Ann: FML March Quarterly Report and 5B , page-78

As for the cost allocation methods, i am sure it would not be difficult to legally reallocation 10% of costs...

As CRE has minority holders I agree it would be very irresponsible of management to reallocate costs favourable to them at the expense of FML shareholders...

The other theory which is probably more likely but still bad for shareholders is that key management personel have spent their time getting costs down at Laverton and because their influence is so important, mistakes were made without their supervision at Coolgardie...

It seems as though once they turn back to Coolgardie, costs will blow out at Laverton...

No matter how you spin it, management are having a difficult time keeping the costs down...And while they search for higher grades, they will spend a lot of money on the exploration, new roads etc... that may not be justify increasing the grades from 2g/tonne to 3g/tonne...

Its not like management can get additional ore milled, they can only immprove the grade and this search for higher grade is costing huge amounts per quarter because the pits are too small and are all over the place...