TNT – Tony Call – Friday


TONY – Good afternoon, TNT. It’s Friday, September 12, 2014. It’s a superfantastic day. It’s a really, really great day. We have lots of info and we’ll get into some really deep, good stuff. Great things are happening in the USA and in Iraq. Let’s step back to Wednesday, DC. Let’s start there. There was info we left out on Wednesday’s call because it was hot and heavy and I was asked not to share. But today it different. We knew the RV wasn’t happening on Wednesday. So, one of the major things that had to be accomplished on Wednesday, Qi Cards in particular, Iraq does things in a hierarchy. They went back in and loaded the system with new numbers/rates and doing it so it would be Basel III compliant. That’s what we were waiting for on Wednesday. We knew once that was completed we’d be at another level.

DC – Let’s get right into it east to west and chronologically: On Wednesday they started loading these cards up. The first thing you’ll ask is “I thought you said they were already loaded?” Some debit cards in some account were not fully changed. That caused lots of trouble for folks as they were loading them into a terrible 5-tier system. They reduced it to a 1-2 tier system and as of this morning that was fixed. They were being loaded at the CBI yesterday and Wednesday. Memos went out from the CBI to banks connected to them, Saudi Arabia, Dubai, etc. telling them to be prepared and that they were not waiting on any political action in Iraq or in the world. That was really bold for a central banker to say that to the world. A lot of other folks were saying they had to wait for the budget, other laws, etc. and the central bankers said “none of that matters.” That happened Wednesday night and yesterday.

DC – Tests were done worldwide to allow some folks to cash out, in a testing manner to be the rest of us could do so successfully. They have prepped for celebrations and everything else. Anything else, Tony?

T – You’re going to make a great politician – LOL! Before you go right up to today, how about the Security meeting?

DC – Sec. Kerry was in the ME helping build the coalition to fight ISIS/ISIL. He was there putting together those details and did a really good job. He was there yesterday and Wednesday meeting with Abadi and said wonderful things privately and publicly about how well things have been organized in Iraq’s new gov’t. He pointed how much progress they made and how everyone is on the same page. Also, that they are cohesive with the Sunni and Kurds. Then he also said “let’s get this economic reform moving.” You’ll be hearing a lot about this “economic reform” in the coming weeks. That’s the phrase being used internationally online and in the news. Abadi and everybody else is saying “we’re getting this done” and everybody is jumping up and down doing so.

T – Economic Reform is the new term for revaluation.

DC – On the news there they’ve been scrolling during the news and normal broadcast that the coming revaluation is coming very quickly. They’re describing the exchange process is you’re overseas. They did the same thing last March when they were getting close. The detailed how to handle the 3-zero notes and told them to be cautious about exchanging them, making sure no one gets taken advantage of.

DC – They’re going thru those instructions on the news, radio, websites, etc. It’s even making it to the US Iraqi TV.

DC – They told everybody to get ready for it today. They sent out memos it would go at 10AM this morning with those memos sent to banks about the US roll out plan. Those paying attention to the internet will see some in the ME are exchanging, with some banks jumping the gun a bit. How does this occur? The banks feel so comfortable they’re basically taking their money and giving them receipts and credit. The CBI will credit them now. You can walk into some of those banks in the ME and do that now.

T – That happened because it was supposed to be at 10AM this morning. But the time was changed to…whatever time DC tells you..

DC – tomorrow..2 sources are saying the revaluation is tonight/tomorrow at 3AM their time. I find that hard to believe but that’s coming from 2 different folks. Let’s hope and pray that’s right. My understanding from the latest calls is that Iraq has the right to do this in 10-15 minutes and they want this done right the 1st time. They’re trying to giving everybody a head’s up time to get their act together. They want the banking system and law enforcement to be ready. Those memos from Iraq are saying “we can do this anytime we please” but they want to give everybody time to prepare. They are prepared for this go at any minute across the world.

DC – The budget is being pushed through but it’s not super important for the RV. They haven’t combined all the segments from the committee members but it’s not tied to the RV. ISIS/ISIL – more airstrikes that were positive and more Sunnis are much more supportive of the GOI.

