Ann: Scheme of Arrangement and Demerger, page-10

The challenge I have with GBG is I do not have any visibility on how the KML company is performing. Given this scheme being put to us, I have taken the step to purchase the last financial report from ASIC. It costs $40.00 and whilst I have not looked at all of the detail, it is an interesting read:

• The operating profit after tax of the Consolidated Entity for the year ended 31 December 2017 was: $42,256,623
• Duringthe financial year, the average realised China CFR 62% Fe fines spot price was US$71.28/t, an increase of US$12.83/tcompared to US$58.45/t for the 31 December 2016 financial year

I am choosing not to cut and paste slabs of information, but this information is publicly available as longing as you are willing to pay ASIC.

So on first review, it appears at China CFR 62% Fe fines spot price US$71/t, KML is break even.

I will take a deeper look tonight and share my thoughts.