I have no idea about their labeling strategy. Maybe they are trying to stand out by having an ugly label? Maybe their target market thinks they are hip and cool labels? I have no clue. If they need to be changed then hopefully that is something the new sales and marketing guy from LC would address.
I did ask them about Hoedemaker selling a lot of shares, they said it was part of a divorce related asset sale. Pretty sure I pulled out a news release from the time which basically said the same thing. Is it true? I don't know. I decided it was not worth losing any sleep over though, and if anything the negative perception helped me build my position at very low prices.
If you check the remuneration report, key management does have a fair bit of upside through performance options. Not as good as investing their own money, but both management and shareholders will be rewarded if the share price increases materially.
I think the lowest price I paid for a parcel was 3.9 cents. I could not have done that without several things going wrong with the company! The difference is I believe the problems to have been short term and now I simply await the recovery in the financial position and the perception in the market.
We are seeing an improvement in the financials now, but Mr. Market is still not happy. That is ok, I am patient and I'll happily take any crazy cheap shares he offers up.
GRB Price at posting:
5.9¢ Sentiment: Buy Disclosure: Held
