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ASTOCKCOLLAPSE N0W

04/26/07 3:50 PM

#119830 RE: neom2006 #119829

Declining liquidity is terrible news for Neomedia.

The only way Cornell will continue to pay NEOM executive's salaries is if they are provided a liquid market into which they can hedge their positions (i.e. short against the box).

No liquidity means Cornell's risks increase dramatically - which likely will mean the spigot is turned off for NEOM or Cornell demands even more "vig" in the form of even higher rates and warrant sweeteners.