A little bit of Will Purcell's cynism from Stockwatch this morning...

"Frank Smeenk's KWG Resources Inc. (KWG), unchanged at 4.5 cents on 96,000 shares, is planning a 1:50 share exchange. It is not a rollback; no, no, shareholders can merely exchange 50 of their old shares for one new one that comes with 50 votes. "This is just like rolling up your coins to exchange them for bills," says Mr. Smeenk. (Mr. Smeenk, KWG's president for many years, may have experience rolling coins to cover KWG's bills.) He says the move is needed to attract institutional investors, who would prefer to buy a $2.25 share rather than 50 4.5-cent shares. Shareholders can apparently roll back the rollback at any time by reclaiming their old shares: "You can turn them into coins again whenever you like," assures Mr. Smeenk. A bigger worry may be KWG turning shareholders' new "bills" into "coins" on its own accord; the stock traded for $21 in 1996. Mr. Smeenk's company participates in Attawapiskat diamond exploration through Debut Diamonds Inc. (DDI: $0.005) and drills for chromite on other Northern Ontario properties. Mr. Smeenk's biggest plan proposes KWG build a $1-billion railroad to the Ring of Fire chromite district. Should that go ahead, he will need plenty of institutional investors."

GLTA.