OTCPicks.com

FEATURED COMPANY

ECOLOCAP SOLUTIONS (OTCBB: ECOS)

Detailed Quote: www.otcpicks.com/quotes/ECOS.php

Company Profile: http://www.otcpicks.com/ecolocap-solutions-inc.htm

EcoloCap is a US-listed, international company focused on the commercial development of green energy projects in emerging economies, especially in Asia. Rising energy costs, climate change concerns, and the need to reduce greenhouse gases create an unparalleled opportunity for the development of renewable, sustainable energy sources which will be a significant, long-term opportunity for the 21st century. To maximize shareholder value EcoloCap is focused on projects which qualify for Carbon Emission Reduction credits (CERs) registered under the Clean Development Mechanism (CDM) of the United Nations' Kyoto Protocol. EcoloCap utilizes its know-how, capital, technology, engineering expertise, and on the ground operations management to work with governments and enterprises in emerging economies in order to successfully reduce greenhouse gases for both capture and utilization. By this process EcoloCap acquires UN Certified Carbon Credits (CERs) at favorable costs, which are then sold on the world market at prevailing prices.

ECOS News:

October 28 - EcoloCap Signs New Carbon Credit Projects in China

EcoloCap Solutions, Inc. (OTCBB: ECOS) ("EcoloCap") announced that it has in the past two weeks reached carbon credit purchase agreements with several large Chinese industrial companies which represent a 100% increase in the company's supply of CERs over the next 5 years.

The purchase contracts, called Emissions Reductions Purchase Agreements (ERPA), once accredited by the UN, are projected to produce up to 1 million CERs annually when the projects are running at full capacity. These projects will reduce the production of greenhouse gases while also helping to meet China's increasing needs for energy.

Using conservative pricing projections EcoloCap estimates that the additional CERs will increase its revenues by at least $2.5 to 4 million annually after allowing for brokerage commissions and CER acquisition costs. However, current prices for CERs on the World Market are in the range of 17 to 19 Euros (approx. US$21.50 to 24.00) and if prices continue in this range the estimated revenues would be at least 50% higher.

Dr. Tri Vu Truong, President and CEO of EcoloCap said "the projects for which we are currently processing ERPA contracts are solid evidence that our marketing efforts in China are starting to show results. Projects such as this are highly profitable and will have significant recurring revenues for several years. Our revenue estimates cover only the next 5 years however all but one of these ERPA contracts have terms of up to 17 years so there is substantial additional revenue potential over the life of the contracts."

EcoloCap's objective is to double its total CER reserves over the next six to nine months, with an initial target of accumulating a portfolio of 5 million CERs annually.

October 27 - EcoloCap Adds Experienced Asian-Based Director to its Board

New Appointment Significantly Strengthens the Board of Directors

EcoloCap Solutions, Inc. (OTCBB: ECOS) ("EcoloCap") announced that it has added Michael J. Oliver to its board of directors. Mr. Oliver is a senior banking and finance professional with extensive Asian and international experience.

Prior to taking early retirement in 2005, Mr. Oliver had served since 2001 as Regional Board Member of Commerzbank AG, based in Singapore. In this position he was responsible for Commerzbank's merchant banking subsidiaries operating in the Asia-Pacific region, its commercial banking activities and branches in Hong Kong, Shanghai, Singapore and Tokyo, as well as providing regional oversight and corporate governance. From 1993, he had been General Manager and Chief Executive of Commerzbank's Hong Kong branch and prior to that was Senior Manager, Corporate Banking with the London branch.

Before joining Commerzbank in 1986, Mr. Oliver was with the First National Bank of Boston for 18 years, holding a variety of commercial banking and corporate finance positions in the US, Australia and Europe.

The Chairman of EcoloCap, Robert G. Clarke, said "I am extremely pleased to welcome Mike Oliver to the Board. He brings a wealth of experience and his extensive network of senior level contacts across Asia will be a significant help in developing our client and project relationships throughout the region."

Since leaving Commerzbank Mr. Oliver has been based in Singapore and has been involved in business activities throughout Asia.

Coincident with Mr. Oliver's appointment EcoloCap accepted the resignation as a director of Claude Pellerin who resigned to create a vacancy for the appointment of Mr. Oliver. Mr. Pellerin will continue as Corporate Secretary and an officer of EcoloCap and a key member of the management team.

FEATURED COMPANY

COPPER KING MINING CORPORATION (OTC: CPRK)

Detailed Quote: www.otcpicks.com/quotes/CPRK.php

Company Profile:
www.otcpicks.com/copper-king-mining/copper-king-mining.htm

Copper King Mining Corporation currently owns approximately 1200 acres in the Drum Mountains of Utah, which are patent deeded mining claims which contain gold, silver and copper. The company recently added to its holdings by filing six more claims on land which was inside their holdings, but not patent deeded. Contiguous to that acreage is approximately 1100 acres of claims filed by Western Utah Copper Company. As the companies explored the concept of a joint venture on the Drum Mountain properties, it was decided that a very viable consideration was to join the total assets of both companies.

CPRK News:

October 28 - Copper King Responds to Metal Price Volatility

Pre-production procedures bringing mill on line in late November

Copper King Mining Corporation (OTC: CPRK) announced that it has tracked a number of reductions in its projected operating costs that will correspond to reduced metal prices. The cost reductions will serve to soften the impact of the current lower copper, silver, gold and other metal prices. Notably, reduced fuel and materials costs are expected to be realized in the company’s operations.

The company notes that a number of coincidental factors, such as the upcoming election in the United States and recent fears over the condition of World credit markets, have impacted metal prices.

However, the company believes that actual demand for copper and all other commodities is strong and will increase. Further, the potential for inflation, once credit and election uncertainties are eased, will put significant upward pressure on metal prices. The company therefore believes that, as it moves into the production phase on its Hidden Treasure Mine, metal prices will recover upward toward their recent highs and will perhaps begin to move even higher.

In addition, the company believes that the high-grade ore at its Hidden Treasure Mine (in excess of 2% copper with additional credits for silver, gold, molybdenum and magnetite) will also serve to keep its operating costs among the lowest in the industry on a per pound of copper basis. This will help the company maintain its operations on a competitive basis.

