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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 18pt; FONT-FAMILY: Times New Roman"><strong>SECURITIES
      AND EXCHANGE COMMISSION </strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>WASHINGTON,
      D.C. 20549 </strong></font></div>
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        <hr style="COLOR: black" align="center" noshade size="1" width="15%">
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 18pt; FONT-FAMILY: Times New Roman"><strong>FORM
      8-K </strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>CURRENT
      REPORT </strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Pursuant
      to Section 13 or 15(d) of the </strong></font></div>
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      Exchange Act of 1934 </strong></font></div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Date
      of report (Date of earliest event reported): February 17,
      2006</strong></font></div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">
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      COMMUNICATIONS, INC.</strong></font></div>
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      name of registrant as specified in Charter)</strong></font></div>
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                or other jurisdiction of</strong></font></div>
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                or organization)</strong></font></div>
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                Employee Identification
                No.)</strong></font></div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">390
      Interlocken Crescent, Suite 900</font></div>
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      Colorado 80021</font></div>
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      of Principal Executive Offices) </strong></font></div>
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      Telephone number) </strong></font></div>
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      the
      appropriate box below if the Form&#160;8-K filing is intended to simultaneously
      satisfy the filing obligation of the registrant under any of the following
      provisions (see General Instruction A.2. below):</font></div>
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      communications pursuant to Rule&#160;425 under the Securities Act (17 CFR
      230.425)</font></div>
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      material pursuant to Rule&#160;14a-12 under the Exchange Act (17 CFR
      240.14a-12)</font></div>
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      communications pursuant to Rule&#160;14d-2(b) under the Exchange
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      communications pursuant to Rule&#160;13e-4(c) under the Exchange
      Act</font></div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><br></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">This
      Form
      8-K and other reports filed by Cardinal Communications, Inc. (the "Registrant"
      or the &#8220;Company&#8221;) from time to time with the Securities and Exchange Commission
      (collectively the "Filings") contain forward looking statements and information
      that are based upon beliefs of, and information currently available to, the
      Registrant's management as well as estimates and assumptions made by the
      Registrant's management. When used in the Filings the words "anticipate",
      "believe", "estimate", "expect", "future", "intend", "plan" or the negative
      if
      these terms and similar expressions as they relate to the Registrant or the
      Registrant's management identify forward looking statements. </font></div>
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      statements reflect the current view of the Registrant with respect to future
      events and are subject to risks, uncertainties, assumptions and other factors
      relating to the Registrant's industry, operations and results of operations
      and
      any businesses that may be acquired by the Registrant. Should one or more of
      these risks or uncertainties materialize, or should the underlying assumptions
      prove incorrect, actual results may differ significantly from those anticipated,
      believed, estimated, expected, intended or planned.</font></div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Item
      1.01.</strong></font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Entry
      Into A Material Definitive Agreement.</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Technology
      and Trademark License Agreement</u></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">On
      February 17, 2006, the Company (or &#8220;Cardinal&#8221;) signed a Technology and Trademark
      License Agreement (the &#8220;License&#8221;) with GalaVu Entertainment Networks, Inc., of
      Toronto, Ontario, Canada (&#8220;GalaVu&#8221;). The term of the License is ten (10) years.
      Among other things, the License grants Cardinal a non-exclusive, royalty-free,
      fully paid up, worldwide license to make, use, sell, offer to sell, manufacture,
      market, and distribute the finished products and technology incorporated into
      GalaVu&#8217;s video on demand system (the &#8220;GalaVu Technology&#8221;). Under the License
      Cardinal has the right to bundle products incorporating the GalaVu Technology
      with other products distributed by Cardinal. Cardinal also has the right to
      sublicense the rights granted under the License to third parties, provided
      that
      Cardinal enters into sublicense agreements with each such sublicensee consistent
      with the terms set forth in the License. The rights provided to Cardinal under
      the License shall apply equally to existing and future products of similar
      or
      like functionality as those currently offered by GalaVu. The License requires
      GalaVu to provide Cardinal within five (5) days of the date of execution of
      the
      License, all technical information (including, but not limited to product
      specifications, blueprints and schematics, circuit diagrams, software,
      middleware, and firmware) required to manufacture GalaVu&#8217;s products and/or
