Update Report to Shareholders by CEO., page-40

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Bones708

94 Posts.

31/03/15

16:46

Post #: 15013501
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Originally posted by GreenTuatara ↑

Words are cheap.

I think these statement by the CEO are perhaps better than nothing...however, only a few years ago he gave himself a dividend of 75% earnings when they had far far less cash. Now they have multiples of previous cash levels and suddenly every penny is needed. Plus if he cared so much about the share price and balance sheet he wouldn't have $10m loaned out off balance sheet.

If all was sound it would be so easy for them to just put $4m into AUD and pay a small dividend - just to meet the expectations the company laid out upon listing.

The more I think about this announcement the more it just makes me worried. How am I buying into these simple and generic words.

Spend $10m on refurbishments in less than a year (how do auditors even audit the value of $10m in 'refurbishmennt') while not barely expanding the number of franchisees, making significant improvements to the website or paying a dividend.

There is just so much 'odd' stuff going on with SBB. I am happy for the communication but it is no where near a substitute for tangible action (i.e. a dividend). Don't think many economists would say it's a particularly bad time to buy AUD's either while it's at these lows. Great, we've made 'free' money on the exchange rate for the last couple or years, let's hedge some of those 'winnings' by bringing $5-10m cash into the security of an Aus bank. It's still cash, it's still liquid.

I'm hoping the auditing and due diligence by Directors is as thorough as can be.

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I am still waiting for a reply why you keep saying there are $10 million in off balance sheet loans when there are not?

SBB Price at posting: 4.7¢ Sentiment: Buy Disclosure: Held
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