My experience with MRM, page-2

simplistic drivel! 20:20 hindsight makes things so much easier!

When MRM was over $2 it had bought Jaya specifically in response to the medium term prospects for the Australian offshore industry. Jaya was supposed to broaden the business base and spread the operational risk.... this was before the OPEC decision to retain market share at the expense of price.

Jaya was not a business acquisition but a "job lot" purchase of new-ish boats in SE Asia at book value when the A$ was at an all-time high... at the time MRM's SP had already fallen from a high over $4.... could have been a good strategic decision! It is interesting to note that the recent write off of the value of the boats in the MRM accounts, which goes through the P&L, was almost offset by the revaluation of the same assets due to the fall in the A$, which goes directly to shareholders funds.

I have stated in other posts threads that the Jaya purchase was a mistake (with the benefit of 20:20 hindsight) and that Management should be held accountable for it; they get paid big $$ to make judgements and they got it wrong.

However the other issue, and possibly "key", is the actions of those share traders who have the combined benefit of short selling, algorithmic machine trading and zero transaction cost. Short selling has been driving MRM for more than a year and clouding the true value equation. Any "review" of MRM in the last 2 years needs to include short selling action and to exclude its impact is simplistic.

FYI all of my decisions are now made with as much short selling information as I can obtain!!!.