SPRO Spero Therapeutics Inc

SmartPros Ltd. (Nasdaq:SPRO), a leader in the field of accredited professional education and corporate training, today reported results for the three month period ending March 31, 2014. For the three months ending March 31, 2014, compared to March 31, 2013:

• Net revenues of $2.99 million, compared to $3.22 million
• Operating loss of $636,000, compared to operating loss of $578,000
• Earnings Before Interest, Taxes, Depreciation, and Amortization (EBITDA) of ($380,000) compared to ($313,000)
• Net loss of $384,000, or $.08 per diluted share, compared to a net loss of $356,000, or $.08 per diluted share

	THREE MONTHS ENDED
RECONCILIATION OF NET INCOME TO EBITDA	MARCH 31,
	2014	2013
Net (loss)	$ (383,961)	$ (356,482)
Benefit from income taxes	(246,219)	(218,597)
Depreciation and amortization	256,760	268,513
Interest income, (net)	(6,573)	(6,495)
EBITDA	$ (379,993)	$ (313,061)

As of March 31, 2014, the Company had approximately $4.3 million in cash and cash equivalents, $4.4 million in deferred revenue, stockholders' equity of $9.3 million, and no debt. "Our 2014 quarterly loss of $.08 is fairly consistent with our Q1 2013 performance," said Allen Greene, SmartPros' Chairman and CEO. "Our first quarter has historically been a slow quarter for us. While our net revenue came in less than last year, our attention to detail in managing expenses helped us offset the slight decline in revenue. Our financial position is affected by a number of things, including the timing of live seminars, contract renewals and capitalization of assets. As we have stated in the past, timing can have an effect on both the revenue and cash aspects of our business."

Mr. Greene continued: "Over the last several years, and during the economic recession, we have chosen to invest in ourselves. We have built new products, revitalized our course libraries and improved the capabilities of existing products. We see this major building effort tapering down in the second quarter of this year, with the expected completion of major projects in the third quarter. We believe these new and improved products will help us grow in the future. Throughout the recession we have kept a long-term outlook of our company instead of focusing on short-term quarterly results. That said, we will always need to keep our libraries current to be competitive." In addition, SmartPros' Board of Directors declared the Company's 18th consecutive quarterly dividend. The $.015 per share dividend is payable on July 7, 2014, to shareholders of record as of June 20, 2014. The Company cautions that any future dividend will be affected by our results and by our ongoing requirement for cash to make acquisitions. Shareholders and other interested parties are encouraged to contact the Company with any specific questions relating to the Company's public filings.  Investor-related questions can be addressed by calling 914-829-4974, or by visiting SmartPros' Investor Relations site at http://ir.smartpros.com.

SMARTPROS LTD. AND SUBSIDIARIES
Condensed Consolidated Balance Sheets
	March 31,	December 31,
	2014	2013
	(Unaudited)	(Audited)
ASSETS
Current Assets:
Cash and cash equivalents	$ 4,259,862	$ 5,303,657
Accounts receivable, net of allowance for doubtful accounts of approximately $20,000 at March 31, 2014, and December 31, 2013, respectively	1,909,738	2,430,495
Prepaid expenses and other current assets	510,358	340,463
Current income tax benefit	250,000	—
Total Current Assets	6,929,958	8,074,615
Property and equipment, net	543,917	566,475
Goodwill	2,807,257	2,807,257
Other intangibles, net	3,649,092	3,516,411
Other assets, including restricted cash of $75,000	104,165	104,515
Deferred tax asset	600,000	600,000
Investment in joint venture	1,893	2,268
	7,706,324	7,596,926
Total Assets	$ 14,636,282	$ 15,671,541
LIABILITIES AND STOCKHOLDERS' EQUITY
Current Liabilities:
Accounts payable	$ 681,933	$ 1,203,222
Accrued expenses	149,501	234,863
Dividend payable	70,267	70,289
Deferred revenue	4,404,535	4,395,166
Total Current Liabilities	5,306,236	5,903,540
Other liabilities	69,310	70,378
Commitments and contingencies
Stockholders' Equity:
Preferred stock, $.001 par value, authorized 1,000,000 shares, 0 shares issued and outstanding	—	—
Common stock, $.0001 par value, authorized 30,000,000 shares, 5,665,433 shares issued as of March 31, 2014, and December 31, 2013, respectively; and 4,684,441 shares outstanding as of March 31, 2014 and December 31, 2013, respectively	567	567
Additional paid-in capital	17,164,082	17,217,008
Accumulated deficit	(5,218,181	(4,834,220)
Common stock in treasury, at cost – 980,992 shares at March 31, 2014, and December 31, 2013, respectively	(2,685,732)	(2,685,732)
Total Stockholders' Equity	9,260,736	9,697,623
Total Liabilities and Stockholders' Equity	$ 14,636,282	$ 15,671,541

