cute email........, page-6

Listen, if you go and buy a bag of apples, then for whatever reason, say you went on holiday, the apples go mouldy, you can't then go and sue the fruiterer for your mouldy apples.

The centro class action is based upon non disclosed liabilities. I don't see this with CVI. You put your money into CVI at a time when CVI had less assets but more cash, and less shares on issue. CVI doubled the amount of shares on issue, and spent the money over time on increasing it's assets, primarily into fortitude shares and Canzar. Meanwhile while this was being happening, you held your shares.

However, I think there is a problem/confusion/misunderstanding in relation to Cityview's balance sheets. Which hopefully someone might be able to clarify.

As at 30 June 2008
Total Non current assets: 36,749,013

As at lastest Annual report : 24,755

So whats going on here?
Well it seems CVI's assets were in cluded in the balance sheet at the half yearly 2008, but the annual report balance sheet does not include them as non current or current assets. Why? Well it seems either the annual report or the half yearly is wrong. The explanatory note on page 50 in the Annual states that the accounts of Fortitude, Canzar, Quest, Pensador, Euro Oil, were not included in the report, as cityview does not have effective control over those companies under the equity method accounting method.

So why were they at the half yearly?
Well did they change accounting policies? I think so.
That's not to say our assets are gone. They were merely listed as impairments and writeoffs rather than non current assets.