Mr. John Collison:

The basis of the recommendation is the analysis we did on the portfolio at the time. There were two things, and this is important, that we were adamant about at the point when we were assessing this. One was that the portfolio needed further impairment, and we were in no doubt about that, and second was the discount rate that would apply as 5.5% was not the appropriate discount rate for a portfolio that carried this particular level of risk. Our sense was that even 10% discount might have been a bit on the conservative side. That said, there are things that we would factor in. In the paper that went to our board in June, the 5.5% effective interest rate is quoted as a potential discount rate but there are exceptions to when we would use that rate and there has to be qualitative and quantitative factors that come into play. We certainly felt that Project Eagle was one such case.