      comprising the GalaVu Technology. </font></div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">In
      addition, provisions in the License grant Cardinal the right, but not the
      obligation, to purchase products incorporating or comprising the GalaVu
      Technology from GalaVu (the &#8220;Purchased Products&#8221;). Cardinal shall pay only the
      actual costs of manufacturing and shipping the Purchased Products to Cardinal
      (or as directed by Cardinal); GalaVu shall not be entitled to any mark-up or
      profit on such products for the first 5,000 units of such products (the &#8220;Initial
      Units&#8221;). Orders for any products in excess of the Initial Units shall be
      marked-up by the lowest amount charged by GalaVu to any of its customers or
      partners.</font></div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
      License also grants to Cardinal a non-exclusive, royalty-free, fully paid up,
      worldwide license to use GalaVu&#8217;s trademarks, service marks, and logos (the
&#8220;Marks&#8221;) for (i) the sale of GalaVu branded products (the &#8220;Branded Products&#8221;),
      (ii) the use and display for marketing, advertising and promotion according
      to
      certain usage standards, and (iii)&#160;incorporating the Marks into the Branded
      Products. Any uses of the Marks shall be submitted in writing for review by
      GalaVu in advance and shall not be distributed or used in any manner without
      prior written approval of the Licensor or its authorized representative, which
      approval shall not be unreasonably withheld or delayed. No license is granted
      for the use, display, or incorporation of the Marks on products other than
      the
      Branded Products. Cardinal has the right to bundle the Branded Products with
      other products or services distributed by Cardinal (such Branded Products when
      bundled with such other products, the &#8220;Bundled Products&#8221;), provided that
      Cardinal uses the Marks solely on and in conjunction with that portion of
      Bundled Products that constitute the Branded Products. Cardinal has the right
      to
      sublicense these rights to its partners, resellers, OEMs, distributors and
      sales
      representatives that market and distribute Branded Products (each, a
&#8220;Sublicensee&#8221;) solely for the purpose of advertising, marketing, selling and
      distributing the Branded Products in accordance with the terms of the License;
      provided that Cardinal enters into agreements with each such Sublicensee
      consistent with the terms set forth in the License.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
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      </div>
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        <div style="WIDTH: 100%; TEXT-ALIGN: center">&#160;</div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
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      </div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
      parties to the License acknowledge and agree that the License does not create
      a
      fiduciary relationship among or between them; that each shall remain an
      independent business; and that nothing in the License is intended to constitute
      either party as an agent, legal representative, subsidiary, joint venturer,
      partner, employee or servant of the other for any purpose whatsoever. The
      foregoing summary of the License is qualified in its entirety be reference
      to
      the License as attached as an exhibit to this Current Report.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Purchase
      and Exchange Agreement</u></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">On
      February 17, 2006, the Company, Livonia Pty Limited, an Australian corporation,
      and Entertainment Media &amp; Telecoms Corporation Limited (&#8220;EMT&#8221;), executed an
      agreement regarding the purchase and the exchange of certain debt owed by EMT
      and/or its subsidiaries (collectively, &#8220;EMT&#8221;) for equity in EMT, and including
      provisions for a loan for working capital from Cardinal to GalaVu (the &#8220;EMT
      Agreement&#8221;). </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Pursuant
      to the EMT Agreement, Cardinal agreed to purchase the balance of the debt owed
      by EMT to Alleasing Finance Australia Limited (&#8220;Alleasing&#8221;), in the principal
      amount of two million twenty thousand Australian dollars (A$2,020,000.00) (the
      &#8220;Debt&#8221;) in exchange for an assignment of the Debt and all security interests
      securing repayment of the Debt. The purchase price to be paid by the Company
      for
      the Debt is seven hundred two thousand five hundred Australian dollars
      (A$702,500.00). </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">In
      addition, the Company has agreed to provide a bridge loan for working capital
      of
      seven hundred ninety seven thousand five hundred Australian dollars
      (A$797,500.00) to GalaVu (the &#8220;Loan&#8221;). </font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
      definitive terms, conditions, and interest rate in respect of such Loan shall
      be
      agreed between Cardinal and Livonia.</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">
      Notwithstanding the generality of the foregoing, Cardinal&#8217;s representative shall
      have sole discretion as to the use of proceeds from the Loan, including how,
      to
      whom, and when the Loan proceeds are dispersed. </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
      Debt
      and the Loan are to be secured by the assets of EMT&#8217;s subsidiaries. The Debt
      purchased from Alleasing shall remain secured by the assets of EMT&#8217;s
      subsidiaries, including GalaVu. Also, Livonia shall assign to Cardinal six
      hundred and forty eight thousand two hundred and fifty Australian dollars
      (A$648,250.00) of the secured debt that Livonia previously purchased from
      Alleasing in a separate transaction, such that the total secured debt held
      by
      Cardinal shall total three million four hundred sixty five thousand seven
      hundred fifty Australian dollars (A$3,465,750.00) (the &#8220;Cardinal Secured Debt&#8221;).
