Ann: Contracts Update, page-8

That's very true. There does come a point when a company is no longer cheap when management destroys enough of the value.

The context of my assertion is that sometimes heavily discounted companies with bad management can still have its share price correct back to fair value at which point I usually exit. Sometimes fair value diminishes because of poor management but that's where Buffet's famous margin of safety comes into play. Also really poor management does come into consideration when I analyse a company but I just don't rely on having good management as part of my investment thesis.

I do agree with you wholeheartedly though; poor management will destroy shareholder value usually by trying to chase growth.