mincor on fire, page-8

Dolphin/Krianta,

We few seem to appreciate the market misunderstands MCR. As long as ROCE in investments remain high we are on a winner, longterm TSR tracking ROCE. If Moore can't get the reserves replacement and ROCE money will come back as divi's. However in this environment I am expecting a big rabbit from Moore, someone elses distressed or discarded asset needing some disciplined development expertise.

I can't believe there's NOT a whole new layer of margin calls. You can go 75% on banks, but many will have been conservative and survived January. Regardless, with recent falls will be hurting. These holders probably only have BHP and RIO in resources (perhaps why most of the smaller resources I hold/watch came through Friday unscathed). Monday might be different, esp if BHP, RIO down again. Leveraged resource holders hurting then.

[Ktrianga: knife wounds seem to be turning green - is that a worry? Still got some deep red non-healing ones on the hand that caught some oilers - not CVN]

EL