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Alias Born 04/01/2001

Re: None

Friday, 06/14/2002 9:54:03 AM

Friday, June 14, 2002 9:54:03 AM

Post# of 93821
PressEsc--

Let me offer one other point as to why and how the debt holders would not receive the e.Digital IP. First off, there are over 15M shares from the shelf registration available to be utilized -- if the company needed to. Secondly, over and above those shares there are some 50M shares authorized, but unissued which the company can utilize in a financing arrangement -- again if it needed to.

The possibility of default on the debt and e.Digital forfeiting its IP is so remote that it does not warrant another thought.

"J"

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