Hey DC -

Now that the 10K is out, I can finally clearly say what I only alluded to previously when I told everybody repeatedly that they needed to put their thinking caps on and ponder what PQ's main business was and what this meant in terms of what he was "secretly" doing bigtime behind the scenes, all the while we poor, pathetic shareholders were suffering endless insults and abuse from entities who despise PQ and/or SFMI.

He is a real estate guy and he was buying up the land on the mountain.

Like a developer of a new shopping center, he was busy, behind the scenes, buying up control for this company, SFMI. To do this, he had to run in silence. No successes announced. No intelligible PR. Zero. Nothing. Nada. He had to quietly go about his business so that he did not cause the people from whom he had to obtain ownerships of various kinds, to go up exponentially in price.

Duh.

The following is a direct excert from last year's 10K ( http://www.otcmarkets.com/edgar/GetFilingHtml?FilingID=7837890 )

Pages 7 & 8

Owned Land and Claims : We also own the following claims:

Name Type of Claim Acres

Sinker Tunnel #1 Unpatented Tunnel location 20.6
Sinker #1 Unpatented Mill site location 5
Sinker #2 Unpatented Mill site location 5
Sinker #3 Unpatented Mill site location 5
Sinker #4 Unpatented Mill site location 5
The Cumberland Lode Patented Claim 5.927
The Louisiana Lode Patented Claim 5.927


And, so nobody can ever again act like there has been absolutely NOTHING at all going on with SFMI this year, the following is the same section from this years just filed 10K:

http://www.otcmarkets.com/edgar/GetFilingHtml?FilingID=8539985
Again, pages 7 & 8

Owned Land and Claims : We also own the following claims:

Name Ownership Interest Type of Claim Acres

Burka #1 100% Unpatented Lode Claim 18.85
Burka #2 100% Unpatented Lode Claim 14.75
Burka #3 100% Unpatented Lode Claim 12.75
Burka #4 100% Unpatented Lode Claim 20.00
Burka #5 100% Unpatented Lode Claim 4.00
Burka #6 100% Unpatented Lode Claim 14.00
Burka #7 100% Unpatented Lode Claim 9.95
Burka #8 100% Unpatented Lode Claim 19.05
Burka#9 100% Unpatented Lode Claim 18.25
Western Horn #1 100% Unpatented Lode Claim 18.50
estern Horn #2 100% Unpatented Lode Claim 20.00
Western Horn #3 100% Unpatented Lode Claim 19.50
Western Horn #4 100% Unpatented Lode Claim 20.00
Western Horn #5 100% Unpatented Lode Claim 20.00
Western Horn #6 100% Unpatented Lode Claim 20.00
Western Horn #7 100% Unpatented Lode Claim 20.00
Western Horn #8 100% Unpatented Lode Claim 13.50
Western Horn #9 100% Unpatented Lode Claim 20.00
Western Horn #10 100% Unpatented Lode Claim 20.00
Western Horn #11 100% Unpatented Lode Claim 20.00
Western Horn #12 100% Unpatented Lode Claim 20.00
Western Horn #13 100% Unpatented Lode Claim 20.00
Western Horn #14 100% Unpatented Lode Claim 20.00
Diamond Creek #1 100% Unpatented Lode Claim 20.00
Diamond Creek #2 100% Unpatented Lode Claim 20.00
Diamond Creek #3 100% Unpatented Lode Claim 20.00
Diamond Creek #4 100% Unpatented Lode Claim 20.00
Diamond Creek #5 100% Unpatented Lode Claim 20.00
Diamond Creek #6 100% Unpatented Lode Claim 20.00
Diamond Creek #8 100% Unpatented Lode Claim 9.85
Diamond Creek #9 100% Unpatented Lode Claim 7.25
Diamond Creek #10 100% Unpatented Lode Claim 19.75
Diamond Creek #11 100% Unpatented Lode Claim 17.00
Diamond Creek #12 100% Unpatented Lode Claim 13.00
Diamond Creek #13 100% Unpatented Lode Claim 14.75
Diamond Creek #14 100% Unpatented Lode Claim 2.50
Diamond Creek #15 100% Unpatented Lode Claim 6.50
Diamond Creek #16 100% Unpatented Lode Claim 5.25
Diamond Creek #17 100% Unpatented Lode Claim 2.00
Diamond Creek #18 100% Unpatented Lode Claim 2.85
Diamond Creek #19 100% Unpatented Lode Claim 6.85
Diamond Creek #22 100% Unpatented Lode Claim 8.00
Diamond Creek #24 100% Unpatented Lode Claim 17.25
Diamond Creek #25 100% Unpatented Lode Claim 18.65
Diamond Creek #26 100% Unpatented Lode Claim 17.50
Diamond Creek #27 100% Unpatented Lode Claim 5.50
Diamond Creek #28 100% Unpatented Lode Claim 4.75
Diamond Creek #29 100% Unpatented Lode Claim 7.25
Diamond Creek #30 100% Unpatented Lode Claim 20.00
Diamond Creek #31 100% Unpatented Lode Claim 16.85
Diamond Creek #32 100% Unpatented Lode Claim 20.00
Diamond Creek #33 100% Unpatented Lode Claim 20.00
Diamond Creek #34 100% Unpatented Lode Claim 20.00
Diamond Creek #35 100% Unpatented Lode Claim 16.00
Diamond Creek #36 100% Unpatented Lode Claim 17.00
Diamond Creek #37 100% Unpatented Lode Claim 20.00
Sinker #1 100% Mill Site Claim 5.00
Sinker #2 100% Mill Site Claim 5.00
Sinker #3 100% Mill Site Claim 5.00
Sinker #4 100% Mill Site Claim 5.00
Sinker Tunnel 100% Tunnel Site Claim 207.00
Cumberland 100% Patented Lode Claim 5.93
Louisiana 100% Patented Lode Claim 14.00

