connection and all the well crafted (IMO! LOL) words I`d typed....

It included the possible reasons for the request for authorization to

make available for issue 100M shares.

1) War chest/``poison pill`` to combat a hostile take-over attempt.

2) Availability of cash to support ongoing operations (not likely, they

already have enough authorized and not issued to support operations for

nearly two years at present burn rate. 33.4M shares to be exact.).

3) Availability of cash to support up-front manufacturing costs (e.g.,

for a Kino type product).

4) To build a ``stock treasury`` which amounts to liquid cash to the

tune of around $15M as an assurance of EDIG`s long-term viability as a

going concern to a potential huge customer(s) that is bolking at a

commitment with a ``questionable`` company.

5) Okay, hang on to your hats.... To enable a partnering through equity

investment in EDIG by another party.

Now to elaborate on that last one....and what I think may be going on.

You`ll recall (with possible angst!) my long posts of last weekend

addressing egos, control and such, along with the lack of an exclusivity

agreement. Now, if EDIG refuses to offer exclusivity, and Wencor wants

it, how would they get it? Hostile take-over? Maybe, but EDIG is

posturing (or could posture) to effectively hender such a move. EDIG

clearly (in my mind) doesn`t want to release controlling interest to

anyone.

Next best thing? A partnering with EDIG, with enough EDIG clout to

essentially acquire the exclusivity they may desire. Should say

``probably`` desire in light of all of Wencor`s other recent moves on

privately-held companies. What kind of partnering? How about a ``true``

partnership - 50/50? Equal control; Wencor control in the IFE arena,

``customary`` EDIG control over other facets of operations/products.

So how do I come to this? You`ll recall the ``accumulation theory`` of

early this year. Some speculated that some entity was going through MM

FLCR to acquire a stake in EDIG ``under the RADAR`` - approaching 5% of

outstanding shares. Could have been the case, as some said they figured

the accumulation through FLCR was some 8M shares (which, of 166.6M

outstanding, would amount to just under 5%).

Now EDIG is looking for another 100M shares to compliment the 33.4M

shares sitting in their ``stock treasury``, for a total of 133.4M

shares.

Add 8M plus 133.4M and you get 141.4M shares, or damn close to half of

the newly authorized (and issued, via sale to Wencor) 300M available

shares. 50/50.

Wencor would have all the control they need, and all the control EDIG

would/might(?) be willing to give up. EDIG would get a pocket full of

cash (since Wencor has no stock to offer), assuring its longevity and

enabling other endeavors. No more sweating the financials. And items #2,

3 and 4, above, would be covered, and item #1 eliminated.

So there`s my ``wild speculation`` for the day.

And I KNOW nuttin`!

SGE