Vlada,

Hi! I'm still on vacation till April, have left Mexico and now in South Beach Miami.

KRY have advised us already that they have sufficient funds to last through to late 2009. Therefore they will not run out of money during the remaining Treaty process unless they are forced to liquidate to pay off the unsecured note holders. (I don't see that happening soon given their legal recourse/appeal process etc)

Should Vz refuse to participate in the Treaty process then KRY gives up on Vz, sells the equipment, works out a deal to pay-offf the note holders, and is forced to break the MOC as a result of the CVG's inability to obtain the permit and takes their case to ICSID.

The question becomes - will it go as far as an ICSID arbitration? I don't think so!

Teutracker