Ann: Terms Sheet signed to acquire Mongolian coal, page-18

re: Ann: Terms Sheet signed to acquire Mongol... How does the MD have the gall to take a salary of $210k when there is only $30k in the bank?

I notice that over $300k of directors' fees have been accrued to the balance sheet. I say, if the company doesn't have the money to pay your salary, you obviously have not performed at a level deserving of such a salary. If you're confident you're going to succeed, then take a significant portion of your package as options with a fair strike price. That would be my preference given the situation the company is in. That salary in cash is just insulting to shareholders.

I suppose that $500k they raised via the convertible note issue goes to paying these accrued directors' fees, along with the $130k in accounts payable, so then with outgoings since 31/12/11, we'd be pretty much back to zero cash and outstanding accounts payable as of right now. Plus I suppose another $200k-$300k in directors' fees will be accrued for the current FY.

Agree completely with everything you said cmk1969, especially the travel expense - WTF!!! - for what they did in the 2012 year and what is currently in the pipeline (how optimistic of me, "currently in the pipeline" bahahaha yeah right) the travel expenditure is ludicrous. I wonder if they fly business class?

If Joe needs to travel he should be flying economy and staying in a caravan park...and he can get Dawn to pack him a cut-lunch of jam sandwiches too.

No more hot lunches on the company account until you produce some results Joe.