Originally Posted by
Unicorn
Hi Digger
6 - I vote No
Market cap this time last year was 256M * 1.04 = $266M, add 127M * 1.50 new shares = $190M, deduct 2 x 5c dividends = $45M, giving shareholders contribution of $411M. Market cap now = 383M * 1.08 = $413M.
Return to shareholders for the year is close to nil. Requested gain to directors is over 100%. That is way out of synch.
Previously authorised director payments are about $60,000 per head. I am comfortable with that.
The argument that there are additional demands on directors is not convincing, given that the number of directors has increased and PRC has been floated. Bringing payments into line with other leading listed companies is not backed up by any concrete figures - but provides a good case to follow the Vector lead.
7 - I vote Yes
Here we have a new director, so he should be brought onto the same footing as the other directors. New directors need some skin in the game.
8 - I vote No
The CEO already has a large number of shares under the scheme. At present I am not aware of any major contribution he has made to the company. Full year results were generally regarded as disappointing, and did not appear to be very well explained to the market. There has been no visible response to the plummeting share price.
The question i am most interested in having answered at the meeting is ... "When does the board expect to increase earnings to more than 50% above that delivered from Tui, Kupe and PRC - that being the level required to justify the issuing of the NZOOD options?" Should I submit this as an independent question, or do you have it covered already?