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The International Forecaster - excerpt

By Bob Chapman       
January 20, 2003

 

GOLD, SILVER, PLATINUM, PALLADIUM AND DIAMONDS

RENAISSANCE MINING CORP.

SYMBOL: SSSI – OTCBB

Current Price US$10.00

It happens very rarely in a mining analyst’s career that a company surfaces that is truly the "Dream Team" of the mining industry. Renaissance Mining Corp is that company and I am recommending Renaissance as my top pick for the year 2003. We have analyzed countless mining companies over my extensive career as an independent mining analyst and we have never felt so strongly about the future of a single company. Renaissance is now available to be purchased by the global investment community and we expect to see an immediate rise in the share price of this company as investors wakeup to the enormous potential in their holdings.

The company has just announced today that they are being acquired as a wholly owned subsidiary by Sedona Software Systems (SSSI – OTCBB). We expect to see Renaissance graduate from the OTCBB to a major exchange within the next 2 quarters and subsequently attract a major financing from a top tier institution. They’ll be knocking on Renaissance’s door. They always do. Renaissance also announced that as part of the proposed transaction LOM Capital Limited is facilitating a $5 million private placement at $3/share.

Simple analysis of recent history would reveal that Greenstone Resources was a $1billion market capitalized company in 1996 when gold was trading at roughly $360-$375. Renaissance has acquired the marquee assets that were the backbone of the Greenstone production portfolio and other economic deposits that Greenstone did not own. Further analysis would reveal that Greenstone had over $100 million in debt on their books. Renaissance Mining Corp has none. Pound for Pound gold is trading in roughly the same price range and we believe it is going much higher. So if you take a previous market cap of approximately $1billion and divide it by approximately 16million (number of shares Renaissance will have post merger, post acquisitions, and post financings) YOU HAVE A $62 STOCK PRICE. We know that seems scary but the facts are what they are. We have been right on from day one about this company and we have total faith in the ability of the management to deliver on future results and that Renaissance will exceed what Greenstone accomplished.

Renaissance has two separate and distinct strategies that position the company for exceptional growth.

Firstly, Renaissance has acquired a blockbuster package of producing gold mines and economic deposits in Latin America. (See attached Press Release – Renaissance Acquires Major Portfolio of Gold Producing Assets in Latin America). The portfolio is highlighted with the acquisition of the La Libertad gold mine which was the "Crown Jewel" gold mine of former powerhouse gold producer Greenstone Resources. I was fortunate to be an early shareholder in Greenstone back in the early 90’s when Renaissance’s President and CEO, Ian Park built that company into a $1 billion company that was a member of the TSE 300 Index. Greenstone was mismanaged and driven into bankruptcy in 1999 by a new senior management team that did not include Ian Park or Colin Bowdidge. Furthermore, Renaissance does not pay salaries to senior management and all officers and directors work exclusively for equity.

Renaissance will produce over 100,000 ounces of gold from 2 existing gold mines in 2003 at a cost of well below $200 per ounce and they have additional economic deposits that will be brought into production in 2004. Renaissance is currently recalculating their reserves at La Libertad and Bonanza as previous calculations were based on $300 gold. Recalculations are being done using a gold price of $350 and we expect substantial increases in mineable reserves. This could stimulate a major move in the share price. If gold does anything close to what we think it can over the next year the potential for Renaissance to develop into a $2 - $3 billion company could be a reality. It is highly probable that Renaissance will produce well in excess of 200,000 ounces in 2004 with greater production capabilities going forward. These production forecasts do not include the tremendous capability that exists for further expansion of reserves, particularly at the La Libertad and Bonanza Mines. It is also highly likely that there will be more producing gold mines acquired.

