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CUSIP No. 63910B102 Page 1 of 15 pages
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UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
SCHEDULE 13D
Under the Securities Exchange Act of 1934
(Amendment No. _)
Nautilus, Inc.
----------------
(Name of Issuer)
Common Stock
------------
(Title of Class of Securities)
63910B102
---------
(CUSIP Number)
Direct any Notices and Communications to:
-----------------------------------------
George J. Mazin, Esq.
Dechert LLP
30 Rockefeller Plaza
New York, NY 10112
February 13, 2006
----------------
(Date of Event which Requires Filing of this Statement)
If the filing person has previously filed a statement on Schedule 13G to report
the acquisition that is the subject of this Schedule 13D, and is filing this
schedule because of ss.ss. 240.13d-1(e), 240.13d-1(f) or 240.13d-1(g), check the
following box. [X]
The information required in the remainder of this cover page shall not be deemed
to be "filed" for the purpose of Section 18 of the Securities Exchange Act of
1934 ("Act") or otherwise subject to the liabilities of that section of the Act
but shall be subject to all other provisions of the Act.
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CUSIP No. 63910B102 Page 2 of 15 pages
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--------- ------------------------------------------------------------------------------------------------------
NAME OF REPORTING PERSON
1 SS. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
ENDOWMENT CAPITAL, L.P.
77-0621714
--------- ------------------------------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [x]
2 (b) [ ]
--------- ------------------------------------------------------------------------------------------------------
SEC USE ONLY
3
--------- ------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS
WC
--------- ------------------------------------------------------------------------------------------------------
5 CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(D) OR 2(E) [ ]
--------- ------------------------------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
6
DELAWARE
----------------------- --------- ------------------------------------------------------------------------------
SOLE VOTING POWER
7
NUMBER OF 0
SHARES --------- ------------------------------------------------------------------------------
BENEFICIALLY OWNED SHARED VOTING POWER
BY EACH 8
REPORTING PERSON 3,193,829
WITH --------- ------------------------------------------------------------------------------
SOLE DISPOSITIVE POWER
9
0
--------- ------------------------------------------------------------------------------
SHARED DISPOSITIVE POWER
10
3,193,829
----------- ----------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
9.56%
----------- ----------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES [ ]
----------- ----------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
9.56%
----------- ----------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON
PN
----------- ----------------------------------------------------------------------------------------------------
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CUSIP No. 63910B102 Page 3 of 15 pages
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--------- ------------------------------------------------------------------------------------------------------
NAME OF REPORTING PERSON
1 SS. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
LONG DRIVE, L.P.
84-1639266
--------- ------------------------------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [x]
2 (b) [ ]
--------- ------------------------------------------------------------------------------------------------------
SEC USE ONLY
3
--------- ------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS
WC
--------- ------------------------------------------------------------------------------------------------------
5 CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(D) OR 2(E) [ ]
--------- ------------------------------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
6
DELAWARE
----------------------- --------- ------------------------------------------------------------------------------
SOLE VOTING POWER
7
NUMBER OF 0
SHARES --------- ------------------------------------------------------------------------------
BENEFICIALLY OWNED SHARED VOTING POWER
BY EACH 8
REPORTING PERSON 3,193,829
WITH --------- ------------------------------------------------------------------------------
SOLE DISPOSITIVE POWER
9
0
--------- ------------------------------------------------------------------------------
SHARED DISPOSITIVE POWER
10
3,193,829
----------- ----------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
9.56%
----------- ----------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES [ ]
----------- ----------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
9.56%
----------- ----------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON
PN
----------- ----------------------------------------------------------------------------------------------------
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CUSIP No. 63910B102 Page 4 of 15 pages
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--------- ------------------------------------------------------------------------------------------------------
NAME OF REPORTING PERSON
1 SS. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
ENDOWMENT CAPITAL GROUP, LLC
77-0621719
--------- ------------------------------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [x]
2 (b) [ ]
--------- ------------------------------------------------------------------------------------------------------
SEC USE ONLY
3
--------- ------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS
AF
--------- ------------------------------------------------------------------------------------------------------
5 CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(D) OR 2(E) [ ]
--------- ------------------------------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
6
DELAWARE
----------------------- --------- ------------------------------------------------------------------------------
SOLE VOTING POWER
7
NUMBER OF 0
SHARES --------- ------------------------------------------------------------------------------
BENEFICIALLY OWNED SHARED VOTING POWER
BY EACH 8
REPORTING PERSON 3,193,829
WITH --------- ------------------------------------------------------------------------------
SOLE DISPOSITIVE POWER
9
0
--------- ------------------------------------------------------------------------------
SHARED DISPOSITIVE POWER
10
3,193,829
----------- ----------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
9.56%
----------- ----------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES [ ]
----------- ----------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
9.56%
----------- ----------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON
CO
----------- ----------------------------------------------------------------------------------------------------
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CUSIP No. 63910B102 Page 5 of 15 pages
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--------- ------------------------------------------------------------------------------------------------------
NAME OF REPORTING PERSON
1 SS. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
ENDOWMENT CAPITAL GROUP, L.P.
