Ann: Ingham's CEO Transition, page-6

If the CEO tells the company he is resigning, I believe the company has to make a public announcement straight away (at least that's the regulatory requirement in my local market). They don't have the regulatory luxury of waiting until a replacement is lined up before making the announcement. Staying in position until he annual results are released + being available until year end speaks to an orderly transition. I also would have no problem if Quinton stepped up to the CEO role - he's been with the company through its transition and should take a fair amount of the credit for the outstanding results so far.

On the recent on market purchase of shares by a director, the amount may be small but fact that a director was able to purchase any shares at all without breaching insider dealing laws tells us two things:

1. there is no change to the forward looking statements contained in the half year report and subsequent presentation; and

2. the CEO had not communicated his intention to resign to the board until after the purchase.

Wiping approximately AUD150 million off the market cap is a complete overreaction.

However, the one thing they should have done to mitigate any fall out from the announcement of the resignation is to confirm that there is no change to the forward looking statements previously made (or give updated guidance).