Investor Relations Contact:
Kevin Karas, CFO at 402-475-2525 or click here for more information.

Shareholder value during the year 2010 increased $90 million to $228 million, up 66% over year-end 2009, which out-paced all comparable indexes.

While increasing value for shareholders in any given year is positive, management should be held accountable for continuous and sustainable improvement over a longer timeframe. This level of accountability is welcome and our leadership team is prepared to deliver.

While a variety of financial metrics are used to arrive at an organization’s future prospects, most illuminate the past and are more suited for guidance if you are driving in reverse. In my view, the prospects for sustainable growth are best measured by an organization’s leadership and depth thereof. Studies show poor leadership can destroy fabulous historical performance, while great leadership can circumvent pending disasters and create otherwise unforeseen opportunity.

As I speak about the company’s leadership, I’m reminded of the practice that one should only hire people smarter than themselves. To the degree that’s transpired over the past 30 years at National Research Corporation, it’s not difficult to quantify where that places me.

Consequently, our focus should be directed towards the NRC associates charting the course and allocating resources today and going forward. Without exception, these activities are in the hands of extremely capable associates. Today, our leadership bench is stronger, broader and deeper than at any time in the company’s history. Fresh and robust perspectives abound daily, each grounded in associates’ proven experiences from a variety of relevant fields. Growth momentum is accelerating as we benefit from the cascading impact of “great leaders attract great talent.” I witness amazing levels of enhanced performance throughout the organization, raising the bar for all. I’m convinced when a relentless orientation of attracting, developing and rewarding extremely high achievers becomes embedded in an organization’s culture, the future value of the company becomes easy to quantify. It always points north.

In addition to “job one” of attracting and developing the best and brightest associates, our leadership team is accountable to shareholders for: (1) Delivering sustainable customer value that ensures pricing power and market share gains; (2) Expanding margins through scale, technology and innovation; and (3) Capitalizing on the synergies inherent across our franchise.

Our absolute gain in shareholder value will vary year to year and may even decline momentarily, neither of which causes me concern. If such events keep you up at night, we represent a sleepless investment. On the other hand, if you view leadership as the key, I believe it’s unlikely a better investment is available.

Best personal regards,


Michael D. Hays,
Chief Executive Officer and Fellow Shareholder