Red Bar's Company Update, page-58

hi val,

just a quick reply -

Stockholders have a right (and, imo a duty) to question management and boards.

NC is always happy to answer stockholders - it is a common practice for US CEO's to speak to shareholders - more so than here.

And, no - no inside information - just like a conversation with anyone - there are some things you don't repeat - sometimes, you just aren't sure if the information was only for you - I NEVER pass on anything I am not 100% certain of - that is one of the main reasons why many CEO's and Chairs talk openly with me - they know I know what to NOT say.


Briefly - this is how I work -

I find a target.
I take a small position.
I ask for an audience - to see if there is a larger position available.
If I am still comfortable - I take a larger position.
I monitor the company - if the wheels stay on - I stay in the saddle.
I am continually in touch with management or board - usually - they ring me. If I have certain concerns - I email or ring them - I almost always have an open invitation to do so.


I believe that most people don't work like that. I have mates who will spend a few weeks looking to buy a car for say $20,000 - then, they will find a car and spend another week checking it out - then buy it.

When they buy $100,000 of shares - they often hear it from a mate and buy in the next 10 minutes --------------------- go figure.

If I am going to put $100k to $2 million on the ground in a company - I want to know not only a lot about the company - I want to know a bloody lot about the people who run it.

In return ----------- I support them and, in NC's case - I am one of his retail sounding boards.

anyway - gotta go.

Have a great arvo

Pinto