SMARTPROS LTD. AND SUBSIDIARIES
Condensed Consolidated Statements of Operations (Unaudited)
	Three Months Ended
	March 31,
	2014	2013
Net revenues	$ 2,988,003	$ 3,218,667
Cost of revenues	1,545,668	1,427,454
Gross profit	1,442,335	1,791,213
Operating Expenses:
Selling, general and administrative	1,821,953	2,101,027
Depreciation and amortization	256,760	268,513
	2,078,713	2,369,540
Operating (loss)	(636,378)	(578,327)
Other Income (Expense):
Interest income (net)	6,573	6,495
Equity loss from joint venture	(375)	(3,247)
	6,198	3,248
(Loss) before income tax	(630,180)	(575,079)
Benefit from income taxes	246,219	218,597
Net (loss)	$ (383,961)	$ (356,482)
Net (loss) per common share:
Basic net (loss) per common share	$ (0.08)	$ (0.08)
Diluted net(loss) per common share	$ (0.08)	$ (0.08)
Weighted Average Number of Shares Outstanding:
Basic	4,684,441	4,721,914
Diluted	4,684,441	4,721,914

About SmartPros

Founded in 1981, SmartPros Ltd. is an industry leader in the field of accredited professional education and corporate training. Its products and services are primarily focused in the accredited professional areas of corporate accounting, financial management, public accounting, governmental and not-for-profit accounting, financial services, banking, engineering, legal, ethics and compliance, and information technology. SmartPros is a leading provider of professional education products to Fortune 500 companies, as well as the major firms and associations in each of its professional markets. SmartPros provides education and content publishing and development services in a variety of media including Web, CD-ROM, video and live seminars and events. Our subscription libraries feature hundreds of course titles and 2,300+ hours of accredited education. SmartPros' proprietary Professional Education Center (PEC) Learning Management System (LMS) offers enterprise distribution and administration of education content and information. In addition, SmartPros produces a popular news and information portal for accounting and finance professionals serving more than one million ads and distributing more than 200,000 subscriber email newsletters each month. SmartPros' network of Web sites averages more than 1 million monthly visits, serving a user base of more than 1.5 million profiled members. Visit: www.smartpros.com.

Safe Harbor Statement

Statements in this press release that are not statements of historical or current fact constitute "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. These forward-looking statements involve risks and uncertainties, including activities, events or developments, that the Company expects, believes or anticipates will or may occur in the future. In addition to statements that explicitly describe these risks and uncertainties, readers are urged to consider statements that contain terms such as "believes," "belief," "expects," "expect," "intends," "intend," "anticipate," "anticipates," "plans," "plan," to be uncertain and forward-looking. The forward-looking statements contained herein are also subject generally to other risks and uncertainties that are described from time to time in the Company's filings with Securities and Exchange Commission. Specifically, results reported within this press release should not be considered an indication of future performance.

CONTACT: SmartPros Ltd
         Shane Gillispie, VP Marketing Services & eCommerce
         914-829-4974 - shanegillispie@smartpros.com