Ann: Keysbrook Project Financing Due Diligence co, page-17

re: Ann: Keysbrook Project Financing Due Dili... Thanks for the analysis Geobrand 2.

Appreciate the time you have taken to put up your post.

Please take what I write as constructive. I want the company to do well, I want the company to succeed, I want to see a positive result. In that light I write what I write below:

Some queries:

1. You refer to price announcements by others in the pigment production industry. Were those price announcements upwards?

2. When you say that you believe that the market for your products will strengthen "from a financial point of view" in the second half, why do you qualify your belief? Is there some aspect - say volumes - that will not increase or improve in your opinion?

3. You say you believe sales volumes will increase in the first half (first line paragraph 2). Later in your posting you say that supply and demand condition will improve in the second half (mentioned several times). So both halves seem to be great news. Is this correct? All good news every half? Why the poor share price then? It doesn't make sense.

4. To go on with this line of thought, you give reasons why supply and demand condition will improve in the second half - US housing sales, worldwide car sales. Curious, no mention of China. Everyone else is focusing on China, but you focus on US housing sales. What penetration has the company achieved in China? Anything?

5. Why are suppliers of paint, plastics and coatings de-stocking? Suppliers don't de-stock if they expect strong conditions. They stock up. Can you explain why you think your market will pick up when you customers are de-stocking?

6. In the same light, why will plant utilization rates work themselves back up - is it because everyone will start stocking up again? Why did they de-stock in the first place? Why do you believe that they will re-stock strongly enough to impact your prospects?

7. What is the company's plans if your customers don't re-stock as you predict they will? Does the board have a plan?

8. You say that you are experiencing a "sequential sales improvement." What does that actually mean? These words are not clear. You haven't sold all that much, so what do you mean here? Not doubting you - please - I just want to know what you are trying to say.

I will be frank with you: I am one of the many shareholders bewildered by continued price declines, and today is no exception. Down it goes....We need clearer better explanations from the company before we regain confidence that you clearly know your business. Sorry to be frank, but your posting is both general and complex, not clearly worded and quite honestly it is simply unclear. As a result, it is only marginally convincing.