can some one tell me, page-8

ADY have major debt issues and are trying to secure major debt.

1....ADY owe Hawkswood excluding interest to be charged at 35% pa compounding monthly of $10.8m

2....they owe Ya Global debt due on October 20

In total as at June 30th (in the AR) ADY owed $17.5m

3,,,,the company is in the process of securing 2 seperate lines of credit for $5m each which hopefully will be available by the end of October.

4....ADY are trying to secure a $200m loan from ML

5....ADY are trying to secure a 440m loan with Shougang

all of this is their current debt commitment and proposed debt cmmitment however this is one major caveat hanging over ADY with any future debt funding.

ADY have submitted a caveat over ALL of the ADY assets and undertakings with Hawkswood because ADY could not repay the unsecured loan on time.

ADY have to repay Hawkswood $3m by the 30th of October and failure to do so will breach the loan covenant and Hawkswood will then be able to move on all the assets to satisfy its debt.