I think our shareholder rights agreement requires a vote but considering they would likely be in contact with the large shareholders before engaging in such a deal the vote would likely be a formaility. At this point I'd be tempted to take a $1 deal, but I still believe that filing for arbitration WITH financing to see us through would get us to $1 anyway with a potentially greater payout if you are patient. Given this I think Fung would prefer arbitration over a deal at $1 since I think he sees a greater value in settlement that does not involve arbitration.

I must ask the question again....given all the negative news and comments about KRY and VZ plans to take over LC and give it to the Russians....why have they not done so if they do not think we had a case in arbitration? No, IMHO they know it would cost them more and their plan has been to delay and hope we go bankrupt. With the noteholder issue behind us we probably have at least six months that we can survive so the question is whether VZ is willing to wait this out.

I suspect, KRY will wait until the end of Q1 and then file if nothing gets resolved. We could then sell equipment and survive long enough to create a case/plan that might entice someone to pick up the financing.