:Lick: Vergiss Lotto, Kauf ADVC, da spielt die Musik :lick: - 500 Beiträge pro Seite

[McFlying]

Die Chance auf den Lotto Jackpott ist 1 zu 1 Mio

Da Kaufe ich mit lieber ein paar ADVC

Handelbar nur in USA

Aktueller Kurs 0,0012

Da kann man sich ein paar Millönchen leisten

Am Samstag kamen die zahlen, jetzt wird schon im Raging Bull kurse von 0,05 angepriesen

Ich bin vor 2 Wochen zu 0,0007 rein, verkaufen werde ich keine Aktie, denn hier sind kurzfristig über 1000% drin

Schaut euch mal diese Perle an.

[McFlying]

PERIOD ENDING 30-Sep-04 30-Jun-04 31-Mar-04 31-Dec-03
Total Revenue 1,825 605 - -
Cost of Revenue 1,151 400 - -

Gross Profit 674 205 - -

Operating Expenses
Research Development - - - -
Selling General and Administrative 899 244 69 139
Non Recurring - - - -
Others 70 2 13 107

Total Operating Expenses - - - -


Operating Income or Loss (296) (41) (82) (246)

Income from Continuing Operations
Total Other Income/Expenses Net 215 241 240 734
Earnings Before Interest And Taxes (81) 199 158 488
Interest Expense 39 30 31 38
Income Before Tax (120) 170 126 450
Income Tax Expense - - - -
Minority Interest - - - -

Net Income From Continuing Ops (120) 170 126 450

Non-recurring Events
Discontinued Operations - - - -
Extraordinary Items - - - -
Effect Of Accounting Changes - - - -
Other Items - - - -


Net Income (120) 170 126 450
Preferred Stock And Other Adjustments - - - -

Net Income Applicable To Common Shares ($120) $170 $126 $450

[McFlying]

Wir haben schon mal die 0,04 erreicht, diesmal wird es noch höher gehen

Die Umsätze sind die letzten Tage auch angezogen

[McFlying]

Die letzte PR vom 10 Dezember 2004


Advanced Communications Agrees to Acquire Controlling Interest in Pacific Magtron
Friday December 10, 9:23 am ET
Transaction Will Be a Major Step in Creating New Vertically Integrated Technology Service Business


NEW YORK, Dec. 10 /PRNewswire-FirstCall/ -- Advanced Communications Technologies, Inc. (OTC Bulletin Board: ADVC - News), a holding company with subsidiaries specializing in the repair of computers, peripherals and consumer electronics, and Pacific Magtron International Corp. (OTC Bulletin Board: PMIC - News), a California-based distributor and reseller of computer systems, components, peripherals and software, announced today that Advanced Communications has agreed to acquire a 62% interest in the outstanding common stock of Pacific Magtron, pursuant to the terms of a stock purchase agreement among Advanced Communications and Ted Li and Cynthia Lee, controlling shareholders and executive officers of Pacific Magtron.
ADVERTISEMENT


Under the terms of the agreement, Advanced Communications will purchase 6,454,300 shares of Pacific Magtron`s common stock from Li and Lee at $0.077 per share, for a total purchase price of $500,000 payable by Advanced Communications` issuance of one-year promissory notes convertible into shares of Advanced Communications.

The parties expect the acquisition to close within the next 30 days. Completion of the transaction is subject to customary closing conditions, and to the conclusion of certain arrangements currently being negotiated with holders of the Series A Convertible Preferred Stock issued by Pacific Magtron, expected to include some principal reduction as well as adjustments to the terms of the convertible preferred stock. If the transaction closes on or before December 31, 2004, Advanced Communications would, on a consolidated basis, report consolidated assets of approximately $22 million.

Li co-founded Pacific Magtron in 1990 and has been its CEO since 1995. He has over 25 years of experience in the computer software and hardware arena and is responsible for Pacific Magtron`s operations, financial activities and technical functions. Li will remain with Pacific Magtron as chief financial officer and chief operating officer under a three-year employment agreement.

