Good morning. This is Bob Potter speaking to you live from Governor Wendell Anderson's office at the state capitol in St. Paul. The governor is called news conference this morning to announce of development in the reserve Mining Company matter and also to answer any reporters questions, which may come up the governor is going to announce of plan this morning to assist Reserve Mining Company financially and building a taconite disposal site on land at milepost 20. Sometimes called the Midway site Reserve now deposits its waste 67000 tons each day in the Lake Superior, and it is under federal court order to end that discharge by July of next year.Joining Governor Anderson during this press conference will be his executive secretary Thomas Kim Peter gold the executive director of the Minnesota Pollution Control agency Robert Herbst, the commissioner of the Department of Natural Resources. Ron Hayes State consultant on reserve matters, Elwood Raffin staff man at the Department of Natural Resources estate attorney who has been active in the reserve case and Andy Kozak the governor's environmental aide here is Governor Anderson.Maybe I could be Begin by introducing some of the people who are here. I think you're all know. Tom Kalin and Andy Kozak and Bob Herbst. Who's the head of DNR Peter Gould? Who's he had a PCA grammar? It was a farmer had a PCA maybe don't know Ron hadron. Would you stand up who's our state mining consultant? Most Sherman has been our chief attorney in this matter. and Elwood raffinose the mining division director I intend to Open with a short statement and then I would have a number the number of the gentleman. I take a fair amount of time going over them the mathematics and arithmetic. I think if we do that material that has been handed out will make a little more sense to you at the end of that time. I'd be happy to respond to questions. So the others that were here when the news conference said has been formally included all of us plan to stay here. So if you've missed something or if his pick of the point that has confused you we will certainly I try to accommodate you. I wish that I'm prepared to begin. There's no more critical more difficult or frustrating environmental problem in our state than the pollution of Lake Superior by Reserve mining. The plan that we are proposing today has four main goals number one. Get Reserve mining out of Lake Superior. Number two to get reserved unsure at a site that is not itself a potential environmental disaster and three do it in a way that will save the jobs of the more than 3,000 people that work for Reserve Mining and forth do it without cost any individual taxpayer or corporate tax payer in Minnesota with the exception of the eight companies engaged in mining in our state. I believe that our plan if adopted would achieve all of these goals. I plan would simply raise the production tax on all 8 mining companies and create a permanent environmental fund. So we would have the tools to achieve the four goals that I've outlined before respond to questions. I'd like Tom to step forward and Ron and explain just the Arithmetic for. Of time and then we will respond to your questions, but I think that this will be helpful. Tom calendar Governor's executive secretary I'm using some aids to myself here so that I On July 7th of 1977 under the present court order reserved mining will have to shut down unless there is a solution arrived at 2. To the problem. We have accumulated some four-year revenue losses to the states to the state of Minnesota and the local government to outline some of the impact that will occur if Reserve mining does shutdown. Next July we face. He's over a two-year a to buy a me. I'm a four-year. And what the prices are in Los taxes to local units of government about 24.7 million welfare cost to those local units are government County government about 2 1 / year. Watch to the state government and the WASP taconite taxes, which are the occupational taxes that are paid by Reserve mining. I in each of the two year. Income sales that would be wise for the state of Minnesota. The unemployment class. It will have to be born / 8 2 year. By the state of Minnesota. You will note that we show no unemployment class after the second year because he's on it. The current laws unemployment money would have run out and the states share in each of the two years of the welfare cost in the first two years. We estimate that it will cost about 65.9 million dollars to the state of Minnesota and to local units are government and in the second biennium about 37.1 Meaning a four-year total of about 103 million dollars lost to local and state governments. We have not added in any inflation numbers or anything else into this. We've kept them down to those numbers that were given to us by the Department of Welfare Department of Employment Services and numbers that had been presented at the time of the hearings on the milepost 7 application. This is a summary of some other other type of losses that we feel are going to have to be addressed it. So I would be have to be addressed by the state of Minnesota. We feel those Homes at Silver Bay. We have not we did not take into consideration the homes of Babbitt because we feel that if there was a close down those Homes at Babbitt would still hold pretty well hold their value because they are close enough to possible other job, but it's Silver Bay the equity in those homes that are now held by the residents of Silver Bay would be why we feel at this in this particular case that it would be more than likely that the state the legislature would have to address itself to that lost Equity of all these people because those homes would become if not valid a complete lost a high very high percentage of their loss. So we think a conservative number of 20 million dollars. This is the same hundred and three million dollars. I referred