trade and other receivables, page-16

qtk receivables..... This $4.5 million dollar figure is remarkably close to the placement money which was supposed to be received by Thorney! I suspect it relates in some way to either the shares in lock down or the loan from MP.

QTK did not have the stock to book $4 million in receivables, unless of course it represents what they were to be paid for the first 100k transponders in China which they have as yet been unable to provide due to the necessary ulterations.

This is a medium to long term stock. I expect the March quarter to produce something very close to break even based on 500 or so sales of new transponders within Australia.

I dont envisage any chance of a dramatic improvement to their financial reports until at least the half year 07 which is around a year away because until then, i really cant see a great deal of transponders being supplied to China. The company have themselves said that transponders will begin being supplied to Beijing in third quarter this year..Hopefully the company continue with their clear and concise disclose practice and inform us (a) when the necessary alterations and prototype is complete, (b) when full manufacture of transponders commences and most importantly (c) receipt of $$$.

The Aussie operations are coming along nicely and i think the company is currently being valued on Australia alone, i see no China factor at all reflected in the shareprice.