rim capital not happy, page-40

Inc,

I don't understand what you want to be achieved by CRM taking a blocking stake????

Management have effectively said that the standalone development was a mirage, and that the 1.30 offer from the so called "natural owner" is the optimal position. So if the BHP scheme fails, then logically share price will plummet as there isn't a fallback plan. Plus we will have a new Board and mgmt team as they will have to go if their decision is repudiated, which while pleasing to some won't really help.

Management didn't fail us by accepting a low offer, they failed us by spruiking an unlikely developement option which they never believed in. The share price should never have reached 2.80, it was a mirage.

And curiously they choose to put UMC into play at the worst possible time with the CRM placement, no competition between Rio and BHP, FMG cash strapped and China a no-no with FIRB. Perhaps they saw only downside from here, who knows. This should be clearer in the IER

The biggest losers are the other juniors who are still reliant on access. Lower grade, poorly positioned and certainly not worth upping the ante any further with China. IMO AGO are the biggest winner, credit to their management team