Selling an illusion.

But what we are doing is “selling an illusion,” meaning a product with no utility and a price that depends on the continued sense of scarcity where, in fact, there is none. (The situ from WSJ article Russia Stockpiles Diamonds).

All start from russian pigs design picture in my dream – and than hit very hard. Was day before the “put in” come to Japan. The meter-and-half “medvedev”, but growing up at the брата’s high, with Japanese rifle cut me through. Than, he magically transform-se in Charley Chaplin and hit me in the head again. Was loosing in thoughts, maybe someone try to prevaricate (hedge) me like a person? However it be, I am disinclined to oblige “Vote” which russian pigs made (choosing the ebalo of “medvedev”) and feel very keen in did, to cut through this waffle out and than WINKLE out which real issue are at stake. My strong opinion is that Lavrov’s trips are way of these pigs to extort money. Like the putting son of this swine in the zebra crossing with shitted pans, than send e-mail with signature “Tcalami” covering with this very important geo-strategic meeting, and to more later life going to transform this into the, for example “ГЕТЬ СМІТТЯ!” Seems, it’s simple for this pigs like to make indecent proposal for “shashlyk” when I’m to come sign in my “pay-cheque”. More dirty possible line, only this Putin and Medvedev can. Logically, I say no if feel like taking part in theirs grizzly plans. Without 10/5, (i.e. stupid’s from Naftomoskva with theirs coincidence fire-works at the Victory Day) it will be easier do my life and European Gas Interconnection Study I and II outside of this MiG-sellers. Same will be with maintaining costs in the rise-value of my, almost visible assets. To be practical, better to put down the uneventful events that line up perfectly to my greedy highs of understanding. This way, give me the impression that demonstrating the article at the end of text from Polished Prices site; I can arrive at the couple important projects finale. Imperative though, to do not sell myself short. This for to everyone sees me like men who don’t chew more than his energies will allow. In same case was the Soviet (You щенка) “immediate response” to my morning coffee-blog. Good heavens that I was closely to my body-guards! I speak about pallets in direct vicinity after this situation. Who is important like 126 million euro’s – will understand what I mean. Hell! Are the short cuts and easy solutions that we should feel slightly ashamed of ever using?  Even, if this is somehow inferior options?  Can't things sometimes just automatically work out right with not much fuss or bigger struggle? Can I think that Shackleton jumping from Jew-to-be-recycle-kitchen is just my good angel, protecting my back? To clarify, we know that if a person who smells rat, or black’s sweat, or urine considered not healthy. He, medics say, had some problem with his head, and should be treated. Mean, Jora – япончик’s “Brotherhood of City” from Irkutsk, look for medical assistance during which gaze at this three pictures (i.e. Matutano/Musketeers/elevator).

