Fut -- you raise a very interesting point about revenue recognition for both entities. Thus a question, perhaps for Mr. Flowers:

Is PDS’ revenue recognition policy the same as Patriot’s? Since Patriot only reports its share as equity earnings, whose to say that PDS has not yet recognized revenue from the J settlement (due to whatever) and thus Patriot cannot (yet) report it. Note that our revenue recognition policy relates to what we sell directly, at a minimum, but whether it also encompasses the revenue recognition policy of PDS is another matter ……….. and another question to be answered. Looking at the Q, I see that we discuss our policy, and then the policy of SSDI, our VIE, but not that of our affiliate, PDS. We may not be required to.

The point being, if the resolution involves contingencies, they may be at the ‘PDS level’ and thus do not flow through to PTSC until such time as PDS recognizes the revenues and we then recognize our share of equity earnings.