I tried and tried and tried and tried and tried and tried and tried and tried and tried and treid and tried......

:o)

Anyway, ask yourselves what kind of thing posed the biggest threat to SFMI if they sent up a flare during any time in the last year, saying to all the world:[quote] "Hey world.... look at us!!! Look at the bonanza grade geniuses we actually are in having thought toi build a low cost mill to try to pull money out of old rock piles so that the costs of building out an actual mining operation in the high deserts of Idaho are affordable. long run!!"[/quote]What would have happened, people, if they had not gained contriol on the mountain, and they had gone forward with announcing their successes so that the whole world knew what a fabulous thing this endevour was?

What if all the long lost descendants of the old great grand-daddy's cousin George who left some kind of paper in an old will.......

[color=red]Does anyone in their right mind actually postulate that a 1000 hair-brained trailer home trash bumpkins from "Marry-Your-Cousin City, USA" would not have instantly appeared and made themselves at home at every shareholder's expense??????[/color]

Really?????

[color=blue]What kind of idiot company finds a mountain of gold and silver, but fails to control the actual ownership of claims, surface rights, and mineral rights?[/color]

PQ, you see, is a real estate guy.

Get it?

OK... diss away.... insult people who have figured this all out and see the value of it.... Whatever, LOL.

Its called "INDIRECTION", people.

Its cunning.

Its clever.

Its smart.

It requires that you sacrifice immediate gratification...

...you eschew instant gratification in exchange for fabulously valuable long term gains!!!

[color=green]PQ is a real estate guy who comprehended that he needed to run silent and use indirection so that SFMI shareholders got the maximum bang out of their buck as he ran around, employing an army of creepy consultants and lawyers, and accumulated ownership rights, without sending up flares and alerting the people from whom he needed to obtain them.[/color]

Duh!!!!!

INDIRECTION!!!!

PQ, a real estate guy, grasped that he absolutely, positively couln NEVER trumpet his successes until the absolute necessity of SEC deadlines forced him to do so.

