voting at the lynas agm 20th november, page-3

Handy Andy,

From the notice of AGM:

"The proposed increase in the maximum aggregate remuneration payable to the directors provides scope to:
1. appoint an additional non-executive director to enhance the breadth of skills, and the diversity of membership, of the Board; and
2. prepare for transition to the appointment of a Non Executive Chairman of the Board."

It would appear to me that Lynas are moving in EXACTLY the direction that LSA have been calling for yet you are calling for the resolution to be voted down. Just confirms my suspicions regarding your personal agenda.

Clearly the resolution calls for another Independent Director, cost circa $150K, I can't understand how you would have a problem with that.

Have you contacted Lynas to query "prepare for transition" to Non Exec Chair? Does it simply mean the allocation of funds to allow the selection & appointment of a NEC in the next 12 months? If that is the case why would you vote against your stated goal? Or haven't you asked for more information, just rather vote no in some vain effort to maintain the rage?

If we allocate $230K for a NEC that leaves circa $120K of the requested $500K, say an increase of $20K per ID if fully expended. Hardly earth shattering.

Now along with many others I'm feeling some pain with the current SP and don't want to see anybody get more money until we see a recovery. Cash flow is obviously critical so I'm assuming the above is predicated on a successful start up and positive cash flow this financial year.

Now maybe Lynas could/should have provided some more info here but they are hardly likely to preface the statement with "Provided we don't get our butt kicked by SMSL..."

Personally I think the company is demonstrating some confidence in its future, moving to improve Corp Gov in the way many here have suggested, and at the very least you should request more information before promoting in the negative, as usual.