1. calling a drop to 30 a down trend is truely prophetic
2. Management being issued performance shares is not a "problem". They need to be motivated/compensated for thier efforts. This is either by cash or by shares (more often a combination of both). Cash is instant gratification, and easier to run away with than shares.
If management has a reasonable shareholding they are invested in the company and seeing it thrive results in a commensurate bonus. Management are also generally long term holders, barring personal financial issues, which stabilises trade a little (in theory). If someone in management were to liquidate holdings they shoot themselves in the foot with the resulting SP decline, and would be considered a major dick move by the rest of those in management. They would also be unlikely to be offered future employment opportunities of similar or greater stature.
That said, I think a 50c trigger is a little less ambitious than it could be (I'd suggest 60c). In fairness though, the SP was in the mid 30s when the AGM resolutions were announced, and assumed a SP of 37c on the grant date of Nov 29. So a VWAP of 50c at that time equated to a goal of increasing the SP 35% which, at the time of the announcement, could be considered ambitious.
Funny how they can look bad for achieving it much earlier than expected.
3. Assuming the resolution is approved at the AGM, the 50c trigger only applies after this date, not retrospectively. If it did, the march/april SP spike would suffice regardless of what happens to the SP over the next month, making the setting of a VWAP trigger redundant.
4. There is no maybe, and "buy low, sell high" is pure genius.
MMJ Price at posting:
41.5¢ Sentiment: Buy Disclosure: Held
