ann out: update-equity raise-suspension, page-35

5hareholder ... I agree, knee deep in MAH somehwere is a good company with a sound business model.

But, what all of this has told me is that the managment of MAH are either lacking in integrity and/or lacking in capacity to responsibly manage the business. It is I think fanciful to conclude that the losses sustained were actually sustained in the period post release of its annual report (20 August 2012) and before the annual general meeting (or thereabouts).

The cold hard truth is that these losses should have been evident at the time the job was commenced. 20/20 vision hindsight is wonderful i suppose but as at June 30 when an awful lot of great minds were supposedly verifying the books of account, these susbtantial losses (to the tune of $100m ~ 25% of total NTA) were not detected.

They purport that they did not know. Again, breathtaking IMO!

And if they sincerely did not know, what have they done about it? Sacked the CEO. The CFO must have some culpability? No change there. Will the additional capital be applied more diligently. I doubt it.

But when they supposedly did find out, what did they do with the information? Certainly did not tell all shareholders. In fact, it would seem trawling through the endless announcements & presentations, they avoided it. The CFO proudly announced at the results presentation "headroom" in all debt covenants. The equity raising essentially repays all debts just so they are not responsible to manage to debt covenants. That does not look good IMO

I reiterate ... the ASX is founded on trust. The rules equate to didley squat. Management (incl. directors and senior executives) must be trusted to be diligent, honest, effective. IMO MAH has spent all of that trust and at the ground roots level (... I think they call them shareholders...) will be significantly less interested in participating. I for one certainly have better things to do than second guess what management (incl. directors) really know or are doing or where the next incompetent fool will be identified.

Christmas Creek. IMO I would be (and am) very wary of this now. It is very heavily qualified in all the recent announcements and IMO the detail as to application of the equity raising to Christmas Creek is very very very vague IMO. MAH can stitch up sale of a significant business component but cannot conclude a contract of this significance??? Just to be clear, this is the same deal proudly announced early October ... nigh 2 months ago.

The maket was and is ill-informed IMO.