04-377119
--------- ------------------------------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [x]
2 (b) [ ]
--------- ------------------------------------------------------------------------------------------------------
SEC USE ONLY
3
--------- ------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS
AF
--------- ------------------------------------------------------------------------------------------------------
5 CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(D) OR 2(E) [ ]
--------- ------------------------------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
6
DELAWARE
----------------------- --------- ------------------------------------------------------------------------------
SOLE VOTING POWER
7
NUMBER OF 0
SHARES --------- ------------------------------------------------------------------------------
BENEFICIALLY OWNED SHARED VOTING POWER
BY EACH 8
REPORTING PERSON 3,193,829
WITH --------- ------------------------------------------------------------------------------
SOLE DISPOSITIVE POWER
9
0
--------- ------------------------------------------------------------------------------
SHARED DISPOSITIVE POWER
10
3,193,829
----------- ----------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
9.56%
----------- ----------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES [ ]
----------- ----------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
9.56%
----------- ----------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON
PN
----------- ----------------------------------------------------------------------------------------------------
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CUSIP No. 63910B102 Page 6 of 15 pages
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--------- ------------------------------------------------------------------------------------------------------
NAME OF REPORTING PERSON
1 SS. OR I.R.S. IDENTIFICATION NO. OF ABOVE PERSON
PHILIP TIMON
###-##-####
--------- ------------------------------------------------------------------------------------------------------
CHECK THE APPROPRIATE BOX IF A MEMBER OF A GROUP (a) [x]
2 (b) [ ]
--------- ------------------------------------------------------------------------------------------------------
SEC USE ONLY
3
--------- ------------------------------------------------------------------------------------------------------
4 SOURCE OF FUNDS
AF
--------- ------------------------------------------------------------------------------------------------------
5 CHECK IF DISCLOSURE OF LEGAL PROCEEDINGS IS REQUIRED PURSUANT TO ITEMS 2(D) OR 2(E) [ ]
--------- ------------------------------------------------------------------------------------------------------
CITIZENSHIP OR PLACE OF ORGANIZATION
6
UNITED STATES OF AMERICA
----------------------- --------- ------------------------------------------------------------------------------
SOLE VOTING POWER
7
NUMBER OF 0
SHARES --------- ------------------------------------------------------------------------------
BENEFICIALLY OWNED SHARED VOTING POWER
BY EACH 8
REPORTING PERSON 3,193,829
WITH --------- ------------------------------------------------------------------------------
SOLE DISPOSITIVE POWER
9
0
--------- ------------------------------------------------------------------------------
SHARED DISPOSITIVE POWER
10
3,193,829
----------- ----------------------------------------------------------------------------------------------------
11 AGGREGATE AMOUNT BENEFICIALLY OWNED BY EACH REPORTING PERSON
9.56%
----------- ----------------------------------------------------------------------------------------------------
12 CHECK BOX IF THE AGGREGATE AMOUNT IN ROW (9) EXCLUDES CERTAIN SHARES [ ]
----------- ----------------------------------------------------------------------------------------------------
13 PERCENT OF CLASS REPRESENTED BY AMOUNT IN ROW (9)
9.56%
----------- ----------------------------------------------------------------------------------------------------
14 TYPE OF REPORTING PERSON
IN
----------- ----------------------------------------------------------------------------------------------------
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CUSIP No. 63910B102 Page 7 of 15 pages
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ITEM 1. (a). Name of Issuer: Nautilus, Inc.
