Everyone, Agoracom interface is annoying. I have the entire transcript but it won't allow me to post it. Interestingly I was able to PM it. Anyway here I tried the ending section...

rogue

[AH, 34:10] Can we talk a little bit about the sales channel process. This tends to be an engineer-to-engineer sales kind of process I would think. That’s not an easy exercise particularly in the world we are in today. Have you been able to do that reasonably well from a remote format?

[SV, 34:32] It’s been tough. To the extent that most of our initial target list of customers is in China we’ve been able to get the right people from our office in Shenzhen in their offices and having the right dialogues. I think that’s worked out well. In North America it’s been largely remote. We are making progress. We have meetings all the time. There are a lot of follow-ups, and we do that. But as you know what we are selling is not a standard product. You can’t do a channel sale on it. The sales channels are in fact established almost on a company-by-company basis. There is no channel that can sell an optical engine into a… unless we make our own modules.

[AH, 35:30] Thomas can you give us a sense of where you are in terms of making the transition from the Toronto exchange to the Nasdaq. Maybe a little bit of where you are in terms of your financial structure. Clearly we haven’t talked about revenues, margins, balance sheet, and cash flow at all. Maybe a little background on that would be helpful in the five minutes we have left.

[TM, 35:57] We are not in a position to talk much about revenues because we’re at relatively low revenues and in some cases no revenue. Most of our revenue that we have recognized has to do with NRE. But we can judge what we think our gross margins are going to be by the samples that we are producing. So we are focused mainly, as many companies are, on the expense side. In early November we reported to shareholders that we had $24 million on our balance sheet, and since we burn about $1 million a month in cash. That would suggest that we’ve got 2 years of cash available.

[AH, 36:50] Does the step up of building inventory and building product accelerate that?

[TM, 36:56] On the product side we are not that concerned because the product side inventory is going to be handled mainly by the joint venture, into which by the way we’ve not really put any cash… into that. Our JV partner is handling all of the Capex and all of the Opex associated with the JV. What I think we are looking at though is, as we expand into other vertical markets… we’ve talked recently about the wearables market for example, and our ability to develop and design a spectrometer that’s built into our optical interposer platform. As Suresh just mentioned, the question about whether we should be producing optical engines or we should be producing modules. So as we look at those kinds of moves, that’s going to require capital. We have been saying that we would consider doing a Nasdaq listing for example in connection with a public offering. I think our view now is that we may be better off getting on the Nasdaq as quickly as possible, and saving the capital raise for a later date, since we are not today in need of cash. And, of course, we would never wait until we were absolutely in need of cash.

[AH, 38:38] I would concur with that. Listing on the Nasdaq would probably give your stock a lift, and that in turn would make the raising of capital less expensive.

[TM, 38:47] Absolutely. And so, we’ve had a subcommittee of the board appointed. We’ve had some meetings and that, and some discussions around that, and I think we can say that we are committed to doing the Nasdaq listing as quickly as possible. Because as we look at the landscape and our market cap… I mean we really do believe that one of the biggest challenges in the company for our share price is the fact that we are on the Venture exchange and the OTC in the Unites States.

[AH, 39:18] What are the steps that need to be taken to complete the timetable to getting onto the Nasdaq listing? I think you’ve said in the past that you hoped to do it in Q1, but it might slide into Q2. Any thoughts on what needs to be done in between now and then?

[TM, 39:35] I think in terms of the listing itself, I’m pretty confident we can get that done in Q1. And it’s really at this point just mechanics. We need to go through a consolidation of our shares because we’ve got a lot of shares outstanding at a low price, so we are going to do that. And that has its own mechanics associated with it as far as the Venture exchange is concerned. And our Nasdaq application which has kind of been on hold for a few months, we are now refreshing the documentation and providing responses to the Nasdaq inquiries, and that’s moving along. I really think that timetable is 2 to 4 weeks… in that range in terms of getting through those mechanics. And so, when that is finally decided we will make those dates and those timeframes, or at least a part of the timeframes, available to shareholders.

[AH] ending remarks and good-byes