to on the other in the beginning and then we show that the federal government will lose about fifty-four million dollars in state income taxes are in federal income taxes with the shutdown Reserve mining tax loss during the 40-year loss during the life of that mine, which was projected out of Reserve mining if they would have build a new plant. We just calculated with no increase at all and taxes. It would come to 480 million dollars in that 40 year. Of time that they would pay either to state or local government each year. Is 120 million dollars he's are in direct and indirect costs at their payroll their purchases that they make outside of Silver Bay, but are our purchases that are made in the state of Minnesota comes to a hundred million dollars and forty years again with no inflation and no increased just based on today of what they are putting into the Minnesota economy. That would be in 40 years 4.8 billion dollars. With now, hey quick overview of the impact that the closing of Reserve would cost. both local state and federal governments and to the economy of the state of Minnesota 1 outline some of the provisions of the the governor's proposal. What do you want to create a new taconite environmental fund increase the tax the tax on packing light production by 25 cents per ton and a price of steel escalator for some of you who have been here following State Capitol and previous Governors recommendations. You will probably know that this is very similar to The Proposal at the governor made in the 1975 legislature, which was passed by the house and was not acted on by the Senate at that particular time that that proposal. Reserve would be the first beneficiary of this new fun of this environmental fun. This would be an ongoing fund and once the reserve money was paid back. This fun would start accumulating monies in its environmental fun. If the previous Governor's proposal would be used would mean that about half of that money would be left for about a 40-50 year. Of time. I forget the exact time element to take care of problems of that may happen at the time these Wings close. The other monies would be available in that part of the country to take care of other environmental problems. Companies could apply through a board that have been setup of some legislators local officials for relief from that environmental funny if an environmental problem occur, and as we all have seen in the past few years, no one can necessarily anticipate what problems might occur in the next 10 20 30 years. There's no one knows because things change and new evidence new facts come to bear. Production tax credit and refund Al up to 70 million dollars which would go to reserve mining has arrived at with approximately 30 million dollars. Which is a tax rebate of pass production taxes paid by Reserve mining. This would be we have not worked out the exact details of the formula of how this would be paid to reserve mining, but it would be paid on a basis from the General Revenue fund into the tack and I find an end to reserve based on a percentage of the construction cost over a. Of time. So every Assurance would be made but they did not get a check from the state of Minnesota for 30 million dollars and then walk away or decide that they weren't going to build that money would have to apply to some type of formulated the construction class so that it would be paid out in those early in that early year to button on a basis for bills presented invoices and saw those details will be worked out by the financial people who Can and will protect the states and every way possible so none of that money could be misused or misdirected. The remainder would be paid Over a four-year period of time it would take about four years to pay back that total 70 million dollars. Now we use a 70 million dollar number a reason why were using that we'll get to shortly is. the difference between the cost of milepost 7 in milepost 20 using reserves numbers is 4 is 440 Million Dollars vs. Approximately three hundred million dollars. So that makes a hundred and forty million dollar difference the state of Minnesota disagreed with reserves 440 million dollar number. They use the number of 386 million. At the time of the hearings, which is a 54 million-dollar difference. We were not in the position over the last couple months because it would take considerable amount of both money and time and have to go to probably an independent group to say which number is correct and probably in our opinion from the information that we have put together what will happen is that it will be someplace in-between. 386 million + 440 million I could not give you any good estimate of what it might be. It could go as high as 440 it could be as low as 386 but I think the Judgment would tell us it's going to be someplace in-between those two numbers. Of course with that that would it decrease the amount of money that would come in back in the form of a tax credit. Whatever that final arbitrated amount is will decrease the 70 million dollars in a rebate. So instead of the fun being paid back in four years if this mild is down to fifty let's say is an example it would be back. The fun would be fully paid in about two and a half of approximately years or 3 years. So you can see that that will at that time element of four years we have will vary that's a maximum of four at the maximum of 70. Can be lower and most likely in our opinion will be slightly lore. The 70 million dollars here. Is based on Two on Two basic assumptions by the state of Minnesota? One is that the state? Position will be upheld by the state courts as far as the Wayne Olsen's recommendation and his as hearing examiner saying that the milepost 7 is not acceptable at milepost 20 is acceptable based on also on the fact that we feel that the federal court will uphold. The state of their original decision that the clock