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Gold/Mining/Energy : Diamonds in Alberta, Ashton, Pure Gold, Montello, New Cla -- Ignore unavailable to you. Want to Upgrade?

To: Bruce Lock who wrote (432)	2/4/1998 10:41:00 PM
From: Jesse	Read Replies (2) \| Respond to of 822

Bruce, can you better explain these figures to me from today's VIP release? : 3.3mil units plus a 495,000 greenshoe option equals 3,795,000 units to raise $1,518,000. I calculate this out to $0.40 per share, compared with today's close of $0.29. How can this be? ... Unless I'm missing something, here's one take: It seems that in effect, since an EOP will take 60 to 90 days to complete, VIP has given Yorkton a free 90 day option on about 7.5 million shares of stock (including the 15% broker warrant & 3.3mil unit warrants) for no consideration at all. Also, there is most likely a no penalty "market out" clause which allows Yorkton to walk away from the deal if the stock is not over $0.40 when the EOP is finalized. -- I'm assuming VIP will get some market support in the meantime from Yorkton. ___ Do you (or anyone) know, first, if today's published figures are correct, and, second, if this is a misinterpretation of the deal? TIA, j :>