Dow Jones 11428.77 +47.78 1:45 pm PDT, May 15, 2006 NASDAQ 2238.52 -5.26 For info, visit access.smallcapnetwork.com S & P 500 1294.50 +3.26 Change your subscription status here Russell 2000 737.64 -4.76 VOLUME 06: ISSUE 36 Winning in Vegas - Network Announces Record Growth Winning in Vegas is no easy task, but for Network Installation Corporation (OTCBB: NWKI), it's becoming a very common theme. Network announced today record revenues of $6.8 Million for the quarter ending March 31, 2006 compared to $750,716 for the same quarter of '05, an astounding 800% increase. To add to its phenomenal revenue growth figures, Network also managed to annihilate per share losses, reducing losses from (.31) per share a year ago to a remarkable (.03) per share loss (See release below). As Network continues to impress and attract high profile, high value customers with its innovative system's design capabilities, it appears to be rapidly on its way toward establishing a major footprint in the ever-profitable gaming and luxury condo markets. With today's revenues and earnings announcement, it is our opinion that Network's momentum is just starting to pick up steam. Couple this with the fact that the stock has been unable to find any traction of late, and it is our opinion that there continues to exist significant upside potential in the stock in coming months, as Network's growth gets priced in. These are the opportunities we always look to identify in the micro and small cap markets. That was then, this is now... Only a year ago the Company was trading at $1.25 and only fifteen months ago above $2. So, record quarterly revenue and roughly a 65% discount in the stock compared to a year ago? You get the picture. Revenues have gone from virtually non-existent to where you see them today. The board of directors brought in super star CEO Jeffrey R. Hultman, who brings with him an impressive track record. Hultman himself has also in turn added some real super star talent to his management team. Additionally, in 2005 Kelley Technologies was acquired, who in turn has nailed some monster sports book contracts with names such as Boyd Gaming Corporation, MGM Mirage, and Station Casinos. We've said it many times before - when you invest in small growth stories, take a hard look at the management, In our opinion, one of the key reasons to own Network is CEO Jeff Hultman and his management team. Over a long career, Hultman has racked up an impressive history of successfully growing companies and selling them at large premiums. Among others, he drove PacTel sales from $100 million to $1 billion. Verizon ultimately wrote a big check to shareholders. Location, location, location...  Corporate headquarter relocation to Las Vegas was just another in a string of changes credited to Network CEO Jeffrey R. Hultman. The city is one of the nation's fastest-growing major metropolitan areas, with a population growth of 4.6% per year, 20% from 1999-2004 and nearly doubling in size from 1985-1997. Las Vegas is also the nation's number one convention city. " ... Las Vegas is the undisputed center of the universe ... " - Jeffrey R. Hultman Due to the Company's deep roots in Vegas (subsidiary Kelley Technologies has been conducting business there for 40 plus years), it is no surprise that Network has hooked up with Vegas-based Pinnacle High Rise Luxury Condo Development, again. After designing the sales center for Pinnacle, Network has been retained to design the communications network for the more than 1,000 residential units within the development, which will be 100% retrofitted with the necessary infrastructure to support telephone, cable, high-speed internet, and satellite television. Just one large-scale contract win with another potential giant such as Pinnacle could propel Network into the limelight and establish the Company as a frontrunner in providing communications infrastructure to the explosive Las Vegas MDU marketplace. As the city prepares for the construction of the more than 20 MDU related projects on the horizon, Network has established an early footprint in a surging market and is looking to further solidify its position. With design contract in hand, the ball is in Network's court. It appears Hultman is working his strategic magic again. Owning shares at current levels may prove extremely prudent and profitable over the next couple of years.  No one-trick ponies allowed...  Although the MDU marketplace represents an enormous opportunity, Network is anything but a one-trick pony. The Company's wholly-owned subsidiary, Kelley Technologies is a frontrunner in the electronic sports book industry, with orders and design contracts for its next-generation sports book coming in from around the world. Besides the fact that industry pioneer Mike Kelley is captaining the ship (Mr. Kelley played a key role in the design and implementation of the first electronic sports book which debuted in Caesar's Palace Las Vegas), Network currently boasts a clientele of gaming and hospitality heavy hitters such as MGM Mirage (NYSE: MGM), Mandalay Bay Resort Group, Harrah's Entertainment Group (NYSE: HET), Palm Resorts-N9ine Group, and Venetian Resorts and Casino. On the gaming side of its business, Network has recently developed a new and innovative electronic sports book system that is expected to revolutionize the gaming industry. Company officials have stated in the past that they expect the new gaming system to be adopted in an excess of 75 hospitality and gaming organizations within Las Vegas in a relatively short period of time. Widespread adoption across even 50% of these potential 75 organizations provides tremendous revenue growth opportunities. As a result, the Network story could get even more compelling in the coming months ahead. Build it and they will come...  