re: rationale for buy back order, page-5

re: rationale for buy back order Hi Gekko

I had come to this conclusion through not only a mathematical calculation which involved fibonnaci numbers but also the logarithmic fibbonaci spiral, but a combination of various variables.

Sentiment was one which supported a strong move down......a short fall in profit forecasts is a bad sin in the stock market as it is for any company and why should sen be treated any differrent.

Sector risk and product risk were others....it is like MYOB in regards to its IT product...so why should its trading and price valuation be treated any different.

Fundamentals...fundamentals are a cobination of many different factors such as market saturaion, competitors, new and emerging like products, the fast amortisation of IT products and their intangible value such as the intellectual knowledge and associated patents as well as the yearly impairment tests of assets and how they are now expensed through the profit and loss statement under new IFRS.

The fact that sales will finish peaking in 2008 and the reliance on service income.

Basically sen shares are looked at like a depreciating asset that will be left with a residual value at the end of its useful life of maximum sales and ammortisation of its patents.

The market is well aware of this fact so it is highly unlikely that it will attract any huge money other than its own share buy back actually most credible analysts wont even bother to assess it.

The only ones who stand to really benefit from this company now are directors and shareholder who got in at really low prices in which the dividend is giving them a great return of capital above that which they out layed.

AVOID