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To: ravenseye who wrote (758)3/30/2006 8:53:57 PM
From: StockDung  Respond to of 5673
 
NEWS OUT TODAY FROM The Dilenschneider Group AND XYBRQ-> Revised: Xybernaut Announces Interim Replacement Financing
Company Maintains Original Plan to Emerge From Chapter 11
CHANTILLY, Va., March 30 /PRNewswire-FirstCall/ -- Xybernaut Corporation (Pink Sheet: XYBRQ.PK), announced today that the U.S. Bankruptcy Court for the Eastern District of Virginia has approved East River Capital LLC (ERC) as an interim replacement Debtor in Possession (DIP) lender, subject to final approval on April 25. ERC has provided a $1.9 million initial loan to Xybernaut that will be increased to $2.6 million on final court approval, including a finding that the company has no further obligations to LC Capital Master Fund, Ltd. The loan may also be increased to $3.2 million by mutual agreement.

Separately, the Court also approved the engagement of SSG Capital Advisors, L.P.(SG) and Technology Options Capital LLC (TOC), confirming their activities since February as the investment banking team spearheading the sale of some or all of the Company's extensive patent portfolio as part of its plan to emerge from Chapter 11.

Perry L. Nolen, President of Xybernaut, declared: 'Due to a dispute with the original DIP lender, the Company did not receive funding from this lender in January or February. With the interim approval of ERC, the Company's near- term budget has been funded in full and we have caught up on substantially all our obligations to vendors and employees. By reducing the size of escrows in the new structure, we were able to reduce the loan amount from $5.0 million with the prior lender to $2.6 million with ERC. Assuming approval of the final order (described above) by the court, as to which there can be no assurance, we believe this amount will be sufficient to see us successfully through the sale process of the patents.'

'With this new loan in place, we are continuing our original plan to sell some or all of our patent portfolio to obtain the funding needed to emerge from Chapter 11 in the second half of this year as an ongoing provider of mobile computing solutions,' Nolen said. 'As part of that plan, we selected TOC to provide expertise in evaluating and positioning the patent portfolio and selected SSG to add expertise in sales of assets through the Chapter 11 process. In February, the investment banking team started the process of targeting and positioning components of this portfolio to key industry players. Although there can be no assurance as to the outcome of this sales process, we are pleased with the progress made by the investment banking team.'

East River Capital is a special situations investment fund based in Westport, Connecticut. Additional information about the fund can be obtained by contacting Stevi Pasquella at 203-341-9964.

Cautionary Note

All statements, other than historical facts, included in the foregoing press release regarding the Company's financial position, business strategy, and plans of management for future operations are 'forward looking statements.' They are based on management's beliefs and assumptions, and on information currently available to management. Forward looking statements include, but are not limited to, statements in which words such as 'expect,' 'see,' 'anticipate,' 'intend,' 'plan,' 'believe,' 'hope,' 'estimate,' 'consider,' or similar expressions are used. Such forward looking statements are not guarantees of future performance. The Company continues to face a severe liquidity crisis and possible insolvency and has filed a voluntary petition under Chapter 11 of the U.S. Bankruptcy Code. Risk factors related to the Company's financial condition and the bankruptcy proceeding that could cause actual results to differ from these forward looking statements include, but are not limited to, the following: the Company's ability to continue as a going concern; the Company's ability to obtain court approval of the Company's motions; the Company's ability to maintain contracts that are critical to its operations; the ability of the Company to attract and retain key executives and qualified personnel; the Company's ability to execute its strategic initiatives, including expense reduction; the Company's ability to profit from its products and services; the Company's ability to reorganize and/or market its intellectual property and other assets; and the Company's ability to generate cash flow and obtain financing to support its operations and its reorganization and intellectual property and other asset marketing efforts.

These statements are based on current expectations and speak only as of the date of such statements. The Company undertakes no obligation to publicly revise or update these forward looking statements, whether as a result of new information, future events or otherwise.

Contacts:
Media Contact:
William Beecher
The Dilenschneider Group
Tel: 301-469-7655

Investor Contact:
Michael Glickman
The Dilenschneider Group
Tel: 212-922-0900

SOURCE Xybernaut Corporation

Source: PR Newswire (March 30, 2006 - 9:23 AM EST)



To: ravenseye who wrote (758)4/2/2006 3:21:44 PM
From: StockDung  Respond to of 5673
 
stillshakingit.com



To: ravenseye who wrote (758)4/3/2006 11:53:09 PM
From: StockDung  Read Replies (1) | Respond to of 5673
 
Zicam Claims Continue to Mount Despite Settlement
newsinferno.com

Date Published: Wednesday, March 8th, 2006
A $12 million settlement with some 300 plaintiffs in a class action has not stopped claims being made against Zicam and its manufacturer, Matrix Corp. In fact, one attorney we spoke with indicated that the number of cases involving the over-the-counter (OTC) nasal spray is steadily mounting.

