Fred has an option to buy 400,000 shares at $.23. The expiration date of this option is July 1, 2009.

The Fiscal Year ends March 31, 2009 and the 10K will be made available no later than June 30, 2009.

Scenario 1) At July 1, 2009, the share price will be greater than $.23 and Fred will exercise his option to buy; a signal that they expect the price to continue to increase.

Scenario 2) At July 1, 2009, the share price will be less than $.23 and Fred will not exercise his option to buy; a signal that he doesn’t expect the price to continue an upward trend.

This decision will have been based on settlements amounts of at least the 6 infringers identified in the Pacer filings to date.

We have only 4 ½ months to see which way management feels about the patent lawsuits and will we be successful in the very near future.

Pretty simple analysis and I predict Fred will buy and the price will be higher than $.23 as of July 1, 2009.