      All such Cardinal Secured Debt is and will remain secured by all the EMT&#8217;s
      subsidiaries&#8217; assets. </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Cardinal
      also agreed that, to the extent permissible under Australian law and subject
      to
      the approval of the shareholders of EMT, should the same be necessary, Cardinal
      shall: (a) convert five hundred thirty two thousand five hundred Australian
      dollars (A$532,500.00) of the Cardinal Secured Debt into 53,250,000 shares
      in
      free-trading, common stock of EMT at a conversion rate of 1 cent per share;
      and
      (b) at a date to be agreed between the parties, convert two million nine hundred
      thirty three thousand seven hundred and fifty Australian dollars
      (A$2,933,750.00) of the Cardinal Secured Debt into shares of free-trading EMT
      common stock at a conversion rate of one half cent ($.005) per share, equating
      to 586,250,000 shares in EMT. In addition, Livonia agreed that, to the extent
      permissible under Australian law and subject to approval of the shareholders
      of
      EMT, should same be necessary, Livonia shall: (a) convert A$425,000.00 owing
      to
      it by EMT into 42,500,000 shares in EMT at a conversion rate of 1 cent per
      share; and (b) at a date to be agreed between the parties, convert A$733,750.00
      owing to it by EMT into shares in EMT at a conversion rate of one half cent
      (A$.005) per share, equating to 146,750,000 shares in EMT. The Parties agreed
      to
      take all acts necessary to ensure that, following both the Cardinal conversion
      and the Livonia conversion, Cardinal shall own 64% of the outstanding shares
      of
      EMT, accounted for on a fully diluted basis. EMT has historically traded on
      the
      Australian stock exchange under the sympbol ETC. </font></div>
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    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
        <div id="GLFTR" style="WIDTH: 100%" align="left">&#160;</div>
      </div>
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        <div style="WIDTH: 100%; TEXT-ALIGN: center">&#160;</div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
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        <div id="GLHDR" style="WIDTH: 100%" align="right">&#160;</div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Livonia
      and EMT agreed that should: (a) the shareholders of EMT not agree to the
      conversion by Cardinal of its Cardinal Secured Debt into equity in EMT, or
      (b)
      EMT does not regain trading status on the Australian Stock Exchange within
      one
      hundred and twenty (120) days of the date of the EMT Agreement, Livonia and
      EMT
      shall do all acts, matters or things to facilitate the transfer of the assets
      constituting the security (including but not limited to the assets of GalaVu)
      to
      Cardinal free and clear of all liens, claims, and encumbrances, in exchange
      for
      Cardinals&#8217; agreement to extinguish the Cardinal Secured Debt. Cardinal agreed
      that, in the event that the GalaVu assets are transferred to Cardinal in
      exchange for the Cardinal Secured Debt, Livonia shall be entitled to acquire
      shares of Cardinal as follows: first, Livonia shall cause EMT to be sold;
      second, the purchase price obtained by Livonia from such sale (the &#8220;Purchase
      Price&#8221;) shall be paid directly to Cardinal in its entirety in exchange for
      shares of Cardinal common stock. The number of shares shall be determined by
      dividing the dollar amount of the Shell Purchase Price, converted to United
      States dollars, by the lower of 80% of the price per share for the five (5)
      trading days preceding the date of issuance, or two cents (U.S. $0.02).
</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Assignment
      Deed</u></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Effective
      February 20, 2006, the Company signed an Assignment Deed with Alleasing Finance
      Australia Limited, an Australian company (formerly Rentworks Limited)
      (&#8220;Alleasing&#8221;) (the &#8220;Assignment&#8221;). Pursuant to the Assignment, Alleasing agreed
      to Cardinal all of its right, title, and interest in the debt owing by the
      Entertainment Media &amp; Telecoms Corporation Limited (&#8220;EMT&#8221;) and/or EMT&#8217;s
      subsidiaries, including GalaVu Entertainment Networks, Inc. (&#8220;GalaVu&#8221;) to
      Cardinal in the amount of two million twenty thousand Australian dollars
      (A$2,020,000.00) (the &#8220;Debt&#8221;). The purchase price paid by Cardinal for the debt
      is seven hundred two thousand five hundred Australian dollars (A$702,500.00).