As we previously reported, in the late 1930s, intranasal zinc sulfate solutions were used to prevent polio. The products were removed from the market because they proved unsuccessful and due to that some users suffered a loss of smell.

Since that time, a number of medical researchers have claimed there is a link between products containing zinc and possible nerve damage.

Neurotoxins act specifically on nerve cells (neurons) usually by interacting with membrane proteins and ion channels.

Environmental neurotoxins are known as exogenous and include gases (carbon monoxide), metals (mercury, lead, zinc), liquids (ethanol) and a multitude of solids. When exogenous toxins are taken in, the effect on neurons is largely dependent on dosage and duration.



Of course, since the senses of smell and taste (like the other senses) rely on a sophisticated network of neurological processes, any neurotoxin has the potential to interfere with or even damage or destroy them.

It is because of these facts that there a serious controversy over the safety of OTC zinc-based, homeopathic medications like Zicam that claim to shorten the duration of the common cold.

The maker, marketer, and seller of Zicam (R) Cold remedy nasal gel, Zicam, LLC (a wholly owned subsidiary of Matrixx Initiatives, Inc. – an OTC drug developer, manufacturer, and marketer) has steadfastly defended its product as being safe.

Only last year, in a press release, Matrixx claimed that any reports alleging anosmia (loss of smell) associated with Zicam(R) Cold Remedy zinc products “are completely unfounded and misleading.”

Matrixx asserted that any research linking nasal products containing zinc to the onset o f anosmia were erroneous because the compound found in the 1930s products was concentrated zinc sulfate as opposed to the zinc gluconate found in Zicam. Zinc sulfate “is a mineral salt that reacts with water to produce a strong acid (sulfuric acid) and zinc oxide,” while “zinc gluconate is a weak organic salt that dissolves to form positively charged zinc ions and negatively charged gluconate – a naturally occurring, non-toxic compound found in all human tissue.”

The FDA does not test cold remedies containing soluble zinc for safety or efficacy and, thus, it was not until late 2004 that the agency only began to take notice that there might be a serious risk posed by the products.

By that time, however, researchers at University of Colorado Health Sciences Center Taste and Smell clinic had already documented the loss of smell among Zicam users for over a year. In addition, a number of lawsuits had been commenced around the U.S. alleging anosmia as an injury that could occur with as little as one application of the Zicam nasal gel.

The problem had also been presented for discussion at the September 2003 meeting of the American Rhinologic Society. Clearly, there was much more to this than the simple denial issued by Matrixx.

A lawsuit has been commenced by a major plaintiffs’ personal injury firm against Matrixx Initiatives, Inc. Zicam, LLC, and Botanical Laboratories, Inc., on behalf of a woman who claims to have lost her senses of smell and taste after using Zicam Cold Remedy nasal gel.

The lawsuit, now pending in the U.S. District Court for the Western District of Louisiana in Shreveport, Louisiana, was brought by Parker & Waichman, a New York based firm that is heavily involved in pharmaceutical litigation throughout the country.

The suit alleges that in December 2003, the plaintiff began using Zicam Cold Remedy nasal gel to relieve her cold symptoms. After using the product as directed, however, she began to experience a loss of her sense of smell and her sense of taste and has never regained these senses completely. She has been diagnosed as having a permanent partial loss of the senses of smell and taste.

The loss of the senses of smell and taste can have very serious consequences aside from the obvious loss of the enjoyment and pleasure associated with the exercise of those senses.

Danger areas documented by studies of people suffering from the loss of these senses include: cooking related accidents; exposure to undetected fires, smoke, or gas leaks; eating spoiled foods or toxic substances; and other situations where either of the senses is a primary method of detection of sensory information.

In addition, the loss of these senses can cause collateral damages such as to anyone engaged in a profession where smell or taste is a critical requirement (chef; taste tester; cosmetics and perfume industry; wine, beer, or spirits industry).

In addition to alleging the dangerous nature of the zinc-based gel itself, the lawsuit claims the product label, promotional materials, and advertisements used in conjunction with the sale of Zicam Cold Remedy Nasal Gel did not provide sufficient warning and instructions about the risks and adverse side affects associated with the use of the product.

Thus, while the settlement may have resolved some of the claims involving Zicam, the litigation only promises to expand and become far more expensive for the manufacturers of the OTC cold remedy.

This entry was posted on Wednesday, March 8th, 2006 at 8:42 am and is filed under Legal News, Drug Side Effects, Defective Products. Both comments and pings are currently closed.

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To: ravenseye who wrote (758)4/18/2006 6:08:12 PM
From: StockDung  Read Replies (1) | Respond to of 5673
 
" Quote the raven Nevermore!"