EXHIBIT 99.1
Published on May 15, 2006
EXHIBIT 99.1
For the three-month period ended March 31, 2006, the Company had no revenue. The Company incurred
higher expenses in the three-month period ended March 31, 2006, compared to the three-month period
ended March 31, 2005, as a result of higher operating costs, partially offset by lower research and
development costs. For the three-month period ended March 31, 2006, general and administrative
expenses are anticipated to be approximately $2,940,011 compared to $661,595 for the three-month
period ended March 31, 2005. This increase is primarily attributable to an increase in non-cash
expenses in the amount of approximately $2,007,888. For the three-month period ended March 31,
2006, research and development expenses are anticipated to be approximately $57,294, compared to
$401,485 for the three-month period ended March 31, 2005. This decrease is primarily attributable
to a decrease in research by RAND Corporation, offset in part by an increase in product research,
testing and prototype expenses.
As a result of the foregoing, the Companys net loss for the three-month period ended March 31,
2006 will be approximately $2,998,105, or $.10 per share, compared to a net loss of $1,065,056, or
$.03 per share, for the three-month period ended March 31, 2005.