(or more recently referred to as Crosslet).

Our BoD buys a company whose principals have since been accused of providing false representations and non disclosure of information during the due dilligence process leading up to the merger. Imagine that.

Revenues for this company fall materially short of what has been forecasted. Imagine that.

Our BoD agrees to make an unsecured loan to TPL and then end up in a legal battle with them. Imagine that.

Revenues from the patent on water cease. Imagine that.

We have been told that the company has liquid assets (as of Feb 28, 2010) necessary to support operations at least through the next twelve months. Imagine that.

Our BoD hired Baroni/Eclat/Attain a year ago and we are still evaluating. Imagine that.

Looking for a partner.....whatever happened to that small time partner we had ...HP

Debbie, the Crosslet (PDSG) technology is strong. The product is good, the business strategy by our former management was not. We are giving ourselves 120 days to try to find a partner who has the name recognition for this software that Patriot/PDSG lacks. Baron is providing his assistance to us and will be consulting and leading the way for partnering. If we see no progress or evidence of success at approaching 120 days, we will most likely sell PDSG. Oftentimes, when you're looking for partners, you end with a buyer. That is certainly something we will consider.

10Q Feb 28, 2010

Crossflo Systems, Inc. Litigation

Under the terms of our Agreement and Plan of Merger (the "Merger Agreement") with Crossflo, and certain of its principal officers, an escrow account was established to hold back approximately 10% of the merger consideration payable to the shareholders of Crossflo (the "Escrow Merger Consideration"). We contend that certain representations and warranties made by Crossflo and certain of its principal officers in the Merger Agreement were false when made, and were false as of the closing of the merger. We submitted a demand to the escrow agent on August 31, 2009 not to release the Escrow Merger Consideration to the Crossflo shareholders and to instead return it to us. A sufficient number of Crossflo shareholders have opposed our demand that the escrow consideration has not been released to either side.

On August 31, 2009, we initiated an arbitration proceeding before the American Arbitration Association against the three Crossflo principal officers who were signatories to the Merger Agreement for having provided false representations and warranties in the Merger Agreement and for nondisclosure of information about Crossflo during the due diligence process leading up to the merger. Those three principal officers deny our claims. An arbitration date has not yet been set.

Cash shortfalls and liquidity issues currently experienced by PDS and TPL, and continued negative cash flows incurred by PDSG, will have an adverse effect on our liquidity. Accordingly, we are in the process of examining alternatives that could allow for the partnering or divestiture of PDSG. If successful, these measures may provide for a further reduction in expenses and cash use, or additionally in the event of divestiture, cash proceeds.

While our current liquid cash resources as of February 28, 2010, are expected to provide the funds necessary to support our operations through at least the next twelve months, the cash flows from our interest in PDS represents our primary significant source of cash generation. In the event of a decrease or interruption in MMP Portfolio licensing we would incur a significant reduction to our cash position as the revenues from our PDSG subsidiary are insufficient to cover the costs of their operations and the costs of Patriot Scientific Corporation as a whole.

2010-04-09 Quarterly report

The Company is continuing to undergo a review of the PDSG subsidiary and hired Attain, LLC (formerly Eclat Consulting, LLC) to provide comprehensive business services. Most recently, these services have focused on expanding the reach of PDSG through identification and development of strategic partnerships capable of providing access to new customer opportunities. This initiative has opened a broader market for PDSG within Federal, State and Local Government

2010-02-18

PDSG began working with the New Jersey State Police in 2004 to enable data exchange from county and other local law enforcement agencies with the state repository, now known as NJ-DEx. Since then, PDSG has continued to work with a number of the 21 New Jersey counties to expand the federated data-sharing model throughout the more than 500 separate law enforcement agencies in NJ, linking them to the state and ultimately with the FBI

2010-01-11 Quarterly Report

The Company is undergoing review of the PDSG subsidiary and has hired Eclat Consulting LLC to provide a business assessment. The PTSC Board also retained outside expertise to validate the technical attributes of PDSG's core product offering, CDX

2009-10-30

Patriot Scientific Corporation (OTC Bulletin Board: PTSC - News) announced that Eclat Consulting, LLC, ("Eclat") will launch a market validation study of the Company's flagship technology, the Crossflo DataExchange platform ("CDX"). This follows on the heels of a completed independent assessment conducted by a Fortune 1000 technology firm in which CDX scored very high marks in all significant categories including product stability, code quality, and overall design rigor.

The Eclat team, lead by CEO Greg Baroni, recently assisted the Company with an assessment of key management, and has also been working with the Company to identify strategic options for the Company's wholly owned subsidiary, Patriot Data Solutions Group ("PDSG"). Patriot's Board engaged Eclat's team of experienced business consultants to help assess the strategic direction of PDSG and to assist in identifying the optimum operational structure and focus of PDSG.

In addition, Eclat is assisting the Company in its search for a Chief Executive Officer with targeted industry experience able to take the company to the next level of growth and revenue. The market validation study will be an essential tool in framing the competencies sought for the CEO candidate

2009-07-16

CARLSBAD, Calif., July 16 /PRNewswire-FirstCall/ -- Patriot Scientific Corporation (OTC Bulletin Board: PTSC - News) announced today that it expects 2009 calendar year revenues for its principal subsidiary, Patriot Data Solutions Group, Inc. ("PDSG"), will fall materially short of the $3 million to $6 million range previously forecasted

2009-07-10

CARLSBAD, Calif., July 10 /PRNewswire-FirstCall/ -- Patriot Scientific Corporation (OTC Bulletin Board: PTSC) announced today that Baroni Management Company LLC of Potomac, Maryland has been retained by the Audit Committee of Patriot's Board of Directors to prepare a strategic assessment of the operations of Patriot's wholly owned subsidiary Patriot Data Solutions Group, Inc. ("PDSG").