Insight Enterprises Inc. Fourth Quarter and Year 2001 Earnings Release; Fourth Quarter Pro Forma Diluted EPS — $0.22; Reported Diluted EPS — $0.01

Business Wire, Jan 31, 2002

Business Editors & High-Tech Writers

TEMPE, Ariz.--(BUSINESS WIRE)--Jan. 31, 2002

Insight Enterprises Inc. (Nasdaq:NSIT)

Fourth Quarter and Year Highlights:

-- 10% sequential growth in quarterly consolidated pro forma diluted earnings
per share

-- 11% sequential growth in quarterly consolidated pro forma net earnings

-- 35% growth in Direct Alliance annual pro forma net earnings

-- 8% sequential growth in consolidated net sales for the quarter

-- 2% growth in annual consolidated net sales

-- Annualized inventory turns of 80 times

-- Completed acquisition of leading United Kingdom direct marketer, Action plc

-- Completed acquisition of Canadian direct marketer, Kortex Computer Centre
Ltd.

-- Closed German operations

-- Named to Forbes Platinum 400 Ranking for third consecutive year

                 Pro Forma Financial Summary Table(a)
               (in thousands, except per share amounts)

                                              Three Months Ended
                                                   Dec. 31,
Insight Enterprises Inc.                2001         2000     % change

Net sales                           $  529,860   $  545,348       (3%)
Earnings from operations
 (pro forma(a))                     $   15,843   $   22,932      (31%)
Net earnings (pro forma(a))         $    9,173   $   13,757      (33%)
Basic earnings per share
 (pro forma(a))                     $     0.22   $     0.34      (35%)
Diluted earnings per share
 (pro forma(a))                     $     0.22   $     0.33      (33%)
Shares used in earnings per
 share (pro forma(a)) calculation:
   Basic                                41,724       40,674        3%
   Diluted                              42,513       41,661        2%
Insight Direct Worldwide Inc.
Net sales                           $  503,862   $  516,957       (3%)
Net earnings (pro forma(a))         $    6,317   $   11,604      (46%)
Direct Alliance Corp.
Net sales                           $   25,998   $   28,391       (8%)
Net earnings (pro forma(a))         $    2,856   $    2,153       33%


                                                  Year Ended
                                                   Dec. 31,
Insight Enterprises Inc.             2001            2000     % change

Net sales                           $2,082,339   $2,041,086        2%
Earnings from operations
 (pro forma(a))                     $   72,635   $   92,255      (21%)
Net earnings (pro forma(a))         $   43,635   $   56,299      (22%)
Basic earnings per share
 (pro forma(a))                     $     1.05   $     1.39      (24%)
Diluted earnings per share
 (pro forma(a))                     $     1.03   $     1.34      (23%)
Shares used in earnings per
 share (pro forma(a)) calculation:
   Basic                                41,460       40,461        2%
   Diluted                              42,388       41,948        1%
Insight Direct Worldwide Inc.
Net sales                           $1,979,887   $1,930,179        3%
Net earnings (pro forma(a))         $   33,443   $   48,737      (31%)
Direct Alliance Corp.
Net sales                           $  102,452   $  110,907       (8%)
Net earnings (pro forma(a))         $   10,192   $    7,562       35%

(a) The pro forma data excludes non-recurring charges, net of

taxes, of $8.9 million and $9.7 million for the quarter and

year ended Dec. 31, 2001, respectively, and $680,000 and

$373,000 for the quarter and year ended Dec. 31, 2000,

respectively. Please refer to the attached "Pro Forma

Consolidated Statements of Earnings" for the three months and

years ended Dec. 31, 2001 and 2000 for a reconciliation

between pro forma results and results reported in accordance

with generally accepted accounting principles ("GAAP").

                Quarterly Operating Data Summary Table

                                              Three Months Ended
                                                   Dec. 31,
Insight Direct Worldwide Inc.             2001       2000    % change

% of net sales -- North America            78%        94%     (20%)(a)
% of net sales -- Europe                   22%         6%     270% (a)
Gross profit %                           11.6%      11.0%     0.6%
Pro forma operating expense %             9.4%       7.3%     2.1%
Direct shipments %                         62%        67%       8% (b)
Direct shipments % -- North America        76%        72%      (1%)(b)
Direct shipments % -- Europe               29%        35%     125% (b)
Number of account executives            1,518      1,807      (16%)
Number of account executives
 -- North America                       1,199      1,632      (27%)
Number of account executives
 -- Europe                                319        175       82%
Average order size                    $ 1,006   $  1,333      (25%)
Average order size -- North America   $ 1,174   $  1,457      (19%)
Average order size -- Europe          $   669   $    538       24%
% of sales to businesses                   98%        97%      (3%)(a)
% of unassisted Web sales                13.3%      12.4%       4% (a)
Product Mix:
  Notebooks and PDAs                       13%        17%     (27%)(a)
  Desktops and servers                     16%        16%      (4%)(a)
                                           ---        ---      ----
                                           29%        33%     (16%)(a)
  Software                                 16%        13%      19% (a)
  Storage devices                          12%        11%       2% (a)
  Printers                                 12%         9%      26% (a)
  Networking and connectivity               9%         9%      (3%)(a)
  Monitors and video                        6%         7%     (13%)(a)
  Memory and processors                     5%         8%     (43%)(a)
  Supplies and accessories                  4%         3%      14% (a)
  Miscellaneous                             7%         7%       6% (a)

Direct Alliance Corp.
Net sales mix:
   Service fees                            86%        80%      (1%)(a)
   Product sales                            0%         1%    (100%)(a)
   Pass through product sales              14%        19%     (36%)(a)
Earnings from operations %               17.6%      12.7%      27%