Latest CEO Letter

September 8, 2005


CEO Update

Dear Shareholder,

As you may recall from the July 20th letter, we had been contemplating the acquisition of a full-reporting entity that would subsequently secure the assets of Target Communications, thus expediting the capital funding process. At the time, our investment bankers believed this was the best course of action. After further due diligence, an alternate plan was determined to be better suited for our situation.

As many of you know, our efforts to raise capital utilizing the Rule 504 exemption has been met with limited success. We had secured commitments from multiple firms to provide funding upon the completion of the merger into a bulletin-board company. After analyzing the commitments further, it became evident that the initial costs to complete the transaction would be prohibitive, and the timing would not satisfy our growth expectations for Target.

The Rule 504 exemption allows us to raise a maximum of $1M annually, which means there is still approximately $700K remaining for us to utilize. The transaction fees to secure the bulletin board company approach $500K, leaving only $200K to support Target’s growth. Additionally, this scenario creates greater dilution for us all. I find these factors to be unacceptable. As a result, we have chosen to take a different and more efficient route.

We have initiated due diligence on 2 non-reporting public companies traded on the NQB on an ‘unsolicited’ basis. Unsolicited stocks, commonly known as ‘Grey Sheet’ stocks fall under the same basic guidelines as Pink Sheet stocks. Because a single Market Maker cannot be on the bid/ask side simultaneously, the ability to ‘short’ a Grey Sheet stock is dramatically decreased thus providing maximum stability for the securities in the market. The Grey Sheet company can be acquired for approximately 20% of the cost of the bulletin board company, and notwithstanding a new registration statement, provides all of the benefits and security we are seeking. With the remaining 504 fund raising capability we have available with PrimeHoldings, we find ourselves with the unique opportunity to acquire the new company, complete the merger, and execute phase one of the Target business plan, all without a single share of dilution in the new company. The next step is to complete a private placement in the new company, raise the necessary capital to execute phase two of the Target business plan, and file a registration statement. This will lead directly to the Over The Counter Bulletin Board (OTC.BB) and profitability with less dilution and significantly less cost to us all.

My objective to maximize value for all shareholders remains steadfast. If all of the attorneys, bankers, and market experts involved in this effort concur with me, it is in our best interest to complete this transaction and aggressively execute the Target Business Plan. I will diligently strive to protect your investment and trust to the best of my ability. I value your continued support and look forward to a profitable future.

Sincerely,
Tom Aliprandi, CEO