Item 5.02 above. At the time of Mr. Ihrfelt’s resignation, Neonode’s audit committee consisted of three members.
 
Marketplace Rule 4350(d)(2)(A) requires each Nasdaq issuer to have at least three independent members on its audit committee (as defined by Nasdaq Rules 4200(a)(15) and Rule 10A-3(b)(1) under the Securities Exchange Act of 1934, as amended). As such, since the time of Mr. Ihrfelt’s resignation, Neonode has not been in compliance with Marketplace Rule 4350(d)(2)(A) because Neonode only has two of the three required independent audit committee members.

Under Marketplace Rule 4350(d)(4)(B), the Company has until the earlier of its next annual meeting (or if such meeting is held before September 29, 2008, then by September 29, 2008) to cure such non-compliance.

 

 
SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, as amended, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
 
     
    NEONODE INC.
     
     
Date: April 2, 2008   /s/ David W. Brunton
  David W. Brunton
  Chief Financial Officer, Vice President, Finance and Secretary
  (Principal Financial and Accounting Officer)