#1Oloverstock. Q3 2019 Earnings Call#2Forward-looking Statements The information presented herein may contain forward-looking statements. Such forward-looking statements include all statements other than statements of historical fact, including forecasts of trends. You should not place undue reliance on any forward-looking statements, which speak only as of the date they were made. We undertake no obligation to update any forward-looking statements as a result of any new information, future developments or otherwise. Forward-looking statements are inherently difficult to predict. Accordingly, actual results could differ materially for a variety of reasons, including, but not limited to, results of our ongoing review of strategic initiatives, initiatives to improve the performance of our retail business, adverse tax, regulatory or legal developments, competition, and any inability to achieve and/or maintain profitability, generate positive cash flow from operations, raise capital, or borrow funds on acceptable terms. Other risks and uncertainties include, among others, the inherent risks associated with the businesses that Medici Ventures and tZERO are pursuing, including whether tZERO's joint venture with Box Digital Markets, LLC will be able to achieve its objectives and the timing for doing such, the regulatory, technical, operational and other obstacles tZERO faces in each of its initiatives, the effects of key business personnel leaving, our continually evolving business model, difficulties we may have with our infrastructure, our fulfillment partners or our payment processors, including cyber-attacks or data breaches affecting us or any of them, difficulties we may have with our search engine optimization results, and our ability and timing to complete our previously-announced dividend payable in shares of our Series A-1 Preferred Stock. More information about factors that could potentially affect our financial results is included in our Form 10-K for the year ended December 31, 2018, which was filed with the Securities and Exchange Commission ("SEC") on March 18, 2019, in our Form 10-Q for the quarter ended March 31, 2019, which was filed with the SEC on May 9, 2019, in our Form 10-Q for the quarter ended June 30, 2019, which was filed with the SEC on August 8, 2019, in our Form 10-Q for the quarter ended September 30, 2019, which was filed with the SEC on November 12, 2019, and in our subsequent filings with the SEC. The Form 10-K, and our subsequent filings with the SEC identify important factors that could cause our actual results to differ materially from those contained in or contemplated by our projections, estimates and other forward-looking statements. overstock. 2#3Ooverstock TM 3#4Agenda 1. Digital Dividend 2. Business Updates a. tZERO b. Medici Ventures C. Overstock Retail 3. Patent Activity 4. Regulatory Update 5. Summary and Q&A overstock.#5Digital Dividend - OSTKO Benefits Reward our shareholders with access to preferred dividends Transparent settlement for OSTK preferred shares ▪ Benefits to tZERO token trading environment: a. adds tens of thousands of investors b. increases broker-dealer participation ■ overstock. 5#6Digital Dividend - OSTKO Reasons for Shareholder Vote ▪ Allow OSTKO to: a. be more easily transferable in cases like divorce or death b. allow more types of institutions, like banks, to hold tokens ▪ Authorize additional preferred shares to allow issuance on a 1:10 basis overstock. 