• When an $8 million market cap company goes to the time and expense of adopting an NOL preservation plan (aka, a hostile takeover poison pill) it is worth paying attention
• Solitron Devices, Inc. (SODI) has been in an adversarial relationship with one of its largest shareholders for some time
• SODI only has ~ $3 million of cash on hand combined with an operating cashflow burn rate of over $1.5 million
• The poison pill appears to have been drafted by a reputable law firm
• Hiring external advisors to prepare a poison pill when faced with cash constraints might be an indication of extreme confidence in a company's future

The terms of the NOL preservation plan provide for a dividend of one preferred stock purchase right for each share of common stock.  Each right can be exchanged for one one-hundredth (1/100th) of a share of Series A Junior Participating Preferred Stock at a price of $17.92 per one one-hundredth of a share of Preferred Stock.