Good day everyone and welcome to today’s program. At this time all participants are on a listen-only mode. Later you have the opportunity to ask questions during the question-and-answer session. Please note this call is being recorded. I will be standing by should you need assistance. It is now my pleasure to turn the call over to Jody Janson. Please go ahead, sir.

Good afternoon and I’d like to thank everyone for joining us today for the Document Security Systems’ fourth quarter and full year 2016 earnings conference call. I’m Jody Janson, Investor Relations Representative with Document Security Systems. And joining me on today’s call from DSS are CEO, Jeff Ronaldi; CFO, Phil Jones; and the Chairman of the Board, Robert Fagenson. Following our prepared remarks, we will open the call for questions. This afternoon before time Document Security Systems issued a press release announcing its fourth quarter and full year 2016 financial results. Before we begin, I’ll like to read the company’s Safe Harbor statement. Forward-looking statements on this call, including without limitations, statements related to the company’s plans, strategies, objectives, expectations, potential value, intentions and the adequacy of resources are made pursuant to the Safe Harbor provisions of the Private Securities Litigation Reform Act and contains words such as believes, anticipates, expects, plans, intends, and similar words and phrases. These forward-looking statements are subject to risks and uncertainties that could cause actual results to differ materially from the results projected. In addition to the factors specifically noted in the forward-looking statements, other important factors, risks and uncertainties that could result in those differences include, but are not limited to, those disclosed in the Risk Factors section of the company's Annual Report on Form 10-K for the fiscal year ended December 31, 2016, filed today with the Securities and Exchange Commission. Forward-looking statements made as part of this call are being made as of today, March 28, 2017, and the company assumes no obligation to update the forward-looking statements or to update the reasons why actual results could differ from those projected in the forward-looking statements. During the call today, management will discuss adjusted EBITDA. In the company’s press release issued today, you will find additional disclosures regarding this non-GAAP financial measure and reconciliations of net loss to adjusted EBITDA. I’d now like to now turn the call over to Phil Jones, Chief Financial Officer of Document Security Systems. Philip?

Thank you Jody. Today we announced fourth quarter and full year 2016 financial results which are summarized in the press release we published after market close today and details in the Form 10-K filed with the SEC today as well. As highlighted in our earnings press release, the fourth quarter was a very strong quarter for DSS especially by the measurement of adjusted EBITDA which I will go through in further detail in a bit. This is the third and largest straight quarter that the company has posted positive adjusted EBITDA results. Adjusted EBITDA has been an important measurement of core profitability of our operations and as a metric management uses to evaluate and measure our performance. During the fourth quarter of 2016 the company generated a strong adjusted EBITDA profit of approximately 662,000 which approximates 11% of sales. Significantly bolstering this figure was the impact of revenues from the new AuthentiGuard client that we began to service in the fourth quarter. This shows the meaningful impact that success from our AuthentiGuard and related technology based products will have on our financials. So I'm very pleased that the time, effort, and resources we have invested in our technology based product research and development is beginning to be realized. Revenue for the third quarter was $5.786 million up 6% from the fourth quarter of 2015. Year-to-date revenue ended up 10% to 19.2 million an increase of approximately 1.7 million for the year. For the year sales of packaging and printing services increased 10%, sales of plastic card products increased 11%, and licensing revenue which includes AuthentiGuard sales increased 40%. The only revenue category which declined was our IT services and hardware sales which fell 23% during the year as our digital group now focuses primarily on the AuthentiGuard product line. One…

