Wednesday, November 7, 2007

LFB: Dividend and report for October 2007

The weekly average of the basket is still low with 49.46 but comes close to the one calculated since 8th June 06 (=55.73). There is just a slight improvement needed for HCL and/or RDX and the trend for LFB is bullish again.

>>>>>
Situation on 5th October 2007 for LFB (compare also with our blog or prospectus):

HCL = 1.28 $L, weight =20
RDX= 1.06 $L, weight =20
SLM= 0.79 $L, weight = 4

Weekly basket value = HCL*20 + RDX*20 + SLM*4 =49.46

Average basket value (8th June-5th November) = 55.73
Spot basket value on 8th June = 73.76
>>>>>

Keep in mind that HCL was already at 2.63 $L last month and even higher in spring 07 and the volumes on WSE rebounded powerful after the summer depression what will generate profits to HCL.

RDX also has some potential, especially if they start to execute their new ownership program which they announced this week.

If shares of HCL or RDX would only climb 0.6 $L the value of the basket would bypass the value from the spot=73.76 and the shareholder would get a higher dividend.

The minimum dividend of LFB is 0.2 $L/share/month and was paid just before. However, a maximum dividend of 0.7 $L/share/month is feasible if the basket performs.

Greetz

Casper Trebuchet

LEM, CEO
House of derivatives (LFB, LWI, LHH and LEM IPO Booster as not approved IPO)
http://lemurinvest.blogspot.com

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