I think you're quite right abu. I sold out of VCR late last year (after 7 yrs) around the time that the last SPP was announced. Going from the history of previous SPP and rights issues I considered that:
- the directors would in all likelihood, not participate ( plus the fact that Crosby had dumped all those shares for 'tax reasons') - The SP would plummet further - there was little attempt on the part of the board to enthuse investors - infact it was presented as 'participate or else face the demise of the company' - I objected to the fact that alot of SH funds appeared to be being used to pay disproportionately high salaries. - My overall share portfolio had lost so much value that I had to conserve as much cash as I could. I mean, we were hearing talk of a possible worldwide depression!
- In summary - I was seriously questioning whether the board and management had the interests of SHs in mind at all, and was not prepared to keep feeding the beast, especially in such a volatile and uncertain market environment.
VCR Price at posting:
8.3¢ Sentiment: None Disclosure: Not Held