6#7Digital Dividend Timeline Record December 18, 2019 overstock. Proxy Vote Filing Week of Dec. 20, 2019 Vote February 13, 2020 Digital Dividend Record February 24, 2020* * Distribution March 9, 2020* 7 Dates are best estimates at this time.#8Identity € evernym MINDS NETKI FinClusive overstock. Land Titling A MEDICI VENTURES MEDICI LAND GOVERNANCE Banking & Currency ▬ bitt PEERNOVA spera ripio Capital Markets الله tZERO symbiont Supply Chain 5 Vinsent GRANIN FACTOM Voting Voatz Votem B SettleMint A 8 MEDICI VENTURES#9Identity € evernym MINDS NETKI FinClusive overstock. Land Titling A MEDICI VENTURES MEDICI LAND GOVERNANCE Banking & Currency 11 bitt PEERNOVA spera ripio Capital Markets الله tZERO symbiont Supply Chain 5 Vinsent GRAMMIN FACTOM Voting Voatz Votem B SettleMint A MEDICI VENTURES#10loverstock. tZERO 10#11The way we invest and trade anything of value will fundamentally change as assets become digitized. overstock. 11 tZERO#12tZERO is the next generation capital markets platform capable of tokenizing, trading and settling digital assets. overstock. 12 tZERO#13Security Token Advantages overstock. Democratized Access h Instant Settlement Increased Liquidity کچھ Cost Reduction Automated Compliance $2 Fractional Ownership 13 tZERO#14Market Opportunity & Applications Value of Digital Assets Expected to Double Next Year and Increase 8x by 2022(1) $trn 0.5 8x 1 2 4 2019 2020 2021 Source: (1) Finoa, World Economic Forum, Deloitte, McKinsey. Value includes, public & private equity, bonds, home equity, investment funds and other assets overstock. 2022 - ... $0 LA ART B Real Estate ● . Yield Plays ● ● ● Hard Assets Funds Non-Traded REITs Financial Products Investment Funds ETFs Indices ● Dividend-Paying Assets ● Royalty Streams P & L Monetization Illiquid Assets Private Assets (i.e. equity, debt) Collectibles (i.e. art, cars, spirits) Athletes and Artists Blockchain and Crypto-Related Operating Companies Financial Products Stablecoins 14 tZERO#15Revenue Model Capital Formation Tokenization Partner Referral Fees Consulting & Engineering Support % Capital Raised (Upon receiving placement license) overstock. ● Trading Trade Commissions Recurring Issuer Fees BSTX Listing & Trading Fees (JV) ● Licensing Technology Broker-Dealers Clearing Firms Exchanges 15 tZERO#16Security Token Ecosystem 14 Issuers overstock. Asset Tokenization Technology 3rd Party Token Protocol SECURITIZE (In Process) tZERO Ownership ➡ 3rd Party Token Trading Technology Pro Securities BSTX ATS (In Process) TBD Retail Broker-Dealer (In Process) DINOSAUR CHOICETRADE (In Process) ETC (In Process) 3rd Party Brokerage Investors 16 tZERO#17Goals Completed Last Quarter 1. Streamline Investor Onboarding ✓ 2. Trade More Tokens 3. Improve Token Liquidity a. Launch Crypto App ✓ b. OSTKO Dividend c. Add Broker-Dealers & Clearing Firms d. Launch Retail Broker-Dealer (Q1/Q2 2020) 4. DLR 2.0 ✓ 5. Launch BSTX (Q1/Q2 2020) overstock. 17 tZERO#18Investor Onboarding Statistics 5 Daily Account Open Capacity January - June overstock. 50 Mid-July 150 Mid-October 2019 375 Late-October (Current) 1,000 December 2019 Improvement Details Mid-July: Added full-time compliance team members solely focused on the digital asset account open process. Mid-October: Refined processes and added additional compliance team member. Late-October: Implemented new user experience requiring significantly less manual intervention. December: Intend to fine tune the KYC/AML software, which will enable bulk approval of applications. This could equate to comfortably approving over 1,000 applications per day. 18 tZERO#19tZERO Crypto App Statistics overstock. 