Ann: Placement , page-24

Whilst the placement is disappointing and will create short term loss of momentum, i feel there can be a positive spin to be placed on this

Management upon making GMP and UBS insiders must disclose all information to these arrangers... This would include a full update on Hanlongs bid... If there was any news that Hanlong were waivering or non commital this would have to been disclosed by the directors...and if that was the case the placement price of 34.5c woud have been 24.5c!!!

And Hanlong would have announced as such.

The book seems pretty full from my contacts.

Hanlong have had numerous opportunities to withdraw their bid, but todate have remained stedfast and committed.

SDL, Cam govts, and associted bodies today seemed totlally committed.

The placement changes the tkeover deal metrics by 1-2%

sDL are progressing with scheme booklets, independent vals, and the meetings.

What we do need is a firm committed Hanlong (CDB) and NDRC approval... In the event they pulled the next bid is nowhere near 57c, more like 40c, and unfort there is no JV on terms to give us similar values.

NDRC is the key element now....once this done i think CDB will step up