Network's recently developed cutting-edge sports book solution and it is beginning to pay off. Since the initial introduction of the system in late April at Station Casinos' (NYSE: STN) $925 million Red Rock Casino Resort Spa in Las Vegas, design projects and orders alike have been rolling in.  Network's latest contract announcement with Borgata Hotel Casino & Spa in Atlantic City, NJ may be more than initially meets the eye. Why? Borgata is a joint venture development of Boyd Gaming Corporation (NYSE: BYD) and MGM MIRAGE, both giants in the Las Vegas gaming industry. Contracts such as this are an extremely positive indicator of what may be on the horizon for Network. But it gets better. Existing contracts for this must-have system add up to less than 5% of the potential 75 future contracts outlined by Company officials. With a history of well-established relationships coupled with a hall of fame clientele that includes the likes of MGM Mirage and Harrah's Entertainment Group, you do the math. Some of the best investment decisions just make good old-fashioned logical sense.   Network Installation Posts Record $6.8 Million In Revenue for 1 st Quarter; Increases 800% Las Vegas , NV , May 15, 2006 / PRNewswire - FirstCall / -- Network Installation Corp. (OTC Bulletin Board: NWKI) announced today that it posted a record $6, 806,146 in revenue for the first quarter ended March 31, 2006 vs. $750,716 for the quarter ended March 31, 2005, an 800% increase. Net loss per share for the quarter ended March 31, 2006 was (.03) vs. (.31) per share for the quarter ended March 31, 2005 . Approximately $5 million in first quarter revenue was attributed to the completion of Station Casinos' 'Red Rock Casino Resort Spa' project by acquired subsidiary Kelley Technologies. The Company's complete financials can be viewed on its most recent 10-QSB filing at www.sec.gov. Network Installation CEO Jeffrey R. Hultman stated, "I am truly excited to report such remarkable growth to our shareholders. While we continue to push for accelerated top line growth, we are also extremely focused on achieving positive cash flow and profitability. To that end, we have targeted a significant improvement to our profit margins, which increased sequentially from 10% in the fourth quarter of 2005 to 14.8% in the first quarter of 2006 and are planning for even greater improvement in the quarters ahead." He added, "I believe our opportunities in both the gaming and the luxury condo market are enormous and expect that to reflect in even better performance as the year progresses." About Network Installation Network Installation Corp., through its wholly-owned subsidiary Kelley Technologies, is a technology company which specializes in the design, development and integration of communication technology and system networks for the resort and gaming industry as well as luxury high-rise condo developments (MDUs). Kelley Technologies has also developed a patent-pending, proprietary next generation Race & Sports Book platform designed for the gaming industry and remains committed to developing the most advanced technology solutions to meet the desires of its clients. To find out more about Network Installation Corp. (OTC Bulletin Board: NWKI) or Kelley Technologies, please visit www.networkinstallationcorp.net or www.kccinc.com. The Company's public financial information and filings can be viewed at www.sec.gov. Forward - Looking Statements This release contains forward-looking statements, including, without limitation, statements concerning our business and possible or assumed future results of operations. Our actual results could differ materially from those anticipated in the forward-looking statements for many reasons including: our ability to continue as a going concern, adverse economic chan ges affecting markets we serve; competition in our markets and industry segments; our timing and the profitability of entering new markets; greater than expected costs, customer acceptance of wireless networks or difficulties related to our integration of the businesses we may acquire; and other risks and uncertainties as may be detailed from time to time in our public announcements and SEC filings. Although we believe the expectations reflected in the forward-looking statements are reasonable, they relate only to events as of the date on which the statements are made, and our future results, levels of activity, performance or achievements may not meet these expectations. We do not intend to update any of the forward-looking statements after the date of this document to conform these statements to actual results or to chan ges in our expectations, except as required by law. For further information, please contact Jeffrey R. Hultman, Chairman and CEO Network Installation Corp., jhultman@ntwins.com, ph (949) 719-2700 or (702) 889-8777.   