      </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">The
      Debt
      is secured by the (a) Pledge Agreement between Entertainment Media &amp;
Telecoms Corporation (Canada), Inc., (registered in Canada) (&#8220;EMT (Canada)&#8221;),
      and Rentworks Limited dated 31 March 2005; (b) Security Agreement between EMT
      (Canada) and Rentworks Limited dated 31 March 2005; (c) Security Agreement
      between GalaVu and Rentworks Limited dated 31 March 2005; (d) Guaranty between
      EMT (Canada), Inc., and Rentworks Limited dated 31 March 2005; and (e) Guaranty
      between GalaVu and Rentworks Limited dated 31 March 2005. </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
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        <div id="GLFTR" style="WIDTH: 100%" align="left">&#160;</div>
      </div>
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        <div style="WIDTH: 100%; TEXT-ALIGN: center">&#160;</div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
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      </div>
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    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Interested
      Director</u></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">A
      member
      of the Company&#8217;s Board of Directors, David A. Weisman, and certain entities
      affiliated with Mr. Weisman are shareholders of GalaVu&#8217;s parent corporation,
      Entertainment Media &amp; Telecoms Corporation Limited. Mr. Weisman did not
      participate in the vote by Cardinal&#8217;s Board of Directors approving the License,
      the Assignment Deed, or the Purchase and Exchange Agreement (collectively,
      the
&#8220;Agreements&#8221;). The remaining members of Cardinal&#8217;s Board of Directors voted
      unanimously to approve the Agreements. </font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Item
      8.01.</strong></font><font id="TAB2" style="COLOR: black; LETTER-SPACING: 27pt">&#160;</font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Other
      Events.</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">On
      February 21, 2006, the Company issued a press release announcing the closing
      of
      the acquisition of EMT Debt as described under Item 1.01 above. A copy of the
      press release is attached as </font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><u>Exhibit
      99.1</u></font><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">
      to this
      Current Report.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="justify">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 36pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">

      <table cellpadding="0" cellspacing="0" width="100%">

          <tr>
            <td align="left" valign="top" width="6%" style="border-bottom: black thin solid;">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Exhibit
                No.</strong></font></div>
            </td>
            <td align="left" valign="bottom" width="2%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
            </td>
            <td valign="top" width="62%" style="border-bottom: black thin solid;">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Description</strong></font></div>
            </td>
            <td align="left" valign="top" width="1%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
            </td>
          </tr>
          <tr>
            <td align="left" valign="top" width="6%">
            </td>
            <td align="left" valign="bottom" width="2%">&#160;</td>
            <td align="left" valign="top" width="62%">&#160;</td>
            <td align="left" valign="top" width="1%">&#160;</td>
          </tr>
          <tr>
            <td align="left" valign="top" width="6%">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center">&#160;<font size="2">10.1</font></div>
            </td>
            <td align="left" valign="bottom" width="2%">&#160;</td>
            <td align="left" valign="top" width="62%">&#160;<font size="2">Technology
              and
              Trademark License Agreement between Cardinal Communications, Inc.,
              and
              GalaVu Entertainment Networks, Inc., dated February 17, 2006.</font></td>
            <td align="left" valign="top" width="1%">&#160;</td>
          </tr>
          <tr>
            <td align="left" valign="top" width="6%">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center">&#160;<font size="2">10.2</font></div>
            </td>
            <td align="left" valign="bottom" width="2%">&#160;</td>
            <td align="left" valign="top" width="62%">&#160;<font size="2">Purchase and
              Exchange Agreement between Cardinal Communications, Inc., Livonia Pty
              Limited, and Entertainment Media &amp; Telecoms Corporation Limited, dated
              February 17, 2006.</font></td>
            <td align="left" valign="top" width="1%">&#160;</td>
          </tr>
          <tr>
            <td align="left" valign="top" width="6%">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center">&#160;<font size="2">10.3</font></div>
            </td>
            <td align="left" valign="bottom" width="2%">&#160;</td>
            <td align="left" valign="top" width="62%">&#160;<font size="2">Assignment
              Deed
              between Alleasing Finance Australia Limited and Cardinal Communications,
              Inc.</font></td>
            <td align="left" valign="top" width="1%">&#160;</td>
          </tr>
          <tr>
            <td align="left" valign="top" width="6%">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center">&#160;<font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">99.1</font></div>
            </td>
            <td align="left" valign="bottom" width="2%">&#160;</td>
            <td align="left" valign="top" width="62%">&#160;<font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Cardinal
              Communications, Inc., Press Release dated February 21, 2006</font></td>
            <td align="left" valign="top" width="1%">&#160;</td>
          </tr>

      </table>
    </div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><br></div><br>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; WIDTH: 100%; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
        <div id="GLFTR" style="WIDTH: 100%" align="left">&#160;</div>
      </div>
      <div id="PN" style="PAGE-BREAK-AFTER: always">
        <div style="WIDTH: 100%; TEXT-ALIGN: center">&#160;</div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
      </div>
      <div id="HDR">
        <div id="GLHDR" style="WIDTH: 100%" align="right">&#160;</div>
        <div style="WIDTH: 100%" align="left">
        </div>
      </div>
    </div><br><br>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>SIGNATURES
      </strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 27pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">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 hereunto
      duly authorized.</font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">
      <table align="center" bgcolor="#ffffff" border="0" cellpadding="0" cellspacing="0" width="100%">

          <tr valign="top" bgcolor="#ffffff">
            <td width="50%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
            <td width="1%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
