WEBINAR QUESTIONS, page-73

Thanks for the link @Holdtight

I just watched the webinar thanks.

Very enlightening. My opinion of Dave as a CEO was not in doubt, my opinion of him as a person has dropped significantly. How could the board think it acceptable to not address the cameras in person – they still claim to be a leader in making spaces smarter right?

Reporting Error

Jim took full responsibility for the reporting error, but nobody has accepted accountability. Big difference.

He explains that it was a result of what can only be the actions of a junior practitioner, not that of a COMPANY DIRECTOR.

BUD has now added resources (read COST) to ensure that a schoolboy error does not recur. That is, the junior accountant will help stop the director failing. Hmm!

Dave made no admission of being accountable.He purposefully avoided answering the question that seeks to get him to admit he stuffed up and instead dismissively told us to go read Schedule 7 – we all know the answer, but he refuses to acknowledge it.

Says “I am happy to take questions, but I will go thought them as briefly as possible” – i.e. I will dodge them as best as possible and pretend it is acceptable to take them literally rather than for what I know is their intent. Anyone with any experience in this game can see questions were prepared to facilitate avoidance where necessary.

Example of a Q: Do you envisage another capital raise? Pretty obvious that shareholders are not referring to the one in progress Dave.

The response was condescending beyond arrogance, to refer to the current raise and purposefully ignore the obvious reason for the question. Could he be so very unaware that shareholders are seething? No! More smoke and mirrors and avoidance of the hard questions.

Goes on to describe the misgovernance of the last 6 months as “a few roadblocks”. Oh my goodness, the smugness?

And here is the great ruse:

“Both Richard and I at the point of the reporting error being discovered in April elected to reduce our salaries to zero and that has been the case as we work through these issues we wanted to make sure we were doing the right thing by the business and by shareholders”

Then in the next breath “Just a reminder that we don’t pay our board in cash, we pay them in stock and that vests over a period time”

So we have reduced our salary from zero to zero. Fantastic. We will just give ourselves shares in the future instead of now.

nb. the ‘business’ is not affected by the number of shares they give themselves – only the shareholders.

In summing Dave stated that the reporting error was “unacceptable”. But he has accepted it and is simply moving on. So when he says it is unacceptable he really means ahh its unfortunate. Like saying folks there I have good news ... and bad news.

The bad news is we have had to dilute the value of your investment by 30%, but the good news is …….. the staff, board and I still get paid

Increasing Revenue is all well and good, but it should not be confused with or construed as “Profit”

This was pretty much a marketing video for the many new shareholders he gleefully mentioned. When my actions smash the share price to pennies why wouldn’t those who I have not previously burnt to a crisp take a little punt.

I also love how they claim that they were able to raise capital is good, without acknowledging that fact that it is at the expense of shareholders. Successful only in that it keeps in in a job.

He will end up in politics

That's my take - each to their own