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EXECUTIVE SUMMARY

Background
The principals of this program have been involved in their respective industry for longer
than 70 years collectively. During this time as part of financing businesses, each have
worked with many banks. This includes the closing and commitments in excess of 100
million for equity and loan commitments for more than $1 Billion. In todays financing
marketplace, it has been increasingly difficult to receive credit approval for a loan. A
new or business struggling to meet capital needs must have access to funding.
Though many programs exist with banks and government sponsored programs, a
massive void still exists.
To fill this void, the principals has sought a new direction in funding their own projects.
At the same time realized this direction may be useful to fill in the void where banks and
other financing programs cannot. The program discussed will utilize the principals long
standing relationships with banks, asset management companies and private banks.
There is an element of multi-national banking that is needed to seek this path of
financing as banking laws in the USA. The Banking Regulations in the USA do not
allow mechanisms of finance that other countries will allow. Therefore, the program will
seek services of different banking and financial institutions located specifically in UK,
Switzerland, and very particular financing services from the USA.
Program Participants
Financial Institutions participating may include some of the following:
HSBC (UK)
STANDARD CHARTERED (UK)
FALCON PRIVATE BANK (SWITZERLAND)
WELLS FARGO (USA )
VIOLA ASSET MANAGEMENT (LUXEMBOURG)
Principals:
John Richard Reotutar, Sole Proprietorship (JRR)
Vincent Schifano, VPS Internacional (VPS)
For this Executive Summary, the above group will be referred to as the PRINCIPALS.
Information on the principals will be included within this summary, enclosed as Exhibits.
Legal Representation:
Chris Henning, Esq Corporate Counsel JRR
Jay Kanetkar, Esq Partner VPS Internacional

PROGRAM DETAILS
Leverage
The program seeks to utilize leverage only available with financial institutions outside
the USA. This leverage is provided only by banking institutions and will only be afforded
with bank approved uses.
Leverage is defined by the International Finance Corp (IFC) as the mechanism which
allows financial institution to increase the potential gains or losses on a position

or investment beyond what would be possible through a direct investment of its


own funds. There are three types of leveragebalance sheet, economic, and
embedded and no single measure can capture all three dimensions
simultaneously. The first definition is based on balance sheet concepts, the
second on market-dependent future cash flows, and the third on market risk.
For purposes of the principals use of leverage, it will be provided by the bank
utilizing both balance sheet enhancement and future cash flows. It is this
leverage that allows the principals to create land increase credit facilities.
Balance Sheet Enhancement for the Banking Institution
VPS Internacional (VPS) is a mining operation located in Sanitiago Chile. The
company is primarily involved in the mining and sales of two commodities:
Copper and Iron Ore. It is engaged in a proprietary mining technology that has
decreased the cost of operations and making it a valuable partner for many large
end users of the mined products. The value of current in-ground assets and
under contracts are in excess of $100 million.

Cash Flow for the Banking Institution


The company in discussion, VPS has also been awarded a specific financial
license which allows it to bring in foreign investor dollars for mining operations as
a tax free investment. It is now a 19% fee for investment. This makes
profitability and cash flow position stronger. Hence, investors can make more
money. VPS also has various contracts with major buyers of commodities such
as Tube City and Codelco.
JRR is a Sole Proprietorship based in Chicago that has partnered with the
aforementioned companies but also adds several key items of collateral it holds.
This collateral is based on the premise there exists certain valuable asset such
as gold contracts, oil services contracts, and other commodity contracts - iron ore
and copper ore. These contracts are backed by a PROMISSORY NOTE by credit