Has it occurred to anyone that, by announcing in the 10K, he bought an extra few days of silent running?

Get it, people? He was even smart in his schedule of filings usage. And his schedule of meetings to coincide therewith.[quote]He needed to run silent for as long as he could so that those people from whom he has to buy to gain control do not go up massively in price on him.[/quote][color=red]He's a REAL ESTATE guy and the problem he has been solving is that he has systematically been doing what helps shareholders, in a fundamental way, by attempting to gain as much control over War Eagle Mountain as he possibly could, at the lowest possible price.[/color]

And to do this, he had to figure out how to avoid announcing the actual state of tremendous success he is sitting atop.

Had he sent up flares and thumped his chest and run around celebrating the genius of his having built a mill to crunch up the old rock piles and pull precious metals out of them without having to get 43-101's done and tell the world to raise property prices on the mountain.....

....SFMI absolutely could not send out all the PRs that all the knee-JERK SFMI haters rammed down our throats we needed to get on a weekly basis.

[color=purple]Whats more valuable.... bragging or buying at low prices so that you actually own what you need to own to control the future of the mining operation?[/color]

Figure it out people.... which is smarter, in the long run?

I'll say it again....

[color=red]BECAUSE WE DID NOT CONTROL THE MOUNTAIN....[/color] [color=blue]BECAUSE PQ, A REAL ESTATE GUY, UNDERSTOOD THAT HE BETTER NOT DANCE AND SING AND REJOICE AND PRANCE AROUND OR WE WOULD HAVE HAD TO PAY 100 TIMES THE PRICE FOR THE HUGE LAND POSITION HE NEEDED TO BUY,[/color] [color=green]HE HAD NO CHOICE BUT TO ZIP HIS LIPS, APPEAR TO SLATHER IN HIS BEARD (METAPHIC BEARD, THAT IS), AND GET ON APACE, USING EXPENSIVE LAWYERS AND CONSULTANTS AND INDIAN CHIEFS, [/color][color=red]SO THAT HE ENDED UP WITH AS MUCH TERRITORY UNDER HIS CONTROL, AT AS LOW A COST HE COULD....!!![/color]

And the proof is in the friggin' pudding, people. Just compare the huge position on the mountain we now control to where we were just a year ago.

Scream and yell and hoot and holler till your face turns purple in rage over all the consultants and lawyers and suchlike he had on the payroll....

But before you have a stroke, compare this year to last year.

Compare it to last year.... Or the year before.

And actually think for once, people.... How bad would it be if we declared all our triumphs but ended up with huge expenses involved in buying the position we have no gotten for far less?

[color=blue]OR WORSE YET, WHAT IF THE CHEST THUMPING HAD CAUSED US TO NEVER GET CONTROL OF ALL THE PROPERTY WE NOW CONTROL....[/color] and we ended up with dolts from "I Marry My Sister, USA" coming out of the woodwork and declaring themselves to be permanant blood suckers of the profits of the company?

Isn't it thus obvious to people why we never got clear PRs?

Really?

REALLY?????

It is to me.

I figured it out LONG ago.

I hate to tell all the SFMI haters this truth but you guys are about to get your heads handed to you.

This company will now drill.

It will easily show fantastic drill hole results.

The smart guys who are on board, with first crack at future financings, will get very rich.

So will people like me, who put our thinking caps on and figured out what was happening. I was given a brain by God Almighty, and He gave it to me so I could do something with it beyond using it as a hat rack

Well done, PQ.

Nicely executed plan, man.[quote][color=red]There is real value here and we now have a very substantial land position on the mountain so that bumpkins in smashed up Chevy vans don't waltze in at our expense. I can see it now: Hi there cuzzin Pierre.... I'm Jimmie Jack Ricky Randy.... thanx for making me rich!![/color][/quote]Nicely played, PQ.

Nicely played indeed.

:o)

Imperial Whazoo