You are correct for all we know Casey could have purchased the 90,000 shares @ $5 on market.
For all we know And Sigalla paid his own accommodation fees whilst in Chicago, and for his flights home on the weekend (perhaps the huge travel costs signed for by the company were all legitimate expenses), and their will be no golden parachute for Sigalla, the 6.8 million dollars is not an issue. Etc etc.
However the low level of trust that these people have earned makes me very wary of them and their intentions and very wary of anything that they put into play. The salary reduction plan was a prime example of blatant money and share grabbing, and when they tried to explain it away with oh “The decision to issue shares at $1.20 each was made at a time when Company shares were trading at $1.05.”
Was an obvious back peddle after being caught out! Standard procedure is for the issue price of the shares is the average closing price of the five days prior to placement in a situation like this.
I wonder if they sought the advice of John Egan and Associates in the salary reduction or in Casey’s remuneration deal.
Somehow I think not. And if they did seek John Egan and Associates advice in regards to Sigalla’s remuneration package did they take it?
TZL Price at posting:
$1.05 Sentiment: None Disclosure: Held