worthy partners. JRR is the owner of these contracts. The contracts are
specifically described below as:
1.) Gold Backed Bonds issued and backed by Fides, a financial institution based
in Mexico. Fides and JRR have a relationship where Fides will allow JRR to
utilize its balance sheet of almost $5 billion dollars held at HSBC Mexico for
certain approved uses such as the purchase of commodities or financial assets.
2.) JRR also has a partnership with Hurricane Hydro Services and BCR Services
- both oil services based companies located in North Dakota. These companies
have been in operation since 2011 and create about $10 million in Annual Gross
Sales.
3.) Real Estate Assets and Other asset types such as machinery and owned.
JRR poses ownership through the pledge of certain assets in the form of sale
leaseback loan OR Promissory Note for certain approved loan uses.
Investment Leverage
The principals banks and other financial institutions have created a plan for
leverage of both cash and assets. VPS has a vast amount of commodity inground which have been approved for balance sheet enhancement by Viola
Asset Management (VAM). VAM has allowed its financial leverage capability to
be passed through to JRR and VPS . Again, a tool of finance not allowed in the
USA.
JRR through a relationship with HSBC UK within various banking divisions
entered into both cash management partnerships. This would include direction
of a bank instrument. The instruments are usually in the form of Letters of Credit
(LC) or Bank Guarantees (BG) and made to the benefit of JRRs Bank. JRR
in partnership with HSBC / Falcon Private Bank would create a leverage against
these instruments. Typically, the instruments required for this program is $100
million USD and up. In the USA, JRR works with Wells Fargo (WF). WF will
also leverage cash balances on behalf or request of JRR / VPS Partnership.
JRR with its contacts in the UK would utilize Standard Chartered Bank in the
confirmation process for Letters of Credit with the requirement that it be named
as Beneficiary of a bank instrument.
JRR seeks to utilize its assets held to create a leverage agreement to provide a
low interest loan facility and expand capital / credit lines.

PROPOSAL
Partner: Defined in this section is the party seeking to purchase or fund against a cash
block or bank instrument where the Principals of the program will assist by the leverage
processes discussed in the Executive Summary.
The proposal is based on the needs of the partners that will participate in the financial
program with is principals. Generally, it is the form of Joint Venture Agreement made
between the Parties - JRR, VPS, and Partners.
Principal Denominations: $1,000,000 and UP
Investment: Cash Deposits or Bank Instruments
Term: One Year Renewable
Guarantee: Non-Recourse Loan
Division of Loan Proceeds: Divided as governed by Contract, typically an even split
with JRR, MELL, VPS and Partner.
Collateral: Cash or Bank Instrument
Assets of Principal
Credit: Approval to the Principals has been granted by the banking and financial
institutions.
Leverage: The Leverage given to VPS has been in the range of 3x - 10x collateral.
Cash is awarded the maximum leverage and other approved assets may be in the lower
range. It is typical for this leverage fall in the 5x-6x leverage.
Requirements and Conditions:
SWIFT of the instrument is the acceptable form of delivery - usually MT 760 but may be
a different method by the bank and deal dependent.
Partner must make the DESIGNATED BANK OR FUND THE BENEFICIARY of Bank
Instruments.
Bank Instruments must be backed by cash, callable, divisible, irrevocable.
A pre-advice from the institution may or may not be required.
A bank letter from the Partners banking institution may required with specific language
which may be provided and signed by 2 bank officers.

Upon receipt and confirmation of a bank instrument, the Principals financial institution
will fund within a 15 day - 30 day period for the first tranche. Usually, this tranche is a
percentage in the 50% range of the instrument. Depending on circumstances of the
partner, the principals would seek a higher return from the institution and require a
higher first tranche distribution. This can be negotiated at the time of pre-advice.
Exhibits
Contracts and Other information submitted only to Attorneys and Banking Institutions

