Dear fellow minority shareholders:

I've been thinking about our options for some time now. Based on what we know at the moment, it is my position that it is not the right time (if ever – depending on what transpires) to consider a class action lawsuit (CAL). It is, of course, not imprudent to collect information on how to proceed in the event that it does become a viable option – if for no other reason: to determine whether the appropriate law firm believes that there is sufficient evidence (ultimately in the Court's view) to represent an acceptable case. I do appreciate that some of the minority shareholder community are looking into this angle. However, I don’t believe it is the resort we should be taking at the present time.

Regarding a CAL: this route would represent a long expensive road – and I suspect that CMM management have sufficiently covered themselves so as it would be nebulous at best to define whether any demonstrated and purposeful wrongdoing has occurred. Furthermore – How do you define losses and/or damages? Would you ever collect? How many years from now before a judgment is decided?

I think that there are other approaches to consider prior to serious consideration of a CAL.

For example: It has previously been mentioned that the best course of action would be to run a slate for a new BOD and call a special meeting. However, this option itself would require a lot of shareholder involvement and commitment to effect and produce the necessary Management Information Circular. It would certainly cost 3-5 hundred thousand at a guess.

However; doing the work for the regulators by feeding them the evidence is still by far the cheapest route to effectively put a hold on the merger. The problem that it causes (of course) is the falling share price that we have been experiencing.

Positive Carry posted the following on Agoracom back on June 3, which I think is the route the CSC is currently taking.

"The following opinion is just my own personal thoughts and musings and have no basis in fact or reality. They are not as a result of any activities I am involved with and are merely observations of a personal nature. They are also not meant to influence any person or persons nor are they intended to solicit proxy:
Any shareholder who has contacted regulatory agencies with a concern regarding this possible arrangement, have mostly recieved the same canned response that their message is appreciated, however they will recieve no further contact or information from the regulator.
That is what I find so interesting……………..the lack of further information! This has angered some of you, in how you view our regulatory agencies!…..fret not! (imo)
If I were to pretend I'm a regulator, and people of substance contact me to inform me of a problem, then I have two choices!…..I can ignore them or I can react to their concerns.
If I ignore them, and it turns out that they are right, then I run the risk of angering the people that hold me and my position to account. People of substance and influence will use their position to make my existence redundant. I will be embarrassed in the press and my tenure would be in question……not good!
If, however, I get involved in the middle of a transaction and my actions appear to subvert the free enterprise system, or worse, scuttle a completly legitimate deal, then I run the risk of making the market I am responsible for monitoring, appear to be less than free!…….also not good.
What do I do???????
Well,…. If I'm a prudent regulator and I have little free time on my hands, then I'll just become the question boy!…..What is a question boy?
It is a person who has influence over a situation and they decide that every "i" will be dotted and every "t" will be crossed to the strictest letter of the law. I will leave no stone unturned and no corner not illuminated! A 4 week deal will magically take 2 years to finally come together. I won't say "no" but you'll probably never get a "yes" out of me either.
Ever try to swallow a string?
you never know when you reach the end……you aren't choking to death……just choking!
Kind of like a big city hotshot trying to buy a farm from a "dumb" farmer and never really figuring out that he got outsmarted.
Sit back…..relax……things will have a way of working themselves out…….I wouldn't be the least surprised if all the bad news doesn't magically become more positive as those pesky "dots" and "crosses" get place over the i's and through the t"s.
Disclaimer: no regulators were embarrassed by the publication of this opinion.
This is only an opinion, and a musing, and has no basis in fact: July is "hug a regulator month" ;-)
carry"

In essence, what I believe pc is suggesting is that Regulators don't want to be embarrassed after something goes wrong if it becomes evident they didn't do their jobs. Convincing them that they will have a problem is the best way to raise scrutiny. While not very glamorous or news worthy it is still the best way to stall the merger and force a better deal.

Even if it looks like the CSC isn't doing anything – some people interpret this silence as the CSC "jumping ship" – which, of course, isn't true. In reality what they are doing is saving everyone MONEY by choosing the most cost effective and (hopefully) results-driven route. I think we have been experiencing ‘merger stall’ because of our CSC. If the CSC had done nothing – the deal would already be done.

Once again, if you or anyone else hasn't already done so – I urge you to put money toward supporting the CSC, rather than denouncing their efforts. Fredericton has posted numerous times – there has been a press release – $1 for every 1000 shares you own. You can't get something for nothing in life.

doc