Basically the Company is valued at cash backing now, money used to buy back shares will simply mean less shares in play but also less cash backing so it is a zero sum game.
However cash backing will bleed relentlessly whilst we have no income producing assets, so I expect the share price will drift down while our Board continues to gorge on their fat salaries.
The only thing a buy back might do, is that it gives those who want to get out a limited chance without coping too much more of a shellacking.
As far as having interests in other areas of Australia, that path is fraught with danger as well...it is now proven that State and Local government can't be trusted in Australia, so no sir...Australia and in particular NSW has clearly demonstrated that it is CLOSED FOR BUSINESS.
We should be calling for the head of Minister Roberts and NSW Premier Baird for dishonorable service. And as far as the Dept of CSG in NSW is concerned that should be seriously culled because thanks to NSW government that area of business is stuffed so it won't need much infrastructure to preside over doing NOTHING.
MEL Price at posting:
5.8¢ Sentiment: None Disclosure: Held
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