VPS

VPS, May 22, 2014


Proprietary and

Confidential
http://www.vpsinternacional.com/index.html
1) mining concessions in Chile of Iron Ore and Copper ore - Commitment to purchase
high grade Iron Ore Fines from 2 different entities : Tube City IMS / Greenwhich Conn...
and Sojitz Corp of Japan
2) we will supply the product from our own facilities in Chile loading 75,000 metric tons
of product every 60 days initially ,,, with the possibility to increase product to 150,000
metric tons every 30 -45 days thereafter for extended term contracts , 3 -5 year
consessions ...
3) VPS also controls over 2000 hectares of Copper deposits where we have 2 facilities
open and commencing operations , Both facilities have verified reserve potentials and
are being excavated and exploited as of last year .2013
4) VPS hold port concessions with Calderas , Coquimbo , Ventanas and Is currently
negotiating with Cap for utilization of the Totarlaillio facility in Copiapo region.
5) VPS has a contract with Codelco Ventanas for 1 million metric tons of Copper slag to
be lifted at the rate of 90- 100,000 metric tons per month with auto renewal for balance
of 2 million metric tons upon successful completion of the the first contract quantity .
6) VPS is also in dialogue with Codelco on some proprietary processes that can turn
the copper slag into copper re enforced Pig Iron in a totally turn key green process that
will revolutionize the Copper slag problem in Chile . ( Its a problem because of a 2 time
process that causes a high level of contaminants and is prohibited under environmental
impact laws to be further processed without a 100 % utilization rate ... something that
has never been technological available until now.
7) Joint venture with University of Santa Maria Vina del mar / , for developmental lazer
technology equipment fully tested and capable of provided accurate in depth real
time live analysis on mining operations, vein exposures and tunnel entry applications
with highly detailed accuracy ...

May 11, 2014


Proprietary and Confidential
JRR and its partner Corporate Facilitators Pty Ltd (CF) is an Australian Proprietary Company,
limited by Shares. It was registered on 19th March 2008 and is located in Canberra, Australia. Its
Australian Business Number is 43 130 247 942. CF is a foreign registered company in the US
where our office is in Chicago, Illinois. CF's Federal Employer Identification Number is
98-1110803.
The Strategic Plan of Corporate Facilitators Pty Ltd requires it to provide an overview of the
companys objectives, strategies and actions that will lead to the planning, development and
operation of CF, its subsidiary and joint venture operations around the globe, and its recognition
as an organisation that is predicated on integrity and honest dealing, with the development of
infrastructure funding for deserving and emerging economies; and to have this based on a strong
and supportive bond development programme supported by investors who are like minded and
prepared to hold investments for longer periods for each project in which CF is involved. CF
operates in the Project Management for Infrastructure and Mining sectors. CF has taken a long
term perspective by entering into industries that, have 10-20 year growth expectations this
includes, but is not limited to, commodity trade (coal, oil, gold, diamonds), energy developments
or alternative energy and mining in base metals or rare earth,
The key to the development strategy is the placement of initial funds into approved projects. This
requires solid support from key banking and finance investors in multiple countries. It also
requires the development of a number of strategic joint ventures. To this end the company has
changed its business model over the last five years. Originally positioned as a provider of import/
export services to facilitate small project development or assistance in emerging economies (its
first transaction was the provision of plumbing supplies into an eastern African nation), it has
developed more specific strategies to achieve its ends. It has invested in its future by developing
long term relationships with bankers, and with international development managers. It has
opened joint venture discussions with a number of parties and has developed engagement models
within multiple economic regions.
The key elements of bringing CF to fruition and then successfully operating it as a major
infrastructure funding facility are listed as follows. CF will
become a major investment and funding entity backed by solid financial houses;
create and control a profitable commodity trading operation;
create and control a principal protected bond program (PPBP);
support the PPBP with suitable credit, project and political risk insurance;
prepare/perform appropriate due diligence to ensure project data is accurate and achievable;
and
engage where necessary suitable technical providers to ensure timely completion of projects.

JOHN RICHARD REOTUTAR, SOLE PROPRIETOR


446 West Arlington Place
Chicago, IL 60641

JRR

Please refer to Linkedin Profile https://www.linkedin.com/profile/view?id=10832039&trk=spm_pic


Mr. Reotutar is a Director USA for Coporate Facilitators Pty Ltd, and Vice President of Sales and
Trading for VPS Internacional, partner in Hurricane Hydro Services LLC and BCR Services, and
an original investor of Southern Cross Resources Group Inc.

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