ois and performance shares

I have just been reviewing the BOS OIS for the rights issue.

In section 3.1(m) of the OIS, it states that 7.8m performance shares will vest post rights issue because the capital raised under the rights issue is deemed by BOS to be part of the success criteria for the performance shares (an extract of the success criteria is set out).

These peformance shares were approved in March 2004 (notice of meeting is dated Feb 2004) but surely after reading the terms of the performance shares it is a massive stretch for BOS to claim that simply raising capital could be considered a proceeds milestone?

Penny dreadfuls can raise capital. Raising capital from long frustrated shareholders should never be considered a performance achievement. Smacks of pocket lining.

Is the timing of the rights issue also coincidental given the requirement to generate $5m in any financial year?

Very, very disappointing. I will definately be lodging a protest with BOS...