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<SEC-DOCUMENT>0000724910-07-000009.txt : 20070718
<SEC-HEADER>0000724910-07-000009.hdr.sgml : 20070718
<ACCEPTANCE-DATETIME>20070718162245
ACCESSION NUMBER:		0000724910-07-000009
CONFORMED SUBMISSION TYPE:	10-Q
PUBLIC DOCUMENT COUNT:		5
CONFORMED PERIOD OF REPORT:	20070630
FILED AS OF DATE:		20070718
DATE AS OF CHANGE:		20070718

FILER:

	COMPANY DATA:	
		COMPANY CONFORMED NAME:			NVE CORP /NEW/
		CENTRAL INDEX KEY:			0000724910
		STANDARD INDUSTRIAL CLASSIFICATION:	SEMICONDUCTORS & RELATED DEVICES [3674]
		IRS NUMBER:				411424202
		STATE OF INCORPORATION:			MN
		FISCAL YEAR END:			0331

	FILING VALUES:
		FORM TYPE:		10-Q
		SEC ACT:		1934 Act
		SEC FILE NUMBER:	000-12196
		FILM NUMBER:		07986720

	BUSINESS ADDRESS:	
		STREET 1:		11409 VALLEY VIEW ROAD
		CITY:			EDEN PRAIRIE
		STATE:			MN
		ZIP:			55344
		BUSINESS PHONE:		9528299217

	MAIL ADDRESS:	
		STREET 1:		11409 VALLEY VIEW ROAD
		CITY:			EDEN PRAIRIE
		STATE:			MN
		ZIP:			55344

	FORMER COMPANY:	
		FORMER CONFORMED NAME:	PREMIS CORP
		DATE OF NAME CHANGE:	19920703
</SEC-HEADER>
<DOCUMENT>
<TYPE>10-Q
<SEQUENCE>1
<FILENAME>q1q08.htm
<DESCRIPTION>QUARTERLY REPORT FOR THE PERIOD ENDED JUNE 30, 2007
<TEXT>
<html>
<p align="center"> <font face="Times New Roman, Times, serif" size="5"><b>UNITED
  STATES<br>
  SECURITIES AND EXCHANGE COMMISSION</b></font><b><font face="Times New Roman, Times, serif" size="2"><br>
  Washington, D.C. &nbsp;&nbsp;20549</font></b></p>
<p align="center"><b><font face="Times New Roman, Times, serif" size="2"> <font size="5">FORM
  10-Q</font></font></b></p>



<p align="left"><font face="Times New Roman, Times, serif" size="1">(Mark One)<br>
  </font><font face="Times New Roman, Times, serif" size="2">[X] QUARTERLY REPORT
  PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934<br>
  For the quarterly period ended &nbsp;&nbsp;<b><u>June 30, 2007</u></b></font></p>
<p align="center"><font face="Times New Roman, Times, serif" size="2">or</font></p>
<p align="left"><font face="Times New Roman, Times, serif" size="2">[&nbsp;&nbsp;&nbsp;]
  TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE
  ACT OF 1934<br>
  For the transition period from <u>&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u>to&nbsp;<u>
  &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</u><br>
  <br>
  Commission File Number: <b><u>000-12196</u></b></font> <br>
  <br>

