thoughts on todays ann

My comments on some matters that I particularly noticed in this Chairman's Message:

1. They have already received detailed legal analysis of the issues involved in restructuring into 3 separate companies. They state that "additional analysis of some significant issues is required, including taxation as it affects the company and individual shareholders. Any equity restructure must be to the maximum benefit of all shareholders of record".

This is good news. It MAY imply they are thinking of compliance listings and in-specie share distributions for there to be tax issues to consider for shareholders. Others may know more and wish to comment on what we can take this clause to mean in the context of tax issues arising from restructuring. This was also an issue for ARU to work through with its compliance listing of NUP. It is good that MAXIMISATION OF SHAREHOLDER BENEFIT IS FOREMOST IN THEIR MINDS.

2. They state that they are ALSO EVALUATING ADDITIONAL LISTING VENUES. Three cheers as we know what this means............Toronto and where else? Hong Kong?

3. They are in the process of putting SOME SIGNIFICANT STANDBY FINANCE ($100 MILLION) IN PLACE TO ALLOW US TO TAKE ADVANTAGE OF OPPORTUNITIES AS THEY ARISE. Sounds like they already may have plans afoot to make an acquisition. They mention that base metals and uranium assets do not need to be restricted to Australia.

4. They state that one of the MAIN PURPOSES OF ANNOUNCING OUR INTENTION TO RESTRUCTURE WAS TO ALLOW OPEN DISCUSSION WITH SHAREHOLDERS AND ADVISORS. That is music to my ears - holders must let management know their thoughts on the best way to restructure. IMO that is to de-merge just like ARU did and make a FREE DISTRIBUTION OF SHARES IN THE NEW ENTITIES TO CMR SHAREHOLDERS. Don't forget, CMR have the cash, and we already own the assets - perfect reasons to de-merge and seek compliance listings restricted to existing shareholders only, ie no need for an IPO. Remember, ARU did it and enriched all their shareholders greatly including me. That's why I keep on and on at this; as I have received the benefit of a compliance listing already with ARU, and it makes a big positive difference to your wealth assuming you have a decent parent company stake on the record date.

There is much more; it is a landmark announcement as to the strategic future direction of Compass IMO.