(b). Address of Issuer's Principal Executive Offices:
1400 NE 136th Avenue
Vancouver, Washington 98684
(c). Title of Class of Securities: Common Stock
(d). CUSIP Number: 63910B102
ITEM 2. This Statement is being filed jointly by each of the following persons
(i) Endowment Capital, L.P., is a Delaware limited partnership
("Endowment"), which is engaged in the private investment fund business. The
address of its principal business office is 1105 North Market Street, 15th
Floor, Wilmington, DE 19801. Endowment has not, during the past five years, been
convicted in a criminal proceeding of any nature whatsoever, nor has Endowment
been a party to a civil proceeding of a judicial or administrative body of
competent jurisdiction of any nature whatsoever during the past five years;
(ii) Long Drive, L.P., a Delaware limited partnership ("Long Drive"),
which is engaged in the private investment fund business. The address of its
principal business office is 1105 North Market Street, 15th Floor, Wilmington,
DE 19801. Long Drive has not, during the past five years, been convicted in a
criminal proceeding of any nature whatsoever, nor has Long Drive been a party to
a civil proceeding of a judicial or administrative body of competent
jurisdiction of any nature whatsoever during the past five years;
(iii) Endowment Capital Group, LLC, a Delaware limited liability
company, which serves as general partner to Endowment and Long Drive (the
"General Partner"), and is engaged in the business of managing the business
affairs of each. The address of its principal business office is 1105 North
Market Street, 15th Floor, Wilmington, DE 19801. The General Partner has not,
during the past five years, been convicted in a criminal proceeding of any
nature whatsoever, nor has the General Partner been a party to a civil
proceeding of a judicial or administrative body of competent jurisdiction of any
nature whatsoever during the past five years;
(iv) Endowment Capital Group, L.P., a Delaware limited partnership,
which serves as investment manager to Endowment and Long Drive (the "Manager").
The address of its principal business office is 1105 North Market Street, 15th
Floor, Wilmington, DE 19801. The Manager has not, during the past five years,
been convicted in a criminal proceeding of any nature whatsoever, nor has the
Manager been a party to a civil proceeding of a judicial or administrative body
of competent jurisdiction and as a result of such proceeding was or is subject
to a judgment, decree or final order enjoining future violations of, or
prohibiting or mandating activities subject to, federal or state securities laws
or finding any violation with respect to such laws, during the past five years;
and
(v) Mr. Philip Timon, whose business address is 1105 North Market
Street, 15th Floor, Wilmington, DE 19801, who serves as the managing member of
the General Partner and the managing
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CUSIP No. 63910B102 Page 8 of 15 pages
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member of the Manager's general partner, and in such capacity is principally
responsible for the management of the affairs of Endowment, Long Drive, the
General Partner and the Manager. Mr. Timon has not, during the past five years,
been convicted in a criminal proceeding of any nature whatsoever, nor has Mr.
Timon been a party to a civil proceeding of a judicial or administrative body of
competent jurisdiction of any nature whatsoever during the past five years. Mr.
Timon is a United States citizen.
Endowment, Long Drive, the General Partner, the Manager, and Philip
Timon are sometimes also referred to herein individually as a "Reporting Person"
and collectively as "Reporting Persons".
ITEM 3. Source and Amount of Funds or Other Consideration.
The Reporting Persons have invested an aggregate amount of
$35,820,943.66 (exclusive of brokerage commissions) in the securities of the
Issuer reported hereunder. Some of these funds were invested directly in the
shares of the Issuer, and some were invested in put and call options with shares
of the Issuer underlying such options. The sources of the funds used to purchase
the shares of the Issuer held by the Reporting Persons and the options sold or
purchased by the Reporting Persons are the partnership assets of each of
Endowment and Long Drive, representing the capital contributions of the General
Partner and each limited partner of Endowment and Long Drive (including Philip
Timon).
ITEM 4. Purpose of Transaction.