<div align="center"><img src="nve-logo.gif" width="276" height="55"><font face="Arial, Helvetica, sans-serif" size="6">
  <br>
  <b>NVE Corporation</b></font><font face="Times New Roman, Times, serif" size="2"><br>
  (Exact name of registrant as specified in its charter)</font></div>
<font face="Times New Roman, Times, serif" size="2">
<div align="center">
  <p>&nbsp;</p>
</div>
</font>
<div align="center"></div>
<table border="0" cellspacing="0" cellpadding="0" width="100%">
  <tr>
    <td width="40%">
      <p align="center"><font face="Times New Roman, Times, serif" size="2"><b><u>Minnesota</u></b></font></p>
    </td>
    <td>
      <div align="center"><font face="Times New Roman, Times, serif" size="2">
        &nbsp;</font></div>
    </td>
    <td width="40%">
      <p align="center"><font face="Times New Roman, Times, serif" size="2"><b><u>41-1424202</u></b></font></p>
    </td>
  </tr>
  <tr>
    <td>
      <p align="center"><font face="Times New Roman, Times, serif" size="2">(State
        or other jurisdiction of incorporation or organization)</font></p>
    </td>
    <td>
      <div align="center"><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
    <td>
      <div align="center"><font size="2" face="Times New Roman, Times, serif">(I.R.S.
        Employer Identification No.)</font></div>
    </td>
  </tr>
  <tr>
    <td width="40%">
      <div align="center"><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
    <td>
      <div align="center"><font face="Times New Roman, Times, serif" size="2">
        &nbsp;</font></div>
    </td>
    <td>
      <div align="center"><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
  </tr>
  <tr>
    <td>
      <div align="center"><font size="2" face="Times New Roman, Times, serif"><b><u>11409
        Valley View Road, Eden Prairie, Minnesota</u></b></font></div>
    </td>
    <td>
      <div align="center"><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
    <td>
      <p align="center"><font size="2" face="Times New Roman, Times, serif"><b><u>55344</u></b></font></p>
    </td>
  </tr>
  <tr>
    <td>
      <div align="center"><font size="2" face="Times New Roman, Times, serif">(Address
        of principal executive offices)</font></div>
    </td>
    <td>
      <div align="center"><font face="Times New Roman, Times, serif" size="2">
        &nbsp;</font></div>
    </td>
    <td>
      <p align="center"><font size="2" face="Times New Roman, Times, serif">(Zip
        Code)</font></p>
    </td>
  </tr>
  <tr>
    <td>
      <div align="center"><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
    <td>
      <div align="center"><font face="Times New Roman, Times, serif" size="2">
        &nbsp;</font></div>
    </td>
    <td>
      <div align="center"><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
  </tr>
  <tr>
    <td colspan="3">
      <div align="center"><font face="Times New Roman, Times, serif" size="2">&nbsp;</font><font face="Times New Roman, Times, serif" size="2"><b><u>(952)
        829-9217</u></b></font><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
  </tr>
  <tr>
    <td colspan="3">
      <div align="center"><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;</font><font face="Times New Roman, Times, serif" size="2">Registrant&#146;s
        telephone number, including area code</font></div>
      </td>
  </tr>
</table>
<p><font size="2" face="Times New Roman, Times, serif"><br>
  &nbsp;&nbsp;&nbsp;&nbsp;&nbsp; Indicate by check mark whether the registrant
  (1) has filed all reports required to be filed by Section 13 or 15(d) of the
  Securities Exchange Act of 1934 during the preceding 12 months (or for such
  shorter period that the registrant was required to file such reports), and (2)
  has been subject to such filing requirements for the past 90 days. &nbsp;[X]&nbsp;Yes
  &nbsp;[&nbsp;&nbsp;&nbsp;]&nbsp;No</font></p>
<p><font size="2" face="Times New Roman, Times, serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
  Indicate by check mark whether the registrant is a large accelerated filer,
  an accelerated filer, or a non-accelerated filer. See definition of &#147;accelerated
  filer and large accelerated filer&#148; in Rule 12b-2 of the Exchange Act. (Check
  one): </font>
<table border="0" cellspacing="0" cellpadding="0" width="100%">
  <tr>
    <td width="33%">
      <p align="center"><font face="Times New Roman, Times, serif" size="2">Large
        accelerated filer&nbsp;[&nbsp;&nbsp;&nbsp;]</font></p>
    </td>
    <td width="33%">
      <div align="center"><font face="Times New Roman, Times, serif" size="2">Accelerated
        filer&nbsp;[X]</font></div>
    </td>
    <td>
      <div align="center"><font face="Times New Roman, Times, serif" size="2">Non-accelerated
        filer&nbsp;[&nbsp;&nbsp;&nbsp;]</font></div>
    </td>
  </tr>
</table>
<p><font size="2" face="Times New Roman, Times, serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Indicate
  by check mark whether the registrant is a shell company (as defined in Rule
  12b-2 of the Exchange Act).&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;[&nbsp;&nbsp;&nbsp;]&nbsp;Yes
  &nbsp;[X]&nbsp;No</font></p>
<p><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Indicate
  the number of shares outstanding of each of the issuer&#146;s classes of common stock,
  as of the latest practicable date.<br>
  <b>Common Stock, $0.01 Par Value - 4,632,383 shares
  outstanding as of July 13, 2007</b></font></p>
<hr>
<div align="center"><br clear="all" style="page-break-before:always;">
  <font face="Times New Roman, Times, serif" size="2"><b>NVE CORPORATION<br>
  INDEX TO FORM 10-Q</b><br>
  <br>
  </font></div>
<table  border="0" cellpadding="0" cellspacing="0">
  <tr valign="bottom">
    <td>
      <div><font face="Times New Roman, Times, serif" size="2"><a href="#Part1"><b>PART
        I. FINANCIAL INFORMATION</b></a></font></div>
    </td>
  </tr>
  <tr valign="bottom">
    <td>
      <div><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
  </tr>
  <tr valign="bottom">
    <td>
      <div><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<a href="#Part1">Item
        1. Financial Statements</a></font></div>
    </td>
  </tr>
  <tr valign="bottom">
    <td><font size="2" face="Times New Roman, Times, serif">&nbsp;</font></td>
  </tr>
  <tr valign="bottom">
    <td>
      <div><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<a href="#Part1">Balance
        Sheets</a></font></div>
    </td>
  </tr>
  <tr valign="bottom">
    <td>
      <div><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
  </tr>
  <tr valign="bottom">
    <td>
      <div><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<a href="#QIncome">Statements
        of Income for the Quarters Ended June 30, 2007 and 2006</a></font></div>
    </td>
  </tr>
  <tr valign="bottom">
    <td>
      <div><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
  </tr>
  <tr valign="bottom">
    <td>
      <div><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<a href="#CashFlows">Statements
        of Cash Flows</a></font></div>
    </td>
  </tr>
  <tr valign="bottom">
    <td>
      <div><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
  </tr>
  <tr valign="bottom">
    <td>
      <div><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<a href="#Notes">Notes
        to Financial Statements</a></font></div>
    </td>
  </tr>
  <tr valign="bottom">
    <td>
      <div><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
  </tr>
  <tr valign="bottom">
    <td>
      <div><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<a href="#MDA">Item
        2. Management&#8217;s Discussion and Analysis of Financial Condition and
        Results of Operations</a></font></div>
    </td>
  </tr>
  <tr valign="bottom">
    <td>
      <div><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
  </tr>
  <tr valign="bottom">
    <td>
      <div><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<a href="#MarketRisk">Item
        3. Quantitative and Qualitative Disclosures About Market Risk</a></font></div>
    </td>
  </tr>
  <tr valign="bottom">
    <td>
      <div><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
  </tr>
  <tr valign="bottom">
    <td>
      <div><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<a href="#Controls">Item
        4. Controls and Procedures</a></font></div>
    </td>
  </tr>
  <tr valign="bottom">
    <td>
      <div><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
  </tr>
  <tr valign="bottom">
    <td>
      <div><font face="Times New Roman, Times, serif" size="2"><a href="#Part2"><b>PART
        II. OTHER INFORMATION</b></a></font></div>
    </td>
  </tr>
  <tr valign="bottom">
    <td>
      <div><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
  </tr>
  <tr valign="bottom">
    <td>
      <div><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<a href="#Legal">Item
        1. Legal Proceedings</a></font></div>
    </td>
  </tr>
  <tr valign="bottom">
    <td>
      <div><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
  </tr>
  <tr valign="bottom">
    <td>
      <div><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<a href="#Risks">Item
        1A. Risk Factors</a></font></div>
    </td>
  </tr>
  <tr valign="bottom">
    <td>
      <div><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
  </tr>
  <tr valign="bottom">
    <td>
      <div><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;<a href="#Exhibits">Item
        6. Exhibits</a></font></div>
    </td>
  </tr>
  <tr valign="bottom">
    <td><font size="2" face="Times New Roman, Times, serif">&nbsp;</font></td>
  </tr>
  <tr valign="bottom">
    <td>
      <div><font face="Times New Roman, Times, serif" size="2">&nbsp;<a href="#Signatures"><b>SIGNATURES</b></a></font></div>
    </td>
  </tr>
</table>
<p><div align="center"><font face="Times New Roman, Times, serif" size="2">2</font>
</div>
<hr> <br clear="all" style="page-break-before:always;">
<div align="center"><b><font face="Times New Roman, Times, serif" size="2"><a name="Part1"></a>PART
  I--FINANCIAL INFORMATION</font></b></div>
<p><font face="Times New Roman, Times, serif" size="2"><b>Item 1. Financial Statements.</b></font>
  <p>
<table border="0" cellspacing="0" cellpadding="0" align="center" >
  <tr>
    <td>
      <PRE><b>                                NVE CORPORATION
                                BALANCE SHEETS
                          JUNE 30 AND MARCH 31, 2007

                                                (Unaudited)
                                               June 30, 2007    March 31, 2007*
                                               --------------   --------------
</b>ASSETS
Current assets
  Cash and cash equivalents                    $     932,140    $     397,423
  Marketable securities                            1,176,845          982,415
  Accounts receivable, net of allowance for
    uncollectible accounts of $15,000              2,295,019        2,005,005
  Inventories                                      2,072,500        2,016,858
  Deferred tax assets                                554,773        1,328,106
  Prepaid expenses and other assets                  368,555          333,587
                                               --------------   --------------
Total current assets                               7,399,832        7,063,394
Fixed assets
  Machinery and equipment                          4,660,914        4,458,948
  Leasehold improvements                             436,794          413,482
                                               --------------   --------------
                                                   5,097,708        4,872,430
  Less accumulated depreciation                    3,940,292        3,834,683
                                               --------------   --------------
Net fixed assets                                   1,157,416        1,037,747
Marketable securities, long term                  17,721,650       16,909,353
                                               --------------   --------------
Total assets                                   $  26,278,898    $  25,010,494
                                               ==============   ==============
LIABILITIES AND SHAREHOLDERS&#146; EQUITY
Current liabilities
  Accounts payable                             $     311,248    $     502,595
  Accrued payroll and other                          497,233          590,287
  Deferred revenue                                    35,099           29,357
                                               --------------   --------------
Total current liabilities                            843,580        1,122,239
Shareholders&#146; equity
  Common stock                                        46,324           46,274
  Additional paid-in capital                      18,338,115       18,289,248
  Accumulated other comprehensive loss              (173,471)         (84,282)
  Retained earnings                                7,224,350        5,637,015
                                               --------------   --------------
Total shareholders&#146; equity                        25,435,318       23,888,255
                                               --------------   --------------
Total liabilities and shareholders&#146; equity     $  26,278,898    $  25,010,494
                                               ==============   ==============</PRE>

      </td>
  </tr>
</table>
<p align="center"><font face="Times New Roman, Times, serif" size="2">*The March
  31, 2007 Balance Sheet is derived from the audited financial statements contained
  in our Annual Report on Form 10-K for the year ended March 31, 2007.<br>
<br>
See accompanying
  notes.</font><br><br>
<div align="center"><font face="Times New Roman, Times, serif" size="2">3</font><br>
</div>
<hr>
<br clear="all" style="page-break-before:always;">
<a name="QIncome"></a>
<table border="0" cellspacing="0" cellpadding="0" align="center">
  <tr>
    <td>
      <pre><b>                            NVE CORPORATION
                          STATEMENTS OF INCOME
                  QUARTERS ENDED JUNE 30, 2007 AND 2006
                              (Unaudited)

