Ann: Requisition from Shareholders , page-11

Graham

Surely you know something about this mysterious Mr Price. Todays AFR has a write up which indicates he has relevant experience in the industry.

Re your Four Part Value Proposition

1. You are indeed entitled to the first $285 million in the capital structure of PaperlinX but only in limited circumstances as previously outlined.

2. A good aspirational goal just as PPX shareholders would like to see a return to profitability with a resultant increase in the SP

3. Unfortunately for you the conditions attached to the stepups, PPX is NOT required to pay PXU divs unless they also pay PPX divs. Most other commentators suggest payment of PXU divs is unwise at present.

4. Under a change of control you are entitled to your full entitlements but if the deal cannot go ahead without PXU holders compromising, it may be in the PXU holders interest to accept less.

Is fair enough for PXU holders to present a united front but they should make sure that the front is the right one. The same applies to PPX holders. I am waiting to hear from Mr Price to see if I should support his proposition.

It is possible that readers of this column might make a difference on whether Price gets elected if votes are close. We had a similar debate last year at RHG when Kinghorn got rolled on a buyback proposal. That game involved Wilson Asset Management and Cadence acting with support from The Intelligent Investor taking on Kinghorn. There was a lot of talk on Hot Copper