The securities of the Issuer reported hereunder by the Reporting
Persons were acquired as a long-term investment in the Issuer by Endowment and
Long Drive. In managing the investment portfolio of Endowment and Long Drive,
the Manager utilizes a fundamental, research-driven process to identify
companies as being fundamentally undervalued and possessing the potential for
high growth. In implementing this process, the Manager identified the Issuer as
a company satisfying its rigorous investment criteria.
The Reporting Persons reserve the right to discuss various views and
opinions with respect to the Issuer and its business plans with the Issuer or
the members of its senior management. The discussion of such views and opinions
may extend from ordinary day-to-day business operations to matters such as
nominees for representation on the Issuer's board of directors, senior
management decisions and extraordinary business transactions.
The Reporting persons are not presently engaged in plans or
contemplating proposals involving any of the items (b) through (j) of Item 4 of
Schedule 13D. However, the Reporting Persons may determine to engage in plans or
make proposals involving any such items in the future.
ITEM 5. Interest in Securities of the Issuer.
(a). Aggregate shares held by each Reporting Person
Endowment Capital, L.P. 3,193,829
Long Drive, L.P. 3,193,829
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CUSIP No. 63910B102 Page 9 of 15 pages
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Endowment Capital Group, LLC(1) 3,193,829
Endowment Capital Group, L.P.(2) 3,193,829
Philip Timon(3) 3,193,829
Percentage of class:
Endowment Capital, L.P. 9.56%
Long Drive, L.P. 9.56%
Endowment Capital Group, LLC 9.56%
Endowment Capital Group, L.P. 9.56%
Philip Timon 9.56%
(b). Number of shares as to which such person has:
(1) Sole power to vote or to direct the vote:
(i) Endowment Capital, L.P. 0
(ii) Long Drive, L.P. 0
(iii) Endowment Capital Group, LLC 0
(iv) Endowment Capital Group, L.P. 0
(v) Philip Timon 0
(2) Shared power to vote or to direct the vote:
(i) Endowment Capital, L.P. 3,193,829
(ii) Long Drive, L.P. 3,193,829
(iii) Endowment Capital Group, LLC 3,193,829
- ------------------------------
(1) Endowment Capital Group, LLC is the General Partner of Endowment
Capital, L.P. and Long Drive, L.P., subject to the overall control of
the managing member, Philip Timon.
(2) Endowment Capital Group, L.P. is the investment manager of Endowment
Capital, L.P. and Long Drive, L.P., subject to the overall control of
Philip Timon, the managing member of its general partner, and thus
could be deemed to share the power to vote and dispose or direct the
disposition of such Shares.
(3) Philip Timon as the managing member is deemed to possess a controlling
interest in the general partner of Endowment Capital Group, L.P. and
thus could be deemed to share the power to vote and dispose or direct
the disposition of such Shares.
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CUSIP No. 63910B102 Page 10 of 15 pages
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(iv) Endowment Capital Group, L.P. 3,193,829
(v) Philip Timon 3,193,829
(3) Sole power to dispose or to direct the disposition of:
(i) Endowment Capital, L.P. 0
(ii) Long Drive, L.P. 0
(iii) Endowment Capital Group, LLC 0
(iv) Endowment Capital Group, L.P. 0
(v) Philip Timon 0
(4) Shared power to dispose or to direct the disposition of:
(i) Endowment Capital, L.P. 3,193,829
(ii) Long Drive, L.P. 3,193,829
(iii) Endowment Capital Group, LLC 3,193,829
(iv) Endowment Capital Group, L.P. 3,193,829
(v) Philip Timon 3,193,829
(c). Transactions in Securities of the Issuer during the past 60 days.
The following transactions were effected on the open market during the
past 60 days (as indicated in the following table, certain of the following
transactions were not direct transactions in the securities of the Issuer, but
rather, were transactions in put and call options with shares of the Issuer
underlying such options):
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CUSIP No. 63910B102 Page 11 of 15 pages
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(c). Transactions in Securities of the Issuer during the past 60 days.