                                               Quarter Ended June 30
                                                2007           2006
                                            ------------   ------------</b>
Revenue
  Product sales                             $ 4,269,100    $ 3,053,328
  Contract research and development             440,183        581,867
                                            ------------   ------------
Total revenue                                 4,709,283      3,635,195
Cost of sales                                 1,442,968      1,399,821
                                            ------------   ------------
Gross profit                                  3,266,315      2,235,374
Expenses
  Research and development                      507,637        530,612
  Selling, general, and administrative          563,743        406,732
                                            ------------   ------------
Total expenses                                1,071,380        937,344
                                            ------------   ------------
Income from operations                        2,194,935      1,298,030
Interest income                                 224,521        111,906
Interest expense                                   -              (589)
                                            ------------   ------------
Income before taxes                           2,419,456      1,409,347
Provision for income taxes                      832,121        517,541
                                            ------------   ------------
Net income                                  $ 1,587,335    $   891,806
                                            ============   ============
Net income per share &#150; basic                $      0.34    $      0.19
                                            ============   ============
Net income per share &#150; diluted              $      0.33    $      0.19
                                            ============   ============
Weighted average shares outstanding
  Basic                                       4,630,570      4,616,588
  Diluted                                     4,809,915      4,693,075
</pre>

    </td>
  </tr>
</table>
<p align="center"><font face="Times New Roman, Times, serif" size="2">See accompanying
  notes.</font><br>
  <br>
<div align="center"><font face="Times New Roman, Times, serif" size="2">4</font><br>
</div>
<hr>
<br clear="all" style="page-break-before:always;">
<a name="CashFlows"></a><table border="0" cellspacing="0" cellpadding="0" align="center">
  <tr>
    <td>
      <pre><b>                                NVE CORPORATION
                            STATEMENTS OF CASH FLOWS
                     QUARTERS ENDED JUNE 30, 2007 AND 2006
                                  (Unaudited)

                                                       Quarter Ended June 30
                                                        2007           2006
                                                    ------------   ------------
</b>OPERATING ACTIVITIES
Net income                                          $ 1,587,335    $   891,806
Adjustments to reconcile net income to net
  cash provided by operating activities:
    Depreciation and amortization                       111,719        126,080
    Stock-based compensation                              7,292          2,569
    Excess tax benefits                                    -          (446,187)
    Deferred income taxes                               829,841        473,241
    Changes in operating assets and liabilities:
      Accounts receivable                              (290,014)      (252,749)
      Inventories                                       (55,642)        45,774
      Prepaid expenses and other assets                 (34,968)       (25,644)
      Accounts payable and accrued expenses            (284,401)      (150,782)
      Deferred revenue                                    5,742        (72,510)
                                                    ------------   ------------
Net cash provided by operating activities             1,876,904        591,598

INVESTING ACTIVITIES
Purchases of fixed assets                              (225,278)       (57,254)
Maturities of investment securities                     354,066        500,000
Purchases of investment securities                   (1,512,600)    (1,000,000)
                                                    ------------   ------------
Net cash used in investing activities                (1,383,812)      (557,254)


FINANCING ACTIVITIES
Net proceeds from sale of common stock                   41,625          1,500
Excess tax benefits                                        -           446,187
Repayment of capital lease obligations                     -           (33,281)
                                                    ------------   ------------
Net cash provided by financing activities                41,625        414,406
                                                    ------------   ------------

Increase in cash and cash equivalents                   534,717        448,750
Cash and cash equivalents at beginning of quarter       397,423      1,288,362
                                                    ------------   ------------

Cash and cash equivalents at end of quarter         $   932,140    $ 1,737,112
                                                    ============   ============

