The Annual report does say "Due to this enviable position – a...

The Annual report does say
"Due to this enviable position – a high growth, high cash generating business – our minds are now turning to consider capital distribution options. Your Company now holds franking credits in excess of $30 million, cash on balance sheet of $57 million, and a growing capacity to distribute cash to shareholders in the future. We are currently considering the various options open to Uniti to distribute any surplus cash back to shareholders, including a potential share buyback subject to market conditions."

A cautionary note or two:
1) where Long Term Incentives for key management or Directors is tied to share price, then one must always ask the question of HOW MUCH the LTIs are influenced by share price, and whether that has any influence on a company board deciding on buy backs. IMO in this case, but by no means an expert, looking at the remuneration report they don't need a share buy back to exceed the benchmarks they set for the share price element of performance related remuneration.

2) Also, how many options do key management hold, and how does a buy-back increase the value of options they already hold, value of recently exercised options, or shares issued under short or long term incentives .

I calculated 11.4m shares issued or options exercised since 1 July, valued at $40.8m when issued, with VWAP of $3.58. So those are in the black to the tune of $6.9m between issue and date of buyback announcement, since retreated $1.1m.

It's up to each holder to decide if there is ever any conflict of interest or incentive for KMP/Board using our capital to support share price when it is above the VWAP of recently issued/exercised...



(NB, not all of these are shares/options for KMP, some are from acquisitions, and I may have exact price at issue date out by a cent or two)

That they have the capacity to spend capital on buy back doesn't mean they have to use it: it is for each holder to decide what financial discipline is displayed, (and perhaps the relative influence of LTI/STI, recent exercises/issues), on the price at which the company choose to invest in their own shares. (Looking forward, one could also calculate the potential number of shares that might be issued as part of the STIs/LTIs, and compare that with the number being bought back ...)

DYOR, and maybe some questions to be asked at the AGM.....