option Grant Agreement dated October 1, 2005 between InnerWorkings, Inc. and Jack M. Greenberg.(2)†                           |
|             |         |
| 10.9             |    | Agreement dated as of March 14, 2008 by and between InnerWorkings, Inc. and Eric P. Lefkofsky.(13)†                                 |
|             |         |
| 10.10            |    | Form of Indemnification Agreement.(2)                                                                                                               |
|             |         |
| 10.11            |    | Master Services Agreement dated September 1, 2005 by and between ServiceMaster Consumer Services, L.P. and InnerWorkings, LLC.(2)         |
|             |         |
| 10.12            |    | Office Space Lease dated January 1, 2006 by and between InnerWorkings, Inc. and Incorp, LLC.(2)                                      |
|             |         |
| 10.13            |    | Office Space Lease dated November 22, 2005 by and between InnerWorkings, Inc. and Echo Global Logistics, LLC.(2)                     |
|             |         |
| 10.17            |    | Referral Agreement dated October 1, 2006 between Innerworkings, Inc. and Echo Global Logistics, Inc.(1)                              |
|             |         |
| 10.18            |    | Amended and Restated Employment Agreement entered into as of November 14, 2008 by and between Steven E. Zuccarini and InnerWorkings, Inc.(9)† |

----

|             |   |                                                                                                                                                                                                                                                                                                                                                                          |
|------------------|--------|-------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|
| Exhibit No. |   | Description                                                                                                                                                                                                                                                                                                                                                                   |
| 10.19            |   | Amended and Restated Employment Agreement entered into as of November 14, 2008 by and between Eric D. Belcher and InnerWorkings, Inc.(9)†                                                                                                                                                                                                                               |
|             |   |                                                                                                                                                                                                                                                                                                                                                                          |
| 10.20            |   | Employment Agreement effective as of July 16, 2008 by and between Joseph Busky and InnerWorkings, Inc.(10)†                                                                                                                                                                                                                                                             |
|             |   |                                                                                                                                                                                                                                                                                                                                                                          |
| 10.21            |   | Credit Agreement, dated as of May 21, 2008, by and among InnerWorkings, Inc., as borrower, JPMorgan Chase Bank, N.A., as administrative agent, Banc of America Securities LLC, as syndication agent, J.P. Morgan Securities Inc., as sole bookrunner and sole lead arranger, and certain financial institutions that are or may from time to time become parties thereto.(11) |
|             |   |                                                                                                                                                                                                                                                                                                                                                                          |
| 10.22            |   | Pledge and Security Agreement, dated as of May 21, 2008, by and among InnerWorkings, Inc., the subsidiaries of InnerWorkings, Inc. listed therein, and JPMorgan Chase Bank, N.A., in its capacity as administrative agent for the lenders party to the Credit Agreement.(11)                                                                                                  |
|             |   |                                                                                                                                                                                                                                                                                                                                                                          |
|  10.24      |   | Credit Agreement, dated as of August 2, 2010, by and among InnerWorkings, Inc., as borrower, Bank of America, N.A., as administrative agent, JPMorgan Chase Bank, N.A., as syndication agent, PNC Bank, National Association, as documentation agent, and the other lenders party thereto. (14)                                                                               |
|             |   |                                                                                                                                                                                                                                                                                                                                                                          |
|  10.25      |   | Employment Agreement, dated as of July 5, 2007, by and between Inkchaser, Inc. and Jan Sevcik.(15)†                                                                                                                                                                                                                                                                     |
|             |   |                                                                                                                                                                                                                                                                                                                                                                          |
|  10.26      |   | Employment Agreement, dated as of October 1, 2007, by and between InnerWorkings, Inc. and Jonathan Shean.(15)†                                                                                                                                                                                                                                                          |
|             |   |                                                                                                                                                                                                                                                                                                                                                                          |
|  10.27      |   | Separation and Independent Contractor Agreement, dated as of January 19, 2011, by and between InnerWorkings, Inc. and Jonathan Shean.†*                                                                                                                                                                                                                                 |
|             |   |                                                                                                                                                                                                                                                                                                                                                                          |
| 21.1   |   | Subsidiaries of InnerWorkings, Inc.                                                                                                                                                                                                                                                                                                                                      |
|             |   |                                                                                                                                                                                                                                                                                                                                                                          |
| 23.1   |   | Consent of Ernst & Young LLP.                                                                                                                                                                                                                                                                                                                                   |
|             |   |                                                                                                                                                                                                                                                                                                                                                                          |
| 31.1   |   | Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act 2002.                                                                                                                                                                                                                                                                         |
|             |   |                                                                                                                                                                                                                                                                                                                                                                          |
| 31.2   |   | Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002.                                                                                                                                                                                                                                                                      |
|             |   |                                                                                                                                                                                                                                                                                                                                                                          |
| 32.1   |   | Certification of Chief Executive Officer and Chief Financial Officer pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002.                                                                                                                                                                                      |

| (1)                 | Incorporated by reference to Form S-1 Registration Statement (File No. 333-139811). |
|---------------------|-----------------------------------------------------------------------------------------------|
| (2)                 | Incorporated by reference to Form S-1 Registration Statement (File No. 333-133950). |
| (3)                 | Incorporated by reference to Current Report on Form 8-K filed on October 12, 2006.  |
| (4)                 | Incorporated by reference to Current Report on Form 8-K filed on January 28, 2008.  |
| (5)                 | Incorporated by reference to Current Report on Form 8-K filed on January 17, 2008.  |
| (6)                 | Incorporated by reference to Current Report on Form 8-K filed on November 27, 2007. |
| (7)                 | Incorporated by reference to Current Report on Form 8-K filed on October 8, 2008.        |
| (8)                 | Incorporated by reference to 2008 Proxy Statement on Schedule 14A filed on May 9, 2008.  |
| (9)                 | Incorporated by reference to Current Report on Form 8-K filed on November 18, 2008.      |
| (10)                | Incorporated by reference to Current Report on Form 8-K filed on July 8, 2008.           |
| (11)                | Incorporated by reference to Current Report on Form 8-K filed on May 28, 2008.           |
| (12)                | Incorporated by reference to Quarterly Report on Form 10-Q filed on May 12, 2008.        |
| (13)                | Incorporated by reference to 2007 Annual Report on Form 10-K filed on March 17, 2008.    |
| (14)                | Incorporated by reference to Quarterly Report on Form 10-Q filed on August 6, 2010.           |
| (15)           | Incorporated by reference to Quarterly Report on Form 10-Q filed on May 10, 2010.             |
| †             | Management contract or compensatory plan or arrangement of the Company.                       |
| *    | Filed herewith.                                                                               |

----