Secondly, Red Lake, Ontario is the hottest exploration area in the world and Renaissance Mining is a leading explorer in the region. In 1996, Goldcorp was on their last legs as a producing gold company with a fledging gold mine known as the Dickenson Mine. The Vice President of Exploration at the Dickenson mine was Robert "Dutch" Van Tassell. It is Dutch who architected the 11th hour drill program that led to the now historic discovery that has made Goldcorp a multi-billion dollar success, and the world’s richest goldmine. Dutch retired from Goldcorp in 1998 on his 65th birthday for personal reasons but has recently come out of retirement to join the board of Renaissance. Since he joined the company, Renaissance has been aggressively acquiring many strategic high-grade gold properties that are all excellent opportunities for another Goldcorp style discovery.

In summary, the potential that Renaissance has to develop into a leading intermediate gold producer over the next couple of years is amazing. Renaissance’s portfolio of producing gold mines in Latin America speaks for itself. If any company is capable of discovering the next Goldcorp in the Red Lake/Birch Uchi region we believe it is Renaissance Mining. This company is the "Dream Team" of the mining business and I believe that a $1 billion market capitalization is highly likely and will most likely be exceeded. Interested investors should visit the company’s website at www.renaissancemining.com or contact their investor relations firm the International Mining Group at 561-620-0101.

January 17, 2003 – News Release

RENAISSANCE MINING GOES PUBLIC

SYMBOL: SSSI – OTCBB – Current Price $10.00

SEDONA SOFTWARE SYSTEMS TO ACQUIRE RENAISSANCE MINING

- LOM Capital Limited to assist with $6 Million Financing -

BOULDER COLORADO – January 17th, 2003 – SSSI, is extremely pleased to announce that Renaissance has signed a Letter of Intent (LOI) with Sedona Software Systems, Inc. (SSSI – OTCBB), whereby SSSI will acquire by merger all of the issued and outstanding common shares of Renaissance Mining Corp. SSSI is a publicly traded company with no assets and no outstanding liabilities. SSSI proposes to change its name to Renaissance Mining Holding Corp., and Renaissance Mining Corp. will be a 100% owned subsidiary.

Closing of the transaction is subject to negotiation (or execution) of definitive purchase documentation, and satisfaction of other contingencies as set forth in the LOI. In connection with the merger, Bermuda based LOM Capital Limited has agreed to assist Renaissance, by serving as its investment banker with a private equity financing of $6,000,000 USD at a price of $3 per share, subject to satisfactory completion of due diligence.

"We at Renaissance are very excited by the opportunities provided by our merger with SSSI. Renaissance has experienced rapid growth during the past 3 months; with we intend to continue that growth. Our merger with SSSI will give Renaissance the opportunity to access the public capital markets, with greater resources and without the substantial market discount imposed by the capital markets on private companies. With the previously announced letter of intent to acquire significant gold producing properties in Central America, Renaissance stands poised to become a significant intermediate gold producer. Our goal is to continue building the Renaissance production portfolio over the next 24 months and to ultimately become one of the premier intermediate gold producers in the world," says Anthony Wile, Renaissance’s Chairman.

SSSI will effect this transaction by forming an acquisition subsidiary that will merge with Renaissance Mining Corp, with each stockholder of Renaissance receiving one common share of SSSI for each share of Renaissance held. SSSI currently has 5,341,000 common shares issued and outstanding. Upon closing of the merger SSSI will redeem or otherwise retire 3,206,000 common shares that are held by current officers and directors. Renaissance Mining Corp. currently has approximately 4,307,300 common shares outstanding, and will be issuing an additional 8,000,000 common shares to CAMHL under the terms of a recent property acquisition agreement. (See January 8th press release – Renaissance Acquires Major Portfolio of Gold Producing Assets in Latin America).

As noted above, LOM Capital Limited will serve as an investment banker for Renaissance Mining Corp., which is offering $6 million of its securities in a private placement transaction, pursuant to which Renaissance will issue up to 2 million shares of its common stock. Following completion of the merger, the private equity placement, and the CAMHL mining property acquisition, the total number of common shares outstanding in the new post merger company will be approximately 16,442,300 common shares.

