love to be a fly on the wall, page-34

I believe we will hear nothing until the new year, so go and enjoy the break and hope for a prosperous new year.

I also believe that BBP are working on their own BNB management agreement divorce though expect that the marriage will only be annulled if they are successful in a total sale of interests. The fact that BNB accepted Bowman step down after he was recently re-elected is no coincidence.

My real concern that no one seems to share or comment on is interest rates with each percentage rate drop ironically costing BBP $60-80m in additional swap closure costs. With USA rates having dropped you can bet ours our likely to drop a further 150-200 basis points before now and March 2009. This equates to another $90-160m of costs before shareholders, on top of about a $200m slide since 30 June. Let's hope that the reduced interest rates lowers the cap rate of the assets, but I fear it does not. My major concern.