            <td width="49%"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
          </tr>
          <tr valign="top" bgcolor="#ffffff">
            <td><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
            <td colspan="2">
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                Communications, Inc.</strong></font></div>
            </td>
          </tr>
          <tr valign="top" bgcolor="#ffffff">
            <td><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;<br>&#160;</font></td>
            <td><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;<br>&#160;</font></td>
            <td><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;<br>&#160;</font></td>
          </tr>
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            <td><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">Date:&#160;February
              22, 2006</font></td>
            <td><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">By:&#160;&#160;</font></td>
            <td><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">/s/&#160;Edouard
              A. Garneau</font></td>
          </tr>
          <tr valign="top" bgcolor="#ffffff">
            <td colspan="2"><font style="FONT-FAMILY: " size="1">&#160;</font></td>
            <td align="left">
              <hr style="COLOR: black" align="left" noshade size="2" width="80%">
            </td>
          </tr>
          <tr valign="top" bgcolor="#ffffff">
            <td colspan="2"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: ">&#160;</font></td>
            <td>
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Chief
                Executive Officer</strong></font></div>
            </td>
          </tr>

      </table>
    </div>
    <div>&#160;<br></div><br>
    <div id="PGBRK" style="MARGIN-LEFT: 0pt; WIDTH: 100%; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt">
      <div id="FTR">
        <div id="GLFTR" style="WIDTH: 100%" align="left">&#160;</div>
      </div>
      <div id="PN" style="PAGE-BREAK-AFTER: always">
        <div style="WIDTH: 100%; TEXT-ALIGN: center">&#160;</div>
        <div style="WIDTH: 100%; TEXT-ALIGN: center">
          <hr style="COLOR: black" noshade size="2">
        </div>
      </div>
      <div id="HDR">
        <div id="GLHDR" style="WIDTH: 100%" align="right">&#160;</div>
        <div style="WIDTH: 100%" align="left">
        </div>
      </div>
    </div><br><br>
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      INDEX</strong></font></div>
    <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center">&#160;</div>
    <div>
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            <td align="left" valign="top" width="6%" style="border-bottom: black thin solid;">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="center"><font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman"><strong>Exhibit
                No.</strong></font></div>
            </td>
            <td align="left" valign="bottom" width="2%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
            </td>
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            </td>
            <td align="left" valign="top" width="1%">
              <div style="DISPLAY: block; MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; LINE-HEIGHT: 1.25; MARGIN-RIGHT: 0pt" align="left">&#160;</div>
            </td>
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          <tr>
            <td align="left" valign="top" width="6%">
            </td>
            <td align="left" valign="bottom" width="2%">&#160;</td>
            <td align="left" valign="top" width="62%">&#160;</td>
            <td align="left" valign="top" width="1%">&#160;</td>
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          <tr>
            <td align="left" valign="top" width="6%">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center">&#160;<font size="2">10.1</font></div>
            </td>
            <td align="left" valign="bottom" width="2%">&#160;</td>
            <td align="left" valign="top" width="62%">&#160;<font size="2">Technology
              and
              Trademark License Agreement between Cardinal Communications, Inc.,
              and
              GalaVu Entertainment Networks, Inc., dated February 17, 2006.</font></td>
            <td align="left" valign="top" width="1%">&#160;</td>
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              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center">&#160;<font size="2">10.2</font></div>
            </td>
            <td align="left" valign="bottom" width="2%">&#160;</td>
            <td align="left" valign="top" width="62%">&#160;<font size="2">Purchase and
              Exchange Agreement between Cardinal Communications, Inc., Livonia Pty
              Limited, and Entertainment Media &amp; Telecoms Corporation Limited, dated
              February 17, 2006.</font></td>
            <td align="left" valign="top" width="1%">&#160;</td>
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          <tr>
            <td align="left" valign="top" width="6%">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center">&#160;<font size="2">10.3</font></div>
            </td>
            <td align="left" valign="bottom" width="2%">&#160;</td>
            <td align="left" valign="top" width="62%">&#160;<font size="2">Assignment
              Deed
              between Alleasing Finance Australia Limited and Cardinal Communications,
              Inc.</font></td>
            <td align="left" valign="top" width="1%">&#160;</td>
          </tr>
          <tr>
            <td align="left" valign="top" width="6%">
              <div style="MARGIN-LEFT: 0pt; TEXT-INDENT: 0pt; MARGIN-RIGHT: 0pt" align="center">&#160;<font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">99.1</font></div>
            </td>
            <td align="left" valign="bottom" width="2%">&#160;</td>
            <td align="left" valign="top" width="62%">&#160;<font style="DISPLAY: inline; FONT-SIZE: 10pt; FONT-FAMILY: Times New Roman">Cardinal
              Communications, Inc., Press Release dated February 21, 2006</font></td>
            <td align="left" valign="top" width="1%">&#160;</td>
          </tr>

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{"company-data": {"conformed-name": "CARDINAL COMMUNICATIONS, INC", "cik": "0001035398", "assigned-sic": "7370", "irs-number": "721346591", "state-of-incorporation": "NV", "fiscal-year-end": "1231"}, "filing-values": {"form-type": "8-K", "act": "34", "file-number": "001-15383", "film-number": "06636759"}, "business-address": {"street1": "390 INTERLOCKEN CRESCENT,", "street2": "SUITE 900", "city": "BROOMFIELD,", "state": "CO", "zip": "80021", "phone": "3032855379"}, "mail-address": {"street1": "390 INTERLOCKEN CRESCENT,", "street2": "SUITE 900", "city": "BROOMFIELD", "state": "CO", "zip": "80021"}, "former-company": [{"former-conformed-name": "USURF AMERICA INC", "date-changed": "19990714"}, {"former-conformed-name": "INTERNET MEDIA CORP", "date-changed": "19980729"}, {"former-conformed-name": "MEDIA ENTERTAINMENT INC", "date-changed": "19980729"}]}
Unassociated Document
SECURITIES
      AND EXCHANGE COMMISSION
WASHINGTON,
      D.C. 20549
FORM
      8-K
CURRENT
      REPORT
Pursuant
      to Section 13 or 15(d) of the
Securities
      Exchange Act of 1934
Date
      of report (Date of earliest event reported): February 17,
      2006
CARDINAL
      COMMUNICATIONS, INC.