The following transactions are purchases that were effected on the open
market during the past 60 days:
Reporting Date Transaction Symbol Description # of Shares Price per
Person or Units Share or
Unit ($)
Endowment 12/14/2005 SL NLS NLS shares 24,380 20.1024
Long Drive 12/14/2005 SL NLS NLS shares 13,620 20.1024
Endowment 12/27/2005 SL NLS NLS shares 3,399 19.0528
Long Drive 12/27/2005 SL NLS NLS shares 1,901 19.0528
Endowment 12/27/2005 SL NLS NLS shares 898 19.0021
Long Drive 12/27/2005 SL NLS NLS shares 502 19.0021
Endowment 12/28/2005 SL NLS NLS shares 4,361 18.9724
Long Drive 12/28/2005 SL NLS NLS shares 2,439 18.9724
Endowment 12/28/2005 SL NLS NLS shares 5,964 18.9656
Long Drive 12/28/2005 SL NLS NLS shares 3,336 18.9656
Endowment 12/29/2005 SL NLS NLS shares 5,066 19.0125
Long Drive 12/29/2005 SL NLS NLS shares 2,834 19.0125
Endowment 12/29/2005 SL NLS NLS shares 5,900 18.9738
Long Drive 12/29/2005 SL NLS NLS shares 3,300 18.9738
Endowment 1/6/2006 SL NLS NLS shares 1,352 19.1264
Long Drive 1/6/2006 SL NLS NLS shares 1,148 19.1264
Endowment 1/9/2006 SL NLS NLS shares 10,265 19.3529
Long Drive 1/9/2006 SL NLS NLS shares 5,735 19.3529
Endowment 1/10/2006 SL NLS NLS shares 3,210 19.4300
Long Drive 1/10/2006 SL NLS NLS shares 1,790 19.4300
Endowment 1/11/2006 SL NLS NLS shares 3,847 19.5637
Long Drive 1/11/2006 SL NLS NLS shares 2,153 19.5637
Endowment 1/12/2006 SL NLS NLS shares 22,461 20.8286
Long Drive 1/12/2006 SL NLS NLS shares 12,539 20.8286
Endowment 1/12/2006 SL NLS NLS shares 44,663 21.0035
Long Drive 1/12/2006 SL NLS NLS shares 24,937 21.0035
Endowment 1/18/2006 SL NLS NLS shares 219,461 13.9379
Long Drive 1/18/2006 SL NLS NLS shares 122,539 13.9379
Endowment 1/18/2006 SL NLS NLS shares 11,230 14.5469
Long Drive 1/18/2006 SL NLS NLS shares 6,270 14.5469
Endowment 1/19/2006 BY NLS NLS shares 30,931 14.0794
Long Drive 1/19/2006 BY NLS NLS shares 17,269 14.0794
Endowment 1/19/2006 BY NLS+GC Call NLS 3,530 1.4545
Jul 15.00
Long Drive 1/19/2006 BY NLS+GC Call NLS 1,970 1.4545
Jul 15.00
Endowment 1/19/2006 SS NLS+SV Put NLS 3,530 1.0091
Jul 12.50
Long Drive 1/19/2006 SS NLS+SV Put NLS 1,970 1.0091
Jul 12.50
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CUSIP No. 63910B102 Page 12 of 15 pages
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Reporting Date Transaction Symbol Description # of Shares Price per
Person or Units Share or
Unit ($)
Endowment 1/19/2006 BY OND+AC Call NL 3,209 2.1444
Jan 15.00
Long Drive 1/19/2006 BY OND+AC Call NLS 1,791 2.1444
Jan 15.00
Endowment 1/19/2006 SS OND+MV Put NLS 3,209 1.5625
Jan 12.50
Long Drive 1/19/2006 SS OND+MV Put NLS 1,791 1.5625
Jan 12.50
Endowment 2/1/2006 SL NLS+GC Call NLS 2,567 2.5959
Jul 15.00
Long Drive 2/1/2006 SL NLS+GC Call NLS 1,433 2.5959
Jul 15.00
Endowment 2/2/2006 SL NLS+GC Call NLS 963 2.4500
Jul 15.00
Long Drive 2/2/2006 SL NLS+GC Call NLS 537 2.4500
Jul 15.00
Endowment 2/2/2006 SL OND+AC Call NLS 3, 209 3.0100
Jan 15.00
Long Drive 2/2/2006 SL OND+AC Call NLS 1,791 3.0100
Jan 15.00
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CUSIP No. 63910B102 Page 13 of 15 pages
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ITEM 6. Contracts, Arrangements, Understandings or Relationships with
Respect to Securities of the Issuer
There are no contracts, arrangements, understandings or relationships
in place among any of the Reporting Persons with respect to the Securities of
the Issuer. The General Partner serves as the General Partner to both Endowment
and Long Drive. The Manager serves as the investment manager to both Endowment
and Long Drive. Each of the General Partner and the Manager are subject to the
overall control of Philip Timon, as managing member of the General Partner and
managing member of the general partner of the Manager, and thus could be deemed
to share the power to vote and dispose or direct the disposition of such Shares.
