NNRF Inc (NNRI)

[stocktiger]

The shorts cannot read - the 10Q is fine

The 10Q shows that the loss is non cash related as everyone knows companies now report stock based compensation as an expense.

"The general and administrative expenses for the six months ended June 30, 2007 principally related to non-cash items consisting of $5,191,291 of stock based compensation."

"Management for the Company believes that revenues should increase measurably and out pace operating expenses, thereby resulting in net income for fiscal year 2007.",

As we know the money from ATOLL comes the month after their quarter ends. For the first quarter NNRF only owned 13% of ATOLL until March 13. For the quarter of ATOLL ended June 30 NNRF will not report the income until they report the 3rd quarter as we all know. This past quarter is as expected.

"We anticipate that our 50% ownership in ATOLL will result in us booking significant revenues and profits in fiscal year 2007 based on the existing on-hand orders of ATOLL. We are also in the due diligence phase of our proposed acquisitions of 25.5% of JSC Electroprivod and 25.5% of Velkont, and are currently considering other potential acquisitions in the RF"

The company also filed the Amendment No. 5 for the SEC comments.