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Wednesday, 07/17/2002 1:07:56 PM

Wednesday, July 17, 2002 1:07:56 PM

Post# of 78729
Clarafication on this months testing...

Email to JH:

John

Would you be so kind as to clarify the meaning of the following statement taken from the 2002 shareholders meeting presentation materials. There has been some lively debate on its interpretation.

As further evidence of the success of our development program, we will begin actual field simulations of our technology this month with our first telephone company partner. That's about a month earlier than we has originally planned - so it's fair to say we're a bit ahead of the schedule I first saw in march when I joined the New Visual Board.

What does this statement mean?

Does this mean that NVEI will be conducting tests in the field with a telephone company partner using a their local loop and our prototype equipment installed in their platforms?

Does this mean that the testing will be done using a the custom proprietary simulation model to simulate a local loop of a telephone company partner in conjunction with our prototype equipment?

Is it some combination of the two? Could you please clarify for everyone?

Regards,
John


Response from JH:

John,

The statement regarding upcoming trials is just what it says. It will be testing our technology over a local loop in real world conditions. This test will use FPGA equipment that will simulate the performance of an ASIC. To put it more simply, we will have telco vans transport equipment, including our prototype, to various locations around the infrastructure of a
telco in order to test different local loop variables. Our technology will determine the results of those tests.

Best regards,
John Howell
Executive Vice President
New Visual Corporation
(619) 692-0333
(619) 718-7446 Fax
jhowell@newvisual.com

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