Thus, the Reporting Persons could be deemed a "group" pursuant to Rule 13d-1(k)
of Regulation 13D-G; however, the Reporting Persons neither admit nor deny that
any such group exists. Nothing in this Schedule 13D shall be deemed an admission
by any of the Reporting Persons that such person is a "beneficial owner" of the
securities covered by this Schedule 13D.
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CUSIP No. 63910B102 Page 14 of 15 pages
- ------------------------------- -------------------------------
SIGNATURES
After reasonable inquiry and to the best of my knowledge and belief, I
certify that the information set forth in this statement is true, complete and
correct.
ENDOWMENT CAPITAL, L.P.
Date: February 15, 2006 By: /s/ Philip Timon
-----------------------------------------
Philip Timon, managing member of
Endowment Capital Group, LLC,
general partner
LONG DRIVE, L.P.
Date: February 15, 2006 By: /s/ Philip Timon
-----------------------------------------
Philip Timon, managing member of
Endowment Capital Group, LLC,
general partner
ENDOWMENT CAPITAL GROUP, LLC
Date: February 15, 2006 By: /s/ Philip Timon
-----------------------------------------
Philip Timon, managing member
ENDOWMENT CAPITAL GROUP, L.P.
Date: February 15, 2006 By: /s/ Philip Timon
-----------------------------------------
Philip Timon, managing member of
Endowment Capital Management, LLC,
general partner
PHILIP TIMON
Date: February 15, 2006 By: /s/ Philip Timon
-----------------------------------------
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CUSIP No. 63910B102 Page 15 of 15 pages
- ------------------------------- -------------------------------
EXHIBIT 1 -- AGREEMENT OF JOINT FILING
In accordance with Rule 13d-1(k) under the Securities Exchange Act of
1934, as amended, the undersigned hereby agrees that the foregoing statement on
Schedule 13D is filed on behalf of each of the undersigned and that all
subsequent amendments to this statement on Schedule 13D, shall be filed on
behalf of each of the undersigned without the necessity of filing additional
joint acquisition statements. The undersigned acknowledge that each shall be
responsible for the timely filing of such amendments, and for the completeness
and accuracy of the information concerning him or it contained therein, but
shall not be responsible for the completeness and accuracy of information
concerning the others, except to the extent that he or it knows or has reason to
believe that such information is inaccurate.
IN WITNESS WHEREOF, the undersigned hereby execute this Agreement on
the 15th day of February, 2006.
ENDOWMENT CAPITAL, L.P.
Date: February 15, 2006 By: /s/ Philip Timon
-----------------------------------------
Philip Timon, managing member of
Endowment Capital Group, LLC,
general partner
LONG DRIVE, L.P.
Date: February 15, 2006 By: /s/ Philip Timon
-----------------------------------------
Philip Timon, managing member of
Endowment Capital Group, LLC,
general partner
ENDOWMENT CAPITAL GROUP, LLC
Date: February 15, 2006 By: /s/ Philip Timon
-----------------------------------------
Philip Timon, managing member
ENDOWMENT CAPITAL GROUP, L.P.
Date: February 15, 2006 By: /s/ Philip Timon
-----------------------------------------
Philip Timon, managing member of
Endowment Capital Management, LLC,
general partner
PHILIP TIMON
Date: February 15, 2006 By: /s/ Philip Timon
-----------------------------------------
