“Our results are highly dependent on the timing and amount of patent license revenues and related margins,” said Fred Falk, president and CEO of e.Digital Corporation. “We have an outstanding complaint against sixteen electronics manufacturers, and the timing and amount of any future patent licenses is uncertain. Current year reductions in operating expenses reflect management cost controls, reductions of certain professional and public company costs and reduced non-cash compensation costs.”

With a goal of reducing costs and aligning to a traditional schedule the Company is now planning an annual meeting in the Summer following the release of its 2011 annual report for the fiscal year ending March 31, 2011. To bridge to the new meeting schedule the Company will hold a shareholder conference call for early March to update on fiscal 2011 activity and plans for fiscal 2012."