Ann: Response to Media Speculation, page-85

When you read the details of what KAR management has done over the past years in their presentarions, I think they are really astute and great survivors in the oil business.

1. They sold Browse for big money at the top of the price cycle. I think it was Origin who bought it and then in subsequent years they massively wrote down their investment by hundreds of millions. That is astute business by KAR IMO.

2. Brazil Santos tenaments. They farmed these out reducing their 100% interests to I think 65% to a Brazillian company for $250M USD expenditure on the permits. The Brazillian company spent $250M USD, then went bust a few years later and KAR bought back the 35% for $20M USD. Again evidence of astute business acumen IMO. Better buyback ratios then even Kerry Packer when he sold channel 9 to Allan Bond for $1B and then bought it back for a few hundred mil a year or two later when Bond went bust.

IMO, astute business people in KAR.