We Value Your Feedback   Got comments, questions or suggestions? Send 'em on over: Editor@smallcapnetwork.com If you wish to send a written request or inquiry, please send it to our physical address: TGR Group, LLC 4653 Carmel Mtn Rd Suite 308 #402 San Diego, CA 92130 Xtreme Appoints New CEO Xtreme Companies, Inc. (OTCBB: XTME) announced today the appointment of a new CEO. Xtreme CFO Laurie Phillips, heavily experienced in the manufacturing industry, will replace Kevin Ryan as CEO. Click here to read the release. Phillips brings a wealth of knowledge of finance and management as well as an in depth understanding of the sales and marketing processes of Xtreme. Her prior experience directing a manufacturing and assembly organization of over 200 employees should serve her well at the helm. The stock has been all but a trend follower so far in '06. Starting the year out at $0.11, bouncing around, and now trading at $0.09, just a penny off its all-time low. With more and more fundamental progress taking place at the Company, something just isn't right here. Revenues are way up (see April 15th edition), production is way up and they closed the acquisition for industry leading boat manufacturer Challenger Offshore. So.... what's with the stock price? At the risk of sounding like a simpleton, supply and demand, more selling than buying. Everyone is bailing on the stock, giving up, throwing in the towel. The herd mentality is one worth discarding. If the masses are buying, it is usually a good time to sell and if the masses are selling, well you get the picture. Look at the price of XTME stock, now look at the astounding fundamental progress recently and you make the call.   Clearly an Up Trend Clearly Canadian Beverage Corporation (OTCBB: CCBEF) continues climbing despite the recent massive sell-off in ALL equity markets. Not a pretty last week for the broader markets. The Dow is down 2-½% or almost 300 points from it's high of 11,670 last Wednesday. The NASDAQ Composite Index is off 4-½% and the S&P Small Cap 600 Index down nearly 5%. What did Clearly do last week? Up 4%! A tell tale sign of strong price action in a stock is when it's moving opposite a strong market trend. Up 25% in 16 trading days and 4% in a broad base sell off week, I think Clearly Canadian is Clearly a strong stock. Buying any pullbacks is strongly suggested. If the pullback opportunity presents itself, there is good support in the $2.60 - $2.65 area and strong support in the $2.45 - $2.50 range.   Fashion House Loads up Key Execs Last week was a busy one at The Fashion House (OTCBB: FHHI). A new National Sales Manager (see press release), James M. Burt, was brought in for it's Oscar by Oscar de la Renta line and Scott Kaminsky was named the new Vice President (see press release), both coming on board with years of successful industry background and experience. James M. Burt comes to Fashion House after having various responsibilities with big name players such as Saks Fifth Avenue (NYSE: SKS), Nordstrom's (NYSE: JWN) and Bloomingdale's (NYSE: FD). Scott Kaminsky comes aboard with over 20 years of industry experience, most recently as the vice president of XOXO Footwear. Mr. Kaminsky has a proven track record of improving margins and increasing sales. He will oversee the Company's Richard Tyler division, the largest women's footwear line distributed by the Company. Changes such as the management additions named above coupled with exclusive worldwide licensing agreements with the likes of Bill Blass, Oscar de la Renta, Richard Tyler and Isaac Mizrahi will only help The Fashion House grab a bigger piece of the rapidly growing $50 billion footwear market. The stock has had a very volatile 2006, running from $1.10 to $2.35 and back down. There appears to be some support at current levels. The run up occurred on expanding volume and the drop, with the exception of a couple of days was on relatively light volume. Regardless, I would play this one safe. Watch first for support and second for buying to come in. We will be doing the same and keeping you posted with our thoughts and ideas. Subscribe Information is power and timely information is profitable. 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To the degrees enumerated herein, SCD should not be regarded as an independent publication.  Click Here to view our compensation on every company we have ever covered, or visit the following web address: http://www.smallnetwork.net/profile_disclosure.html for our full profiles and http://access.smallcapnetwork.com/short_term_alerts.html for Trading Alerts.  TGR Group LLC has been paid a fee of $30,000 and 200,000 newly issued restricted shares of Network Installation for coverage of the company. In addition, one of the principles of TGR Group LLC is also a principle of MarketByte LLC. In a separate contractual relationship in 2003, MarketByte LLC was paid a fee of $25,000 in cash and 500,00 newly issued, restricted shares by Network Installation for coverage of the company. The term of MarketByte's obligation to NeWave has expired. The aforementioned 500,000 shares issued to MarketByte LLC have become free trading, and whatever number remains could be sold at anytime. This should be viewed as a potential conflict of interest. TGR Group LLC has been paid a fee of $25,000 cash and 500,000 shares of newly issued restricted stock directly by Xtreme Companies for coverage. The aforementioned shares have become free trading under Rule 144. On March 7, 2006, TGR Group LLC entered into a contract extension whereby TGR could receive as much as $65,000 cash and 1 million, newly issued restricted shares over the next one year period from Xtreme for coverage of the company. To date, TGR has received an additional $20,000 and 250,000 newly issued restricted shares. TGR Group LLC has been paid a fee of $30,000 and pledged 150,000 warrants with an exercise price of $2, currently convertible into restricted shares of Clearly Canadian, by Level III Research, for its coverage of Clearly Canadian. The Fashion House Inc. has paid TGR Group LLC a fee of $30,000 for coverage of the company. 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