FEATURED COMPANY

PERF GO GREEN HOLDINGS INCORPORATED (OTCBB: PGOG)
"Up 10.29% in morning trading"

Detailed Quote: www.otcpicks.com/quotes/PGOG.php

Company Profile:
http://www.otcpicks.com/perf-go-green/perf-go-green.htm

Perf Go Green Holdings, Inc. is engaged in the creation and global marketing of 100% eco-friendly, non-toxic, food-contact-compliant, biodegradable plastic products. All Perf Go Green products are made from recycled plastics and completely break down in landfill within two years, leaving no toxic or visible residue, as compared to other plastics that take hundreds of years. Perf Go Green’s corporate name reflects its “Go Green” mission to develop, market and distribute biodegradable plastic products as a practical and viable solution to eliminating plastic waste from the world environment.

PGOG News:

October 28 - Perf Go Green Adds Leading Supermarket Chain Hy-Vee, Inc. to Distribution Network

Perf Go Green Holdings, Inc. (OTCBB: PGOG) (“Perf Go Green”), a marketer and distributor of biodegradable plastics, announced a distribution agreement with Hy-Vee, Inc. One of the top 30 supermarket chains in the U.S., Hy-Vee operates more than 224 retail stores in the Midwest.

“Our agreement with Hy-Vee is another sign of the overwhelmingly enthusiastic reception retailers are giving our biodegradable plastic bags,” said Perf Go Green Chairman and CEO Tony Tracy. “We're especially excited about this new partnership because Hy-Vee is well-known for its commitment to sustainability and its leadership in bringing health and wellness to mainstream consumers. Perf Go Green's earth-friendly products offer a meaningful way for consumers, companies and their employees to reduce their environmental footprint.”

Perf Go Green will begin shipping its 13-gallon kitchen trash bags and its 30-gallon lawn and leaf bags to Hy-Vee in November 2008.

Founded in 1930, Hy-Vee, Inc. is an employee-owned corporation operating more than 224 retail stores in seven Midwestern states. For 2007 the company recorded total sales of $5.6 billion, ranking it among the top 30 supermarket chains and the top 50 private companies in the U.S.

Founded in November 2007, Perf Go Green premiered at the March 2008 International Home and Housewares Show in Chicago, where its products received an honor for their design quality and innovation. Perf Go Green is proud to be part of the nation's “go green” movement, which is poised to become a $500 billion market by 2009, according to Landor Associates.

Perf Go Green products incorporate recycled plastics that are combined with an Oxo-Biodegradable proprietary application method to produce the film for its bags. Based on environmental claims statements made by the manufacturer of the Oxo-Biodegradable applied to our bags, when discarded in soil and exposed to the presence of microorganisms, moisture and oxygen, we believe Perf Go Green products biodegrade within two years, decomposing into simple materials found in nature much faster than regular plastics, which can take hundreds of years to break down. Through this process and the use of recycled plastics, Perf Go Green effectively removes plastic waste from the environment. In addition, Perf Go Green trash bags utilize a unique patented dispensing system that stores the bags on the bottom of trashcans and dispenses them one at a time, similar to a tissue box.

FEATURED COMPANY

GREEN STAR PRODUCTS INCORPORATED (OTC: GSPI)
"Up 6.67% in morning trading"

Detailed Quote: www.otcpicks.com/quotes/GSPI.php

Company Profile: http://www.otcpicks.com/green-star-products.htm

Green Star Products, Inc., through its subsidiaries, engages in the production and sale of renewable clean-burning bio-diesel and other products, including lubricants, additives, and devices that are used in vehicles, machinery, and power plants. It offers SuperBAT total vehicle treatment, an anti-friction metal treatment used in various internal combustion engines, transmissions, power steering, and wheel bearings. The company also offers a lubricant formula of biodegradable cutting oil for machine shops, as well as water soluble AFT cutting oil for CNC machines. In addition, it engages in the development of fuel economy, power improvement, and emission reduction technologies for internal combustion engines and hybrid electric drive systems. Further, the company produces super-ethanol. It markets and sells its products in the United States and internationally. The company, formerly known as B.A.T. International, Inc., is based in Chula Vista, California.

GSPI News:

October 27 - Green Star States: Energy from Algae is Being Recognized as a Major Solution

Green Star Products, Inc. (OTC: GSPI) announced that, last week, approximately 600 people attended a standing room only two-day conference on the future importance of algae titled “Algae Biomass Summit” hosted by the Algal Biomass Organization (ABO).

The ABO is a not-for-profit trade association dedicated to the advancement of the algae biomass industry, and promotes the development of viable commercial markets for renewable and sustainable commodities derived from algae.

The 2008 Algae Biomass Summit was held on October 23 and 24 in Seattle, Washington, with a capacity audience of more than 600 algae producers, scientists, investors and policy-makers from more than a dozen countries. These experts gathered to accelerate the development of algae-based solutions to global energy, environmental, and economic issues. Keynote speaker and pre-eminent clean technology investor Vinod Khosla set the tone for the conference by stating his belief that given the continued developments in technology, algae can play a significant role in the replacement of petroleum oil.

"I am here today because I believe algae can be a solution," stated Khosla. "I'm convinced someone here (at the Summit) will break the code. The exciting part is to see over 600 people in this room solving the problem. In fact, someone out there may have already solved it and I just don't know yet."

As recently as two years ago, anyone stating that oil produced from algae had the potential to wean the Unites States from foreign oil forever and could reduce Greenhouse Gases (GHG) significantly would have encountered wide skepticism. However today, mainstream corporations from several industries including energy, airline and chemical have concluded that we have discovered one of the world's true natural treasures which could potentially extend society existence beyond the scope of human imagination.

Prominent speakers from all over the world displayed their research and the potential of algae to permanently solve the oil crisis, the food crisis, and control the buildup of global warming gases. The algae biological makeup was also investigated for the possibility to produce chemicals and new products limited only by our ingenuity to create them. The human race has opened the door to a new scientific world. Who knows? In biblical terms it might be what the bible called Manna.

Joseph LaStella, President of Green Star Products, attended the summit and stated, “There was a clear message that algae could be the planet saviour, however, all speakers indicated there is no clear pathway to reduce algae production cost. The general opinion of everyone was that sizeable demonstration facilities would have to be built to provide real costs and operational data.”

Mr LaStella further stated, “This is exactly what Green Star had accomplished in 2007 with its Hybrid Algae Production System (HAPS).”

The Green Star HAPS algae system was demonstrated by building and operating a 40,000 liter algae production facility (see 18-page GSPI's algae production demo report: www.greenstarusa.com/reports/08-05-09GSPIAlgaeDemoReport.pdf), which is still one of the largest algae demo projects ever build to determine real field data. The facility also provided important data on the production costs involved in reaching a final commercial stage.