596 Monthly Account Approvals June 615 696 11 || July 721 August 827 September October 19 tZERO#20Recent Wins 7/9: Announced Atari movie LOI overstock. 7/30: Overstock Announced Dividend 7/25: Launched Android Crypto App 8/12: Non-accredited investors permitted to trade TZROP 8/6: Awarded patent for records to be anchored into blockchains 8/21: Signed agreement with additional broker- dealer, Choice Trade 9/12: Partnered with BLOQ FLIX to tokenize films 8/20: Added Ravencoin as our third cryptocurrency on tZERO Crypto App 8/29: Launched ACH deposits with Dino 10/16: Signed tokenization agreement for River Plaza 10/14: BSTX JV filed application with SEC for launch of digital security exchange 20 tZERO#21Current Company Priorities 1. Trade More Tokens 2. Enhance Liquidity a. OSTKO Dividend b. Add Broker-Dealers & Clearing Firms C. Merge Crypto & Security Token Platforms d. Launch Our Retail Broker-Dealer (Q1/Q2 2020) 3. Launch BSTX (Q1/Q2 2020) overstock. 21 tZERO#22Trade More Tokens 1. Engaging 160+ Issuers 2. Focus on Building Relationships / Partnerships 3. Sector-focused Outreach 4. Protocol Integrations overstock. 22 tZERO#23Enhance Liquidity Taking a Multifaceted Approach to Improving Liquidity 1 Onboard Additional Broker-Dealers • In discussions with ~120 potential ● broker-dealers Currently onboarding Choice Trade and ETC OSTKO dividend continues to facilitate additional broker dealer interest overstock. ● 2 Launch Our Proprietary Broker-Dealer Allows us to integrate web and app platforms • Received responses from FINRA regarding our application ● 3 Onboard Additional Clearing Firms In discussions with several clearing firms 23 tZERO#24Identity G evernym MINDS NETKI FinClusive overstock. Land Titling A MEDICI VENTURES MEDICI LAND GOVERNANCE Banking & Currency 11 bitt PEERNOVA spera ripio Capital Markets الله tZERO symbiont Supply Chain 5 Vinsent GRAN CHAIN FACTOM Voting Voatz Votem B SettleMint A 24 MEDICI VENTURES#25evernym coindesk Blockchain 101 overstock. Technology 0 ove Markets Busin over st Forbes 1,065 views | Sep 30, 2019, 07:51am Overstock.com Hones In On Blockchain Identity With Medici Ventures And Evernym Partnership Overstock's Venture Arm Invests $2 Million in Blockchain ID Firm Darryn Pollock Contributor Ⓒ Crypto & Blockchain A 25 MEDICI VENTURES#26GRAIN CHAIN coindesk Blockchain 101 Technology COMPUTERWORLD UNITED STATES - overstock. Home > Blockchain WINDOWS By Lucas Mearian Senior Reporter, Computerworld | SEP 25, 2019 5:35 AM PDT GrainChain's Smart Contracts Unite Honduras Coffee Business MOBILE OFFICE SOFTWARE NEWS ANALYSIS How blockchain is helping the coffee industry count beans INSIDER 8 Q Blockchain will enable farmers, bankers, exporters and others track and trace the shipment of coffee beans from grower to retailer. f in A 26 MEDICI VENTURES#27✔Voatz overstock. Verizon LTE GeekWire Settings Verification Status Trending: Air Force's mysterious X-37B space plane lands after spending 780 days in orbit Oregon counties test mobile voting, allowing overseas citizens to cast ballots using smartphones BY MONICA NICKELSBURG on October 16, 2019 at 2:16 pm 15:56 Voatz Jane Doe COINTELEGRAPH 1 42% $v BTC $9,460 ETH $184 By Joeri Cant 2798 Total views XRP $0.30 BCH $269 Two More US Jurisdictions Launch Blockchain-Based Mobile Voting 154 Total shares = Daily Herald LTC $59 NEXT UP EOS $3.33 Listen to article XI 0( MOBILE VOTING Utah's oldest voter among first in state to test out new mobile voting POSTED 6:43 PM, NOVEMBER 5, 2019, BY ELLE THOMAS LIVE 13 5:45 54 LIVE AT 5:30 Mail-in ballots sent out, Vineyard and Payson get ready for ... UTAH VOTERS TEST