T – Okay, everything we’re talking about will come out later this afternoon. We did not give the exact time and the fact there will be celebrations scheduled for tomorrow means someone else also has the schedule. It shouldn’t make any difference this close.

DC – Why we’re giving this much detail is because (1) it’s not threatening to anybody and (2) we’ve been this close before and somebody screwed it up. So stay calm and cautiously excited. We are immensely close.

T – That’s why people in Egypt are exchanging.

DC – There are other countries as well in the ME who have some exchanging going on.

T – They’re announcing on Bloomberg that some countries are going through an economic change.

DC – On Bloomberg they’re saying some countries made a big jump… this is not an indicator of the RV, but that some countries on the edge are ready to go.

T – These are countries we know are on the list for the GCR, so this is significant they put this up this morning.

DC – These countries’ currencies have been beat up a lot so this is significant.

T – Why would they do this on a Friday afternoon instead of Monday or mid-week? We shouldn’t have to spell it out for you

DC – They did plan to make announcements in the mosques this morning. Some just rolled their eyes and said “we’ve heard this before.” But they are more optimistic and getting ready. A lot of European countries are ready for this because of the Urkainian-based sanctions against Russia. Scotland needs a shot in the arm. The UN Security Council in NYC is pleased with what’s happening. The UN is partying with the Chp. 7 issues being completed, from all the way back in June 2013. The IMF/BIS is coordinating everything and tests are being completed. The UST is prepped and ready to go. They’ve been running tests successfully. Almost all in the Admin are supportive and parties to get this done. The boss (POTUS) is ready, Senators and Reps are eager for their mid-term elections and are strategizing how to spin this.

DC – Banks and call centers are ready. Banks are going to get aggressive to get this done. They are highly ready for this go thru and ready to get it done. Security is ready to catch more bad guys and they are told they are going to have a very busy day on Monday.

T – Before we take questions, I want everyone to hear me: I have done my job, my political job and this is as close to politics as I ever want to be. I just did my 4-year term – LOL!

DC – Some of our friends in the Senate have said “we could use some fresh blood” but we are not here for politics. We’re just here to inform, that’s all.


C – Will we not hear from you after today?

T – I think they’re making a major mistake if they don’t let us talk to you to help thru the process. It will be a major cluster-#$*%. Today would be an excellent day to ask DC about different scenarios ahead of time. We may get a 15-minute closing call, but I’d rather do a 2-hour closing call. I just don’t know what I’ll be allowed to do. If there is no NDA I will here the whole way with you. I cannot give you advice, but I can give you my opinion.

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DC – We do this to help everybody out and don’t want to feel like we are abandoning you at the end. It doesn’t have to be us, but we want to help everybody thru this process.

C – It’s kind of scary they would let you go this far and then cut you off from us. Who would they turn us over to – the scary bankers?

T – It is a scary situation because there are other people out there not under an NDA who will give you info to get them involved with them. Some folks made major mistakes over the last few years. They have a system but it’s a concern. We could still come on and give you procedures.

T – But I think it will happen soon.

C – At one point rates were $38/IQD and $15/VND. What are the highest rates you see the dinar & dong going to in the marketplace?

T – They don’t want us to talk about date/rate. But as far as the availability of rates and procedures to get good rates, etc. those are all good questions for DC.

DC – The original plan has been that for a period of time, a pool has been negotiated with China and the UST for a contract rate. That pool is finite – a limited amount. How much is left depends on how many cash out. The NDA and tax situation for that pool will be challenging. Some people don’t want to live under NDAs and other issues. There has been a change in that contract pool so many times, frankly it has changed in the past several days. We can’t give that info out in case it changes again. There is a plan for a higher rate we’re calling the contract rate that everybody can have access to while that pool is left. It had a very simple form: A =   taxes, long NDA, B = mid-lower deal with medium taxes, C = int’l rate. That plan went away but came back. Even the folks implementing these plans aren’t sure how they’ll work. So everyone has to be flexible with their approach.

