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Gold/Mining/Energy : Corner Bay Silver (BAY.T) -- Ignore unavailable to you. Want to Upgrade?

To: Canuck Dave who wrote (4289)	6/19/2002 9:46:18 PM
From: I_C_Deadpeople	Read Replies (2) \| Respond to of 4409

I was just doing the same math.I would have thought Corner Bay would have backed out of this amended deal.Something smells bad and we are likely to sink tomorrow..

To: Canuck Dave who wrote (4289)	6/20/2002 1:12:09 AM
From: Claude Cormier	Read Replies (1) \| Respond to of 4409

This downward revision is certainly a surprising move. The offer is now worth approximately the net asset value of BAY and eliminates the premium we had. But it may not be that bad. A 5 year tradable warrant to buy PanAmerican Silver at $12 when the stock is $11.50 is worth somewhere between $2-$4. So this part of the deal is worth between $0.40 and $0.80 per share of BAY. The 0.385 is worth $4.45..so the deal is still worth between $4.85 and $5.25. Do not forget that long term warrants always carry a very large premium. At $13.74, my bet is that the warrant will trade near $5 and BAY will be worth $6.25-$6.50. But the previous deal was definitively better.