Signature, I understand they see the benefit of a DRP but it...

Signature, I understand they see the benefit of a DRP but it needs shareholder approval and unfortunately it was too late for inclusion as agenda item for upcoming AGM. I have since been encouraging them to call an EGM to approve introduction prior to them declaring and paying an interim divi. An EGM would cost no more than $10,000 to hold which is peanuts in the scheme of things. I expect them to pay a dividend regardless, however feel that they would pay more if a DRP was in place. Their full year results presentation stated that they would have $29m of free cashflow after capex, payment of interest, and payment of minimum debt repayments. This is equiv. to 4.3 cents per share that they could payout in dividends. With a drp in place and Teoh and WSP reinvesting that would reduce the cash outage to just $9m allowing them to pay off another $20m in debt.

Sure hope that they deliver and market starts to recognise their earnings. However feel that until they pay a dividend and start to promote themselves to the public markets, that we will continue to suffer large paper losses.

I would have liked to attend the AGM but have a commitment in Melbourne onthe day. Will you be attending?