Ann: Daily share buy-back notice - Appendix 3E, page-6

There are countless reasons for a buy-back which include: company has large cash balance and believe the returns from other investments are likely to be lower than the cost of equity so it is more effective buy-back there stock; in the case of RHP they might want to soak up some loose holders and clear people off the register, and in the case of RHP have options that will become in the money if they can drive up the share price. In terms of your latter point if you buy back 10% of your stock then this drives up your earnings per share, which on a simple P/E multiple valuation will of course increase your market multiple based valuation so it will help the share price.

Generally a Board that is buying back its stock is indicating confidence in its cash flow profile, particularly in a small cap like this and that is encouraging. WRT your comment on liquidity, I suppose if you already own the stock then you are well-placed to sell the stock to people who want to buy it but are struggling to build a position. Although this is a moot point of you think the stock is going to double in 3 years then why worry about 5 cents on the way in.