Ann: RRL: Response to Media Speculation, page-12

Well I’be been lucky enough to have jumped on two that are subjects of take-overs. Problem is the prices being offered don’t reflect what the projects are worth to shareholders in the long run. The M&A activity is extremely predatory because the market at this end of town is so weak. There have been hardly any investors seeing the value and putting their money up so the large companies backed by production and better investor sentiment are having a field day. We will have to see how much fight some of these smaller companies have got in them to stay independent or at least get better prices for their assets. If you think of all the work that is done to identify the ground, making the discovery, working that discovery up to a resource and then a mine plan/feasibilty, these offers are real insults IMO. With offers like this, the risk reward of investing in these plays is not good enough so people will stop investing in greenfield exploration all together if these bigger companies don’t stop being so stingy. The industry is now shooting itself in the foot IMO. Esh