Ann: Reinstatement to Official Quotation, page-83

It is no secret that NET has struggled for cash for sometime and in fact the company is lucky to be alive as at one point they came close to becoming insolvent. JT has freely admitted that his greatest challenge he faced in building the company was it's lack of capital.

They have had to borrow funds from all and sundry to keep the ship on course.

The recent capital raise is evidence that they are not happy with some of their earlier borrowing arrangements and wish to retire some of them early.

This cash problem will persist until they become cash flow positive and can fund their own development.

A query was raised at the last AGM as to why the company was pushing its products on so many fronts. eg China, japan, India, Australia etc. No doubt it takes more capital to push your products on so many fronts, before you generate any income, JT could have taken the safer option to restrict development, which would have saved capital, but in doing so the company growth rate would have suffered. This is a management decision where his expertise and judgement is required.

To me we are still on struggle street, but if we can grow sales to $40 Mil in the next year our troubles will be well and truly over. The future of the company will depend on its ability to grow its income. I am quietly confident.