Ann: Lulo Special Distribution, page-32

nihilism,

Good point and my bad.

You know what I was trying to highlight and yes, I am realistically assuming all LOMOB options will be exercised. Don't you think that the Directors who own heaps of LOMOB will do whatever is necessary (which is what they are doing) to make sure these LOMOB are in the money at the end of April 2016?

The capitalisation will only increase by the difference between the LOMOB exercise price and the LOM share value at the time.

It means that myself (and other LOMOB holders) will become the new owners of this "increased capitalisation amount" (in essence due to LOMOB leveraging). The non LOMOB holders will be diluted (lose out), but the LOMOB holders will benefit.

... notwithstanding this, the more diamonds, the more cash, the higher the LOM share price before April, the higher the gain and benefit to the LOMOB holders (once again the leveraging).

So yes, you are correct ... but I am happy to be wrong as I will be benefiting from my hasty mistake!

GLTAH,

Zippy1