The HAPS algae system successfully demonstrated a significantly reduced cost while controlling parameters associated with algae growth. The nine-month field study in Montana showed the HAPS system's ability to sustain algae growth while maintaining environmental conditions such as temperature, pH, evaporation, salinity and the control of unfriendly species invasions. Green Star had to prove that this was possible while having the HAPS system costs be 3 to 10 times lower than similar systems presented by other companies at the 2008 Algae Biomass Summit.

In conclusion, Green Star has been involved in the R&D and construction of algae facilities long before algae became an important investment option. The summit was vital to the algae industry because it recognized the on-going research, the current industry efforts, and the importance of algae as a future source of energy and other useful materials to society. The conference showed evidence that the industry is now on a fast track around the world to realizing these goals.

FEATURED COMPANY

MEDIVISOR INCORPORATED (OTC: MVSR)

Detailed Quote: www.otcpicks.com/quotes/MVSR.php

Company Profile: http://www.otcpicks.com/medivisor/medivisor.htm

Medivisor, Inc. provides medical information to healthcare professionals, primarily physicians, through its Web sites, using inter-active, informational, and video and graphic presentations. It also focuses on offering Web site services to various industries seeking direct access to physicians, including providers of continuing medical education courses; sponsors of medical conferences and seminars; and pharmaceutical companies, using an online marketing format known as e-detailing. The company was founded in 2002 and is headquartered in Huntington Station, New York.

MVSR News:

October 15 - Medivisor, Inc. Signs Additional Agreement for Distribution of 'Maximum Energy Shot'; Terms Include $500,000 Minimum Orders for Renewable Contract

Medivisor, Inc. (OTC: MVSR), developer of next-generation focus driven marketing tools, announced today that it has entered into an agreement with Stack-It Distributors, Inc. for the distribution of its newly announced energy drink, Maximum Energy Shot. Medivisor has retained Stack-It Distributors, Inc. to distribute its energy drink, and Stack-It Distributors Inc. is to provide minimum orders of $500,000 for an annually renewable contract. The agreement with Stack-It Distributors is substantially similar to Medivisor's previously announced agreement with Market Quest USA.

"Industry dynamics are changing at a rapid pace and the opportunity to enter into the fastest growing segment of the beverage industry, energy drinks, along side of Medivisor, Inc. is a great opportunity," stated Stack-It President Robert Kaible. "We share common vision and values and expect the brand, Maximum Energy Shot, to be a sales success."

Stack-It Distributors, Inc. is a full-service distribution company committed to being the beverage distributor of choice in the Northeast, sustaining profitable growth for the brands it represents. Headquartered on Long Island, NY, Stack-It prides itself on providing remarkable service to its customers and providing a great culture for its teammates.

FEATURED COMPANY

BRITE-STRIKE TECHNOLOGIES INCORPORATED (OTC: BSTI)

Detailed Quote: www.otcpicks.com/quotes/BSTI.php

Company Profile: http://www.otcpicks.com/brite-strike/brite-strike.htm

Brite-Strike Tactical Illumination Products, Inc. was started by two police officers to create world-class tactical LED flashlights that had the features that police officers and citizens need to keep them safe. Brite-Strike makes a promise to always use the latest technology, world-class components, highest design and manufacturing standards, so consumers can rely on Brite-Strike products when they are needed.

BSTI News:

October 6 - Brite-Strike Tactical Illumination Products, Inc. Receives Solar Product Patent

Brite-Strike Tactical Illumination Products, Inc. (OTC: BSTI) announced that it and Glenn Bushee, President of the Company, were awarded US Patent No. 7,350,692, for a Solar Powered Mailbox/Driveway Lamp. The product, the first commercial product the company has developed which utilizes LED lighting powered exclusively by small solar panels, will be introduced in 2009. The Company plans on developing and distributing products which have the potential to revolutionize the use of LED lighting in this country, through a wholly owned division, Brite-Strike Technologies.

"This product will be our first entry that marries the energy efficiency of LED light with the portability of solar," said Glenn Bushee, President of Brite-Strike. "The technology we developed for our revolutionary tactical flashlights has direct applications for many lighting applications, as we can produce a light far brighter than those currently available in the marketplace. LED lights only use 5% of the equivalent energy of incandescent lights, with almost no heat, so developing products utilizing this technology can make major inroads in cutting energy consumption in this country. Our first product will be of the highest quality, and will function as a driveway lamp with mailbox light, address number lights, and an optional motion-activated light with camera-all powered by solar, with no external wiring required. It will offer incredible value for the consumer. We have other more significant products which we are working on, which will be announced in the weeks to come," said Mr. Bushee.

STOCKS TO WATCH

AVALON PHARMACEUTICALS INCORPORATED (NASDAQ: AVRX)
"Up 275.00% in morning trading"

Detailed Quote: http://www.otcpicks.com/quotes/AVRX.php

Avalon is a biopharmaceutical company focused on the discovery, development and commercialization of first-in-class cancer therapeutics. AvalonRx® is the company's proprietary platform which is based on large-scale biomarker identification and monitoring, used to discover and develop therapeutics for pathways that have historically been characterized as "undruggable." Avalon is headquartered in Germantown, MD.

AVRX News:

October 28 - Clinical Data, Inc. to Acquire Avalon Pharmaceuticals

Expands development capabilities in targeted therapeutics and molecular diagnostics for oncology

Clinical Data, Inc. (Nasdaq: CLDA) and Avalon Pharmaceuticals, Inc. (Nasdaq: AVRX) announced that they have entered into a definitive merger agreement for Clinical Data to acquire Avalon in an all-stock transaction valued at approximately $10 million. The combined company will have a significantly expanded oncology business with a pipeline of promising oncology biomarkers and compounds, and a biomarker discovery platform to identify additional therapeutic and diagnostic candidates. The merger agreement was part of a series of transactions entered into by the companies.

“The acquisition of Avalon is aligned with our core strategy of identifying proprietary biomarkers that correlate with safety and efficacy in the development of targeted therapeutics and genetic tests used to diagnose disease and guide treatment decisions,” said Drew Fromkin, Clinical Data’s President and Chief Executive Officer. “Avalon’s comprehensive biomarker discovery platform, validated by partnerships with leading pharmaceutical companies, extensive library of biomarkers and compounds, and oncology expertise, add to our growing estate of proprietary oncology biomarkers and in-depth knowledge of biomarker and pharmacogenetic test development.”

The merger agreement was one of four separate definitive agreements signed by the companies which included: a) a private placement, b) a secured term loan agreement, and c) an exclusive license to Avalon’s drug and biomarker discovery platform.