Lee, who co-founded Pacific Magtron with Li, has over 20 years of experience in the computer manufacturer and reseller`s marketplace and is responsible for Pacific Magtron`s sales and purchasing operations. Lee will remain with Pacific Magtron as executive vice president under a two-year employment contract, primarily focusing on product procurement and business development in the Asian market and the Pacific Rim.

Wayne Danson, Advanced Communication`s president and chief financial officer, said, "This represents another constructive step toward Advanced Communications` evolvement into a national vertically integrated service and technology business. Pacific Magtron complements our technology repair business, Cyber-Test, and this affiliation gives us the opportunity to improve our product sourcing, expand our customer base and strengthen our logistics. We expect the transaction will be accretive and will significantly strengthen our long-term growth prospects."

Li said, "We believe this affiliation offers outstanding prospects for all parties. We anticipate that it will broaden Pacific Magtron`s opportunities for its customers and shareholders, and present significant opportunities for growth."

Lee added, "Building a stronger team is the way of the future. We believe that becoming a strong teammate of the Advanced Communications group will help us to strengthen our product offerings, provide additional resources and allow Pacific Magtron to better serve its customers."

Martin Nielson, president and chief executive officer of Encompass Group Affiliates, Advanced Communications` operating subsidiary, will assume the title of president and chief executive officer of Pacific Magtron upon closing of the stock purchase. Nielson said, "Pacific Magtron has had an excellent reputation as a major multimedia and storage peripheral distributor in Silicon Valley since its inception in 1990, has provided over 1,800 different microcomputer products to over 8,000 system integrators in the United States and abroad. Plus, it has a solid online reselling presence, livewarehouse.com, and a systems integration business in Georgia. An affiliation with Pacific Magtron and access to its network will give us a distribution engine that spans from East to West coast, an Asian presence and an expanded services offering."

"We intend to aggressively implement commercial programs between the companies to take full advantage of the synergistic opportunities, although Pacific Magtron will continue to operate as a separate public company and its stock will continue to trade on the over-the-counter bulletin board under the PMIC symbol upon completion of the transaction. We believe both companies will realize the expected commercial benefits and synergies of improved sales and profits, along with a reduction of costs. So we think this acquisition perfectly serves our stated expansion goals of becoming a leader in integrated technology and service," Nielson said.

In connection with the transaction, Pacific Magtron also announced that it has hired Rick Martin as executive vice president in charge of strategic business development and marketing. Martin has over 25 years of experience in product management, marketing, and distribution channel development with such companies as Compaq Computer, BusinessLand and Gap Stores. Most recently, Martin served as chairman and chief executive officer of Positive Communications, a privately held national wireless services provider.

About Pacific Magtron International Corp.

Pacific Magtron International Corp., based in Milpitas, Calif., is a publicly traded distributor, e-commerce reseller and system/solution provider of a wide range of systems, hardware components and software with a strong growth of online sales. Its customer base includes a wide spectrum of technology-based suppliers to the consumer, corporate, educational and government markets. Pacific Magtron offers over 1,800 different computer products from more than 50 vendors including a line of peripherals sold under its trademarked "EZ-Media" brand name. It has long-standing relationships with many of the industry`s most recognizable and innovative computer peripheral manufacturers, including Microsoft, Sony, Plextor, Creative Labs, Adaptec, ATI, Kingston and Logitech, among others. Pacific Magtron also maintains and operates a system integration facility located in Norcross, Georgia. For more information, visit Pacific Magtron`s website at http://www.pacificmagtron.com .

About Advanced Communications Technologies, Inc.

Advanced Communications Technologies, Inc. is a New York City-based public holding company that, through its wholly owned subsidiary and principal operating unit Encompass Group Affiliates, Inc., owns Cyber-Test, Inc., an established electronic equipment repair company based in Longwood, Fla. Through its wholly owned investment subsidiary Hudson Street Investments, Inc., Advanced Communications also owns a minority interest in Yorkville Advisors Management, LLC, an investment management partnership. For more information, visit Advanced Communications` website at http://www.advancedcomtech.net .

A profile for investors on Advanced Communications may be found at the website http://www.hawkassociates.com/advancedcommunications/profile.htm" target="_blank" rel="nofollow ugc noopener">http://www.hawkassociates.com/advancedcommunications/profile.htm .