1). Wonka Investments By Charles Wyndham. It was with some amusement that I read in the Financial Times a recent review of a book entitled ‘Glow. How you can radiate energy, innovation and success’. I had thought that was the job of the make up artist. As the  article whittled on about the ‘Seven Habits of Highly Effective People’, my eye was caught rather more by the story how the fortuitous meeting between two Unilever managers, one dealing with deodorants whilst the other was working on chocolate flavourings for the Magnum ice cream brand, ended up with such a successful conclusion. It was, of course, the creation of Dark Temptation, a chocolate scented deodorant which has been flying off the shelves as even teenage boys realise that girls are partial to chocolate, if nothing else. My next bit of reading was work, an interview by industry journalist Chaim Even Zohar with De Beers’ Gareth Penny. Luckily, it did not take long to read as the chocolate coated questions were not that demanding, or slipped down all too easily. To be fair, this was only an extract of the full interview which was published subsequently, when we will all know if the chocolate had soft caramel centres or not. Even in this homage to self justification, one or two points really grabbed my senses, one of which I will tackle today. Chaim asked if De Beers would be in a position to renew a $1.5 billion credit facility due in March 2010. Somewhat unsurprisingly, Gareth confirmed that he was confident that they would be able to service their debt…. He would, wouldn’t he. Chaim then asked what caused the debt of $3.5 billion. Firstly, Gareth pointed out that the Chaim’s range of $3.5 to $4 billion was in fact $3.5 billion down from $4 billion at the end of 2007. Gareth studiously avoided in this part of the interview, as did  Chaim, the relevance of the $800 million of interest free loans from shareholders in the context of this debt. In fact, I think that De Beers never made an official announcement about the loan, that came from Anglo… maybe I am mistaken. $300 million of this loan was paid in the last quarter of 2008, or $300 million of the $500 million reduction in debt, and the second tranche of $500 million paid early this year. Gareth pointed his finger at the major new capital projects as the cause for the debt increase, Snap Lake, Victor, Voorspoed, the Peace of Africa vessel etc. These “excellent” diamond assets would, according to Gareth “generate strong cash flows and reduce our debt.” I might be from Mars, or even from the Willy Wonka Chocolate Factory  concocting new chocolate flavoured deodorants, but to claim that Snap is going to generate strong cash returns really is adding a bit too much chilly to the recipe. It was in 2007 that De Beers took a $1 billion write-down on its Canadian assets, primarily if not solely Snap Lake, I believe. We on PolishedPrices have been writing for years that this is a dog of a project. Indeed, De Beers at one point, even went to the trouble of trying to challenge these assertions by us via Thug and Sluggit or some other suitably named law firm  on some of our assertions but unaccountably withdrew, and that was well before the write down. Indeed, De Beers response to these problems has been to throw good money after bad. To choose this line of argument only confirms what an extraordinarily serious state of affairs De Beers must be in, which I pointed out after their half year figures in 2008. However, please note that it was Barclays Capital that referred to De Beers’s shares held by Anglo as worthless primarily, as I understood it, on account of this very issue of debt. The extraordinary achievement of De Beers senior management is that during one of the greatest booms our industry has witnessed they did not make that much money and have made  a succession of  disastrous investment decisions, into which according to the tittle tattle that I am picking up South Africa’s Voorspoed mine, also seems to be falling.  The simple fact is that De Beers is in deep financial trouble, and these unctuous squirms by Gareth to try and avoid the issue are pretty pitiful. It is not De Beers ability to pay the debt that is the question but rather the shareholders willingness to pay it for them that is the issue, as De Beers quite clearly will not be able to repay its debt from its own cash flow.

2). Foreign minister to visit Russia from Tuesday 5/12/09 9:05 AM. Angola. Luanda - Angola's Foreign Affairs minister, Assunção dos Anjos, is to visit Russia on May 12-14, at the invitation of his Russian counterpart, Serguei Lavrov, a press note states. In that European country, the Angolan official will talk with the local authorities about the reinforcement of the bilateral ties. Assunção dos Anjos has recently granted an audience to the Russian ambassador to Angola, Andrey Vadimovich, with whom he debated issues relating to the agenda of his visit. In Russia, the minister will debate the materialization of accords signed in 2006, during the visit to Russia of the Angolan President, José Eduardo dos Santos, in March 2007.

3). Five sightseers and one staff member injured in Tower Bridge lift plunge terror 6:12 PM on 11th May 2009. Five tourists and a member of staff were rushed to hospital today after a lift at Tower Bridge plunged 30ft feet to the ground. The elevator was carrying 16 people up to the top of the north tower when it suddenly dropped without warning. It only came to a stop when it smashed into the concrete base of the shaft on the north side of the bridge where people enter the Tower Bridge exhibition. Six people including several Spanish tourists were hospitalized suffering what has been described as lower body injuries. The four men and two women were last night being treated at the Royal London hospital suffering from broken ankles and legs. Those hurt included a husband and wife who suffered leg injuries. London Ambulance Service (LAS) said it was called just before 1.10pm to reports of an incident at Tower Bridge.