is started as the decision handed down by judge debit. So the point that those appeals and we feel with those appeals should be finished and a decision made that the state's position is being upheld will come sometime. We feel late December or early January in that. At that. Of time. And so therefore we the company will have exhausted. Its we feel it's any of its legal remedies regarding milepost 7 and we feel we must be prepared and owner feels to offer a plan to make it economically feasible for them to go to milepost 20. And being economical economically feasible is based on the fact that we have to do it through a method. The governor is laid out but it is not going to be borne by the taxpayers of Minnesota. Is he outlined in his opening statement? Now it becomes economically feasible. Because of the fact that the here are reserves own numbers at the time of the hearing saying why a milepost 20 was not economically feasible. I said the 440 million dollar Capital cost. which required a new loan of 440 million dollars put them in a negative. Category as far as profit is concerned. And made their cash flow, which is very important to them in the negative. 1.2. These numbers are available right out of here in the hearings. This is where they came from. We have calculated what would happen? With reserved mining put it in the 70 million dollars. I should explain that a little better detail of why we say they should put in seventy million dollars and up-front money to apply against Capital costs for this reason the state of Minnesota under this plan as it would have done under Wayne Olson's decision regarding milepost 20 would allow them during the time that they are constructing the new plant is mr. Olson suggested be allowed to dump their tailings continue that dumping in Lake Superior utilizing their present plan. This would mean a conservative number we feel it's cancer. But during that period two and a half years they would take $70. out of the state of Minnesota back to either their stockholders or for other Capital expenditures that they might deem that they wish to make some place else outside of the state that 70 million dollars would be lost to them if they have to close on July 7th at a 70 million dollars. I could never get because that 70 million is arrived at at the difference between but they can make their pellets at at preserve mining plant in Silver Bay versus what we feel and what we have verified through contact with the company. They will have to pay for new supply of Either Ore pellets during the next four to six years. So that is how we arrived at the 70 million dollars that they must leave in the state of Minnesota and apply against that 440 million dollar Capital cost because they get their permit for milepost 20 vs closing on July 7th. This is money. They will never see if they have to close on July 7th 1977. So we do not consider it Equity money that they are supplying we are just saying it is a 70 million dollars that they won't have if they have to have to close at plan on July 7th. Fairness Equity stay on point. We say they they should put that 70 million it before lowering that Capital cars back to three hundred million dollars. Using their numbers and calculating the rest of the class four mile post 20 making one adjustment that they ever agreed to in an energy cost number. After reviewing that number that was used by them in the hearing. We have reduced an energy class number which would be the same for 7 or 20 back to 5 million dollars vs. 9 million dollars for million-dollar reduction in their energy cost at milepost 20 and using that number but using all the rest of their is as far as repayment of a 300 million dollar loan is they did at milepost 7 the new balance sheet turns out to be an 8.1 million dollar profit at milepost 20 And a 16 million dollar cash flow number at milepost 22 here. Is about 3 million dollars less than their net profit that they showed at the hearing for milepost 7. the cash-flow number is about 3 million dollars higher than what they showed as an acceptable cash flow at milepost 7, so we feel that this is well within the ballpark as making it economically feasible and sensible for them to go to milepost 20 and These as I want to emphasise are there numbers other than that one number on energy. Any questions of me at this time? Well as it showed their the 30 million dollars comes is an advance from the General Revenue fund. To the taconite environmental fund which will be paid back in approximately two to two-and-a-half years. So it is not lost of the General Revenue fund. It will be used during that. Of time for construction. This is not a gift to reserve they must pay it back if the whole hundred and forty million dollars were needed and making a calculation. I haven't calculated it out to the dollars-and-cents, but you would find that hundred and forty million eighty some million of it will be paid by Reserve mining. And 60 some million of it will be paid by the other taconite companies. That's who's pain when we are using the General Revenue fund is a vehicle to come up with upfront money in order to make those economic forecasts viable Four mile post 20 and remove we feel any discussion on their part that it's not economically feasible from an operating standpoint to go to milepost 20. Play Over a four-year. Are you going to give reserve a Time? Well, as I said during the presentation the 30 million dollars would be worked out at the after permits based on construction. On the site now, I can't tell you if they will get that 30 million in 6 months or if it will take two years to give to use up to 30 million because that will be tied into their 300 million dollar bonding and that will be used along and according with their bonding. So it may take one year. It could take two years for them to use up the 30 million based on construction. There is