Ann: FML March Quarterly Report and 5B , page-26

The reports are all over the place as usual. I don't have the time or patience to post at length however this quarter was a shocker!

CRE didn't spend a cent on exploration just to keep the balance sheet respectable. $2m was shifted back to FML last quarter but it has reappeared back on CRE's book. Why?

FML have decided to add $12.5m of enviromental bonds on the balance sheet(predominantly CRE's)to give it a little boost. However available cash is just $4.4m. Given the fact that FML has used over $5m in finance facilities, FML have now no cash left of their own.

A quick look at the Half yearly released a month ago, FML consolidated group has just $5m in current trade and other receivables. However current trade and other payables due within a year, are standing at $41m. This was at the 31st Dec 2011.

FML has used CRE revenue and productions costs but not CRE admin costs. There are many holes in this report.

From memory FML had about $7.5m in bullion at hand last quarter, now just $3.3m. All this needs to be taken into account to work out this mess.

Coolgardie's cash costs are blowing out. Interesting that a review of last quarters cash costs $100 more?????

CRE was disappointing. Wasn't it a "bargain" at $1300 gold, now $1600 and still no significant cash flow.

A 175,000 producer that are precariously balanced either way. That leverage can hurt to the downside without careful planning.

Close but yet so far away for mine.