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DesertSon

01/25/07 4:10 PM

#3301 RE: snow #3300

They are not paying it to a third party. The debt is owed to SEIH, the parent company, from the 51% owned subsidiary. I'm not an accounting expert, so I could be wrong, but I think that is counted as an expense for Sino and revenue for SEIH. Thus 49% of the amount is net cash going in SEIH's pocket. Any way you look at it, it's positive cash flow.