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Gold/Mining/Energy : Winspear Resources -- Ignore unavailable to you. Want to Upgrade?

To: Lilian Debray who wrote (16217)	3/20/1999 4:58:00 PM
From: stanley new	Respond to of 26850

the new company will have a total of only 1/8th the number of shares as Winspear. If Winspear has 32 million shares, then the new co. will have only 4 million shares. If you now own 3200 shares of Winspear, then you will have 400 shares of the new company, the same % as you hold in Winspear. The % of ownership for each stockholder will be identical in each co. I think one reason they want a smaller no. of shares of the newco. is to prevent the stock price from being too low.

To: Lilian Debray who wrote (16217)	3/20/1999 4:58:00 PM
From: Gord Bolton	Read Replies (1) \| Respond to of 26850

Lilian, suppose that you and I are the only owners of Winspear. You have 50% of 160 shares as do I. We decide to split the company into two separate companies. We will both own our orignial 80 shares of Winspear Sr. and now we will both own 10 shares of Winspear Jr. There is no unfairness to "present" Winspear shareholders. On Monday morning you may buy or sell WSP. If you are in on the day of the split you will have the same % of all potential as you did before. Keep asking questions though, I might find the right way to explain it.