Ann: Trading Halt, page-15

While I agree that the stock has been somewhat disappointing over the last few months, I think it’s a ridiculous statement to suggest this company can’t grow organically. Paris Creek made 75% of its annual sales from SA alone last year. Your statement assumes that increasing the remaining 25% to the rest of Aus is all but impossible.

Let’s not forget that McBain has only been in the role for 10 months now. This ship is going to take a while to turn. Anyone that thinks it can happen overnight is delusional. Yes, the communication (or lack thereof) has been frustrating to say the least, but let’s at least wait until the full year results to properly cast our judgement.

Let’s also not forget that the board, and namely McBain have a lot more invested in this than we do, so while a paper loss may hurt us a little, it hurts them a lot more. Personally I only invest in companies like this where management are heavily invested and are committed to driving long-term (not short-term) value for shareholders.

With regards to acquisitions, personally I have no issue with it provided its not overpaid for, preferably earnings and cashflow positive (as Paris Creek was), and finally fits within the company where efficiencies and synergies can be derived. With regards to this acquisition, let’s wait for the details before casting judgement.

Being from Melbourne though, I can tell you that this Milk is everywhere here, particularly in the Cafe scene.

Just my thoughts. Good luck to all holders!