An online investor kit containing Advanced Communications` press releases, SEC filings, current price Level II quotes, interactive Java stock charts and other useful information for investors can be found at http://www.hawkassociates.com and http://www.hawkmicrocaps.com .

This release and oral statements made from time to time by the Company`s representatives concerning the same subject matter may contain "forward looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These statements can be identified by introductory words such as "expects," "plans," "intends," "believes," "will," "estimates," "forecasts," "projects" or words of similar meaning, and by the fact that they do not relate strictly to historical or current facts. Many factors may cause actual results to differ from forward-looking statements, including inaccurate assumptions and a broad variety of risks and uncertainties, some of which are known and others of which are not. Known risks and uncertainties include those identified from time to time in the reports filed by the Company with the Securities and Exchange Commission, which should be considered together with any forward looking statement. No forward looking statement is a guarantee of future results or events, and one should avoid placing undue reliance on such statements.

Contact Information
Hawk Associates, Inc.
Frank N. Hawkins, Jr. or
Julie Marshall
Phone: [phone]
E-mail: [e-mail]




--------------------------------------------------------------------------------
Source: Advanced Communications Technologies, Inc.

[McFlying]

22Million in assets is what ADVC would show when deal goes through. Thats a good add to them. Looks like the ones who own this and like it are going to get some rewards soon.
62% of an .08 stock looks to make ADVC a .05 stock.

(Voluntary Disclosure: Position- Long; ST Rating- Strong Buy; LT Rating- Strong Buy)

- - - - -

[Maniatis]

@ 1

1:14.000.000

bzw.

1:140.000.000

je nachdem ob mit Superzahl oder ohne...

[Mers74]

#2:

Dir ist aber schon bewusst das Zahlen in Klammer Verluste sind?
Demnach hat es diese Firma also geschafft den Verlust zu vergößern. Das haben schon ganz andere vorher geschafft.

[Frank67]

Trotz konsolidierte Umsatzes der Cyber-Test -Akquisaition wude ein Verlust ausgewiesen. Der ist weitgehend auf die Akquisitionskosten zurückzuführen.

Nichtsdestotrotz:
Der Buchwert beträgt 8 Mio, wir ziehen die langfristigen Schulden von ca. 2,7 Mio ab (wenn die Zahl aktuell ist)
Bleiben 5,3 Mio. Die Marktkap. beträgt nur 2,3 Mio USD

ADVC agiert in einem sehr zersplitterten Markt, Akquisitionen scheinen mir hier lohnend zu sein. ADVC ist eine Holding wird also extern und weniger intern wachsen.

Wenn wir konservativ den Umsatz 1,8 Mio aufs GJ hochrechnen, werden hier 7,2 Mio USD mit 2,2 Mio Marktkap. bewertet und dass bei diesem Wachstum. 2005 muss allerdings Cashflow generiert werden. Das 2004 Verluste ausgewiesen werden, ist ok. Dadurch kaum Steuerbelastungen. Verluste könnten vorgetragen werden, so dass der cashflow nicht von Steuern aufgefressen wird.

Risiken sehe ich mittelfristig bei der Finanzierung des Wachstums. Es müssen also Konsolidierungsquartale/-jahre kommen.

Ich denke, dass bei dieser Marktkap. die Risiken eingepreist sind. Ein paar Stücke kann man sich hinlegen.

Im übrigen sind die Nettomargen im Servicebereich nicht so übel.

[McFlying]

Geht hier morgen die Post ab

Es sind viele Gerüchte im Umlauf, das bald eine Power News kommen soll.

Ich bin gespannt und halte meine Anteile zu 0,0007

[Frank67]

@9 in welchem Umlauf bitte ? Quellen?

[McFlying]

0,0015

[McFlying]

schon 40mio gehandelte Aktien.

Kommt hier noch was

[Frank67]

@Mc in der Tat, das Volumen war am Aonntag enorm, Zeit zum Einstieg oder Nachkaufen. Jetzt besonders auf Nachrichten achten, falls Du was hast bitte einstellen, ich werde auch sehen, ob ich was rauskriege.

