Unlike GRZ I would not expect KRY to make any further public comments or any conference calls related to this arbitration filing. KRY's history tells us Richard Marshall will give us hints of the company's mindset but nothing from Fung the wizard behind the curtain.

History also tells me not to expect an early settlement from Ven. Arbitration doesn't scare Hugo. Never did. Never will. Chavez isn't worried about arbitration from KRY. KRY is just another in a long list of companies that got screwed by Hugo and are now going to court with little expectation that Chavez will actually pay anything near the amount demanded. And he clearly isn't worried about pissing off the Chinese either, at least not related to a little thing like LC. Arms and oil bonds Ven and China. Not gold.

I asked RM today if he felt this arb filing triggered the bond holders seeking an early payment because KRY had lost control of LC. He said the company is not aware that this filing triggered an early payment.

I asked him if the Chinese have dropped out yet. He said: no.

I asked about debt and arb funding and he said KRY plans to continue to pay the debt and will seeking other investors to pay off the bondholders and pay for arbitration in the years to come.

But nothing official yet on funding.

History tells us the stock probably won't move until debt payment is resolved and arbitration is funded. KRY is a long running joke to the stock market except no one is laughing. I wouldn't expect that to change anytime soon.

So...looking back on history here I am again. I got into this nightmare as a legal play in the late 90's and now it's a legal play again. Too weird to be believed.

Last Fall I recommended everyone get to the stores early to buy a calendar for 2011 because I knew in my little historical heart that Chavez held a grudge against KRY and was never going to grant the permit to a KRY/CRRC JV. I got knocked pretty hard for that comment so I guess I'll get knocked again by saying I think it will be YEARS before this stock gets above a buck, if it even gets that far.

As always I hope I'm wrong, but so far, I haven't been.

And speaking of wrong: "KRY will not need to file. If hope were gone, they'd have done it a long time ago."

What does your KRYstal ball tell you now OptionsGal?

Cividale