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Message: Time Line

Time Line

posted on Feb 19, 2007 06:54AM

One constant on this and most stock forums -- even for companies with earnings and mega sales -- is the view from shareholders that the company is not doing "enough" NOW. It is the relentless pursuit of the "quick buck."

It is probably safe to say EDIG is not a quick buck for many of us. But if you bought in October of '99 and sold in March of '00 you might be singing a different tune. It is about timing. Mine is not so good, but somtimes good thing s actually do come to those who wait...and wait...

IMO, EDIG has now shown progress with eVU sales. That is critical to near term sucess without adding more dilution. Maybe that keeps us in copy paper and pencils for a while, but they will need to continue to grow their revenues.

If the guessing game of eVU margins is close (~35% to 39% GM), EDIG can survive with a few thousand units sold every quarter. That works. However, EDIG is not working on their own time line. They must wait for purchase orders, manufacturing schedules, lead time for parts, payments, etc... My point is the process may not be quick, depending of EDIG's ability to predict and pay for production. My guess (WAG) is some of the financing received will go toward production inventory or parts. Even the most customize eVU will share a lot common parts with any of the other eVU units produced. This helps speed the product(s) to market.

As for IP license, my WAG is we will get some level of update around the end of March. Maybe one of our honorable lawyers can comment on how the open Wencor case would affect a sugar daddy legal teams decision to move forward with contingency deal. I don't know how much it matters, but I suspect EDIG would use separate legal firms for thier ongoing issues -- one which specializes in corporate law and the other in IP patents????

John

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