Electronic Game Card, Inc (fka EGMIQ)

[MikeDDKing]

I think the pricing of EGMI over the last year and a half had more to do with supply and demand of shares than with the fundamentals of EGMI. About a year ago a huge number of shares came onto the market because of a change in rule 144. That caused the price to come down. The stock finally recovered by the middle of last year and then the credit crunch caused some funds to start unloading shares again due to forced liquidation because of redemptions. Now those shares have finally been worked off and we have been headed up for a few months.

IMO the fair value of this stock today is roughly $1.50. Given their guidance I think the fair value of the stock will be somewhere around $2.5 at year end assuming they continue to hit their conservative guidance. Whether the market overshoots that value or undershoots that value is another question.

Mike