(Exact
      name of registrant as specified in Charter)
Nevada
1-15383
91-2117796
(State
                or other jurisdiction of
incorporation
                or organization)
(Commission
                File No.)
(IRS
                Employee Identification
                No.)
390
      Interlocken Crescent, Suite 900
Broomfield,
      Colorado 80021
(Address
      of Principal Executive Offices)
303-285-5379
(Issuer
      Telephone number)
Check
      the
      appropriate box below if the Form 8-K filing is intended to simultaneously
      satisfy the filing obligation of the registrant under any of the following
      provisions (see General Instruction A.2. below):
o
Written
      communications pursuant to Rule 425 under the Securities Act (17 CFR
      230.425)
o
Soliciting
      material pursuant to Rule 14a-12 under the Exchange Act (17 CFR
      240.14a-12)
o
Pre-commencement
      communications pursuant to Rule 14d-2(b) under the Exchange
      Act
(17
      CFR
      240.14d-2(b))
o
Pre-commencement
      communications pursuant to Rule 13e-4(c) under the Exchange
      Act
(17
      CFR
      240.13e-4(c))
This
      Form
      8-K and other reports filed by Cardinal Communications, Inc. (the "Registrant"
      or the "Company") from time to time with the Securities and Exchange Commission
      (collectively the "Filings") contain forward looking statements and information
      that are based upon beliefs of, and information currently available to, the
      Registrant's management as well as estimates and assumptions made by the
      Registrant's management. When used in the Filings the words "anticipate",
      "believe", "estimate", "expect", "future", "intend", "plan" or the negative
      if
      these terms and similar expressions as they relate to the Registrant or the
      Registrant's management identify forward looking statements.
Such
      statements reflect the current view of the Registrant with respect to future
      events and are subject to risks, uncertainties, assumptions and other factors
      relating to the Registrant's industry, operations and results of operations
      and
      any businesses that may be acquired by the Registrant. Should one or more of
      these risks or uncertainties materialize, or should the underlying assumptions
      prove incorrect, actual results may differ significantly from those anticipated,
      believed, estimated, expected, intended or planned.
Item
      1.01.
Entry
      Into A Material Definitive Agreement.
Technology
      and Trademark License Agreement
On
      February 17, 2006, the Company (or "Cardinal") signed a Technology and Trademark
      License Agreement (the "License") with GalaVu Entertainment Networks, Inc., of
      Toronto, Ontario, Canada ("GalaVu"). The term of the License is ten (10) years.
      Among other things, the License grants Cardinal a non-exclusive, royalty-free,
      fully paid up, worldwide license to make, use, sell, offer to sell, manufacture,
      market, and distribute the finished products and technology incorporated into
      GalaVu's video on demand system (the "GalaVu Technology"). Under the License
      Cardinal has the right to bundle products incorporating the GalaVu Technology
      with other products distributed by Cardinal. Cardinal also has the right to
      sublicense the rights granted under the License to third parties, provided
      that
      Cardinal enters into sublicense agreements with each such sublicensee consistent
      with the terms set forth in the License. The rights provided to Cardinal under
      the License shall apply equally to existing and future products of similar
      or
      like functionality as those currently offered by GalaVu. The License requires
      GalaVu to provide Cardinal within five (5) days of the date of execution of
      the
      License, all technical information (including, but not limited to product
      specifications, blueprints and schematics, circuit diagrams, software,
      middleware, and firmware) required to manufacture GalaVu's products and/or
      comprising the GalaVu Technology.
In
      addition, provisions in the License grant Cardinal the right, but not the
      obligation, to purchase products incorporating or comprising the GalaVu
      Technology from GalaVu (the "Purchased Products"). Cardinal shall pay only the
      actual costs of manufacturing and shipping the Purchased Products to Cardinal
      (or as directed by Cardinal); GalaVu shall not be entitled to any mark-up or
      profit on such products for the first 5,000 units of such products (the "Initial
      Units"). Orders for any products in excess of the Initial Units shall be
      marked-up by the lowest amount charged by GalaVu to any of its customers or
      partners.
