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Elcappy1

05/28/20 4:31 PM

#40291 RE: bdvest #40287

Value Proposition for doing this

A final note from Mr. Michael Kovacocy, special advisor on strategic and capital restructuring. He says, As Daniel has explained, we have come to an important point where management activities, focus and capital have to be clearly allocated to where shareholder value will be best served. It has become increasingly apparent over the last several weeks that a number of key operational initiatives are being held back due to management’s continued efforts to draw to a successful conclusion its legacy litigation claims and by the continued efforts to address and optimize the capital structure of BRK Inc. The creation of two separate entities will allow that important litigation and collection activity to continue unabated with all facets of the previously announced strategy - share buyback in particular - proceeding unabated. During the course of 2020, we anticipate having a cleaned-up capital structure reflecting 700M to 300M outstanding share count, aiming for the bottom of this range, in the current BRK Inc. Against this new capital structure, we anticipate having collected material sums of the original $2.5m judgement in 2020. As for the newly formed operations entity, we expect to have a capital structure of between 50m to 150m shares. We anticipate that a share dividend of a ratio of 40:1 will provide shares in new operations entity for holders of record of BRK. Furthermore, we anticipate offering rights to current BRK shareholders to purchase additional discounted shares above and beyond their pro rata share dividend. We believe that our plans put current BRK shareholders in the best position possible to benefit from a tremendous 2020 where we can finally turn the corner and deliver value for our loyal shareholders. Thank you for your confidence and patience.