In addition, all officers and directors of SSSI have resigned effective immediately and Renaissance Mining Corp.’s Chairman, Anthony Wile has assumed the position of Chairman of SSSI. Ian Park, Renaissance’s President and CEO has been appointed the new President and CEO of SSSI. SSSI’s new President and CEO, Ian Park says, "Renaissance has a great opportunity to develop into a leading intermediate gold producer. We have successfully developed a two-tier company that has firmly positioned itself with a strong production and exploration portfolio in Latin America, as well as an exceptional exploration portfolio in Red Lake, Ontario. Our acquisition and production teams will be evaluating a number of key new production assets that will increase our already significant production portfolio. Access to the public markets will provide us with the necessary capital to meet our desired objectives."

The statements contained in this press release are both historical and "forward looking" in nature within the meaning of the Private Securities Litigation Reform Act of 1995, and involve a number of risks and uncertainties that could cause actual results to differ materially from those projected, expected, anticipated or implied. The "forward looking" statements involve risks and uncertainties including those related to exploration, the establishment of reserves, the recovery of any reserves, future gold production and production costs, and future permitting dates for additional sources of ore. The Company undertakes no obligation and has no intention of updating "forward looking" statements.

Renaissance Mining’s website can be visited at www.renaissancemining.com.

To speak with our investor relations firm, please contact the International Mining Group at 561-620-0101 or visit them at www.internationalmininggroup.com.

On behalf of the Board

Anthony Wile – Chairman

RENAISSANCE ACQUIRES MAJOR PORTFOLIO OF GOLD PRODUCING ASSETS IN LATIN AMERICA

BOULDER, COLORADO – January 8th, 2003 – Renaissance Mining Corp. announces that the Company has signed a letter of intent with Central American Mine Holdings Limited ("CAMHL") to acquire a marquee package of producing gold mines and economic gold deposits in Nicaragua and Panama. The portfolio includes two producing gold mines, the La Libertad and the Bonanza gold mines and over 5000 square kilometers of enormous exploration potential in Nicaragua, which includes two former producing gold mines. In Panama, it includes a 50% interest in the Cerro Quema gold deposits. On closing, Renaissance will pay $2.95 million and issue 8 million shares to CAMHL, a private Belize mining company focused on open pit, heap leach gold mines in the Caribbean basin.

Renaissance Chairman, Anthony Wile, said, " We stated from day one that we were intent on building a portfolio of producing gold mines and economic deposits in Central and South America. The efforts of our seasoned management team have led to the signing of this agreement and positions us for growth in a strong gold market."

The acquisition package consists of the following gold mines and gold deposits:

La Libertad Gold Mine – Nicaragua:

Under the terms of the agreement, the new company will control 90% of the La Libertad open pit, heap leach gold mine located in Nicaragua. This mine was the leading asset of former gold producer Greenstone Resources in the mid 1990’s.

The La Libertad mine is to resume production in February and produce 75,000 ounces of gold in 2003 and 85,000 ounces of gold in 2004 and 2005 at an average cash operating cost of $193 per ounce.

The most recent resource estimate was calculated using a gold price of $300 per ounce at a cutoff grade of 0.90 g/tonne. Under these key assumptions, measured and indicated resources are 16.7 million tonnes at an average grade of 2.04 g/tonne or 1.1 million contained ounces. Current proven and probable mineable reserves are 7.7 million tonnes at an average grade of 2.4 g/tonne or 590,000 ounces. The current resources and mineable reserves are being recalculated at a gold price of $350 per ounce. This calculation should significantly increase reserves and resources.

La Libertad infrastructure includes heap leach pads, a gold processing plant, crushing facilities and support structures. With a $3.5 million working capital loan in place, the La Libertad site is currently on maintenance shut down to refurbish the existing mobile mining equipment fleet and to install a tertiary crushing circuit.