ELECTION APPOT Utah County mobile voting to include disabled community By Genelle Pugmire Daily Herald Oct 16, 2019 20 27 MEDICI VENTURES#28PEERNOVA coindesk Blockchain 101 Technology 57 overstock. News ✓ + D E QO COINTELEGRAPH The future of money Features ✓ Price Analysis ✓ Market Tools ✓ Cryptopedia By Joeri Cant 3151 Total views OCE 84 Total shares Overstock's VC Arm Joins $31M Funding Round For Silicon Valley in Fintech COOR BTC ETH XRP BCH $9,325 $187 $0.30 $290 +1.49% +3.32% +1.72% +1.40% OOK PeerNova Validates Shift to Enterprise Blockchain With $31 Million Funding OOI V Listen to article LTC $62 +6.75% Industry ✓ V OCT 22, 2019 2:04 A 28 MEDICI VENTURES#29Identity € evernym MINDS NETKI FinClusive overstock. Land Titling A MEDICI VENTURES MEDICI LAND GOVERNANCE Banking & Currency ▬ bitt PEERNOVA spera ripio Capital Markets الله tZERO symbiont Supply Chain 5 Vinsent GRAMAIN FACTOM Voting Voatz Votem B SettleMint A 29 MEDICI VENTURES#30overstock. Oloverstock. Retail TM 30 0000 366068#31Focused Team with a Proven Track Record overstock. Jonathan Johnson CEO, Overstock and President, Medici Ventures Dr. Kamelia Aryafar Executive Vice President and Chief Algorithms Officer Nate Auwerda Chief Technology Officer Meghan Tuohig Chief People Officer Dave Nielsen President, Overstock Retail J.P. Knab Chief Marketing Officer Krista Mathews Chief Customer Officer Carter Lee Chief Administrative Officer Rob Hughes Acting Chief Financial Officer Seth Moore Chief Strategy & Analytics Officer Ron Hilton Chief Sourcing & Operations Officer 31#32Quarterly Retail Adjusted EBITDA Millions $10 $0 ($10) ($20) ($30) ($40) ($50) ($60) overstock. ($50) Q2 2018 ($20) Q3 2018 * ($17) Q4 2018 ($8) Q1 2019 ($2) ($2) $2 100% Allocation* 70% Allocation* Q2 2019 ($5) ($1) Q3 2019 32 Refers to the allocation of Shared Service costs (Finance, Legal, HR, Administration, etc.). Prior periods reflect a 100% allocation to Retail. Retail Adjusted EBITDA is a non-GAAP financial measure. See Reconciliation in Appendix#33Headwinds overstock. ▪ Tariffs Waning market consumer confidence ▪ Increased freight costs Search traffic has taken longer than expected to translate into purchasing customers 33#34Home Furnishings: A $301B Fragmented Market U.S. Market Share of $301B Home Furnishings Retail ¹ 11% Walmart 7% Target 6% TJ Maxx/HomeGoods/Marshalls 6% loverstock. 2 eMarketer, Inc., 2018 2) Bed Bath & Beyond 4% Amazon 65% Others 45% Books music & video 35% Computer & consumer electronics 28% Toys & hobby Online Penetration² 27% Office equipment & supplies 24% Other categories Sources: 1) At Home. "Sales Share of Homewares and Home Furnishings Stores in The United States in 2017." Statista, Statista Inc., 27 Mar 2019 23% Apparel & accessories 19% Furniture & home furnishings $57B Online Home Furnishings Market 9% Health personal care & beauty 4% Auto & parts 2% Food & beverage 34#35Playing to Our Strengths Home retail market segmentation Produced six major customer segments Segmented on: ■ ■ overstock. ● ● ● Savvy Shoppers ● Shopping behaviors Decorating and shopping attitudes Demographics Spending overstock. Focusing where Overstock has the right to win Over-indexed shopping at Overstock Combined market spend of 40% ■ Deal driven & low hassle ■ Reluctant Refreshers ■ 35#36Playing to Our Strengths overstock. ■ Shared characteristics of Savvy Shoppers / Reluctant Refreshers ■ overstock. I Savvy Shoppers + Reluctant Refreshers = 40% of Home Furnishings Market Want a great deal on quality items Seek balance in function, style, ease, and price Want a