Ann: Appendix 4C - quarterly-EOS.AX, page-14

Thank you Jim,
Saying that by the end of second qtr they would have more than 6mln dlrs cash whilst it actually was 7.4 mln shows management is prudent in their statements. However anyone who is looking at the P&L or balance sheet forgets that EOS is a geopolitical play. Part of the aforementioned UAE is Abu Dhabi. They control Abu Dhabi Investment Authorities (ADIA) who control a bit over half a trillion dlrs in worldwide investments. A 300 million dlr investment in EOS RWS weapon systems is peanuts. Especially thinking about what happened with the 500 billion dollar owned by the Lybian Investment Authorities (LIA). Its frozen. so nobody can touch it. So I don't think lower oil prices play a part in the postponement of orders for EOS. I don't speak with management, but looking at the political situation it sounds to me that there is a major realignment going on between Saoedi Arabia and the UAE against IS.
There is no doubt in my mind that IS is already looking with great greed to the obvious opportunities in Saoedi and the UAE that uses foreign African, Indian and Pakistani workers as slaves. Most of them are muslims. For decades the Arab sheiks are not used to fighting anymore, but they are a minority in their own country. I hope they have got a wake up call now. I expect before the end of this year IS fighters will enter Saoedi and consequently will become a big threat for the UAE. This is my own opinion and I can be wrong. If I am right EOS RWE contracts with Middle East nations cannot be far away.