12-9-08
CMKM Diamonds, Inc. has on many occasions addressed the ongoing problem of misinformation being spread to shareholders through internet message boards and chatrooms. While we have attempted to keep shareholders updated as to the Company's progress on a regular basis, there is still a great deal of misinformation on the boards. This needs to stop! It serves no positive purpose whatsoever, and in fact can be distracting and even detrimental to Company efforts to move forward.

Our Corporate Counsel Bill Frizzell emailed this response to one such rumor. He both addresses the misinformation and gives shareholders a general update of our recent and upcoming efforts. I am posting it here with his permission:

I took a call from a shareholder who calls himself Scott Grimes last week. He said he had not talked to me in several months and he thought he would just check in. Scott told me that he knew we had 1,400,000 acres of diamond claims or something to that effect. I reminded him that most of the acreage had lapsed and we no longer had 1,400,000 acres of claims. This is a pretty well known fact. I told him that there were a small number of claims still being held by Entourage and that it only took one claim to have a diamond claim with some value. I absolutely never said that these claims would make anybody rich. I have never told any shareholder that these claims or this stock will ever make anyone rich. I do not comment about stock values or ROI or how much someone will make off of their ownership of CMKM stock. If Scott Grimes or anyone else states that I have said the shareholders of CMKM will be rich, they are telling an absolute lie. I told Scott these next couple of weeks will be very interesting and I am excited about a lot of things going on in CMKM. I did not say 'something big was going to happen in the next two weeks'.

We have many things going on in our lawsuits that will be tremendously beneficial to the company. I have many things to do in our lawsuits before the year end. I was not specific as to what I was referring to. I am very excited about the success of our lawsuits and I look forward to continuing the work we have begun. I regret there are some shareholders who are continuously being misled by the rumors and lies that are spread by fellow shareholders. I am fully aware of my obligations to keep company business confidential. Though I did not discuss any matter of a confidential nature, these innocent remarks to a shareholder clearly caused more harm than the good that was intended by speaking in such an open manner. I will avoid this situation in the future.

Bill Frizzell

Again, we fully intend to share information with our shareholder base as it becomes available. However, the spreading of unsubstantiated rumors or misinformation is counterproductive and irresponsible. It is in the shareholders' best interest to ignore these individuals and instead look for real information from our numerous updates.

Thank you,
Mark Faulk, CEO