Ann: Kingsgate completes $46M institutional placement, page-100

Mismanagement of this company coming home to roost

This capital raise is directly due to shortcomings of the management team. Holders will not like to hear this but it is the truth.

· Accepting such a low offer from Zurich was a grave error. (to the cheer squad – say what you like – its fact) To everyone else. Note: we still owe Zurich the money plus years of interest. So, we are not debt free at all.

· Management accepting a sale of NE to TDG was a massively poor decision. The very smart and well-spoken Fletcher Morgan had them drooling. Worse still was that management sat on their hands for 6 months and didn’t find alternate finance. This cost us big time.

· Letting negotiations continue for over 18 months and still somehow they are not complete. This makes us completely impotent. We have one option and that is to ask for the award.

· Sitting back for 8 weeks while DPIM do nothing was and is completely unacceptable. The company spending 10 of millions and getting weaker by the day. 8 weeks management did nothing.

· Thailand was as part of the settlement meant to help us with finance somehow. This didn’t eventuate and thus a 30 million share raise.

Holders can frame this any way they like. Some may even think a capital raise at a 25% discount to an already low and manipulated share price is a good deal but those people are completely clueless/

That my friends is the woodFr0mTrees