Merger Agreement

Clinical Data entered into a definitive merger agreement to acquire Avalon for approximately $10 million in Clinical Data’s common stock, payable to current Avalon stockholders based upon the 15-day volume weighted average price of $12.49 for Clinical Data’s common stock through Monday, October 27, 2008. Additionally, as part of the merger, Clinical Data will issue contingent value rights to Avalon stockholders, payable for up to $2.5 million of additional shares of Clinical Data’s common stock, upon the receipt of certain milestone payments that Avalon may receive under its collaboration agreements with Merck & Co., Inc. and Novartis Institute for Biomedical Research, Inc. prior to June 30, 2010. Avalon’s board of directors has approved the merger agreement and has recommended the approval of the transaction to Avalon’s stockholders. The merger agreement is subject to various closing conditions, including approval by Avalon stockholders. Avalon stockholders will be asked to vote on the proposed transaction at a special meeting to be announced.

Private Placement

Clinical Data has completed a private placement of 3,390,547 shares of Avalon’s common stock, equivalent to 19.9 percent of Avalon’s issued and outstanding shares. The shares were priced at a 15 percent discount to the closing price of Avalon’s common stock on October 27, 2008, or $0.07 per share, for a total purchase price of approximately $240,000. In addition, Clinical Data was issued warrants to purchase up to an additional 1,695,273 shares of Avalon’s common stock at an exercise price of $0.86 per share (equal to the book value per share). The warrants are not exercisable for six months or to the extent that their exercise would result in Clinical Data owning more than 19.9 percent of Avalon’s outstanding common stock.

Term Loan

Clinical Data provided a $3.0 million term loan to Avalon, secured by a first priority lien on all of Avalon’s intellectual property. The loan bears interest at seven percent and all principal and accrued interest will be due to Clinical Data in full on March 31, 2009.

Exclusive License Agreement

Clinical Data provided an upfront cash payment of $1.0 million to Avalon in exchange for a royalty-free, exclusive worldwide license to Avalon’s proprietary drug and biomarker discovery platform, AvalonRx®, with carve-outs for existing Avalon compounds and programs.

“The merger with Clinical Data represents an opportunity to continue using our biomarker-based drug discovery platform to build a pipeline and first-in-class cancer therapeutics,” said Kenneth C. Carter, Ph.D., President and Chief Executive Officer of Avalon Pharmaceuticals, Inc. “With Clinical Data’s oncology biomarker development programs and abilities, we can pursue drugs and diagnostics that offer the greatest potential value for patients, providers, payers and our stockholders.”

Piper Jaffray & Co. acted as financial advisor to Avalon Pharmaceuticals, Inc. in this transaction.

Important Additional Information will be Filed with the SEC

Clinical Data intends to file a registration statement on Form S-4 with the Securities and Exchange Commission (SEC) in connection with the transaction. Avalon intends to file with the SEC and mail to its stockholders a proxy statement/prospectus in connection with the transaction. Investors and security holders are urged to read the registration statement on Form S-4 and the related proxy statement/prospectus when they become available because they will contain important information about the merger transaction.

Investors and security holders may obtain free copies of these documents (when they are available) and other documents filed with the SEC at the SEC’s website at www.sec.gov. In addition, investors and security holders may obtain free copies of the documents filed with the SEC by contacting Clinical Data Investor Relations at the email address: This email address is being protected from spam bots, you need Javascript enabled to view it or by phone at (617) 527-9933 x3373.

In addition to the registration statement and related proxy statement/prospectus, Clinical Data files annual, quarterly and special reports, proxy statements and other information with the SEC. You may read and copy any reports, statements or other information filed by Clinical Data, Inc. at the SEC public reference room at 100 F Street, N.E., Washington, D.C. 20549. Please call the SEC at 1-800-SEC-0330 for further information on the public reference room. Clinical Data, Inc.’s filings with the SEC are also available to the public from commercial document-retrieval services and at SEC’s website at www.sec.gov, and from Investor Relations at Clinical Data as described above.

This communication shall not constitute an offer to sell or the solicitation of an offer to sell or the solicitation of an offer to buy any securities, nor shall there be any sale of securities in any jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such jurisdiction. No offering of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act of 1933, as amended.

Clinical Data, Avalon and their respective directors and executive officers may be deemed to be participants in the solicitation of proxies from the stockholders of Avalon in connection with the merger transaction. Information regarding the special interests of these directors and executive officers in the merger transaction will be included in the proxy statement/prospectus of described above. Additional information regarding the directors and executive officers of Clinical Data is also included in Clinical Data’s proxy statement for its 2008 Annual Meeting of Stockholders which was filed with the SEC on July 29, 2008 and its Annual Report on Form 10-K for the year ended March 31, 2008, which was filed with the SEC on June 16, 2008. These documents are available as described above. Additional information regarding the directors and executive officers of Avalon is also included in Avalon’s proxy statement for its 2008 Annual Meeting of Stockholders which was filed with the SEC on April 29, 2008 and its Annual Report on Form 10-K for the year ended December 31, 2007, which was filed with the SEC on March 31, 2008. These documents are available as described above.

ABOUT CLINICAL DATA, INC.

Clinical Data is a global biotechnology company unlocking the potential of molecular discovery, From Targeted Science to Better Healthcare™. Its PGxHealth® division focuses on proprietary biomarker and pharmacogenetic test development, as well as targeted therapeutics to help predict drug safety and efficacy, thereby reducing health care costs and improving clinical outcomes. Its Cogenics® division provides genomics services to both research and regulated environments. Through these divisions, Clinical Data is leveraging advances in molecular discovery to provide tangible benefits for patients, doctors, scientists and health plans worldwide.

WINNER MEDICAL GROUP INCORPORATED (OTCBB: WMDG)
"Up 62.79% in morning trading"

Detailed Quote: http://www.otcpicks.com/quotes/WMDG.php

Winner Medical is a leading manufacturer in the medical dressing industry (medical and wound care products) in China. Headquartered in Shenzhen, the Company has eight wholly-owned manufacturing and distribution facilities, four joint-venture factories and over 5,000 employees. The Company engages in the manufacture, sale, research, and development of medical care products, wound care products, home care products and PurCotton(TM) products, a nonwoven fabric made from 100% natural cotton. The products are sold worldwide, with Europe, the U.S. and Japan serving as the top three markets. The Company currently holds 50 patents and patent applications in various products and manufacturing processes and is one of the few Chinese companies licensed with the U.S. Food and Drug Administration (FDA) to ship finished, sterilized products directly to the U.S. market.