The
      License also grants to Cardinal a non-exclusive, royalty-free, fully paid up,
      worldwide license to use GalaVu's trademarks, service marks, and logos (the
"Marks") for (i) the sale of GalaVu branded products (the "Branded Products"),
      (ii) the use and display for marketing, advertising and promotion according
      to
      certain usage standards, and (iii) incorporating the Marks into the Branded
      Products. Any uses of the Marks shall be submitted in writing for review by
      GalaVu in advance and shall not be distributed or used in any manner without
      prior written approval of the Licensor or its authorized representative, which
      approval shall not be unreasonably withheld or delayed. No license is granted
      for the use, display, or incorporation of the Marks on products other than
      the
      Branded Products. Cardinal has the right to bundle the Branded Products with
      other products or services distributed by Cardinal (such Branded Products when
      bundled with such other products, the "Bundled Products"), provided that
      Cardinal uses the Marks solely on and in conjunction with that portion of
      Bundled Products that constitute the Branded Products. Cardinal has the right
      to
      sublicense these rights to its partners, resellers, OEMs, distributors and
      sales
      representatives that market and distribute Branded Products (each, a
"Sublicensee") solely for the purpose of advertising, marketing, selling and
      distributing the Branded Products in accordance with the terms of the License;
      provided that Cardinal enters into agreements with each such Sublicensee
      consistent with the terms set forth in the License.
The
      parties to the License acknowledge and agree that the License does not create
      a
      fiduciary relationship among or between them; that each shall remain an
      independent business; and that nothing in the License is intended to constitute
      either party as an agent, legal representative, subsidiary, joint venturer,
      partner, employee or servant of the other for any purpose whatsoever. The
      foregoing summary of the License is qualified in its entirety be reference
      to
      the License as attached as an exhibit to this Current Report.
Purchase
      and Exchange Agreement
On
      February 17, 2006, the Company, Livonia Pty Limited, an Australian corporation,
      and Entertainment Media & Telecoms Corporation Limited ("EMT"), executed an
      agreement regarding the purchase and the exchange of certain debt owed by EMT
      and/or its subsidiaries (collectively, "EMT") for equity in EMT, and including
      provisions for a loan for working capital from Cardinal to GalaVu (the "EMT
      Agreement").
Pursuant
      to the EMT Agreement, Cardinal agreed to purchase the balance of the debt owed
      by EMT to Alleasing Finance Australia Limited ("Alleasing"), in the principal
      amount of two million twenty thousand Australian dollars (A$2,020,000.00) (the
      "Debt") in exchange for an assignment of the Debt and all security interests
      securing repayment of the Debt. The purchase price to be paid by the Company
      for
      the Debt is seven hundred two thousand five hundred Australian dollars
      (A$702,500.00).
In
      addition, the Company has agreed to provide a bridge loan for working capital
      of
      seven hundred ninety seven thousand five hundred Australian dollars
      (A$797,500.00) to GalaVu (the "Loan").
The
      definitive terms, conditions, and interest rate in respect of such Loan shall
      be
      agreed between Cardinal and Livonia.
Notwithstanding the generality of the foregoing, Cardinal's representative shall
      have sole discretion as to the use of proceeds from the Loan, including how,
      to
      whom, and when the Loan proceeds are dispersed.
The
      Debt
      and the Loan are to be secured by the assets of EMT's subsidiaries. The Debt
      purchased from Alleasing shall remain secured by the assets of EMT's
      subsidiaries, including GalaVu. Also, Livonia shall assign to Cardinal six
      hundred and forty eight thousand two hundred and fifty Australian dollars
      (A$648,250.00) of the secured debt that Livonia previously purchased from
      Alleasing in a separate transaction, such that the total secured debt held
      by
      Cardinal shall total three million four hundred sixty five thousand seven
      hundred fifty Australian dollars (A$3,465,750.00) (the "Cardinal Secured Debt").
      All such Cardinal Secured Debt is and will remain secured by all the EMT's
      subsidiaries' assets.
Cardinal
      also agreed that, to the extent permissible under Australian law and subject
      to
      the approval of the shareholders of EMT, should the same be necessary, Cardinal
      shall: (a) convert five hundred thirty two thousand five hundred Australian
      dollars (A$532,500.00) of the Cardinal Secured Debt into 53,250,000 shares
      in
      free-trading, common stock of EMT at a conversion rate of 1 cent per share;
      and
      (b) at a date to be agreed between the parties, convert two million nine hundred
      thirty three thousand seven hundred and fifty Australian dollars
      (A$2,933,750.00) of the Cardinal Secured Debt into shares of free-trading EMT
      common stock at a conversion rate of one half cent ($.005) per share, equating
      to 586,250,000 shares in EMT. In addition, Livonia agreed that, to the extent
      permissible under Australian law and subject to approval of the shareholders
      of
      EMT, should same be necessary, Livonia shall: (a) convert A$425,000.00 owing
      to
      it by EMT into 42,500,000 shares in EMT at a conversion rate of 1 cent per
      share; and (b) at a date to be agreed between the parties, convert A$733,750.00
      owing to it by EMT into shares in EMT at a conversion rate of one half cent
      (A$.005) per share, equating to 146,750,000 shares in EMT. The Parties agreed
      to
      take all acts necessary to ensure that, following both the Cardinal conversion
      and the Livonia conversion, Cardinal shall own 64% of the outstanding shares
      of
      EMT, accounted for on a fully diluted basis. EMT has historically traded on
      the
      Australian stock exchange under the sympbol ETC.