Supplemental disclosures of cash flow information:
    Cash paid during the quarter for:
      Interest                                      $      -       $       589
      Income taxes                                  $    79,313    $    44,300</pre>
    </td>
  </tr>
</table>
<p align="center"><font face="Times New Roman, Times, serif" size="2">See accompanying
  notes.</font><br>
  <font size="2" face="Times New Roman, Times, serif"><br>
  5</font><br>
<hr>
<br clear="all" style="page-break-before:always;">
<a name="Notes"></a><div align="center"><font size="2" face="Times New Roman, Times, serif"><b>NVE
  CORPORATION<br>
  NOTES TO FINANCIAL STATEMENTS<br>
  (Unaudited)</b> </font></div>
<p>
<p><font face="Times New Roman, Times, serif" size="2"><b>NOTE 1. DESCRIPTION OF BUSINESS</b>
  </font>
<p>
<p><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We develop and sell devices that use spintronics, a nanotechnology that relies on electron spin rather than electron charge to acquire, store, and transmit information.</font>
<p><p>
<p><font face="Times New Roman, Times, serif" size="2"><br><b>NOTE 2. INTERIM FINANCIAL
  INFORMATION</b> </font>
<p><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
  accompanying unaudited financial statements of NVE Corporation are consistent
  with accounting principles generally accepted in the United States and reporting
  with Securities and Exchange Commission rules and regulations. In the opinion
  of management, these financial statements reflect all adjustments, consisting
  only of normal and recurring adjustments, necessary for a fair presentation
  of the financial statements. Although we believe that the disclosures are adequate
  to make the information presented not misleading, it is suggested that these
  unaudited financial statements be read in conjunction with the audited financial
  statements and the notes included in our latest annual financial statements
  included in our Annual Report on Form 10-K for the fiscal year ended March 31,
  2007. The results of operations for the quarter ended June 30, 2007 are not
  necessarily indicative of the results that may be expected for the full fiscal
  year ending March 31, 2008. </font>
<p>
<p>
<p><font face="Times New Roman, Times, serif" size="2"><br>
<b>NOTE 3. MARKETABLE SECURITIES</b></font>
<p>
<p> <font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We
  classify and account for debt and equity securities in accordance with Financial
  Accounting Standards Board (FASB) Statement of Financial Accounting Standards
  (SFAS) No. 115, Accounting for Certain Investments in Debt and Equity Securities.
  Securities with original maturities greater than three months and remaining
  maturities less than one year are classified as marketable securities; securities
  with remaining maturities greater than one year are classified as marketable
  securities, long-term. Securities not due at a single maturity date, such as
  mortgage-backed securities, are classified by their average life.</font>
<p>
<p><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We classify all of our marketable securities as available-for-sale, thus securities are recorded at fair market value and any associated unrealized gain or loss, net of tax, is included as a separate component of shareholders&#146; equity, &#147;Accumulated other comprehensive income.&#148;</font>
<p>
<p>
<p><font face="Times New Roman, Times, serif" size="2"><br>
<b>NOTE 4. COMPREHENSIVE INCOME</b></font>
<p>
<p><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
  components of comprehensive income are as follows:</font><p>
<table border="0" cellspacing="0" cellpadding="0" align="center">
  <tr>
    <td>
      <pre><b>                                               Quarter Ended June 30
                                               2007             2006
                                           ------------     ------------
</b>Net income                                 $ 1,587,335      $   891,806
Unrealized loss from investments               (89,189)         (32,270)
                                           ------------     ------------
Comprehensive income                       $ 1,498,146      $   859,536
                                           ============     ============
</pre>
    </td>
  </tr>
</table>
<div align="center"><br>
  <br>
  <font size="2" face="Times New Roman, Times, serif">6</font><br>
</div>
<hr><br clear="all" style="page-break-before:always;">
<font face="Times New Roman, Times, serif" size="2"><b>NOTE 5. INVENTORIES</b>
</font>
<p><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Inventories
  consisted of the following:<br>
  <br>
  </font>
<table border="0" cellspacing="0" cellpadding="0" align="center">
  <tr>
    <td>
      <pre><b>                                June 30         March 31
                                 2007             2007
                             ------------     ------------
</b>Raw materials                $   720,486      $   862,440
Work-in-process                  979,468          811,261
Finished goods                   612,546          583,157
                             ------------     ------------
                               2,312,500        2,256,858
Less obsolescence reserve       (240,000)        (240,000)
                             ------------     ------------
                             $ 2,072,500      $ 2,016,858
                             ============     ============
</pre>
    </td>
  </tr>
</table>
<p><b><font face="Times New Roman, Times, serif" size="2">NOTE 6. STOCK-BASED
  COMPENSATION</font></b>
<p>
<p><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Share-based
  compensation recognized under SFAS No. 123 (revised 2004), <i>Share-Based Payment</i>,
  were $7,292 for the first quarter of fiscal 2008 and $2,569 for the first quarter
  of fiscal 2007. We calculate the share-based compensation expense on a straight-line
  basis over the vesting periods of the related share-based awards.</font>
<p><br>
<font face="Times New Roman, Times, serif" size="2"><b>NOTE 7. INCOME TAXES</b></font>
<p>
<p><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Deferred
  income taxes reflect the net tax effects of temporary differences between the
  carrying amount of assets and liabilities for financial reporting purposes and
  the amounts used for income tax purposes. SFAS No.&nbsp;109, <i>Accounting for
  Income Taxes</i>, our stock-based compensation deductions do not reduce the
  provision for income taxes reported for book purposes but are credited to &#147;Additional
  paid-in capital.&#148; Tax provisions of nil for the quarter ended June 30,
  2007 and $473,241 for the quarter ended June 30, 2006 were credited to &#147;Additional
  paid-in capital.&#148;</font>
<p><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;In
  July 2006 the Financial Accounting Standards Board issued Interpretation No.
  48, <i>Accounting for Uncertainty in Income Taxes - an interpretation of FASB
  Statement No. 109</i>, which prescribes a recognition threshold and measurement
  attribute for the financial statement recognition and measurement of a tax position
  taken or expected to be taken in a tax return. FIN 48 seeks to reduce the diversity
  in practice associated with certain aspects of the recognition and measurement
  related to accounting for income taxes. This interpretation is effective for
  fiscal years beginning after December 15, 2006. We adopted the provisions of
  FIN 48 on April 1, 2007. We recognized no material adjustment in the liability
  for unrecognized income tax benefits as a result of the adoption, and at the
  adoption date of April 1, 2007 we had no unrecognized tax benefits that would
  affect our effective tax rate if recognized. At June 30, 2007 we had no unrecognized
  tax benefits. We do not believe unrecognized tax benefits will significantly
  change within twelve months of the reporting date. We recognize interest and
  penalties related to income tax matters in income tax expense. As of April 1,
  2007 we had no accrued interest related to uncertain tax positions. The tax
  years 2003 through 2006 remain open to examination by the major taxing jurisdictions
  to which we are subject.</font>
<p align="center"><font face="Times New Roman, Times, serif" size="2">7</font>
<hr>
<br clear="all" style="page-break-before:always;">
<p><font face="Times New Roman, Times, serif" size="2"><b>NOTE 8. CONTINGENCIES</b>
  </font>
<p><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On
  February&nbsp;10, 2006 a lawsuit was filed against NVE and certain of its current
  and former executive officers and directors in the U.S. District Court for the
  District of Minnesota by an individual shareholder seeking to represent a class
  of purchasers of our common stock during the period from May&nbsp;22, 2003 through
  February&nbsp;11, 2005. On March&nbsp;6 and March&nbsp;7, 2006, two additional
  lawsuits were filed in the same court by two additional NVE shareholders, with
  the same proposed class period, purporting to represent the same class. These
  lawsuits were subsequently consolidated into a single case and a consolidated
  complaint was filed. The consolidated complaint generally alleged that the defendants
  violated the Securities Exchange Act of 1934 by issuing material misrepresentations
  concerning NVE&#146;s projected revenues and product technology, which artificially
  inflated the market price of our common stock. On July 3, 2007 the U.S. District
  Court granted our motion to dismiss these consolidated lawsuits, with prejudice,
  after finding that the consolidated complaint failed to adequately plead the
  plaintiffs&#146; claims. Two related actions brought by individual shareholders who
  seek to represent NVE derivatively were filed in Hennepin County District Court.
  These related actions were subsequently consolidated into a single case and
  an amended derivative complaint was filed. The amended derivative complaint
  generally alleges that certain officers and directors violated their fiduciary
  duties to the company.<br>
  <br>
  &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Because the plaintiffs may appeal the dismissal
  of the class action lawsuit and the court has yet to rule on the derivative
  actions, we are unable to determine the ultimate disposition of these lawsuits
  and have therefore not recorded a liability on our balance sheet related to
  these actions. We have incurred and expect to continue to incur legal expenses
  related to these lawsuits.</font>
<p><br><a name="MDA"></a><font face="Times New Roman, Times, serif" size="2"><b>Item
  2. Management&#146;s Discussion and Analysis of Financial Condition and Results of
  Operation.</b> </font> </p>
<p>
<p>
<p><font face="Times New Roman, Times, serif" size="2"><b>Forward-looking statements</b></font>
<p>
<p><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Some
  of the statements made in this Report or in the documents incorporated by reference
  in this Report and in other materials filed or to be filed by us with the Securities
  and Exchange Commission (&#147;SEC&#148;) as well as information included in verbal or
  written statements made by us constitute forward-looking statements within the
  meaning of the Private Securities Litigation Reform Act of 1995. These statements
  are subject to the safe harbor provisions of the reform act. Forward-looking
  statements may be identified by the use of the terminology such as may, will,
  expect, anticipate, intend, believe, estimate, should, or continue, or the negatives
  of these terms or other variations on these words or comparable terminology.
  To the extent that this Report contains forward-looking statements regarding
  the financial condition, operating results, business prospects or any other
  aspect of NVE, you should be aware that our actual financial condition, operating
  results and business performance may differ materially from that projected or
  estimated by us in the forward-looking statements. We have attempted to identify,
  in context, some of the factors that we currently believe may cause actual future
  experience and results to differ from their current expectations. These differences
  may be caused by a variety of factors, including but not limited to adverse
  economic conditions, competition including entry of new competitors, progress
  in research and development activities by us and others, variations in costs
  that are beyond our control, adverse legal proceedings, lower sales, failure
  of suppliers to meet our requirements, failure to obtain new customers, inability
  to carry out marketing and sales plans, inability to meet customer technical
  requirements, inability to consummate license agreements, ineligibility for
  SBIR awards, loss of key executives, and other specific risks that may be alluded
  to in this Report. Further information regarding our risks and uncertainties
  are contained in Part I Item 1A &#147;Risk Factors&#148; of our Annual Report
  on Form&nbsp;10-K for the year ended March&nbsp;31,&nbsp;2007 as updated in
  Part II Item 1A of this Report.</font>
<p><br>
  <font face="Times New Roman, Times, serif" size="2"><b>General</b></font>
<p>
<p><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;NVE
  Corporation, referred to as NVE, we, us, or our, develops and sells devices
  that use spintronics, a nanotechnology that relies on electron spin rather than
  electron charge to acquire, store and transmit information. We manufacture high-performance
  spintronic products including sensors and couplers that are used to acquire
  and transmit data. We have also licensed our spintronic magnetoresistive random
  access memory technology, commonly known as MRAM.</font>
<div align="center"><font size="2" face="Times New Roman, Times, serif"><br>
  8</font><br>
</div>
<hr><br clear="all" style="page-break-before:always;">
<font face="Times New Roman, Times, serif" size="2"><b>Quarter ended June 30,
  2007 compared to quarter ended June 30, 2006</b> </font>
<p>
<p><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
  table shown below summarizes the percentage of revenue and quarter-to-quarter
  changes for various items:</font><br>
  <br>
<table border="0" cellspacing="0" cellpadding="0" align="center">
  <tr>
    <td>
      <pre><b>                                      Percentage of Revenue             Period-
                                      Quarter Ended June 30            to-Period
                                     2007              2006             Change
                                   --------          --------          ---------
</b>Revenue
  Product sales                      90.7 %            84.0 %             39.8 %
  Research and development            9.3 %            16.0 %            (24.3)%
                                   --------          --------
Total revenue                       100.0 %           100.0 %             29.5 %
Cost of sales                        30.6 %            38.5 %              3.1 %
                                   --------          --------
Gross profit                         69.4 %            61.5 %             46.1 %

