Ann: GEM Share Placement, page-4

I've been watching GEM from the sidelines for a while now, contemplating taking a position, but this debacle well and truly puts it in the "Poison Chalice" category.

The Childcare market would appear to be overheated in certain regions of the country at the moment, as developers jump on the bandwagon to cash in on what is perceived to be a "safe & easy" commercial asset class.

With increasing competition, what kind of a publicly listed company would wade in like John Wayne with all guns blazing, and commit to such significant capital acquisitions in the near future, without sorting out its finances first? What ever happened to a measured approach? What consideration has been given to pressures on future vacancy rates and the possibility of the increased price of cash?

And what kind of a publicly listed company would link such a significant part of their future debt reduction/acquisition strategy to a foreign-owned company, yet gift them a "get out of jail free" card ???

It's absolutely unbelievable!!!! In my opinion, the incompetence is staggering. I wish all share-holders well with this company, but I cannot help but feel that tomorrow will see a bloodbath. I hope share-holders hold management accountable for such incompetence.

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