Email to Henry, page-20

Hi @imback

I totally get what you are saying, but I see their side of the argument too.

Sometimes directors and executives who take part in material transactions such as the North Africa US$100m contract, are put on a black-out list. This means they can’t buy or sell shares until the black-out it lifted.

Ross’ response did say it is an impediment to directors buying AND selling- if however you do see them selling, it’s a good time to ask why aren’t they buying instead? I haven’t seen them sell any to date.

But in this instance I am willing to give them the benefit of the doubt, as they are negotiating a major deal and that is known to the market. So any negotiations and discussions will deem them to be in possession of insider information. Effectively putting them on the black-out list.

One thing we can look at is how incentivised management are to see the business succeed.

To this point, Richard (Executive Chairman) is the second largest shareholder. That is rare and you couldn’t really ask for more “skin” in the game than that (36.3m shares).

What is even more insightful is that our CEO Henry Charrabe has no shares. Nope he only has 11.2m options that vest in 2025. That is almost better than skin in the game, it is a big fat carrot dangling in front of him- giving him more incentive than all of us to ensure the business performs.

Henry could have easily been given shares when he started, and I’m sure he will get some eventually with his bonus and incentive schemes- but his sign on were purely options. And long dated ones at that! He is going to be sticking around for a long time, nice handcuffs.

So I’m confident the incentives are there for them to perform, they have the product, global reach and team to do it... so it’s simply up to them to hit their forecasts and hopefully exceed them. US$105-$115m revenue this year is forecast, which means doubling of last year’s revenue. Not a small target to set for a company with just over $150m market cap.