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Gold/Mining/Energy : Royal Oak-RYO -- Ignore unavailable to you. Want to Upgrade?

To: scott who wrote (1199)	8/17/1998 10:32:00 AM
From: Vieserre	Respond to of 1706

Scott, a good point. Taking a look at the "working capital" in the latest report is certainly scary at best. Although it could be argued that the present financial position of the company is due to imprudent management - still one must give credit to it being able to bring Kemess on line in view of its financial condition, present gold market and apparent negative sentiment toward the company by the trade and in the market. I believe its hope is that the gold market will rally sufficiently by the end of the year to enable it get off some hedges to protect cash flow and provide greater flexibility for debt restructuring, assuming Kemess produces as contemplated. How it can restructure debt in view of current senior lien holders, and without further shareholder dilution, is a mystery that I look forward to seeing the ending of. Vieserre