beautiful, comfortable home Delight in achieving their decorating vision Prefer to shop at Overstock 36#37Expanding Our Advantage Product Findability ▪ World-class data platform and CRM Industry-leading content ■ Simplified product discovery ▪ Machine learning integration Dream Homes for All overstock. overstock ■ Smart Value Quality assortment and on-site experience ■ Build confidence in value Streamlining promotions Post-purchase Excellence ▪ Hassle-free delivery Easy returns Award-winning customer service I 37#38Product Findability 142 140 138 136 134 132 130 128 Time to First Product Full year 2018 overstock. Q2 2019 Q3 2019 0 Time-to-interactive (TTI) Rendering 2018 Q1 2019 Q2 2019 Mobile Desktop Q3 2019 SEO Top 3 Keywords (All Categories) 500,000 450,000 400,000 350,000 300,000 250,000 200,000 150,000 100,000 50,000 0 Mar-17 Apr-17 May-17 Jun-17 Ju-17 Aug-17 Sep-1 Oct-17 Nov-17 Dec-17 Jan-18 Feb-18 Mar-18 May-18 Jun-18 Ju-18 Aug-18 Sep-18 Oct-18 Nov-18 Dec-18 Jan-19 Feb-19 Source: SEMrush Mar-19 Apr-19 May-19 Jun-19 Ju-19 Aug-19 Sep-19 Oct-19 38#39Smart Value: Lower Costs for Quality Goods 16% 14% 12% 10% 8% 6% 4% 2% 0% Jan-19 Feb-19 Mar-19 Apr-19 May-19 Jun-19 Q1 2015 Q2 2015 Q3 2015 Q4 2015 Private Label GMS % of Total Q1 2016 Q2 2016 Net Returns Cost % Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Jul-19 Q2 2018 Q3 2018 Aug-19 Sep-19 Q4 2018 Q1 2019 Q2 2019 Q3 2019 GMS = Gross merchandise sales, calculated as the amount paid by customers overstock. for products (and shipping), measured at the time of order, before coupons and discounts, without reductions for estimated returns. 9.00 8.75 8.50 8.25 8.00 Customer Perceived Price Advantage vs. Other Retailers YOY +0.7% Q3 '17 YOY +0.3% ||| Q3 '18 Source: Bizrate Q3 '19 39#40Smart Value: Lower Costs for Quality Goods Tariffed Products GMS per Day overstock. -12.2% Pre Post Actual and Projected Quarterly Outbound Cost Savings $2,500,000 $2,000,000 $1,500,000 $1,000,000 $500,000 $0 ($500,000) ($1,000,000) ($1,500,000) ($2,000,000) ($2,500,000) Q3 2019 ■ Previous Projection $3.7M Resulting in Carrier Changeouts Q4 2019 ■Actual / New Projection 40#41Post-purchase Excellence % of Products Viewed with ≤ 2 Days Delivery Messaging 30% 25% 20% 15% 10% 5% 0% 6-Jan 20-Jan 3-Feb overstock. 17-Feb 3-Mar 17-Mar 31-Mar 14-Apr 28-Apr 12-May 26-May 9-Jun 23-Jun Inr-2 21-Jul 4-Aug 18-Aug 1-Sep 15-Sep 29-Sep 0 28 Day Repeat Customer % Average YOY +3.7% || Q3 2018 Q3 2019 41#42Q3 Initiatives ● ● Product Findability Q3 Integrate CRM pipeline ✓ ● Increase volume of 3D content ✓ Accelerate growth in our mobile apps overstock. ● ● Smart Value Reduce return cost Complete freight lane implementation X ✓ Expand Private Label ● Post-purchase Excellence Expand 2-day shipping rate ✓ 42#43Current Initiatives Q4 ● ● ● ● Product Findability Enhance mobile experience Establish new ML-ranking logic within internal search Expand award winning dynamic experiences to additional site locations Enhance Style-based personalization and recommendations powered by ML overstock. ● ● ● Smart Value Reduce return cost Expand Private Label Prepositioned doorbusters for lower cost and 2-day delivery Continue testing new value proposition with better balanced price & discount philosophies ● Post-purchase Excellence Free returns for Club O members Leverage ML for accurate delivery Test 1-day shipping experience 43#44Q3 2019 Financial Results: Retail Revenue $340.8 Million 22% decrease vs. Q3 2018 Contribution¹ $34.7 Million 16% increase vs. Q3 2018 overstock. Gross Profit $68.3 Million 20% decrease vs. Q3 2018 Contribution