During the three months ended August 31, 2006, Phoenix Digital entered into licensing agreements with third parties, pursuant to which it received aggregate proceeds of $25,749,000.
The Company’s investment in the joint venture for the three months ended August 31, 2006 provided income in the amount of approximately $12,070,000 resulting from licensing agreements for our intellectual property with Sony, Nikon, Seiko Epson and Pentax for one time payments.
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