Ann: Quarterly Company Update, page-6

Hi Guys,

I've been in FGO for quite some time but decided to sell this morning with a reasonably healthy profit.

Sorry to say that I was not impressed whatsoever with the company update. I have tried to remain patient, but my risk meter has turned red so it's time to move on. IMO, the update was simply rehashing a lot of information that we already knew. In fact, if we want to be honest, CW has been spruiking the same story for quite a few months now and what has really changed. It looks as though it is going to take a lot longer than first envisaged for this company to start making some decent earnings. The proposed cash burn for next QTR is a significant increase with no guarantees that this bird will fly.

All the contract negotiations in the world won't make you any money. I suppose my biggest concern was the fact that we really need the software to run across multiple products of the big companies to make anything close to decent earnings. That may still happen, but when and how many will we see over the next 12-18 months. Unfortunately, the little companies that are 'live' will do little IMHO to increase the coffers of the company to cover the extensive outgoings and business class trips to and from the U.S and other parts of the world. I thought it was a VERY large call to state that they "well funded for the next 18 months". Sorry CW, I've heard similar statements from you before on this issue and we all know what happened there. Keep in mind that it is unclear whether the $2.3mil cash burn for next QTR includes the employment of a sales team to deal with the "increased interest" from U.S, Australian and Asian markets. Increased wages can really dig into a company's coffers when there isn't enough cash coming in from sales.

Anyway, we all have our reasons for moving on and I accept that others have a differing view regarding the potential and future of the company. GLTH that remain invested.

All IMHO.

Biggles