Margin¹ 10.2% vs. 6.9% in Q3 2018 Gross Margin 20.0% vs. 19.5% in Q3 2018 Adjusted EBITDA¹ ($0.6) Million Includes 70% allocation of Shared Service costs 44 1 Retail Contribution, Contribution Margin, and Adjusted EBITDA are non-GAAP financial measures. See Reconciliations in Appendix#45Contribution and Expense Remain in Line Millions $18 $16 $14 $12 $10 $8 $6 $4 $2 $0 overstock. Q4 2018 Monthly Average Q1 2019 Monthly Average Retail Contribution Q2 2019 Monthly Average Retail Tech and G&A Expenses Q3 2019 Monthly Average 45 * Retail Tech and G&A Expenses excluding depreciation, amortization, stock compensation, and 30% (Medici/other allocation) of Inc. costs.#46Quarterly Retail Contribution Millions $45 $40 $35 $30 $25 $20 $15 $10 $5 $0 ($5) ($10) overstock. $18 Q1 2018 ($3) Q2 2018 $30 Q3 2018 I $33 Q4 2018 $39 Q1 2019 $39 Q2 2019 16% Increase $35 Q3 2019 46 Retail Contribution is a non-GAAP financial measure. See Reconciliation in Appendix#47overstock. Patent Activity 47 771#48Overstock Retail Patent Activity overstock. US Patents Pending 26 US Patents Issued or Allowed 19 International (All Status) 4 48#49Medici Ventures/tZERO Patent Activity overstock. US Patents Pending 23 US Patents Issued or Allowed 3 International (All Status) 59 49#50Keiretsu-wide* Patent Activity Totals overstock. US Patents Pending 105 Overstock Retail US Patents Issued or Allowed 36 Medici Ventures / tZERO International (All Status) 76 Other Keiretsu Companies *Includes Overstock Retail, tZERO, Medici Ventures, and all but two of the other keiretsu companies. 50#51overstock. Regulatory Update 171 51#52Summary and Q&A- Focused Execution tZERO ● Onboarding tokens & investors Digital dividend driving adoption Market Opportunity & Applications Value of Digital Assets Expected to Double Next Year and Increase &x by 2022¹) Strn 2019 2021 2020 Source: (1) Finca, World Economic Forum, Deloite, McKinsey Value includes, public & private equity, bonds, home equity, investment funds and other assets overstock. overstock. 2022 Real Estate Hard Assets Funds Non-Traded REITS Yield Plays • Dividend Paying Assets Royalty Streams P&L Monetization Financial Products Investment Funds ETFs Indices Illiquid Assets + Private Assets (ie. equity, debt) . Collectibles (.e. art, cars, spirits) . Athletes and Artists Blockchain and Crypto-Related Operating Companies • Financial Products . Stablecoins tZERO Medici Accelerating existing Keiretsu • Products in production ● Identity evernym MINDS NETKI AFinClusive overstock. A MEDICI VENTURES Land Titling MEDICI LAND GOVERNANCE Banking & Currency bitt PEERNOVA spera rípio Capital Markets tZERO symbiont Supply Chain Vinsent GRA AIN FACTOM Voting ✔Voatz Votem SettleMint MEDICI VENTURES Overstock Retail Sustainable, profitable growth Playing to our strengths ● ● Quarterly Retail Contribution $16 $25 50 315 $10 55) 6101 overstock. Submit questions to [email protected] $18 012018 (63) 02 2018 $30 CB 2018 #2018 OF 2019 16% Increase $35 11 C2 2079 C32019 Reta Contribution is a non-CAAP fnancial measure See Reconsalon in Arpenste 52#53overstock. Appendix#54Q3 2019 Financial Results: OSTK Total Revenue $347.1 Million 21% decrease vs. Q3 2018 Sales & Marketing Expense $34.2 Million 38% decrease vs. Q3 2018 overstock. Gross Profit $69.5 Million 20% decrease vs. Q3 2018 Contribution¹ $35.3 Million 13% increase vs. Q3 2018 Adjusted EBITDA1 ($18.0) Million vs. ($26.8) million in Q3 2018 Ending Cash $83.5 Million vs. $121.3 million at June 30, 2019 54 1 Adjusted EBITDA and Contribution are non-GAAP financial measures. See Reconciliations