Ann: Change of Chairman, page-4

I have no interest in shares here but have been watching for a few months. I am interested in that you see Don Sharp as a problem. I was impressed that he stepped back into the company and loaned it a lot of money to fix the problems.

My thoughts were that this was a failed merger and lack of direction once the MGP ( I owned MGP in the early days and made some money - Sold when I thought the sp exceeded the opportunity - around 35c I think) and Linear merger happened - I have never liked mergers where there doesn't appear to be a dominant player. -Am I Naive?

I am a bit uncomfortable that it seems that there are two sources of power within the business - Don Sharp with 33 million shares and a $1 million loan and then the new management team. I must say I think its better when the previous CEO's / Chair rather leave the stage - it's difficult to address past errors with them in the board seats.

The write-off of $10.8 million in software is very unfortunate - won't impact cash flow but that's a whole heap of money that is wasted and will impact the perception and views of both users and investors.

Looked like an opportunity but I thought that it's a bit early to say its all sorted after the RC - I think there is still a huge amount of water to flow and a lot of bloodletting to still happen.

I would love some comments. It's still on my radar but really I have no idea what is a reasonable entry point and the level of risk given what has been coming from the company.