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11/22/09 12:31 PM

#13078 RE: Huggy Bear #13077

Malc,

In regards to the debt/losses situation, keep in mind that Mr. Lorsch started MMR back in early 2005, so first and foremost he has done very good in regards to keeping things under control while building the company.

(Yes, there was some baggage left over from FVRL to get the deal done also... Creditors, Former Management, etc.)

As for the O/S, managment has done a great job of only making the necessary steps as they work their way towards profitablity. When the merger occured the O/S and A/S were so tight that management lacked the ability to have any wiggle room whatsoever.

(Some investors didn't like the idea of increasing the A/S by such a large percentage, but myself I was glad they did it this way. I would hate to see them come back multiple times if needed in the future. Do it once and be over with it, so to say.)

Keep in mind that Mr. Lorsch is the RHL Group, so when you look at the percentage of common shares he owns, it's highly unlikely that his moves would not be shareholder friendly. Not only would massive dilution not be good for us, but definently not good for him either.

(Mr. Lorsch is a very smart and respectable man when it comes to his understanding of common sense and business, so I'm completely confident his "moves going foward" will be in the best interest of the company and it's shareholders.)

As for revenue growth...

Many of the large PHR deals take time to kick in, and will slowly but surely begin to compound upon themselves. Also with MMR Pro we will see the same pattern begin to take shape soon, but the revenue growth will come at a much faster rate (1st Q 2010.)

(...Let's go a bit futher and overlap that growth with what could occur in China in the future. More PHR & MMR Pro growth on a huge scale due to the size of the market. Huge!)

To close out this post keep in mind what a licencing agreement for the AntiCD-20 technology would do for this company? Upfront cash, milestones, etc. This is a definently a solid wild card for PPS growth also, from my point of view.

Best Regards, Bernie