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Gold/Mining/Energy : Birim Goldfields Inc. (BGI-T) -- Ignore unavailable to you. Want to Upgrade?

To: The Barracuda™ who wrote (320)	10/6/1999 3:05:00 PM
From: ogi	Read Replies (1) \| Respond to of 922

Apparently according to a Reuters story they have negotiated a " standstill " agreement whereby their hedges will not be called immediately to give them more time. All in all it is not great news for Ashanti but I still believe Birim remains in a strong position, although God help us if this leads to more litigation in another mining stock some day!

To: The Barracuda™ who wrote (320)	10/6/1999 3:08:00 PM
From: Brian MacDonald	Read Replies (4) \| Respond to of 922

Big difference between a 'work out' and a 'default on payment'. I think they're a long way from that. Do you have a 'margin account' with your broker? If he calls for a few dollars to cover the 'margin call, do you need to liquidate your house, etc., to pay him? The 'hedge book' doesn't need to be bought out right at this moment. It will disappear over time. And if gold declines a bit, the pressure reduces. I think this was all much ado about nothing. From what I'm hearing, they have a debt - So? If gold recedes to $285, I believe the problem is gone. If gold goes higher, they are covered with calls. If gold stays the same or moves lower, they make the difference between what they can mine it for and the net cost of the hedge. Seems to me that they have all avenues covered - especially with their bankers backing them up. Brian