I too went hunting a published dividend policy once, but alas I...

I too went hunting a published dividend policy once, but alas I could not find it under any heading or possible rock. So I asked the lovely Michelle, early 2017 ...

[Me] 1. The company has not and does not publish a dividend policy. Can you please advise what dividend guidelines or parameters the Board of Directors work with?

[Michelle} The company board would like to reward our shareholders as much as possible. Yes, the company has a dividend policy in place since 2010, "not more than 25% free cash flow generated from the operations". The Board assessed and considered the recommendations from the management put forward for future capital expenditures and other expenditures determined the final dividend payment.

The policy issues obviously are that it references a maximum and no minimum (which therefore includes 0). I also note that they have been careful to distributed retained earnings only. That is, if you recall they wrote off $100m or so re development a few years back, resulting in a negative retained earnings. The dividends didn't start flowing until that negative retained earnings was repaired. More an accounting ruse than anything, but entirely legitimate.

Nonetheless, At least Michelle's policy description was something I could work with and looking at historical dividend announcements and cash flows, this is probably not far of the mark as a description. For me it was then a case of working through STDSF (the biggie) and autogene mill replacements, investment in inventory and mining in advance. Those now have all been exhausted so ....

I have no idea what the policy is today but I doubt it's very 'mechanical' ... I also fear that property development now falls in the basket of future capital expenditures ... sigh!

As to their comms, I see arrogance long before courtesy or empathy or obligation. Good luck on that front ... when you have a bucket load of cash, a stable business churning out squillions, a happy major shareholder enjoying price and volume stability without any premiums, you might not have as much regard for the balance of minions who too underwrote the journey... another sigh (2nd one this morning, very sad indeed!

Have a great day