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Re: Sidewinder post# 82404

Thursday, 11/30/2006 6:00:23 PM

Thursday, November 30, 2006 6:00:23 PM

Post# of 361392
It is a little complicated but here goes;

Each JDZ block % owned by ERHC Energy is already in a separate corporation owned 100% by ERHC. If we were to sell block 2 we could exchange stock with the buyer, x amount of buyer stock for 100% ERHC block 2 corp. and immediately dividend out all that stock to the ERHC Corp. shareholders. The ERHC shareholders would still own their ERHC shares plus have as a dividend x shares of the buyer. With a little tax magic the dividend is tax free.
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