Livonia
      and EMT agreed that should: (a) the shareholders of EMT not agree to the
      conversion by Cardinal of its Cardinal Secured Debt into equity in EMT, or
      (b)
      EMT does not regain trading status on the Australian Stock Exchange within
      one
      hundred and twenty (120) days of the date of the EMT Agreement, Livonia and
      EMT
      shall do all acts, matters or things to facilitate the transfer of the assets
      constituting the security (including but not limited to the assets of GalaVu)
      to
      Cardinal free and clear of all liens, claims, and encumbrances, in exchange
      for
      Cardinals' agreement to extinguish the Cardinal Secured Debt. Cardinal agreed
      that, in the event that the GalaVu assets are transferred to Cardinal in
      exchange for the Cardinal Secured Debt, Livonia shall be entitled to acquire
      shares of Cardinal as follows: first, Livonia shall cause EMT to be sold;
      second, the purchase price obtained by Livonia from such sale (the "Purchase
      Price") shall be paid directly to Cardinal in its entirety in exchange for
      shares of Cardinal common stock. The number of shares shall be determined by
      dividing the dollar amount of the Shell Purchase Price, converted to United
      States dollars, by the lower of 80% of the price per share for the five (5)
      trading days preceding the date of issuance, or two cents (U.S. $0.02).
Assignment
      Deed
Effective
      February 20, 2006, the Company signed an Assignment Deed with Alleasing Finance
      Australia Limited, an Australian company (formerly Rentworks Limited)
      ("Alleasing") (the "Assignment"). Pursuant to the Assignment, Alleasing agreed
      to Cardinal all of its right, title, and interest in the debt owing by the
      Entertainment Media & Telecoms Corporation Limited ("EMT") and/or EMT's
      subsidiaries, including GalaVu Entertainment Networks, Inc. ("GalaVu") to
      Cardinal in the amount of two million twenty thousand Australian dollars
      (A$2,020,000.00) (the "Debt"). The purchase price paid by Cardinal for the debt
      is seven hundred two thousand five hundred Australian dollars (A$702,500.00).
The
      Debt
      is secured by the (a) Pledge Agreement between Entertainment Media &
Telecoms Corporation (Canada), Inc., (registered in Canada) ("EMT (Canada)"),
      and Rentworks Limited dated 31 March 2005; (b) Security Agreement between EMT
      (Canada) and Rentworks Limited dated 31 March 2005; (c) Security Agreement
      between GalaVu and Rentworks Limited dated 31 March 2005; (d) Guaranty between
      EMT (Canada), Inc., and Rentworks Limited dated 31 March 2005; and (e) Guaranty
      between GalaVu and Rentworks Limited dated 31 March 2005.
Interested
      Director
A
      member
      of the Company's Board of Directors, David A. Weisman, and certain entities
      affiliated with Mr. Weisman are shareholders of GalaVu's parent corporation,
      Entertainment Media & Telecoms Corporation Limited. Mr. Weisman did not
      participate in the vote by Cardinal's Board of Directors approving the License,
      the Assignment Deed, or the Purchase and Exchange Agreement (collectively,
      the
"Agreements"). The remaining members of Cardinal's Board of Directors voted
      unanimously to approve the Agreements.
Item
      8.01.
Other
      Events.
On
      February 21, 2006, the Company issued a press release announcing the closing
      of
      the acquisition of EMT Debt as described under Item 1.01 above. A copy of the
      press release is attached as
Exhibit
      99.1
to this
      Current Report.
Exhibit
                No.
Description
10.1
Technology
              and
              Trademark License Agreement between Cardinal Communications, Inc.,
              and
              GalaVu Entertainment Networks, Inc., dated February 17, 2006.
10.2
Purchase and
              Exchange Agreement between Cardinal Communications, Inc., Livonia Pty
              Limited, and Entertainment Media & Telecoms Corporation Limited, dated
              February 17, 2006.
10.3
Assignment
              Deed
              between Alleasing Finance Australia Limited and Cardinal Communications,
              Inc.
99.1
Cardinal
              Communications, Inc., Press Release dated February 21, 2006
SIGNATURES
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 hereunto
      duly authorized.
Cardinal
                Communications, Inc.
Date: February
              22, 2006
By:
/s/ Edouard
              A. Garneau
Chief
                Executive Officer
EXHIBIT
      INDEX
Exhibit
                No.
Description
10.1
Technology
              and
              Trademark License Agreement between Cardinal Communications, Inc.,
              and
              GalaVu Entertainment Networks, Inc., dated February 17, 2006.
10.2
Purchase and
              Exchange Agreement between Cardinal Communications, Inc., Livonia Pty
              Limited, and Entertainment Media & Telecoms Corporation Limited, dated
              February 17, 2006.
10.3
Assignment
              Deed
              between Alleasing Finance Australia Limited and Cardinal Communications,
              Inc.
99.1
Cardinal
              Communications, Inc., Press Release dated February 21, 2006