Ann: Notice of Extraordinary General Meeting/Proxy Form-CM8.AX, page-56

Thanks Dan for getting clarification from Dom. So if I understand correctly there is a distinction between:

1. JGB electing to convert some or all of the CN to shares - which can only be done at the fixed 30% premium to the EGM closing price (the only variable here being the exchange rate at the time) in any circumstance

and

2. Any other circumstance (excluding default clauses?) where it is CM8 who determines whether payments, redemptions, etc are paid in shares or cash.

If that is the case then I am ok with that, because then the company has control over the extent of dilution - so long as it does not contravene any of the default clauses.

That makes the CN a much more reasonable prospect (in fact a much more conventional in terms of its CN conversion/exercise conditions which I am fine with) than the picture I painted yesterday - having experienced the negative shareholder impact of the type of CN that I highlighted yesterday I am a little paranoid about getting exposed to that again. As you say and I stated last week, in the clarified scenario we can simply expect a potential overhang of convertible share issues once the SP is significantly above that EGM date fixed 30% exercise price.

Cheers and thanks again, Sharks.