Replies to post #18077 on Pilgrim Petroleum Corp. (PGPM)

[awesomebummer]

Huh?


"ACLY Settlement."

Matt: "I have been informed that ACLY must settle its obligation to PGPM in order to complete an ACLY audit and to secure an ACLY underwriter for the Kumskaya Neft acquisiton."

Good, only this leverage is helping us. ACLY must, repeat MUST, provide adequate compensation for its existing obligations to PGPM, or go pound salt.

Matt: "Please understand that there are severe tax implications to PGPM with the settlement of ACLY's financial obligations to the company."

Why? We don't have any significant current revenue. Can't pay tax without an income stream! Hey, you don't have to accept a one-time distribution. And remember, the leases MUST be made whole by ACLY, before we can get them back, according to what you have said.

Matt: "The only non-taxable event to PGPM would be the acquisition of shares of ACLY that are then distributed as a dividend to PGPM shareholders."

And?

Matt: "My preference is to accept a combination of cash and stock; however, ACLY at this time lacks the funds to provide cash to PGPM due to funding being needed to finalize the Kumskaya Neft acquisition."

Please! ACLY will be paying out $50,000 to $100,000 or more up-front for the kind of accounting work they've just contracted for, just to bring their financials up to date. Add in other contract costs, meetings, travel, etc. and ACLY is currently shelling out hundreds of thousands. But they have ZERO money for us? Please stop with the insults.

Matt: "This solution could ultimately result in continued cashflow problems for PGPM."

Please! Say to ACLY, "make whole the condition of the leases and return these properties - NOW - or forget your Russian deal." Found some funds for the accounting costs didn't they, don't let them "play poor."

Matt: "I am awaiting formal documentation as to the ACLY conversion rate with interest and the tax implications associated with the settlement."

What in hell does this mean?

Matt: "Please understand that it is my duty as an officer and shareholder of PGPM to negotiate the best financial outcome for PGPM and its shareholders."

Good, that's what we shareholders have been writing about for months. Newsflash! So do the all the directors of PGPM, including those bunnies having dual hats, who let our leases/properties deteriorate. Does "self-dealing" mean anything to any of these folks?