EDIG is DEBT FREE. They are referencing the deficit from years of stock selling to generate operating capital. It carries no impact going forward that I see and could have some tax advantages going forward as that analyst mentioned but not sure...see a CPA for verification and further explanation.

We Have a History of Losses and May Incur Future Losses. Until the fiscal year ended March 31, 2009 (fiscal 2009), we incurred significant losses and negative cash flow from operations and we have an accumulated deficit of $79 million at March 31, 2009. Our recent profitability resulted from one-time patent licensing revenues and there is no assurance of future licensing revenues from new licensees. Accordingly, we could incur losses in the future until product, service and/or licensing revenues are sufficient to sustain continued profitability. Failure to achieve or maintain profitability will likely negatively impact the value of our securities. Our ability to continue as a going concern is in doubt and is dependent upon achieving a profitable level of operations and if necessary obtaining additional financing.