Ann: Sky not proceeding with MediaWorks acquisition, page-32

Re 'trust' & being a 'partner with them'....I sold the balance of my holding pre them announcing the now terminated recent business buyout proposal. I'm toying as to whether to buy back in. The plus is the return of capital surely coming but 'trust' & the idea of a 'partner' relationship is now problematic for me. The Board seriously considering such a transaction at the prices postulated now in the public domain leaves me apprehensive to re-enter. Sorry for the cross promote but the Board should take a leaf out of their fellow media company NZME....deliver 30-50% of free cash flow to shareholders each year via dividends, buybacks & where appropriate special dividends. Leaves the business more than sufficiently capitalised for future growth requirements as well. The shite about management having to engage consultants months ago on the best way to return capital to shareholders says a lot. That rang alarm bells at the time & I voiced it on this forum. If you can't get that right in house I'd suggest you shouldn't be there. My opine....that's a serious management capability deficit that you would assume a CEO/MD should be able to navigate with ease; it should be an assumed skill.

Staying on the sidelines but watching what they do going forward.Trust under current stewardship totally destroyed however. If I was a shareholder my intent would be to kiss all Board representatives goodbye at the earliest opportunity. Ask....are these people you'd trust as custodians of your financial well being as future decision makers for the company you own? How many 'safe' companies get destroyed or compromised by poor management decisions?

Fingers crossed for holders going forward.