going to be no time a check handed Reserve mining say here is 30 million dollars do with it what you like it will be based on it must be applied against invoices construction cost of constructing the milepost 20 site. When is Finding said it was safe to assume that there was a certain level of cost be on with you. I'm going public would not go they agree to what they say for herniated 6 is too much from milepost 20. But not 480-6420. Vic really what they're saying is is many times has not I think we deserve is to problems. They they have a cap on how much money they can raise for Capital costs. That's what you're referring to but they also in raising too much money for Capital cost on milepost 20 put some of the negative position as far as in operating that plant at milepost 20, they might be willing to spend that same 370 that I'm talking about with no other help if they found a site that they had better operating cost. It's always the bottom line that the company looks at. And so therefore I would say this but The soffit just communicated with mr. Olson because we wanted to be sure that what his impression was of this and he feels that this is a very viable plan as he expressed and won the wake and flicks with his his decision. Cleveland Middletown as soon as the time I have participated in two meetings with the Old Republic people no time. Did we ask for concurrence or so you can always just a plan you will accept because they are in court exercising what they consider their legal their legal rights tonight. They do have the right to appeal that decision under law basically was to say that if as we believe the courts are not going to opold your position. We don't believe they are we want to show our good face to those 3200 people at Silver Bay that there is a there is a plan that has been worked on and will be refined so that come January when they have exhausted their legal remedies that here is a viable plan that makes it possible for them to stay open at no cost. To the taxpayers of the state other than mining companies. The plan to him you didn't ask me for any concurrence didn't ask him for any concurrence. They made a few comments. They didn't like the 70 million dollars and I'm sure they would argue that that's Equity money that they should be repaid. Our point is that this no longer could be considered Equity money because if you have to close on July 7th, that's money. You'll never get this isn't money is at the reserve would ever have and therefore it should be applied to the capital cost of milepost 20 in order to calculate actually what your operating costs are. You modify the plan based on your comment. We modified nothing on any of the comments made they did cooperate in the fact that they allowed. Mr. Hayes to come up and because we were concerned about that energy number that was used. I think they were concerned. They did allow him to look at some of their invoices in order to determine that that number I think originally was based on a very small amount of coal that they had to buy and now with long range with longer range purchases and so on but that reduction was a sensible reduction to consider the energy cost of $5000000. Other than that. I'm trying to think of it and they allowed out of our discussions harassing. To verify that they do have sources of material after July 7th to keep that plant in operation, which I don't think too many people would it would have questioned anyway because they have too large of an investment and other parts of the United States to be in a position that they could not keep operating if they aren't successful in the court. What would it take to get the program? What would it take to leave the switch now to the people who have to go to the permits and let them describe that to you. I'll be available for any other questions. This is pure gold Pollution Control agency that a permit would be issued and issued expeditiously for the Midway site. We estimated that within four months after the application of a permit for the Midway site that such a permit could be granted. I have your Grace. Begin at the permits are issued on the permits are issued. The court will issue an opinion at some point the fairly soon either supporting our position at which would mean we're hopefully back to the milepost 20 and this would provide a vehicle for allowing Reserve to go there or they would support the company and the dispute would be over with but it would be at a location that we do not support which is milepost 7. We're just we're just saying this that were in a position to issue permits, very promptly on milepost 28 have exhausted all information with respect to every other conceivable site other than milepost 20 ice pose arguably. There's a milepost 21 or 22 that might have some other than what we're saying is we're prepared to respond to milepost 20 or a site that is environmentally as good as side is that I go again soon. Anytime you put on additional tax on liquor cigarettes at some point the down the line businessmen use that determining the price that they charged by that's I'm not going to get involved in that. I think that he's the increase would be so slight it wouldn't have any unique effect of Minnesota taxpayers for purchasers offered it to him. And then after nine years of here in Japan took it away from now you're saying if you're in a position to give them milepost 22 still have to go to the hearing process would be able to get milepost 22 think you have to but the two people talk to her and talk. This is been a major debating point in the court proceedings. As you know, the State's Attorney's made it very clear to the Circuit Court of Appeals that the state would consider permit applications from milepost 7, but that prior to the issuance of those permits that the company would have to comply with all requirements of state law when all Sandra. Amended that