X0202 3 2006-01-19 0 0001078207 NAUTILUS, INC. NLS 0001283815 ENDOWMENT CAPITAL GROUP LLC 1105 NORTH MARKET STREET 15TH FLOOR WILMINGTON DE 19801 0 0 1 0 0001286800 LONG DRIVE L P 1105 NORTH MARKET STREET 15TH FLOOR WILMINGTON DE 19801 0 0 1 0 0001286807 ENDOWMENT CAPITAL L P 1105 NORTH MARKET STREET 15TH FLOOR WILMINGTON DE 19801 0 0 1 0 0001080175 TIMON PHILIP C 1105 NORTH MARKET STREET 15TH FLOOR WILMINGTON DE 19801 0 0 1 0 0001297571 Endowment Management LP 1105 NORTH MARKET STREET 15TH FLOOR WILMINGTON DE 19801 0 0 1 0 Common Stock 2143829 I See Footnotes 1 through 5 NLS+GC (call) 15 2006-01-19 2006-07-01 Nautilus, Inc. 550000 I See Footnotes 1 through 5 NLS+SV (put) 12.5 2006-01-19 2006-07-01 Nautilus, Inc. 550000 I See Footnotes 1 through 5 OND+AC (call) 15 2006-01-19 2007-01-01 Nautilus, Inc. 500000 I See footnotes 1 through 5 OND+MV (put) 12.5 2006-01-19 2007-01-01 Nautilus, Inc. 500000 I See Footnotes 1 through 5 Endowment Capital, L.P. (1,375,705 shares) and Long Drive, L.P. (768,124 shares) (collectively, the "Funds") directly own the 2,143,829 shares of Common Stock (the "Shares"). Endowment Capital Group, LLC is the sole general partner and Endowment Management, LLC is the sole investment manager of each of the Funds. Philip Timon is the sole managing member of Endowment Capital Group, LLC and Endowment Management, L.P. Endowment Capital, L.P. (1,374,800 shares) and Long Drive, L.P. (752,500 shares) (collectively, the "Funds") directly own the 2,100,000 derivatives. By virtue of its position as the sole general partner of the Funds, Endowment Capital Group, LLC may be deemed to be the indirect beneficial owner of the Shares. Nothing in this Form 3 shall be deemed an admission that Endowment Capital Group, LLC is, for purposes of Section 16 of the Securities Exchange Act or otherwise, the beneficial owner of any securities reported on this Form 3 in which it does not have a pecuniary interest as calculated pursuant to the rules and regulations promulgated under Section 16 of the Securities Exchange Act. By virtue of its position as the investment manager of the Funds, Endowment Management, L.P. may be deemed to be the indirect beneficial owner of the Shares. Nothing in this Form 3 shall be deemed an admission that Endowment Management, L.P. is, for purposes of Section 16 of the Securities Exchange Act or otherwise, the beneficial owner of any securities reported on this Form 3 in which it does not have a pecuniary interest as calculated pursuant to the rules and regulations promulgated under Section 16 of the Securities Exchange Act. By virtue of his position as the managing member of both Endowment Capital Group, LLC and Endowment Management, L.P., Philip Timon may be deemed to be the indirect beneficial owner of the Shares. Nothing in this Form 3 shall be deemed an admission that Philip Timon is, for purposes of Section 16 of the Securities Exchange Act or otherwise, the beneficial owner of any securities reported on this Form 3 in which he does not have a pecuniary interest as calculated pursuant to the rules and regulations promulgated under Section 16 of the Securities Exchange Act. See Attached Exhibit 99 2006-01-23