Thank you, Phil. I would like to thank everyone for your continued support and interest in Document Security Systems. First as Phil has described, the fourth quarter continues our recent trend of strong financial performance and significantly improved financial results. Our business presents a blend of solid and consistent performance from business lines that have strong probable niches that have supported our investments in newer product lines primarily AuthentiGuard our next generation brand protection offering. While I'm excited that we now have seen the early impact of our first major AuthentiGuard customer that we announced earlier this year, this is a significant win for our company. Winning a global deployment for a largest global 500 company is a significant validation for AuthentiGuard technology and our ability to implement and service the global customer. We are excited to see the results of the implementation as our customer realizes the benefits of weeding out counterfeits in the supply chain using our technology. We're truly proud to have been chosen for this project. The commercialization of AuthentiGuard marks the starting point for what I believe is the next stage of our company as primarily a technology company. As I have said in the past our dedication to research and new product development of our digital group has brought us to this point and we're now seeing a positive effect of this focus on our financial results. During the fourth quarter as expected we benefited from strong seasonal sales of our packaging group which continued to deliver significant profitability to the group. In addition our plastic group had another strong quarter and is benefiting from its growing presence in the technology card market. In addition our security printing group continues to expand its presence in coupons, vital records, and now the book publishing market…

Sorry, I'm having difficulty hearing, I'm sorry about the background noise. Thank you Phil, thank you Jeff and in summary before we take your questions after many years of patience and waiting I hope our investors and shareholders can see that we are beginning to show the inherent strength and earning power of our core businesses. Through aggressive cost control and increased sales we finally brought what we've long hoped for and that is sequential quarters of positive EBITDA, positive adjusted EBITDA. And these have been achieved without having a [indiscernible] allowing to compromise the company without losing a potential for our brand protection IP assets. With the addition to the opportunities in IP we see an expanding array of larger companies that have been interested in testing and installing our brand protection and product tracking technology. This is a very, very positive development that we've been waiting for and I believe it bodes well for increased use and acceptance of AuthentiGuard array of technology based products. So with that and with the thanks to all of our team at DSS we will throw it open to questions from operator and we will see if we have any questions from our shareholders on the line.

[Operator Instructions]. We will take our first question from Howard Isis [ph]. Please go ahead.

Hi, first of all I would like to extend my deep sorrow to the President of the company on his recent loss and I know about losses myself personally and I just would like to express my concern for him and his good health.

Thank you very much, it's much appreciated.

You're quite welcome. I will lead with good things like the fourth quarter and I would like to tell you how thrilled I am. I am a holder of the stock for more years than I want to say but I am glad that I have held my breath on many occasions but I'm glad to see we're on the right track. And AuthentiGuard I just wish it the greatest and I think from what I hear it is a terrific item that you are producing. I just have a couple of questions and now that we have a little bit more money free and I don't want to sound like a sorry sport but is there any chance of helping the purchasers of the stock way back when and because we have some money that's free maybe to give a new issue or something to help lighten our loads that we've been with over the last several years?

I'm not quite sure what you have in mind but…

Like a buyback of some of the shares.

Under our current bank covenants that would be very difficult to do and so we're able to show some more earnings and some more capital. Certainly from a medium and long term perspective we'd love to return money to our shareholders, both new ones and long term holders. But we can't take the first steps and begin to think you can run without running into problems. So it is a conversation much better year from now when we see what we've been able to do for another twelve months and then find ourselves in a comfortable enough cash position that needle our banks, our securities markets that are listed or our shareholders would think that we were not acting in the best interests of growing the company.

I can appreciate that and hopefully next year when you have your annual meeting we'll talk about it again and be able to do something about it.

That would be nice.

Just have a good year.

Thank you.

Alright, take care.

[Operator Instructions]. And it appears we have no further questions at this time.

Thank you. Thank you all for whoever is listening in. Thanks to our management team and thanks to all part of the DSS team who have worked so hard including the pilot who is flying over my head to produce these results. And we hope to be able to have sequential calls that have more positive results. So with that gentlemen, Jeff, Phil anything else you would like to add before we sign off.

I don’t, just thank you for your support and we are working hard to improve the performance of the company.

Thank you everybody, thank you operator. That would conclude the call.

This does conclude your teleconference. Thank you for your participation, you may now disconnect.