This company`s problem to date has not been the capital raised from friendly investors. Rather, it has been from lack of success with its product lines and/or customer`s efforts to market products in market segments that held and continue to hold tremendous promise.(Does anyone see B&O rocking the MP3 world?)

IF, and I state IF, all 100 million shares were to go into the market right now, which they won`t of course, what would we expect to see with the PPS? A 50% dilution would drop this to, oh, let`s see, 6 cents, by today`s valuation? But then the company would have cash so that valuation is up to debate...but certainly >0 and maybe < .12.

Now, if a major studio or OEM launches a high speed downloading service and jointly begins to sell Kino devices in a high profile undertaking with branded entities, the market will most likely discount the authorized share count in light of the market being targeted and the PPS will most certainly climb higher than 50% of today`s market value.

We talk a lot here as if the outstanding share count means anything to a $4 million company, but in reality, no one buys an otcbb based on fundamentals...(paleezze, did any of you?, we buy on the come that this company will execute its target markets, and with that being said, its now approximately $6 million overhead will make this look greatly undervalued.

So, as always, it`s a matter of targeting and hitting the mark with successful products and agressive partners.

Management is about to bring some of this into better focus...then vote with your feet or wallets.