Ann: Response to ASX Query Letters, page-226

No worries I think I'm starting to get a handle on it. Complicated stuff! Though I have to be fair BIG has provided a lot of information.

The agreement was entered into in August '17.



On the point that BIG claim not to have paid cancellations yet, well they do get 120 days as per the terms.

So it's impossible to know if this is sustainable or not because that gives quite a bit of wriggle room to use recent sign ups to offset prepayments from 120 days ago.

I'm looking for some data in the announcement to see if I can better appreciate how this may be tracking.

It could well be calculated strategy and if the metrics of paying signups are there to support the model then there's no issue. This is why I'm saying its high risk because it could lead to a crunch moment where new signups aren't there to meet the requirements of the agreement with FCC and then 24% penalties kick in etc.

I'll take a look for numbers and see what I find.