Mike Lindell Media Corp (MLMC)

[Dspetry]

Herbert,
What, in our opinion, does this mean?

In addition, the selling stockholder is obligated to exercise the warrant concurrently with the submission of a conversion notice by the selling stockholder. The warrant is exercisable into 15,000,000 shares of common stock at an exercise price of $1.09 per share. As a result, if Golden Gate elects to convert a portion of the convertible debenture, it must also exercise a pro-rata portion of the warrant at the same time regardless of the fact that the warrant is exercisable at $1.09 per share and our market price as of August 19, 2005 is $.004.

For example, if Golden Gate elects to convert $2,500 of the convertible debenture, this would result in the issuance of
82,591,463 shares of common stock based on our current market price of $0.004. However, Golden Gate will not be entitled to convert the convertible debenture unless it also exercises the a pro rata portion of the warrant. In this situation, Golden Gate will be required to exercise approximately 249,000 warrants at an exercise price of $1.09
resulting in $271,410 in funding for our company