The property consists of one exploitation concession totaling 109.5 square kilometers (10,950 hectares) and an exploration concession totaling 23.5 square kilometers (2,350 hectares).

"Gold occurrences on the Libertad mining property extend over a distance of 16 kilometers but to date only 2.5 kilometers have been well explored. Many known ore grade intercepts exist on this concession, which have never been followed up and the potential for developing new reserves is very high," said President and CEO Ian Park.

The Bonanza Gold Mine and Concessions – Northeastern Nicaragua:

The Bonanza Gold Mine currently producing 25,000 to 30,000 ounces per year from open pit and underground workings at an operating cost of approximately $195 per ounce. This mining district has been in continuous production since 1939. Exploration potential close into the mine consists of a number of newly outlined open pit zones, which need to be evaluated.

Renaissance will have the right to earn an 80% interest in this mine and three large mining concessions in Northeastern Nicaragua encompassing over 5000 square kilometers. These concessions were also once part of the exploration portfolio of Greenstone Resources. These concessions cover an area that has been labeled as having "the best exploration potential in Central America" and includes several former producing gold and gold-copper producers.

Cerro Quema Gold Mining Project – Panama:

In Panama, the Company will have the right to earn a 50% interest in the Cerro Quema mining project by placing the property into production. The deposit is located in the Azuero peninsula and consists of two distinct resources, the Cerro Quema and the La Pava resources. The project is composed of three exploitation concession contracts, all valid for 20 years, and covering a total area of 148.9 square kilometers or 14,893 hectares.

The total reserve estimate for the two deposits as calculated by the previous operator is 12.9 million tonnes at a grade of 1 g/tonne with 403,000 contained ounces. CAMHL has conducted a feasibility study at a gold price of $325 per ounce on the La Pava deposit. This deposit is to be an open pit heap leach mine with an annual production rate of 48,000 ounces per year at an average cash operating cost of $185 per ounce.

During the next six months, the Company will conduct a second feasibility study to place the Cerro Quema deposit into production.

Ian Park stated, "Renaissance has successfully made the leap from exploration to production in the space of a few short months, in what normally is a cycle of several years. The total annual production that is expected from this portfolio of assets is 100,000 ounces for the year 2003. That is based solely on the La Libertad and the Bonanza Gold mines. In 2004 we expect to see increased production from La Libertad plus the new production from the Cerro Quema. In addition our gold resources are currently 1.2 million ounces at very conservative gold prices. With the very competent mining and construction team from CAMHL and the exploration and financing team from Renaissance, we will be able to build a very successful intermediate gold producer over the next several years. The company will be on the lookout for new mining opportunities to expand our production base."

The statements contained in this press release are both historical and "forward looking" in nature within the meaning of the Private Securities Litigation Reform Act of 1995, and involve a number of risks and uncertainties that could cause actual results to differ materially from those projected, expected, anticipated or implied. The "forward looking" statements involve risks and uncertainties including those related to exploration, the establishment of reserves, the recovery of any reserves, future gold production and production costs, and future permitting dates for additional sources of ore. The Company undertakes no obligation and has no intention of updating "forward looking" statements.

Renaissance Mining’s website can be visited at www.renaissancemining.com. To speak with our investor relations firm, please contact the International Mining Group at 561-620-0101 or visit them at www.internationalmininggroup.com.

*****

The Bank of Canada, a persistent gold seller over the years, was seen selling again just before year-end some 10% of their remaining reserves or 25 tons. We guess there’ll be 20 nations with gold left soon. Canada now has 599,000 ounces left. That is down from 21 million ounces in 1980. What fools to be so short sighted.

Gold needless to say ended the year at a new recent high of $347.60 and the CRB index was up 23% for the year. 2002 was a very happy payback year for gold bugs.

The Shanghai Gold Exchange is preparing the way for overseas bullion dealers and individual investors to trade on the exchange. Chinese gold demand exceeds locally mined supply, so there is scope for foreign numbers, allowing direct sales to consumers. A cash only market at spot, presently the exchange is working toward deferred settlement.