the site could not comply with those requirements and the DNR in PCA agreed. However, both agencies have indicated in accepting. Mr. Olsen's findings that permits could be issued for the Midway site and we feel confident as I said earlier that those permits would be issued and what would be issued problem? One of the points right maybe failed to make was this plan hinges and is part of a legislative proposal legislative bill. I should have mentioned this when I was asked the question of the timing because this would be put in early in January. We hope expedited we have not been asking firm commitments for many legislators at this point. But in the last 7 days, we have passed to buy some legislators have gotten some very positive response from some and from others. They don't yet want to commit themselves one way or the other understandably so because they want to go into it more in more depth, but I want to emphasize this is a legislative proposal so that there was no misunderstanding the the governor could offer this without the action of the legislature the legislature. The reason for pointing out those numbers of the impact was that we feel with legislature make can address this problem through using a proposal of this type that could Appropriate a large amount of money of taxpayers money to meet those costs that we outlined or something that I can't imagine ever happening. They have the power to walk a mile for 7, but I just don't believe they would ever do it. Reserve 22 Dollars in tax credits Over a four-year period under a system yet to be devised. So you don't know exactly the flow of those credits and how much would have to come out of that fun with the wind but you do it just sounded fun. You take $39 out of the general treasury. It is conceivable that that Reserve could incur a lot of those early in it for your. And so and then we can text the first 12 man comes in. They might need that too. And anyway, you're saying that in two and a half years. I am saying that all the money is under this plan our paid back if it goes a total of 70 million. Would be back in about would take four years. I would come back sometime in late in the second biennium. So it would be not available to spend possibly in the in the biennium of 7778. I think that's the point you're trying to get to it would come back. If I could come back in the second biennium. It might take know if it will be back by the end of the second biennial. It will not take any longer than 4 years. So then from 1980 on it be available for others taconnet companies of for online disposal or something. That's right. I want to emphasize that again. This is based on the whole 70 million dollars if 70 is not needed. Then that will that time element reduces accordingly depending upon the total amount. There was a question earlier about all the other possible other site should say that the meeting with reserved it was made very clear to them that if they ever discuss another site, which they didn't that time or so on but This was not these numbers would not ever be based on another site and other words that if they said yes, we would like that same 70 million dollars in tax tax relief to go to another site that even cost more than milepost 20. The same arbitration numbers have to be used in order to come up with that tax credit. If I'm making myself clear. We aren't saying that thing there's 70 million we're saying here is a possible up to 70 million to go to milepost milepost 20 or someplace else. It could be less and I could be also less for someplace else. That 70 million dollar figure know if the class to reserve cost of going to 20 and 140 million, but some number less than that. Are you saying that you reduce the state's Aid by the 70 million dollars that you would that they would be pulling out of the station that additional to 50% of whatever know I am saying they're seventy remains constant tax credit will be arrived at after the arbitration of the actual cost of milepost 20. In other words. If the cost of just assume the cost of milepost, when is 420 million dollars, they would still put in that same 70 million dollars if they're taking out of the state their tax credit when I'll drop the 50 million dollars. I think I'm that point Mister Gina paulucci has recommended that I think properly so that the investors that you those that own Mesabi trust should make a contribution. He's in the process of negotiating with them. We can't guarantee anything but we would certainly be hopeful that they would be willing to make a contribution into this environmental fun. And obviously if that takes place to figure that time just mentioned would be reduced by the contribution of to make we're not suggesting today that we have a firm agreement and not suggesting or predicting what might happen always saying we think it if Reserve mining or be shut down the investors would lose substantially. We think we're providing a vehicle here, which will accomplish that the point that I mentioned. We think they have something at stake. We think we ought to make a contribution and he's negotiating with them on that subject and we hope they will respond properly totally convinced. You're not submitting to Blackmail the reserve mining might not as July 7th draws close go ahead and move them in States deal on reserve on Erie on Butler and Inland. And that we take the money from these other from all of the company's the one that particular effect plus the other seven and put it to work in the way that we have mentioned. We all start trying to get some money out of the investors out of Mesabi trust. No, I don't know my concern is getting them out of the lake by concern is saving the jobs training environmental fund and I don't I don't have feel I'm being blackmailed into anything. I think the people that would have some reason to complain would be the other seven companies and