Total expenses                       22.8 %            25.8 %             14.3 %
                                   --------          --------
Income from operations               46.6 %            35.7 %             69.1 %
Net interest                          4.8 %             3.1 %            101.7 %
                                   --------          --------
Income before taxes                  51.4 %            38.8 %             71.7 %
Provision for income taxes           17.7 %            14.2 %             60.8 %
                                   --------          --------
Net income                           33.7 %            24.6 %             78.0 %
                                   ========          ========
</pre>
    </td>
  </tr>
</table>
<br>
<font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Total
revenue for the quarter ended June 30, 2007 (the first quarter of fiscal 2008)
increased 30% to $4,709,283 compared to $3,635,195 for the quarter ended June
30, 2006 (the first quarter of fiscal 2007). The increase was due to a 40% increase
in product sales partially offset by a decrease in research and development revenue.
The product sales increase was due to increased sales of both spintronic sensors
and spintronic couplers. The decrease in contract research and development revenue
was due to a decrease in U.S. Government contract awards to us. </font>
<p><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Gross
  profit margin increased to 69% of revenue for the first quarter of fiscal 2008
  compared to 62% for the first quarter of fiscal 2007. The increase in gross
  profit margin was due to a more profitable revenue mix consisting of a higher
  percentage of product sales, and increased margins on product sales.</font></p>
<p><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Research
  and development expense decreased 4% to $507,637 for the first quarter of fiscal
  2008 compared to $530,612 for the first quarter of fiscal 2007. The decrease
  was due to the completion of certain research and development projects. </font></p>
<p><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Selling,
  general, and administrative expense for the first quarter of fiscal 2008 increased
  39% to $563,743 compared to $406,732 for the first quarter of fiscal 2007. The
  increase was primarily due to increased legal expenses and increased expenses
  relating to our fiscal year-end audit including Sarbanes-Oxley Act Section 404
  compliance costs. </font></p>
<p><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Interest
  income net of interest expense increased 102% to $224,521 for the first quarter
  of fiscal 2008 compared to $111,317 for the first quarter of fiscal 2007. The
  increase was due to an increase in interest-bearing marketable securities and
  an increase in interest rates.</font></p>
<p><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;</font><font face="Times New Roman, Times, serif" size="2">&nbsp;The
  78% increase in net income in the first quarter of fiscal 2008 compared to the
  first quarter of fiscal 2007 was due to increases in revenue and gross profit,
  partially offset by increases in expenses.</font></p>
<p></p>
<p align="center"><font face="Times New Roman, Times, serif" size="2">9</font><br>
<hr><br clear="all" style="page-break-before:always;">
<font face="Times New Roman, Times, serif" size="2"><b>Liquidity and capital resources</b></font>
<p>
<p>
<p><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;At
  June 30,&nbsp;2007 we had $19,830,635 in cash plus
  short-term and long-term marketable securities compared to $18,289,191 at March&nbsp;31,&nbsp;2007.
  Our entire portfolio of short-term and long-term marketable securities is classified
  as available for sale. The increase in cash plus marketable securities was primarily
  due to cash generated from operations, partially offset
  by purchases of fixed assets in the first quarter of fiscal 2008 and an increase
  in unrealized loss from investments corresponding to an increase in interest
  rates.</font></p>
<p><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Capital
  expenditures were $225,278 in the first quarter of fiscal 2008 compared to $57,254
  in the first quarter of fiscal 2007. Capital expenditures in the first quarter
  of fiscal 2008 were primarily for equipment to increase our production capacity.
  </font>
<p><font face="Times New Roman, Times, serif" size="2"> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We
  did not pay cash taxes, other than Alternative Minimum Taxes, for the first
  quarters of fiscal 2008 or fiscal 2007 because of stock-based compensation deductions.
  We currently expect to begin paying regular income taxes in the second quarter
  of fiscal 2008 as we expect our stock-based compensation deductions and tax
  credits to be fully utilized during the second quarter of fiscal 2008. This
  will substantially increase our cash taxes beginning in the second quarter of
  fiscal 2008. Payment of cash taxes will not necessarily affect our reported
  net income compared to prior-year periods because we provided provisions for
  income taxes in prior years.</font></p>
<p><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;We
  believe our working capital is adequate for our needs at least for the next
  12 months.</font><p>
<br><font face="Times New Roman, Times, serif" size="2"><b>Item 3. Quantitative
  and Qualitative Disclosures About Market Risk.</b></font> </p>
<p>
<p>
<p><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;The
  primary objective of our investment activities is to preserve principal while
  at the same time maximizing yields without significantly increasing risk. To
  achieve this objective, we maintain our portfolio of cash equivalents and marketable
  securities in a variety of securities including government and corporate obligations
  and money market funds. Short-term and long-term marketable securities are generally
  classified as available-for-sale and consequently are recorded on the balance
  sheet at fair value with unrealized gains or losses reported as a separate component
  of accumulated other comprehensive income (loss), net of estimated tax. Marketable
  securities as of June 30, 2007 had remaining maturities between 15 weeks and
  56 months. Our marketable securities had a fair market value of $18,898,495
  at June 30, 2007, representing approximately 72% of our total assets.
  We have not used derivative financial instruments in our investment portfolio.</font>
<p><br>
<p><a name="Controls"></a><font face="Times New Roman, Times, serif" size="2"><b>Item 4. Controls and Procedures.</b></font>
<p><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;
  Management, with the participation of the Chief Executive Officer and
  Chief Financial Officer, has performed an evaluation of our disclosure controls
  and procedures (as defined in Rules 13a-15(e) and 15d-15(e) of the Securities
  Exchange Act) as of the end of the period covered by this report. This evaluation
  included consideration of the controls, processes and procedures that are designed
  to ensure that information required to be disclosed by us in the reports we
  file under the Exchange Act is recorded, processed, summarized and reported
  within the time periods specified in the SEC&#146;s rules and forms and that
  such information is accumulated and communicated to our management, including
  or Chief Executive Officer and Chief Financial Officer, as appropriate to allow
  timely decisions regarding required disclosure. Based on such evaluation, our
  Chief Executive Officer and Chief Financial Officer concluded that, as of as
  of the end of the period covered by this report, our disclosure controls and
  procedures were effective.</font>
<p align="center"><font face="Times New Roman, Times, serif" size="2">10<br>
  </font>
<hr><br clear="all" style="page-break-before:always;">
<div align="center"><a name="Part2"></a>
  <font size="2" face="Times New Roman, Times, serif"><b>PART II--OTHER INFORMATION</b></font>
</div>
<p><a name="Legal"></a><font face="Times New Roman, Times, serif" size="2"><b>Item 1. Legal Proceedings.</b></font>
<p><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Information
  regarding legal proceedings is contained in the risk factor &#147;We are presently
  involved in class action litigation&#148; under Item 1A.</font>
<p><br>
  <a name="Risks"></a><font face="Times New Roman, Times, serif" size="2"><b>Item 1A. Risk Factors.</b> </font>
<p><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Other
  than with respect to the risk factors updated below, there have been no material
  changes from the risk factors disclosed in our Annual Report on Form 10-K for
  the fiscal year ended March 31, 2007. The risk factors below were disclosed
  on the Form 10-K. They are being updated in light of the following changes during
  the quarter covered by this Report: dismissal of class action suits; and the
  expiration of our agreement with Agilent Technologies, Inc.</font>
<p><br>
  <font face="Times New Roman, Times, serif" size="2"><b><i>We are presently involved
  in class action litigation.</i></b></font>
<p><font face="Times New Roman, Times, serif" size="2"> &nbsp;&nbsp;&nbsp;&nbsp;&nbsp;On
  February&nbsp;10, 2006 a lawsuit was filed against NVE and certain of its current
  and former executive officers and directors in the U.S. District Court for the
  District of Minnesota by an individual shareholder seeking to represent a class
  of purchasers of our common stock during the period from May&nbsp;22, 2003 through
  February&nbsp;11, 2005. On March&nbsp;6 and March&nbsp;7, 2006, two additional
  lawsuits were filed in the same court by two additional NVE shareholders, with
  the same proposed class period, purporting to represent the same class. These
