Hi Lance et al, $4m/yr for admin (yes...even before any $ spent...

Hi Lance et al,

$4m/yr for admin (yes...even before any $ spent in the ground on a $18m) mkt cap LIC coy with $26m of losses and no cash is absolutely insane in this (or any) market. ( I've already taken into account $2.5m of loans) Last FY, the board alone took out $1.837m in salaries, options, fees and other related expenses. The management crew took out an additional $1.837m...(yes, just a coincidence). I haven't even bothered to add up what else they take from separate listed vehicles.

These are the kind of numbers you see for $100m+ size coys or coys that have real CF. If we accept a 1c payback, its validating the preservation of a life style coy whose main purpose it to preserve the cost structure that benefits insiders/directors.

Yes 4c seems aggressive. But look at the other coys that are making distributions. They are all demonstrating substantial cost reductions to their businesses, keeping a skinny 2 yr WC float with maybe 25-35% of the post distribute Mkt cap as 'project capital'. They are distributing the majority of their asset windfalls...AZZ, AOH, and others which I'll do some research on at a later date.

Point is; they are not treating shareholders with token gestures. They are treating them as the business owners they are.

Lets also discuss value here. 10c/share of assets held within DGR has traded at an average discount of 60% for the past 4 years. (yes, I have graphed it all). So on the same basis; we can have 4c in our pockets or they will turn it into 1.6c equivalent in the share price. That's a difference of 2.6c or approximately $11m that, given historical evidence, will just disappear. Who wants that? $11m is also left over isn't enough?? Get real.

4c back is still only a fraction of what all medium/longer term longer term shareholders have lost. It is not too much at all, if the board have any respect for shareholders and any confidence in themselves, to run an appropriately lean coy.

4c can and should be very doable.

Cheers,