WMDG News:

October 20 - Winner Medical Reaffirms Its Revenue Guidance for FY2008

Focused Strategies Ensure Strong Sales Growth Continues

Winner Medical Group Inc. (OTCBB: WMDG) (“Winner Medical” or “the Company”) a leading manufacturer in the medical dressing (medical and wound care products) industry in China, today filed a Form 8-K with the U.S. Securities and Exchange Commission. In the filing, the Company reaffirmed its revenue guidance, stating that revenue for the fiscal year ended September 30, 2008 will be towards the high end of the range of $83 million to $85.8 million, equivalent to an increase of 18% to 22% over fiscal year 2007 revenue.

Mr. Jianquan Li, Chairman and Chief Executive Officer said, “Continuous focused execution of our strategy to sell higher margin products to leading international branded companies has led us to achieve the top end of our fiscal 2008 guidance. During the fiscal year, we deepened our relationships with most of our customers in the European US and Japan markets; these solid relationships are a platform for sustainable growth for Winner Medical. Our broad base of customers and leading market position also allow us to deliver strong revenue growth.

“Moreover, based on the preliminary results at the end of fiscal year 2008, our balance sheet remains solid and our cash and cash equivalents position was at a level higher than that of 2007.”

Mr. Li added, “We continue to see solid growth in our order pipeline as a result of our strategy to focus on leading international branded companies. Our customers largely consider our products to be non-discretionary in nature, which protects our sales from the recent financial crisis. In fact, we are seeing substantial increases in PurCotton orders, particularly from customers in Japan and US. As we enter 2009, we will continue our efforts to control costs and enhance efficiency via equipment improvements designed to create leaner production lines.”

Winner Medical's guidance for the fiscal year 2008 was last confirmed in the Company's third quarter FY2008 earnings release dated August 11, 2008, which can be found on Winner Medical's website at www.winnermedical.com.

FY2008 Earnings Announcement

Winner Medical plans to release its annual results for the year ended September 30, 2008 in early December 2008. The Company will announce the details of the earnings conference call in due course.

CYTOCORE INCORPORATED (OTCBB: CYOE)
"Up 16.67% in morning trading"

Detailed Quote: http://www.otcpicks.com/quotes/CYOE.php

CytoCore develops cost-effective, highly accurate screening systems for early detection of gynecological cancers and sexually transmitted diseases. Designed for easy deployment at a laboratory or at the point-of-care, the CytoCore suite of sample collection technologies assists in the detection of cervical, endometrial, and other cancers, as well as the human Papilloma virus. The CytoCore Solutions™ System is being developed to provide medical practitioners with highly accurate, low-cost, cervical and uterine cancer screening systems that can be seamlessly integrated into existing medical models.

CYOE News:

October 28 - Pivotal Study of SoftPAP Collector Demonstrates Significant Improvements Over Conventional Collection Technique for PAP Sample

Significant Improvements Reported Over the Spatula/Cytobrush Across All Study Endpoints

26% Percent Improvement in False Negatives; 33% Improvement in False Positives

CytoCore Inc. (OTCBB: CYOE), the developer of cost-effective, screening systems for early detection of gynecological cancers and sexually transmitted diseases, today announced the data analysis from its 703 patient clinical trial on Adequacy, Efficacy and Safety between the SoftPAP® Collector compared to the standard Spatula/CytoBrush Technique. Results showed statistically significant improvements versus the Spatula/Cytobrush, which is commonly used by many physicians as the collection device for obtaining the PAP sample. Test results, involving seven sites in the continental United States, showed SoftPAP demonstrated better “sensitivity” (the ability to detect abnormal results such as cancerous and precancerous lesions) and better “specificity” (the accuracy of the determination) than the Spatula/Cytobrush.

SoftPAP’s superiority in “sensitivity” is reflected in SoftPAP’s 26% percent improvement or reduction in false negatives, an indication where precancerous or cancerous conditions are detected in samples collected using SoftPAP but not detected in samples collected using the Spatula/Cytobrush. SoftPAP’s superiority in “specificity” is reflected in SoftPAP’s 33% improvement or reduction in false positives, an indication where the patient has been inaccurately diagnosed as having a precancerous or cancerous condition.

Robert McCullough, Jr., Chief Executive Officer of CytoCore commented, “Along with providing a better sample as demonstrated by this trial’s superior results, the SoftPAP cervical cell collector should provide women a more comfortable experience during the PAP examination. When compared to the abrasive nature of the Spatula/Cytobrush, which many times can result in such side effects as bleeding and cramping, the SoftPAP collector is easier to use, faster and more accurate. One of the sites used in the clinical trial has agreed to sponsor the publication of the SoftPAP clinical trial results. Also, the dissemination of this data should be helpful to our distributors as they introduce SoftPAP to their customers.”

“The need for a reliable more effective cervical cell collector is obvious,” said Dr. Seth J. Herbst, MD, F.A.C.O.G., President of the Institute of Women’s Health and Body. “The SoftPAP cervical cell collector offers a dramatic improvement over today’s conventional collection method for the PAP test. The SoftPAP collector offers fast, more accurate specimen collection with less possibility for user error, which reduces the number of PAP tests that are misdiagnosed due to obscurity and thereby yielding fewer false positives and false negatives. I believe SoftPAP will become the standard of care for all PAP smears,” Dr. Herbst concluded.

Conventional specimen collection is a two-step process: first using a spatula to harvest cells from the outer cervix (ectocervix), second using a brush to harvest cells from the less accessible cervical canal (endocervix). Failure to harvest a sufficient number of cells results in the specimen being “unsatisfactory” for diagnosis. Furthermore, because cervical cancer and its precursor states have a tendency to begin in the transition zone which lies between the ectocervix and endocervix, collecting cells from the transition zone is critical to the early detection of this highly preventable and treatable disease.

The SoftPAP cervical cell collector offers a quicker, more accurate specimen collection with minimal possibility of user error. It is designed to consistently sample the entire cervix in a single-step using an inflatable balloon collector. The patented single-use silicon balloon is a mirror image of the surface of the ecto- and endo-cervix. During collection, the balloon is slightly inflated by pressing a button on the collector handle. The volume of air is fixed and controlled so over- or under-inflation cannot occur. When the balloon inflates, its surface comes into contact with all walls of the entire cervix in a single step. Cells are collected from 360 degrees around the ecto-cervix, the transition zone and from within the endo-cervix. No rotation is necessary. As evidenced by the results of the clinical trial, sampling in this manner improves the sensitivity and specificity of the diagnosis, provides ease of use for the physician, and offers greater patient comfort.