  lawsuits were subsequently consolidated into a single case and a consolidated
  complaint was filed. The consolidated complaint generally alleged that the defendants
  violated the Securities Exchange Act of 1934 by issuing material misrepresentations
  concerning NVE&#146;s projected revenues and product technology, which artificially
  inflated the market price of our common stock. On July 3, 2007 the U.S. District
  Court granted our motion to dismiss these consolidated lawsuits, with prejudice,
  after finding that the consolidated complaint failed to adequately plead the
  plaintiffs&#146; claims. Two related actions brought by individual shareholders who
  seek to represent NVE derivatively were filed in Hennepin County District Court.
  These related actions were subsequently consolidated into a single case and
  an amended derivative complaint was filed. The amended derivative complaint
  generally alleges that certain officers and directors violated their fiduciary
  duties to the company. We believe the lawsuits are wholly without merit and
  intend to vigorously defend the actions. We expect to continue to incur legal
  expenses related to these lawsuits because the plaintiffs may appeal the dismissal
  of the class action lawsuit and the court has yet to rule on the derivative
  actions. If we do not prevail in these lawsuits, we may be required to pay substantial
  amounts which could have a material adverse impact on our future results of
  operation and financial condition.</font>
<p><br>
  <font face="Times New Roman, Times, serif" size="2"> <b><i>We may lose revenue
  if we are unable to renew agreements with large customers.</i></b></font>
<p><font face="Times New Roman, Times, serif" size="2">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;An
  agreement between Agilent Technologies, Inc. and us, as amended, expired June
  26, 2007 and our Supplier Partnering Agreement with St. Jude Medical expires
  December 31, 2007. Avago Technologies purchased components from us under the
  Agilent agreement. Although Avago continued to order <font face="Times New Roman, Times, serif" size="2">our
  products</font> after the agreement expired and we currently expect our relationship
  to continue, there can be no assurance that Avago will continue to distribute
  our products. Additionally, we cannot predict if the St. Jude agreement will
  be renewed, or if renewed, under what terms. The inability to agree on mutually
  acceptable terms or the loss of either of these large customers could have a
  significant adverse impact on our revenue and our profitability.</font>
<br><br>
<p align="center"><font face="Times New Roman, Times, serif" size="2">11</font><br>
<hr><br clear="all" style="page-break-before:always;">
  <a name="Exhibits"></a><font face="Times New Roman, Times, serif" size="2"><b>Item
  6. Exhibits.</b></font> <br>
  <br>
<table width="100%" border="0" cellspacing="0" cellpadding="0">
  <tr>
    <td width="10%">
      <div align="center"><font face="Times New Roman, Times, serif" size="2"><b><u>Exhibit
        #</u></b></font></div>
    </td>
    <td>
      <div align="center"><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
    <td width="88%">
      <div align="center"><font face="Times New Roman, Times, serif" size="2"><b><u>Description</u></b></font></div>
    </td>
  </tr>
  <tr>
    <td width="8%">
      <div align="center"><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
    <td>
      <div align="center"><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
    <td width="88%">
      <div align="center"><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
  </tr>
  <tr>
    <td width="8%">
      <div align="center"><font face="Times New Roman, Times, serif" size="2">31.1</font></div>
    </td>
    <td>
      <div align="center"><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
    <td width="88%">
      <div align="center"><font face="Times New Roman, Times, serif" size="2">
        Certification by Daniel A. Baker pursuant to Rule 13a-14(a)/15d-14(a).
        </font></div>
    </td>
  </tr>
  <tr>
    <td width="8%">
      <div align="center"></div>
    </td>
    <td>
      <div align="center"><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
    <td width="88%">
      <div align="center"></div>
    </td>
  </tr>
  <tr>
    <td width="8%">
      <div align="center"><font face="Times New Roman, Times, serif" size="2">31.2</font></div>
    </td>
    <td>
      <div align="center"><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
    <td width="88%">
      <div align="center"><font face="Times New Roman, Times, serif" size="2">
        Certification by Curt A. Reynders pursuant to Rule 13a-14(a)/15d-14(a).</font></div>
    </td>
  </tr>
  <tr>
    <td width="8%">
      <div align="center"><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
    <td>
      <div align="center"><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
    <td width="88%">
      <div align="center"><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
  </tr>
  <tr>
    <td width="8%">
      <div align="center"><font face="Times New Roman, Times, serif" size="2">32</font></div>
    </td>
    <td>
      <div align="center"><font face="Times New Roman, Times, serif" size="2">&nbsp;</font></div>
    </td>
    <td width="88%">
      <div align="center"><font face="Times New Roman, Times, serif" size="2">Certification
        by Daniel A. Baker and Curt A. Reynders pursuant to 18 U.S.C. Section
        1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of
        2002.</font></div>
    </td>
  </tr>
</table>
<p><br>
<p><br>
<div align="center"><a name="Signatures"></a><font face="Times New Roman, Times, serif" size="2"><b>SIGNATURES</b></font></div>
<p><font face="Times New Roman, Times, serif" size="2">
&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on
its behalf by the undersigned thereunto duly authorized.</font></p>
<table border="0" cellspacing="0" cellpadding="0" width="100%">
  <tr>
    <td width="25%">
      <p align="center"><font size="2" face="Times New Roman, Times, serif">&nbsp;</font></p>
    </td>
    <td>
      <p align="left"><font size="2" face="Times New Roman, Times, serif"><b><u>NVE
        CORPORATION</u></b></font></p>
    </td>
  </tr>
  <tr>
    <td width="25%">
      <p align="center"><font size="2" face="Times New Roman, Times, serif">&nbsp;</font></p>
    </td>
    <td>
      <p align="left"><font size="2" face="Times New Roman, Times, serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(Registrant)</font></p>
    </td>
  </tr>
  <tr>
    <td width="25%">
      <div align="center"><font size="2" face="Times New Roman, Times, serif">&nbsp;</font></div>
    </td>
    <td><font size="2" face="Times New Roman, Times, serif">&nbsp;</font></td>
  </tr>
  <tr>
    <td width="25%">
      <div align="center"><font size="2" face="Times New Roman, Times, serif"><b><u>July
        18, 2007</u></b></font></div>
    </td>
    <td>
      <div align="left"><font size="2" face="Times New Roman, Times, serif"><u>/s/
        DANIEL A. BAKER&nbsp;</u></font></div>
    </td>
  </tr>
  <tr>
    <td width="25%">
      <div align="center"><font size="2" face="Times New Roman, Times, serif">Date</font></div>
    </td>
    <td><font size="2" face="Times New Roman, Times, serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(Signature)</font></td>
  </tr>
  <tr>
    <td width="25%">
          </td>
    <td>
      <div align="left"><font size="2" face="Times New Roman, Times, serif"> Daniel
        A. Baker</font></div>
    </td>
  </tr>
  <tr>
    <td width="25%">
      <div align="center"><font size="2" face="Times New Roman, Times, serif">&nbsp;</font></div>
    </td>
    <td><font size="2" face="Times New Roman, Times, serif">President and Chief
      Executive Officer</font></td>
  </tr>
  <tr>
    <td width="25%">
      <div align="center"><font size="2" face="Times New Roman, Times, serif">&nbsp;</font></div>
    </td>
    <td><font size="2" face="Times New Roman, Times, serif">&nbsp;</font></td>
  </tr>
  <tr>
    <td width="25%">
      <div align="center"><font size="2" face="Times New Roman, Times, serif"><b><u>July
        18, 2007</u></b></font></div>
    </td>
    <td>
      <div align="left"><font size="2" face="Times New Roman, Times, serif"><u>/s/
        CURT A. REYNDERS&nbsp;</u></font></div>
    </td>
  </tr>
  <tr>
    <td width="25%">
      <div align="center"><font size="2" face="Times New Roman, Times, serif">Date</font></div>
    </td>
    <td><font size="2" face="Times New Roman, Times, serif">&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;&nbsp;(Signature)</font></td>
  </tr>
  <tr>
    <td>
    </td>
    <td>
      <div align="left"><font size="2" face="Times New Roman, Times, serif">Curt
        A. Reynders</font></div>
    </td>
  </tr>
  <tr>
    <td width="25%">
      <div align="center"><font size="2" face="Times New Roman, Times, serif">&nbsp;</font></div>
    </td>
    <td><font size="2" face="Times New Roman, Times, serif"> Chief Financial Officer</font></td>
  </tr>
</table>
<p>&nbsp;</p>
<p>&nbsp;</p>
<div align="center"><font size="2" face="Times New Roman, Times, serif">12</font></div>
<hr>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-31
<SEQUENCE>2
<FILENAME>ex31-dab.htm
<DESCRIPTION>CERTIFICATION BY DANIEL A. BAKER PURSUANT TO RULE 13A-14(A)/15D-14(A).
<TEXT>
<html><div style="font-family:Times New Roman;">
  <p align="right" style="margin:0in 0in .0001pt;text-align:right;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Exhibit
    31.1</font></b></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">CERTIFICATION</font></b></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">I,
    Daniel A. Baker, certify that:</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