DC – The original plan has been that for a period of time, a pool has been negotiated with China and the UST for a contract rate. That pool is finite – a limited amount. How much is left depends on how many cash out. The NDA and tax situation for that pool will be challenging. Some people don’t want to live under NDAs and other issues. There has been a change in that contract pool so many times, frankly it has changed in the past several days. We can’t give that info out in case it changes again. There is a plan for a higher rate we’re calling the contract rate that everybody can have access to while that pool is left. It had a very simple form: A = higher  taxes, long NDA, B = mid-lower deal with medium taxes, C = int’l rate. That plan went away but came back. Even the folks implementing these plans aren’t sure how they’ll work. So everyone has to be flexible with their approach.

C – Did Tony say some contract rates will have lower taxes?

DC – Yes, on some contract rates they were structured around income rates and might have lower taxes. Bottom line is we just don’t know.

C – What would you (DC) do?

DC – I’m going to get out my calculator and ask the rate for A and get the highest tax rate for my state, O’Care tax, state tax, etc. I’ll have these already to go. I’ll plug in A which is higher and B which is lower. Whichever comes in with the highest net is the one I’m taking.

DC – I’ll walk it thru and do the math right there and make my decision. Some will have only 1 rate so there will be no issue.

C – What about reserves?

DC – The latest info I have is that, say you get the highest contract rate tomorrow and you have reserves. They will not guarantee you that rate on those reserves because it could take a month. It will be rated at the time of the exchange. The contract rate will go down, based on how much is taken out of that pool. We don’t know how much is left. It could take 48-72 hours or 10 days for everybody to work thru those rates in that pool.

C – What about caps?

DC – We know caps do exist so some folks can’t go in there an take the whole damn thing. It was originally set for $50M on the dinar. On the VNN we don’t know.

T – There are some different levels for the cap. It’s how much you can exchange at that level, not how much you can exchange overall.

C – Any chance the market rate will go up to the contract rate at some point?

DC – Never say never, but IMO it will not go that high. I expect it to be erratic when it floats. There is a lot of supply with all of us exchanging. The demand to buy it is with most gov’t that have it. The hedge fund and financial guys will pay 20% over the CBI rate and see where it goes. Over a period of time, from 15 days to 6 months, they will let it float and have free reign, then manage it closely to what other ME countries are trading at. They question is how much time they will let it float. They want to cushion that so it’s not as volatile as the Kuwaiti dinar was. It will float based on supply and demand.

DC – Most of the banks will have the ability to sell into the market or direct to the UST or Treasury. They will be adjusting during their normal times during the day.

T – For those of you complaining to Pam, she was asking good questions that everyone wanted to know and we wanted to talk with you about today. It’s not she took too much time – she asked good questions. And, I talked with Okie last night. He’s doing fine. He had the flu but is doing fine now.

C – So are you saying Monday is our day?

T – On their TV for the last 48 hours they are telling them how exchanges are going to happen. Announcements and celebrations are scheduled for tomorrow. Some in other countries are exchanging because they were told it was happening this morning at 10AM.

C – When will we get the 800#s?

T – The perfect scenario is for it to happen tomorrow since the banks are closed. Their concern isn’t the 5M people. It’s with the 300K people in Dinarland and can they get them done in 72-96 hours. If they do it over the weekend they could get a lot of us done and no one would know. They could send us to off-sight locations, with appointments, and no one will know.

C – With that scenario we need 800#s!

T – I think we’ll have something. We have access to the largest number of people so it makes sense to give us 800#s.

C – Will all banks offer contract rates or just WF? Will there be contract rates on dong?

DC – Some Tier 2 banks will offer those rates as long as they are available. Other banks complained.

C – Please clarify: you said 3AM Iraq time, which is Friday evening EST.

DC – I was scheduled for 10AM Iraq time today and they didn’t do it. There are several windows and it’s up to Iraq when it gets done. They’re trying to give enough people a head’s up so it’ll be as smooth as possible.

T – There are celebrations scheduled for tomorrow and announcements are scheduled for the mosques.

C -Will you tweet the 800#s?

T – When I get the 800@# I will tweet. I always have my phone, so it won’t be an issue.

C – As long as you are not under an NDA, can you give us options on the site?

DC – That is a scenario we ran by them and they loved it. Then attorneys got involved and they didn’t like it. So they changed it again

C – You said the IMF/BIS is coordinating again. Is that triggered by Iraq’s timeline?

DC – Yes, to be as least disruptive as possible.

