Well Alto had to dilute equity or dilute assets to raise cash!

The second option was the only one feasible.

For selling their 40% interest in Coldstream they received:

10 million shares priced at 0.12 = 1.2 million C$

Cash 1.3 million C$ over 6 month period

The cash will enable Alto to finance operations expenses etc a bit longer in addition to cash they already have (not a lot).

Foundation resources have according to their web site 48 million shares on a fully diluted basis on Dec 9 2010.

Since then there has been a private placement plus issue of Shares per agreement with Alto.

So the share structure is like this (unless I have missed something!)

As of Dec 2010 48 million fully diluted (per fdn web site)

Private placement 10 million

Warrants 5 million ( to be exercised before Oct 12 2012)

Alto 10 million

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Total 73 million (rounded to to nearest million)

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Note. I believe Alto already have 1 million shares in FDN if so they will have 11 million in total.

So Alto’s share of FDN is just 15%.

A 40% interest in Coldstream has now been reduced to an indirect 15%

FDN also have the San Rafael property in Mexico and of The Mitchell property.

Preliminary work has been done on both these properties.

Well Alto must come out with some news which will move the sp upwards.

A lot now depends on Miner Lake and Destiny, and Oxford Lake further on

On the macro front, exploration stocks are due to start exploding according to this article:

http://www.gold-eagle.com/editorials_08/ackerman110911.html

Alto must also hope FDN get their price up to give a more secure look to the whole situation for Alto through their holding in FDN.

On a long term basis we are entering into a good time for Gold and PM stocks, let’s hope this will be repeated in the next few months.

Alto still have a few “bullets” left!

Good luck to all patient and suffering ATV shareholders!