OTC Disclosure & News Service Georgetown, ONT, Canada - KMA global Solutions International Inc. - January 24,2011KMA Global Solutions International, Inc.
("KMAG") announces today that it has approved a partial liquidating dividend of its three subsidiary companies paid to company shareholders on a pro-rata basis (1 for 1). Also KMAG would like to issue a clarifying statement with regard to the contracts referred to in its Initial Company Information & Disclosure Statement between KMAG,its subsidiaries and r-pac International Hong Kong limited.
In finance and economics, liquidation is an event that usually occurs when a company is insolvent, meaning it cannot pay its obligations as and when they come due. Bankruptcy Code governs liquidation proceedings; solvent companies can also file for Chapter 7, but this is uncommon.
The company’s operations are brought to an end, and its assets are divvied up among creditors and shareholders, according to the priority of their claims. Not all bankruptcies involve liquidation; Chapter 11, for example, involves rehabilitating the bankrupt entity and restructuring its debts.
A principal objective of the Company is to achieve long-term capital growth through the appreciation in value of the coins acquired.
Compound annual returns achieved over the medium to long-term for the highest quality and rarest coins can reach as high as 10 per cent.
The most senior claims belong to secured creditors, who have collateral on loans to the business.The licensee payments in year 1 is anticipated to be approximately ,000-,000 based on Sales volume which is still proportionately controlled via Jeff Reid and his business contacts.This value is anticipated to increase over the next year (The patents are available for 17years since the issuance of the patents).This is not the same as its debts being discharged, as happens when an individual files for Chapter 7.The debts still exist in theory, at least until the statute of limitations has expired, but there is no debtor to pay them, so they must be written off in practice.The Board's decision on whether to acquire or dispose of a coin or coin collection is made on the recommendation of its industry expert independent Advisory Panel ("Panel") that assesses and approves all coin trading related activities.