sunday thoughts, page-6

Hi Gringo,

Wah Nam must surely be able to see the concerns we have about their scrip. It is not only the large number of shares they have on issue, which will increase. It is also the lack of discernible market for how WNI-ASX will trade. We have no basis for assessing the value of WNI-ASX, and it is an insult to BRM shareholders to gauge it on either WN-ASX or WNI-HK.

Secondly we will have to see how the new WNI shares will trade from their Associates - if I can hazard a guess I suspect, most will trade on the HK exchange, which provides further uncertainty, and difficulties for local Australian holder to see arbitrage value.

Thirdly price manipulation by WN Associates on the BRM share price, provides little comfort that the same will not be done with WN shares after they are issued.

Wah Nam are certainly commercially savvy -we have to give them that. If they were faced with the same commercial choice, I am sure they would object as strenuously as us. They are not patsies, and neither are we.

I am interested in hearing the detailed plans from Wah Nam for rail and a combined BRM-FRS group. I am prepared to be part of that group as a BRM shareholder. Who knows it may be a better outcome for BRM. Twiggy's proposal was probably quite onerous....but if I could just says to Wah Nam, do not prepared in the least to accept WN scrip until I see genuine value emerge from it, that is not subject to any manipulation. This would be at least 12 months from now.