my my argument to them is this if Reserve shuts down July 7th 1977. I'm willing to predict that the production tax must go up. The production tax will go up to take care of the welfare problems the unemployment problems. Why not raise the tax now save the jobs and put reserve on Shore at a site that makes more sense. Governor is this the last ditch then if if it's legislation has not passed a production tax increase in the rest of the program's no Reserve closed in July. That's my feeling maybe more Sherman can respond to this. I'm always been the attorney involved. I think he's brilliant and tough and just as in a fantastic job is showing great patience, and I like more to come up and respond to that. Let me have a question again be sure you understand legislation does not pass this program the production tax increase for and so forth will Reserve closed in July, but we think we deserve what those in July pursuant to judge devitt's order. So the answer to that is yes, and we assumed the judge debits order will be upheld. We assume that the Commissioners order and the PCA boards orders will be upheld and that come July 7th. They will be closed. Yes. Donna peel before the 8th circuit an argument will be held on the 13th of October in St. Paul before the panel that will make that decision. I can't predict what they'll do. I've never been able to predict what they will do and I think that question should be addressed to them. Do you have some deadline on that point, but I think that we have to prepare for the fact that we intend to win the lawsuit if we win the lawsuit, we're back in a situation where either they close down and the workers are out of luck or we have a vehicle allowing them to go in short. This would be the vehicle. Yes, there is approximately 25% of all the production taxes. That's why I say if they shut down I can't imagine the legislature allowing the people Northeastern Minnesota that have to pick up that different. I think immediately reproduction facts would be raised to take care of that 25% and something Beyond so either way and my judgment u.s. Steel is going to have to be paying a larger production tax better than to pay it now so we can save the jobs rather raising the facts just to deal with unemployment. Other businesses in the Steve complained about this being a high tax deed the number one tax date some businesses with relocated. They're not expanded here because of the tax situation if some other big business in Minnesota state Reserve Mining Company, I mean City 3mr Honeywell threatened to close move out of some kind of special tax break. Would you recommend somebody text me for them? They were setting the precedent here is that when we have a serious environmental problem, we have a potential loss of 3200 jobs. What are we doing? We're raising the taxes on the corporation that are directly affected if the mining companies that are making the profits if the mining companies in a creating environmental problem. Why shouldn't we look to them for a response if we're dealing with the The Packinghouse industry or whatever it might be and if the facts were identical for this, I think we could The same way I don't think we're setting a bad precedent. I think we're setting a very proper president and I think members of business Community would look favorably upon this you're not being hit and it shouldn't be it. We got to hit. Those are making the money on it. That was a question and I'm still looking for him. There's always a possibility that Reserve will come in next spring and say well we've looked over the site if you want to cite a batter which would cost more but would you change your plan was just a one-time thing at 7 a.m. All I can, is I was instructed by the governor. They were told very emphatically but we must have a plan early or too prepared for the legislature and that plan is based on arriving at a tax credit based on the difference between going to milepost 7 to milepost 20 and if you company say we want to go someplace else that same tax credit would be a vet that same amount of tax credit would be available for another site but not a new tax credit based on increased cost of another site. I was made very clear very definite to the company. That is right. with the state legislation Coming Out For A Rip legislation From governmental Anderson's office. You've been listening to a news conference center, which rather complicated plan has been outlined a plan to assist Reserve mining company and switching to an attack in a disposal site at milepost 20. The company has said that it cannot afford to move to milepost money. It is said that it would shut down if it couldn't go to Maya po7 the governor in other state officials are obviously concerned about the loss of jobs and the economic effect on not only Northeastern Minnesota, but the entire state if Reserve where to shut down and they have proposed a plan which would have to be accepted by the legislature to assist the firm in moving to milepost 20. well I think it will of course be a good dealer debate on this plan in the months ahead. Certainly. It will be a very hot issue in the legislature in the coming session. We do not know, of course, even if Reserve mining company and its parent forms will accept it. It won't be any indication on that until after their final court disposition of the matter and of course of other party, which must agree to this plan is the federal courts, which I boarded Reserve to and they're like discharge by July 1977 the key part of this plan calls for a reserve to put up 70 million dollars money, which it would not have worked to close in July of 77. Carl I broadcasted this event has been made possible in part with funds provided by the Minneapolis Star technical director for the broadcast or Lynn Cruz Richard Nelson, this is Bob Hunter speaking tune to listening supported radio in Minnesota.