William E. and Barbara J. Flanagin - Page 4




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          DiskPack for $5.  By April 1993, PHI had sold a total of                     
          approximately 300 copies of DiskPack.                                        
               During this time, Mr. Flanagin also worked on possible                  
          modifications to DiskPack so that it would work on PC emulators.             
          The Z-100 Lifeline solicited interest in such modifications.  By             
          December 1992, only two people expressed interest in a PC-                   
          emulating version of DiskPack.                                               
               B.  The SCSI Board                                                      
               In November 1990, there was a get-together of Z-100 users.              
          Approximately 50 people attended.  A discussion among the                    
          attendees led to the suggestion that some of the more                        
          knowledgeable Z-100 users should attempt to produce a SCSI Host              
          Adaptor (SCSI board) that would allow Z-100's to interface with              
          Z-100 peripherals such as CD ROM's, tape backup units, and                   
          removable cartridge drives.  Mr. Herman recruited four                       
          individuals, including Mr. Flanagin, to develop the SCSI board               
          for the Z-100.  Mr. Flanagin would develop the software necessary            
          to run the SCSI board.                                                       
               As of February 1991, Mr. Herman and the group had not                   
          determined how to finance, promote, or sell the SCSI board.                  
               By mid-to-late 1991, the SCSI board project was nearly                  
          completed.  Mr. Herman solicited orders for the SCSI board                   
          through the Z-100 Lifeline.  The announced price was $249.  At               







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