Your scenerio works if the cross licensing agreements are transferable. I'm not so sure that that is the case. I haven't asked that specific question although it was on my list when I last talked with Robert. I know they are considered an asset and are valued as part of the negotiated settlement. I tried to establish whom among the orrigional 7 settled with cross licensing agreements. I believe LG, Casio, Sanyo and Samsung all did. I'm not 100% certain about Avid but I think not; and both Nikon and Olympus did not include cross licensing agreements.

I have no idea what eDigitals strategy is here. I'm sure Pat Nunley that has orchastrated PTSC's game plan is familar with the companies we've targeted as infringers and aware of the patents they control and has devised the strategy that eDigital and Duane Morris are persuing. The objective being the design of a portfolio capable of who knows what......keep in mind every time we cross license our potential expands. This is not reflected in our share price. No one knows what it means until a product is developed or a partnership is announced. Those of us that have been invested for so long have been chasing potential in the face of significant risk. With each settlement our risk has been reduced while our potential improves. The last financial showed apx 3M in cash reserves, this prior to the Samsung settlement. Our current burn rate is between 130K and 140K / month with 15 employees. Given current conditions our staying power is over 2 1/2 years without the Samsung settlement or additional revenues.

We should know the Samsung settlement figure by the time the shareholders meeting happens. We should know the list of new infringers before then as well. With luck eDigital will be able to announce whom we are partnering with to expand the market for the eVu player. As much as I'm looking forward to the shareholders meeting I'm not convinced it will be webcast and I'm setting my expectations accordingly hoping that I will be pleasantly surprised at the last minute.

Larry