"We wait"

What are we waiting for?

1) IPMetrics was hired to do two things, make contacts and provide infomation to them on Nunchi

2) Also hired to determine the market monetary value of Nunchi. I have asked Fred about did we get what we wanted from the greement with IPMetrics? No answer, and I would suspect the NDA is a mute point by now.

3) We have no idea how much the Nunchi platfortm is worth, either by selling the platform or having licensing agreements.

4) We have no idea if license agreements would sustain the business without any future patent income from settlements.

5) We don't even know if we would win with our current patents and if manyof the large companies are developing other systems to generate similiar data and analyses as compared to our Nunchi.

6) I suggested to Fred that we should develop a single product that would utilize the Nunchi concept to demonstrate the capabilities of the platform before others market their equal systems. And this single product if needed by asking the market what is needed as opposed to guessing internally what is needed could generate hundreds of milllions of dollars alone. We may need products to survive, developiong software, systems, and platforms hasn't been overly successful outside of some settlement revenue and that hasn't helped the accumulated deficit situation.

7) As to MicroSignet, we know nothing about whatkind of prototype they are developing. And if there are many others that are develping security concepts and platforms, then ours may not be as good or may become obsolete in the near future. Agian we have no idea how much it is worth or if lease agreements would sustain the business, much less add futurte growth to continue to enhance the share price.

8) The goal is to add new capabilities to the business, sustain growth, add value to the Income Statement and Balance Sheet and as a result increase the share price to the benefit of the shareholders.

9) We have no assurance that the current strategies in place will generate higher share prices, which is why we have invested our money in the company. Perhaps changes in the company direction should be made.

10) Too many things are unknown to the shareholders, the 6 or 7 bullets from a SHM of several years ago is not a plan by any means. Even small companies have operational and financial plans covering one or more years and are judged against those plans and if they don't show growth and added value, then its essential to make changes in direction, people, BODs, or other areas.

11) As an example, a share price of $5.00 at a PE of 10 equals an EPS for the year of $.50. To generate $.50, we need after tax profit of approximatly $147 million dollars based of the current outstanding szhares of 293 million. Substitute what ever you want, but we need both royalty income, lease income, and product income of significant amounts to achieve anything like the about minimal share price. Plus growth in a year to year comparison.

12) Let Fred run the operations, let Handal run the legal aspect, let Engineering develop the systems and products, but after they have asked the market what their needs are (most companies do that) and then prioritize the engineering efforts. Establish short and long term plans and have actionable objectives to achieve those goals.

13) We have an accumulated deficit of 80+ million dollars and increased the outstanding shares by a couple hundred million in the last 15 years or so, it hasn't worked, major changes are required including new product development. A few license agreements are not going to make it happen without a product or two.

14) Much of what I have said above, I have stated many times in different ways over the last several years, I don't know what else I can say to the board and to management more than once. The proof is in the numbers and where we are today.