Re: Ann: Quarterly Report March 2015, page-3

Well done M22. Your concerns go beyond the production guidance miss of late, especially when you read closely the then CEOs and COOs reports within the 2015 Annual Report. The concerns are also financial. Go back to the Sept. Qtrly. Sadly I dismissed what I read then, in respect of $8.1 mil being spirited away from the Cash Statement, as being "primarily attributable to net cash movements in creditors/receivable accounts...". A statement that begs the question - What else is included in the figure? Then in the Dec. Qtly, my calc of a missing $2.3 mil, is described as an "increase in warehouse inventory of around $3 million." Given that these monies possibly/should fall into 'Cash Costs' or 'AISC', I believe the auditors may/should be interested in these intra-year transaction come 30th June. Problem is, quarterly accounts that we act upon, are not audited. Interestingly, the CEO/Chairperson from 12th Nov. to 21st March, is a CPA accountant with limited skin in this game, who is also the CFO and Director of BGC, a $2.8 bil company.
Interestingly, when you read the CEO's (GD) and COO's (RG) report as at 30th June '15, it is clear as to what has been achieved in just 9 months (new mill; increased capacity; reduced labour; efficient mining methods; Cash Cost down to $390; etc. etc.), and what the plan is/was for the future. Now the Service Shaft is 9 mths behind schedule; development is up 8%, but mined ore is down 11% (??) and gold produced down 30% from the September qtr. IMO the US POG appears to be the only upside in the short to medium term.
As y may have gathered, I was a substantial holder (investor) and thought that I knew every aspect of the company. M22, continue to DYOR.