Ann: Appendix 3B-KBL.AX, page-15

I am still awaiting a formal response from KBL officially. I still believe the price (.1c) is incorrect. I note the following:
1) I agree with Kingston67, that the 80% formula applied once the VWAP fell to .006. All issues under the notes should have been then at .0048 (.006 by 80%) and so on. Not then rounded down again to, here .004 ! etc...this is what the error on KBL's side is...no wonder all noteholders jumped to benefit from this error....
The intention is to give a discount of some 15-20%...not more then the 67% as happened, at least yesterday.
2) The intention, wording and approval on 28/7/16 was not for double dipping once the VWAP fell to .006!
3) Double dipping is what could happened with yesterdays issue! I am still awaiting the date the conversion was requested / the dates used / the VWAP used from KBL
4) Only 2 notes of $10,000 (total $20,000) is outstanding and if they are converted it will be well below yesterdays issue. I do not see much more dilution.
I have suggested KBL refrain from any more conversion untill their lawyers look into the matter and resolve it.