Ann: Managing Director Resigns, page-94

Points to consider!

Bids were received for all of the schedules not sold as per ANN.

Many photos show large parcels of rubies varying in colour most obviously and obviously not graded properly. Why it happened doesn't have anything to do with the value of the stones....but the fact it happened does impact the sale price of the lot dramatically IMO.

The rubies are currently lighter and smaller than those of GEM...but have value according to the buyers...even VP said they were beautiful gems!

The sold schedules achieved as low as $6 a carat...with an average of $24.....if the rubies were only worth less than $6 as some suggest why not take the money and go and try and mine/find better quality....if the rubies are worth $24 why not take it this means $9 million and then go mine more and also try and find bigger better deposits....why not take the bids?

As some suggest....."because the rubies are sheet" makes absolutely no sense what's so ever.

yes some of stones may even be technically pink sapphires which have gem value anyway....but unless you're blind there are many pigeons blood rubies amongst the pinkish and cleared ones!

What would the value be?

No one in their right mind is going to put their name to a value....not even GEM has publicized values before auction/sale....there's too many variables to announce that publicly....CJ'S anything over $100 can be expected should have been conservative to announce and it's bewildering....however it is yet to be proven wrong....the 375k carats need to be regraded consistently to be able to attract fair bids.

Although I agree $100 carat seems unlikely at this stage....what is apparent is the likelihood that the reason bids weren't accepted is simply because they were well below the value of the rubies if they regrade them!

You don't hold onto crap if you can get a buck for it! Not going to get another chance to sell them if they're crap is another reason "the rubies are crap" idea doesn't make sense IMO.

The rubies have value worth holding onto and grading appropriately for auction!

$10 carat = $3.75 million
$20 carat = $7.50 million
$30 carat = $11.25 million

Maybe they're not as good as GEM'S atm...but you don't have to do much to earn 10 million from 375k carats of gemstones

But if in your 1st ever auction and in relatively a short period of time... you make some amateur mistakes and $10 million worth of stones only attracts bids for 3-4 million....because no one pays fair value for a mixed pack! You don't take the 4 million you fix the issues....the MD resigns....you hire experience....and come back for the $10million.

ALL IMO