Schönes WE

[Frank67]

Aonntag ... natürlich Freitag...

[McFlying]

Geht klar

[McFlying]

Die größten Pakete wurden zu ,0014 und ,0015 gekauft

[Skardul]

Hallo zusammen,

ich bin bei 0,0008 rein und habe mir ca 4,5M zugelegt.

In mehreren Boards hört man was von Gerüchten.
Das sich da irgendwer in so großen Massen eindeckt,
bekräftigt diese Vermutung nur noch.

Nur konnte ich keine Informationen finden - alles nur: "Große News zu erwarten"

Mein Kursziel (long) läge bei ca. 0.0030. Andere Meinungen?

[McFlying]

,0015

[McFlying]

Bid ,0014

[Frank67]

so, wir haben heute schonmal die 0,0025 gesehen, McFlying, das bedeutete für Dich ca 250% Kursgewinn.

ADVC hat in einem Verfahren 8 Mio USD von ehemaligen Mitarbeitern zugesprochen bekommen.

Originaltext auf

www.hawkassociates.com

Habe den Originaltext nur überflogen, schaue ich mir dann mal genau an.

Der Kurs kommt momentan zurück. Sicher gut.

Ich denke da geht auch mittelfristig einiges ab.

Gruß Frank

[McFlying]

Frank

ich habe ca. 60 % bei 0,0024 abgeladen.

Bleibe mit dem Rest noch drin.

Hier wird noch einiges kommen.

[McFlying]

Die 2 Welle müsste heute noch kommen

[McFlying]

Bid 0,0020

Kommt gleich


Die perfekte Welle

[McFlying]

Ask 0,0023

[McFlying]

Date Open High Low Last Change Volume % Change
12/27/04 0.0015 0.0025 0.0015 0.0022 +0.0009 238749281 +69.23%


Composite Indicator
Trend Spotter TM Sell

Short Term Indicators
7 Day Average Directional Indicator Buy
10 - 8 Day Moving Average Hilo Channel Buy
20 Day Moving Average vs Price Buy
20 - 50 Day MACD Oscillator Buy
20 Day Bollinger Bands Buy

Short Term Indicators Average: 100% - Buy
20-Day Average Volume - 33422719

Medium Term Indicators
40 Day Commodity Channel Index Buy
50 Day Moving Average vs Price Buy
20 - 100 Day MACD Oscillator Buy
50 Day Parabolic Time/Price Buy

Medium Term Indicators Average: 100% - Buy
50-Day Average Volume - 16407926

Long Term Indicators
60 Day Commodity Channel Index Buy
100 Day Moving Average vs Price Buy
50 - 100 Day MACD Oscillator Buy

Long Term Indicators Average: 100% - Buy
100-Day Average Volume - 12811600

Overall Average: 88% - Buy

Price Support Pivot Point Resistance

0.0022 0.0011 0.0021 0.0031

[McFlying]

Heute wird es wohl bis 0,0030 gehen.

Bid zieht vorbörslich wieder an

[McFlying]

Die größten käufe fanden gestern zu 0,0023 und 0,0024 statt.

das wird heute wieder ein dunkelgrüner Tag

[Dynamo13]

Das,war wohl nix!?....0,0016$.

[McFlying]

Bin mit dem Rest zu 0,0020 raus nachdem ich ausgestoppt worden bin

Zu 0,0016 wieder rein

Es gibt einen Rebound

Aktuell ,0018

[McFlying]

Die News ist bei diesen Kursen nicht mal mehr eingepreist.

Wir müssten locker bei 0,0025 stehen.

Vielleicht sehen wir die Heute noch

[McFlying]

0,0019

[Skardul]

@McFlying

Das Bid geht wieder runter
Aber bei der nächsten Bilanz tauchen die 8 Mille dann auf.
Vielleicht werden hier aber auch erstmal stopp-losses aufgesammelt...
Mal abwarten...

Skardul

[McFlying]

Das Bid wird wieder anziehen.
Man darf nicht vergessen das wir vor dem Anstieg von ,0015 kommen.

Die News ist ja noch gar nicht eingepreist.

Alles unter 0,0025 ist geschenkt.

