to versus business as usual, page-7

Fitfan,

You have stated that: the last thing FML wanted was outside investors getting FML shares on the cheap by buying CRE above the offer value. If FML value had risen too high,FML would have had to withdraw from the TO or risk visibly passing shareholder value from FML to CRE holders.

If the issue is just one of price arbitrage, as I think it is, then the first part of your statement makes sense because if outsiders were willing to pay for the shares in Crescent above the offer price, it would have been because in their opinion FML was getting a real bargain. However arbitraging would had removed any advantage from attempting to buy shares in FML via Cres.

However I have to be in disagreement with you in relation to the second part of your statement, namely that if FML value had risen too high,FML would have had to withdraw from the TO or risk visibly passing shareholder value from FML to CRE holders.

Again from a perspective of price arbitrage if the price of FML had risen relatively to that of Cescent than it would have been because FML had gotten a real bargain, a fact that begs the question: why would that imply a transfer of value from FML to CRES and not a transfer of value from Cres to FML? Unless we are not talking about the same thing, I cannot be in agreement with you on this one.