Ann: Appendix 3Y, page-7

Actually, I was thinking the same thing. If I was them and the stock was getting so little love, I would try. I really hope they don't though.

I think this would be very bad for Shareholders - even if they offered a 'premium' - what would they offer - 50c, 60c, 70c, 80c? I think FLN is worth far more than any of that, if 1 is willing to wait a few years (of course, I could be very wrong!).

I have lived/suffered through 2 takeovers by Directors, who a offered lowball price. They both happened to be Chinese Co's (and as a result, I will never invest in another Chinese Co.) despite the fundamentals. It was a while ago, so I don't remember all details - but in 1 case I made a small profit - maybe 10% or so? And in the other case, I lost a fair bit - both as a % of my average PPS and as it was one of the largest stocks in my portfolio.

In both cases, I was confident the Co. would recover in time, so I wasn't worried about the temporary crappy shareprice. But then the unscrupulous Directors made their lowball offer, their puppet Board recommended accepting it - incl. so called "independent" Directors. I voted against it - but I'm a small fry. The result was I had no choice but to take my payout. The Chinese have a very different understanding of how one does business - it directly conflicts with Western "values" and I learnt this the hard way. Many non-Western countries do business very differently though - so the Chinese are certainly not alone. I can understand why the Directors did it - they saw an opportunity to make a lot of money - but they're effectively stealing the company from it's owners - and they are meant to be the ones with stewardship of it and representing you, as a shareholder!

Anyway, enough grumbling. I hope Barrie and Clausen don't try something like this - I have no reason to think that they would.