[McFlying]

,0018

[McFlying]

,0019

[alexbo]

bin schon seit einem Jahr im ADAC

He, Flieger, was macht PBDY?

[McFlying]

Hi Alex

bin letztens noch raus bei ADVC , bei 0,0016 wieder rein

PBDY will noch nicht so ganz

Habe meine Stücke bei 0,015 zum Verkauf stehen, nur es wird ja seit Tagen nichts mehr gehandelt

[McFlying]

Advanced Communications Acquires 62% Controlling Interest in Pacific Magtron
NEW YORK, Jan 03, 2005 /PRNewswire-FirstCall via COMTEX/ --

Advanced Communications Technologies, Inc. (OTC Bulletin Board: ADVC), a holding company with subsidiaries specializing in the repair of computers, peripherals and consumer electronics, announced that it has completed the acquisition of 62% of the outstanding stock of Pacific Magtron International Corp. (OTC Bulletin Board: PMIC), a California-based distributor and reseller of computer systems, components, peripherals and software.

Under the terms of the agreement, Advanced Communications purchased 6,454,300 shares of Pacific Magtron`s common stock from Ted Li and Hui Cynthia Lee at $0.077 per share, for a total purchase price of $500,000 payable by Advanced Communications` issuance of one-year promissory notes convertible into shares of Advanced Communications. Pacific Magtron will continue to operate as a separate company and its common stock will continue to trade on the Over-the-Counter Bulletin Board under the PMIC symbol.

Wayne Danson, Advanced Communications` president and chief financial officer, said, "During its 14 years of operation in the distribution and reselling industry, Pacific Magtron has accumulated a customer base of thousands of leading retailers, technology-based system integrators and other resellers. With the acquisition of a controlling interest in the company, Advanced Communications integrates Pacific Magtron`s customers with those of our technology repair business, Cyber-Test, in order to strengthen both companies` bases. Pacific Magtron also brings annual revenues in excess of $70 million. With this partnership, our assets have grown to $22 million with an annual top-line run rate of approximately $80 million."

Ted Li, who co-founded Pacific Magtron in 1990 and has been its CEO since 1995, has over 25 years of experience in the computer software and hardware arena and is responsible for Pacific Magtron`s operations, financial activities and technical functions. Li will remain with Pacific Magtron as chief financial officer and chief operating officer under a three-year employment agreement.

Li said, "The expanded resources that Advanced Communications brings to the table will benefit Pacific Magtron significantly. The execution of their acquisitions strategy in related industries should expand our customer base for the distribution and sales of computer systems, components, peripherals and software. The structure is a perfect fit for our company."

Hui Lee, who co-founded Pacific Magtron with Li, has over 20 years of experience in the computer manufacturer and reseller`s marketplace and is responsible for Pacific Magtron`s sales and purchasing operations. Lee remains with Pacific Magtron as executive vice president under a two-year employment contract, primarily focusing on product procurement and business development in the Asian market and the Pacific Rim.

Lee added, "This cooperative relationship is a giant step forward for Pacfic Magtron in terms of our ability to source and market not only our existing offerings, but significantly increase the breath of offerings to an expanded customer base. It will also result in a stronger team of professionals in the computer and office equipment-related industry."

Martin Nielson, president and CEO of Encompass Group Affiliates, Advanced Communications` operating subsidiary, has assumed the title of president and CEO of Pacific Magtron. Nielson said, "We are delighted to have acquired control of a company that puts us on track toward achieving our goal of becoming the go-to source for office-related technology and services. Pacific Magtron has provided over 1,800 microcomputer products to over 8,000 system integrators and resellers in the United States and abroad. The company has established a reputation of excellence as a major multimedia peripheral distributor in Silicon Valley since its inception in 1990.

"We are in the process of implementing commercial programs that take advantage of the synergies provided by owning both Cyber-Test and our controlling interest in Pacific Magtron. These new programs will incorporate the benefits of improving our sales while reducing our costs of products and services. This acquisition should benefit all parties involved, from shareholders to customers. When combined with the assets we acquired earlier in the year plus the enhancements realized recently in our balance sheet, it`s a win-win transaction."

