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Message: Re:- Tax implication for flow-thru units - goldhunter11

Agreed, the news is the cash influx and the fact that someone wanted in big, about 7.5 million shares big. No way they could have pried this quantity from us for much less then $2.00, so the premium in this case appears reasonable. Also, I am not sure we should be using top marginal tax rates to calculate a net cost of flow thru. Big money doesn't normally pay big taxes and given markets tax losses are abundant. I still think the buyer got a great deal, that we could have asked for more or acted differently with warrants, but if it was presented as and understood to be a take it or leave it offer, Dave did the right thing taking it.

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