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Gold/Mining/Energy : Northern Abitibi Mining (NAI-ASE) -- Ignore unavailable to you. Want to Upgrade?

To: Ed Pakstas who wrote (299)	2/26/1998 6:18:00 PM
From: VAUGHN	Read Replies (1) \| Respond to of 773

Hello Ed, Wayn, et all. On this financing with Golden Rule. Two points that are key in my mind. 1. NAI needs some $$ now to cover their obligations to DML for 1998 right? So is it in the shareholders best interest to have an insider and company management effectively dilute the stock now and give themselves a pay day in 1999 when NAI only needs a modest amount in 1998. This warrant can be exercised two years from now and only puts $$ in NAI's coffers then. In the mean time, NAI is effectively diluted vise a vie mine and your % of the company in return for what? If NAI needs $1.5 mil now to meet 1998 obligations then do what was suggested in an earlier post, go to the market with an underwriting or better still, bring in a "reputable" backer like Altimira to bring some legitimacy to offset Harper's and GR's rep. Why dilute the stock now for $$ to be received in 1999 probably at an incredible discount to what NAI will be trading for then? If you need $$ in 1999, then go to the market then. IF NAI is trading at $12 or $40 in 1999, the company would not have to issue anywhere near the same number of shares. It is obvious management does not represent ALL shareholders without prejudice. This proposal is theft, pure and simple! We should put the word out to vote NO! 2. Harper also wants Cart Blanch to repeat this procedure in the future without having to come back to shareholders to ask permission. This ostensibly to save $$. Again what a pile of crap. Who the hell does this guy think he is? Who ever is going to the AGM, gather up all our proxies and vote against this theft. In fact, kick this guy out on his butt and put is some management that will represent all our interests fairly. I hope the FP will do a follow up article on this nonsense. Regards