There were many opportunities post 2008 AGM for a placement/ issue / SPP to at least check / remove the possibility of a Cornell death-spiral sell off, which indeed realised later, and hence stabilise the ship and give TIME for cashflow generation to keep us afloat.
The Board was MOST NAIIVE if it believed Cornell would not immediately dump any shares given to recover its monthly cash ... and this ALONE busted the ability of CMR to defend itself ... by being open with us from the onset. Even tho they saw Cornell's action with first lot at about a buck, they continued giving them shares every month thereafter. FATAL move and shareholders were screaming about this but no replies were offered.
IMO shareholders have been treated with total disrespect from time of new regime entering ... with the 2008 AGM "let bygones be bygones and lets look to a rosy future" jibe the complete insult. Many of you were there.
And yeah where was the "independence" of the non-execs to keep responsible tabs on our behalf? Suspect plenty of chinese walls around at all levels. Even going back to estimates of oxides start-up for late 2007 !!!
Interesting to see FH's role on both sides of the fence having Ernst Young to contend with again. We can only HOPE that FH will do the right thing on all grounds. There are plenty looking from all directions now and ready for next move depending what comes out. Media will have the last look if it deteriorates into a bunfight. Hopefully it wont reach that stage.
IMBOOC
PS just back from PRC and can tell u their 6.1% GDP for Q1 is expected to be their LOW with signs of recovery already around. They are back into orderly exchange of their USD 2 trillion FX reserves (and increasing) for global RESOURCES and stockpiling from lows they allowed occur (I suspect for reasons of reducing prices and supporting USD with the yanks ... imagination only). PRC will buy and stockpile and use everyone else's resources leaving theirs alone for when no-one else has any left. They plan 30 years ahead, not like most of us who are concerned about 30 day trends. Residential estates are still springing up all over the place and recent trillion dollar stimulus package is starting to be implemented. Only gripe I have with them there is on enviros ... lotsa laws and regulations in place at federal gov level ... but NO enforcement cos that is left at local gov level ... and thats open to yuan under the table still methinks ... tho that too is slowly improving I guess. They are going nuclear tho and thats the next boom here methinks ... wonder who will end up with CMR's phantom U resources ???
CMR Price at posting:
15.0¢ Sentiment: None Disclosure: Held
