Information Analysis Inc. (IAIC)

[MikeDDKing]

IAIC Update as of 10/22/2010

I think IAIC represents an outstanding value at $0.18/share. Here is why:

1. In the most recent quarter they made $0.007/share. They are trading at a trailing PE of 5.

2. They have had 6 consecutive YOY improvements in earnings. I the most recent quarterly report they stated: “We have been aggressively pursuing new business opportunities to increase our order backlog, which should improve revenue results, not only for this year but for future years."

3. They have a pristine balance sheet with book value and cash of $0.17/share. With a last trade of $0.18 you basically get the company for free after netting out the value of the cash/share.

I've been accumulating shares including some I purchased today.