  <p style="font-size:10.0pt;margin:0in 0in .0001pt 1.0in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">1.</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    </font>I have reviewed this Quarterly Report on Form 10-Q of NVE Corporation;</p>

<p style="margin:0in 0in .0001pt 1.0in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt 1.0in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">2.</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Based on my knowledge, this report
does not contain any untrue statement of a material fact or omit to state a
material fact necessary to make the statements made, in light of the
circumstances under which such statements were made, not misleading with
respect to the period covered by this report;</p>

<p style="margin:0in 0in .0001pt 1.0in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt 1.0in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">3.</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Based on my knowledge, the
financial statements, and other financial information included in this report,
fairly present in all material respects the financial condition, results of
operations and cash flows of the registrant as of, and for, the periods
presented in this report;</p>

<p style="margin:0in 0in .0001pt 1.0in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

  <p style="font-size:10.0pt;margin:0in 0in .0001pt 1.0in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">4.</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    </font>The registrant&#146;s other certifying officer(s) and I are responsible
    for establishing and maintaining disclosure controls and procedures (as defined
    in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial
    reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the
    registrant and have:</p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

  <p style="font-size:10.0pt;margin:0in 0in .0001pt 1.5in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(a)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    </font>Designed such disclosure controls and procedures, or caused such disclosure
    controls and procedures to be designed under our supervision, to ensure that
    material information relating to the registrant, including its consolidated
    subsidiaries, is made known to us by others within those entities, particularly
    during the period in which this report is being prepared;</p>
  <br>
  <p style="margin:0in 0in .0001pt 1.5in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(b)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    </font><font size="2" face="Times New Roman" style="font-size:10.0pt;">Designed
    such internal control over financial reporting, or caused such internal control
    over financial reporting to be designed under our supervision, to provide
    reasonable assurance regarding the reliability of financial reporting and
    the preparation of financial statements for external purposes in accordance
    with generally accepted accounting principles;&nbsp;</font></p>
  <br>
  <p style="font-size:10.0pt;margin:0in 0in .0001pt 1.5in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(c)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    </font>Evaluated the effectiveness of the registrant&#146;s disclosure controls
    and procedures and presented in this report our conclusions about the effectiveness
    of the disclosure controls and procedures, as of the end of the period covered
    by this report based on such evaluation; and</p>
  <br>
  <p style="font-size:10.0pt;margin:0in 0in .0001pt 1.5in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(d)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    </font>Disclosed in this report any change in the registrant&#146;s internal
    control over financial reporting that occurred during the registrant&#146;s
    most recent fiscal quarter (the registrant&#146;s fourth fiscal quarter in
    the case of an annual report) that has materially affected, or is reasonably
    likely to materially affect, the registrant&#146;s internal control over financial
    reporting; and</p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt 1.0in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">5.</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>The registrant&#146;s other certifying
officer(s) and I have disclosed, based on our most recent evaluation of
internal control over financial reporting, to the registrant&#146;s auditors and the
audit committee of the registrant&#146;s board of directors (or persons performing
the equivalent functions):</p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt 1.5in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(a)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>All significant deficiencies and
material weaknesses in the design or operation of internal control over
financial reporting which are reasonably likely to adversely affect the
registrant&#146;s ability to record, process, summarize and report financial
information; and</p>

<p style="margin:0in 0in .0001pt 1.5in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt 1.5in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(b)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Any fraud, whether or not material,
that involves management or other employees who have a significant role in the
registrant&#146;s internal control over financial reporting.</p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Date:
    July 18, 2007</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;width:100.0%;">
 <tr>
  <td valign="top" style="padding:0in 0in 0in 0in;width:50%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0in 0in 0in 0in;width:25%;">
        <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/
          DANIEL A. BAKER</font></p>
  </td>
  <td valign="top" style="padding:0in 0in 0in 0in;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr>
  <td width="54%" valign="top" style="padding:0in 0in 0in 0in;width:54.62%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="45%" colspan="2" valign="top" style="padding:0in 0in 0in 0in;width:45.38%;">
        <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Daniel
          A. Baker</font></p>
  </td>
 </tr>
 <tr>
  <td width="54%" valign="top" style="padding:0in 0in 0in 0in;width:54.62%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="45%" colspan="2" valign="top" style="padding:0in 0in 0in 0in;width:45.38%;">
        <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">President
          and Chief Executive Officer</font></p>
  </td>
 </tr>
</table>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<div style="margin:0in 0in .0001pt;"><hr size="2" width="100%" noshade color="gray" align="left"></div>

</div>
</body>

</html>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-31
<SEQUENCE>3
<FILENAME>ex31-car.htm
<DESCRIPTION>CERTIFICATION BY CURT A. REYNDERS PURSUANT TO RULE 13A-14(A)/15D-14(A).
<TEXT>
<html><div style="font-family:Times New Roman;">
  <p align="right" style="margin:0in 0in .0001pt;text-align:right;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Exhibit
    31.2</font></b></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">CERTIFICATION</font></b></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">I, Curt A. Reynders, certify that:</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

  <p style="font-size:10.0pt;margin:0in 0in .0001pt 1.0in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">1.</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    </font>I have reviewed this Quarterly Report on Form 10-Q of NVE Corporation;</p>

<p style="margin:0in 0in .0001pt 1.0in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt 1.0in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">2.</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Based on my knowledge, this report
does not contain any untrue statement of a material fact or omit to state a
material fact necessary to make the statements made, in light of the
circumstances under which such statements were made, not misleading with
respect to the period covered by this report;</p>

