Replies to post #5073 on Applied Minerals Inc (fka AMNLQ)

[wald]

William T. Jacobson resigned as Chief Executive Officer and Pesident and as a director on June 27, 2008.

On June 30, the Company hired Michael Lyon, 64, as Chief Executive Officer and President for a six month period.

Mr. Lyon brings more than 35 years of experience in finance, operations, law and strategic planning in a variety of businesses (both public and private) including steel manufacturing and coal mining . He is a graduate of Stanford University and Stanford School of Law. In the past five years, he has operated, Always Amazing, a multi-store private retail business and has been a financial and strategic consultant to early-stage companies including Caldera Pharmaceuticals, Inc. (bio-tech), VasSol Inc. (medical diagnostic), Managed Futures Advisors, Inc. (a licensed Futures Broker) and YListing Inc., a web-page developer. He is currently a Principal Advisor to Sucsy, Fisher & Co., a boutique investment banker, and is President of Cirrus Advsors, Inc., a business consulting firm .

[wald]

The charter of the special committee formed by the board of directors on January 11, 2008 has been extended to September 30, 2008.

On May 27, 2008, the Company sold 461,315 shares of Common Stock for $.50 per share to IBS Turnaround Fund, L.P. (a Limited Partnership) and 1,538,685 shares of Common Stock for $.50 per share to IBS Turnaround Fund (QP) (a Limited Partnership). The transactions were exempt from registration under Section 4(2) of the Securities Act of 1933.

The above is from the Atlas Mining Company SEC Form K filed 7/3/2008. It was signed by the new CEO Michael Lyon. I find it a hell of a note that he starts out with an error in his first filing. The sell of the 2,000,000 shares took place on June 27 as reported by Mr. Taft, not on May 27.

[wald]

Mr. Lyon is not a full time CEO. Nor did he become a director, He works out of Chicago. He is president (and presumed owner) of Cirrus Advisors Inc., a business consulting firm. Michael T. Lyon is not exactly hired by Atlas Mining Company. Cirrus will receive $75,000 for Mr. Lyon's services to Atlas and will also receive options to buy 50,000 ALMI shares with an exercise price of 65 cents (a $3,500 investment) over the period of time Mr. Lyon is performing work for Atlas.
Once again it is not easy to understand what is going on. I
suppose Cirrus is an S corporation and therefor the employment contract can be entered into by Lyon with payment directed to his corporation. But is he being paid for one day in June, or is the "June period" one of the months of the contract? Not that that matters, but is he going to be around until the end of the year? More importantly: what exactly does Mr. Taft expect Mr. Lyon to accomplish?