SIFY TECHNOLOGIES LIMITED (NASDAQ: SIFY)
"Up 16.67% in morning trading"

Detailed Quote: http://www.otcpicks.com/quotes/SIFY.php

Sify is among the largest Managed Enterprise and Consumer Internet Services companies in India, offering end-to-end solutions with a comprehensive range of products delivered over a common telecom data network infrastructure reaching 500+ cities and towns in India. A significant part of the company's revenue is derived from Corporate Services, which include corporate connectivity, network and communications solutions, security, network management services, enterprise applications and hosting. Sify is recognized as an ISO 9001:2000 certified service provider for network operations, data center operations and customer support, and for provisioning of VPNs, Internet bandwidth, VoIP solutions and integrated security solutions, and ISO 27001 certified for Internet Data Center operations. Sify has licenses to operate NLD (National Long Distance) and ILD (International Long Distance) services and offers VoIP back haul to long distance subscriber telephony services. The company is India's first enterprise managed services provider to launch a Security Operations Center (SOC) to deliver managed security services. A host of blue chip customers use Sify's corporate service offerings. Consumer services include broadband home access, dial up connectivity and the e-port cyber café chain across 180 cities and towns.

SIFY News:

October 28 - Sify Technologies to Report Second Quarter 2008-2009 Fiscal Year Financial Results on October 31, 2008

Sify Technologies Limited (Nasdaq: SIFY), a leader in Consumer Internet Services and Enterprise Services in India with global delivery capabilities, today announced that it will report its financial results for the first quarter of fiscal year 2008-2009 ended September 30, 2008 on October 31, 2008 before the market opens.

In conjunction with the earnings release, Sify will host a conference call at 9:00 AM EST hosted by Mr. Raju Vegesna, Chairman of the Board and Chief Executive Officer, Mr. C V S Suri, Chief Operating Officer and Mr. M P Vijay Kumar, Chief Financial Officer.

Interested parties may participate in the conference call by dialing 877-407-8031 (U.S. or Canada) or +1-201-689-8031 (international), which will also be simultaneously broadcast live over the Internet at www.sifycorp.com or www.vcall.com.

Please allow extra time prior to the call to visit the site and download the streaming media software required to listen to the Internet broadcast.

The online archive of the Web cast will be available shortly after the conference call, or investors can listen to the replay by dialing 877-660-6853 or +1-201-612-7415 and entering account number 286 and conference ID number 301306. Please allow for some time post conference call to access the archive of the Web cast.

ATLAS OIL AND GAS INCORPORATED (OTCBB: ATOG)
"Up 90.79% in morning trading"

Detailed Quote: http://www.otcpicks.com/quotes/ATOG.php

Atlas Oil and Gas, Inc. is focused on developing shallow natural gas and oil wells in Northeastern Oklahoma. Atlas is an independent energy development firm primarily engaged in the exploration, development, and production of oil and natural gas. The company relies upon its industry partners, well operators, third party geologists, industry consultants, petroleum engineers, and financial analysts whose combined industry experience is essential to the success of each project. With the growing demand on oil and natural gas in the United States, Atlas will focus its resources on accomplishing its goal of successful well creation and distribution.

ATOG News:

October 24 - Atlas Oil and Gas, Inc. Announces the Completion of First New Oil Well

Atlas Oil and Gas, Inc. (OTCBB: ATOG) announces the completion of drilling on its first oil well. The completion marks the end of drilling and the beginning of the oil production phase. The well is located in Pawnee County, Oklahoma and is named Eric Foust #1-9. Production numbers will be forth coming as the site operator releases them.

"We at Atlas are very excited about completing the drilling process," stated Dan Motsinger, Atlas CEO. "We are very happy that we are moving so diligently toward our goals."

LOCATION BASED TECHNOLOGIES (OTCBB: LBAS)
"Up 22.73% in morning trading"

Detailed Quote: http://www.otcpicks.com/quotes/LBAS.php

A publicly traded company, Location Based Technologies designs and develops leading-edge personal locator devices and services that incorporate patented, proprietary technologies designed to enhance and enrich the lives of families globally. The company is headquartered in Anaheim, Calif.

LBAS News:

October 28 - Location Based Technologies Launches PocketFinder Service for Google Android-Based T-Mobile Smartphones

Location Based Technologies, Inc. (OTCBB: LBAS), a leading-edge family service provider of personal locator devices and services, announced that Google (Nasdaq: GOOG) Android smartphone users can now download the PocketFinder® service for their handsets.

According to Dave Morse, CEO of Location Based Technologies (LBT), the company has fully tested this service and is ready to release it worldwide to the just-launched T-Mobile G1 — the first mobile phone to use the Android open standard mobile device platform developed by the Open Handset Alliance. Ultimately, the service will integrate with the forthcoming PocketFinder location devices. T-Mobile is a subsidiary of Deutsche Telekom (NYSE: DT).

“T-Mobile G1 smartphone users now have the ability to stay connected and benefit from every PocketFinder feature including real-time location, zone and speed alerts, instant messaging, and travel history, for one low service fee,” Morse explained. “In addition, our new Android-based application will eventually support other smartphones and smartphone platforms as we intensify our developments efforts to make this enhancement available to their customers and expand our coverage of the global marketplace.”

The Android-based PocketFinder service is now available for a 15-day free trial and then will be offered for $4.95/month per phone through the month of November. It will remain at that price as long as the account is kept current and in good standing. You may download from www.pocketfinder.com or from Android Market at www.android.com/market.

The service will allow Android smartphone users to integrate with the PocketFinder family of products when U.S. sales begin. PocketFinder® and PetFinder® devices use advanced technology to help families stay connected. As the smallest known single-board GSM/GPS devices, they easily fit into a pocket, purse or backpack and can be accessed via the Internet, cell phone or landline to show their exact location in real time. In addition, the devices include several advanced features such as designating customizable alert areas as electronic “fences” to notify when a family member or pet leaves or enters a specified area. The devices can even track vehicle speeds to encourage safe driving decisions.

ACTUATE CORPORATION (NASDAQ: ACTU)
"Up 7.27% in morning trading"

Detailed Quote: http://www.otcpicks.com/quotes/ACTU.php

Actuate Corporation is dedicated to increasing the richness, interactivity and effectiveness of enterprise data, for everyone, everywhere. Actuate delivers the next generation RIA-ready information platform for both customer and employee-facing applications. The Actuate platform boasts unmatched scalability, high-performance, reliability and security. Its proven RIA capabilities and highly collaborative development architecture are backed by the world’s largest open source information application developer community, grounded in BIRT, the Eclipse Foundation’s only top level Business Intelligence and reporting project. Global 9000 organizations use Actuate to roll out RIA-enabled customer loyalty and Performance Management applications that improve customer satisfaction and employee productivity. The company has over 4,200 customers globally in a diverse range of business areas including financial services and the public sector, many of which have a long history of deploying Actuate-based solutions for dozens, or even hundreds of their mission-critical applications. Founded in 1993, Actuate has headquarters in San Mateo, California, with offices worldwide.

