Replies to post #100729 on KAT Exploration Inc (KATX)

[virtualfrank]

Your argument might have more merit if you called it Katx instead of KTAX.

[palacian]

wrong, the value of katg has been removed from katx.
.24 to .08 very telling of seperation of the properties.
the only varible left is value of katg after distrib.

[BigOwl47]

Your premise is that investors are ignoring the sale of Handcamp now with regard to KATX value. That is not the case. Investors took it into account.

So, the value of the KATX shares DOES already reflect the loss of the Handcamp Property, whether you like it or not.

Note the loss of share price in KATX since July 16th. Or even May 28, 2010 when the deal was struck.

May 28,2010 = .24 share price the day the Deal was inked.

June 4, 2010 = .19 the day the 8-K was filed

July 16, 2010 = .18 per share the "Record Date" for BVIG share distro.

October 8, 2010 = .079 per share. Last Friday.

That is a reduction in the share price of about two thirds of the KATX share price value.

How the market values BVIG as a result of the purchase of Handcamp is yet to be determined. But that is all involving BVIG share price, not KATX share price. The reduction in share price of KATX has already ocurred because people already know about it.

It is you who are wrong in your basic premise and your thought process on the reduction of value of KATX shares. The additional reduction you are predicting will not happen AGAIN.

[hoopsville]

Nope. You're the one who is wrong. When BVIG received the Handcamp properties, KATX assests were diminished by loss of those particular gold properties. However a number of posters here failed to acknowledge that fact arguing that somehow Handcamp still had much value to KATX even if it was just in its ability to be a future source of funds for BVIG (probably also wrong). Since these people said that the value of KATX hadn't been impaired, the price of KATX didn't make a step drop but declined slowly as the realization gradually sunk in that Handcamp was gone. It is apparently still in the process of finding a base to spring up from when the drilling of Rusty Ridge commences.

The true value to KATX stockholders who are also in line to receive the BVIG shares lies in a formula of KATX plus one-fourth BVIG which apparently is now about 20 cents a share.. Unfortunately the company messed up so badly in not getting BVIG trading on the market that the market price of a new share of BVIG is really unknown. Management should get the BVIG shares issued at once so that normal trading can begin. If the securities authorities aren't going to approve this plan, then management must come up with an acceptable new plan.