in Appendix#55Adjusted EBITDA Reconciliation overstock. Adjusted EBITDA Retail tZERO MVI Other Adjusted EBITDA Less: Special items (see table below) Less: Depreciation and amortization Less: Stock-based compensation Less: Interest income, net Less: Other (income) expense, net Less: Provision (benefit) for income taxes Net loss Special items: Impairments on intangible assets Loss on disposal of business Cryptocurrency impairments and gains on sale, net Severance Special legal expenses* Total Special Items $ $ Sep-2019 (575) (11,233) (2,691) (3,461) (17,960) 185 7,518 4,467 (392) 4,781 23 (34,542) 1,406 (1,221) 185 $ Jun-2019 7,464 5,171 1,581 $ (2,460) (8,729) (2,586) (13,207) (4,008) (3,409) (3,987) (13,143) (23,662) 1,757 6,614 3,985 (525) Three months ended 2,995 (622) (27,626) Mar-2019 (276) 6,272 878 $ (42,892) 1,757 1,757 Dec-2018 (16,856) (7,256) (1,714) (1,687) (27,513) 9,565 8,664 2,702 (563) 1,999 (1,939) (47,941) 6,000 3,565 9,565 Sep-2018 (20,160) $ (4,056) (1,691) (897) (26,804) 10,783 7,999 2,246 (282) 1,848 (141) (49,257) 10,783 10,783 $ $ Jun-2018 (50,149) (9,577) (2,693) (425) (62,844) (6,816) 7,535 2,973 (225) (368) (27) (65,916) (6,816) (6,816) 55 *Special legal expenses include charges and credits associated with our Delaware gift card escheatment matter and legal fees associated with pursuing our strategic alternatives. Adjusted EBITDA is a non-GAAP financial measure used in addition to and in conjunction with results presented in accordance with GAAP and should not be relied upon to the exclusion of GAAP financial measures. You should review our financial statements and publicly-filed reports in their entirety and not rely on any single financial measure.#56Quarterly Contribution Reconciliation Total net revenue Cost of goods sold Gross profit Less: Sales and marketing expense Contribution Contribution margin Total net revenue Cost of goods sold Gross profit Less: Sales and marketing expense Contribution Contribution margin overstock. $ $ $ $ Retail 340,798 $ 272,545 68,253 33,551 34,702 10.2% Retail 446,733 366,712 80,021 47,142 32,879 7.4% $ $ $ Sep-19 Other* 6,301 $ 5,006 1,295 664 631 10.0% Dec-18 Other* $ 5,815 $ 4,256 1,559 395 1,164 20.0% $ Total 347,099 277,551 69,548 34,215 35,333 10.2% Total 452,548 370,968 81,580 47,537 34,043 7.5% $ $ Three months ended Jun-19 Other* $ Retail 367,475 $ 294,984 72,491 33,947 38,544 10.5% $ Retail 435,775 $ 350,651 85,124 55,183 $ 29,941 $ 6.9% 6,234 $ 4,826 1,408 613 795 $ 12.8% Sep-18 Other* 4,805 $ 3,213 1,592 129 1,463 30.4% $ Total 373,709 299,810 73,899 34,560 39,339 10.5% Retail 362,625 $ 290,640 71,985 32,933 $ 39,052 10.8% Total 440,580 353,864 86,716 55,312 31,404 7.1% $ Three months ended $ $ $ Retail 477,683 $ 387,252 90,431 93,747 (3,316) $ (0.7%) Mar-19 Other* 5,104 3,965 1,139 544 595 11.7% Jun-18 Other* 5,450 4,138 1,312 669 643 11.8% $ $ $ $ Total 367,729 294,605 73,124 33,477 39,647 10.8% Total 483,133 391,390 91,743 94,416 (2,673) (0.6%) Retail $ 439,996 347,580 92,416 73,917 18,499 4.2% $ $ $ Mar-18 Other* 5,335 $ 3,882 1,453 3,297 (1,844) (34.6%) $ Total 445,331 351,462 93,869 77,214 16,655 3.7% 56 *Other includes our tZERO, MVI, and Other reportable segments. Contribution and contribution margin are non-GAAP financial measures used in addition to and in conjunction with results presented in accordance with GAAP and should not be relied upon to the exclusion of GAAP financial measures. You should review our financial statements and publicly-filed reports in their entirety and not rely on any single financial measure.#57overstock.