JP Morgan Chase and the rest of the gold manipulation criminal cartel are not the only ones short gold bullion. We know there is a distinct possibility that Morgan will get bailed out, but there will be many others that won’t be. You know I’ve believed that the short was 15,000 to 29,000 tons for three years. In fact, there may be little gold left in central banks. There will be covering of short positions coming and it will blow the top off the gold market. That is why we see $840 by June or by year-end. Remember we called for $350.00 an ounce last year and it happened. Shortly, hedge positions for the last quarter will be reported and will bring warmth and joy to your hearts. You are looking at disaster for many companies. Barrick, AngloGold and Placer Dome will be smashed. They are about to find out they have been in a street fight and lost and that they are no longer the masters of the universe. By the time we finish with them they’ll be masters of nothing. We implored shareholders of Barrick and other hedgers to throw out their management in the early 1990’s but we were a lone voice in the wilderness. Then came that giant Bill Murphy and GATA to lead and show us the way to expose the problem and these crooks. Finally our labors are going to show fruit and the cabal is about to go down in flames. All of you don’t forget, don’t just take your money and run, make sure these evil people pay for what they have done.

The Chinese central bank increased its gold reserve by 100 tons in the last quarter of 2002. That should go well with the 300 ton projected increase in public Chinese consumption in 2003. That 400-plus ton off-take wipes out the total official sales under the Washington Agreement. China will need gold because it faces a serious shortage of mineral resources. We then add to the mix a 1500 ton shortfall of production to usage, falling production and 15 to 29,000 tons either sold or short by central banks and you have a potent concoction that could send gold soaring. The game is over and we won. Watch the price soar and watch the failure and scandals that ensue. Next we pass into the illiquidity phase and that is when the shorts panic and pandemonium sets in. February will be a monster month for gold following an excellent January.

Low interest rates certainly make gold a more attractive investment. The opportunity costs are close to zero. Thus low rates are also causing negative interest rates. That is inflation at 1.8%, which is higher than the Fed funds rate of 1.25%. That is a negative return of .55%. Rates won’t go up until later in the year due to the fragile economy, but when they do it will be due to a flight to quality. February through year-end gold’s performance will be spectacular. We are still in an accumulation phase for gold as we begin phase two. This is the most stealth move in gold and shares in history. There are hundreds of funds with no gold shares at all, which is really mega-bullish, because they are supposed to be leading phase two. Not only does the public live in darkness but so do many of the professionals. They don’t understand that gold is real money and is about to again replace the dollar as the world’s preeminent currency. Foreigners understand but Americans don’t. Then again, their media is freer than ours and they do get some of the truth, we get none of the truth except through newsletters and the Internet. That is why the market cap of gold shares is still only $75 billion up from $45 billion two years ago. Wait until only 5% of investors and money managers catch on. Once the shares move the gains will be colossal. Gold producers and bullion banks are still short and they have to eventually cover, which is an explosive situation. As you can see gold and gold shares are a lock and silver will follow, but remember you have to be in the game to win.

We believe there are three possible reasons that the US Government may return to a gold exchange standard. We believe the elitists were the shadow purchasers of the gold sold by central banks at their direction, the Malaysian Gold Dinar, which will be actively trading by June and an Islamic Arab Dinar to follow. This will force western governments to again back their currencies with gold. We also believe the euro to be a mitigating factor with its 15% gold backing. As gold prices rise so will the value of the gold backing the euro, thus the percentage of gold backing will rise. There is no question that Islamic countries are putting financial pressure on the US, UK and Germany. The Muslims believe they can destroy capitalism by forcing gold to the forefront and we agree that this could and probably will be successful. We then also have other mitigating events such as new gold exchanges in Dakar and China as well as rampant anti-American sentiment forcing the gold backing issue. Now we can better understand Sir Alan Greenspan’s comments regarding "monetary policy, unleashed from the constraint of domestic gold convertibility, has allowed a persistent over issuance of money." He realizes that the US will have to return to a gold exchange standard to compete with other currencies. We would not expect a US or Fed move in this direction until gold traded higher than $1,500 an ounce. Once the dollar’s value was reset against gold then economic recovery could begin. Then these criminals, if still in power, would begin the financial debauchery again.