ACTU News:

October 27 - Actuate Corp. Q3 2008 Earnings Call Transcript

Maintenance Revenues up 18.5% Year-over-Year; Cash Flow From Operations up 36% Year-over-Year; BIRT-Related Business Exceeds $4 Million in Q3

Actuate Corporation (Nasdaq: ACTU), the leader in delivering Rich Internet Applications Without Limits™, announced its financial results for the third quarter of 2008.

Third Quarter 2008 Financial and Operational Highlights:

* Revenues of $33.7 million and fully diluted non-GAAP EPS of $0.08.
* Maintenance revenues of $20.4 million up 18.5% year-over-year.
* BIRT-related business exceeded $4 million in Q3.
* Nine-month operating cash flows of $24.4 million, up 36.0% year-over-year.
* Booked transactions greater than $100,000 with 64 customers.
* Closed one transaction with a license component in excess of $1 million.
* Record non-GAAP service margins of 78.0% and non-GAAP operating margin of 20.6%.

“In light of current turmoil in the financial markets, Actuate delivered respectable performance this quarter,” said Pete Cittadini, president and CEO of Actuate. “The growing momentum of our BIRT related business in the third quarter is evidence that we can continue to execute on our enterprise open source business model, even in these less than ideal macroeconomic conditions. Our ongoing commitment to open source, with its potential to expand our market reach and accelerate our revenue at lower cost, continues to make Actuate a compelling enterprise software firm for shareholders, customers and employees.”

Revenues for the third quarter of 2008 were $33.7 million, compared with $34.7 million in the third quarter of 2007. License revenues for the third quarter of 2008 were $10.0 million, compared with $13.4 million in the year-ago quarter. Services and maintenance revenues for the third quarter of 2008 totaled $23.7 million, compared with $21.3 million in the third quarter of 2007. Within this line item, maintenance revenues were $20.4 million for the third quarter, up 18.5% compared with $17.2 million in the same period last year. In addition, service margins for the third quarter came in at a record 78.0%.

Net income for the third quarter of 2008, as reported in accordance with U.S. generally accepted accounting principles (GAAP), was $3.1 million, or $0.05 per diluted share, compared with net income of $4.6 million or $0.07 per diluted share in the third quarter of 2007.

Cash flow from operations was $7.6 million for the third quarter of 2008. Cash flow from operations for the nine months ended September 30, 2008 totaled $24.4 million versus $17.9 million during the same period last year. Cash, cash equivalents and investments totaled $81.3 million at September 30, 2008 compared with $74.9 million as of June 30, 2008.

Non-GAAP net income for the third quarter of 2008 was $5.3 million, or $0.08 per diluted share, compared with non-GAAP net income of $6.0 million, or $0.09 per diluted share, in the third quarter of 2007. Non-GAAP operating margin for the third quarter of 2008 was 20.6%, an increase of 150 basis points from the second quarter of 2008.

2008 Outlook

The Company is updating its outlook for the full year 2008. Specifically, the Company expects to post total revenue of approximately $131 million - $135 million, with license revenues of approximately $38-43 million, non-GAAP operating margins in the range of 17-20% and fully diluted non-GAAP EPS of approximately $0.26-0.28.

Third Quarter 2008 Business Highlights:

A) Exceeded 5 million BIRT downloads through the third quarter.

B) Actuate initiated an Open Source Advisory Board.

C) Previewed Actuate 10, the company’s next generation platform, which reached its Beta milestone during the third quarter.

D) Actuate Performancesoft Views 8.0 was launched, tightly integrating BIRT into the Views product.

E) Actuate for Sustainability Management launched to help enterprises create enduring best practices and take sustainability beyond environmentalism.

F) Actuate hosted its 12th Annual International User Conference, with over 250 customers and partners in attendance.

G) The 3rd Actuate Annual Open Source Survey findings demonstrated that open source software is entering the mainstream.

H) Actuate agreed to resell Webalo’s Mobile dashboard to deliver real-time information to a growing mobile workforce using BlackBerry, Windows Mobile, Palm, Symbian, or Java-enabled smartphones.

I) The Company signed its first significant Actuate OnPerformance software-as-a-service (SaaS) transaction in the healthcare industry.

Third Quarter Customer Highlights

During the third quarter, Actuate received significant new and repeat business from, among others: Singapore Ministry of Education, Vereinsbank Victoria Bauspar A.G., ACS State and Local Solutions, Lincoln Financial Advisors Corporation, National Account Service Co. LLC, The Bank of New York Mellon Corporation, PayPal, Caremark Inc., Lehman Brothers Inc., Federal Aviation Administration, Emptoris, Inc., Computer Associates, Primavera Software, Inc., Siebel Systems Inc (Oracle), American Bureau of Shipping, City of Chicago, Home Office (United Kingdom), Barking and Dagenham Primary Care Trust, Citizens Bank, City Of Dallas and St. Louis Children’s Hospital.

Conference Call Information

Actuate will be holding a conference call at 5:00 p.m. Eastern Time, today, October 27th, 2008 to further discuss these results. The dial-in number for the call is 866-713-8562 (617-597-5310 for international participants) and the conference identification number 44979691. The conference call will be broadcast live on the Investor Relations section of Actuate’s web site at www.actuate.com/investor and will be available as an archived replay thereafter.

Discussion of Non-GAAP Financial Measures

This press release contains financial measures that are not calculated in accordance with U.S. generally accepted accounting principles (GAAP). Actuate management evaluates and makes operating decisions using various performance measures. In addition to our GAAP results, we also consider adjusted net income, which we refer to as non-GAAP net income. We further consider various components of non-GAAP net income such as non-GAAP gross margin and non-GAAP operating expense. Non-GAAP net income is generally based on the revenues of our product, maintenance and services business operations and the costs of those operations, such as cost of revenue, research and development, sales and marketing and general and administrative expenses, that management considers in evaluating our ongoing core operating performance. Non-GAAP net income consists of net income excluding amortization of intangible assets, restructuring charges, equity plan-related compensation expenses and other charges and gains which management does not consider reflective of our core operating business. Intangible assets consist primarily of purchased technology, trade names, customer relationships, employment agreements and other intangible assets issued in connection with acquisitions. Restructuring charges consist of severance and benefits, excess facilities and asset-related charges and include strategic reallocations or reductions of personnel resources. Equity plan-related compensation expenses represent the fair value of all share-based payments to employees, including grants of employee stock options, as required under SFAS No. 123 (revised 2004), "Share-Based Payment" (SFAS 123R). For purposes of comparability across other periods and against other companies in our industry, non-GAAP net income is adjusted by the amount of additional taxes or tax benefit that the Company would accrue using a normalized effective tax rate applied to the non-GAAP results.