[McFlying]

Unter den Begriffen der Übereinstimmung kauften Vorgesetzte Nachrichtentechniken 6,454,300 Anteile Pacific Magtrons üblichen Vorrates von Ted Li und Hui Cynthia Lee bei $0.077 pro Anteil, für einen totalen Kaufpreis von bezahlbarem $500,000 von der Emission der Vorgesetzten Nachrichtentechniken von ein-Jahr Promessenkabriolett in Anteile von Vorgesetzten Nachrichtentechniken. Pazifisches Magtron wird fortfahren zu funktionieren, wie eine getrennte Gesellschaft und sein üblicher Vorrat fortfahren werden, auf dem Over-the-Counter-Anschlagbrett unter dem PMIC-Symbol zu handeln.

[McFlying]

Bid 0,0020

[McFlying]

Nach einer Woche Freiheitsentzug bin ich wieder da

Eben gelesen im Raging Bull

Es wird spannend




Never considering current number of O/S (2,x00,000,000)

For a capitalisation of $ 2,000,000,000 + to be justified (fundamentals), assming an optimistic multiplier of 20, the company should show a net profit of $200,000,000 onsidering current number of O/S.

IF this thing hits $0.01 within 2005, someone having bought at $0.001/share would have multiplied his SPECULATED capital by 10.

For that to be (only considering fundamentals again), a profit/share of $0.0005 and a multiplier of 20 would be required. That`s a profit of (2,000,000,000 X .0005) $ 1,000,000 over 12 months.

Still quite far from that but:

- I like what the management does
- Speculators and traders may provoke a PPS spike to 0.01 per share.

[McFlying]

Es kommt noch etwas gewaltiges auf uns zu

Bid in USA 0,0018

[Skardul]

Wenn wir nur mal die 0.0020 richtig knacken würden...


Skardul

[McFlying]

Gute Nacht

[McFlying]

Guten Morgen

[Skardul]

@McFlying

Verbringst Du den ganzen Tag hier?

Guten morgen und bald gute Quartalszahlen

Skardul

[McFlying]

Skardul

Es ist nur eine frage der Zeit wann ADVC ausbricht.

Es wird das 10q erwartet, dann kann es Richtung 0,0030 starten

Ich gehe kurzfristig von 200% Kurssteigerung aus

[Skardul]

@McFlying

Ich denke ich gehe dann bei 0,0030 raus
aber leider hänge ich noch bis Juni in der Speku-Frist
Der Widerstand bei 0.0020 ist sehr hart im Moment.

Ich Februar ist glaube ich 10q und dann hoffe ich, dass die nicht wieder nach den Zahlen runterkommen, so wie das des öfteren bei OTC der Fall ist...

Skardul

[McFlying]

Bid uns Ask zuiehen ja wieder mächtig an

0,0018 - 0,0019 Dollar

Bald sehen wir den halben penny, davon bin ich überzeugt

[McFlying]

Im Tageshoch geschlossen zu 0,0019

Sehen wir morgen vorm WE eine Rally


Short Term Indicators
7 Day Average Directional Indicator Buy
10 - 8 Day Moving Average Hilo Channel Sell
20 Day Moving Average vs Price Hold
20 - 50 Day MACD Oscillator Buy
20 Day Bollinger Bands Hold

Short Term Indicators Average: 20% - Buy
20-Day Average Volume - 35244875

Medium Term Indicators
40 Day Commodity Channel Index Hold
50 Day Moving Average vs Price Buy
20 - 100 Day MACD Oscillator Buy
50 Day Parabolic Time/Price Hold

Medium Term Indicators Average: 50% - Buy
50-Day Average Volume - 21693520

Long Term Indicators
60 Day Commodity Channel Index Buy
100 Day Moving Average vs Price Buy
50 - 100 Day MACD Oscillator Buy

Long Term Indicators Average: 100% - Buy
100-Day Average Volume - 14912420

Overall Average: 40% - Buy

Price Support Pivot Point Resistance

0.0016 0.0014 0.0017 0.0020

[McFlying]

