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Snell &Wilmer <br />LLE <br />tww oFSrcEs <br />1200 Seventeenth Street, Suite 1950 <br />Taboo Center <br />Denver, Colorado 80202 <br />(303)634.2000 <br />Fax: (303)634-2020 <br />Robert D. Comer (303) 634.2015 <br />Intemer. Icome~awlaw.com <br />February 9, 2001 <br />VIA RAND DELIVERY AND FACSIMILE TRANSMISSION <br />Cheryl A. Linden, Esq. <br />Robert D. Clazk, Esq. <br />Office of the Attomey General <br />Business and Licensing Section <br />1525 Sherman Street, 5th Floor <br />Denver, CO 80203 <br />Re: Second Fortnightly Report, NOV # CV-2000-010 <br />S&W File No. 38283.0001 <br />Dear Cheryl and Bob: <br />otr+vm a7igtwro <br />a~wrx, ~avorln <br />nxs>N.natrnru <br />mvaatcv~oafan <br />sntrurearx vrnx <br />Fax: 303-866-3558 <br />Fax: 303-866-5671 <br />This letter constitutes Powderhorn's Second Fortnightly Report pursuant to your letter of <br />January 12, 2001. Powderhom appreciates the continued willingness of the Colorado Division <br />of Minerals and Geology (DMG) and the Colorado Attomey General to allow Powderhom to <br />work towazd resolving the financial assurance issue created by the federal delisting of Frontier <br />Insurance Company ("Frontier"). <br />The report contains three parts as identified in your letter. Part I identifies the efforts <br />taken by Powderhom during the period between January 28 to February 9, 2001, to obtain a <br />replacement bond, including contact information, Part II identifies the steps taken by <br />Powderhor during this period to have Frontier obtain an alternative form of financial assurance. <br />Part III identifies other activities undertaken by Powderhom during this period to resolve this <br />matter. <br />PaK I. Efforts To Obtain A New Bond <br />In the first fortnightly report, Powderhor reported on conversations with representatives <br />from three brokers to replace the existing Frontier reclamation bonds. In addition to providing <br />the contact information, the status of those contacts is as follows. <br />rrozt <br />Snell & W ilmer is a member of Lest MUN04 a IeaJing asx¢iatiun of independem law firms, <br />