Non-GAAP net income is a supplemental measure of our performance that is not required by, nor presented in accordance with, GAAP. Moreover, it should not be considered as an alternative to net income, operating income, or any other performance measure derived in accordance with GAAP, or as an alternative to cash flow from operating activities or as a measure of our liquidity. We present non-GAAP net income because we consider it an important supplemental measure of our performance.

Management excludes from non-GAAP net income certain recurring items to facilitate its review of the comparability of the Company's core operating performance on a period-to-period basis because such items are not related to the Company's ongoing core operating performance as viewed by management. Management uses this view of its operating performance for purposes of comparison with its business plan and individual operating budgets and allocations of resources. Additionally, when evaluating potential acquisitions, management excludes the items described above from its consideration of target performance and valuation.

The Company believes that, in general, these items possess one or more of the following characteristics: their magnitude and timing is largely outside of the Company's control; they are unrelated to the ongoing operation of the business in the ordinary course; they are unusual and the Company does not expect them to occur in the ordinary course of business; or they are non-operational, or non-cash expenses involving stock option grants.

The Company believes that the presentation of these non-GAAP financial measures is warranted for several reasons:

1) Such non-GAAP financial measures provide an additional analytical tool for understanding the Company's financial performance by excluding the impact of items that may obscure trends in the core operating performance of the business;

2) Since the Company has historically reported non-GAAP results to the investment community, the Company believes the inclusion of non-GAAP numbers provides consistency and enhances investors' ability to compare the Company's performance across financial reporting periods;

3) These non-GAAP financial measures are employed by the Company's management in its own evaluation of performance and are utilized in financial and operational decision making processes, such as budget planning and forecasting;

4) These non-GAAP financial measures facilitate comparisons to the operating results of other companies in our industry, which use similar financial measures to supplement their GAAP results, thus enhancing the perspective of investors who wish to utilize such comparisons in their analysis of the Company's performance.

Set forth below are additional reasons why specific items are excluded from the Company's non-GAAP financial measures:

a) Amortization charges for purchased technology and other intangible assets are excluded because they are inconsistent in amount and frequency and are significantly impacted by the timing and magnitude of the Company's acquisition transactions. We analyze and measure our operating results without these charges when evaluating our core performance. Generally, the impact of these charges to the Company's net income tends to diminish over time following an acquisition.

b) While stock-based compensation calculated in accordance with SFAS 123R constitutes an ongoing and recurring expense of the Company, it is not an expense that typically requires or will require cash settlement by the Company. We therefore exclude these charges for purposes of evaluating our core performance as well as with respect to evaluating any potential acquisition.

c) Restructuring charges are primarily related to severance costs and/or the disposition of excess facilities driven by modifications of business strategy. These costs are excluded because they are inherently variable in size, and are not specifically included in the Company's annual operating plan and related budget due to the rapidly changing facts and circumstances typically associated with such modifications of business strategy;

d) Operating expenses related to idle facilities are excluded because the charges relate to a facility that was abandoned in late 2007 and therefore the charges are unrelated to the ongoing operation of the business in the ordinary course. Because these costs are unrelated to the Company’s core operations, they are not included in the Company’s annual operating plan;

e) During the quarter the Company incurred professional services fees related to considerations regarding strategic alternatives. These costs are excluded because the charges are unrelated to the ongoing operation of the business in the ordinary course. Because these costs are unrelated to the Company’s core operations, they are not included in the Company’s annual operating plan. We analyze and measure our operating results without these charges when evaluating our core performance;

f) The facilities rent adjustment is excluded because we have recognized rent expense on both of our old and new corporate headquarters. Accounting rules require that we recognize rent expense on our new headquarters even though our landlord provided us with a rent holiday for the period during the transition period to the new lease. We therefore excluded the duplicate rent expense for purposes of evaluating our core performance;

g) Income tax expense is adjusted by the amount of additional expense or benefit that we would accrue if we used non-GAAP results instead of GAAP results in the calculation of our tax liability, taking into consideration the Company's long-term tax structure. Starting in the quarter ended September 30, 2005, the Company began to use a normalized effective tax rate of 30%. This item is excluded because the rate remains subject to change based on several factors, including variations over time in the geographic business mix and statutory tax rates.

In the future, the Company expects to continue reporting non-GAAP financial measures excluding items described above and the Company expects to continue to incur expenses similar to the non-GAAP adjustments described above. Accordingly, exclusion of these and other similar items in our non-GAAP presentation should not be construed as an inference that these costs are unusual, infrequent or non-recurring.

As stated above, the Company presents non-GAAP financial measures because it considers them to be important supplemental measures of performance. However, non-GAAP financial measures have limitations as an analytical tool and should not be considered in isolation or as a substitute for the Company's GAAP results. In the future, the Company expects to incur expenses similar to the non-GAAP adjustments described above and expects to continue reporting non-GAAP financial measures excluding such items. Some of the limitations in relying on non-GAAP financial measures are:

Amortization of intangibles, though not directly affecting our current cash position, represent the loss in value as the technology in our industry evolves, is advanced or is replaced over time. The expense associated with this loss in value is not included in the non-GAAP net income presentation and therefore does not reflect the full economic effect of the ongoing cost of maintaining our current technological position in our competitive industry, which is addressed through our research and development program.

The Company may engage in acquisition transactions in the future. Merger and acquisition related charges may therefore continue to be incurred and should not be viewed as non-recurring.

The Company's stock option and stock purchase plans are important components of our incentive compensation arrangements and will be reflected as expenses in our GAAP results for the foreseeable future under SFAS 123R.

The Company's income tax expense will be ultimately based on its GAAP taxable income and actual tax rates in effect, which may differ significantly from the 30% rate assumed in our non-GAAP presentation.

Other companies, including other companies in our industry, may calculate non-GAAP financial measures differently than we do, limiting their usefulness as a comparative measure.