ITEM 2.01 COMPLETION OF ACQUISITION OR DISPOSITION OF ASSETS
On February 11, 2005, Hudson Street Investments, Inc. ("Hudson Street"), a wholly-owned subsidiary of Advanced Communications Technologies, Inc. (the "Company"), became entitled to receive a distribution of $2,625,000 from Yorkville Advisors Management, LLC ("Yorkville") in exchange for all of Hudson Street`s Preferential Rights Membership Interest in Yorkville, pursuant to the terms of Yorkville`s Limited Liability Company Agreement, as amended. Accordingly, upon its receipt of the distribution, Hudson Street will no longer have any ownership interest in Yorkville. Hudson Street`s receipt of the Preferential Rights Membership Interest was precipitated by the Managing Member of Yorkville announcing that Yorkville will begin winding up its affairs and is expected to dissolve later this year due to recently adopted rules and rule amendments by the Securities and Exchange Commission.

Hudson Street`s ownership interest in Yorkville was originally a minority Common Membership Interest. Pursuant to the terms of a Second Amendment to the Limited Liability Company Agreement of Yorkville entered into on January 31, 2005 among Yorkville, the Company and the other equity owners of Yorkville, the Company`s minority Common Membership Interest was reconstituted as Preferential Rights Interest. As a result, Hudson Street became entitled to receive dividends and other distributions out of Yorkville`s available assets in an amount up to the purchase price paid by Hudson Street for its original Common Membership Interest. The $2,625,000 preferential distribution to be received by Hudson Street represents the entire purchase price paid by Hudson Street for its original Common Membership Interest. The Company`s and Hudson Street`s sole relationship with Yorkville is Hudson Street`s ownership of the Preferential Rights Interest in Yorkville.

In connection with the above arrangements, the Company entered into a Letter Agreement, dated February 11, 2005, with Cornell Capital Partners, L.P. ("Cornell Capital"), whereby Cornell Capital agreed to extend and set the maturity date of a past-due non-interest bearing Promissory Note, in the original principal amount of $3,000,000, issued by the Company to Cornell Capital on January 23, 2004 (the "Note"). In accordance with the terms of the Letter Agreement, the new maturity date of the Note is June 30, 2005.

As consideration for Cornell Capital`s agreement to extend the maturity of the Note, the Company is required to pay an extension fee of $90,000 and a structuring fee of $10,000 to Cornell Capital (together, the "Fees"). In addition, effective as of February 10, 2005, the Note bears interest at the rate of ten percent (10%) per annum on the remaining principal amount outstanding. The Company also agreed to use $1,825,000 of the distribution proceeds to be received by Hudson Street to pay the Fees and repay $1,725,000 of the remaining $2,000,000 of principal outstanding under the Note. The Letter Agreement authorizes Yorkville to deduct from the distribution proceeds the amounts payable by the Company to Cornell Capital and remit such amounts directly to Cornell Capital. To further evidence the Company`s payment of $1,725,000 under the Note and Cornell Capital`s right to receive $1,825,000 of the $2,625,000 preferential distribution directly from Yorkville, the Company and Cornell Capital entered into an Assignment Agreement on February 14, 2005, whereby the Company assigned all of its right title and interest in and to the $1,825,000 to Cornell Capital.

The Letter Agreement also contemplates that Cornell Capital will convert $77,500 of outstanding principal of, plus $38,588 of accrued interest on, a 10% Secured Convertible Debenture, dated November 22, 2002 (the "Debenture"), into 116,088,000 shares of the Company`s common stock. As of the date hereof, Cornell Capital has not exercised such conversion right; however, upon conversion, the Company`s payment obligations under the Debenture will be satisfied in full.

The Company has the right to request monthly draw downs of up to $2,000,000 under a $30,000,000 Equity Line of Credit with Cornell Capital, of which approximately $1,800,000 has been drawn down by the Company to date. As the Company draws down on its Equity Line of Credit and because of periodic conversions of convertible instruments of the Company owned by Cornell Capital, Cornell Capital owns various amounts of shares of the Company`s common stock from time to time and currently owns less than five percent (5% percent) of the Company`s outstanding common stock. In addition, Cornell Capital owns 4,200 shares of the Company`s Series A Convertible Preferred Stock. Yorkville is the investment manager of Cornell Capital.