the best solution to fix the problems

Today LYC has reached major crossroad

We have had good debate about short term patches over problems etc.

They may borrow more money and/or they may have an equity issue?

Let's look at the perspective from the management side.

They have had a lousy 24 months too.

They probably think the company is now moving forward and they hope the company may be profitable before year end - but they still have hassles to deal with Mt K and market confidence issues.

The executives have lost their large valuable stakes in the company and certainly don't need or want black clouds of financial viability hanging over them for another 6 months.

The best solution 'from their perspective' will be a large equity issue and a (3% of company) reset of performance rights etc.

Those executives that haven't already lost homes may even be prepared to buy back in at the next entry point, particularly if it deals with the balance sheet issues once and for all.

Shareholders large and small (who can afford it) must be given a very good opportunity to average down.

Truth is, that is the way management will be seeing things, and in reality, it's probably the most prudent way to fix the current problems, in my opinion.

It would have to be a combination of 708 placemat (maybe 75%) plus a SPP (25%) and therefore mean that 1 billion new shares issued ~12 cents.

Painful maybe for the next month for some, but a win / win for management and those shareholders willing to commit more capital to the company and rare earths sector.

How do you guys think management may be viewing things??