Ann: June Quarterly Activity Report and Appendix , page-13

re: Ann: June Quarterly Activity Report and A... I have called the company twice in the last two weeks.

The main player is Chinese and the transaction is progressing however they are entertaining discussions with other interested groups as well.

I think this is a good move by management for a few reasons:

1) Gives the Chinese a kick up the bum thinking that they may miss out.

2) talking to other interested parties can only result in a better transaction for us

3) far better to have three or four options than having one because as the one can string out and can manipulate which gives Peak the option to move to others to wrap up the deal.

Cheers