11. Employee Retirement Plan The Company maintains a defined contribution retirement plan under Section 401(k) of the Internal Revenue Code for eligible employees (the "401(k) Plan"). The 401(k) Plan is funded by employee contributions of up to 100% of gross compensation not to exceed IRS limits, and by discretionary Company contributions. In accordance with the provisions of the 401(k) Plan, employees may make tax-deferred contributions and the Company, at its discretion, may match 50% of employee contributions up to 5% of their earnings. The Company may also elect to make additional contributions to the plan. Company contributions vest over five years of employment. Company contributions amounted to $239,471, $357,998 and $391,067 for the years ended March 31, 2002, 2001 and 2000, respectively. 12. Segment Information The Company operates in a single business segment, which offers similar products and services. The Company's products are similar in nature, providing information technology strategy consulting and systems integration services to customers primarily in the financial services industry, with a primary focus on banks. The Company considered the business of EI as a separate but immaterial segment (see Note 15). 13. Long-Term Investment On September 8, 2000, the Company made a $3 million preferred stock investment, representing a minority interest, in S2 Systems, Inc., a software solution provider in the banking and diversified financial services markets. This investment was stated at cost. During the quarter ended September 30, 2001, the Company determined that its investment was permanently impaired and it was written-down to zero. 14. Commitments The Company leases its facilities and other equipment under operating leases. Rent expense recognized under these leases during the fiscal years ended March 31, 2002, 2001 and 2000 totaled approximately $627,000, $639,000 and $546,000, respectively. Future minimum lease payments due under noncancelable operating leases are as follows: Required Minimum Payments (in thousands) Year ending March 31:    2003 $721                      2004 718                      2005 741                   Total minimum lease payments $2,180                   There were no capital leases outstanding as of March 31, 2002.