My risk management strategy and reasoning is neither meant as advice to buy/sell, nor to dissuade anyone from speculating in this play.

This play has a good story and tremendous potential. Despite whatever facts this play has going for it, for now Market perception seems to have it in limbo. Great Lotto Ticket, if one can wait. Anyway, seems there may be plenty of time to enter/re-enter/cost average.So, at this point in time, it is not working.

However, a lot of other plays are working right now, and have been all the while KRY sp has been falling. Actually, this is not a good week to say that, as everything is pretty much being sold off in a correction (which could turn out to be the Big One with the Sky Falling).

There are numerous things that one looks for in a stock, which is pretty much all about risk management, whether it is for investment or speculation. A non-inclusive list might be: 1. Good Fundamentals... 2. Good Management... 3. Making the Numbers, aka Profit...

First - With the recent filing for arbitration the Fundamentals are now totally out the window. At best, it has become a Lotto Ticket. As a “mining and exploration” company (words no longer found on their web site), there should have been other Countries where KRY had interests, so they were… …wait for it… …wait for it… …Yes, Diversified. Something I have mentioned often (probably too often) that investors here should attain. Companies should be somewhat diversified, too.Especially if they advertise it (uh, exploration…). Being a one-trick pony in a hostile environment has lead to current sp. The rumor about doubling the float to fund arbitration makes this moreso extraordinarily speculative. The rumor of buy-out giving “Hope” is, rather unfortunately, not a solid financial strategy.

Second - Management might, arguably, be the best. But management has consistently, for a very long time, not been forthright or transparent making it somewhat difficult for an investor to make an informed decision. I recall a long while back when I queried as to when Management would give their earnings date announcement (something I considered as normal in a listed NYSE Amex company) and got hammered by many on this board. Now it seems to have gone full-circle. The AGM date is not yet announced. Why? Current status of NYSE Amex delisting not announced. Why? Should KRY be delisted (do not be fooled - this is NOT GOOD for a company and especially sp), Management already apparently has their secretive approach, seen often in the OTC/Pinks, well practiced.

Finally, the Numbers/Profits have not been good for quite a while.However, lack of profit can be ignored here as long as the MOC was intact - which is no longer the case. With arbitration filed this, again, is a Lotto Ticket.

So, as you can guess, I have a minimal KRY position which is a small fractional percentage of my holdings - just enough so that if it ever hits, I am somewhat satisfied. My future trading plan was implemented in February just prior to the MOC going bye-bye, as well as right after MOC loss. The proceeds from my scaling back have been consistently working in other plays and have made up well for KRY losses. When making up losses, the bank is not going to turn away the cash because profits came from another stock.