Several parties expressed interest in buying Tribeca's debt....

Several parties expressed interest in buying Tribeca's debt. Yes that is correct. Reminder this GXY loan can be repaid anytime & the several groups who did have interest with Tribeca’s credit can re-cut another deal directly with A40 and pay the GXY loan back (anytime!). thats right anytime......

So there are a couple of reasons why I think GXY playing bad cop / potential administration path probably isn’t the smartest way forward if GXY want to make a play for A40.

1) GXY will look a bit stupid if they announce taking over the credit & repaid by A40 in a short time frame. GXY will lose the debt power.

2) Trying to get the asset whilst in administration is a nightmare.

3) Knowing there are other groups interested in A40 assets & going into administration is at least a 6 month process & may not guarantee you become the owner (outbid).

4) Tax credits are gone.

5) Would require using more cash to insure you get assets in VA (cannot use GXY script).

In the background these other groups will be directly speaking to A40. The GXY loan & debt covenant can be replaced. During these difficult times, management will just want out as none of them own any stock to care. This is the most real issue for equity holders, low ball GXY bid. Mark Calderwood & Geoffrey McNamara put us here & now they need to fight to get deal tension & best outcome for A40 equity holders and get us out of here. Best outcome is for A40 to get refinanced and clear the current debt facility with GXY.

Conclusion

It is the fiduciary duties of A40 directors to act in the best interest of equity shareholders. A40 directors need to be accountable for this horrendous cash flow mismanagement. If A40 directors do not seek best outcome for equity shareholders no doubt there will be a class action against them knowing that there are several other groups wanting to refinance A40. MC can say goodbye to his mining career & hello being a bartender (sorry if anybody works bars!).