groundhogs day for kmc, page-3

Yes Adam, there has been no change of direction, and a reaffirmation of using the contract model, because perhaps the contracting companies being used are either owned, or run, or heavily invested in, by some KMC directors.

Hence, KMC may have been a gravy train for the director's contracting companies and associates. These were the companies owed the most money, hence the trading halt, and the mine care and maintenance, and the sacking of the previous MD (there had to be a fall guy), until the contracting companies possibly associated with the KMC directors got their money.

These directors receive shares and options and funds from KMC, and then they may receive payments from the contracting companies - it's a double gravy train.

You know who the companies are, and who the associated directors are, the info is on the web site, and in the annual report.

The directors will fight tooth and nail to maintain their gravy train, and I am not sure Kwok and Lee can do anything about this.

While KMC is controlled by contracting companies, and potentially share the same directors who own and run them, nothing will change.

For instance, the company has just relisted (after being broke and in debt and suspended), yet it appears the directors may have been off at an Asian conference.

Were the hotels paid on the KMC account, the dinners paid on the KMC account, the flights, the wine, the taxis etc. etc, were they all paid on the KMC account, were they all paid for by shareholders?

And if a director is forced to resign from KMC, will his associated contracting company still plunder money from KMC, while making no progress at the mine?

So, it just remains to be seen if there are enough shareholders, who have enough guts, to put an end to the gravy train at the next AGM. I doubt it. Most shareholders aren't that well informed. And frankly, most of them are passive and reticent, something directors exclusively bank on (with "bank" being the operative word).

There is only one way that KMC is ever going to be a decent company, and that involves the complete removal of all current directors (except for Kwok), and the cancelling of all contracts with companies associated with these directors.

There needs to be a completely new start.

That's it for me, there is nothing more to say, it is all more than obvious. See you at the next AGM.

Gw