cmr igv 118 dollars per share 3 march 2008, page-27

At $7, the CMR schedule was on target. When it started encountering startup problems and costs blow out, risks appear in the project, and the market adjusted the SP to reflect those risks. The risks remain until production is underway, pulling ore out of the ground and cash starts rolling in. When that time comes the SP will be re-adjusted up and very quickly.

As each day goes by, market assumes the problems are hard to solve and thereby building additional risks into the SP, hence the continuous slide.

This is the scary part. If production is delayed so much that all loans are drawn down, CMR may have to raise funds from the market. In this climate and confidence with mgt shot to bits the instos may not come to the party.

When will the market start to panic? IMO, one more loan drawdown without production. Just my thoughts.