Ann: Half Yearly Report and Accounts, page-13

Thanks for the good analysis from contributors.
I'm reasonably happy that the business is being well managed operationally; as previously noted, the directors have a controlling stake and clearly are running it in an optimal manner to maximise profitability long term given the prevailing market conditions.
I am less happy with the capital management decisions. Most of the directors are not Australian resident, therefore they are not subject to Australian tax on the unfranked dividends because of the conduit tax relief ie foreign income flows through Australia to them without tax. However for us Australian taxpayers the unfranked dividends are an inefficient way of distributing the profits. It would make much more sense to not pay dividends but instead us the cash to fund on market buybacks. Other well run companies which do not have franking credits, such as CSL and QAN adopt this approach