Portugal sold 15 tons of gold. Its report reflected a 606 ton reserve now 591 tons with a swap of 381 tons and leased 52 tons or over 70% of reserves. They are probably the second biggest gold lender in the world and that really means 70% of reserves have already been sold. As we said before the game is over and we have won. Just wait and see. It will soon be public knowledge that most of the sovereign gold reserves are gone and all these countries have been lying about their gold reserves for a long time.

UBS Warburg says it expects gold to average $353 an ounce in 2003 and $356 an ounce in 2004. They also upgraded their opinions and price targets of several gold companies, one of which was our favorite *Goldcorp (GG-NYSE). The bank sees a favorable supply-demand balance, a weaker US dollar and continuing geopolitical uncertainty.

Deutsche Bank also weighed in with a 2003 gold price target of an average $340 an ounce.

Both estimates are plain stupid. They are devised to cap gold in this price range, but it won’t work. The biggest scandal in financial history is about to break and when the shorts are forced to cover the price of gold will explode.

As we predicted long ago, as gold prices rose jewelry consumption would fall and investment demand would increase. That is just what has happened as GFMS reports that investment demand increased in 2002 from 117 tons to over 400 tons. This comes as production continues to fall. The fundamentals couldn’t be better.

Gold closed up for the seventh week in a row, a truly phenomenal performance. Anyone who doesn’t recognize that gold is in a bull market is just plain stupid. The gold manipulation cartel are buyers probably for themselves. Then there are the producers who are hedged, speculators who are short, banks and central banks that are short and the mega shorts in the gold shares that really haven’t moved yet. As we told you at the beginning of the year gold will be $500 an ounce by the end of February and $840 an ounce by June or December. There is somewhere between 15,000 and 29,000 tons either short or sold and we are about to see a demolition derby that will last for at least two years. Silver is soon going to follow gold in a seccession of lock-limit up days, and the specialists on the CFTC will be wiped out. Do we hear force majeure? The commercials are about to be decimated. While the biggest gold and silver bull market in history gets underway Wall Street ignores it, CNBC lies about it and the Fed and the Treasury are frozen in the headlights. Gold now has a mind and life of its own. GFMS says gold will average $330 this year and may hit $390.00. All they have done is talk gold down for years. They say after the Iraq war gold will return to $310 an ounce. They remind us of the touts on Wall Street who seldom tell the truth. The World Gold Fantasy Council is little better. How do they explain that the US Mint Gold Eagle sales were 33,500 ounces by the 15th of January, up from 9,500 for all of last January? Silver Eagles minted in January’s first two weeks were 1,115,000, which is 200,000 more than in all of January 2002. The days of disinformation by the above criminals are over. The 15-year suppression of gold is over and the crisis of confidence begins. The elitists are about to have a Custer experience.

If Zimbabwe does not change its new currency laws, the 50% of mining production left in the country will shut down. This includes Anglo-American’s Bindura Nickel, Rio Tinto, Falcon and Impala Holdings. If a change is not forthcoming all mining in Zimbabwe will cease.

*****

Shanghai, Jan. 17 (Dow Jones) - China's central bank has granted approval to Bank of China, or BOC, to import and export gold, marking the first time a commercial bank has been allowed to purchase gold from the overseas market, a BOC official said Friday.

The central bank couldn't be immediately reached for comment. "We got approval from the People's Bank of China (the central bank) recently," said the official at BOC's treasury department in Beijing.

