As I see the problem with TRF and IFE is the structure, there is no take over premium. Finch and the rest of the board are content to take their fees without any pressure to perform.
Small wonder there are no institutional investors on the register. Finch's total renumeration from TRF in 2009 was $537,400 and $448,141 in 2010. He got a further $146,100 in 2009 and $248,492 in 2010 from IFE. That's not bad income for the Chairman of a junior explorer that is totally dependant on the largess of the shareholders for funding.
It's always worth while seeing what the Directors are pulling out. In this case they are doing very nicely thankyou. If they were dependent on capital gain like the rest of the shareholders for income then the performance of these stocks would be very different.
TFR was over $2 in mid-April 2007 and crashed immediately the IFE IPO was announced. Predating the GFC.
Just a thought.
TRF Price at posting:
41.5¢ Sentiment: None Disclosure: Not Held
