Xedar Corp.

Annual Report:

Income Statement: As of Dec. 31 Thou. US Dollar	2008	2007
Net sales	17,755	11,142
Cost of sales	14,891	7,713
Selling gen. & admin. exps.	9,081	7,909
Income tax	23	17
Interest expense	212	16
Discontd. opers.		74
Minority int.		72
Inc. fr. contng. opers.	(6,452)	(4,441)
Net income	(6,452)	(4,367)
Net income per share basic	(0.24)	(0.19)
Share earns. fr. contng. opers. basic		($0.19)
Discontd. opers. per share basic	(0.24)
Share earns. fr. contng. opers. basic	(0.24)	($0.19)
Discontd. opers. per share basic
Net income per share diluted	(0.24)	(0.19)

Balance Sheet: As of Dec. 31 Thou. US Dollar	2008	2007
Assets:
Cash & cash equiv.	771	432
Accounts receivable, net of allowance	2,602	2,749
Unbilled revenues	183	182
Related party rec.		272
Other current assets	230	165
Tot. curr assets	3,786	3,800
Property and equipment, net	1,824	1,925
Goodwill	7,939	7,954
Intangibles	7,934	10,728
Total assets	21,483	24,408
Liabilities:
Notes pay.	1,815	459
Accts. pay.	1,062	1,126
Cap lease obligs	143
Accrued liabilities	594	637
Defr. revenue	710	639
Line of credit	1,000	1,321
Tot. curr. liabs.	5,324	4,182
Com. stk. n.p.	27,300	25,264
Retained earns.	(12,283)	(5,832)
Other stkholders equity	(211)	(202)
Unearned compensation	(49)	(98)
Total Stockholders' Equity	14,757	19,132
Total liabs. and equity	21,483	24,408

NOTE: Effective Dec. 31 '06, Xedar Corporation acquired Premier Data Services, Inc. Transaction was acctd. for as a reverse acquis., with Premier Data Services, Inc. being deemed the acquiring company. Results reflect the opers. of Premier Data Services, Inc. for all periods presented.