"But it doesn't mean the imports of gold could start immediately, as we need to get a host of permits from other government arms...such as the permit for buying foreign currencies from the authority for foreign exchange management," the official said, referring to the State Administration of Foreign Exchange.

He wouldn't comment on the timetable for gold imports by his bank, but predicted that BOC would acquire all the permits from different government departments "soon". In the past, Chinese commercial banks normally weren't allowed to import and export gold, though they were allowed to trade gold in the international markets.

China's central bank was the nation's sole gold importer and exporter up until the launch of the Shanghai Gold Exchange Oct. 30 last year. Since the central bank withdrew from the import and export market for gold when the Shanghai bourse debuted, no Chinese commercial banks have obtained government approval for such activities except BOC.

*****

TORONTO -- Barrick Gold Corp., the world's second-largest gold miner, said yesterday it will appeal a $41-million (U.S.) income tax assessment, excluding interest and penalties, on its Pierina mine in Peru for the 1999 and 2000 taxation years.

*****

Beijing, Jan 14, 2003 (XFN via COMTEX) -- The Shanghai Gold Exchange will extend the afternoon trading session to 15:30 local time from January 15, half an hour longer than the previous market closing time, the International Finance News said.

The Shanghai-based newspaper said the session extension is aimed at meeting increasing trading demand.

It said from January 15, the afternoon trading session will be 13:30 to 15:30 and the morning session will remain unchanged at 10:00 to 11:30.

In December, the exchange, which began formal trading on October 30, 2002, extended its trading hours in the afternoon session to 13:30 to 15:00, from the previous 13:00 to 14:00, at the request of some member companies.

Demand increasing so much in China they are extending the hours for trading Gold! Silver starts later this year :-)

*****

TEHRAN -- Head of Tehran Gold, Jewels and Coins Guilds Association Kourosh Goharbin said that regional crises and other external factors have pushed up gold price across the nation.

Goharbin told IRNA that despite the absence of fluctuation in gold price in the past week, a probable rise is quite likely in the event of a U.S. attack on Iraq.

"Raw materials used in the industry are partially imported and the finished product is exported," he said. He added, "Given the high duties on other category of raw materials, whose import is unavoidable, they are either brought in by travelers to Iran or converted to be imported into the country as antiques." Turning to the potentials of Iranian goldsmiths as satisfactory, he added, "Despite frequent application of both European and original Iranian designs, in view of the low wages for making gold ornaments, they are entirely made in the country."

Goharbin said that about 30-40 percent of customers for gold are foreign tourists, ladies and Iranian expatriates.

*****

"We have mentioned the Prudent Bear Fund numerous times over the last two years as an excellent way to play the market in these unusual and confusing times. Unusual inasmuch as deep recession/depression have not been as frequent in this past century as they were in previous centuries. Confusing because of the mammoth propaganda machine operated by GE, CNBC, Wall Street and government. You seldom get the truth and that is confusing. We believe this is the perfect time to purchase the Prudent Bear Fund and the Safe Harbor Fund. The market has just experienced a strong 30% bear market rally and precious metals stocks seem poised to go higher. The Prudent Bear Fund shorts the market and goes long precious metal stocks. As the market falls and gold and silver move higher those shares will also move higher. It is a perfect and simple way to invest during these troubling times for those who don’t have the experience and fortitude to pick individual stocks. The Prudent Safe Harbor Fund (PSAFX), which invests in high quality debt instruments, denominated in currencies other than the dollar, gives you an exceptional alternative to a falling dollar. You may purchase these funds though Rich Radez at 800-285-1700."

*****

From a subscriber:

"Here's another demand for gold that you may not be aware of.

My 45 yr old son is a computer software "expert". He tells me that the new hand held computers and PDAs must use gold chips to achieve the ultimate speed needed for satellite reception etc. He thinks over the next several years this demand will exceed jewelry demand."

 

*********

 

Bob Chapman
bif4653@comcast.net

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