takeover, page-18

Hi Legume,

Seems a waste of time to me to sell 30k shares via a bot.

I had a look at those foreign exchange losses and inter-company loans you mentioned.

Very tricky to work out using the latest Company Accounts. It appears that by using the Australian Accounting Standards it will spit out a vastly inflated or deflated consolidated profit each year based solely on the various exchange rate movements.

I did think about two things, however, that may be worth raising:

(1) Will accounts have to reflect asset write downs due to EUR/ AUD exchange rate movements. ie a mine building in Finland may still be worth $xx in Euro, but is suddenly worth a whole lot less in AUD - if so, reported profit will be lower than generally expected.

Obviously doesn't affect operational cash flows or operational profitability.

(2) Note 31 interesting re the impairment writedown in June 08 at Orivesi mine of capitalised development and capitalised exploration costs.

About $13m impairment written off. However, this was based on assumptions of POG USD $850 and spot EUR/USD of 1.56. Thus assumption is now UNDERVALUING gold price in EUR by over 56% (assumed POG of EUR 544 vs. current EUR 848).

Thus, as per latest Annual Report that showed NTA of $43m, I think it would be safe to say that this $13m impairment could be readily added to the NTA (not that it will). Thus, NTA of $56m ($43m + $13m) very close to current market cap.

P.S. it looks like Weld Range is a red herring. Doesn't look like it is worth that much money to DRA unless there is a massive exploration upside unaccounted for.

Cheers
John