Firstgold Corp (fka FGOCQ)

[TOUCAN]

Complete DD why to Buy:

1. Assets: $105M
2. NOLs: $40M - $50M
3. Big Attorney Mr. Miller
4. Attorney's Client List
5. Relief Canyon: http://reliefcanyon.com/Home_Page.html
6. Gold is going to $4000oz?
7. 196,770,012 O/S
8. Insiders cannot sell during BK
9. Anything in between
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$105M in assets / $32M in Liabilities:

$73,081,472 (total equity) div 196,770,012 O/S = .3714

Read Pages: 14 & 15
also the value of the NOLS are $40M-$50M

http://www.sidedraught.com/stocks/FGOCQ/04202010%20Hearing/Transcript-%5BCourtesy%20Iggles2009%5D-Reno_Firstgold%20Corp_042010.pdf

what does this mean?

The loss carryover has a direct effect on market value by sheltering future income from tax, and a direct effect on book value due to the recognition of a deferred tax asset.

Basically a legal way to offset income on past Loss carryover!

http://www.accessmylibrary.com/article-1G1-113231551/valuation-firm-tax-loss.html
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Net Operating Loss

http://www.ibfd.org/portal/pdf/Excerpt_MergersandAcquisitions.pdf

4.1.1.3. Preservation of tax losses

All of the tax attributes of the merged corporation, including net operating losses (NOLs), transfer to the surviving corporation in a tax-free merger (Sec. 381).

Subject to the limitations discussed below, the surviving corporation in a statutory merger or consolidation of corporations may carry forward the {NOLs} of the absorbed companies to reduce its taxable income in the 20 subsequent tax years from the tax year in which the loss was incurred (Sec. 172). NOLs may be carried back 2 years.

Sec. 382, however, limits the use of NOL carry-forward losses, and certain other tax attributes by the surviving corporation. If the pre-transaction shareholders of the loss corporation do not own at least 50% of the fully diluted equity (other than non-voting, non-participating preferred stock) of the surviving entity as applied under the rules of Sec. 382, the use of the NOLs by the surviving corporation are limited to the fair market value of the merged entity immediately before the transaction multiplied by the highest long-term tax-exempt bond rate applicable for any of the 3 months before the transaction.
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Assets:

March 2010 (MOR):

http://www.scribd.com/doc/30832353/FGOCQ-March-2010-Mor



Liabilities:

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Attorney Edmond "Buddy" Miller:

Order Approving Debtors Application for Order Authorizing and Approving The Employment and Retention of LAW OFFICE OF EDMOND BUDDY MILLER As Special Bankruptcy Counsel, Effective July 20, 2010.

http://buddymillerlaw.com/



http://buddymillerlaw.com/attorneyprofile.html



Big Client List:
http://www.lawyers.com/Nevada/Reno/Edmond--Buddy--Miller-3246889-f.html


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Attorney Mr. Miller Big Client List:
http://www.lawyers.com/Nevada/Reno/Edmond--Buddy--Miller-3246889-f.html