[bobfreedman]

Board members, we were hacked once again however after the first hack, SpearTip was hired and prevented a second attempted attack Sunday Morning. A decision was made to take the servers offline and do a through check to determine how they were able to penetrate our servers (although no encryption nor data loss occurred). We have estimated that there was a Trojan Horse installed on the first hack. We decided to take everything offline and rebuild our environment and harden the security even more.

The decision was also made to install redundant security measures to prevent future attacks. This is why the servers of all our clients utilizing our software have been down. These additional layers of security have now been implemented, the servers are being tested and should be ready to be back online tonight.

We have gone through great expense to prevent the this again and we are being very proactive in hiring additional staff and hiring SpearTip on a full time basis. This has been a very trying time as you can imagine and I appreciate our customers loyalty and hope that we can once again provide you the level service you are accustomed too. Thank you

Also, from the first hack, a complete forensic analysis was done and determined that no data loss occurred

Bob Freedman