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dh_

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Alias Born 08/13/2020

dh_

Re: Broadway1430 post# 41240

Wednesday, 07/13/2022 6:11:38 PM

Wednesday, July 13, 2022 6:11:38 PM

Post# of 50703
Honestly I'm not a expert in that area, and I have questions about that myself. And really, I'd rather not speculate on the mechanics of it until we get more information. I sent some of my thoughts to the company directly. I'd like to see what their plan is, but I assume they will let us know the details when they are ready, unless they drop the issue instead. But from today's letter, it appears to still be on go.

For now, generally, I think it would be better to consider a spinoff only after IQST stock might make it to Nasdaq. But if/when that happens, I'm not sure a spinoff would be needed, that is, if they are just finding ways to get to Nasdaq. Bottom line to me is if EVOSS looks good enough to stand alone, then if we knew more details about the division that might get us to Nasdaq, or at least help a lot.

Of course a spinoff can be a good thing. If done, ideally, in time shareholders would own two stocks and each worth more than the original left alone.

I'm just not sure what they are seeing that we don't see in EVOSS and otherwise, but right now I'd rather see IQST stock make it to Nasdaq by any and every means possible. Taking parts away doesn't seem to be a way to help that goal. Of course a lot can change quickly if milestones are reached or if any major new news drops. Maybe if I had their knowledge a spinoff would look very timely.

In other notes, I liked today's letter. Lot's of good information and updates. Still could be more, but good to hear:

- Fiber deal still in consideration
- Another telecom acquisition being considered
- Finding ways to make EV motorcycle better (presume more ready for U.S. market)
- Expect EV orders in Q3, Revenue in Q4
- Expect IoT revenues in second half of year (that's new!)
- Start marketing IoT to the mass market (of this industry). This implies that they believe the product is ready for the market.
- Fintech and MNPA seem to still be works in progress, but said news coming
-Still expect positive Net Income for 2022

We should be about a month away from Q2 report. Q3 will include full months of Whisl and Smartbiz. I hope to see at least some modest margin improvement, and it appears that the pieces are coming into place to allow that. If that happens and combines with any other organic improvements it should really help transition the company.

Traded today close to half of expected FY 22 sales, in an industry with a typical 1.43 price to sales ratio. And that doesn't even include the non-telecom divisions.

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