<p style="margin:0in 0in .0001pt 1.0in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt 1.0in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">3.</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Based on my knowledge, the
financial statements, and other financial information included in this report,
fairly present in all material respects the financial condition, results of
operations and cash flows of the registrant as of, and for, the periods
presented in this report;</p>

<p style="margin:0in 0in .0001pt 1.0in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

  <p style="font-size:10.0pt;margin:0in 0in .0001pt 1.0in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">4.</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    </font>The registrant&#146;s other certifying officer(s) and I are responsible
    for establishing and maintaining disclosure controls and procedures (as defined
    in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial
    reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the
    registrant and have:</p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

  <p style="font-size:10.0pt;margin:0in 0in .0001pt 1.5in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(a)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    </font>Designed such disclosure controls and procedures, or caused such disclosure
    controls and procedures to be designed under our supervision, to ensure that
    material information relating to the registrant, including its consolidated
    subsidiaries, is made known to us by others within those entities, particularly
    during the period in which this report is being prepared;</p>
  <br>
  <p style="margin:0in 0in .0001pt 1.5in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(b)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    </font><font size="2" face="Times New Roman" style="font-size:10.0pt;">Designed
    such internal control over financial reporting, or caused such internal control
    over financial reporting to be designed under our supervision, to provide
    reasonable assurance regarding the reliability of financial reporting and
    the preparation of financial statements for external purposes in accordance
    with generally accepted accounting principles;&nbsp;</font></p>
  <br>
  <p style="font-size:10.0pt;margin:0in 0in .0001pt 1.5in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(c)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    </font>Evaluated the effectiveness of the registrant&#146;s disclosure controls
    and procedures and presented in this report our conclusions about the effectiveness
    of the disclosure controls and procedures, as of the end of the period covered
    by this report based on such evaluation; and</p>
  <br>
  <p style="font-size:10.0pt;margin:0in 0in .0001pt 1.5in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(d)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    </font>Disclosed in this report any change in the registrant&#146;s internal
    control over financial reporting that occurred during the registrant&#146;s
    most recent fiscal quarter (the registrant&#146;s fourth fiscal quarter in
    the case of an annual report) that has materially affected, or is reasonably
    likely to materially affect, the registrant&#146;s internal control over financial
    reporting; and</p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt 1.0in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">5.</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>The registrant&#146;s other certifying
officer(s) and I have disclosed, based on our most recent evaluation of
internal control over financial reporting, to the registrant&#146;s auditors and the
audit committee of the registrant&#146;s board of directors (or persons performing
the equivalent functions):</p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt 1.5in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(a)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>All significant deficiencies and
material weaknesses in the design or operation of internal control over
financial reporting which are reasonably likely to adversely affect the
registrant&#146;s ability to record, process, summarize and report financial
information; and</p>

<p style="margin:0in 0in .0001pt 1.5in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt 1.5in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">(b)</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>Any fraud, whether or not material,
that involves management or other employees who have a significant role in the
registrant&#146;s internal control over financial reporting.</p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Date:
    July 18, 2007</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;width:100.0%;">
 <tr>
  <td valign="top" style="padding:0in 0in 0in 0in;width:50%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0in 0in 0in 0in;width:25%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/ CURT A.
  REYNDERS</font></p>
  </td>
  <td valign="top" style="padding:0in 0in 0in 0in;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr>
  <td width="54%" valign="top" style="padding:0in 0in 0in 0in;width:54.62%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="45%" colspan="2" valign="top" style="padding:0in 0in 0in 0in;width:45.38%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Curt A. Reynders</font></p>
  </td>
 </tr>
 <tr>
  <td width="54%" valign="top" style="padding:0in 0in 0in 0in;width:54.62%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
  <td width="45%" colspan="2" valign="top" style="padding:0in 0in 0in 0in;width:45.38%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Chief Financial
  Officer</font></p>
  </td>
 </tr>
</table>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<div style="margin:0in 0in .0001pt;"><hr size="2" width="100%" noshade color="gray" align="left"></div>

</div>
</body>

</html>
</TEXT>
</DOCUMENT>
<DOCUMENT>
<TYPE>EX-32
<SEQUENCE>4
<FILENAME>ex32.htm
<DESCRIPTION>CERTIFICATION PURSUANT TO SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002.
<TEXT>
<html>
<div style="font-family:Times New Roman;">
  <p align="right" style="margin:0in 0in .0001pt;text-align:right;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">Exhibit
    32</font></b></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">CERTIFICATION PURSUANT TO SECTION 906</font></b></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><b><font size="2" face="Times New Roman" style="font-size:10.0pt;font-weight:bold;">OF THE SARBANES-OXLEY ACT OF 2002 (18 U.S.C.
SECTION 1350)</font></b></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">The undersigned certify pursuant to
18 U.S.C. Section 1350, that to the undersigned&#146;s knowledge:</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

  <p style="font-size:10.0pt;margin:0in 0in .0001pt 1.0in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">1.</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;
    </font>The accompanying Quarterly Report of NVE Corporation (the &#147;Company&#148;)
    on Form 10-Q for the quarter ended June 30, 2007, fully complies with the
    requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934;
    and</p>

<p style="margin:0in 0in .0001pt 1.0in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="font-size:10.0pt;margin:0in 0in .0001pt 1.0in;text-indent:-.5in;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">2.</font><font size="1" style="font-size:3.0pt;">&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160;&#160; </font>The information contained in the
Report fairly presents, in all material respects, the financial condition and
results of operations of the Company.</p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Date:
    July 18, 2007</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;width:100.0%;">
 <tr>
      <td valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0in 0in 0in 0in;width:25%;">
        <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/
          DANIEL A. BAKER</font></p>
  </td>
      <td valign="top" style="padding:0in 0in 0in 0in;">
        <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr>
      <td colspan="2" valign="top" style="padding:0in 0in 0in 0in;width:100.0%;">
        <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Daniel A. Baker</font></p>
  </td>
 </tr>
 <tr>
      <td colspan="2" valign="top" style="padding:0in 0in 0in 0in;width:100.0%;">
        <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">President and
  Chief Executive Officer</font></p>
  </td>
 </tr>
</table>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<table border="0" cellspacing="0" cellpadding="0" width="100%" style="border-collapse:collapse;width:100.0%;">
 <tr>
      <td valign="top" style="border:none;border-bottom:solid windowtext 1.0pt;padding:0in 0in 0in 0in;width:25%;">
        <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">/s/
          CURT A. REYNDERS</font></p>
  </td>
      <td wvalign="top" style="padding:0in 0in 0in 0in;">
        <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:1.0pt;">&nbsp;</font></p>
  </td>
 </tr>
 <tr>
  <td width="100%" colspan="2" valign="top" style="padding:0in 0in 0in 0in;width:100.0%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Curt A. Reynders</font></p>
  </td>
 </tr>
 <tr>
  <td width="100%" colspan="2" valign="top" style="padding:0in 0in 0in 0in;width:100.0%;">
  <p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">Chief Financial
  Officer</font></p>
  </td>
 </tr>
</table>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<p style="margin:0in 0in .0001pt;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">A signed original of this written
statement required by Section 906 has been provided to the Company and will be
retained by the Company and furnished to the Securities and Exchange Commission
or its staff upon request.</font></p>

<p align="center" style="margin:0in 0in .0001pt;text-align:center;"><font size="2" face="Times New Roman" style="font-size:10.0pt;">&nbsp;</font></p>

<div style="margin:0in 0in .0001pt;"><hr size="2" width="100%" noshade color="gray" align="left"></div>
</div>
</body>
</html>
</TEXT>
</DOCUMENT>
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<TYPE>GRAPHIC
<SEQUENCE>5
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<DESCRIPTION>NVE CORPORATION LOGO
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