Replies to post #38432 on Xun Energy, Inc. (fka XNRG)

[Cassandra]

There is no "agreed upon" safety net price for the settlement shares issued to ECVI.

XNRG has the "option" to set a safety net price each trading day, but that price can't be "unreasonable." Obviously any price that exceeds $.0001 (the highest share price over the last several months) would be unreasonable. Given the no-bid status and lack of demand for the stock,

The following is taken from the court-approved stipulation:

Page six: "Clause 4: 4. Safety Net Price.

Defendant, at its option, will provide a Daily Safety Net Price one (1) hour before the beginning of each trading day to Plaintiff, which Daily Safety Net Price shall not be unreasonable. Defendant will notify Plaintiff of the Daily Safety Net Price in writing by email to Plaintiff or Plaintiff's appointed representative. Plaintiff agrees not to sell any of the Settlement Shares if the market price (“Ask”) falls below the Daily Safety Net Price during any time of trading during the trading day that the Daily Safety Net Price applies to. Should Defendant fail to provide a Daily Safety Net Price before the beginning of trading for the trading day, then the prior Safety Net Price will prevail."

http://civilinquiry.jud.ct.gov/DocumentInquiry/DocumentInquiry.aspx?DocumentNo=8154974