T – The release has already been given to the IMF/BIS, docs have been signed, etc. the path is cleared for them to be ready to flip the switch.

C – Are the dignitaries still there?

DC – Some stayed until Tuesday but most went home. These are the people’s celebrations they’re talking about.

C – I’m a newbie who had a customer come into my store who is an Iraqi veteran. He told me his superior officers told them all to invest in the country to help them out when they restart. I’m trying to tell the listeners there are good and bad in gov’t and I’m glad to be part of this.

C – He said some guys had a limit of $5K per person and some were getting court-martialed for buying too much.

T – Hopefully he’s not holding Saddam notes – they’re worthless.

C – I will see if has the right ones because he offered me some.

C – We live in the country, 2 hours away from a large city. When we get the tweet should we start our drive right away so we can get the contract rate?

DC – It won’t be hours, but days. Remember, how people are really paying attention to this? About 50K-75K. In the grand scheme that’s not that many people. They have been trained to cash you out quickly – in 20 minutes. Most will be done in the first 48 hours. The major cities might have issues: Atlanta, Dallas, San Antonio, San Francisco, Charlotte, Los Angeles – all the places where there are military veterans, federal workers, and evangelical churches. In those areas it might be a day or so.

C – Should I keep my cell phone handy today, tonight, tomorrow? You have to pick.

T – I can’t narrow it down that much but it’s going to be a great weekend.

C – If I have a not-for-profit holding dinar and I hold dinar personally, do I need 2 appointments?

DC – You need 2 appointments.

C – How would you handle reserves to get contract rates for dinar and dong?

T – I would first put in a sell-order to payoff my reserve to put me at the front of the line. Then, based on how much I have, is he coming to you? Are you going to me? I’m paying for it to be shipped to me as fast as possible if I’m not going to him. He will give you the rate for that day. If you don’t want the contract or market rate, no NDA, etc. leave it right there (with the dealer) and put in a sell order and watch it float up.
C – You have my phone number. I’m willing to do practice run in my area. I don’t have a big following like you do. LOL!

C – Are they still planning to exchange in the evenings?

T – Yes, up to 11PM at night.

*NOTE: That previous caller want Tony to tell the PTB that he’s willing to be a guinea pig for a practice run.

C – When we get the 800# do we immediately call and make an appointment? Should I worry about not getting the contract rate?

DC – We understand that the contract is first-come, first-served.

T – If I go in and ask for the contract rate and I’m told it’s no longer available, I wouldn’t do my exchange at that time. I would watch the rate, watch the exchanger, and wait for the rate to get where I want it to be. When you call the 800#, you get the rate for the day of your appointment. With the exchanger (dealer) you get locked in to the rate based on your sell date.

C – Will the Zim be in the first basket?

T – After that was asked on the last call, there was an article the rate of the Zim went up, probably because of all those dinarians. LOL! Yes, it will be in there.

NOTE: Current caller asked a VERY broad question about what Tony and DC have learned thru this process. They have been answering that for the past 15 minutes or so. Obviously not transcribed.

DC – Everybody is really happy. Iraq has the ball and will do this at any time. They are ready and have cued up all the banks worldwide. Celebrations are scheduled for tomorrow. They’ve told TV this is happening tomorrow. All of this info is very public. Other countries have jumped the gun and started exchanging, especially ME countries with direct connections to the CBI. In the USA everybody is sitting on the edges of their seats, hoping this gets done on the timeline this weekend. If this is our last call, have a plan before you start spending!

T – Everything looks positive. People are excited around the world. People are getting paid. Let’s hope this is our turn. We want to be here for you, whether it’s one more call or 7 more calls. We hope they will allow us to do that. Hopefully this weekend it’s all over. If not, I’ll let you know. Still gotta pay the bills! I think it’s going to be a superfantastic weekend and this will be the weekend we’ve all waited for. Everybody we’ve talked to in Iraq are super-excited. We didn’t give too much info, so we can’t mess anything up. It’s been my privilege to do this. I’ve met some superfantastic people during this. We have some very decent, hard-working people here. I hope we get to do something with you at this final piece. Let’s see what happens. Thank-you to all of you! I’m anticipating another call this weekend. Have a great day.


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