Acadian Mining Corporation ADAIF

Dilutive financing

[maldoror]

There has been no dilutive financing in Acadian Gold. The word dilution is often and wrongfully associated with an increase in the number of shares outstanding. Dilution takes place when a share financing transaction results in a lower book value per share. Issuance of shares above book value results in dilution to the buyers of those specific shares but results in a book value benefit to all other existing shareholders as their book value goes up. If shares are issued below book value, it results in dilution to non-buyers. Acadian Gold shares' recent financing at 27 cents per unit is way above book value financing, effectively resulting in a direct benefit to all existing shareholders. If you do not understand this, you might want to ask your friendly broker to explain it to you.