I received a call from Mr. Flowers earlier today. Let me first say that, as expected, he did not disclose anything to me that would be even remotely considered "material" under SEC guidelines, nor, of course, did I ask him to do so. We had a very candid and cordial conversation, and he stated that he endeavors to do so with other shareholders when their inquires appear sincere and reasonable.
In answer to my questions, the best way for me to summarize the conversation is to state that, as Mr. Flowers sees things at present, the next significant event toward the possibility of generating significant MMP licensing revenues will be the Markman hearing. As a litigator, I can understand that, since, as I have posted many times, litigation is really just risk management, and this is especially so once the proceedings begin to escalate toward an event that could well be dispositive.
My perception, not based on anything Mr. Flowers said, is that this doesn't necessarily mean there will be no MMP settlements between now and the Markman, although that could certainly be what occurs. Rather, as with the J3 cases, there may have been a "tipping point" reached in the current litigation so that the parties believe the Markman is necessary in order to realistically evaluate their respective positions.
In closing, I would thank Mr. Flowers for having taken the time to contact me. He is quite aware of my comments about the Company over the last few years, but he was nonetheless very professional and courteous, and was as open as possible under the circumstances to discussing the issues about which I had inquired. I didn't expect to come away from the conversation with a great deal more knowledge than I had already surmised, but the confirmation of same is nonetheless appreciated.
Best wishes to all.
