Replies to post #37530 on Bemax Inc (BMXC)

[I-Glow]

That is the amount of the loans ($541,958) - that doesn't include the interest - the premiums for defaulting on the loans etc.

Read the promissory notes to see the event of default.

The default interest rate is 18%.

Bemax has one business day to respond to a notice of conversion and 2 days to provide the shares for the conversion. Also, the conversion price discount will be increased by 5%. This isn't taken into account the default amount owed JSJ the cash settlement is fluid as each day that passes the number increases.

JSJ did indeed notify Bemax of the conversion.

You do understand in the Exhibits such as the Promissory Note - they include the Notice to Convert - they are left blank because they are part of the contract as to what would be used to notify Bemax about the conversion.

The conversion Form is Exhibit 1.

I don't see a Exhibit 41;

There is no notice of JSJ converting the shares. Those conversion forms were left blank. As exibit 41 shows.

This part of the 8-K is ridiculous:

the Company seeks to restructure the Notes which JSJ refused to accept with primary intention to continue to dump the shares of Company in to the market.

Bemax made the deal with JSJ - they understood that JSJ would convert and dump the shares just as they have be doing for well over a year.

Bemax won't fight the lawsuit - they will either settle or JSJ will obtain a default judgement.

Bemax is preparing for a settlement as can be seen by the 8-K where the company states that they created the Series A Preferred shares that aren't effected by a reverse split and convert to 150 million common shares.

Let's look at the math and use $600k - for JSJ to receive the money owed by Bemax. The price would need to be $0.004 but the price at this time is 0.0006 so Bemax would need to do a reverse split - the minimum would be a 1:10 reverse split - but JSJ understands that the price would last but a cup of coffee so it will be more significant.

Bemax shareholders are going to have a tough time.

IG