hi

  in light of all the discussions around PGHQ lately, kenny west has
  asked me to forward this message on (he is having problems with
  sending it for some reason)..
  
  the message is as follows:

---
Kenny West
PalmGear.com
THE One Stop Source for the Palm OS!
http://www.palmgear.com

I want to take a moment to personally thank you for your continued support
of PalmGear.com and myself. It is through relationships such as ours that we
can continue building the Palm OS community of developers and users.  This
letter is an attempt to bring you, as one of our key partners in the
business, up to speed on the company and where we are going.

As you are probably aware, we recently emerged victorious from a 2 1/2 year
legal battle with one of the main financial backers of Handango, Q Funding.
Although we won the suit, it redirected the energies of many of us here for
quite some time and drained considerable financial resources from the
company. The lawsuit also had what we feel was the plaintiff's desired
effect of our getting outside investment in PalmGear.com quite impossible as
I am sure you can imagine. In spite of this we have continued unabated and
fully expect to continue!

The good news is that with the lawsuit finally behind us, we are now able to
seek outside funding so that we may continue to grow the business and much,
much  more. To that end, we have identified several priorities of the
company:

        1.  Since January of this year, we have spent well over $1 million in
system and software upgrades. These upgrades, some of which are already on
line, will improve the users' experience with the site and reduce
inconveniences and outages.

        2.  We are actively pursuing strategies that are intended to increase
traffic and, more importantly, drive revenue to products such as yours. You
will see some of these changes in the next several months.

        3.  We have retained a new Controller and an outside consulting firm to
help us with corporate organizational issues. Between these new additions,
we expect many of the typical COO and CFO functions for a company such as
ours to become more organized and institutional. By way of example, they
have developed a cash management system that will make us better able to
process invoices and respond more quickly with checks to our developers.

We are making great progress on bringing our payables current.  It still is
a job that will take us several months to get through it.  So, please
continue to bear with us. You are of course our first priority!

        4.  We are cutting excess costs, in order to free up cash flow to pursue
the various initiatives we are pursuing.  In order to personally demonstrate
my commitment to the company's financial success, I have voluntarily reduced
my salary.

        5.  As one of the first tasks of our Controller and consultants, we are
"clearing" most of the "over 90 day" column of the company's payables this
week.  Further, we will retire around half of the "over 60 day" payables in
the next two weeks. Frankly, many of you have been patient and have had to
put up with our short term financial problems long enough. We appreciate
your working with us, and I pledge to you to do everything in my power to
make your dealings with PalmGear.com work as smoothly as you should expect.

There are a number of other exciting opportunities before us that I hope to
detail to you in my next message.  Suffice it to say that we are refocused
on our business and our relationships.  We expect great things in the
future!

I would also like to reiterate to those of you who have known us (myself and
the others here at PalmGear.com) and for those who are not aware, we started
PalmGear almost 5 years ago as a couple of "Enthusiasts" and I can assure
you our faith and enthusiasm is just as strong today! You, the Palm OS
Software developer, are our most important customer. If you have any
specific questions, please feel free to e-mail me directly at:

[EMAIL PROTECTED]

or call me directly at 817-640-6558 Ext 205. I promise you will have my full
undivided attention and I will respond as quickly as is possible! Again,
thank you for your continued support and understanding. Together we will
continue to be the leader in our market as we have been and are now!


Regards,


Kenny West
President
PalmGear.com
THE One Stop Source for the Palm OS!
http://www.palmgear.com




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