NeoMedia Technologies, Inc (NEOM)

[ss9173]

YJ, Personalizit or anyone: Can you help me understand better why we are in a situation of default if we do not authorize the increase in shares? Is it purely a mistake in share accounting by Management as they made these acquisitions or is there some other plausible reason? Also, what are the real ramifications if we did go into default? This is not my area of expertise so if you can explain in "layman terms" it would be most appreciated.

Thanks,
SS9173