agm...lti, page-3

normally I'd agree, when the share price collapses and they deliver themselves huge LTIPs with next to no real perfomance hurdle - it stinks

BUT, I am not sure that's what has been proposed here. As I have understood it , the proposed LDM performance rights are subject to a TSR measure (i.e total return relative performance of other "like stocks" measured over a 3 year period) with a starting price/level based on the VWAP for the 3 months ended 14 May 2013.

I haven't done an exact calc but just eye-balling the chart to me it looks like the VWAP for the 3 months ended 14 May 2013 is about 15 cents. So LDM first has to get the SP price above 15 cents and then the SP increase + any divs (hah!) above that level over the 3 year period has to outperform 50% of "the peers" before LDM gets a bean from these things.


Given that the SP was about 18.5 cents when LDM joined as CEO and 12.5 cents when he was apointed MD - I don't think its an unreasonable incentive structure.

Pls Note, I am no appologist for the Board or LDM and the sh*t perfromance they have delvierd with the SP collapsing over the last 6 months, so If I have got this factually wrong pls correct me.

Pls note