Ann: Bonitas litigation, page-122

JBS deal
- A lie RFM has not received equity for free, covered by RFM in their response
- RFF receives a fee for providing the guarantee but has no risk as it is guaranteed by JBS parent, good deal for RFF
- Irrelevant they are not the tenant

Assets
- Growing assets is also in RFF unit holders interests, increases profits & distributions
- Doh!
- Well done, living things die eventually
- There is also a tradeable market for water rights, RFF has taken conservative view & valued at less than market rates as viewed as unsustainable
- This happens when property values increase faster than rents, yields go down. Look at the yields on residential properties over the last 20 years.

Profit & loss
- Capital items must be capitalised & not charged to P&L, basic accounting
- You can't extend the useful life of an asset that dies.
- A correct statement but irrelevant, distributions are paid out of cash generated which is approx 25% higher.

Valuations
- Wrong management compares valuations with market values to ensure they are appropriate , per conference call
- Correct, however interest rates are falling globally. Interest rates should be reviewed regularly & changed as appropriate
- That is incorrect, per the E&Y report it states only one of the valuerers used visits the properties